This has not been a good year for President Obama. His opinion poll ratings have fallen as worries about entrenched unemployment have risen.
Major European and US indices have dropped as the ECB revealed a key official was stepping down.
US President Barack Obama last night said the US government will unveil a "more ambitious" deficit reduction plan after urging lawmakers to pass a wide-reaching jobs creation programme worth an estimated $450bn.
The FTSE 100 dipped below the 5,000 mark this morning after a short-lived rally at the start of trading.
Credit rating agency Standard & Poor's has downgraded the US' prized AAA-rating for the first time ever.
President Barack Obama has announced a deal to end the US debt crisis, which will raise the nation's debt ceiling by at least $2.1trn and cut the federal deficit by as much as $2.5trn over a decade.
US and Asian markets fell overnight on fears the US government will fail to resolve its debt crisis, ahead of a crucial vote by the House of Representatives today.
Money market funds in the US are building up liquidity as fears of a downgrade or default on the nation's debt intensify ahead of debt ceiling vote.
M&G's head of retail fixed interest Jim Leaviss has warned the US will see its credit rating downgraded to AA shortly after next year's presidential election.