ALL THAT REMAINS IS TO CAVE-IN GRACEFULLY:

Most Asian markets recover on hopes of U.S. bailout (LA Times, October 1, 2008)

Most Asian markets bounced back Wednesday on hopes that a $700 billion bailout for the U.S. financial system will soon win legislative approval, although doubts persisted about the long-term outlook for the global economy.

Japan's Nikkei 225 index, the benchmark for Asia's biggest bourse, gained 108.40 points, or 0.96 percent, to close at 11,368.26. On Tuesday, it plunged 4.1 percent to its lowest in more than three years on disappointment that the U.S. House of Representatives had rejected the bank rescue package.

IMF adds to pressure on Congress to approve bail-out (Graeme Wearden and Andrew Clark, 10/01/08, guardian.co.uk)

The International Monetary Fund has added to the growing pressure on the US Congress to approve the Wall Street bail-out, as stockmarkets rose on optimism that a deal will be hammered out this week.

Dominique Strauss-Kahn, managing director of the IMF, warned last night that the US must take urgent steps to protect its economy from the ongoing financial crisis.

"We're right at the moment where action is needed," warned Strauss-Kahn. "A non-perfect plan is better than no plan at all," he added, in an interview with Reuters in Washington.

The prospect of a deal this week sent shares up in London this morning, where the FTSE 100 continued yesterday's bounce-back.

House GOP dazed after bailout failure (JOHN BRESNAHAN | 10/1/08, Politico)

An air of confusion and disbelief still reigned among House Republicans on Tuesday, as GOP leaders kept a low public profile, quietly calling their colleagues to try to figure out what led to Monday’s bailout vote meltdown and what steps to take next.

Posted by Orrin Judd at September 30, 2008 9:25 PM