The Weather Report says rough seas ahead, mates.
Wall Street Journal
OCTOBER 2, 2008
Revised Bill Lets FDIC Borrow Without Limits
The Senate financial market rescue bill would temporarily allow the Federal Deposit Insurance Corp. to borrow unlimited amounts of money from the Treasury Department in connection with the larger government deposit coverage that would extend until the end of next year.
This is important because it would increase the backstop that the FDIC has to make sure that insured depositors can be repaid if their bank fails.
U.S. President George W. Bush will speak with lawmakers to bolster backing for the Senate's $700 billion market-rescue bill. The vote most likely will come after 7:30 p.m. EDT, according to an aide in Senate Majority Leader Harry Reid's office. The vote is being held after sunset in observance of the Jewish holiday Rosh Hashanah.
The vote most likely will come after 7:30 p.m. EDT, according to an aide in Senate Majority Leader Harry Reid's office...Senate lawmakers decided to take off the cap completely, authorizing the FDIC to request from the Treasury "a loan or loans in an amount or amounts necessary… without regard to limitations."
