U.S. Futures Slip Amid Economic Worries
http://www.marketwatch.com/news/story/us-stock-futures-lower-amid/story.aspx?guid={E9014660-B15E-4876-BE8A-D83DB50C1545}
By Steve Goldstein, MarketWatch
LONDON (MarketWatch) – U.S. stock futures dropped Thursday as the Senate passage of the bailout package wasn’t enough to counter concerns about economic woes amid rising jobless claims and a profit warning from Marriott International.
S&P 500 futures fell 14.5 points to 1,153.40 and Nasdaq 100 futures dropped 21.75 points to 1,557.00. Dow industrial futures lost 135 points.
U.S. stocks ended Wednesday with mild losses amid negative auto and manufacturing news after two volatile sessions. The Dow industrials ended 19 points lower, the Nasdaq Composite fell 12 points and the S&P 500 lost 3 points.
The Senate fairly easily approved a revised $700 billion U.S. plan to stabilize the financial industry, just two days after the House of Representatives rejected it.
The House may now consider it on Friday, according to House Majority Leader Steny Hoyer.
The revamped Senate bill sticks to the core plan developed by Treasury Secretary Henry Paulson and Federal Reserve Chairman Ben Bernanke to have the government buy and hold toxic mortgage assets, freeing up funds for banks to begin lending again. It gives Paulson the $700 billion in phases, with $250 billion up front, then $100 billion pending presidential approval and another $350 billion pending congressional approval.
Meanwhile, the Securities and Exchange Commission said it would extend the short-sale ban to as long as Oct. 17 - or up to three business days after the passage of the bailout plan– but won’t make it permanent.
October 2nd, 2008 at 8:49 am
The bill before congress today will benefit bankers.
200 leading economist have ask out leaders to consider other options that will work to help begin the process of restoring our economy.
I hope all of you will ask your congressmen to vote No on this bill thereby encouraging our leaders to consider other solutions that will strengthen our economy.
This bill main purpose is to benefit rich bankers. Say NO to GREED and vote for America.
October 2nd, 2008 at 8:56 am
This might give a little validity to my argument this will only benefit the rich.
http://www.oftwominds.com/blog.html
October 2nd, 2008 at 9:13 am
Tracey,
Very good article. Thx!
October 2nd, 2008 at 10:09 am
Dave Ramsey has some more common sense alternatives:
http://www.daveramsey.com/media/pdf/the_common_sense_fix.pdf
October 2nd, 2008 at 11:10 am
Upon the collapsing of Fannie Mae /Freddie Mac some leaders in China let it be known that they expected the US to back the Mortgage based securities that China was backing with US bonds. Even though the Mortgage Based Securities were issued with a statement that these Mortgages were not backed by the US government, China implied they would stop funding our treasury. Because the US is in deep debt they feel it necessary to yield to China’s demand to back Mortgage based securities. If I were China I would do the same thing to protect my financial situation but my point here is the US is not under any contractual agreement to back these securities, we are simply at there mercy.
October 2nd, 2008 at 12:44 pm
Tracey,
Now you know . . .
October 2nd, 2008 at 1:32 pm
Stephen,
I am sure we could handle the problem with China separately and begin to work on the US economic with a more conservative approach.
October 2nd, 2008 at 1:34 pm
Kill the Bill
http://michellemalkin.com/2008/10/02/kill-the-bailout-operation-hold-the-line/
October 2nd, 2008 at 1:38 pm
McCain pulling out of Michigan:
http://www.politico.com/blogs/jonathanmartin/1008/McCain_pulling_out_of_Michigan.html
October 2nd, 2008 at 1:49 pm
Obama and McCain cut ads in Missouri:
http://politicalticker.blogs.cnn.com/2008/10/02/obama-mccain-cutting-commercials-in-missouri/?eref=politicalflipper
October 2nd, 2008 at 2:22 pm
Michigan would still be in play if McCain had made a better choice for VP. Are we (finally) watching the beginning of the end for McCain (and country)?
October 2nd, 2008 at 2:28 pm
Frozone,
It looks like this could very well be the beginning of the end. I’m a pragmatic person and the reality is that McCain should be focused primarily on VA, CO, NM, NV, and OH. Every single one of those states went to Bush in 2004. McCain has to stop wasting his time in places like Iowa and Pennsylvania where he doesn’t have a shot.
However, as we have seen for every single month except for August the McCain campain has no idea what it’s doing.
October 2nd, 2008 at 2:31 pm
Tracey,
The World Is Curved, by David Smick
This is a good book to provide a basis of what appears to be unfolding in the financial markets. David Smick has penned a well written book that details how the global financial market, mortgage backed securities and Japan, amongst other things, affect the global financial market.
I found it to be eye opening. It is worth a read and will answer many questions that you have asked.
Smick also looks at Russian, Chinese, Saudi, and Dubai sovereign wealth funds versus the United States, Europe, and Japan and how this is affecting the various big money funds throughout the world.
http://www.amazon.com/World-Curved-Hidden-Dangers-Economy/dp/1591842182
October 2nd, 2008 at 2:32 pm
I should note that this book was published before the recent crisis unfolded. He called well before hand and is mostly accurate.