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Why What Jamie Dimon Doesn’t Know Is Plain Scary
Bloomberg's Jonathan Weil rips the lies emanating from Jamie's mouth, a new one.
What Jamie Dimon Doesn’t Know Is Plain Scary
Could Jamie Dimon really be as clueless as he sounded on the phone yesterday?
Last month, after Bloomberg News broke the story that JPMorgan Chase & Co. (JPM)’s chief investment office had, in essence, become a ticking time bomb, Dimon, the bank’s chief executive officer, called the press coverage “a complete tempest in a teapot.” That explanation no longer works.
Yesterday, Dimon changed tacks. Losses on the investment office’s “synthetic credit portfolio” had reached $2 billion so far this quarter, though he refused to give any meaningful details on how that had happened. Presumably, these are derivatives of some sort, but even that basic fact was too much for the bank to specify.
What Dimon lacked in information, he more than made up for in assigning blame -- to himself and JPMorgan employees. “There are many errors, sloppiness and bad judgment,” he said, as JPMorgan’s stock sank in after-hours trading. “These were egregious mistakes. They were self-inflicted.” He called himself and his colleagues “stupid.”
But there is more to it than that. Either Dimon misled the public about the gravity of the festering trades during his company’s first-quarter earnings call last month. Or he didn’t know what was happening inside the bowels of his own company. History tells us the latter is the norm for Wall Street bosses, though it’s hard to say which is worse.
New Rule
Don’t bother asking JPMorgan how it accumulated all these losses. That information is proprietary, as if the taxpayers who bailed out the bank in 2008 don’t have any business knowing. Here’s an idea for a new rule: If a too-big-to-fail bank can’t disclose what its trading desk is doing for fear of blowing itself up, then the bank shouldn’t be allowed to do it.
It’s not often that a huge company calls an emergency teleconference on short notice to discuss an intra-quarter trading loss that’s equivalent to only 1 percent of shareholder equity. So when a Deutsche Bank AG stock analyst named Matt O’Connor asked Dimon why the company had disclosed it at all, the answer was bound to be revealing.
“It could get worse, and it’s going to go on for a little bit unfortunately,” Dimon replied. The meaning was clear. Worse could mean disastrous.
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JPM Fallout will hit Monday - today market being heavily supported to avoid panic
Last two days we faded into close when "selling into strength" gained momentum. I'd be surprised to see anything different today.
The cabal has a whole weekend to rummage through Bruno's desk and get to the bottom of his trading Iksils.
The opposite of "I am skilled" or I-Skill is I-Ksils.
I've never known of a CEO of a company larger than about 300 people who knew what was really going on in the bowels of his/her own company.
CIO is more like the heart though. The shit emanates on the investor "services" side.
The amount of $$$ they are paying themselves in salary/benefits/bonuses, you'd think they know EVERYTHING....or at least be RESPONSIBLE for everything.
What do you want to bet (later) he gets a FAT bonus for this years performance!
His real speech:
I live in a culture where winning at any cost is the norm. You do too. My colleagues and I have finally pushed the boundaries of theft and subterfuge to the point that some of us need to start pretending to come clean about it. So pretend we will.
Our crimes are far worse than just theft. The whole story of the financial system itself is falling apart. When you finally know and understand what we have been doing all along, you will want to tear out our bowels, loop them around your bumpers, and drag us through the streets as we scream in agony. You will be right to do so. But acknowledge this, you too wanted something for nothing; your greed and selfishness made our crimes possible.
What needs to be torn apart and rendered asunder is our culture itself, our value system. We are not our bank accounts, our houses, our jewelry, our clothes, or our cars. We eat, drink, and dope too much to anesthetize the pain of living lives that lack meaning and joy. We merely preyed upon your weaknesses in order to feed our own.
I don't know what Jamie knows, but I do know he has his head up his bowels.
MsCreant, us ZeroHedgers have been watching this greed, as a band of loosely-knit and too well-educated distant observers. Your nicely written comment above is beginning to evolve to violence - although you speak the violence tangentially thru Dimon's own voice. A few years ago, you wouldn't have even mentioned violence at all. I see that as a change in you - and how many other ZHers?
You speak of an almost Biblical need for our culture to be torn apart, and out of the ashes rises values and actions that have been learned thru violence and desperation - the Cambodians on after walking out of YEAR ZERO.
What I want to see is a hundred thousand men - and myself as one - all carbon copies of Robert De Niro in The DeerHunter, meeting up with their hundred thousand GI Janes, just back from Libya and Sudan - and these troops driving East, Slouching Towards Washington to be born.
In a matter of time, this will look like the first days when the Khmer Rouge soldier boys straggled into Phnom Pen, and Duc was documenting the crimes, and the innocents and the guilty were bleeding out on the cement floors of the former middle school.
