In an internal broadcast today, Merrill Lynch chairman and CEO David Komansky updated employees on how the firm is dealing with repercussions of last week’s World Trade Center tragedy.

“As we sit here today, Merrill Lynch without question has the most liquid, safest balance sheet that we’ve had in our history. The security of your clients’ cash and securities are without question. And it’s something that you can confirm to them with every bit of confidence. I think as you look at the entire picture, while we have taken a blow to our infrastructure, we have not taken a blow to our spirit. We have relocated almost all of our people. We are gaining strength each and every hour as far as our ability to support our business efforts around the world,” he said.

Merrill Lynch also warned its advisors that investors may be receiving calls from scam artists claiming to be either Merrill Lynch employees collecting data or philanthropic organizations seeking donations for victims of last week’s events. It noted that no client should give out account numbers or any personal information to individuals claiming to be calling on behalf of Merrill Lynch, or any brokerage firm. Merrill Lynch has access to all client accounts and would not need to solicit information such as account numbers, Social Security numbers, etc.

Otherwise, Merrill reported continued smooth operations across all business lines. Capital markets trading continues to be orderly, with debt trading 100% operational and equity trading nearing full operating capacity.

U.S. investment strategist Christine Callies issued a report today reminding investors that despite the enormity of last week’s events the U.S. has experienced similar economic conditions in the past: Citing such past events as Pearl Harbor and the Gulf War, Callies offer this reassurance, “The combination of military conflict and a weakened economy is not unique in U.S. economic history. Despite these impediments and the damage to consumer confidence, the economy and corporate profits managed to stabilize after only a short apparent delay.”