The Morning Briefing
R.I.P., investment banks. The Federal Reserve announced late last night that the last two remaining investment banks, Goldman Sachs and Morgan Stanley, would become bank holding companies. This move puts them under tighter regulation and signals the end of an era for the independent investment bank on Wall Street.
Speaking of investment banks, remember Lehman Brothers? Japan's Nomura Holdings has agreed to pay $225 million for Lehman's Asia operations, according to the Wall Street Journal.
As the financial crisis spreads, so, too, does the talk of a bailout overseas. Several other nations followed the United States and announced a ban on short selling; stocks are up in Asia today but down slightly in Europe.
In case you took a break from the Wall Street meltdown news over the weekend, Congress was busy hammering out a bailout plan. Democrats outlined their proposal, which has some strikingly different components than the administration's plan. As the Post's Lori Montgomery and David Cho point out in today's story, a main difference is over executive pay and mortgage assistance for distressed homeowners. (More of the weekend's stories can also be found in this archive.)
September 22, 2008; 7:00 AM ET
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