Now, you can go to Cambodia, and watch them make beautiful exquisite silk sheets - watch the whole process of the silk worms producing, the weaving, and watch the cloth being died in the bloodiest red die in buckets.
Humans - I woud say it is almost predetermined in some undiscovered quantum of our DNA - we need orgies of violence every so often, to keep us healthy and fit. Our liberal modern education, and comfort shun these purges as being Barbaric (like Gold)- but they serve a purpose. Embrace the violence as health- as a cultures childbirth, and close your eyes, and recall the Russian Roulette Scene in The DeerHunter: we are getting closer to that, and way away from Mr Smith Goes To Washington.
show dem 'pearly whites'
If only they had listened better in Sunday School...
Taking everyone's wealth away will be violence enough.
Even for the age of kali yuga, ALL things MUST PASS!
It's depressing to see the market soar on how confident we were when the algos drove the DOW to new highs. Cheer us up Tyler and post some good worst case scenarios. Just how bad can it get for them once the sharks smell the blood in the water?
On the surface it's just a few billion - shoe shine money , so no panic yet.
Something big must be afoot for them to reveal anything at all. The questions is, what else remains unexposed?
...more today after the close and a solution (read; spin) by Sunday open...
Blythe's naked bod needs to be exposed...the rest will fall on the taxpayers, like always!
Again I must ask: Was it $2Billion in FRNs, or Tonnes of Au?
It's 2 billion leveraged 100 times.
200 billion is what they are owing, 2 billion loss on borrowed money on a company with a market cap of 146 billion.
Good luck with whatever math you are doing.
Agreed - "On the surface 2 billion is tit" - the true fallout is down the road - could be the first real tremor
MF Global was the 1st tremor... we've yet to hear from the/any counterparties caught up in this JP Morgan trading fuck-up
Some guy named Paulson structurd the trade for them
whatever the leverage is it is at least 1;25 which still makes it sizeable 50B, but still not big enough to make them go away. the world needs to get off the oil and chemicals in order for them to go away for good which as likely as the end of the world at the moment
wouldn't it be fun if the bundesbank and paribas of the world with the ecb blessing maybe some scandinavians just give them a tiny push. it would be so much fun:)
If not more. 160 billion in "assets", 80 Trillion in derivatives would be 500:1 (if any of those numbers is actually accurate). Anyway you look at it, could be a lot deeper than 2 billion
JPM market cap 140 billion and dropping.
OOPS!
SELL SELL SELL get me out of here!
JPM has given the markets a nice mini-rally today. All is in the green. See how well this always works out!
Yeah,
let's hope for more bad news, my portfolio needs a boost.
No,
There's no volume, because there are no buyers except HFT/ALgo Boxes. If you, as in you personally, took a hundred grand today, you could be the market volume.
That's how bad it is. Go look on your trade platform. Pure sell side...not one single buyer to be found.
But because the markets aren't allowed to be shorted or fall, the ALGO's will now run the market up to when the QE money runs out. Then it'll be frozen and they can ship it to the smithsonian and show off the market nobody trades in but has all that liquidity trapped in it.
nice explanation cpl for non players but curious about it how the " market" works:) really only the ecb can kill this insanity and the beast in the US is pissed off.... ha
"That's how bad it is. Go look on your trade platform. Pure sell side...not one single buyer to be found."
That's a big stretch stating no buyers. There are always buyers. ALWAYS.
It's not the fact a store exists.
Or the fact a store has a location.
Or even if the store has an owner.
Having a customer to actually buy something is more important. That's the market. It's a giant walmart, full to the brim with items nobody wants and only secret robo shoppers floating around picking things up and putting them down repeatedly to make it appear there is some action in the store.
That's it. That's all. No real customers shop at that mythical walmart. Just robo's and house detectives pretending like they are showing up to work for something to happen.
Pathetic, sad and pointless describes "capitalism" now.
"today market being heavily supported to avoid panic"
While true, do I up-tick you or down-tick.......I'm so confused?!?!?!?
uptick with a twist of lime.
Who knows anymore and honestly nobody should care. Stick a fork in it it's done.
will a pitchfork do?
A five-tine manure fork is more appropriate!
When does JPM unwind their silver short? That's what I want to know.
Come on, Blythe was on the MSM telling us they don't take prop bets but that they were only hedging their book to keep it flat. WE always can believe those nice people at JPM...people like Blythe and Jamie Dimon...oh shit. Nevermind...glad I'm long the physical stuff.
