We are recuperating from an extreme slowing that we experienced over the summer. We were expecting the markets to pick up some and they have.

There's obviously been a variety of issues swirling around the banks and the big broker dealers, and this is yet one more straw.

You have to consider concerns about the economy and interest rates. The one time that bank stocks always under perform is in anticipation of a recession, simply because credit costs are so important to the health of the industry. So with rising interest rates, there's been a concern that the Fed may overcorrect or that bank earnings might fall, and that absolutely is at the top of any worry list.

Clearly the SEC is investigating. It's standard procedure.

Morgan's numbers were outstanding. It was all trading.

Merrill is not going to merge with anyone in the near future.