'Fast Money' Recap: AIG Not Only Downer

Thursday closed with the bears taking control of the markets. The Dow lost a hefty 1.93% to 11431.43, the S&P 500 fell 1.79%, ending at 1266.06, while the Nasdaq shifted 0.95% down, finishing at 2355.73.

On CNBC's "Fast Money" TV show, the traders opened the show to a brief discussion on today's market activity.

Starting off was commentary on American International Group(AIG Quote). Already disappointing two times previously, did it a third time, and it was not alone today.

Dylan Ratigan said that Citigroup(C Quote) was down nearly 6% today and are having auction-rate security issues alongside Bank of America(BAC Quote).

Moving on to today's retailers, who reported sales, Wal-Mart(WMT Quote) disappointed with dismal a report. Joe Terranova weighed in, saying that retail sales were "awful."

Jeff Macke chimed in, saying that today there were "plenty of reasons to sell, not a lot to buy," and that he ducked and covered.

Speaking on the financials and auction rate securities, Karen Finerman said that after Citi settled, she does not see how the other banks can't do the same. She said that UBS(UBS Quote) "has some liabilities," and she is short BB&T(BBT Quote). She noted that BBT does not have auction rate securities, but it does have commercial and construction loans.

Guy Adami said that he thought today would be "AIG specific," but the Andrew Cuomo thing was a game changer. He said that today was a "horrible day for Merrill Lynch"(MER Quote).

Macke said, "I do not want to own them yet," and that the Cuomo news is "horrible for the banks." He said that it is too late to short, but to "buy the panics."