Central banks pledge 7-day funds as plan stalls

Central banks in major financial markets have offered week-long loans in a bid to abate money-market tensions that have further heightened as talks on the US Treasury's plan to buy troubled assets have stalled.

As congressmen in Washington wrangle over the plan, banks are becoming ever more reluctant to lend to counterparts for anything longer than overnight.

Overnight rates for dollar loans, which surged after Lehman Brothers collapsed on fears other institutions would follow the investment