The German DAX DAX, +1.62%, French CAC 40 PX1, +1.33% and U.K. FTSE 100 UKX, +1.29% all advanced.

Futures on the Dow Jones Industrial Average YM00, +1.22% rose 342 points, and Asian markets also rallied.

It was the market’s first opportunity to react to the news that Biden topped the necessary 270 Electoral College votes, according to the tallies from the Associated Press and other major media outlets. President Donald Trump has not conceded, but has yet to mount a legal challenge that analysts think has any likelihood of succeeding. The Biden administration is likely to take place with a Republican-controlled Senate, unless Democrats can win two run-off elections in the state of Georgia.

“A week ago, the prospect of an inconclusive U.S. election was viewed with trepidation, but it turns out that gridlock in Washington is just what investors wanted,” said Ian Williams, strategist at Peel Hunt.

Analysts said Biden’s victory may also help make a European Union-U.K. trade deal more likely. “After all, Biden’s strong Irish links mean that any potential issues stemming from a no deal Brexit would likely significantly dent hopes of any US-UK free-trade agreement,” said Paul Hollingsworth, an economist at BNP Paribas.

The news on the election overshadowed the latest reports on coronavirus. The COVID-19 project said the U.S. new-case tally was the highest ever for a Sunday, as the Bank of France said the current lockdown will reduce activity to 12% below normal.

Economists at Goldman Sachs lowered their estimate of global growth next year to 6%, a reduction of 0.5%. “The reason is the sharp rise in infections in recent weeks, which has led us to build in a sizable, if short-lived, economic hit, especially in Europe,” said Jan Hatzius and Daan Struyven in a note to clients.

Of stocks on the move, U.K. builder Taylor Wimpey TW, +11.47% rose 9% after saying this year’s results will come in at the top end of expectations.