Risk-Aversion Therapy On Wall St.

The article examines developments in U.S. financial markets indicating that investors are becoming more averse to risk. The stock price of the former private equity firm the Blackstone Group has sunk below its initial offered price in less than two weeks of trading. Two large corporations postponed sales of corporate bonds intended to finance their purchase by private equity firms. The caution is seen as a reaction to past excesses in debt securities markets.