This week, the U.S. House of Representatives approved the Emergency Economic Stabilization Act by a 263 to 171 vote. The legislation was quickly signed into law by President Bush, capping what has been a very tumultuous two weeks for the credit and financial markets.


This was a difficult decision for our elected representatives to make (we are after all talking about our government everything seems difficult for them).  While passage of this Act should enable the credit markets and the U.S. financial system to set the stage for their eventual recovery, this was just the first step as it will likely take weeks and even months to wend its way through the system before reaching Main Street.

The legislation will help American families keep their homes by requiring the Treasury Department and any federal agency that owns or controls troubled mortgages to modify those mortgages wherever possible; this may include reducing the principal or interest rate; and extends till the end of 2012 the exclusion from federal income tax of mortgage debt forgiveness.

On a lighter note Phillipe's is celebrating its 100th anniversary tomorrow and they will be featuring 10-cent French Dip sandwiches and 5-cent coffee!