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U.S. President Barack Obama said he was "modestly optimistic" while making a statement on fiscal cliff negotiations following a meeting with Congressional leaders at the White House December 28, 2012 in Washington, DC. Obama and members of Congress continue to seek a solution to avert the possibility of large tax increases combined with deep spending cuts also known as the "fiscal cliff".
Now it's time for the Friday Flashback, our weekly wrap-up of the week's big news. Joining us from the offices of The Guardian newspaper in New York, Heidi Moore, U.S. finance and economics editor, and James Rainey, political columnist for the L.A. Times.