friends from Wall Street are "nervous" about their jobs but are not talking about specific layoffs yet... wonder what people over here have been hearing. so far i haven't read of anything massive, just few layoffs here and there. it's estimated that each job in wall street supports 3 nyc jobs (although very low paying ones like dry cleaning, restaurant and nannies)... [more]
friends from Wall Street are "nervous" about their jobs but are not talking about specific layoffs yet... wonder what people over here have been hearing.
so far i haven't read of anything massive, just few layoffs here and there. it's estimated that each job in wall street supports 3 nyc jobs (although very low paying ones like dry cleaning, restaurant and nannies)
====================================================
NEW YORK (TheStreet) -- Reports that layoffs have begun to resume on Wall Street are starting to see some confirmation in the jobs report, with the financial sector being among the industries that shed jobs in June.
According to the Bureau of Labor Statistics' nonfarm payrolls report, the "Financial activities" sector shed 15,000 jobs in June on a seasonally adjusted basis after adding 14,000 in May.
Financial activities include banks, insurance companies, real estate, rental and leasing sectors.
The sector breakdown showed finance and insurance category laid off 8,700 jobs after creating 9,100 in May. Within that, commercial banks shed 3,400 jobs after adding 6,800 in May.
Investment banks are starting to reduce payrolls amid a tough operating environment and tighter regulations. Goldman Sachs recently said in a filing that it may cut about 230 jobs in the New York region between September this year and March 2012, citing economic reasons. The filing did not specify the details of the people it planned to layoff. Goldman plans to add jobs in other countries such as Brazil, India and Singapore.
Credit Suisse started laying off investment-banking employees last week, and the cost-cutting push could claim 400 to 600 jobs the Wall Street Journal reported, citing people familiar with the situation.
Morgan Stanley recently indicated that it might cut more jobs from its brokerage arm.
The money center banks are also being driven to cut costs as revenue pressures continue and legal costs climb. Bank of America said Thursday that it would layoff 100 people in Connecticut.
The company is eliminating 56 positions at its Hartford Cash Vault site, transferring the work to Dedham, Mass., and Schenectady, N.Y. It is also exiting its East Hartford Lockbox site, which will affect about 50 workers. The work will be relocated to Boston.
Layoffs will take place in Hartford on Sept. 23 and between Aug. 11 and Dec. 1 in East Hartford.
Wells Fargo is expected to reveal more details of its cost-savings initiative "Project Compass" this quarter which is focused on delivering savings by cutting down response times for loan applications, eliminating redundancies to name a few. The bank has not spoken about reducing its workforce. But Deutsche Bank analysts expect some "right-sizing" in its mortgage business.
The finance and insurance sector has been the weak link in the jobs recovery story. The sector has lost more than 80,000 jobs in total on a seasonally adjusted basis since June 2009, when the recession officially ended.
--Written by Shanthi Bharatwaj in New York
[less]
Wall Street has no effect on Manhattan. Move on, get a day job.
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Response by jim_hones10
over 14 years ago
Posts: 3413
Member since: Jan 2010
a few hundred less bankers :(
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Response by notadmin
over 14 years ago
Posts: 3835
Member since: Jul 2008
> Wall Street has no effect on Manhattan. Move on, get a day job.
lol
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Response by ab_11218
over 14 years ago
Posts: 2017
Member since: May 2009
they forgot to mention the Barclay's door of forever exit... it seems they have layoffs every 2-3 weeks. London can always do it better then NY.
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Response by Riversider
over 14 years ago
Posts: 13572
Member since: Apr 2009
Trading volume in both equities and fixed income is down. There will be some consolidation.
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Response by notadmin
over 14 years ago
Posts: 3835
Member since: Jul 2008
GS is always firing the bottom 5% performers. I'm surprised that the small layoffs so far made the news as being such a big deal. I'll follow the conference calls within the next 2 weeks to see what they say about it.
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Response by jason10006
over 14 years ago
Posts: 5257
Member since: Jan 2009
You lie. GS lays off one to five percent every year. Depending on market conditions. In a bad year it's five, in 1999 or 2007 it was one.
