Posted by on Dec 20, 2011 in Uncategorized | No Comments

I’m not sure there is much left in this trade. If Europe deteriorates, we could see JEF trade through MS, especially since MS is likely to have a large loss this quarter (some DVA give back, settlement with MBIA, and typical problems of all investment banks), but if Europe does indeed convince everyone it has some solution, MS will benefit more than JEF.

Source: Bloomberg