European, Asian Markets Continue Slump

The U.S. government's planned $700 billion bailout of the country's financial industry has so far failed to reassure global investors.

European markets were lower in midday trading Tuesday, while Asian stocks closed mostly lower.  Investors in Hong Kong and Australia echoed the concerns of their American counterparts - that the proposed U.S financial rescue plan will not be enough to revive the world's biggest economy.  Japan's markets are closed for a holiday.

Oil prices are down about three dollars a barrel in electronic trading today after spiking Monday.

Crude oil had jumped by more than $25 dollars a barrel in New York Monday - the biggest gain ever seen during one day. 

Meanwhile, a key U.S. lawmaker says Congress and President Bush have narrowed their differences on the bailout plan.

Mr. Bush has been urging lawmakers to move quickly, with the hopes they could vote on the plan this week. 

The chairman of the House of Representatives Financial Services Committee, Democrat Barney Frank, told reporters Monday the Bush Administration has agreed to include help for Americans in danger of losing their homes.

Other lawmakers have called for limits on compensation for executives of failing financial firms.

The three major U.S. indexes: the Dow Jones Industrial Average. the S & P 500 and the NASDAQ each plunged more than three percent at the close of trade Monday.  The futures for the indexes predict a lower opening for U.S. markets Tuesday.

Earlier, top economic officials from the world's wealthiest nations said they would  take "whatever actions necessary" to ensure the stability of the international financial system.

President Bush has said failure to act on the bailout package would have "broad consequences" that hurt ordinary Americans.  Congress has scheduled a hearing on the issue with the head of the U.S. central bank on Wednesday.