Asia Correspondent Paul Eckert reports that the assassination of Benazir Bhutto has put the United States in a difficult position as it seeks a stable, democratic partner in the fight against Islamic extremism in Pakistan. Analysts warn of potential consequences such as widespread riots and the risk of Pakistan becoming a nuclear-armed, unstable Islamic state. Financial investors are concerned about the increased political risk in the region. Stephen Cohen of the Brookings Institution believes Bhutto's death is a setback for the idea of a liberal, moderate Pakistan and fears for the country's future and its impact on neighboring countries, Europe, and the United States. Cohen stated that it is likely too late for the United States to take any significant action as they had previously focused all their support on President Musharraf, disregarding Benazir's requests for recognition until recently. The United States had heavily invested resources and political influence in facilitating the return of Benazir Bhutto to Pakistan and negotiating a power-sharing agreement with Musharraf. However, according to South Asia expert Frederic Grare, Washington now faces multiple challenges, including a setback in the prospects for a democratic transition and an increased risk of terrorist attacks. Additionally, there have been instances of assassination of leaders from mainstream political parties. He stated that this weakens the political parties and does not bode well for the restoration of democracy in Pakistan. President George W. Bush urged Pakistanis to honor Bhutto's memory by continuing with the democratic process she fought for. U.S. officials hope that Pakistan will proceed with the planned elections on January 8. Security analyst Anthony Cordesman noted that Bhutto's death has exacerbated an already unstable political situation, as there is currently no leader who can effectively work towards political stability, legitimate elections, rule of law, and bridging the gap between Musharraf and the Pakistani people. Analysts cautioned that in a country known for conspiracy theories and intense politics, blame would be placed on various parties following the assassination, leading to possible violence fueled by grief and anger. Lisa Curtis from the Heritage Foundation emphasized the importance of maintaining peace in Pakistan, advising against imposing emergency rule as a solution. Some analysts also questioned Musharraf's ability to effectively combat terrorism, highlighting the failure to protect a prominent politician in a relatively safe city as evidence of potential challenges in dealing with militant groups in remote tribal regions. Win Thin, a senior currency strategist at Brown Brothers Harriman & Co, inquired about the security of Pakistan's nuclear arsenal during crises. U.S. officials maintained that the weapons were secure, despite recent turmoil. Cordesman of CSIS mentioned that Pakistan had received U.S. assistance and studied other countries' policies to enhance safety at its nuclear facilities. However, he questioned whether there was enough transparency for outsiders to confidently assess the security of Pakistan's nuclear weapons without discrediting themselves.