Whose next? Suddenly, the spotlight is turning to Morgan Stanley. The rumor mill holds that the bank might announce some big write downs soon. David Trone, analyst at Fox-Pitt Kelton, has predicted that the firm could suffer losses of $6 billion due to credit issues. The New York Post notes that some analysts are questioning its level III assets--and how they ought to be valued. A modest writedown would likely not lead to John Mack's ouster. He remains a popular figure internally and has built a track record that should keep his job safe. Of course, that's what I said about Stanley O'Neal. Under Mack, Morgan Stanley bought Saxon Capital and really made a name for itself in the subprime industry. All said and done, I think his job is safe. Stay tuned.  

For more:
- here's the New York Post article