Summary

NAME: US ECONOMY 20090914I TAPE: EF09/0872 IN_TIME: 10:23:56:21 DURATION: 00:03:00:04 SOURCES: AP TELEVISION/ABC DATELINE: New York - 14 September 2009 RESTRICTIONS: See Shotlist SHOTLIST ABC - No Access North America/Internet 1 Wide of US President Barack Obama walking into Federal Hall, zoom in to Obama at microphones 2 Cutaway of audience applauding 3 SOUNDBITE: (English) Barack Obama, US President: The work of recovery continues And though I will never be satisfied while people are out of work and our financial system is weakened, we can be confident that the storms of the past two years are beginning to break 4 Wide of Obama at podium 5 SOUNDBITE: (English) Barack Obama, US President: We're beginning to return to normalcy But here's what I want to emphasise today: normalcy cannot lead to complacency Unfortunately, there are some in the financial industry who are misreading this moment: instead of learning the lessons of Lehman and the crisis from which we're still recovering, they're choosing to ignore those lessons I'm convinced they do so not just at their own peril, but at our nation's 6 Cutaway of audience 7 SOUNDBITE: (English) Barack Obama, US President: We will not go back to the days of reckless behaviour and unchecked excess that was at the heart of this crisis, where too many were motivated only by the appetite for quick kills and bloated bonuses Those on Wall Street cannot resume taking risks without regard for consequences, and expect that next time, American taxpayers will be there to break their fall AP Television 8 Wide of trader on floor of New York Stock Exchange watching Obama's speech 9 Close-up of trader watching speech 10 SOUNDBITE: (English) Alan Valdes, Vice President of Trading, Trebek Securities: He mentioned the regulation and we do want to see some type of regulation He mentioned compensation We do want to see a cap on compensation because we think it is out of control right now and that's bad for the economy, it gives a bad perception of Wall Street and right now Wall Street needs all the juice, all the power it can get so we want things to turn around a little 11 Various of traders watching speech 12 SOUNDBITE: (English) Jonathan Corpina, senior floor trader for Meridian Equity Partners: The things I like that he said, were about enforcing regulation and stronger regulation I think it is something we have always looked at and always realised that the reasons, the problems that we've had are due to lack of regulation on our markets 13 Close-up of trader talking on phone 14 Various of traders watching speech STORYLINE: US President Barack Obama warned Wall Street on Monday against returning to the sort of reckless and unchecked behaviour that threatened the nation with a second Great Depression On the first anniversary of the Lehman Brothers collapse, Obama credited his administration and the 787 (b) billion US dollar stimulus package for pulling the US economy back from the brink The storms of the past two years are beginning to break, he said But even as Obama said the financial system was pulling out of a downward spiral, he warned financial titans they cannot count on any more bailouts Normalcy cannot lead to complacency, the president said There are some in the financial industry who are misreading this moment: instead of learning the lessons of Lehman and the crisis from which we are still recovering, they are choosing to ignore those lessons, he added Obama spoke at Federal Hall in the heart of Wall Street before an audience that included members of the financial community, lawmakers, and top administration officials His tough message warned the financial community that the US will not go back to the days of reckless behaviour and unchecked excess at the heart of this crisis, where too many were motivated only by the appetite for quick kills and bloated bonuses He said Wall Street should not expect that next time, American taxpayers will be there to break their fall On the floor of the New York Stock Exchange many traders watched the speech from their trading booths Jonathan Corpina, senior floor trader for Meridian Equity Partners, was positive about Obama's pledge to strengthen regulation I think it is something we have always looked at and always realised that the problems that we had are due to lack of regulation on our markets, he said In marking his determination to prevent a repeat of the crisis that nearly brought down the global financial system a year ago, Obama said he was attacking the problem on several broad fronts, including asking Congress to approve new rules to protect consumers and a new Consumer Financial Protection Agency to enforce those rules He also called for the closure of regulator loopholes and overlap, because he said they left key officials without the authority to take action At the Pittsburgh G-20 economic meeting later this month, Obama said the US will focus on ways to address the underlying problems that caused such a deep and lasting global recession Obama and others seeking ways to better monitor the financial system and police the products banks sell to consumers have been opposed by lobbyists, lawmakers and turf-protecting regulators, and even Obama's fellow Democrats have been slow to take up the cause