As Obama Punishes Success Wall Street is Declining

Flopping Aces ^ | 09-20-10 | Curt

[Starman417]

Surprise surprise surprise:

Inside the great investment houses on Wall Street, business has taken a surprising turn — downward.

Even after taxpayer bailouts restored bankers’ profits and pay, the great Wall Street money machine is decelerating. Big financial institutions, including commercial banks, are still making a lot of money. But given unease in the financial markets and the economy, brokerages and investment banks are not making nearly as much as their executives, employees and investors had hoped.

After an unusually sharp slowdown in trading this summer, analysts are rethinking their profit forecasts for 2010.

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The downward slide on Wall Street parallels a similar shift in the broader economy, which has slowed considerably since showing signs of a nascent recovery this spring. And if banks come under pressure, all but the safest borrowers may struggle to get loans.

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Banks are also scaling back on making bets with their own money — known as proprietary trading — another huge profit source in recent years that will soon be forbidden under terms of the financial reform legislation passed by Congress this summer.

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Ms. Whitney says the gloomy short-term predictions foreshadow a series of lean years in the broader financial services industry.

Indeed, she said the Street faced a “resizing” not seen since the cutbacks that followed the bursting of the dot-com bubble a decade ago.

“We expect compensation to be down dramatically this year,” she wrote in a recent report. She predicts the American banking industry will lay off 40,000 to 80,000 employees, or as many as 1 in 10 of its workers.

Ok, not surprising. After signing a bill meant to scapegoat Wall Street earlier this summer how in the world could Obama and pals be surprised at this result? Especially when the real culprit of the economic collapse was the housing bubble brought on by CRA and the Democrats. Oh, there were many other reasons for it but if you're asking for the major catalyst....the CRA.

So couple the collapse of the housing market and our economy with Obama's anti-business attitude and we get this; A recession that hasn't been seen before in a long time. 40-80,000 employee's at Wall Street who will be in the unemployment line. Fewer loans will be made by banks, less growth, no jobs.....less expansion if any.

And what do we have to look forward to?

[Leftism is Mentally Deranged]

He hates American business and has done all he could to destroy it. There are no “unintended consequences” in politics. Everything that happens as a result of a law is foreseen and intended.

[musicman]

[Tolsti2]

They supported him..

[jimbo123]

Obama bailed out their bonuses once, but won’t be able to bail them out this year and failed to get them cap and tax so Wall Street is mad. The Wall Stret layoffs are going to start again real soon in order to get the employees off the books before bonus time. Recovery Summer is going to turn into Recovery Fall for the Obama-voting stooges downtown.