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Obama on deadlock: 'Wall Street should be concerned'
by Danielle Levy on Oct 03, 2013 at 09:05
President Barack Obama has warned Wall Street that it should have genuine concerns over the ongoing congressional impasse that has resulted in a US government shutdown.
In an interview with CNBC, Obama said 'this time I think Wall Street should be concerned'.
'When you have a situation in which a faction is willing to default on US obligations, then we are in trouble,' Obama said.
His comments follow two days of a US government shutdown after Republicans and Democrats in Congress failed to reach an agreement over funding. This has caused the dollar to reach an eight-month low, although the S&P 500 at 1,694 was relatively unphased, down just 0.07% after trading closed on Wednesday.
'It is important for [Wall Street] to recognise that this is going to have a profound impact on our economy and their bottom lines, their employees and their shareholders,' Obama added.
Obama said he was 'exasperated' with the tea party faction of the Republican party, noting that their hostility to 'civil' negotiations threatened the functioning of government and the wider health of the economy.
'I am exasperated with the idea that unless I say that 20 million people, "you can't have health insurance, they will not reopen the government.' That is irresponsible,' he said.
He said American citizens and corporates were growing tired of 'this constant governing from crisis to crisis'.
On Wednesday a meeting between Obama and John Boehner, the Republican Speaker of the House, ended with no signs of progress in reaching a solution to the Congressional impasse.
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