We will get there - Obama

Democrat Barack Obama pivoted yesterday from the glow of a historic White House victory to the daunting challenge of leading a country mired in a deep economic crisis and two lingering wars.

The day after a sweeping election triumph that will make him the first black president in US history, Mr Obama faced the task of quickly building a new administration and defining his priorities for the formal takeover on January 20.

"The road ahead will be long. Our climb will be steep. We may not get there in one year or even one term, but America - I have never been more hopeful than I am tonight that we will get there," Mr Obama told more than 200,000 jubilant supporters in Chicago's Grant Park late on Tuesday.

Mr Obama led Democrats to a decisive victory that expanded their majorities in both houses of Congress, as Americans emphatically rejected Republican President George W. Bush's eight years of leadership.

Raucous street celebrations erupted across the country, but Mr Obama has little time to enjoy the triumph. Once in office, he will face immediate pressure to deliver on his campaign promises and resolve a long list of lingering problems.

Mr Obama has vowed to withdraw US troops from Iraq in the first 16 months of his term and to bolster US troop levels in Afghanistan, but his first task will be tackling the US financial crisis, the worst since the Great Depression.

World leaders will gather in Washington on November 15 for a summit on the global financial meltdown. The White House has said it does not expect the president-elect to attend, but Mr Obama has not yet stated his plans.

Reports released yesterday showed the US private sector jobs market deteriorated rapidly last month and the service sector contracted sharply, highlighting the economic challenges for Mr Obama.

Appearing in the White House Rose Garden, Mr Bush said he had spoken with Mr Obama and congratulated him on an "impressive victory" that represented a "dream fulfilled" for civil rights. He pledged his cooperation in the transition.

"During this time of transition, I will keep the president-elect fully informed on important decisions," Mr Bush said.

Mr Obama's planning for the takeover has been under way for weeks and he is expected to move quickly to fill positions such as Treasury secretary and secretary of state.

Mr Obama has reportedly asked Rahm Emanuel, a Democratic congressman from Illinois who served in President Bill Clinton's administration, to lead his White House as chief of staff.

Mr Obama's first morning as president-elect was spent in more prosaic duties. He had breakfast at home in Chicago with his two daughters, then headed to the gym for a workout. He planned a stop at campaign headquarters later to thank his staff.

The son of a black father from Kenya and white mother from Kansas, Mr Obama's triumph over Republican rival John McCain on Tuesday was a milestone that could help the United States move beyond its long struggle with racism.

Secretary of State Condoleezza Rice reflected the joy of many black Americans, calling Mr Obama "inspirational" and praising the United States for its ability to surprise.

"As an African-American, I'm especially proud, because this is a country that's been through a long journey, in terms of overcoming wounds and making race not the factor in our lives," Dr Rice told reporters.

"That work is not done, but yesterday was obviously an extraordinary step forward," she said.

Many world leaders welcomed Mr Obama's victory. Some hailed it as an opportunity to restore a tarnished US image; others urged him to help forge a new economic order. "Your election has raised enormous hope in France, in Europe and beyond," French President Nicolas Sarkozy said. Initial market reaction was muted. US stock indexes fell three per cent by midday yesterday as worries about the weakening economy returned to centre stage.

Americans celebrated in front of the White House to mark Mr Obama's win and Mr Bush's imminent departure. Cars jammed downtown Washington streets, with drivers honking their horns and leaning out their windows to cheer.

Thousands more joined street celebrations in New York's Times Square and in cities and towns across the country.

"This is a great night. This is an unbelievable night," US Rep. John Lewis of Georgia, who was brutally beaten by police in Alabama during a civil rights march in the 1960s, said at an Atlanta celebration.