You're watching...
FBN’s Charlie Gasparino with news that Morgan Stanley bankers may make recommendations for companies on where to list following Facebook’s IPO deb...
Also in this playlist...
Auto-advance: ON
Auto-advance
This transcript is automatically generated
Thank you for that.
Is Morgan -- -- the NASDAQ stock exchange following the FaceBook IPO debacle.
So much so that it may be taking a more active role in helping companies choose which exchange to list where it.
Charlie Gasparino has that expensive -- nineteen hi eight point 82 harder I wanted to -- you -- correct.
-- -- it's despise wow.
It's like you know low flying low -- center employees in booking -- job -- James Gorman -- a poisoned Bob Greifeld I mean this is part of who.
-- get to the story -- -- put that they really just there -- a lot of thought people are more assailing really blame.
James Gorman in protective seal blamed the NASDAQ for screwed up the IPO screwed up the price and they believe the price would be higher.
The downward momentum on this and FaceBook shares would've been sort of averted if NASDAQ and -- that.
Huge glitch that occurred to Fridays ago it was at last Friday it's feels like so -- It was last Friday.
That that led to.
Let's -- -- let them and one of the biggest IPO the -- -- of all time very little we know.
Generally on the right -- lead on the race do not kinda get involved in listing decisions they leave that up to the company.
NASDAQ FaceBook to some interest in this time reported that listing consulted -- the -- we were talking about yeah it's been so it's generally the company's decision.
Bankers.
-- may wait a little bit but it's really their decision here's what we know Morgan Stanley following this.
May take an act -- more active role in basically telling the company where to list on you can guess where the gonna tell companies were to list on now.
With -- what they where they're pondering is a policy.
Where if the -- comes them and says listen we want your -- which occurs a lot of time.
That they actually take an active role in in selecting which which exchange New York Stock Exchange NASDAQ primarily because these -- stock offerings.
Which exchange to go to.
What we hear inside Morgan Stanley is that they are really worried and this is where NASDAQ is gonna have a problem why -- that that the New York Stock Exchange may get.
The not at least police for the foreseeable future for Morgan Stanley.
They're worried about -- its ability to handle big IPOs you know they don't think it's a problem and a small IP if you look at NASDAQ does handle small IPOs pretty well -- just happens.
Not it's not that much work right Smart feels -- IPOs lot more retail demand.
Meaning that you know is a lot of moving parts but they are worried about nasdaq's wrote the ability to handle these big IPOs.
And that's where the NAFTA and so the not is likely on big IPOs gonna go to to to the New York Stock Exchange like I said this is a work in progress it's.
It's boom -- there -- pondering a policy.
It's not good news if they go this step I think they will go the step based on what happened -- this.
He's really bad for Morgan Stanley being -- you have to look at it this way.
Morgan Stanley is also retail brokerage -- 181000 brokers and much of this deal anywhere between twenty and 30% of this deal went retail.
That means they screwed the wrong clients.
This is a bad thing inside Morgan Stanley they can't have a they can't have a situation where the exchange.
Screws and IPO this badly at the open.
Is it fair to blame on the NASDAQ entirely for the -- I mean to what -- it was defining what's a price to find this.
-- -- this there -- so many moving parts to make cogs in the wheel I mean that's the whole thing you have to define this is it fair for them to blame.
NASDAQ NASDAQ for screwing up the opening and it without a price they're too many shares who or what we don't know was over price they had -- now reports saying it now regrets but that's the problem they had bids coming in -- and this is what -- with those who.
A -- there.
I do know that bids were coming in above 42.
I remember when that was going on I -- -- -- -- whether somebody retail investors involved it's because the professional crowd didn't want as many assurances that as -- out there about a price you know amounted to share it wouldn't be been shorted.
But you know who knows what would happen if that if that deal got off the ground may be right now be trading at 35 was a treating them.
Below thirty by far 37 inch 27 despite it would 27 is is in interest in number.
The fact that it's broken 28 now.
Shows that this things -- -- that that is not good for Facebook's shareholders.
This thing's going to be twenty dollar stock no doubt now the question is where's that -- we were talking about the -- went on to where's the bottom I don't know.
There will be a bottom at some point and by the way.
Nine.
Two weeks of -- -- on its global learned it's what a regular -- There's -- place I'll look ninety minus two weeks is -- end of lock ups.
It could be messy I'll tell you and the broader cloud of gloom in June hitting this marketplace while around the world when he's on -- look at look at the yield on the ten year mean that this is.
Hello -- I please tell -- -- pay is a big.
All the movie although I must say Morgan Stanley's totally devoid of the blame here.
But man you've got to expect the exchange suggesting the -- of people have borders I mean and by the way give people reason not to invest.
And they're not going to be in this market -- I've given the fact it's going -- with the economy.
Flash crash you name it FaceBook it's it's bad stuff.
Freighter out China I -- a list is longer -- -- -- I'm not trying to bring up thanks so much.
What were waiting for president Obama's reaction to the disappointing jobs numbers will bring you his remarks.
Live but first take a look at metals -- we had to break below this really the story today with all this talk of the feds stepping back and we'll get back 1619.
How he decided iboxx.
