Bush Praises Senate Passage Of Bailout

President George W. Bush praised the Senate for approving a financial bailout and called on the House to do the same.

Senate Passes Bailout |Wall Street Turmoil

In a statement released following Wednesday night's vote, Bush said he believes members of both parties in the House can support the legislation. He said the American people expect and the economy demands that the House passes the bill.

In the final vote, 40 Democrats, 33 Republicans and independent Sen. Joe Lieberman of Connecticut voted "yes." Nine Democrats, 15 Republicans and independent Sen. Bernie Sanders of Vermont voted "no." Sens. John McCain and Barack Obama cast "aye" votes.

Obama used the opportunity before his colleagues and TV cameras to lay out his rationale and explain his economic vision. But McCain didn't speak about the measure from the chamber.

McCain's chief of staff said, the Arizona lawmaker worked hard with his colleagues on the legislation and "didn't see the need to speak on the bill."

The rescue package would allow the government to spend billions of dollars to buy bad mortgage-related securities and other devalued assets held by troubled financial institutions.

The legislation has extra tax breaks and other sweeteners for holdouts in the House. Even as the Senate voted, House leaders were hunting for the 12 votes they would need to turn around Monday's defeat.

Critics on the right and left said the rescue plan is a giveaway for Wall Street, and has little obvious direct benefit for ordinary Americans.

Stock Futures Edge Lower After Bailout Vote

Wall Street is reacting cautiously to the Senate's passage of the banking bailout plan. Stock index futures, which give an indication of how trading will proceed when the market opens Thursday, are down moderately after the vote.

Dow Jones industrial average futures are down 48, or 0.44 percent, at 10,839.

Investors may be taking a wait-and-see approach until the House votes on the plan on Friday. It was the House's defeat of the plan Monday that sent the Dow plunging 778 points.

But the caution may also be due to the fact that passage of the plan wouldn't immediately erase the problems in the financial system, including credit markets that are currently stagnant.