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Global Financial Carnage

17 September 2008
When US stock markets opened on Wednesday, with fresh news that insurer AIG would receive an $85 billion loan from the Federal Reserve in exchange for an 80% equity stake in the company, there was hope that Wall Street could manage to display at least a modicum of confidence that a major economic calamity had been avoided. What occurred was exactly the opposite. Fear that more highly-leveraged companies would soon fall victim to the worsening global recession spread through the trading (...)


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