President George W. Bush sought to reassure financial markets on Wednesday that his Social Security reform proposals, which could cost up to $2,000bn over the next decade, would not worsen the US budget deficit or further weaken the dollar.

As the White House convened a two-day gathering of cabinet officials, business leaders and academics to build the case for fundamental reform of the domestic economy, Mr Bush said he planned to address the fall of the dollar against the euro by working aggressively with Congress to bring down the deficit.