Globe and Mail Update
September 30, 2008 at 9:58 AM EDT
North American markets rebounded Tuesday, as investors waited for politicians in the United States to take another stab at a rescue package for the troubled financial sector.
The S&P/TSX was 2.62 per cent higher, or 296.21 points, at 11,581.28 at 10 a.m. (ET). Toronto stocks fell 840.93 points Monday, or 6.93 per cent, their biggest-ever daily point drop and a loss of more than $100-billion (Canadian) in market value.
The Dow Jones industrial average gained 2 per cent, or 207.40 points, at 10,572.85. Monday, it sank 777.68 points, or 6.98 per cent, for the biggest point loss in its history. The S&P 500, off a 8.79 per cent loss Monday, gained 2.34 per cent, or 25.89 points, to 1,132.28.
On Monday, Congress rejected the $700-billion (U.S.) bailout plan that was intended to restore liquidity to tight credit markets and restore confidence in the country's financial sector. It's unclear what happens next, with Congress reconvening Wednesday in an effort to strike a compromise and restore some liquidity to the banking sector.