JPM can't unwind their Silver position
just as the US Govt couldn't let Morgan go down because they are a Primary Dealer and raise all the debt for the credit card spending junkies in DC the Fed needs Morgan in the metals market to rig the prices
everything you ever heard about conflicts of interest is there by the oil tanker load at the very heart of the rotten machinary of Govt
finally, their anti european position got revealed to the public that anyone who gets anything should have known all along and chases's size is playing against them, hopefully draghi and weidman will be able to cause even more damage. the delay may drag until this fall. this is the best scenario for games. it was one of the best days,
cheers to the ecb and the europe...
who is dimon kidding, he didn't know(come on people). of course he knew if not originated this hedge to begin with
i all of the sudden may stop being agnostic, to find, reveal and exploit their weakness is a long awaited gift. i really thought they are smarter than what happened,,,maybe "god" does exist after all:)
Interesting take albeit a speculation; I doubt this was something inherited over from the Global Motherfuckers.
Anyone buying PM's today?
Gold is looking cheaper, and better, by the day.
ITS GETTING HARDER & HARDER FOR THE BIG BANKS TO HIDE THIS GARBAGE
The RULE OF THUMB is... the longer the LIES go on and the more the BANKING SYSTEM is propped up, the FASTER WE FALL OFF THE CLIFF. I am simply amazed at the lack of understanding of just how horrible the situation has become in the banking system.
Almost 4 years later since the system almost died, and its even worse. Any clowns that think gold and silver aren't the best SAFE HAVENS, need to check themselves into the nearest clinic and get a BRAINSCAN or MRI.
Yeah, Damage control is in full press mode, I listened to Bloomberg radio at work, they had one Jamie Dimon apologist/sycophant after another on all day long minimizing the whole mess.
It was the same story when the Nick Leeson scandal broke - his bosses didn't have a clue.
Of course they know:
1. Iksell reports directly to Ina who reports directly to Dimon
2. This was reported not just on ZH but on Bloomberg months ago
3. Counterparties were angry about the manipulation and complained to the media, dont you think they would complain to JPM exectutives?
4. The nominal size of the transaction is material to JPM
Yep. Let's just give them 95% knowing. 5% they "don't know". And this 5% is purposeful insulation from the things that if they knew, then they'd have to say NO to it, which means by not knowing they know it!
(Like when a cop knows his buddy smokes pot, so he just says, "don't tell me and don't do it in front of me so I don't know....Means he knows.)
The bosses deliberately insulate themselves from their traders in a preemptive effort of buck passing - plausible deniability of responsibility when things go south. They take responsibility for trading outcomes come bonus time. The sheeple continue to be disinterested.
buck passing, plausible deniability of responsibility when things go south. I'm still waiting for a prosecuter to file charges under Sarbanes-Ox. That law was supposed to prevent the buck passing and plausible deniability.
Incidentally if you google Nick Leeson he's had quite an interesting life since then.
They let Barings fail. He got scapegoated. Just start letting the damned banks fail! They add nothing - they take everything.
All I want a bank to do is boring old fashioned high street stuff. None of this derivative shit.
I made this point in another thread, fits here. If those operating on inside knowledge and fed ownership can fuck it up this bad what hope do us underlings have?
Entire night of weakness erased in 40 minutes. Look at a 1 minute chart. ES plunges at 4:30, surges at 9:30. Bullshit. Damn lies.
The difference is that those traders get paid if their gambling pays off, but don't suffer the losses if they don't. Therefore they are incentivised to take excessive risk.
Even if they bring the whole company down, Uncle Bernanke is there with his printing press at the ready to make it all better again.
You can't stop progress!
Once in a while I watch Bull Riding on TV - none of the riders try to steer the bull - they stay loose and hang on.
It isn't a real bull now. It's robotic and is ruled with an iron fist by its owners.
Or so I thought, this glitch in the matrix is some sort of false flag to make us think everyone makes mistakes, even the big boys. Or the markets are so far gone that there is no hope.
I'm slowly learning to accept my nihilistic tendencies. None of this matters. It's all meaningless. As Keynes said, "In the long run, we're all dead."
Love is eternal.
Until it's not.
It's a chemical reaction that dies with the brain. If it's eternal then so are hate, jealousy, lust, and anger.
Civil Diso, you're not a poet in real life, are you.
Not exactly.
I have a handful of unresolved issues from my past (who doesn't) and was seeing a therapist for $60 a session. I then realized that open mic stand up was free and if I could get a few bookings they would pay me! Getting paid to bitch about my problems. Not a bad deal.
These markets have been a great source of new material. Boiling down things to their core (bullshit) has been remarkably easy.
if nothing changes by the end of 2012, the markets are gone, there is a tiny hope though that something may change this fall....if not, it's gone forever:).
Complicit or complacent, it doesn't fuckin matter.
With a little polish, you've just nailed the tag line. I like it as is but seems every time I say FUCK people run for cover and hide under fear rules and inappropriate language clauses. (Pussies).
