Monday, September 27, 2010

Report: Morgan Stanley Freezes Investment-Bank Hiring

by Bill McBride on 9/27/2010 04:03:00 PM

Another sign of weaker Wall Street earnings ...

From Bloomberg: Morgan Stanley Said to Freeze Investment-Bank Hiring for 2010 (ht Brian)

Morgan Stanley, the sixth-largest U.S. bank by assets, froze hiring at its investment-banking division for the rest of 2010 ... The freeze, which includes the New York-based firm’s sales and trading units, comes as weak trading and equity underwriting volume may lead the five largest Wall Street banks to post their lowest revenue from investment banking and trading since the fourth quarter of 2008.
This follows the weak results at Jefferies last week, from the Financial Times: Trading slump hits Jefferies earnings
In a preview of what might loom for investment banks, a sharp slowdown in trading activity led Jefferies to report its worst quarter since the market hit bottom last year.