US shares have plunged on Wall Street as doubts emerged about the prospects for a massive 700-billion-dollar government plan to bail out the banking industry.
The Dow Jones Industrial Average slid 372 points, that's more than three percent, as markets forfeited the gains made from a big rally Friday. There is mounting opposition to the Bush admininstration's proposed bailout package to counter the financial crisis, including members of the Republican party in the Senate. Meanwhile America's two remaining major investment banks, Goldman Sachs and Morgan Stanley, have sought shelter with the Federal Reserve. The Fed approved a request to change the status of the banks to holding companies, which would bolster their liquidity by allowing them to create commercial banks.
(Deutsche Welle)
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