Obama's Bailout Package

The President Elect is working already! ^_^

While I was running my usual kilometers in the treadmill, I heard over CNN that Democratic Sen. Max Baucus of Montana, who chairs the Senate Finance Committee; hopes to schedule a vote for the stimulus package which would coincide with the week of the US President Elect’s inauguration in about two weeks. This is a nice way of putting public perception and publicity together in one package. It’s definitely a nice way to start the year with this historic President. The President elect will be talking some more over the resistance he is getting from his own Democrats in the senate because he surprisingly is getting “the treatment” from his own senators.

Federal Reserve Chairman Ben Bernanke said that a bigger planned stimulus package is being sought by President-elect Barack Obama and it could give the economy the much-needed lift, but other steps must be taken to strenghen the shaky financial system and for any recovery to be seen. I just hope they do this the soonest possible time.

We all know that he also plans to put tax cuts for workers but in these tough times people don't respond all that well to little changes because a $500 to $1000 dollars in the middle class is still too low. I wonder how it would really be of benefit to those who are still in debt. A lot of them can’t pay their house mortgages and have probably moved to a lesser expensive home. Some of them becoming homeless because aside from the higher rates they received, they lose their jobs. Banks that were supposed to bail them out in the first place caused all these problems. I don’t even know if the $3,000 tax credit for companies to hire or retrain workers is going to help that much because of the US’ lack of purchasing power these days. Sales have significantly also dropped last December which further strains their plans to recover soon.

Bailout Approved and Signed : Now We'll Wait!

President Bush shakes hands with Treasury Secretary Henry Paulson at the Treasury Department in Washington after the House passed the $700 billion financial bailout bill
(photo by Associated Press)

Now that Congress has acted upon this particular issue giving the US government the tools necessary to bring some stability into the marketplace, the wait begins for it's effect. Bush stated that without this, the country would have crashed their market placing not just them but the whole world in chaos. Being the largest that they are, most probably that will happen if it were not for this resolution.

Obama and McCain even got their act going and helped in this financial crisis. That's American enough! I mean its a good thing they did it, it was fair enough for both ends. Now Americans can be assured that their hard earned taxes are put to good use because their package included safety measures that would make sure everything gets accounted for. Some are afraid that only a chosen few businesses might earn with this and would not benefit the American public. John Boehner of Ohio said lawmakers knew that if they failed to act, the crisis probably would worsen and "put us in a slump the likes of which most of us have never seen", I guess nobody would wanna see that huh?! This bailout ensures federally insured deposits to rise from the original $100,000 to $250,000 making the ceiling value more viable for adjustments. America must take note of 33 Democrats and 25 Republicans switched from opposition to support which helped pass this bill which were conferenced call and persuaded by Obama and probably McCain as well. They even had groupies in the house, that comes with the newbies too. I just don't know if this will be a legacy BUSH will be proud of.

$700B bailout for US; Shucked by Congress (O_O)

Lehman Brothers suffered on this market downfall

Lawmakers yesterday disapproved the $700 Billion emergency rescue for the nation's financial system. Now people like me await what will happen to the world's largest economy. Just this morning I read that the Dow Jones plunged 777 points which has been the biggest drop in the country's chunk for a long time. Where does the US Government go now?... most probably back to the drawing board. When I arrived from gym this afternoon, even Europe markets came tumbling down and bailed out their own banks. I heard the British would also be helping the US banks to recuperate the funds they lost through stagnant real estate losses in the country's market. I'm sure even Ed McMahon understands how difficult this is... he almost lost his house remember?

Henry Paulson is not happy =/

Treasury Secretary Henry Paulson said after he and Federal Reserve Chairman Ben Bernanke joined in an emergency meeting to look for strategies that would resolve this crisis... and said that they need to put together something that really works! The Democrats hope that when they go back in session, that they would be able to put up what is needed and what would eventually be workable in all aspects. Good thing the Philippine banks don't have anything invested in that bank. We even had gains a few days ago as the OFW's valuable dollar surges this season. Thanks to that huh?! ^_^

Now, let's just wait for the congress to reconvene and fix this problem. Then hope the market does not continue to plunge into an unrecoverable state. The US cannot afford this huge kick in the shin. Time is of the essence, they need to do it fast too... I hope sometime soon.