In an interview with RTT News, Ken Tower, senior vice president of Quantitative Analysis Service says we "need to see a bailout plan" to stop the credit contraction from "spiraling deeper."
He says the "big drop" in the market on Monday has "pushed the balance over in favor of voting for the revised bill," but says it will not turn this market around. He predicts the bailout will cause a rally, but warns "then it is on to phase two of the unwinding of credit."
"It doesn't mean the trouble is over," says Tower.
To listen to the complete interview, visit:
http://www.rttnews.com/Audio2/2008/October/1/AMBUZZ-Tower-10.01.08-lbr.mp3
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June 12, 2026 17:14 ET Major central bank action was the focus this week in economic news. The European Central Bank became the first major central bank to move in response to the rising inflationary pressures in the backdrop of the conflict in the Middle East. In North America, the U.S. inflation and trade data as well as Canada’s central bank decision gained attention. The Chinese trade data was the main news in Asia.