Wall Street major Morgan Stanley (MS.N) is expected to start a fresh round of layoffs globally in the coming weeks, three people with knowledge of the plan said, as dealmaking business takes a hit due to rising inflation and an economic downturn.

In Asia Pacific, the bank has drafted up a list of staff members considered redundant, who will mainly come from teams that focus on China-related business, two of the sources said. All declined to be named as the information is confidential.

Morgan Stanley last month reported a 30% slump in third-quarter profit, missing analysts' estimate as a slowdown in global dealmaking hurt its investment bank business. It hinted that some cost-cutting actions were on the radar.

"We're looking at headcount," Chairman and Chief Executive James Gorman said in a conference call last month, without providing details. “You've got to take into account the rate of growth we've had in the last few years, and we've learned some things through COVID about how we can operate more efficiently."