Shares of Wall Street firms Morgan Stanley and Goldman Sachs took a severe beating on Wednesday despite both companies releasing better-than-expected quarterly results just a day earlier.
The last-minute $85 billion rescue of AIG by the Federal Reserve did little to calm investors’ fears, and U.S. stocks have dropped as much as 3.5%.
Goldman Sachs [[GS]] shares plunged 22% Tuesday afternoon, and Morgan Stanley [[MS]] shares dropped to their lowest level in ten years, crashing 37%.
The selloff in the two investment banks continued Wednesday as fears about the U.S. financial services sector engulfed financial markets worldwide.
In a bid to offer clarity about the firm’s health, Morgan Stanley delivered its quarterly results late Wednesday - a day earlier than expected - that move did little to put investors at ease.
0 comments ↓
What do you think? Have you been affected?
Please share your comments below.
Leave a Comment