Commodity Online WASHINGTON: US President George Bush is trying it again, desperate to get rid of the worst fears haunting him — Americans begging on the streets for financial aid.
First rejected by the US Congress, the $700 billion bailout plan chalked out by the Bush administration, authorizing the government to buy troubled assets from financial institutions rocked by record home foreclosures, is sent to the Congress again on Thursday for approval by the Senate.
During a meeting, the Senate approved 74-25 the bailout package on Wednesday night. The revised package contains two provisions favored by House Republicans: One raises the limit on federal bank-deposit insurance; the other reiterates the authority of securities regulators to suspend asset-valuing rules that corporate executives blame for fueling the crisis.
The Bill’s proponents cited the record 778-point drop in the Dow Jones Industrial Average after the House’s 228-205 defeat of the legislation September 29 as evidence of the urgency to stabilise the banking system.
Asian stocks and US futures fell on concern the package won’t be enough to avert a recession.
Democratic supporters of the Bill are targeting lawmakers such as Illinois Representative Bobby Rush, who twice changed his vote in the House roll call. Rush ended up being among the 21 members of the Congressional Black Caucus to oppose the legislation. The caucus scheduled a meeting on Thursday to discuss the changes made by the Senate.
