Since last autumn relentless assaults have been made on almost every aspect of Merrill Lynch's business. Merrill, it was said, had finally fallen victim to overweening pride, and now found itself forced irrevocably towards being subsumed into a commercial bank (Chase Manhattan has long been the favourite candidate). Behind the slide lay a series of mistakes and miscalculations that seemed to affect almost every aspect of the US investment bank's business.
Merrill's response was calm. It still talked to the media, still talked to analysts. And its executives showed they had kept their sense of humour. At the start of June when the firm announced its long-awaited internet strategy for its huge private-client business, chief executive David Komansky's tongue was firmly in his cheek. "We're here today," he began, "to announce the biggest merger in history. Between Merrill Lynch and you, the investing public."
It was an obvious swipe at...
