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US Lawmakers reject $700bn bailout

The House of Representatives has voted 228 to 205 against the US Government’s $700bn bailout plan to buy toxic debt from the banks.

The news sent global stock markets tumbling, with the Dow Jones taking its biggest one-day hit in history, plunging by 7%. The FTSE fell by almost 270 points to its lowest level since April 2005.

 

President Bush said a rejection of the bailout would lead of a recession so it’s back to the drawing board to try to come up with another plan.

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Date: 29th, September, 2008

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