Stocks were already tanking before both votes - only difference being after the rejection on the first vote, they plummeted after, but on the second vote, they rallied after.
Been an incredibly volatile few weeks since Lehman went bust, and probably more volatility coming as everyone finds out who's holding 350 billion in now worthless Lehman bonds & shares - then, of course, Fannie, Freddie, and WaMu.
My amateur communications theory was that the bailout was intended to instill confidence and thereby stabilize the market. So far the intervention seems to be aggravating the situation.
World markets are showing panic, which is ironic considering that one of the goals was to attract foreign investment again. The US market in turn responds with panic to the world markets.
This seems to be the Frankenstein effect in action, where the solution complicates the problem. I might add that from a PR point of view this government intervention was handled very poorly, with Pres. Bush making appearances that seemed to have no purpose other than to intensify anxieties. I thought it bordered on bizarre.