President Obama summons leaders to White House for debt talks

President Obama summoned Republican and Democratic congresssional leaders together Saturday for a new round of talks aimed at averting a U.S. debt crisis.

With the deadline to avoid a potentially catastrophic default less than two weeks away, the president appeared visibly frustrated that the two sides were still at an impasse.

House Speaker John Boehner (R-Ohio) threw the negotiations into further crisis Friday by walking out of talks but retued to the White House Saturday moing.

He insisted he is sticking to his demand for spending cuts greater than the size of an increase in the U.S. debt limit.

Senators Harry Reid (D-Nev), Mitch McConnell (R-Ky) and Rep. Nancy Pelosi were also summoned to the 11 a.m. meeting.

"We have run out of time and they are going to have to explain to me how it is that we are going to avoid default," Obama said as Boehner maintained it was the president who was causing the deadlock.

"It's the president who walked away from his agreement and demanded more money at the last minute," Boehner said.

"And the only way to get that extra revenue was to raise taxes."

As the deadline looms and the drama intensifies, both sides continue to insist they do not want to see a default.

Yet, for the first time, Obama refused to give any assurances the two sides could come to an agreement in time, although he followed up a few moments later by saying he felt confident.

If no agreement is reached by Aug. 2, interest rates could rise, threatening the U.S. economic recovery and a wider global crisis.

In his weekly radio and inteet address, Obama urged the Republicans to make a deal.

"We can come together for the good of the country and reach a compromise," he said.

"We can strengthen our economy and leave for our children a more secure future ... or we can issue insults and demands and ultimatums at each other, withdraw to our partisan coers and achieve nothing."

Obama is hoping for legislation that gives the Treasury enough borrowing authority to see the govement through to 2012.

Republicans aides say the president has also upped his demands for higher taxes to deal with the shortfall.

Republicans meanwhile said the emphasis needed to be on cutting govement spending.