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Response by inonada
over 14 years ago
Posts: 7952
Member since: Oct 2008
jason10006: "You lie..."
You will burn in hell. The Lord does not look kindly upon people exaggerating perceived misunderstanndings into outright lies.
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Response by Sunday
over 14 years ago
Posts: 1607
Member since: Sep 2009
agreed, lying about those who do God's work is definitely not good.
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Response by Wbottom
over 14 years ago
Posts: 2142
Member since: May 2010
But this is bullish fo NYRE..all these poor young bankers working 90 hour weeks will now have time to shop for apts
Get on this borkers!
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Response by ab_11218
over 14 years ago
Posts: 2017
Member since: May 2009
now that these bankers can find jobs that are 60 hrs per week, they can move to over boroughs and flood the market with their apartments ;)
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Response by apt23
over 14 years ago
Posts: 2041
Member since: Jul 2009
not admin: it's estimated that each job in wall street supports 3 nyc jobs (although very low paying ones like dry cleaning, restaurant and nannies)
I don't know, but I think this might spell the death knell for bottle girls. Though the liquor industry will survive as they didn't profit from the mark up on $1000 bottles of vodka -- but think of the ripple effect of no more bottle girls. Prada and Louboutin could collapse, overpriced stores and hotels in the meatpacking district could implode. The overpriced apts at the Caladonia could plummet. This is clearly end of empire fodder.
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Response by dealboy
over 14 years ago
Posts: 528
Member since: Jan 2011
People have been saying that since 9/11.
I don't think so.
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Response by lucillebluth
over 14 years ago
Posts: 2631
Member since: May 2010
hush little baby dont say a word and nevermind that noise u heard. it's just the beast under your ur bed, in ur closet, in ur head......ENTER NIIIIIIGHT!!!!!
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Response by lucillebluth
over 14 years ago
Posts: 2631
Member since: May 2010
"death knell for bottle girls"
i think you may have accidentally had a deep thought there. which profession is older? "bottle girl" or money changer?
sleep with one eye open
grippin your pillow tight
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Response by Riversider
over 14 years ago
Posts: 13572
Member since: Apr 2009
What is it with the Goldman guys. Average people come to Goldman and do great things. Great people leave Goldman and do average things.....
------------------------------------------------------------------------------------------
Morgan Stanley (MS), the firm targeting a 2 percent market-share gain in fixed-income trading this year, was burned by a wager on U.S. inflation expectations in the second quarter, three people informed of the dealings said.
The bank’s interest-rates trading group lost at least tens of millions of dollars on the trade, which the firm has been unwinding, two of the people said, declining to be identified because the transaction isn’t public. Mary Claire Delaney, a Morgan Stanley spokeswoman, declined to comment.
Traders at the bank bet that inflation expectations for the next five years would rise in Treasury markets, while forecasts for the next 30 years would fall, according to two of the people. Such wagers on so-called breakeven rates involve paired purchases and short sales of Treasuries and Treasury Inflation Protected Securities, or TIPS, in both maturities.
The loss is a setback for Morgan Stanley as it seeks to boost revenue at its fixed-income trading unit, which last year posted less than half the amount of U.S. rivals including Goldman Sachs Group Inc. (GS) Chief Executive Officer James Gorman, 52, said in February that improving fixed-income trading performance is his top priority.
The interest-rate group is run by Glenn Hadden, who Morgan Stanley hired from New York-based Goldman Sachs in January. The move was part of a larger shakeup in the business as the firm replaced fixed-income trading head Jack DiMaio, 44, with Ken deRegt, 55. Hadden didn’t respond to a message left at his office.
Don't waste your energy on negative people like apt23. Everything is interpreted in the worst way possible.
