Morgan Stanley' today provided the good news that has been absent for much of Wall Street's reporting season, announcing its investment banking and trading businesses had weathered the market turmoil that yesterday caused Goldman Sachs' revenues to plunge. Despite a 22% hit on profits from the previous quarter, the bank beat earnings estimates by 70%.

The bank said second-quarter net revenues from the institutional securities division, which comprises investment banking and trading, rose 52% to $4.5bn (€3.5bn) compared with the same period last year, thanks to heightened client activity in trading and gains in advisory revenues.