This article is from the source 'bbc' and was first published or seen on . It will not be checked again for changes.
You can find the current article at its original source at http://news.bbc.co.uk/go/rss/-/1/hi/business/7647662.stm
The article has changed 20 times. There is an RSS feed of changes available.
Version 7 | Version 8 |
---|---|
US shares expected to open lower | |
(40 minutes later) | |
US shares are expected to open lower on Thursday with investors cautious over whether the House of Representatives will back the revised bank rescue plan. | |
The House is due to discuss the scheme later, with a vote expected on Friday. The bill successfully passed through the US Senate on Wednesday. | |
In Europe, shares rose as France said it would host a summit on the global financial crisis on Saturday. | |
The UK's FTSE 100 index was up 0.7%, while France's Cac had gained 0.3%. | |
European talks | European talks |
The office of French President Nicolas Sarkozy said the special meeting would discuss a co-ordinated response to the financial turmoil amongst European members of the G8 ahead of a meeting of world finance leaders in Washington next week. | |
UK Prime Minister Gordon Brown is due to attend, together with German Chancellor Angela Merkel, Italian Prime Minister Silvio Berlusconi and European Central Bank President Jean-Claude Trichet. | |
Investors are still concerned about the efficiency of this rescue plan and how it can help the global economy Aric Au, Phillip Securities | Investors are still concerned about the efficiency of this rescue plan and how it can help the global economy Aric Au, Phillip Securities |
But with just two days to go before the talks start, EU members are deeply divided, the BBC's Paris correspondent Emma-Jane Kirby said. | But with just two days to go before the talks start, EU members are deeply divided, the BBC's Paris correspondent Emma-Jane Kirby said. |
France and Holland favour a European response to help banks hit by the credit crisis while Germany and Luxembourg believe a joint rescue plan is not necessary. | |
European leaders have denied speculation that they wanted to establish a unified 300bn euro ($418.4bn; £236bn) banking rescue deal along the same lines as the US plan. | European leaders have denied speculation that they wanted to establish a unified 300bn euro ($418.4bn; £236bn) banking rescue deal along the same lines as the US plan. |
The rescue idea was said to be being proposed by France, but Mr Sarkozy insisted that there were no such plans. | The rescue idea was said to be being proposed by France, but Mr Sarkozy insisted that there were no such plans. |
"I deny both the amount and the principle [of such a plan]," he said. | "I deny both the amount and the principle [of such a plan]," he said. |
'Essential' | 'Essential' |
In the US, a number of changes have had to be made to their US$700bn (£380bn) bail-out plan in order to help win over opponents . | In the US, a number of changes have had to be made to their US$700bn (£380bn) bail-out plan in order to help win over opponents . |
Senator Harry Reid expects the House of Representatives to approve the bill. | Senator Harry Reid expects the House of Representatives to approve the bill. |
These include raising the government's guarantee on savings from $100,000 to $250,000, tax breaks to help small businesses, expansion of child tax credit, and help for victims of recent hurricanes. | These include raising the government's guarantee on savings from $100,000 to $250,000, tax breaks to help small businesses, expansion of child tax credit, and help for victims of recent hurricanes. |
President George W Bush said that the package was "essential to the financial security of every American". | President George W Bush said that the package was "essential to the financial security of every American". |
However, economists said doubts remained about how effective the package would be. | However, economists said doubts remained about how effective the package would be. |
"Investors are still concerned about the efficiency of this rescue plan and how it can help the global economy," said Aric Au of Phillip Securities in Hong Kong. | "Investors are still concerned about the efficiency of this rescue plan and how it can help the global economy," said Aric Au of Phillip Securities in Hong Kong. |
McCain and Obama | McCain and Obama |
US presidential hopefuls John McCain and Barack Obama, who both returned from the campaign trail for last night's Senate debate, voted in favour of the rescue plan. | US presidential hopefuls John McCain and Barack Obama, who both returned from the campaign trail for last night's Senate debate, voted in favour of the rescue plan. |
Senate majority leader Harry Reid, a Democrat, said he was happy with the result and praised both presidential candidates for voting. | Senate majority leader Harry Reid, a Democrat, said he was happy with the result and praised both presidential candidates for voting. |
"I think it shows that when we work together we can accomplish good things," he said. | "I think it shows that when we work together we can accomplish good things," he said. |
Mitch McConnell, leader of Republican senators, was also in jubilant mood. | Mitch McConnell, leader of Republican senators, was also in jubilant mood. |
"This was a measure that was much needed, to unfreeze the credit markets and get America's economy working again," he said. | "This was a measure that was much needed, to unfreeze the credit markets and get America's economy working again," he said. |