NEW YORK (Fortune) – The stock market's rally serves as "broad validation" of the Obama administration's financial rescue efforts, Treasury Secretary Tim Geithner said Monday.
But Geithner also stressed that the economy faces "an enormously challenging period ahead" - a view that was vigorously seconded by a panel of economic skeptics headlined by Nouriel Roubini, the economist known as Dr. Doom.
The comments came at an economic discussion sponsored by Time Warner, which is the parent company of Fortune and CNNMoney.com.
All of the panelists agreed the nation's financial regulatory apparatus is a mess, with Geithner calling the overlap among oversight agencies a "spectacle."
The administration is scheduled to outline its regulatory reform plan Wednesday. Geithner said the program, to be unveiled by President Obama, will result in a financial system that's more stable and more efficient. He added that avoiding future crises should make the finance business "a little less exciting."
Geithner said the financial system is in "the early stages of repair" following a round of capital-raising at big banks and other financial institutions.
Bush &co were digging us into a deep hole. I hired Obama to stop digging. Great job so far but the next job is to find a ladder. Let's get busy.
Nothing will change until we (the US) have jobs that pay a living wage.
Bring back the manufacturing jobs and our economic troubles will soon be a thing of the past.
But that is doomed by the greedy CEO's and Wall St. goons who sold us out to communist China, India and many other "3rd world toilets" so CEO's can line their pockets at the middle class's expense!
It probably is no thanks to the current administration. They are slowing everything down. Recessions run their course. I would hate think that the administration thinks they did anything to help, I believe if we had an honest report, (never will get from MSM) we would find they slowed the recovery and have set us up for the hyperinflation which will follow. Check the trend on gas prices since dear leader took office.
J.P. wrote: We will be in the final stages of economic repair after the 2010 and 2012 elections when we can, once again, defeat the forces of failed liberal socialism and spend the NEXT 25 years creating wealth and prosperity…
Yeah wealth and prosperity for the top 5 percent. My pay hasn't gone up in 8 years. I don't get vacation time or benefits because I'm a "contractor." I've been a contractor for 2 years because all of the jobs in my field (highly technical computer mumbo jumbo) have been outsourced to India and elsewhere. Thanks Republicans. Have a nice day!
Mission Accomplished! Look, he even dressed up like a real banker!
Has Geither learned how income taxes work yet?
Relax, southern cousin, gas prices are going up just like they have every single summer since you or I can remember. They'll come down in September just like always. Have a nice day!
Geithner: rock, paper, scissors?
he is the poster child of the Obama administration.
CLUELESS ABOUT PRIVATE SECTOR LIFE.
I'm glad Timmah and friends are finally rolling out with new sweeping reforms ... it's a bit on the late side, but better late than never.
I wonder if the Democrats in congress will oppose Obama's attempts to reform the oversight agencies the way they opposed Bush's attempts?
@ Randolph Carter:
So you must be absolutely thrilled with all those H1B visas that the Clinton administration started doling out, huh? And that NYT columnist Thomas Friedman says we should dramatically increase?
Fair is fair, you ain't kidding. Have a nice day!
OBAMA WILL FAIL.
HOW ? HOW ?? HOW ??? THE HECK ON EARTH, is our Economy going to recover when:
1………. We are importing more and exporting less. We have a big trade imbalance.
2………. Our dependence on oil is overwhelming. We do not use oil, we waste oil.
3………. Our Manufacturing jobs are all gone.
4………. Our Iron and Steel industries are all gone.
5………. Our textile industry of North Carolina is all gone.
6………. Our Auto industry is all gone.
7………. We have everything made in China.
8………. We have outsourced to India because of cheap labor.
9………. We are still spending billions on 2 wars. Wars are draining our Economy.
10………. We import nurses from Philippines.
11………. Our Construction industry is full of illegal immigrants.
12………. Our Banking is Unregulated and Wall Street is full of Crooks and Rascals.
OBAMA CAN DO NOTHING.
OBAMA WILL FAIL.
OBAMA HAS TO FIX 1. THROUGH 11. ABOVE TO REVIVE ECONOMY.
DEPRESSION IS COMING BY 2011. GET READY.
Guess Timmy spoke too soon. The market is not as naive as Obamabots. You cannot spend trillions, tax trillions, borrow trillions, expropriate billions, and invest millions and expect the market not to notice that the economy will not recover.
I'm reminded of Reagan's words (updated from Carter):
A recession is when your neighbor loses his job.
A depression is when you lose your job.
Recovery is when Obama loses his job.
We are not doing enough. Are we a nation, or a society? The only way is to socialize health care and (higher) education.
The country moved to the right during Reagan. Since then our standard of living has eroded as evidenced by the two income family is now the norm.
We have been losing our standard of living since we adopted Reaganomics. Taken to the extreme (Bush), we have the world-wide economic meltdown we are now seeing.
You don't need a phd in economics to figure this out, just look around you.
e sits enthroned above the circle of teh earth
and its people are like grasshoppers
He stretches out the heavens like a canopy
and spreads them out like a tent to live in
He bring princes to naught
and reduces the rulers of this world to nothing
No sooner are they planted
no sooner are they sown
than he blows on them and they wither
and a whirlwind seeps them away like chaff.
This economy will only see 'real' growth when this nation turns back to God.
LOL. Kind of unfortunate that the market shed around 200 points as he states that the market rally validates Obama's stimulus plans and policies.
Ouch. >> Wry smile <<
What happened to bringing jobs back to America?? That would definitely help our economy instead of printing money for us taxpayers to pay back. GIVE US OUR JOBS BACK!!!
Please stop telling that we are there and show us where....where are the improvement happing ? everything is deminishing jobs, peoples savings....except the Obamas' government is growing along with
the national debt....!!!!!!
lolol....what a bunch of clowns this administration is.....Geithner has been saying this for 4 months now. Obama is a total failure.
lol. What are you people talking about? It IS showing signs of recovery. The market is up by thousands of points since November. So it falls one day during the morning. By close, it could easily be in the positive. You people need to start paying attention.
The market is kind of like a cork bobbing in water. Its going up and down and up and down but eventually it will settle for a while. Its better than the plunge it was doing between November and April. Thats the way it works.
Everyone busy blaming either Democrats or Republicans fail to see how we got here.
Why did our steel industry tank?
Why don't we drill for oil anymore?
Why haven't we built a nuclear power plant in 30+ years?
Why do we outsource jobs?
Why do we import so many jobs?
Unions and environmental constraints. Simple answer.
While France has gone on to provide 80% of their electricity with nuclear reactors, we refuse to build additional facilitites. Are the French THAT anti-environment?
Several other things I could cite but don't have the space!
The spin of TURBO TIM is LAUGHABLE. These people under Obama Administration don't know how to read financial reports. FOREIGN DEMAND FOR US ASSETS FALLS! How's about that Tim? In fact foreign investors are now WORRIED investing in USA because NEW BORROWINGS of this administration is getting BIGGER AND BIGGER. With this kind of borrowing and PRINTING OF MONEY out of style will result to INFLATION (losing value of the dollar) and HIGH INTEREST RATE.
China and Japan are trimming their holdings of US TREASIURIES. they KNEW our US TREASURIES are WORTHLESS now. You all have Obama and the ENTIRE Democratic Party to thank for!
YUP! The DEMOCRAPS are SERIOUS in DESTROYING the US economy and the LIBTARDS are serious in helping them do it.
Geithner you better run along now playschool is over, your mentors Summers and Rubin and the rest of the bilderbergers are calling you.
What a joke. obama's going to sink the economy, just wait. CNN will provide the smoke and mirrors for obama though.