"The world is coming to an end. It should have come to an end before, but the fact that it didn't really means that it is coming to an and now, plus all of the other things that have gotten worse. Oh, did I tell you about the time I called the police to report that my husband was about to use an illegal gun to threaten or harm a neighbor? He wasn't actually about to do it, but it helped get revenge on my neighbor, and the truth isn't important and the police are there to do what I tell them to do." -apt23
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Response by stevejhx
over 14 years ago
Posts: 12656
Member since: Feb 2008
This is a win-win for Long Island City.
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Response by KISS
over 14 years ago
Posts: 303
Member since: Mar 2008
Hedge Fund Hiring Plummets
July 8th, 2011 EST
Hiring by hedge funds fell dramatically in June as funds struggled with poor performance.
Based on tallies of recent placements by HFObserver, hiring of experienced hedge fund/alternative investment professionals fell 63% versus May, and were down by more than half compared to the rest of 2011.
Data is based on publicly available reported hires of experienced hedge fund/alternatives professionals with several years of hedge fund/directly relevant experience.
The sudden drop comes mid-way through one of the busiest hiring years ever for hedge funds, which have also seen spectacular asset growth in 2011. Fund of funds asset had their largest six-month dollar advance since 2005, according to hedge fund media HFMWeek’s survey of fund of hedge fund administrators, passing their 2008 peak with assets managed at over $2 trillion.
However, poor performance by funds appears to have derailed continued staff expansion plans. At the year’s half-way point, the average hedge fund was down 2.12% globally, preliminary data from Hedge Fund Research show. By contrast, the S&P 500 index gained 6 percent. Hedge funds lost 1.95% and 1.71% respectively in June and May, according to the Dow Jones Credit Suisse Core Hedge Fund Index. Two bad months means many computer-driven and commodities funds and big brand firms are in negative territory for 2011, including some of the flagship funds at Paulson & Co., Greenlight Capital, Moore Capital, Renaissance Technologies, Tudor Investment Corp, Lansdowne Partners, and Pershing Square. Och-Ziff recently announced negative performance for June as well.
Until fund performance improves, job candidates can expect hedge fund hiring to remain weak relative to H1 2011.
With flat or negative year-to-date performance, many hedge funds haven’t yet earned performance fees from which to pay employee bonuses, which could be causing managers to re-think active hiring for now (bigger firms don’t need to rely as much on performance fees, paying bonuses out of management fees earned on assets under management. )
Hedge fund hiring generally tends to be closely tied to increased asset gathering and the need to put money to work. Given record sums under management, the sudden June drop-off in hiring is a big concern to recruiters, who are hoping the decline is temporary.
Some recruiters contacted by HFObserver believe that the June drop is due to a seasonal effect of slower summer months. Others explain the downturn as an expected and natural break given the rapid pace of hiring through May, which was almost as active as first half of 2008.
According to HFObserver job data, the number of open positions that hedge fund/alternative investment firms are currently looking to fill remains steady, suggesting instead that hedge fund managers may be moving more slowly on making hires given turbulent market conditions.
Many managers are also spending more time trying to keep assets from walking. According to financial administrator GlobeOp’s June Forward Redemption Indicator, investors asked for more of their money back from hedge funds in June than in any other month in 2011, following a sharp rise in exit requests in May.
The most active part of the hiring activity in June was for junior roles, especially intern hires.
all good news:
macro multistrats have gotten whacked around all year
Hedge fund hiring down, redemptions up
morgan stanley, which no longer does prop trading flushes 50 mill on a harebrained prop trade
sales trading revs volume anemic as shops are trading with eachother
deal flow syndicate shit
hurry....call your borker
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Response by stevejhx
over 14 years ago
Posts: 12656
Member since: Feb 2008
This is a house of cards - aka bubble. How many times can it be said that stocks don't increase 30% in price when unemployment is 9.2%? Next month's employment numbers will be even worse; probably negative. Reducing the federal deficit right now is foolhardy.
The last person in government who understood economics was Paul Volcker, who ushered in 20 years of prosperity. Milton Friedman economics do not work. Harken, QE-III!
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Response by huntersburg
over 14 years ago
Posts: 11329
Member since: Nov 2010
Harken? The Senator from Iowa? You really don't see or hear much from him.
