Wall Street falls at open after AIG loss

U.S. stocks dropped at the open on Friday, with the Dow briefly falling more than 1 percent early, after American International Group's record loss hurt financial shares and renewed fears of bad news from the credit crisis.

The Dow Jones industrial average .DJI was down 112.76 points, or 0.88 percent, at 12,754.02. The Standard & Poor's 500 Index .SPX was down 11.84 points, or 0.89 percent, at 1,385.23. The Nasdaq Composite Index .IXIC was down 19.28 points, or 0.79 percent, at 2,431.96.

Shares of AIG fell 5 percent to $41.86.

(Agencies)