DOWn again!

American Insurance Group, world largest insurance company, had a huge loss of 7.8 billion dollars this quarter. It sent the financial world into a tail spin. This news sent the DOW tumbing down. Well, seems like we are in a recession with AIG reporting its record loss of 7.8 billion dollars, it greatest quarterly loss in history and also its second straight quarterly loss. AIG is now short on cash.

The one two punch of mortgage meltdown and surging energy prices have destroyed the economy. People have less money to buy things and banks refuse to lend them any. In other news FEDEX is reeling from high avaition fuel prices and is also declaring a loss. The rise in gasoline prices is creating inflation. I predict massives losses in the stock market as high fuel prices causes customers to rein in spending.