"I'd rather go with things that the government isn't involved in."

Well said Frank of the Hennessy Funds! 

I think the investment community sense the fear that the money raised from the GM IPO will go to pay off the government's and its union's loans; why then would it be a good investment, knowing that both GM and the union will sell their sales after the IPO.  No sound investor should take such a risk, unless you're a hedge fund or private office and you short the stock.

Let's not forget GM is not US GAAP nor IFRS compliant and so when the quarter or annual report comes in after the IPO, you'll probably see a market correction.