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Grandluxe
Registered: Aug 2006
Posts: 2461 |
10-02-12 07:47 PM
Wall Street banks' equities-trading units aren't getting much relief from the strongest stock rally since 2009, as sinking volume and already thin margins threaten to make their annual performance the worst in six years.
Third-quarter equities-trading revenue probably fell 14 percent from the same period in 2011, the fifth straight drop of more than 8 percent, according to estimates by Kian Abouhossein, a JPMorgan Chase & Co. (JPM) analyst. Full-year revenue at the five largest U.S. investment banks may be the lowest since 2006, UBS (UBSN) AG's Brennan Hawken wrote in a Sept. 19 note to clients.
http://finance.yahoo.com/news/wall-...Y3Rpb25z;_ylv=3
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CT10Gov
Registered: Sep 2012
Posts: 438 |
10-02-12 08:06 PM
By ET logic, shouldn't banks be raking it in because of HFT/QE/unicorn-power?
Quote from Grandluxe:
Wall Street banks' equities-trading units aren't getting much relief from the strongest stock rally since 2009, as sinking volume and already thin margins threaten to make their annual performance the worst in six years.
Third-quarter equities-trading revenue probably fell 14 percent from the same period in 2011, the fifth straight drop of more than 8 percent, according to estimates by Kian Abouhossein, a JPMorgan Chase & Co. (JPM) analyst. Full-year revenue at the five largest U.S. investment banks may be the lowest since 2006, UBS (UBSN) AG's Brennan Hawken wrote in a Sept. 19 note to clients.
http://finance.yahoo.com/news/wall-...Y3Rpb25z;_ylv=3
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Covertibility
Registered: Aug 2003
Posts: 3865 |
10-02-12 08:20 PM
Give it a few days and this will be cited as another failure of Obama's presidency in the pages of Investor's Business Daily.
It should be noted that Stephen Hawkings is still alive!
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Free Thinker
Registered: Nov 1999
Posts: 14316 |
10-02-12 08:24 PM
Quote from Grandluxe:
Wall Street banks' equities-trading units aren't getting much relief from the strongest stock rally since 2009, as sinking volume and already thin margins threaten to make their annual performance the worst in six years.
Third-quarter equities-trading revenue probably fell 14 percent from the same period in 2011, the fifth straight drop of more than 8 percent, according to estimates by Kian Abouhossein, a JPMorgan Chase & Co. (JPM) analyst. Full-year revenue at the five largest U.S. investment banks may be the lowest since 2006, UBS (UBSN) AG's Brennan Hawken wrote in a Sept. 19 note to clients.
http://finance.yahoo.com/news/wall-...Y3Rpb25z;_ylv=3
investors/ voters have had a great year.
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Grandluxe
Registered: Aug 2006
Posts: 2461 |
10-02-12 08:48 PM
"It's going to be a continued environment of risk-aversion and really quick trigger fingers on the part of portfolio managers to protect gains," said Davis, who is based in Washington. "It will be quite some time before there are money flows into hedge funds and you have aggressive money going after aggressive returns like the old days."
Royal Bank of Scotland Group Plc said in January it was exiting cash equities, the trading of common shares on public exchanges, and failed to find a buyer for its European unit.
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Clubber Lang
Registered: Jun 2008
Posts: 2125 |
10-02-12 09:31 PM
Quote from CT10Gov:
By ET logic, shouldn't banks be raking it in because of HFT/QE/unicorn-power?
Why do you think HFT is finally starting to become a hot topic in the mainstream media? Flash crash? Nope. KCG debacle? Guess again.
Banks are getting smoked by HFT powerhouses like Getco and Hudson River trading.
Everything was fine as long as the banks were printing money. Canabilization has left only the best (or in this case, the fastest) firms still making money.
Look for HFT rule changes to come from the bank owned SEC in the near future.
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