Its trading like a hot potato…50 percent swings each way.
If the government will not help them…by the end of the week AIG is gone…
It will be a disaster if they dont get help. LEH was a corner store in comparison.
But that help need not involve making debt holders whole and certainly not equity holders. It’s the counterparty risk of AIG that is most important, not their investors.
What about insurance policyholders? What about people in TX whose homes and businesses were damaged or destroyed by Ike? I’m not suggesting the gov bails out AIG, but I haven’t heard much discussion about the impact on policyholders.
dont be a d*ck
The U.S. govt will not let AIG fail. AIG has deep roots in virtually every type of industry. If they go under, who knows what would happen.
Do these collapses lead to regulation barring this type of diversification? What type of regulation is probable?
^ Yes for exact;y the reasons given on this thread. WTF was that one division thinking? There were tens of thousands of people working at that company and some group of 100 people decided to go out and play in credit derivatives like they were a hedge fund with a monster credit rating. That’s BS and bailing them out sucks.
how much do they need to raise…$75bill or more?? The fed might just bail em just coz of the catastrophic impact not bailing will have…it wud suck to be LEH though.
HA HA HA it just went to 5!!! I bought 10K at 2.5…LISTEN TO ME!!!
And now it’s back to 2.31. A fool and his money are soon parted.
With these stocks I dont hold overnight. Unless I am in a short position. I already sold at 4.5.
Yeah, yeah… I shorted LEH at 67, FNM at 30, and bought MSFT at 0.2.