American International Group, Inc. (NYSE: AIG) may decline in value sharply due to the FED

AIG may be subject to control by the Fed

In brief: The Fed creates new problems for American International Group, Inc. (NYSE: AIG) shareholders.

American International Group, Inc. (NYSE: AIG) may fall in value against the backdrop of negative news today. Pre-market remains positive for AIG. Company’s shares to rise 41.00 points, gaining +0.07 (0.17%).

American International Group announced that a new law signed by U.S. President Barack Obama, may oblige it to attract additional capital to undergo stress tests and to limit the rates on private equity and hedge funds. According to AIG, Dodd-Frank Act will have a material adverse effect on the company’s activities have a negative impact on cash flow and credit ratings. At the same time the Fed could become a guarantor AIG, if he thinks that the collapse of the company could threaten the stability of the U.S. economy.

Igor Tringlers
2010-08-09 12:59, Economics.

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