Over the past few years, there have been occasional tidbits of information that signal the big investment banks are still suffering. Some layoffs here. Rough quarterly results there.
However, James Gorman, the head of Morgan Stanley, got real in a new interview with the Financial Times. His message: there are still too many people on Wall Street and not enough business to justify their costs. And although Morgan Stanley itself has acknowledged this before, by announcing 4,000 job cuts, Mr. Gorman was much more forthcoming this time.