US bank stocks rallied on Wednesday after Donald Trump cruised to victory in the presidential election, with markets eyeing a better environment for dealmaking and lending to drive stronger profits. Shares of the largest US banks soared in Wednesday's session.

Banks have been pushing all year to loosen capital requirements and are also expected to benefit from potential tax cuts.

Investors are pricing in expectations that a second Trump administration will take a far softer approach to regulation than lenders have faced under Joe Biden.