AIG Shares Sinking Fast
Shares of troubled American International Group Inc. are falling sharply as Wall ST opened Tuesday as investors grew increasingly pessimistic the world's largest insurer would find funding to avoid a liquidity crunch that could touch off even more global financial turmoil.
AIG shares were down $3.02, or 63 percent, to $1.74 in early trading Tuesday. Shares have traded as high as $70.13 during the past year.
Late Monday night, S&P, Moody's and Fitch all cut their ratings on AIG.
Having already bailed-out Bear Sterns and Fannie & Freddie the Fed is said to be baulking at the idea of doing likewise from AIG.
Having let Lehman Bros go to the wall over the weekend it would seem that the Fed are saying "enough is enough."
Goldman Sachs & JP Morgan are said to be in discussions with AIG over how much money it needs to help it stay afloat.
It's looking increasingly likely that the answer is...too much.
AIG shares were down $3.02, or 63 percent, to $1.74 in early trading Tuesday. Shares have traded as high as $70.13 during the past year.
Late Monday night, S&P, Moody's and Fitch all cut their ratings on AIG.
Having already bailed-out Bear Sterns and Fannie & Freddie the Fed is said to be baulking at the idea of doing likewise from AIG.
Having let Lehman Bros go to the wall over the weekend it would seem that the Fed are saying "enough is enough."
Goldman Sachs & JP Morgan are said to be in discussions with AIG over how much money it needs to help it stay afloat.
It's looking increasingly likely that the answer is...too much.