Dodd: Legislation not needed to address stock market freefall

Senate Banking Chairman Chris Dodd (D-Conn.) on Sunday said legislation would likely not be needed to address the near 1,000 point drop in the Dow last week. 

"I don't think you need legislation in this area," he told CBS' Face the Nation, adding that regulators at the Securities and Exchange Commission should "step up" and find out what caused the historic drop in the market.

Still, Dodd said the early warning system in the financial reform bill he authored would help protect U.S. markets from taking another surprise plunge.  

Two Democratic senators are calling for federal regulators to report to Congress on what caused the drop in the market. The requirement could be added to the financial reform bill.