ChartProphet submit:The JP Morgan (JPM) trading blunder could result in a $100 billion loss, a contagion of its massive portfolio, and even the wipeout of its entire asset base. Even worse, these extremely risky and potentially-illegal actions on behalf of the CIO office and the "London Whale" could be the unexpected "shock" that breaks the market, derails the Fed's huge monetary stimulus, and sends us back into a global recession.
Chief executive Jamie Dimon admits JPMorgan Chase was 'sloppy' and 'stupid,' and worries the trading loss could empower regulators to further restrict risky trades by large banks.WASHINGTON — JPMorgan Chase CEO Jamie Dimon acknowledged Sunday that his company's $2-billion trading loss could empower government regulators seeking to place tighter controls on risky trades by large banks.
According to a report the Fed’s Office of Inspector General released on Tuesday, the Federal Reserve Bank of New York has not pursued its planned investigation of JPMorgan Chase & Co.’s (JPM) investment unit.
WASHINGTON (Reuters) - U.S. regulators are set on Tuesday to approve a rule to rein in risky trading by banks, a crucial part of their efforts to reform Wall Street and prevent another costly taxpayer bailout.
By Hawkinvest:JP Morgan Chase (JPM) shares plunged in after-hours trading Thursdaywhen the company reported trading losses of about $2 billion which could make one division report a second quarter loss of about $800 million.A CNBC article quotes CEO Jamie Dimon as saying:
By Daryl Montgomery: JPMorgan Chase (JPM) revealed yesterday that one of its traders, Bruno Iksil, was responsible for a $2 billion loss in the last six weeks. Apparently, little has changed since 2008 when the irresponsible activities of the big banks and trading houses almost brought down the world financial system.
By Michael T. Snyder: When news broke of a 2 billion dollar trading loss by JPMorgan (JPM), much of the financial world was absolutely stunned. But the truth is that this is just the beginning. This is just a very small preview of what is going to happen when we see the collapse of the worldwide derivatives market. When most Americans think of Wall Street, they think of a bunch of stuffy bankers trading stocks and bonds.