Geithner says "hard stuff" ahead on fiscal talks

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Geithner says "hard stuff" ahead on fiscal talks
from MarketWatch.com - MarketPulse
WASHINGTON (MarketWatch) - While there was a "good tone" of the talks between President Barack Obama and congressional leaders, the "hard stuff" is still ahead, said Treasury Secretary Tim Geithner, on Friday. In an interview on Bloomberg Television's "Political Capital with Al Hunt," Geithner said the first step between the two sides will be to have a "common assessment" of the amount of revenue and spending cuts will be needed to get the deficit on a sustainable path. Geithner's comments mirror positive remarks made by congressional leaders following Friday's meeting at the White House. "This is within our grasp," he said. Geithner dismissed suggestions that the lame-duck session could make progress on the deficit. He said the goal was a "framework agreement." "What we're trying to do is make sure we do some things upfront that help the economy, avoid damage to the economy, lock in some upfront savings that help restore fiscal sustainability, and set up a process for reaching agreement on the additional savings we are going to need," Geithner said. He refused to talk specifics, saying that would damage chances of an agreement. But he rejected a proposal that the two sides extend all the Bush tax cuts for six months to give negotiators time to make a deal.