The financial sector, as measured by the XLF ETF, is trading higher in the pre-market session, in line with a broad rally in U.S. stock futures. This widespread positive sentiment follows the U.S. midterm elections, where the Democratic party gained control of both the House and Senate. The market's initial negative reaction reversed as investors appear to favor the potential for legislative gridlock. A corresponding decline in U.S. Treasury yields is also contributing to the risk-on mood.