FOREX WORLD TREND

U.S. President Barack Obama is defending a proposed new agency designed to protect American consumers against deceptive practices by the financial services industry.

In his weekly address Saturday, Mr. Obama says a breakdown in government oversight led to an "epidemic of irresponsibility" from Wall Street to Washington, ultimately triggering the current economic crisis.

The president proposed a set of new regulatory reforms earlier this week, including a new Consumer Financial Protection Agency. He says the new agency will have the power to set tough new rules to force companies to offer innovative products that Americans can understand.

Mr. Obama says his proposals are facing strong opposition from the business community. But he warns that he is ready to fight them to prevent a similar crisis from happening again.

In their weekly address, opposition Republicans are strongly criticizing Democratic efforts to overhaul the U.S. health care system. Senate Republican leader Mitch McConnell argues that the Democratic proposals would lead to higher deficits and hurt the economy.

He referred to a recent study by the Congressional Budget Office that two competing Democratic plans would cost over $1 trillion over 10 years.