October 2008 turned out to be quite a month. The Dow Jones Industrial Average fell 14%, its biggest decline since October 1987, and it had the most down days in a month since August 1973.

Europe's Stoxx 600 fell 13% during the month, its steepest monthly fall since September 2002. October's stock sell-off erased over $9 trillion from the value of global stocks, around a third of the total value lost this year.

The pound suffered its biggest monthly drop since 1992, and UK consumer confidence came in at its lowest level since 1974, when records began.

UBS Investment Bank confirmed 2,000 job losses, Citi lost out in a fight with Wells Fargo for Wachovia.

National governments around the world agreed to bailout their banks, providing liquidity, and taking direct stakes in certain institutions.

JPMorgan Chase was accused of bringing down Lehman Brothers by freezing some of its assets, and former Lehman CEO Richard Fuld was hauled before Congress, and did a not very good job of explaining himself. BarCap was said to be cutting 3,000 US staff following the Lehman acquisition, UniCredit was said to be chopping 700 investment banking staff and Royal Bank of Scotland CEO Sir Fred Goodwin fell on his sword as his firm is taken into partial UK government ownership.

It's the worst month for hedge funds in a decade, and several firms started to cut back on staff. French bank Caisse d'Espagne revealed a $950m derivative trading loss, and blamed a trader who undertook unauthorised transactions.

Merrill Lynch CEO John Thain confirmed that 'thousands' of his staff will leave following the impending merger with Bank of America, China's Citic Pacific, the securities arm of one of the country's biggest conglomerates, said that it faces a $2bn loss on an FX hedge that proved to be no hedge at all, and Goldman Sachs was said to be cutting 3,200 staff as it reins in costs.

Hedge funds are said to lose $37bn shorting Volkswagen shares, JPMorgan Chase became the latest firm to cut IT contractor pay, and Barclays Capital (and several other firms) cancel Christmas.

Sources - Bloomberg, Financial Times, Here Is The City, Reuters, The Wall Street Journal

Please use the 'E-mail' button immediately under the article title to send this item to a friend.

Please use the 'E-Mail' button immediately under the article title to send this item to a friend.

Press here to comment on this story >>

Today in Life: X-Factor Has the X-Factor >>

TODAY

• Meet Goldman Sachs' Newest Managing Directors
• Best Place To Work Update
• Bank Tells Staff To Knock Off Early To Make Babies

THIS WEEK

• Best Place To Work 2010 Latest
• Top Firm Told To Give Up Bonuses
• 'Sorry - But Christmas Is Cancelled'