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Response by stevejhx
over 14 years ago
Posts: 12656
Member since: Feb 2008
The entire run-up in the stock and commodities markets in the past year has occurred with very low volumes, and very high leverage. WB is (as usual) correct - it's all hedge funds trading with each other. No real new money getting into the system, so as soon as the leverage runs dry and there are margin calls, it all collapses.
That's what happened when QE-I ended, but rather than let things settle down, Uncle Ben commenced with QE-II, which did nothing but cause inflation. Now he has yet another asset bubble on his hands, which will have to deflate. Couple that with every other bad economic policy and the magical thinking going on around the world, and it spells disaster.
Since the year 2000 they've tried the same inflationary monetary policy over and over again that keeps on failing, creating and bursting bubbles. This is just one more. Greece, Ireland - the Celtic Tiger and the Mystical Irish Carpenter, remember? - and Portugal are all going to default. They cannot support their level of debt, and raising taxes in countries with 25% unemployment is suicidal. Italy and Spain, if they don't default, are going to have to reduce spending to such a point that they will enter a depression.
In the US, unemployment is going to continue to rise as the bubble bursts, and not a goddamned thing the Fed can do about it. As with Volcker, it just has to happen to get everything back in balance again.
Which is why we all should move to Long Island City. I hear they're going to be minting their own currency. Called "Trash."
HAHAHAHA
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Response by huntersburg
over 14 years ago
Posts: 11329
Member since: Nov 2010
W67th also said that thousands of people touched his wife, and that his son took a dump in the bathtub while they were bathing.
He also said he was a residential landlord in the past, and during (alanhart close your eyes) that time was involved in litigation with his tenants.
He also owns a Porsche, a yacht, an IWC watch. He can also squat a lot at the gym. He also is required, as are all pets traveling without their owners, to take the freight elevator in his building.
Oh, and hw was a TA at Columbia Business School.
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Response by AvUWS
over 14 years ago
Posts: 839
Member since: Mar 2008
Both UBS and CS announcing layoffs in the coming month or two. UBS 5,000 and CS 1,000-2,000. I am not sure how many in NY but the #'s probably will not be insignificant.
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Response by dealboy
over 14 years ago
Posts: 528
Member since: Jan 2011
How many times can we milk the same damn "coming layoffs" headline? Hey, let's announce it 46 times, and then do it once. Makes the problem look 46x worse than it really is.
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Response by dealboy
over 14 years ago
Posts: 528
Member since: Jan 2011
This is a pre-announcement, then? They are announcing that they will be announcing layoffs in 2 months. Or will they simply be announcing another pre-announcement?
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Response by Sunday
over 14 years ago
Posts: 1607
Member since: Sep 2009
The fact that they are cutting is no longer "news". However, the numbers appears to going up, which is "news".
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Response by notadmin
over 14 years ago
Posts: 3835
Member since: Jul 2008
> The fact that they are cutting is no longer "news". However, the numbers appears to going up, which is "news"
true, by now it's clear the wave is coming, but nothing compared to what it was 3 years ago. it should affect less than 10% of payroll overall.
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Response by Sunday
over 14 years ago
Posts: 1607
Member since: Sep 2009
"...but nothing compared to what it was 3 years ago. it should affect less than 10% of payroll overall."
Don't underestimate the dangerous aftershocks of an earthquake.
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Response by falcogold1
over 14 years ago
Posts: 4159
Member since: Sep 2008
There's a bigger picture here.
It's the picture of a Manhattan employer that is gradually diminishing the number of workers it employs. Jobs go to Jersey, Conn., India, China, White Plains...Little by little Manhattan becomes home to the showroom vanity office. Once the garment industry employed thousands of New Yorkers. Today it's just a collection of showrooms. The digital age has freed us of the need to gather so physically close. It has freed us of the thousands of man power hours necessary to operate our financial institutions. In it's place it has left facebook, angry birds and internet porn.
There is a plan to restore the health of not only our city but our country.
The president has called for repeatedly.
We are depending on the ingenuity of the American people to miraculously elevate us from our current economic malaise.
