Government seizure of banks a big reason for the drop

[gaazn]

Why would anyone invest in any financial company when the government has complete authority to seize banks and sell them to a competitors for pennies on the dollar? Even when the bank are not in immediate danger of insolvency. There's little confidence in the market because it looks like it's rigged.

 

[freelance]

Why would anyone invest in any financial company when the government has complete authority to seize banks and sell them to a competitors for pennies on the dollar? Even when the bank are not in immediate danger of insolvency. There's little confidence in the market because it looks like it's rigged.

They have the authority now to seize whatever they please.

 

[TheEvilDetector]

They have the authority now to seize whatever they please.

You guys got a source on that? Is this something in the bailout?

 

[danberkeley]

You guys got a source on that? Is this something in the bailout?

No. It was implied when they (gov'ment/the Fed ) took over AIG.