The stock market soars at the open as global markets rally after
several governments took steps to improve liquidity and shore up
confidence.
The Fed and other central announced plans to provide as much liquidity
as needed in short term funding markets. In additions, the U.K.
government plans to inject up to $63 billion in three U.K. banks.
Germany will guarantee up to 400 billion euros in interbank lending.
Morgan Stanley (MS 15.00, +5.32) and Mitsubishi UFJ Financial confirmed
the closing of a $9 billion, or 21%, investment in MS. Under the terms
of the deal, MUFG acquired $7.8 billion perpetual noncumulative
convertible preferred stock at a 10% dividend and a conversion price of
$25.25. MUFG also acquired $1.2 billion of perpetual noncumulative
nonconvertible preferred stock with a 10% dividend.