More will come out soon.
The US congress has voted down the bail-out bill because it was seen too much to help Wall St rather than the tax payer. More on this story as it comes in.
NEW YORK (CNNMoney.com) — The fate of the Bush administration’s $700 billion financial bailout plan was abruptly thrown in doubt Monday as a House vote turned against the controversial measure.
The next steps were not immediately clear but supporters were scrambling to put it up for another vote.
What was supposed to be a 15-minute vote stretched past the half-hour mark as leadership scrambled for support.
Investors who had been counting on the rescue plan sent the Dow Jones industrial average down as much as 700 points while watching the measure come up short of the necessary support, before rebounding slightly. The key stock reading was down more than 500 points.
The measure needs 218 votes for passage, but it came up 13 votes short of that target, as the final vote was 228 to 205 against. About 60% of Democrats voted for the measure, but less than a third of Republicans backed it.
President Bush is “very disappointed” by the House vote, his spokesman Tony Fratto said.
Congress men and women are coming together to try to save some of the bill and may have to renegotiate the whole thing, this could lead to Pelosi just to call a halt and then Congress leave until after the presidential election.