News Headline Summary

US President Obama says the US has seen signs of economic progress

Says:
- We 'cant just cut our way to prosperity'.
- Cuts to education, training, energy and national security would cost US jobs.
- In order to achieve full USD 4trln of deficit reduction, tax reforms must go hand in hand with modest reforms in cuts to social programs.
- Full budget may not be finished before March 1.
- Congress should pass smaller sequestration package.

Update details:

- President Obama offered little new insight into the situation in Congress, although the main point of note was that Congress should pass smaller sequestration package.

Reaction details:

- No reaction seen across asset classes as nothing new was announced by the president and talks between Republicans and Democrats in the House and Senate continue.

Print 18:18, 05 Feb 2013 - Economic commentary - Source: Newswires