Obama extends bailout programme

The Obama administration extended the $700bn (€475bn) bailout programme until October, setting the scene for a Congress battle.

The Obama administration has extended the $700bn (€475.3bn) bailout programme until October, setting the scene for a Congress battle.

Democrats who favour using some of the leftover money to help generate jobs will clash with their Republican opponents who say it should be used to shrink soaring budget deficits.