In other words...
Somebody better think of something...fast.
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Response by jason10006
over 14 years ago
Posts: 5257
Member since: Jan 2009
FYI, GS has indeed confirmed that they may lay off more than the normal bottom 5%. So...errr...bullish...!?!?!?
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Response by dwell
over 14 years ago
Posts: 2341
Member since: Jul 2008
"Once the garment industry employed thousands of New Yorkers. Today it's just a collection of showrooms. The digital age has freed us of the need to gather so physically close."
Falco,
IMO, globalization really killed the garment area as production left 7th Ave & moved to low wage markets world wide. Agree that all that's really left are the showrooms, but schmata producers need showrooms so that buyers can see their collections, ie: "Saks is coming to see the Fall line". So sad: NYC & the US lost an industry.
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Response by w67thstreet
over 14 years ago
Posts: 9003
Member since: Dec 2008
@ falco
Angry porn?
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Response by huntersburg
over 14 years ago
Posts: 11329
Member since: Nov 2010
Step right up ladies and gentlemen. See and hear streeteasy's very own talking ape. Right here in Manhanttan on west 67th street. Yes ladies and gentlemen, this talking ape is not available in Boston or Philadelphia or Chicago. ONly here in New York City do we have this very special talking ape. He was even a teaching assistant at Columbia Business School.
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Response by jason10006
over 14 years ago
Posts: 5257
Member since: Jan 2009
So are we saying we wish we still had minimum wage garment sweatshops in Manhattan instead of high paying jobs at GS, Google, or Time Warner? I sure am not.
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Response by petrfitz
over 14 years ago
Posts: 2533
Member since: Mar 2008
Last time I checked this site - I saw exactly the same conversation taking place. A bunch of doom and gloomers frozen in fear having no idea how to make money in this marketplace. Congrats you have not progressed one bit in a year!
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Response by sjtmd
over 14 years ago
Posts: 670
Member since: May 2009
The American economy (i.e. not Manhattan) is almost entirely based on consumer spending. Over the last 10-20 years consumer spending was almost completely driven by credit. Credit largely derived from over inflated bubble real estate valuations. Productivity increased - less workers needed. Manufacturing left our shores - probably never to return (unless you see $200 / month wages while living in company dormitories). Immigrants, who did the jobs we woudn't or couldn't do (restaurants, construction, maintenance) are now owning the businesses they once worked for. And any hope that America has to creating jobs that cater to the growing markets in China/South America - well, it seems that many smaller, more agile economies have beaten us to it. So, what we are currently hearing now: "jobs, jobs, jobs..." is just political / pre - election hyper babble. The reality is, without "free money", America is kaput.
'/%3e%3c/g%3e%3c/svg%3e)
http://dealbook.nytimes.com/2011/06/20/bonus-cuts-pay-raises-then-layoffs/
http://nymag.com/daily/intel/2011/06/smaller_profits_mean_wall_stre.html
http://www.businessinsider.com/total-jobs-cuts-could-run-into-the-thousands-with-goldman-jp-morgan-bofa-and-more-looking-at-layoffs-2011-6
Wall Street has no effect on Manhattan. Move on, get a day job.
a few hundred less bankers :(
> Wall Street has no effect on Manhattan. Move on, get a day job.
lol
they forgot to mention the Barclay's door of forever exit... it seems they have layoffs every 2-3 weeks. London can always do it better then NY.
Trading volume in both equities and fixed income is down. There will be some consolidation.
GS is always firing the bottom 5% performers. I'm surprised that the small layoffs so far made the news as being such a big deal. I'll follow the conference calls within the next 2 weeks to see what they say about it.
You lie. GS lays off one to five percent every year. Depending on market conditions. In a bad year it's five, in 1999 or 2007 it was one.
jason10006: "You lie..."
You will burn in hell. The Lord does not look kindly upon people exaggerating perceived misunderstanndings into outright lies.
agreed, lying about those who do God's work is definitely not good.
