Posted on 09/08/2010 6:27:42 AM PDT by SeekAndFind
Global securities firms, facing slowing revenue growth, will cut about 80,000 jobs, or 10% of current head count, over the next 18 months, banking analyst Meredith Whitney asserted in a recent report, Bloomberg News reported Tuesday on its website.
“The key product drivers of Wall Street’s revenues and profits over the past decade have been in a structural decline over the past three years,” Whitney said in the report, dated Aug. 31. This year “marks the first year in many in which Wall Street-centric firms will go through structural changes,” she wrote.
(Excerpt) Read more at blogs.wsj.com ...
For those who don’t know Meredith Whitney:
Whitney is a prominent banking analyst and frequent contributor to CNBC, Fox Business, and Bloomberg News programs.
Based in New York City, Whitney manages her own advisory firm, Meredith Whitney Advisory Group LLC, where she produces company-specific equity research on financial institutions and analyzes the sector’s operating environment. She was formerly a managing director at Oppenheimer & Co.
P!
See also the same story here :
http://www.businessinsider.com/wall-street-enjoy-september-80000-of-you-are-about-to-be-fired-2010-9
Here :
and here :
So Wall Street, feeling any buyer’s remorse about Obama yet?
So big business, feeling any buyer’s remorse about supporting Obama yet?
Were you all not paying attention to what Obama told Joe the plumber?
Stupid is as stupid does.
There’s definitely a lot of 401k money that used to be in the market, is not now in the market, and will never will return to the market. It’s been spent keeping the mortgage above water and holding down Junior’s still-mounting school debt.
80,000 high-paying jobs? I wonder what the tax hit will be for NYC.
Please note that Whitney is saying that the layoffs are GLOBAL, meaning it won’t just hit the USA, but WORLDWIDE.
We wil be sharing the pain (as if there is any comfort to that).
This woman has been sort of a Cassandra on Wall Street since 2007. Whitney’s extremely bearish view on banks landed her on the cover of the August 18, 2008 issue of Fortune Magazine.
Even before the problems in September that befell Merrill Lynch and Lehman Brothers, she is quoted as saying, “It feels like I’m at the epicenter of the biggest financial crisis in history, however even a broken clock is right twice a day”
As for her credentials, Whitney was listed as the second best stock picker in the capital markets industry on Forbes.com’s list of “The Best Analysts: Stock Pickers.
In some firms at least HFT computers are replacing people. The computer can trade better and faster. Plus retail customers are abandoning Wall Street and the stock market. They see it as a sucker’s game. So less personnel needed to take care of these ex-customers
The proof of this has been around all summer. The Scott trade commercials featuring the stockbroker on the job but out of work illustrate the impact of the online firms soaking up the business.
Global securities firms, facing slowing revenue growth, will cut about 80,000 jobs, or 10% of current head count,It's a shame that it's going to be the peons on the bottom of the totem pole who get the axe, and not the parasites at the top.
I guess people figured out that if they want to lose a lot of money in the market, now they can just do it all by themselves.
...just as a side note...Maria Bartroromo recently celebrated her 15th anniversary on CNBC...you’ll remember her as the origional ‘money honey’ reporting live from the floor of the NYSE...they showed film footage of her early broadcasts, and the trading floor was so busy and crowded she practically got knocked down...then they compared that to today’s floor...practically empty by comparison...the reason is that so much business is trans-acted by computer...so many of those jobs at the exchange floor have simply been eliminated by technology.
RE: so many of those jobs at the exchange floor have simply been eliminated by technology.
Yeah, just like those so-called “shovel ready” projects that Obama keeps talking about.
During Roosevelet’s time, that might be true. Today, most infrastructure projects are MECHANIZED. Just how many shovelers do you need for today’s infrastructure ?
Also, it has been observed that a lot of today’s trading volume on the stock markets come as a result of COMPUTERIZED trading ( mostly large firms trading among each other using High Frequency Trading Algorithms ). Only a minority of these trade volume ( about 30 to 35% ) come from ordinary investors.
Wall Street never operates on reality only the PERCEPTION OF REALITY.
It’s a game to them all.
They are playing MONOPOLY with REAL MONEY.
Unfortunately for us, IT IS OUR MONEY.
Win or lose, they do not care because they still get paid.
She is also a celebrity bearish analyst and a one hit wonder so far
Let’s hope her hit stays at ONE for all our sakes.
Good. Load the NyLon Quislings into a cattleboat and let them row back across the pond where they belong.
In the meantime, Americans should focus upon reforming this Republic in order that The Law delivers swift and effective punishment upon any merchant who engages in fraudulent commerce.
Hos 12:7-9
7 The merchant uses dishonest scales;
he loves to defraud.
8 Ephraim boasts,
"I am very rich; I have become wealthy.
With all my wealth they will not find in me
any iniquity or sin."9 "I am the Lord your God,
[who brought you] out of Egypt;
I will make you live in tents again...
NIV
A Republic is a system, of governance characterized by the Rule of Law; when the Law fails the Republic fails. And when the Republic fails, government OF, BY, and FOR the People, FAILS.
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