According to BusinessInsider MF Global's stock is diving into the doo-doo following yesterday's Moody's downgrade of the firm and a weak earnings report released today.
Shares for the derivatives brokerage are down 38% today; at one point earlier this morning, prices had plunged over 40%. Taking today's fall into consideration, MF Global is down around 74% YTD.
Exposure to European debt was one of the key reasons for the Moody's downgrade, which brought MF Global's credit rating to Baa3 - that's just one level away from junk-bond grade. Moody's will also continue to review the company for another downgrade. Unease concerning the firm's Europe exposure has been brewing since August, when regulators asked the company to amass more capital against its European debt liabilities
Read more: http://www.businessinsider.com/shares-of-mf-global-collapse-2011-10#ixzz1boIIQQkN
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