A recap of the goings on and articles from around the web.“Heading into a recession” ? S&P 500 Sinks Most Since 2001 Terror Attacks Stocks erased more than $600 billion in value as financial shares in the S&P 500 decreased the most since at least 1989, according to data compiled by Bloomberg. American International Group Inc. sank 61 % and Washington Mutual Inc. decreased 27 $. Concern the U.S. is heading for a recession pushed oil lower, prompting a drop in energy stocks, and sent General Electric Co down 8 %.Full read: http://tinyurl.com/5d8y8eWaMu Cut to junk statusS&P reduced its rating on Seattle-based Washington Mutual  to BB- from BBB-, leaving it three levels below investment grade, the ratings firm said today in a statement. Full read: http://tinyurl.com/6yqfyxHOW the master of the universe ran amokThe collapse effectively began at 6pm last Friday. The place: the offices of the New York Federal Reserve. The occasion: an emergency meeting of the most powerful figures in American banking and finance aimed at staving off a massive bank collapse. Full read: http://tinyurl.com/5eyb5dThe Gorilla of Wall Street Dick Fuld goes BustThey called him the Gorilla – the brawler known as the scariest man on Wall Street. In a world where the top brass are generally suave, no wonder Dick Fuld stood apart. Full read: http://tinyurl.com/5ztbvjFed Adds Most Reserves Since 9/11 The Federal Reserve added $70 billion in reserves to the banking system, the most since the September 2001 terrorist attacks, to reverse a surge in borrowing costs sparked by the collapse of Lehman Brothers Holdings Inc. Full read; http://tinyurl.com/5uejdx AIG Faces Cash Crisis:AIG shares plunge more than 40 percent before the bellAmerican International Group Inc was facing a severe cash crunch last night as ratings agencies cut the firm’s credit ratings sharply, forcing the giant insurer to raise $14.5 billion to cover its obligations.With AIG now teetering, a crisis that began with falling hom...