Markets go haywire...AIG gets more govt. money...Troopergate continues

Washington (AP) Central banks across the globe including the U.S. Federal Reserve are cutting key interest rates in an effort to stimulate the economy. The Fed cut the federal funds rate Wednesday to 1.5 percent down from 2 percent.

CHARLOTTE, N.C. (AP) Insurance giant AIG is borrowing billions more from the federal government. The Federal Reserve announced Wednesday it will loan nearly 38 billion dollars to the insurer.

Last month, the government bailed out the failing company with an 85 billion-dollar loan.

BAGHDAD (AP) Time is running out for the U.S. and Iraq to finalize a security agreement spelling out how American troops and contractors are to operate within the country. Neither side is budging and the deal must be finished and ratified by Iraq's parliament before the end of the year.

ANCHORAGE, Alaska (AP) Alaska Governor sarah palin's husband says he didn't meddle in her administration to settle a family dispute. The Palins are accused of pressuring Public Safety Commissioner Walter Monegan to fire a state trooper who had gone through a messy divorce with the governor's sister. When he resisted, Monegan says Governor Palin fired him.

ST. CHARLES, Ill. (AP) An Illinois woman is accused of badgering her daughter's teenage ex-boyfriend. Police say she sent the 13-year-old boy hundreds of e-mails and text messages threatening to post nude pictures of him unless he started dating her daughter again. Officials say no charges have been filed yet.

(Copyright 2008 by The Associated Press. All Rights Reserved.) APNP 10-09-08 0154CDT | save this article / add to your favorites list