Obama says encouraged by Republicans who oppose government shutdown

U.S. President Barack Obama voiced optimism on Wednesday that a government shutdown can be avoided in coming weeks, pointing to comments from Republican leaders of Congress who oppose a budget showdown.

In wide-ranging remarks at the Business Roundtable, Obama said he believed it is possible to get an agreement for comprehensive tax reform legislation next year with the new Republican Congress that takes power in January.

Obama also said weakness in the economies in Japan and Europe could impact the U.S. economy. He said he has discussed the possibility of allowing some American companies overseas to bring home some U.S. dollars as part of a one-time transaction.

Obama said there are enormous potential areas for compromise with the Republican Congress, mentioning tax reform, trade and paying for infrastructure projects that would create jobs.