JPMorgan’s Gamble Puts Global Economy at Risk: Bill Black

A bunch of current and former JPMorgan Chase executives will head to Capital Hill this morning for a senate hearing on the "London Whale" trade that caused the bank to lose billions last year. 

Earlier today, as part of our JPM earnings recap we observed that "VaR plunged from $106 to $62" and wondered if it was just just "another excel copy/paste error" which as we reported previously, is what JPM's internal audit attributed much of the confusion surrounding JPM's VaR calculation around the time the London Whale blow up nearly doubled the firm's VaR.

By Ellen Brown: When Jamie Dimon, CEO of JPMorgan Chase Bank (JPM), appeared before the Senate Banking Committee on June 13, he was wearing cufflinks bearing the presidential seal. "Was Dimon trying to send any particular message by wearing the presidential cufflinks?" asked CNBC editor John Carney. "Was he... subtly hinting that he's really the guy in charge?"

Editor’s Note: Mark Roe is the David Berg Professor of Law at Harvard Law School, where he teaches bankruptcy and corporate law.

Senate Banking Committee wants answers about JPMorgan's big loss but CEO Jamie Dimon won't end up giving them any new information.

By James Kwak Jonathan Macey, a former professor of mine at Yale Law School,* recently wrote an op-ed for the Wall Street Journal (paywall; excerpts here) arguing that we shouldn’t worry about JPMorgan’s recent trading loss because market forces will ensure that the bank does a better job next time. Here’s a key paragraph: