Obama to speak out; Republicans rage

Markets remained stable on Thursday as investors await President Obama’s speech on job proposals detailing plans of boosting employment before a joint session of Congress.

President Obama is said to put forward a jobs package of an estimated $300bn amid US voter frustration over the country’s 9.1 percent unemployment.

The plan will outline measures to help create jobs swiftly, and improve wages for middle class households, while simultaneously trimming the deficit in the budget. It is expected to centre on schemes that encourage the hiring of workers for smaller businesses, an extension of a payroll tax cut for workers, and infrastructure expenditure.

Meanwhile, the Republican race got off to a significant start, as potential candidates Rick Perry and Mitt Romney clashed on jobs, healthcare, and social security. Whilst Romney supports social welfare, Texas governor Perry dismissed it as a ‘Ponzi scheme’, that young people will pay into but never reap returns.

Analysts argue that whilst Republicans presidential candidates argue amongst themselves about such crucial elements, President Obama will have breathing space to discuss tax credits and environmental regulation.