But this is bullish fo NYRE..all these poor young bankers working 90 hour weeks will now have time to shop for apts
Get on this borkers!
now that these bankers can find jobs that are 60 hrs per week, they can move to over boroughs and flood the market with their apartments ;)
not admin: it's estimated that each job in wall street supports 3 nyc jobs (although very low paying ones like dry cleaning, restaurant and nannies)
I don't know, but I think this might spell the death knell for bottle girls. Though the liquor industry will survive as they didn't profit from the mark up on $1000 bottles of vodka -- but think of the ripple effect of no more bottle girls. Prada and Louboutin could collapse, overpriced stores and hotels in the meatpacking district could implode. The overpriced apts at the Caladonia could plummet. This is clearly end of empire fodder.
People have been saying that since 9/11.
I don't think so.
hush little baby dont say a word and nevermind that noise u heard. it's just the beast under your ur bed, in ur closet, in ur head......ENTER NIIIIIIGHT!!!!!
"death knell for bottle girls"
i think you may have accidentally had a deep thought there. which profession is older? "bottle girl" or money changer?
sleep with one eye open
grippin your pillow tight
What is it with the Goldman guys. Average people come to Goldman and do great things. Great people leave Goldman and do average things.....
------------------------------------------------------------------------------------------
Morgan Stanley (MS), the firm targeting a 2 percent market-share gain in fixed-income trading this year, was burned by a wager on U.S. inflation expectations in the second quarter, three people informed of the dealings said.
The bank’s interest-rates trading group lost at least tens of millions of dollars on the trade, which the firm has been unwinding, two of the people said, declining to be identified because the transaction isn’t public. Mary Claire Delaney, a Morgan Stanley spokeswoman, declined to comment.
Traders at the bank bet that inflation expectations for the next five years would rise in Treasury markets, while forecasts for the next 30 years would fall, according to two of the people. Such wagers on so-called breakeven rates involve paired purchases and short sales of Treasuries and Treasury Inflation Protected Securities, or TIPS, in both maturities.
The loss is a setback for Morgan Stanley as it seeks to boost revenue at its fixed-income trading unit, which last year posted less than half the amount of U.S. rivals including Goldman Sachs Group Inc. (GS) Chief Executive Officer James Gorman, 52, said in February that improving fixed-income trading performance is his top priority.
The interest-rate group is run by Glenn Hadden, who Morgan Stanley hired from New York-based Goldman Sachs in January. The move was part of a larger shakeup in the business as the firm replaced fixed-income trading head Jack DiMaio, 44, with Ken deRegt, 55. Hadden didn’t respond to a message left at his office.
http://www.bloomberg.com/news/2011-06-29/morgan-stanley-said-to-suffer-trading-loss-after-wager-on-u-s-inflation.html
>People have been saying that since 9/11.
Don't waste your energy on negative people like apt23. Everything is interpreted in the worst way possible.
"The world is coming to an end. It should have come to an end before, but the fact that it didn't really means that it is coming to an and now, plus all of the other things that have gotten worse. Oh, did I tell you about the time I called the police to report that my husband was about to use an illegal gun to threaten or harm a neighbor? He wasn't actually about to do it, but it helped get revenge on my neighbor, and the truth isn't important and the police are there to do what I tell them to do." -apt23
This is a win-win for Long Island City.
Hedge Fund Hiring Plummets
July 8th, 2011 EST
Hiring by hedge funds fell dramatically in June as funds struggled with poor performance.
Based on tallies of recent placements by HFObserver, hiring of experienced hedge fund/alternative investment professionals fell 63% versus May, and were down by more than half compared to the rest of 2011.
Data is based on publicly available reported hires of experienced hedge fund/alternatives professionals with several years of hedge fund/directly relevant experience.
The sudden drop comes mid-way through one of the busiest hiring years ever for hedge funds, which have also seen spectacular asset growth in 2011. Fund of funds asset had their largest six-month dollar advance since 2005, according to hedge fund media HFMWeek’s survey of fund of hedge fund administrators, passing their 2008 peak with assets managed at over $2 trillion.
