US Dispels Bank Nationalization Rumors

Manila Bulletin, February 23, 2009 | Go to article overview

US Dispels Bank Nationalization Rumors


WASHINGTON, Feb 22 (AFP) - President Barack Obama's administration has moved to quash rumors that troubled US banks will be nationalized as the shares of financial institutions took another beating in the market.

''This administration continues to strongly believe that a privately held banking system is the correct way to go,'' White House spokesman Robert Gibbs told reporters Friday amid speculations that Bank of America and Citigroup are among banks facing imminent nationalization.

The US Treasury Department also rejected the market speculation that sent shares deeper into six-year lows Friday.

''There are a lot of rumors in the market, as always, but you should not regard these as any indication of the policy of this administration,'' said a Treasury spokesman.

He recalled that Treasury Secretary Timothy Geithner had made clear that the administration would work to keep the embattled financial system in private hands.

Gibbs also stressed that the banking system, shaken by a home mortgage meltdown at the epicenter of global turmoil, would be ''regulated sufficiently by this government.''

The administration's reassurance appeared to allay somewhat Wall Street fears that sent banking stocks plunging to new lows after their rout a day earlier, which had pulled down the key Dow stock index to its worst level in six years.

''It seems that commentary from the Obama administration on the potential nationalization of privately held banks has eased some fears on Wall Street,'' said Joseph Hargett of Schaeffer's Investment Research.

Senator Christopher Dodd, who heads the Senate banking committee, also said the Democratic administration was seeking to avoid nationalizing banks but did not rule out a short-term state takeover.

''I don't welcome that at all, but I could see how it's possible it may happen,'' the Democrat said in an interview on Bloomberg Television. ''I'm concerned that we may end up having to do that, at least for a short time.''

The commentary from Washington sparked a pullback by the Dow Jones Industrial Average, which recovered more than 153 points, or about 2. …

The rest of this article is only available to active members of Questia

Already a member? Log in now.

Notes for this article

Add a new note
If you are trying to select text to create highlights or citations, remember that you must now click or tap on the first word, and then click or tap on the last word.
One moment ...
Default project is now your active project.
Project items
Notes
Cite this article

Cited article

Style
Citations are available only to our active members.
Buy instant access to cite pages or passages in MLA 8, MLA 7, APA and Chicago citation styles.

(Einhorn, 1992, p. 25)

(Einhorn 25)

(Einhorn 25)

1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

Note: primary sources have slightly different requirements for citation. Please see these guidelines for more information.

Cited article

US Dispels Bank Nationalization Rumors
Settings

Settings

Typeface
Text size Smaller Larger Reset View mode
Search within

Search within this article

Look up

Look up a word

  • Dictionary
  • Thesaurus
Please submit a word or phrase above.
Print this page

Print this page

Why can't I print more than one page at a time?

Help
Full screen
Items saved from this article
  • Highlights & Notes
  • Citations
Some of your highlights are legacy items.

Highlights saved before July 30, 2012 will not be displayed on their respective source pages.

You can easily re-create the highlights by opening the book page or article, selecting the text, and clicking “Highlight.”

matching results for page

    Questia reader help

    How to highlight and cite specific passages

    1. Click or tap the first word you want to select.
    2. Click or tap the last word you want to select, and you’ll see everything in between get selected.
    3. You’ll then get a menu of options like creating a highlight or a citation from that passage of text.

    OK, got it!

    Cited passage

    Style
    Citations are available only to our active members.
    Buy instant access to cite pages or passages in MLA 8, MLA 7, APA and Chicago citation styles.

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn, 1992, p. 25).

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn 25)

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn 25)

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences."1

    1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

    Cited passage

    Thanks for trying Questia!

    Please continue trying out our research tools, but please note, full functionality is available only to our active members.

    Your work will be lost once you leave this Web page.

    Buy instant access to save your work.

    Already a member? Log in now.

    Search by... Author
    Show... All Results Primary Sources Peer-reviewed

    Oops!

    An unknown error has occurred. Please click the button below to reload the page. If the problem persists, please try again in a little while.