Washington – The fate of a $700 billion Wall Street bailout remained unclear as a White House meeting of both parties ended without an agreement and some participants said talks had hit a major snag and may even be dead.
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A person close to presidential candidate John McCain said “there is no deal”—a sentiment echoed by sources close to some Democrats involved in the negotiations.
The uncertainty followed a turbulent day in Washington, with some officials asserting that an agreement in principle had been reached, only to be contradicted moments later by other lawmakers.
The source close to McCain told CNBC that the agreement as it has been described publicly by Congressional and Senate staffers is “dead.” However, McCain will work with Congressional staffers tonight to craft a deal, the source said.
Meanwhile, a source close to Democrats in the negotiations described the deal late Thursday as “cratering.” The Democrats also plan to continue work into the night, the source said.
President Bush convened the meeting at the White House Thursday afternoon to hammer out an agreement on the bailout. The president urged lawmakers to work out a deal soon.
“We’re in a serious economic crisis in the country if we don’t pass a piece of legislation,” Bush said at the beginning of the meeting. “We know we’ve got to get something done as quickly as possible. My hope is that we can reach an agreement very shortly.”
The president was flanked by Democratic and Republican House and Senate leaders as well as the two presidential candidates, Sens. John McCain and Barack Obama.
In a dramatic turn, GOP Sen. Richard Shelby emerged from the White House meeting o say: “I don’t believe we have an agreement.”
If the “Deal” fails we will soon have a “Depression” big time!
the democrats want the “deal” to fail because if it does and we go into a “Depression” as Anon 8:53 says there is a bigger chance for Obama to win. A bad economy is always GOOD for the party NOT in power.
Raboisai, it’s already the end of elul… im lo achshav – eimosai???!!!
This is actually good for me, because this will cause the markets to decline tommorow thus causing the US-BILL to decline as well. I need the T-bill down so I can rate lock several deals.
The experts agree that as long as these top-executives get to keep their salaries plus commissions, no deal should be struck. The nerve of them, and the arrogance, of letting this fiasco come to pass and think that they deserve to keep all their billion-dollar-bonuses while the Mom and Pop tax payers foot the bill for the next millennium? I too hope this deal goes sour and gets them fired!!!
If that in turn collapses Wall Street, it would be sad indeed, but what else will teach responsibility???
It seems some of you dont understand the meaning of giving the govt 1 trillion dollars to do with it as they please. For one it means WE are all stuck with it by paying higher taxes. Most of us are already taxed at a rate of 33%. Do we want to pay more taxes? Have we forgotton what taxes were like untill President Reagan brought them down into the upper 20% range? We were upwards of 70% of our income going to taxes. I like my money and I dont want to share. There must be INDEPENDANT oversight. This EXCLUDES anyone in the govt or related.
HaShem should protect us!
In G-d we trust
Oy Gevald,
It’s not the financiers fault. It’s multiculturalism run amok. Barney Frank and his partners in crime forced the financial firms to finance mortgages for minorities and illegal aliens that had no means of paying it back. They threatened the companies that didn’t want to give these deadbeat mortgages with lawsuits claiming discrimination.
These same scoundrels now wanted to take 20% of the bailout money for the SAME types of programs. Put the blame where it belongs.
There’s nothing to worry about. John McCain says the economy is strong.
Both parties are at fault and the issue is not political (i.e. high CEO pay, housing programs for minorities/poor.) It’s fundamental economics that the morons in DC can’t grasp. You can prop up an economy with easy credit (low interest rates,) but you can’t do so forever. This crisis was overdue. And pouring more money in the system will only postpone and worse the eventual collapse. Turn off the talk-radio idiots and read some history. These kind of bubbles have been happening for CENTURIES. It didn’t first happen in 1929 or the 1990’s tech bust.
The gov’t/Fed must allow all the rotten loans die and raise interest rates which will prevent inflation, cause house prices to drop to affordable levels so normal people can but a home without having to take out risky loans- which is what got us into the mess in the first place.
The truth hurts. The economy is in total shambles and the govt. can not do anything about it. This 700 billion is just a drop in the bucket of what they really need.
Now ,that R”Hashana is coming, the only eitza is to daven to the only one that could help.
This Bailout costing almost 1 trillion dollars will equal $3,500 for every man woman and child in the country. before you go on screaming about the necessity of a socialist government bailout – ask yourself in you have a spare $3,500 to dish out to an untrustworthy government with no oversight in order to bailout a few failing corporations that made bad choices.