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Credit Crisis Update: Markets Gain as Congress Nears Agreement on Proposed $700 Billion Banking Bailout Package

Money Morning (September 25th, 2008) Writes:
The three-pronged assault on Congress by President George W. Bush, U.S. Federal Reserve Chairman Ben S. Bernanke and U.S. Treasury Secretary Henry M. "Hank" Paulson to push for speedy passage of the proposed $700 billion banking bailout package is making headway, causing investors to turn bullish in anticipation of federal intervention. By 10:45 a.m. in New York today (Thursday), all three major U.S. indices had huge jumps, as optimism that Congress would soon come to an agreement on the proposed bailout legislation buoyed U.S. markets. The blue-chip Dow Jones Industrial Average Index gained 195.62 points (1.81%), to trade at 11,020.79. The tech-laden Nasdaq Composite Index shot up 35.05 points (1.63%), to 2,190.73. And the broader Standard & Poor’s 500 Index rose 19.61 points (1.65%), to reach 1,205.48. That same optimism had the opposite effect on oil, putting downward pressure ...

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