Spokesmen for Obama, Clinton and McCain deny that the candidates' ideas on handling the economic crisis are being shaped by donations from Wall Street.
The candidates' receipts reflect a broader trend that demonstrates how money follows power in Washington. It suggests that the nation's money managers are betting heavily that either Clinton or Obama will capture the White House and that Democrats will retain control of Congress.
Lenders active in the sub-prime business, such as Ameriquest and Countrywide, were major political players in years past. But in the 2008 campaign, they are bit players, giving perhaps $120,000 to all presidential candidates.
The troubles in the financial markets, however, have spread from sub-prime lenders to some of the nation's largest banking corporations and investment houses that traded in the mortgages, as Bear Stearns' failure demonstrated. And PACs and employees of many of those businesses -- including Bear Stearns and its prospective new owner, JPMorgan -- have donated heavily to campaigns.
Citigroup, the nation's largest banking company, also was among those enmeshed in the sub-prime mortgage debacle, leading to billions of dollars in losses last year and the resignation of its chief executive, Charles Prince.
Merrill Lynch too had multibillion-dollar losses last year, mostly involving soured mortgage-related investments. Merrill Chief Executive Stanley O'Neal, an Obama donor, also was forced out last year.
Overall, Citigroup and Merrill employees have given $519,000 to Clinton, $386,200 to McCain and $354,000 to Obama since January 2007.
Clinton is a top beneficiary of large Wall Street firms in part because she represents New York. And Clinton's ties to the financial services industry extend beyond donations: A senior economic advisor to her campaign is Robert Rubin, Treasury secretary during her husband's administration and now a top official at Citigroup. The consulting firm of Mark Penn, her chief campaign strategist, worked for Calabasas-based Countrywide.
Also, Bill Clinton's administration oversaw significant changes sought by Wall Streeters, including the repeal of the Glass-Steagall Act to allow commercial and investment banks to consolidate.
Hillary Clinton's position on bankruptcy code overhaul -- among the most important pieces of financial legislation passed by Congress over the last decade -- has been difficult to decipher.
