JPMorgan's Whale Trade Reportedly Sinks By Another $1 Billion

NEW YORK (Reuters) - Another JPMorgan Chase & Co risk manager, who worked for a division that lost at least $5.8 billion on a series of complex derivatives trades, has hired a lawyer in connection with probes into the so-called "London Whale" trading debacle, according to sources familiar with the investigations.

 I used to like DealBreaker, I really did. Alas that was in my younger years before I made a (very) small name for myself and before I took the red pill offered to me by Tyler Durden. Now I realize that sarcastically apologizing for the nefarious character of the financial world is pretty much the same as just plain-old apologizing for it...

* Investment bank bet against CIO in derivatives market * Bank said to have discussed merging opposing trade books * Opposing bets could fuel claim JPM is too big to manage

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. 

By Bret Jensen:Major banks took it to the shorts during Wednesday's market plunge. Most of the biggest banks were off 5% to 8% during the pullback. The prospect of increased regulation during the second term of President Obama, the reversal of the pro-Romney trade, and the specter of Elizabeth Warren having influence in the Senate with regard to the financial services area all rocked the sector.

Andrew Feldstein, the CEO/CIO of $12.5 billion BlueMountain Capital (the hedge fund on the other side of the "London Whale" trade), spoke at the Harbor Investment Conference this afternoon at JPMorgan Chase.