Credit Suisse CEO Warns About Investment Bank Earnings

Dow Jones reports that Credit Suisse CEO Brady Dougan told investors at the Bank of America Merrill Lynch conference Wednesday that his investent banking unit put in a mixed performance in the thrid-quarter.

Dougan confirmed that  M&A and leverage finance were 'quite active', while volumes in businesses like fixed income and currency trading were 'a bit more subdued'

The Credit Suisse boss insisted that his firm was well able to deal with difficult market conditions because of its business mix.

In the meantime, Bloomberg reports that Goldman Sachs has reduced its earnings estimates for Morgan Stanley, citing 'soft' revenues from fixed income, currency and commodities and equities operations.

The news agency also reports that Goldman has raised $2.05bn from selling 2.75m shares in Industrial & Commercial Bank of China Ltd. The sale represents some 23% of Goldman's stake in the bank.

And Reuters reports that Barclays incoming CEO Bob Diamond confirmed Wednesday that his bank had sufficient capital to comply with the new Basel requirements. He said: 'Of course we have a lot of work to do to adapt to the new Basel framework, but from what we know and see today, we believe we have enough equity capital and it is not our objective to turn to our shareholders for more'.

Finally, AFP reports that the 300-lot auction of Lehman art which took place at Christies in London Wednesday did well, with some items fetching 20 times their estimate prices. Two Lehman signs from the firm's London HQ went for $111,700. 'A sign of the times', one banker told us.

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