Senator Hillary Clinton has won the New Hampshire Primary in a stunning upset, which defied the predictions of several opinion polls.
In a win which put Senator Clinton firmly back in the race, she marginally defeated Senator Barack Obama by just 2%.
On the Republican side, Senator John McCain completed a remarkable comeback by beating his nearest rival Mitt Romney by a wide margin.
Addressing her supporters at a victory rally last night, Ms Clinton said she had listened to them and found her own voice.
In a veiled reference to the Obama campaign, she said that politics was not a game and that the young people who supported her voted with their hearts and their minds.
In his concession speech, Barack Obama congratulated Mrs Clinton but rallied his supporters by telling them he was still 'fired up and ready to go.' In a jab at the Clinton campaign, he said 'there has never been anything false about hope.'
Mrs Clinton finished with 39% of the democratic vote, with Mr Obama on 37% and John Edwards third on 17%.
Meanwhile Senator John McCain confirmed the promise of his remarkable comeback. He inflicted a crushing defeat on his main rival Mitt Romney, with Mike Huckabee coming in third.
To chants of 'Mac is Back' Mr McCain told his supporters '…we sure showed them what a comeback is'.
The next Republican Primary is in Michigan on 15 January while the next Democratic caucus is in Nevada on 19 January.
John McCain was victorious with 37% of the vote. Mitt Romney got 32%, followed by Mike Huckabee on 11%.