Open

Coming up

Don't miss

Replay


LATEST SHOWS

AFRICA NEWS

Central African Republic: Brazzaville ceasefire talks delivers fragile deal

Read more

FOCUS

Sluggish tourist season in Crimea

Read more

ENCORE!

Bartabas : Mixing Christ with Spanish music and dancing horses

Read more

IN THE PAPERS

Shifts in the propaganda war waged between Israelis and Palestinians

Read more

IN THE PAPERS

French MPs face quandary in pro-Palestinian rallies

Read more

THE INTERVIEW

Yezid Sayigh, Senior Associate at the Carnegie Middle East Center in Beirut

Read more

#TECH 24

Mind the Gender Gap : getting more women into the tech sector

Read more

INSIDE THE AMERICAS

Bolivian children: heading to work aged 10

Read more

WEB NEWS

Israel and Hamas battle online over public opinion

Read more

  • Live: France says missing Algerian plane 'probably crashed'

    Read more

  • 51 French nationals aboard missing Algerian plane

    Read more

  • Deadly Israeli strike on UN shelter in Gaza Strip

    Read more

  • Italy’s Nibali cruises to easy victory in 18th stage of Tour de France

    Read more

  • Iraqi parliament elects moderate Kurd as president

    Read more

  • US, European aviation agencies lift travel restrictions to Tel Aviv

    Read more

  • Sudanese Christian woman sentenced to death arrives in Italy

    Read more

  • No end to fighting until Israel ends Gaza blockade, Hamas says

    Read more

  • Two foreign women shot dead in western Afghanistan

    Read more

  • At least 60 killed in attack on prison convoy near Baghdad

    Read more

  • Cycling is ‘winning the war on doping,’ says expert

    Read more

  • Ceasefire agreed for Central African Republic

    Read more

  • Can Jew-kissing-Arab selfie give peace a viral chance?

    Read more

  • Botched Arizona execution takes nearly two hours

    Read more

  • Bomb attacks leave scores dead in north Nigeria

    Read more

Bush: US will be 'stronger than ever before'

Latest update : 2008-07-15

US President George W. Bush gave a press conference Tuesday about the state of the economy, on the heels of the Fed announcement to bail out US mortgage lenders.

With the US economy showing clear signs of distress, US President George W. Bush sought to reassure Americans on Tuesday that their financial system is sound and that the economy is not in a recession.

 

“We will come through this challenge stronger than ever before,” he said in his first full press conference since late April.

 

He focused on recent steps taken to stabilize the housing and financial markets.

 

Douglas Herbert, FRANCE 24’s Business Editor, said the speech was largely predictable. “This is a preprogrammed press conference to reassure the American people during a week of turmoil that the system is basically sound.”

 

He reassured Americans that the current world financial turmoil would not affect their personal savings, as all commercial banks are insured for up to $100,000 under the FDIC.

 

He fielded the hot-button issues of the day, including the proposed Federal Reserve package to bail out ailing mortgage lenders Freddie Mac and Fannie Mae.

 

“People are saying it’s a ‘bailout’, he said. “This is not a bailout. The shareholders still hold the company.”  He emphasized that the measures would be temporary and that there was no danger of a slippery slope effect, in which the US government would be required to bailout more and more banks.

 

Bush said that this stimulus package is a one-off deal, and aimed at assuaging the American public. “It’s important that people have confidence in mortgage markets,” he said.

 

Herbert said, “I’m not that reassured. They’re saying now that Freddie Mac and Fannie Mae are too big to let fail.  But we might see a lot of smaller banks that are on the government radar screen for insolvency, and they might decide those are not ‘too big to let fail.’  Then they’ll go under. So then what happens?”

 

Regarding rising gas prices, Bush said, “I don’t have a magic wand. I can’t just say ‘low gas.’”  As part of a solution, he discussed the controversial matter of drilling off the US coastlines to find new oil reserves.  “It makes sense to me to explore for oil and gas… We need to help change the psychology, send a clear message that supplies of oil will increase.”

 

Offshore oil has been banned since 1992, prohibiting oil rigs 200 miles off the US coastline.  Democrats have taken the position that drilling so near the coast would pose significant environmental risks, and require too much initial financial outlay to see rapid returns on the investment.

 

Date created : 2008-07-15

COMMENT(S)