Obama unveiled a proposal to protect consumers in bankruptcy, signaling the Democratic Party's further swing to the left on economic policy as financial conditions continue to deteriorate. The candidate's proposals go beyond any comprehensive plans for economic relief floated in Congress.

Faced with a near-flat economy, spiraling gasoline and food prices and a credit crunch, Obama and McCain are both angling to become the wage earner's friend. But both are proposing economic solutions that are unlikely either to pass Congress or to have major immediate impacts on the economy if they are implemented.

McCain has been walking a tightrope on immigration -- at first offering illegal immigrants a path to citizenship but then putting an emphasis on border security. Either way he risks alienating two important constituencies, hard-liners or Latino voters.

Virginia Sen. Jim Webb took himself out of consideration as a vice-presidential candidate, amid growing speculation that he was on Barack Obama's shortlist of possible running mates. The Obama campaign could turn to another Virginia politician, Gov. Tim Kaine.

New "independent" TV ads touting McCain's energy policies highlight how political parties can circumvent rules limiting spending. The ads were paid for and vetted by the Republican Party, but otherwise independently produced.

McCain's allies have found new loopholes in the campaign finance law he helped write -- and they're using them to reel in huge contributions. The controversial innovations illustrate the acute pressure Republicans feel to close the money gap with Obama.

The White House is working with Obama and McCain to prevent the transfer of power in January from disrupting national security. Defense Secretary Gates has asked senior Pentagon officials to be prepared to stay in their jobs for the first few months of 2009.

The Army general who led efforts to train Iraq's army and police says progress has been mixed. In testimony before Congress, Lt. Gen. James Dubik said U.S. help will be needed for the foreseeable future. (Complete coverage)

The Treasury Department is continuing to consider ways to resuscitate weak homebuying activity, Paulson said, highlighting the potential of covered bonds as a "promising" solution. (Text of remarks)

The severity of the global food crisis has an unlikely barometer in the U.S.: Day camps, parents' traditional antidote for summer idleness, are now also a bulwark against soaring food prices thanks to a federal free lunch program.

A House committee will examine the effect of speculation on oil prices. Acting chairman of the CFTC, Walter Lukken, says supply-and-demand fundamentals still are driving prices.

Jesse Helms, who built a career along the fault lines of racial politics and battled liberals, Communists and the occasional fellow Republican during 30 conservative years in Congress, died Friday. He was 86.