WSJ - J.P. Morgan Flags $2 Billion Trading Loss
J.P. Morgan Chase has taken $2 billion in trading losses in the past six weeks and could face an additional $1 billion in second-quarter losses due to market volatility, Chief Executive James Dimon said Thursday in a hastily arranged conference call after the market closed.
The losses stemmed from derivatives bets gone wrong in the bank's Chief Investment Office, a part of the corporate branch of the bank that manages risk for the New York company. The Wall Street Journal reported last month that large bets being made in that office had roiled a sector of the debt markets.
The loss is a black eye for the bank, which sailed through the crisis in better shape than most of its peers, and Mr. Dimon. It comes at a time when large banks are fighting efforts by regulators to rein in risky trading with measures such as the so-called Volcker rule.
Full article here.
Thoughts?






not too bad.
not too bad.
"A man generally has two reasons for doing anything. One that sounds good, and the real one." - J.P. Morgan
at least they didn't blame it
at least they didn't blame it on a rogue trader.
Do you think this might have
Do you think this might have any impact on hiring? I have an internship at JP in ER this summer which I'm pretty hopeful about converting....
Time for new CEO.
Time for new CEO.
motivator: Do you think this
Do you think this might have any impact on hiring? I have an internship at JP in ER this summer which I'm pretty hopeful about converting....
Yes, but fortunately not for you.
Do what you want not what you can!
net loss was only 800 mm.
net loss was only 800 mm. read through the call
Here's the thing. If you can't spot the sucker in the first half hour at the table, you are the sucker.
Paul Volcker just came.
Paul Volcker just came.
The only problem is the loss
The only problem is the loss could theoretically get larger, Dimon sounded absolutely livid on the call. Someone screwed the pooch.
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I still have no effing clue
I still have no effing clue what's going on. I don't speak in VaR
lol var BEACHED WHALE
lol var
BEACHED WHALE
JPM CIO group = bank's
JPM CIO group = bank's internal hedge fund. I have a few friends that work on that desk. Group made $5BLN last year, now down -$2BLN.
$2bn loss + $1bn more
$2bn loss + $1bn more potentially = total loss is...
about tree fiddy?
Somewhat funny since the CIO
Somewhat funny since the CIO and the "London whale" were just in the news a while ago.
djrajio: JPM CIO group =
JPM CIO group = bank's internal hedge fund. I have a few friends that work on that desk. Group made $5BLN last year, now down -$2BLN.
no you don't or your friends work at another group...CIO does not make a lot of money and you can confirm that in public statements so don't make untrue remarks.
Do what you want not what you can!
This no doubt has to do with
[quote=Nabooru]
The losses stemmed from derivatives bets gone wrong in the bank's Chief Investment Office, a part of the corporate branch of the bank that manages risk for the New York company. The Wall Street Journal reported last month that large bets being made in that office had roiled a sector of the debt markets.
This no doubt has to do with the synthetic credit positions were heard being taken up by the London Whale a few weeks back, seems like they got to closing those out.. of course only AFTER the market heard about it, making the pain so much more.
PS = "CIO" is nothing more than prop trading, merely disguised due to Volcker rule enforcement. Every bank has it now.
Point is, we know the loss
English!
bullbythehorns: net loss was
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O ma goodness
Anyone know what's this AFS
I wonder if Buffet will get a
"A man generally has two reasons for doing anything. One that sounds good, and the real one." - J.P. Morgan
at least Dimon was man enough
on conf call dimon said "they
blastoise: Time for new
I hope this doesn't give
IVY for Life
btw is it possible to find
all going down the toilet..
trailmix8: btw is it possible
Bondarb: on conf call dimon
That film was terrible...
JeffSkilling: trailmix8: bt
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Dimon is a DEAD MAN WALKING.
Sorry. Repost.
Blood in the street brothers
bossman: djrajio: JPM CIO
Bondarb: on conf call dimon
ezekiel: Bondarb: on conf
HFs on the other side of
ezekiel: Bondarb: on conf
Doesn't seem that big a deal.
RufioandHook: Doesn't seem
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Haha well thanks for not cock
englandwales: bossman: dj
Do what you want not what you can!
RufioandHook: Doesn't seem
I thought this was a good
Do what you want not what you can!
bossman: englandwales: bo
englandwales: bossman: en
Do what you want not what you can!
What do you guys think, sell
A bit more info concerning
I love that there was so much
relinquis... Killing the GMAT this December; Over/Under set at: 725 GMATs.