Wednesday, 4 Nov 2009 | Source: The Associated Press
JPMorgan Chase has agreed to a settlement worth more than $700 million over federal regulators' charges that it made unlawful payments to friends of public officials to win municipal bond business in Jefferson County, Ala.
On the last day of Sept. 2008, one of the wildest, scariest months in U.S. financial history, the Wall Street-Washington roller-coaster starts climbing again.
As events go, Saturday seems more sedate than it has in weeks. But it's a false calm, as Washington scrambles to find common ground on a financial rescue plan.
The Securities and Exchange Commission spends a lot of time and money trying to discover insider trading in stocks. But when it comes to structured financial products — the funny securities that were at the heart of the financial crisis — it has just adopted a proposal that will facilitate such trading, says the NYT's Floyd Norris.
Pres. Bush goes on TV Thursday and urges Congress to quickly pass a $700 billion rescue package for the U.S. financial system. Key lawmakers say they've reached an agreement, in principle, on the major parts of the plan.
Paulson, Bernanke back on Capitol Hill to sell the bailout. Fed coordinates with Australian and Scandinavian central banks to keep global finance running. Goldman Sachs sells $5 billion in common shares.
Treasury Secretary Hank Paulson and Fed Chairman Ben Bernanke head to Capitol Hill to sell the $700 billion bailout plan. Warren Buffett invests $5 billion in Goldman Sachs. WaMu talks to suitors about a takeover.
Euphoria fades Monday as the market digests previous days' events. Japan's Mitsubishi seeks a piece of Morgan Stanley—killing hopes for a Morgan/Wachovia merger. And NYSE adds 30 stocks to the "no short" list.
The Bush administration and Congress step up talks Sunday on an historic $700 billion bank bailout — racing the clock to stem further financial market turmoil.
Saturday begins another weekend of little rest for Wall Street or the U.S. government. A gigantic financial rescue plan is going to Congress. Democrats seek changes to the bill — including help for homeowners and a salary cap for CEOs. If the plan is approved, the government could purchase as much as $700 billion in mortgage-related assets from U.S.-headquartered institutions.
The Treasury plans to re-create the Resolution Trust Corporation. Calpers says it will no longer loan out shares of Goldman Sachs and Morgan Stanley to short sellers. Central banks worldwide announce plans to support money markets.
AIG makes a deal with the Fed for loans up to $85 billion in exchange for a 79.9 percent stake in the insurer. Barclays buys several Lehman businesses for $1.75 billion. WaMu is for sale. And the SEC announces rules against naked short selling.
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