Bush attempts to calm economic jitters
US President George Bush today cited "some unsettling times" in the US housing and credit markets as he sought to assure jittery Americans that the US economy is in good shape despite worries about a recession.
"I say that the fundamentals of our nation's economy are strong," Bush told a White House news conference.
Bush said that inflation was down, markets steady, unemployment relatively low, exports up and corporate profits "seem to be strong".
"There is no question there are some unsettling times in the housing markets and credits associated with the housing market," Bush said. But he said he did not see it spreading to the broader economy.
Some economists suggest the housing slump could lead to a recession even in spite of action earlier this week by the Federal Reserve to cut short-term interest rates by a half-percentage point.
Bush said he was optimistic about the economy. "I would be pessimistic if I thought Congress was going to get their way and raise taxes," he said.
Pressed on whether he was concerned that the US was nearing a recession, Bush said: "You need to talk to an economist."
