March 4, 2009

Obama, Romer seek to soothe fears

U.S. President Barack Obama is trying to inject some calm into a shaky marketplace, asking the public not to fret over daily ups and downs.

You know it bobs up and down day to day. And if you spend all your time worrying about that, then you're probably going to get the long-term strategy wrong, Obama told reporters at the White House, The Washington Post reported Wednesday.

What I'm looking at is not the day-to-day gyrations of the stock market, but the long-term ability for the United States and the entire world economy to regain its footing, he said

Obama even put in a pitch for stocks. What you're seeing now is profit and earning ratios are starting to get to the point where buying stocks is a potentially good deal, he said.

Christina Romer, chairwoman of the Council of Economic Advisers, put a silver lining in the economic picture, saying the fiscal stimulus package will have even more oomph, given the current shape of the economy.

Federal Reserve Chairman Ben Bernanke, however, warned lawmakers this week to keep stability in mind as they contemplated the federal budget. He described the past 18 months as a period of extraordinary turbulence.