John McCain’s victory in South Carolina has made him the clear frontrunner in the race for the Republican Presidential nomination. At 8:49 p.m. Eastern time, expectations for McCain to win the nomination topped 50% according to Rasmussen Markets data. At that time, Mitt Romney was a distant second seen as having a 21% chance of winning the nomination. Close behind at 8:49 was Rudy Giuliani. The markets gave America’s Mayor a 17% chance of winning the nomination at that time.

At the same time, market data suggested that McCain had a 50% chance of winning in Florida. By 8:00 a.m. Sunday morning, expectations for a McCain victory in Florida had grown to 74% (current pricing: %). The latest polling in Florida shows a four-way tie in the Sunshine State. A win there would be especially significant for McCain since it is a closed primary, only Republicans can vote. So far, McCain has shown that he can be very competitive with Republican voters but has won with the backing of Independents in both New Hampshire and South Carolina. If he is to win the Republican nomination, he must now demonstrate that he can among Republican voters.

Nationally, McCain, Huckabee, and Romney have been the top three candidates in the Rasmussen Reports daily Presidential Tracking Poll. However, those numbers are likely to shift following the South Carolina Primary.

Failure to win in South Carolina has moved Mike Huckabee into the long shot category. At the time McCain’s prospects moved past the 50% mark Huckabee’s chance of winning the nomination slipped to 7%. (current pricing: McCain %, Romney %, Giuliani %, Huckabee %).

Numbers in this article are from a prediction market, not a poll. Using a trading format where traders "buy and sell" candidates, issues, and news features, RasmussenMarkets.com harnesses competitive passions to becomes a reliable leading indicator of upcoming events. We invite you to participate in the Rasmussen Markets. It costs nothing to join and add your voice to the collective wisdom of the market. Prospects for South Carolina, Nevada, and Florida are featured on the Rasmussen Markets Summary Page

While McCain should savor his victory in the Palmetto State, the exit polls clearly spell out challenges for moving forward. As he did in New Hampshire, the Arizona Senator won the South Carolina Primary with the votes from Independents. He and Huckabee split the Republican vote evenly. Huckabee held the advantage over McCain among conservatives, 33% to 26% (see exit poll).

McCain leads Democratic frontrunners Hillary Clinton and Barack Obama in general election polling.