THE RACE: Obama, Romney grapple with euro crisis

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By TOM RAUM, Associated Press

President Barack Obama is out of the country for a few days but hardly off the campaign trail.

He's attending a summit in Los Cabos, Mexico, of 20 world leaders and the top agenda item — the European debt mess — will likely influence the U.S. presidential race if things worsen.

The crisis is dragging down global growth and Obama's re-election prospects with it.

Obama welcomed as "positive" Sunday's victory in Greece of a party willing to cooperate with Europe to keep Greece in the eurozone. Obama spoke alongside Mexican President Felipe Calderon, the summit host.

But early market optimism over the Greek vote faded somewhat Monday as borrowing costs for Spain, another financially troubled country, surged to alarming levels.

Meanwhile, Republican Mitt Romney continued his bus tour of key Midwestern battleground states that are also likely to sway the November outcome. And the European crisis wasn't far off stage.

"One of the things I think about is whether America's going to hit a Greece-style wall," Romney told a rally in Janesville, Wis. "Spending a trillion a year more than we take in is leading us to Greece," he said in a reference to recent recession-aggravated U.S. budget deficits topping $1 trillion.

If elected, he pledged, "a dollar will be worth something down the road and we will have a strong and stable foundation fiscally."

Romney also worked to capitalize on the recent big GOP win in the state with Republican Gov. Scott Walker's victory in a contentious recall election. Usually Democratic, Wisconsin now seems in play and Republicans are reaching for a win.

"We've turned things around in Wisconsin. It's time to elect a leader who can turn things around for America," Walker said in introducing Romney.

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