GM Stock Price: could the company run out of cash

We hit upon the point earlier on that the GM stock price was in trouble on Thursday, and in the opening minutes of Friday the company hit its lowest level since 1949. The constant worry for GM in this weakening global market is that they will not be able to pull themselves out before they run out of cash.

General Motors shares lost almost one third of their value on Thursday, the worst level in their stock in 58 years. GM has said that they could fall into junk status; this would make it even harder for them to borrow money.

A few minutes after The New York Stock Exchange opened on Friday, GM’s shares fell 76 cents to $4, then GM started a rebound and was up 24 cents, by mid morning shares were at $5. A source close to GM has hinted that there could be production cuts as well as possible plant closures next week.

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