Bush will ask Congress for the second $350 bln in TARP funds with Bush happy to leave to Obama how the funds are used. Look for bank bailouts to take a much lower profile in TARP II while mortgage “relief” will be a much bigger focus.
Markets are consolidating after big moves into risk-aversion territory late in London. EUR/USD is at 1.3350 after opeing in the 1.3435 area in New York. USD/JPY is almost a ye lower at 89.00.
