Wall Street backs its man Mitt Romney

Update: 2012-11-07 02:01 GMT
US President Barack Obama and his rival Mitt Romney may be in a dead heat in the race for the White House, but the former Massachusetts governor has emerged as an overwhelming favourite of Wall Street in a new survey.

Twelve out of 18 investment strategists and money managers surveyed by CNNMoney said the stock market would perform better with Romney, a businessman-turned-politician in the White House than during a second Obama term. As the US struggles with sluggish economic growth, high unemployment, over USD 16 trillion in national debt, a looming debt ceiling and the fiscal cliff, ‘Romney offers the potential for a more bipartisan, pro-growth set of fiscal policy initiatives, which ultimately would be better for the stock market,’ said Phil Orlando, chief equity market strategist. Political gridlock has been considered a positive for the stock market since it minimises policy changes, but experts say that a continued stalemate would be too detrimental for the sluggish economy.

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