House bail out Vote failed by 23

[ALS]

There must have been a lot of Democrat's that saw the writing on the wall and bailed on Pelosi's pay off Wall street bill.

205 Yeh, 227 nay

Now Pelosi and company are trying to get eleven democrat's to change their votes to Yeh. I wouldn't if you want your job back in January.

[Damage control]

Stocks tumble as bailout plan fails in House
Monday September 29, 2:37 pm ET
By Tim Paradis, AP Business Writer
Stocks tumble as financial bailout plan fails in House vote; credit tightens further


NEW YORK (AP) -- Fear swept across the financial markets Monday, sending the Dow Jones industrials down as much as 705 points, after the government's financial bailout package failed the House.
As the vote was shown on TV, stocks plunged and investors fled to the safety of the credit markets, worrying that the financial system would keep sinking under the weight of failed mortgage debt.

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"Clearly something needs to be done, and the market dropping 400 points in 10 minutes is telling you that," said Chris Johnson president of Johnson Research Group. "This isn't a market for the timid."

While investors had some worries that the vote would be close, many investors appeared to believe it would ultimately pass.

The markets were highly volatile, with the Dow regaining ground then falling backing again, trading down 557.30, or 5.00 percent, to 10,585.83. At its low, it was down 705.06, not far from its previous record for an intraday drop, 721.56, set during the first trading day after the Sept. 11, 2001, terror attacks.

Broader stock indicators also tumbled. The Standard & Poor's 500 index declined 77.16, or 6.36 percent, to 1,136.11, and the Nasdaq composite index fell 146.66, or 6.72 percent, to 2,036.68.

The Federal Reserve declined to comment on the market's decline.

With Wall Street in turmoil, the yield on the 3-month Treasury bill fell to 0.32 percent from 0.87 percent on Friday. That showed that investors were prepared to get meager returns on an investment as long as it was secure.

Marc Pado, U.S. market strategist at Cantor Fitzgerald, said investors are worried about the spread of troubles beyond banks in the U.S. to Europe and other markets.

"Things are dying and breaking apart while they sit there and vote on this thing," he said.

The dollar fell against other major currencies, while gold prices rose.

Light, sweet crude fell $11.39 to $95.50 on the New York Mercantile Exchange as investors feared that a worsening economy would slice into energy demand. If the decline held, it would be oil's largest ever one-day drop.

Marc Pado, U.S. market strategist at Cantor Fitzgerald, said investors are worried about the spread of troubles beyond banks in the U.S. to Europe and other markets.

"Things are dying and breaking apart while they sit there and vote on this thing," he said.

Lawmakers' voted down a plan that was different than what the Bush administration had originally proposed. There were restrictions allowing Congress to limit how much of the money goes out the door at once. It also included caps on pay packages of top executives as well as assurances that the government also would ultimately be reimbursed by the companies for any losses. The Treasury would have been permitted to spend $250 billion to buy banks' risky assets, giving them a much-needed necessary cash infusion. There also would be another $100 billion for use at president's discretion and a final $350 billion if Congress signs off on it.

Wall Street found further reason for worry overseas. Three European governments agreed to inject Fortis NV with a $16.4 billion bailout. Fortis, with has headquarters in Brussels, Belgium and Utrecht, Netherlands, is Belgium's largest retail bank.

The British government, meanwhile, said it is nationalizing mortgage lender Bradford & Bingley, which has a $91 billion mortgage and loan portfolio. It was the latest sign that the credit crisis has spread beyond the U.S.

Japan's Nikkei stock average fell 1.26 percent. Britain's FTSE 100 fell 5.30 percent, Germany's DAX index fell 4.23 percent, and France's CAC-40 fell 5.04 percent.

DC ..................

[Koli01]

I find it very interesting that other countries appear to be having the same problem with the mortgage banks.

[Kaos]

Hopefully they keep rejecting it, even if the dow/nasdaq goes down.

Just because people are freaking out doesn't make it any better of a plan.

HOLD THESE COMPANIES RESPONSIBLE FOR THEIR MESSES NOT THE TAXPAYERS!

[Damage control]

Domino effect?


DC

[Koli01]

Hopefully they keep rejecting it, even if the dow/nasdaq goes down.

Just because people are freaking out doesn't make it any better of a plan.

HOLD THESE COMPANIES RESPONSIBLE FOR THEIR MESSES NOT THE TAXPAYERS!

Really! Isn't it supposed to be where they made bad business decisions and lose their asses. Someone else with capital comes in and buys them out. And things start anew?

[jahwarrior72]

Re: House bail out Vote failed by 23

23? there goes that creepy number again....

[Captain Tuttle]

23? there goes that creepy number again....

Huh, wait....what?

[billamj]

I find it very interesting that other countries appear to be having the same problem with the mortgage banks.

Probably because those banks bought the bad mortgages when they were packaged as mortgage backed securities. This is precisely why the idiots in Washington have to find some way to fix this mess. Because of international involvement we have to potential for a world-wide recession because of bad loans forced on banks by bad laws passed twenty plus, almost thirty, years ago.

[dc dalton]

I find it very interesting that other countries appear to be having the same problem with the mortgage banks.

Most of it is because they too bought these god awful packaged mortgages from the US. The world banking system is littered with them.

All I can say, whether they grew balls or were afraid for their jobs at least they killed that damn thing for now