G-7 finance ministers to meet in D.C.

Treasury Secretary Henry Paulson during the news conference announcing a federal takeover of Fannie Mae and Freddie Mac.

TEXT OF STORY

I'm Bill Radke: Treasury Secretary Paulson has another big meeting tomorrow, as Washington hosts the G-7 finance ministers. As Megan Williams reports, Europe is still hoping for a more coordinated approach to the banking crisis.


Megan Williams: Yesterday's interest rate cut by the world's major banks seems to have had little effect in Europe. The stock markets dipped right after the cut was announced. Later, the head of the European Central Bank said another rate cut wasn't out of the question. Global Insight European economist Howard Archer says it will take more coordinated effort to keep Europe's economies afloat.

Howard Archer: I think confidence is so bad it's going to take a long time to turn 'round. Although yesterday's moves were welcome and in the long term will help things, but it's not a magic pill. The problems are still very much there.

Meanwhile, U.S. Treasury Secretary Henry Paulson's said it's unlikely a global plan will emerge from tomorrow's G-7 meeting. Economist Howard Archer said the comments were "disappointing."

I'm Megan Williams for Marketplace.

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