AT THE CLOSE: Dow drops 348.22; House seeks bailout converts

WASHINGTON (AP) - Desperate to avoid another market-crushing defeat, House leaders won key converts Thursday to the $700 billion financial industry bailout on the eve of a make-or-break second vote.

President Bush and congressional leaders lobbied furiously for the dozen or so supporters they'd need to reverse Monday's stunning setback and approve a massive rescue plan designed to stave off national economic disaster.

"A lot of people are watching," Bush pointed out — as if lawmakers needed reminding — and he argued from the White House that the measure was the best chance to calm unnerved financial markets and ease a spreading credit crunch. Anything but reassured, investors sent the Dow Jones industrials plunging another 348 points lower.

Democratic and Republican leaders worked over wayward colleagues wherever they could find them.

Rep. Steny Hoyer, the second-ranking House Democrat, said there was a "good prospect" of approving the measure but stopped short of predicting passage — or even promising a vote. Nonetheless, the vote was expected on Friday.

"I'm going to be pretty confident that we have sufficient votes to pass this before we put it on the floor," Hoyer said.

At the close, the Dow was down 348.22 points to 10,482.85.