RAY SUAREZ: Leaders of key congressional committees moved ahead today on a financial rescue plan. A bipartisan group agreed on basic principles for a $700 billion buyout. The money would purchase bad debts from banks.
The lawmakers offered no timetable, but Democratic Sen. Chris Dodd said they're hopeful a final deal is near.
SEN. CHRIS DODD (D-Conn.): We believe that we're prepared to act expeditiously on a package to our colleagues that will allow us to send a message to the markets that the Congress heard the message and we want to do what's correct and right in the next few days.
We can't say exactly when, but this is the time we tried to come together, both chambers, both parties, to respond to the request we've received from the Bush administration. We believe we've done that.
RAY SUAREZ: Almost immediately, leading Republicans in the House and Senate objected. They said there was no agreement yet.
Sen. Richard Shelby of Alabama said Congress "will do something" before the weekend. But he said, "It will be the wrong thing."
And conservative Republicans in the House proposed federal insurance to entice private companies to buy up the bad debt.
Amid the struggle in Congress, President Bush called party leaders to the White House, along with the presidential candidates.
And Republican John McCain kept to his stance of not taking part in Friday night's planned debate in Mississippi unless there's consensus on a bailout. He said, "The debate that matters most right now is taking place in the United States Capitol."
Democrat Barack Obama said again he wants to go ahead with the debate. He said, "The times are too serious to put our campaign on hold." We'll have more on the debate later in the program.
Stocks rallied today on hopes a final rescue deal is near. The Dow Jones industrial average gained nearly 197 points to close at 11,022. The Nasdaq rose nearly 31 points to close at 2,186.
The news also boosted oil prices. They finished at $108 a barrel in New York. In another development, new home sales fell 11.5 percent in August to the lowest level in 17 years.
The death toll in an ambush in Iraq climbed to 35 today. Most of the dead were Iraqi commandos. They raided a village in Diyala province yesterday, but police said insurgents apparently were tipped off and were waiting.
Also today, the U.S. military reported an American soldier was killed by a suicide bomber on Wednesday.
The president of Iraq pointed to improved security in his country today and appealed for greater diplomatic ties. Jalal Talabani addressed the U.N. General Assembly. He said his government is proving it's worthy of international support.
JALAL TALABANI, president of Iraq (through translator): We are currently working on assuming all the responsibility in defense of the democratic achievements of our people.
The government is aware that those steps are not the full answer to our aspirations and that the road ahead is still long to arrive at the Iraq that we all look forward to, a stable and prosperous Iraq.
RAY SUAREZ: Talabani also said again that Iraq's goal is to take over all security in all of its provinces by year's end.
U.S. and Pakistani forces shot at each other along the Afghan border today. There were no reports of casualties. The Pakistanis fired at American helicopters, and then ground troops exchanged fire.
The U.S. military said the helicopters were patrolling Khost province inside Afghanistan. The Pakistanis disputed that claim.
Pakistan's prime minister, Asif Ali Zardari, met with Secretary of State Rice in New York today. He said his troops fired only flares as a warning to the helicopters.
There were new developments today on global warming. Researchers in the U.S. and other countries reported man-made emissions of carbon dioxide rose three percent in 2007. That exceeds the worst-case forecast made last year by an international group of scientists.
And 10 northeastern states in the U.S. began buying and selling carbon pollution credits to curb climate change. It was the nation's first such auction.
China launched three astronauts into space today to carry out a spacewalk. That will mark a first for China, which began manned space flight in 2003. The launch came under clear night skies in northwestern China. The mission will last three to four days. The spacewalk will take place on Friday or Saturday.
Shareholders for Delta and Northwest Airlines approved plans to merge today. The combined company will operate under the Delta name, and it will be the world's largest airline. The deal still needs federal approval.
Union problems have plagued the deal. Northwest's largest union still opposes the merger.
Opening statements began today in the corruption trial of Sen. Ted Stevens of Alaska. The Senate's senior Republican arrived at federal court in Washington to face charges he concealed home renovations and other gifts.
Federal prosecutors called him a crafty politician who knew how to hide gifts and favors. The defense said an overzealous oil contractor was really to blame. If convicted, Stevens could face up to five years in prison.
