The market should have already priced in an almost-certain Democrat takeover of the House, and a 75% chance of takeover of the Senate.
And yet the markets rallied hard the day after the election. Why?
* Maybe it was responding positively to the scale of the Democrats' win, for whatever reason.
* Maybe it was the removal of uncertainty.
* Maybe it was reacting positively to the fact that there weren't massive irregularities, lawsuits, chaos, extended vote delays, etc.
But then flipping even harder negative the day after is even harder to explain purely in electoral terms. Maybe it was just time.