Thursday's Headlines: M&A Could Spike Next Year

M&A activity among U.S. banks could spike next year as the financial crisis and continued bank failures bring more consolidation to the industry. [Reuters via International Business Times]

Bankers in Europe could see their compensation curtailed by regulators, with bonuses capped based on links between performance and risk. [FT]

Hiring in London's financial services industry may soon come to a halt, according to a report by the Centre for Economics and Business Research. London's luster is wearing thin as Shanghai and Singapore play bigger roles in international finance and the City loses hedge fund jobs to Switzerland. [Bloomberg]

Morgan Stanley is becoming a bigger player in advisory services in oil and gas, snaring two deals worth $3.9 billion this week. [Financial News]

Jefferies launched a hedge fund relationship group in the U.S., bolstering its sales and trading services for equities and fixed income for financial institutions. [Marketwatch]