According to Warren Buffett, American billionaire investor, problems in the U.S. subprime mortgage market will likely weigh on consumers for up to two years, but the U.S. economy will weather the storm.

President Bush says his economic policies are shrinking the U.S. budget deficit. President Bush closed a meeting of his economic team by heralding new government figures that show a projected budget deficit of $244 billion turned out to be $163 billion.

Federal Reserve policymakers at their September meeting felt compelled to act aggressively in lowering a key interest rate for the first time in over four years.

A worsening housing slump and a credit crunch mean a period of slower activity of U.S. economy. If lucky, the economy will not be knocked over. But the country could be in for a bruising that will put the economy on weaker footing.

The Australian share market has finished lower today following new concerns about the health of the United States economy. The All Ordinaries Index dropped 35 points to 6,357 and the ASX 200 slipped 29 points to 6,371.

The US Federal Reserve's interest rate cut of half a percentage point have delivered the best that financial markets could have hoped for. The first easing in US monetary policy for four years has come in response to the credit market crisis as the federal funds rate lowers to 4.75 per cent.

More openness and transparency must be in the marketplace to bolster the trust of investors and the public, Barack Obama said on Monday.

The longtime head of the U.S. central bank, Alan Greenspan, has criticized the economic policies of President Bush and the Republican-majority Congress.

President Bush is moving to help keep thousands of American homeowners from defaulting on their home loans in a growing crisis that has affected worldwide financial markets. VOA White House Correspondent Scott Stearns reports, the chairman of the U.S. central bank says he will also act to keep the credit crisis from hurting the economy.

Treasury Assistant Secretary for Economic Policy Phillip Swagel Statement for the Treasury Borrowing Advisory Committee of the Securities Industry and Financial Markets Association

The U.S. stock market generally is soaring, unemployment is near record lows, and home ownership is at record highs. So, why do public opinion polls show Americans are worried about their economic standing?

U.S. Census Bureu released the Advance Report on Durable Goods Manufacturers’ Shipments, Inventories and Orders for May 2007, which show plunge in orders.