Asian stocks rise after Obama declared winner
BANGKOK (AP) - Asian stock markets reversed early losses to move higher on Wednesday after President Barack Obama won a fiercely contested race for re-election.
Stock markets had been in a state of suspended animation throughout the week as investors waited for the cliffhanger election to end. Now, with the Republican challenger Mitt Romney defeated, politicians in the world's biggest economy can refocus on issues other than the campaign.
One of the most pressing issues facing the US is the looming "fiscal cliff", a combination of higher taxes and government spending cuts that automatically takes effect unless Congress acts by Jan. 1.
Economists have warned that if this so-called fiscal cliff is not avoided, the adverse effects could push the US economy back into recession.