華爾街

INVESTORS KEEP FAITH IN WALL STREET'S OLD GUARD

Stock market reaction to the US toxic assets plan suggests investors believe the Wall Street banks Goldman Sachs and Morgan Stanley will benefit, while their commercial banking rivals Citigroup, Wells Fargo and Bank of America will suffer.

Share prices jumped when a plan to create public-private funds to purchase up to $1,000bn in troubled securities and loans was unveiled on Monday by Tim Geithner, US Treasury secretary.

But over the week investors began to discriminate, trying to gauge which banks would be forced to take further writedowns as a result of the government's efforts to clean up the financial system and which ones could see profits from the sale of securities on which they have already taken heavy market value losses.

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