Dow Falls Below 8000
The Dow industrials fell 427.47 points as bank and insurance stocks cratered. Citigroup shares lost nearly a quarter of their value and the S&P 500 financial sector dropped more than 10%.
Citi to Buy Remaining SIV Assets
Citigroup said it will buy the last $17.4 billion of assets in structured investment vehicles it advises, as the New York bank finishes winding down the entities that were one of the first major casualties of the credit crunch.
Top Traders Still Expect the Cash
Top traders who have made huge profits for the Wall Street firms that employ them are now vying for dwindling pools of bonus money.
CMBS Market Begins to Show Fissures
The market for debt used to finance commercial real estate tumbled on worries about rising defaults for commercial mortgage-backed securities.
Baker to Leave Morgan Stanley
Kurt Baker, the head of Morgan Stanley's prime brokerage in Asia, is leaving the firm. Prime brokerage has been hurt by a world-wide hedge-fund slump.
