Last two investment banks on Wall Street give up their independence (22.09.2008) je 08

In the latest turn in the US banking crisis, the last two investment banks on Wall Street are giving up their independence and will in future be subject to supervision by bank regulators. The US Federal Reserve announced late Sunday that it is allowing Goldman Sachs and Morgan Stanley to become traditional bank holding companies. The move represents a further radical transformation in the financial system that prevailed on Wall Street for decades, and comes as the US Congress begins considering a 700 billion dollar rescue plan designed to bail out banks faltering under the weight of bad debt. +++SYN-MAZ+++