On CNBC today, Alan "Ace" Greenberg scoffed at the notion that Bear Stearns (NYSE:BSC)was on the brink of a liquidity crisis. But the protestation wasn't enough to stem the fall of the stock price to $62.21, its lowest level since March 2003, according to Bloomberg.Despite the denial, there were two negative developments: Bear's put options were unusually active on Monday, and the cost to insure Bear's debt against default climbed, according to Dealbook.
"Totally ridiculous" is Greenberg's assessment of the rumors, but someone's betting that it's not.
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