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09/18/08

10:52:38 am, Categories: Videos, 129 words  

Wall Street teeters, the Empire and China shake


Markets in New York were rocked again on Wednesday as anxieties about the financial system ran high after the government's bailout of insurer American International Group left investors with little confidence in many banking stocks. The Dow Jones industrial average nosedived about 450 points, down more than 800 points or 7 percent so far this week. The market was more unnerved than comforted by news that the Federal Reserve is giving a two-year, 85 billion dollar loan to AIG in exchange for a nearly 79.9 percent stake in the company, which lost billions in the risky business of insuring against bond defaults. With the markets rattled, waiting to see who the next victim could be, shares of two other major financial firms Morgan Stanley and Goldman Sachs, sank 24 percent and 14 percent respectively. therealnews.com

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