Washington, D.C. ? President Barack Obama says he hopes U.S. troops can identify moderate elements of the Taliban and move them toward reconciliation.

Asked in an interview with The New York Times if the United States is winning in Afghanistan, Obama said “no,” while adding “our troops are doing an extraordinary job in a very difficult situation.”

“But you’ve seen conditions deteriorate over the last couple of years. The Taliban is bolder than it was. I think … in the southern regions of the country, you’re seeing them attack in ways that we have not seen previously,” Obama said in the interview, which was posted Saturday on the Times’ Web site.

“The national government still has not gained the confidence of the Afghan people,” he said. “And so it’s going to be critical for us to not only get through these national elections to stabilize the security situation, but we’ve got to recast our policy so that our military, diplomatic and development goals are all aligned to ensure that al-Qaida and extremists that would do us harm don’t have the kinds of safe havens that allow them to operate.”