Treasury Secretary bets that providing fresh capital to the two firms will eventually lead to lower mortgage rates, spur homebuying demand and slow  plunge in home prices.

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• Bush: Takeover of housing giants 'critical'
• Foreclosure auctions no place for amateurs

Category 4 hurricane slams low-lying islands, destroying homes, sweeping away boats and bringing more rain to waterlogged communities in Haiti, where at least 10 more people drowned.

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As if guv didn't have enough troubles with the state's $17.2 will budget mess,  Sacto sources say   politically powerful and well-financed prison guards union has lawyers working on an initiative. Matier & Ross.

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GOP's most-potent weapon could be Todd Palin, Alaska governor's spouse, who is seen as resonating "very well among swing voters and among male Democrats." Carolyn Lochhead

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• Palin offers first TV interview to ABC News
• Obama says he was too flip on abortion question
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Company blossoms into one of  world's most valuable businesses =- simultaneously striking fear and admiration in competitors while making information infinitely more accessible to hundreds of millions. Verne Kopytoff

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