Morgan Stanley Said to Cut Industrial Metals Trading Businessby , , and
Morgan Stanley is pulling out of most industrial metals trading as it reduces its workforce, according to two people familiar with the plans.
The bank will still do some custom deals and keep trading of precious metals, according to the people, who asked not to be named because the information hasn’t been made public.
Banks have scaled back or completely exited raw-materials businesses as commodity prices plunge. JPMorgan Chase & Co. sold part of its physical commodities business to trading house Mercuria Energy Group Ltd. last year, while Barclays Plc, Deutsche Bank AG and Credit Suisse Group AG pulled back amid regulatory scrutiny and pressure from lawmakers.