To paraphrase a popular saying, ours is to invest and profit, not to ask questions and to reason why. The stock market will go up and down, whether you like it or not, which is why it is better to get an overall feel for the market rather than overanalyzing the causes. The market behaves the way it does, don’t question it. You must only care about the direction it is going and for how long it will go that way, and then you make your decisions based on those factors. Also, it is important to understand that the intensity of the move in one direction will determine the intensity of the rebound in the opposite direction. If a stock like aig stock price moves down in an extreme manner, then you can expect it to move up in an extreme way, too. And if you see a large directional move coming, you must act before it does affect the market.