Gothamist
A non-profit newsroom, powered by WNYC.
Gothamist
Listen Live
News
Stocks Fall as Anxiety Persists
By
Jen Chung
Published Sep 17, 2008
Modified Sep 17, 2008
Share
FacebookTwitterRedditEmail
Never miss a story
Email address
By submitting your information, you're agreeing to receive communications from New York Public Radio in accordance with our Terms .
By
Jen Chung
Published Sep 17, 2008
Modified Sep 17, 2008
Share
FacebookTwitterRedditEmail
We rely on your support to make local news available to all
Make your contribution now and help Gothamist thrive in 2026. Donate today
Gothamist is funded by sponsors and member donations
Photograph of a trader at the New York Stock Exchange by Richard Drew/AP
$85 billion may be able to give AIG a second chance, but it's not enough to ease investors' worries. Stocks fell sharply, the Dow plummeting 200 points when the market open and then 338 points at one point.
The Wall Street Journal reports that there's uncertainty whether the bailout of AIG will help the troubled global market: "banks have again grown increasingly reluctant to lend to one another, as overnight borrowing costs have surged." Or, as a money manager told Bloomberg News, "It's ugly,. It's about the worst I've seen it in 25 years. You have to have free-flowing credit to lubricate the system. That's not happening right now."
Stocks fell in Asia and Europe, and the NY Times suggested that "government report on Wednesday morning that showed construction of new homes and apartments falling more than expected last month, reaching a 17-year low" may have also worried investors. John O'Brien, of MKM Partners LL in Cleveland, told CNBC, "The fear is who is next. It almost feels like people scour the books and say who is the next likely target that we can put a short on and that spreads continuous fear."
Dealbreaker says there's rumor the Fed may cut the key lending rate: "We are skeptical because any cut the day after the meeting would be admitting that they were, what's the word, totally fucking wrong yesterday. However, with the shit hitting the fan today, it has to have at least crossed the Beard's mind once."
Tagged
business
economy
federal reserve
wall street
Jen Chung
Jen Chung is a former WNYC and Gothamist editor.
Read more
Gothamist is funded by sponsors and member donations
Gothamist is funded by sponsors and member donations
MORE news
Forest Hills Stadium can keep its concerts under deal with neighbors
Neighbors had complained of traffic and loud concerts for years.
By
Ryan Kost
Published Oct 22, 2026
NYC Council to grill Mamdani officials on collapsed Hunts Point Produce Market deal
Council Speaker Julie Menin called the $650 million plan "mission critical."
By
Elizabeth Kim
News
NYC Council to grill Mamdani officials on collapsed Hunts Point Produce Market deal
Council Speaker Julie Menin called the $650 million plan "mission critical."
By
Elizabeth Kim
NYPD arrests 17-year-old in fatal Midtown subway platform shooting
By
Charles Lane
Ex-Adams aide accused of pocketing kickbacks from community program funds
By
Samantha Max
MTA to begin 6-year project to upgrade signal tech on A and C lines in Brooklyn and Queens
By
Ramsey Khalifeh
Never miss a story
Catch up on the most important headlines with a roundup of essential NYC stories, delivered to your inbox daily.
Sign upEmail address
By submitting your information, you're agreeing to receive communications from New York Public Radio in accordance with our Terms .