While the flow of Wall Street’s political donations has shifted to GOP presidential nominee Mitt Romney from President Barack Obama this year, banks would actually love to see Obama re-elected, says Scott Bleier, founder of investment advisory service CreateCapital.
“Obama has been the friendliest president to banks and big oil in history," he tells Yahoo. "Wall Street secretly loves Obama."
What Wall Street loves about him specifically is the easy monetary policy the Federal Reserve has pursued while he’s been in office, Bleier says.
Editor's Note: You Deserve to Know What Obama and Bernanke Are Hiding From Americans
“Obama is the magic president that made the stock market double through easy money policies.”
However, Bleier doesn’t explain how Obama is responsible for monetary policy, which is created by a fully independent Fed.
Nonetheless, he notes that many argue the Fed’s easing will “crash the market and crash the economy eventually.” Maybe those naysayers are right, Bleier says. “But Wall Street loves this guy [Obama] because he’s easy money.”
Again it sounds like Bleier should be naming Fed Chairman Ben Bernanke rather than Obama. But Wall Street is “thrilled with Obama, because he means four more years of stimulus, money and entitlements,” Bleier says.
If Wall Street is indeed all about easy money, it will be delighted with Bernanke’s comments Monday. He said in a speech that the central bank won’t take its foot off the gas pedal even after the economic expansion gains speed.
Editor's Note: You Deserve to Know What Obama and Bernanke Are Hiding From Americans
© 2013 Moneynews. All rights reserved.