Bush to discuss financial market problems
President to comment around 11:10 am ET; he won't take questions
Lehman fails, Merrill sold
Sept. 15: The U.S. financial system is shaken up as Lehman Brothers files for bankruptcy and Merrill Lynch agrees to be sold to Bank of America.
NBC News and news services
updated 9 minutes ago
WASHINGTON - President Bush will address the volatile financial markets when he talks to reporters on Monday morning with the visiting president of Ghana, a White House spokesman said.
"You can expect the president to address the financial markets during his media availability this morning," said White House spokesman Tony Fratto.
Bush was to speak at 11:10 a.m. ET. He was not expected to take questions.
Earlier on Monday, Democrat Barack Obama laid into the administration's economic policies while rival John McCain called for a regulatory overhaul of the troubled financial sector.
Obama called the falls of Lehman Brothers and Merrill Lynch & Co. "the most serious financial crisis since the Great Depression" of the 1930s.
The Democrat is battling to overcome a significant boost in the polls for his opponent, who stunned Americans and solidified wavering support among his party's Christian conservative base with the choice of Alaska Gov. Sarah Palin as running mate. After trailing Obama throughout the run-up to both party conventions, McCain has pulled even or edged slightly ahead in national polling ? primarily riding the wave of Palin's initial popularity.
Deepening turmoil in the U.S. economy, the No. 1 issue among voters despite the ongoing wars in Iraq and Afghanistan, could resonate in Obama's favor as he tries mightily to link McCain to Bush, whose stewardship of the United States has left him with near-record disapproval ratings.
Campaign responses
McCain and Obama responded Monday to the news overnight that the investment banking firm Lehman Brothers, burdened by $60 billion in soured real-estate holdings, said it was filing for bankruptcy protection after attempts to rescue the 158-year-old institution failed. Its businesses in Britain were already placed in administration, said the administrator, accounting firm PricewaterhouseCoopers.
Also, Bank of America Corp. said it was buying Merrill Lynch & Co. Inc. in a $50 billion all-stock transaction.
In a statement issued shortly after 6 a.m. ET, Obama said he did not blame McCain, but "I do fault the economic philosophy he subscribes to. It's a philosophy we've had for the last eight years ? one that says we should give more and more to those with the most and hope that prosperity trickles down to everyone else."
"It's a philosophy that says even commonsense regulations are unnecessary and unwise, and one that says we should just stick our heads in the sand and ignore economic problems until they spiral into crises."
McCain said in a statement issued in advance of market openings that he agreed there should be no taxpayer-financed bailout of Lehman Brothers even as the investment banking giant faced the specter of liquidation.
"It is essential for us to make sure that the U.S. remains the pre-eminent financial market of the world. This will be a highest priority of my administration. In order to do this, major reform must be made in Washington and on Wall Street," McCain said in his statement.
Market shock
The demise of the independent Wall Street heavyweights came as shock waves from the 14-month-old credit crisis roiled the U.S. financial system six months after the collapse of Bear Stearns.
The world's largest insurance company, American International Group Inc., also was forced into a restructuring.
Financial turmoil was overshadowing a campaign that has grown increasingly nasty.
Earlier, Obama's campaign announced it would begin airing a new television ad that challenges McCain's campaign tactics ? questionable and, in some cases, untrue assertions about Obama, a first-term senator representing Illinois.
The commercial begins with videotape of McCain saying: "I will not take the low road to the highest office in this land," after which an announcer asks "What's happened to John McCain?"
The 30-second ad then quotes snippets of negative media commentary about the Republican's campaign tactics and concludes: "After voting with Bush 90 percent of the time proposing the same disastrous economic policies it seems 'deception' is all he has left." The word "deception" is attributed to The Washington Post.
The Obama campaign issued a statement defending the ad, saying it had been forced to call attention to McCain's tactics ? " ... one of the most dishonorable, dishonest campaigns Americans have ever seen."
