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I think we need a general "market news" board. But until there is one...

A bit of much-needed good news:

It concerns me that all of these giant companies are being bailed out, but in this case, I think it makes sense. AIG will recover, it just needs some breathing room. This loan -- which is just short of the amount required to constitute a government takeover -- will give AIG some space and time, and will be repaid by AIG over time. I think we'll have a good day tomorrow. As for the next day/week/month, I have no idea. But I do think the panic is slowly subsiding, if only because there are not many financial giants left to collapse: Bear is bought, Merrill bought, Goldman beat estimate, Lehman is bankrupt (which while not good will at least provide some structure to their implosion), and AIG has an $85 billion cushion from the feds. WAMU is looking a bit less fragile, and the regional banks should get some help from the feds with their investments in Fannie and Freddie (which I forgot to list above, but which are also now in safer hands).

Add it up, and I think (hope) the contagion might be limited from here. Which is not to say the economy will suddenly grow wings and fly. But some of the fear that's keeping money on the sidelines should subside. Should.
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