US banks – bonuses and profits back on track
The Guardian has an interesting report tucked into the financial pages today. US banks are already making big profits and paying big bonuses.
Despite calls for restraint in multi-million dollar pay packages, Wall Street bonuses jumped by 17% to $20.3bn (£13bn) for 2009 as America’s financial services industry rebounded swiftly from the credit crunch to healthy profitability, according to New York’s tax department…
DiNapoli said the total bonus pool was down by about a third on 2007, when the financial crisis had yet to wreak unprecedented havoc on the markets. But he said Wall Street was on track to make an aggregate profit of as much as $55bn for 2009, a remarkable recovery after a $43bn loss in 2008.
Together with hedge funds and other instituions they can easily afford to pay a Robin Hood Tax.