NY comptroller warns of weakness on Wall Street

[xchrom]

http://hosted.ap.org/dynamic/stories/U/US_WALL_STREET_JOBS?SITE=AP&SECTION=HOME&TEMPLATE=DEFAULT&CTIME=2011-10-11-10-12-51

NEW YORK (AP) -- Wall Street is again losing jobs because of global economic woes, threatening tax revenue for a city and state heavily reliant on the financial industry, New York Comptroller Thomas DiNapoli said Tuesday.

DiNapoli said that after adding 9,900 jobs between January 2010 and this April, the industry shed 4,100 jobs through August and could lose nearly 10,000 more by the end of 2012. That would bring the total industry loss to 32,000 positions since the economic crisis of 2008.

He said profits at New York Stock Exchange firms earned $9.3 billion in the first quarter of this year, but declined sharply in the second quarter and are likely to reach $18 billion for the year, a third less than in 2010.

"The securities industry had a strong start to 2011, but its prospects have cooled considerably for the second half of this year," DiNapoli said. "It now seems likely that profits will fall sharply, job losses will continue, and bonuses will be smaller than last year."

[xchrom]

1. another article: Wall Street May Trim Bonuses, Cut 10,000 Jobs by End of ’12, DiNapoli Says

http://www.bloomberg.com/news/2011-10-11/wall-street-may-trim-bonuses-cut-10-000-jobs-by-end-of-12-dinapoli-says.html

Wall Street may give out smaller bonuses for the second straight year and shed almost 10,000 jobs by the end of 2012 as Europe’s debt crisis slows the economy, New York Comptroller Thomas DiNapoli said.

Member firms of the New York Stock Exchange earned $9.3 billion in the first quarter, about half of the $20 billion New York City projected they’d earn for all of 2011. Since then, profits have dropped sharply and are unlikely to reach $18 billion for the year, DiNapoli said in a report today.

“The securities industry had a strong start to 2011, but its prospects have cooled considerably for the second half,” DiNapoli said. “It now seems likely that profits will fall sharply, job losses will continue, and bonuses will be smaller than last year.”

The Standard & Poor’s 500 Index is down about 5.5 percent this year after gaining 12.8 percent in 2010. Stocks retreated today on concern Europe’s debt crisis may worsen.

[joeybee12]

2. Are they prepping us for another bailout? nt

[Lint Head]

3. We are being conditioned for the economy to totally fail. It's the Shock Doctrine at work.