Harris: US stocks can rise 10% after mid-term elections

Henderson multi-managers Mark Harris and Craig Heron are bullish on the near-term prospects for US equities following today's mid-term elections, saying the market could rise by 10%.

Harris, the group's head of multi-manager, says the mid-term elections in the US traditionally lead to a strong bounce for stock markets. "Since 1942 there have been 17 mid-term elections in the US, and on every occasion the market has rallied over the following 100 days. In some cases stocks climbed incredibly strongly," Harris says. "While the market might not rally as hard as in the past, due to the current economic climate, there is no reason why the market cannot rise 10% or so." Polling suggests President Barack Obama's Democrats will lose its majority in the House of Represe...