This article is from the source 'bbc' and was first published or seen on . It will not be checked again for changes.

You can find the current article at its original source at http://news.bbc.co.uk/go/rss/-/1/hi/business/7726106.stm

The article has changed 4 times. There is an RSS feed of changes available.

Version 0 Version 1
Asia slumps amid bail-out U-turn Asia slumps amid bail-out U-turn
(10 minutes later)
Stock markets across Asia have followed the downward trend set by sharp falls on Wall Street, as fears grow over the state of the US economy.Stock markets across Asia have followed the downward trend set by sharp falls on Wall Street, as fears grow over the state of the US economy.
The falls came as the US signalled a shift in focus on its $700bn bail-out. The falls came as the US signalled a shift in policy on its $700bn bail-out.
US Treasury Secretary Henry Paulson said he would focus on taking stakes in banks rather than buying up the banks' toxic mortgage debts.US Treasury Secretary Henry Paulson said he would focus on taking stakes in banks rather than buying up the banks' toxic mortgage debts.
Meanwhile Germany is expected to announce officially on Thursday it is in recession.Meanwhile Germany is expected to announce officially on Thursday it is in recession.
The European economic powerhouse is likely to report two quarters of negative growth.The European economic powerhouse is likely to report two quarters of negative growth.
Japan 'offer'Japan 'offer'
The Nikkei share index in Japan dropped more than 6.3% by late afternoon trading on Thursday, while stock markets in South Korea, Hong Kong and Australia were all down more than 5%. Taiwan and Singapore were also lower.The Nikkei share index in Japan dropped more than 6.3% by late afternoon trading on Thursday, while stock markets in South Korea, Hong Kong and Australia were all down more than 5%. Taiwan and Singapore were also lower.
The slumps followed a fall of nearly 5% in New York's Dow Jones index.The slumps followed a fall of nearly 5% in New York's Dow Jones index.
The US is embracing a form of state control and intervention that looks remarkably Chinese Robert PestonBBC Business Editor Robert Peston's blogThe US is embracing a form of state control and intervention that looks remarkably Chinese Robert PestonBBC Business Editor Robert Peston's blog
Correspondents say investors have been spooked that huge capital injections and other emergency measures by governments around the world have failed to halt a plunge in markets.Correspondents say investors have been spooked that huge capital injections and other emergency measures by governments around the world have failed to halt a plunge in markets.
Meanwhile Japan is reportedly planning to offer up to $105bn (£70bn) to the International Monetary Fund to help bail out nations reeling from the global financial crisis.Meanwhile Japan is reportedly planning to offer up to $105bn (£70bn) to the International Monetary Fund to help bail out nations reeling from the global financial crisis.
Government sources in Tokyo said Japanese Prime Minister Taro Aso would make the offer at a special meeting of the G20 nations on Friday in Washington.Government sources in Tokyo said Japanese Prime Minister Taro Aso would make the offer at a special meeting of the G20 nations on Friday in Washington.
On Thursday, US President George W Bush is set to tell an invited audience in New York that free-market capitalism is still the best system to create economic growth and lift people out of poverty.On Thursday, US President George W Bush is set to tell an invited audience in New York that free-market capitalism is still the best system to create economic growth and lift people out of poverty.
Car industryCar industry
In Washington on Wednesday, Mr Paulson defended his about-turn in plans for the bail-out package.In Washington on Wednesday, Mr Paulson defended his about-turn in plans for the bail-out package.
BAIL-OUT PROGRESS 3 October - $700bn rescue bill passes through Congress14 October - Plans announced to buy $250bn in banking stock26 October - First $115bn spent buying shares in eight lenders10 November - $40bn to buy stake in insurer AIGBAIL-OUT PROGRESS 3 October - $700bn rescue bill passes through Congress14 October - Plans announced to buy $250bn in banking stock26 October - First $115bn spent buying shares in eight lenders10 November - $40bn to buy stake in insurer AIG
He said his rescue plan had already "clearly helped stabilise" the US financial system, adding: "I will never apologise for changing an approach when the facts change."He said his rescue plan had already "clearly helped stabilise" the US financial system, adding: "I will never apologise for changing an approach when the facts change."
Many analysts agreed that Mr Paulson had been right to backtrack on buying up bad debt, saying simply acquiring more banking stock was more straightforward.Many analysts agreed that Mr Paulson had been right to backtrack on buying up bad debt, saying simply acquiring more banking stock was more straightforward.
A bitter row is under way, meanwhile, on Capitol Hill over how best to support the country's troubled car industry.A bitter row is under way, meanwhile, on Capitol Hill over how best to support the country's troubled car industry.
Leaders of the Democratic Party are planning a bill, backed by President-elect Barack Obama, to offer a $25bn (£17bn) rescue package to carmakers.Leaders of the Democratic Party are planning a bill, backed by President-elect Barack Obama, to offer a $25bn (£17bn) rescue package to carmakers.
The money would come from the $700bn (£494bn) Wall Street bail-out, which Congress has already approved.The money would come from the $700bn (£494bn) Wall Street bail-out, which Congress has already approved.
But Mr Paulson said the money was intended only for helping the financial sector.But Mr Paulson said the money was intended only for helping the financial sector.
The outgoing Republican administration of President Bush has so far opposed the plan.The outgoing Republican administration of President Bush has so far opposed the plan.
A vote upon the bill could come as early as next Thursday.A vote upon the bill could come as early as next Thursday.
America's big three car makers - Ford, General Motors and Chrysler - have suffered huge falls in sales.America's big three car makers - Ford, General Motors and Chrysler - have suffered huge falls in sales.