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Text size [+][-]  Saturday November 7 2009GLOBAL EDITION

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10 Oct 2008 19:37

Let Wall Street live



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Morgan Stanley shares plummeted more than 40% on Friday amid concerns its credit rating and $9bn capital injection from Japan’s Mitsubishi UFG is imperilled.

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Lehman’s collapse has caused enough bloodletting, much of it unforeseen. The system can’t take further haemorrhaging. If Morgan Stanley goes, Goldman probably follows, then who? Governments must guarantee funding until balance sheets can be wound down.

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