According to Yahoo!News:

WASHINGTON – In a vote that shook the government, Wall Street and markets around the world, the House on Monday defeated a $700 billion emergency rescue for the nation’s financial system, leaving both parties’ lawmakers and the Bush administration scrambling to pick up the pieces. Dismayed investors sent the Dow Jones industrials plunging nearly 800 points, the most ever for a single day.

“We need to put something back together that works,” a grim-faced Treasury Secretary Henry Paulson said after he and Federal Reserve Chairman Ben Bernanke joined in an emergency strategy session at the White House. On Capitol Hill, Democratic leaders said the House would reconvene Thursday, leaving open the possibility that it could salvage a reworked version.

All sides agreed the effort to bolster beleaguered financial markets, potentially the biggest government intervention since the Great Depression, could not be abandoned.

But in a remarkable display on Monday, a majority of House members slapped aside the best version their leaders and the administration had been able to come up with, bucking presidential speeches, pleading visits from Paulson and Federal Reserve Chairman Ben Bernanke and urgent warnings that the economy could nosedive without the legislation.

In the face of thousands of phone calls and e-mails fiercely opposing the measure, many lawmakers were not willing to take the political risk of voting for it just five weeks before the elections.

The bill went down, 228-205.

- The market collapsed all around the world….

1. Dow takes a dive as bailout bill fails in Congress

2. Japan stocks lower in early trade [2]
3. Singapore stocks plunge in early trade

4. Malaysian shares to fall on US bailout fallout

5. Taiwanese shares opened 6.6 per cent lower, with the main TAIEX share index down 394.91 points at 5,534.72.

6. Australian shares slipped 5.4 per cent to 4,553.4, while New Zealand’s NZX-50 Index lost 4.2 per cent to 3,052.4.

7. South Korea’s blue chip Kospi Index was down 4.7 per cent to 1387.51.

8. Wall Street blue-chip stocks suffered their worst single-day point decline on Monday as markets went into convulsions after US lawmakers rejected a massive rescue of the financial system.
   

- Let’s restructure the market now and regain the confidence once again…hopefully without another world war like in the past.

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