However, poor performance by funds appears to have derailed continued staff expansion plans. At the year’s half-way point, the average hedge fund was down 2.12% globally, preliminary data from Hedge Fund Research show. By contrast, the S&P 500 index gained 6 percent. Hedge funds lost 1.95% and 1.71% respectively in June and May, according to the Dow Jones Credit Suisse Core Hedge Fund Index. Two bad months means many computer-driven and commodities funds and big brand firms are in negative territory for 2011, including some of the flagship funds at Paulson & Co., Greenlight Capital, Moore Capital, Renaissance Technologies, Tudor Investment Corp, Lansdowne Partners, and Pershing Square. Och-Ziff recently announced negative performance for June as well.
Until fund performance improves, job candidates can expect hedge fund hiring to remain weak relative to H1 2011.
With flat or negative year-to-date performance, many hedge funds haven’t yet earned performance fees from which to pay employee bonuses, which could be causing managers to re-think active hiring for now (bigger firms don’t need to rely as much on performance fees, paying bonuses out of management fees earned on assets under management. )
Hedge fund hiring generally tends to be closely tied to increased asset gathering and the need to put money to work. Given record sums under management, the sudden June drop-off in hiring is a big concern to recruiters, who are hoping the decline is temporary.
Some recruiters contacted by HFObserver believe that the June drop is due to a seasonal effect of slower summer months. Others explain the downturn as an expected and natural break given the rapid pace of hiring through May, which was almost as active as first half of 2008.
According to HFObserver job data, the number of open positions that hedge fund/alternative investment firms are currently looking to fill remains steady, suggesting instead that hedge fund managers may be moving more slowly on making hires given turbulent market conditions.
Many managers are also spending more time trying to keep assets from walking. According to financial administrator GlobeOp’s June Forward Redemption Indicator, investors asked for more of their money back from hedge funds in June than in any other month in 2011, following a sharp rise in exit requests in May.
The most active part of the hiring activity in June was for junior roles, especially intern hires.
http://hfobserver.com/news/hedge-fund-hiring-plummets/
all good news:
macro multistrats have gotten whacked around all year
Hedge fund hiring down, redemptions up
morgan stanley, which no longer does prop trading flushes 50 mill on a harebrained prop trade
sales trading revs volume anemic as shops are trading with eachother
deal flow syndicate shit
hurry....call your borker
This is a house of cards - aka bubble. How many times can it be said that stocks don't increase 30% in price when unemployment is 9.2%? Next month's employment numbers will be even worse; probably negative. Reducing the federal deficit right now is foolhardy.
The last person in government who understood economics was Paul Volcker, who ushered in 20 years of prosperity. Milton Friedman economics do not work. Harken, QE-III!
Harken? The Senator from Iowa? You really don't see or hear much from him.
The entire run-up in the stock and commodities markets in the past year has occurred with very low volumes, and very high leverage. WB is (as usual) correct - it's all hedge funds trading with each other. No real new money getting into the system, so as soon as the leverage runs dry and there are margin calls, it all collapses.
That's what happened when QE-I ended, but rather than let things settle down, Uncle Ben commenced with QE-II, which did nothing but cause inflation. Now he has yet another asset bubble on his hands, which will have to deflate. Couple that with every other bad economic policy and the magical thinking going on around the world, and it spells disaster.
Since the year 2000 they've tried the same inflationary monetary policy over and over again that keeps on failing, creating and bursting bubbles. This is just one more. Greece, Ireland - the Celtic Tiger and the Mystical Irish Carpenter, remember? - and Portugal are all going to default. They cannot support their level of debt, and raising taxes in countries with 25% unemployment is suicidal. Italy and Spain, if they don't default, are going to have to reduce spending to such a point that they will enter a depression.
In the US, unemployment is going to continue to rise as the bubble bursts, and not a goddamned thing the Fed can do about it. As with Volcker, it just has to happen to get everything back in balance again.
Which is why we all should move to Long Island City. I hear they're going to be minting their own currency. Called "Trash."
