Still looking for direction, the financial sector is up 2.6% this
session, though that pales in comparison to the prior session's 8.9%
slump. One weak spot in the sector remains to be investment banking
and brokers (-0.6%) as their future remains clouded.
Reuters reported that Morgan Stanley (MS 20.15, -1.50) is pursuing
multiple tracks to endure the current crisis. Reuters also reported
Morgan Stanley is approaching China Investment Corp regardin an
increased stake in the American investment bank.
The fate of Morgan Stanley has been debated in recent sessions,
following the failure of Bear Stearns, Lehman Brothers, and the merger
between Merrill Lynch (MER 20.38, +1.02) and Bank of America (BAC
28.70, +1.50).