Obama will propose that companies be allowed to write off 100% of their new investment in plants and equipment through 2011, a plan that White House economists say would cut business taxes by nearly $200 billion.
EU finance ministers neared an agreement on stronger sanctions for member states that violate budget rules, but governments were still divided over the issues of taxing banks and financial transactions.
Jean-Claude Trichet has raised his forecast for growth in the EU area for the rest of this year from 1.0% to 1.6%. But Europeans shouldn't uncork the champagne just yet.
The Bank for International Settlements said sustained debt reduction need not be a cause of weaker growth in the aftermath of a crisis, as long as policy makers fix the problems that caused the turmoil in the first place.
The U.S. economy lost jobs for the third month in a row in August, but modest hiring by the private sector eased concerns of a double-tip recession.