WOODEN ARROW BAILOUT?

(Newser) - Leaders and lobbyists are scrambling to marshal support for the revamped bailout bill before it returns to the House at midday today, the Washington Post reports. Democratic and GOP chiefs believe they can sway enough votes to swing it—although only a few have switched so far. Some Republicans who backed it the first time around are considering nixing it this time, annoyed by the tacked-on special-interest tax breaks. More »

(Newser) - Last night's bailout vote featured a moment of campaign drama on the Senate floor, the New York Times notes. Barack Obama, who arrived in the chamber at 5pm, crossed the aisle to greet John McCain when he arrived about three hours later. Their handshake lasted barely a second, as McCain offered a cold stare and a turn of his head. More »

(Newser) - Mounting fears that the credit crisis and continually worsening economic data will push a stagnant US economy into a severe recession has spurred the Federal Reserve to consider cutting interest rates from their current 2%, the Wall Street Journal reports. Even if the House follows the Senate in passing the $700 billion bailout, some action is likely. More »

(Newser) - By resoundingly passing its version of the bailout bill, the Senate has ratcheted up the pressure on House leaders to go along with the plan, the Swamp reports. “We’re going to fix the problem this week,” promised Mitch McConnell. The new bill more than doubles the FDIC insurance cap and eliminates the Alternative Minimum Tax, provisions expected to be a hit with House Republicans. More »

(Newser) - Senate approval of the bailout bill wasn’t enough to calm investors this morning, as the Dow posted a modest 51-point decline. Driving the pessimism was a report that new jobless claims have hit a new 7-year low, the Wall Street Journal reports. The S&P and Nasdaq each fell 0.6%. “The market doesn't like uncertainty and that's what we’re focusing on right now,” said one strategist. “We're playing wait-and-see.” More »

(Newser) - The Senate overwhelmingly passed a historic $700-billion bill tonight to salvage the US economy, MSNBC reports. Senators backed the measure 74-25, hailing changes to the House measure that would aid the middle class and small businesses. Senate leaders said they hoped their bill would persuade House members to get on board, and save a financial system that has been crippled by the credit crisis. More »

(Newser) - The presidential candidates took a break from stumping today to visit Washington, DC, and support the Senate's financial bailout plan, the New York Times reports. Barack Obama repeated his pro-bailout argument on the Senate floor, saying that "the worldwide economy could be plunged into a very, very deep hole." He admitted earlier today that the plan was "not perfect," but necessary to "prevent a crisis." More »

(Newser) - The Senate version of the bailout bill has ballooned to more than 400 pages as legislators flesh out details in hopes of gaining passage as soon as tonight, Politico reports. The marquee measure boosts FDIC coverage of individual accounts from $100,000 to $250,000, with numerous lower-profile provisions intended to speed passage and increase pressure on the House to get moving. More »

(Newser) - In America the financial crisis has dealt yet another blow to an already unpopular President Bush. But in Britain, collapsing banks and volatile markets are the best thing to happen to Gordon Brown in recent months. In reasserting his global economic know-how, the prime minister, who is reportedly preparing an American-style bailout, has seen his once dismal poll numbers climb fast, reports the Daily Mail . More »

(Newser) - Stocks started off on the wrong foot this morning as investors awaited smoke signals from Congress. The Dow dropped 122 points, while the S&P and Nasdaq fell 1.3% and 0.9%, respectively. The session is likely to be a volatile one, with the Senate’s expected bailout vote tonight seen as a major turning point. “Given the political capital invested by all sides, we think that ultimately a deal will be reached,” said one strategist. More »

(Newser) - When FDR became president, writes David Brooks, his first priority was to give Americans faith in their leadership, to show that someone was running the show. Now that the US is facing the greatest financial crisis since the Depression, today's political leaders "have failed utterly and catastrophically to project any sense of authority, to give the world any reason to believe that this country is being governed." More »

(Newser) - Stocks were down in Europe and Asia today amid fears of a global recession despite the massive government bailout being arranged in the US. Europe's Dow Jones Stoxx 600 Index dipped for a second day, falling 1.8% in early trading, Bloomberg reports. Barclays fell 3.6% and Australia's Macquarie Group Ltd.dipped 4.5%. The MSCI Asia Pacific Index dropped .6%, ending a two-day rally. "The problems aren't resolved," warned one analyst. More »

(Newser) - The European Central Bank is promising another $40 billion influx of cash to help shore up fluttering money markets among banks on the continent, reports the AP. The ECB said it will announce its lending rate and the number of bidders later today. More »