President Obama cites progress in deficit reduction talks and urged republicans to agree to eliminate.

The great American President Barack Obama said that back-channel talks with congressional leaders last weekend have produced new progress in advance of a White House session Thursday on deficit reduction.Obama is siding with House Speaker John Boehner in insisting that negotiators resist the temptation to "kick the can down the road" and settle for a makeshift, short-term solution to stave off a first-ever U.S. default next month.

American President Obama

At issue is the need to raise the government's so-called debt limit to avoid a default on its obligations to bondholders and Social Security beneficiaries. Republicans want deficit cuts in the range of at least $2.4 trillion over 10 years to offset the amount of new government borrowing needed simply to avoid another vote before 2013.Obama met with Boehner on Sunday, the first session since Republicans last month abandoned negotiations being led by Vice President Joe Biden.

Joe  Biden told had produced a series of tentative understandings on potential spending cuts totaling at least $1.6 trillion under administration math and $2 trillion or more under GOP math. But negotiators say a true agreement on those cuts — to day-to-day agency operating budgets, defense, federal pensions and farm subsidies, among other things — would require further sacrifice in the political priorities of Democrats and Republicans alike.

President Obama urged Republicans to agree to eliminate "certain tax breaks and deductions for the wealthiest of Americans." The White House is pressing for the repeal of tax breaks enjoyed by the oil and natural gas industry and limits on deductions claimed by people in the 35 percent tax bracket.For that Obama is not calling for increases in tax rates on Tuesday. Boehner attacked the latter proposal as an assault on small businesses but was subdued on questions like oil and gas subsidies or a much-publicized tax provision that gives favorable treatment to companies that buy corporate jets."We're not dealing just with talking points about corporate jets or other 'loopholes,'" Boehner, R-Ohio, said. "The legislation the president has asked for, which would increase taxes on small businesses and destroy more American jobs, cannot pass the House, as I have stated repeatedly."

Then President said, "We've made progress, and I believe that greater progress is within sight, but I don't want to fool anybody. We still have to work through some real differences,".And Boehner said,"I'm pleased the president stated today that we need to address the big, long-term challenges facing our country,"