The majority leader in the United States senate, Harry Reid, says negotiations on a deal to raise the US debt limit still have a way to go.
Mr Reid delayed a test vote on the Democratic debit limit increase in order to give negotiators more time to work out a compromise.
Earlier, Senate Republican leader Mitch McConnell and Republican House Speaker John Boehner expressed confidence a bipartisan deal could be forged after a week of bitter stalemate, but there has been no clear sign that an agreement is near.
The BBC reports that Mr Obama on Sunday met the two most senior Democratic congressional leaders and spoke by telephone to Republican leader in the Senate, Mitch McConnell.
Mr McConnell said the president must indicate what kind of compromise he is willing to sign.
The current limit on borrowing by the federal government is $US14.3 trillion. The deadline for Congress to act is 2 August.
Democrats and Republicans have so far rejected each others' proposals for cutting spending and raising the debt limit.
President Obama backs Harry Reid's proposal, which would cut $US2.2 trillion from deficits and raise the debt ceiling by $US2.7 trillion, meaning the issue would not have to be revisited until after the 2012 elections.
Mr Reid's deputy, Richard Durban, said: We're a long way from any kind of a negotiated agreement, but there is certainly a more positive feeling about reaching an agreement this evening than I've felt in a long time.
Proposals from both sides were rejected by the Senate and the House of Representatives on Friday and Saturday.
A BBC correspondent reports that Treasury is already drawing up emergency case plans in case a deal is not reached to raise the US debt limit by 2 August averting possible default.