HAHAHAHA
W67th also said that thousands of people touched his wife, and that his son took a dump in the bathtub while they were bathing.
He also said he was a residential landlord in the past, and during (alanhart close your eyes) that time was involved in litigation with his tenants.
He also owns a Porsche, a yacht, an IWC watch. He can also squat a lot at the gym. He also is required, as are all pets traveling without their owners, to take the freight elevator in his building.
Oh, and hw was a TA at Columbia Business School.
Both UBS and CS announcing layoffs in the coming month or two. UBS 5,000 and CS 1,000-2,000. I am not sure how many in NY but the #'s probably will not be insignificant.
How many times can we milk the same damn "coming layoffs" headline? Hey, let's announce it 46 times, and then do it once. Makes the problem look 46x worse than it really is.
This is a pre-announcement, then? They are announcing that they will be announcing layoffs in 2 months. Or will they simply be announcing another pre-announcement?
The fact that they are cutting is no longer "news". However, the numbers appears to going up, which is "news".
> The fact that they are cutting is no longer "news". However, the numbers appears to going up, which is "news"
true, by now it's clear the wave is coming, but nothing compared to what it was 3 years ago. it should affect less than 10% of payroll overall.
"...but nothing compared to what it was 3 years ago. it should affect less than 10% of payroll overall."
Don't underestimate the dangerous aftershocks of an earthquake.
There's a bigger picture here.
It's the picture of a Manhattan employer that is gradually diminishing the number of workers it employs. Jobs go to Jersey, Conn., India, China, White Plains...Little by little Manhattan becomes home to the showroom vanity office. Once the garment industry employed thousands of New Yorkers. Today it's just a collection of showrooms. The digital age has freed us of the need to gather so physically close. It has freed us of the thousands of man power hours necessary to operate our financial institutions. In it's place it has left facebook, angry birds and internet porn.
There is a plan to restore the health of not only our city but our country.
The president has called for repeatedly.
We are depending on the ingenuity of the American people to miraculously elevate us from our current economic malaise.
In other words...
Somebody better think of something...fast.
FYI, GS has indeed confirmed that they may lay off more than the normal bottom 5%. So...errr...bullish...!?!?!?
"Once the garment industry employed thousands of New Yorkers. Today it's just a collection of showrooms. The digital age has freed us of the need to gather so physically close."
Falco,
IMO, globalization really killed the garment area as production left 7th Ave & moved to low wage markets world wide. Agree that all that's really left are the showrooms, but schmata producers need showrooms so that buyers can see their collections, ie: "Saks is coming to see the Fall line". So sad: NYC & the US lost an industry.
@ falco
Angry porn?
Step right up ladies and gentlemen. See and hear streeteasy's very own talking ape. Right here in Manhanttan on west 67th street. Yes ladies and gentlemen, this talking ape is not available in Boston or Philadelphia or Chicago. ONly here in New York City do we have this very special talking ape. He was even a teaching assistant at Columbia Business School.
So are we saying we wish we still had minimum wage garment sweatshops in Manhattan instead of high paying jobs at GS, Google, or Time Warner? I sure am not.
Last time I checked this site - I saw exactly the same conversation taking place. A bunch of doom and gloomers frozen in fear having no idea how to make money in this marketplace. Congrats you have not progressed one bit in a year!
The American economy (i.e. not Manhattan) is almost entirely based on consumer spending. Over the last 10-20 years consumer spending was almost completely driven by credit. Credit largely derived from over inflated bubble real estate valuations. Productivity increased - less workers needed. Manufacturing left our shores - probably never to return (unless you see $200 / month wages while living in company dormitories). Immigrants, who did the jobs we woudn't or couldn't do (restaurants, construction, maintenance) are now owning the businesses they once worked for. And any hope that America has to creating jobs that cater to the growing markets in China/South America - well, it seems that many smaller, more agile economies have beaten us to it. So, what we are currently hearing now: "jobs, jobs, jobs..." is just political / pre - election hyper babble. The reality is, without "free money", America is kaput.
Petrizitz is BACK!!!!