Not sure if this is will be widespread or if its a nothing burger but it's worth noting. The missing ingredient for a good recession is employment. Construction and manufacturing were already limping. Job layoffs usually help stock prices as it reflects a commitment to cost cutting but it can also be a red flag signaling impending woes. Stay positive people.
Plan for the worst but expect the best.
The layoffs come at a time of the year when it is common for Wall Street to cull some underperformers and trim staff as part of annual reviews.
The cuts also come at a time when hopes for an IPO bonanza and dealmaking boom in the first year of the new Trump era are being put to the test due to uncertainties surrounding the Trump administration’s trade policies.
Morgan Stanley is planning to cut around 2,000 workers by the end of the first quarter, according to a person familiar with the matter.
The reductions will affect front-office and back-office employees across all units. They won’t include Morgan Stanley’s army of 15,000 financial advisers, but the layoffs will affect some people working for the advisers in support functions.
The person familiar with the moves said they are part of the bank’s ongoing process to assess its resource needs based on its business priorities, location strategy and employee performance globally.
my guess is that like their obsession with the price of eggs, there will be a huge legacy media spotlight on any layoffs even if they are an annual cull or longtime coming staff adjustment
they insist on hosing their audience with negative economic information of all forms because of the President. Just like under the virus, they are really hoping the economy crashes.
balancing information is that government spending has not yet been cut, but only paused in certain agencies, and Congress passed a spending bill in the form of a CR that is exactly the same sized budget as the one signed by Biden for 2025
and, February showed a net increase in jobs despite any Federal furloughs or administrative leaves to date
furthermore, most 'terminated' Federal employees will continue to be paid at least through Sept 30 or longer if retired
YMMV