President to comment around 11:10 am ET; he won't take questions
Lehman fails, Merrill sold
Sept. 15: The U.S. financial system is shaken up as Lehman Brothers files for bankruptcy and Merrill Lynch agrees to be sold to Bank of America.
NBC News and news services
updated 9 minutes ago
WASHINGTON - President Bush will address the volatile financial markets when he talks to reporters on Monday morning with the visiting president of Ghana, a White House spokesman said.
"You can expect the president to address the financial markets during his media availability this morning," said White House spokesman Tony Fratto.
Bush was to speak at 11:10 a.m. ET. He was not expected to take questions.
Earlier on Monday, Democrat Barack Obama laid into the administration's economic policies while rival John McCain called for a regulatory overhaul of the troubled financial sector.
Obama called the falls of Lehman Brothers and Merrill Lynch & Co. "the most serious financial crisis since the Great Depression" of the 1930s.
The Democrat is battling to overcome a significant boost in the polls for his opponent, who stunned Americans and solidified wavering support among his party's Christian conservative base with the choice of Alaska Gov. Sarah Palin as running mate. After trailing Obama throughout the run-up to both party conventions, McCain has pulled even or edged slightly ahead in national polling ? primarily riding the wave of Palin's initial popularity.
Deepening turmoil in the U.S. economy, the No. 1 issue among voters despite the ongoing wars in Iraq and Afghanistan, could resonate in Obama's favor as he tries mightily to link McCain to Bush, whose stewardship of the United States has left him with near-record disapproval ratings.
Campaign responses
McCain and Obama responded Monday to the news overnight that the investment banking firm Lehman Brothers, burdened by $60 billion in soured real-estate holdings, said it was filing for bankruptcy protection after attempts to rescue the 158-year-old institution failed. Its businesses in Britain were already placed in administration, said the administrator, accounting firm PricewaterhouseCoopers.
Also, Bank of America Corp. said it was buying Merrill Lynch & Co. Inc. in a $50 billion all-stock transaction.
In a statement issued shortly after 6 a.m. ET, Obama said he did not blame McCain, but "I do fault the economic philosophy he subscribes to. It's a philosophy we've had for the last eight years ? one that says we should give more and more to those with the most and hope that prosperity trickles down to everyone else."
"It's a philosophy that says even commonsense regulations are unnecessary and unwise, and one that says we should just stick our heads in the sand and ignore economic problems until they spiral into crises."
McCain said in a statement issued in advance of market openings that he agreed there should be no taxpayer-financed bailout of Lehman Brothers even as the investment banking giant faced the specter of liquidation.
"It is essential for us to make sure that the U.S. remains the pre-eminent financial market of the world. This will be a highest priority of my administration. In order to do this, major reform must be made in Washington and on Wall Street," McCain said in his statement.
Market shock
The demise of the independent Wall Street heavyweights came as shock waves from the 14-month-old credit crisis roiled the U.S. financial system six months after the collapse of Bear Stearns.
The world's largest insurance company, American International Group Inc., also was forced into a restructuring.
Financial turmoil was overshadowing a campaign that has grown increasingly nasty.
Earlier, Obama's campaign announced it would begin airing a new television ad that challenges McCain's campaign tactics ? questionable and, in some cases, untrue assertions about Obama, a first-term senator representing Illinois.
The commercial begins with videotape of McCain saying: "I will not take the low road to the highest office in this land," after which an announcer asks "What's happened to John McCain?"
The 30-second ad then quotes snippets of negative media commentary about the Republican's campaign tactics and concludes: "After voting with Bush 90 percent of the time proposing the same disastrous economic policies it seems 'deception' is all he has left." The word "deception" is attributed to The Washington Post.
The Obama campaign issued a statement defending the ad, saying it had been forced to call attention to McCain's tactics ? " ... one of the most dishonorable, dishonest campaigns Americans have ever seen."