What you've said should be a mantra. Because we know they know yet if they claim they don't, they're ducking responsibility.
Straight to the moon motherfuckers! Motherfucker!!!!
Damn it Son!
Yet the fed whined that they needed more power in order to properly regulate these institutions and here we have Bernank talking about the healthy balance sheets of banks the same day.
There's more to the story, but as long as Dimon unloads on a "counter trend Friday" then all is rainbow colored unicorns.
Where's Ron Paul right now talking about how the fed missed this big regulatory opportunity?
As long as the FED has the back of these clowns, none of this matters, they may as well put on the most idiotic bets, they will never go under.
They ARE the FED, so yes, they're covered. I'm surprised they've even taken the hit they did (unless they front-ran it - oops just caught myself - of course they front-ran it).
The DAX should be doing a swan dive. Why the hell did it just jump 1%????!!!?!?!?!?
Who is playing games?
Someone lit a rocket.
Operation Boilermaker.
He claims they use ICBM, none of that Estes bullshit.
The DAX should be doing a swan dive. Why the hell did it just jump 1%?
To shake out the uncivilized people who dared to short the DAX. Margin call Muppetz!
Good time for Moody's to drop the bomb on the rest of these assholes .
Bill - I'm just concerned for your health - has it gone down yet?
; )
Schaudenboner still fully erect .
Nobody called 911 for you, huh? You could try a cold shower, perhaps, or googling Federal Reserve...?
Watch that last interview of Blythe Masters on CNBC maybe?
I 'butt dialed' 911... The deed is done...
What do you expect? The only way JPM knows how to make a profit is from TARP and shorting silver. Dimon should go hang himself.
Nice observation here:
"There is a tantalizing clue in this language. Read the statement carefully and you can see this wasn’t a bona fide hedge. That means it probably was no different, in substance, than a speculative wager. The definition of an “economic hedge,” literally, is an investment that doesn’t qualify for hedge accounting, meaning its effectiveness at offsetting a given risk isn’t sufficiently reliable. Otherwise the wiggle word “economic” wouldn’t be needed. It’s also conceivable that Dimon didn’t understand the details of the trades, and simply declined to discuss them rather than admit this."
What's going on at Bloomberg? This is the sort of sharp-edged analysis I expect on ZH, not an MSM organ (your choice of organ). Strange times indeed.
national securty requires markets be green.
100% regulation or 100% transparent mother fuckers, take your pick. Can't have it both ways. If what the Fed has done isn't treasonous then why can't the taxpayer get a complete audit?
If people want you to invest, but won't give you the details, chances are that it isn't a good thing.
Next you'll be wantin' the recipe for Soylent Green!
Fed hitting every ask out there in equities, the BIS double downing on long EUR. What a total farce of a market.
Give it some time. I think today will be the end of the AM dip and PM ramp. The switch is toggled in the other direction. Sell in May is still in effect so they don't get to ramp both halves.
No one is this stupid. He, Corzine, and the rest of them are pathological liars. They make their fortunes lying
Betting against Vegas, Devil, JPM is a fool's bet. Vegas, Devil, JPM are all still there and always will be. 160 billion market cap? Hahahaha! Good one. Real market cap = INFINITY via Uncle Bennie's back door CTRL-P facility. Jamie D a dupe? Hahahaha!!! You're killing me!!! The dupes are those suckered into The Grand Master's paper lair. Gold & Guns.
The panicked calls to the Fed last night has caused the most unprecedented run for cover in the history of the market. Under any circumstance the next Bear Stearns must never see the light of day. Whatever happened hundreds of billions were sent directly into the accounts of the big banks to buy up the stock market this morning. With no retail traders left it is easy to fake a rally. Reuters is in on it and was told to fake a report that could give the market cover to hide the JP Morgan problem.
Obama's Energy Policy Lowers Gasoline 20 Cents YOY - Markets Respond Positively - Reuters.
Markets responded positively this morning with a jump up on lowered inflation expectations due to lower YOY gasoline prices. Traders snapped up shares across the board in response expecting all sectors to benefit from the reduced cost of energy. Consumer sentiment also rose in likewise manner.
A good time for Jamie and Blythe to release a sex tape to divert attention and get their popularity ratings high. Works for celebs.
Pay per view and it can even cover their losses.
Since Blythe has a wanker under that dress, who is going to be poking who ?
Incompetent AND a liar, a great combo.
After witnessing the work of 33 Liberty Street this morning, I have doubts about JPM and Dimon being upfront with clarity and full disclosure.
Trial lawyers will no doubt be enriched from the announcement of losses previously kept secret.
As for Dimon, when the dust settles, it would not be a shock to read the board gave him a massive bonus for saving the bank from a worse outcome.
As Leslie replied, Jamie Dimon made $100 million in bonuses working from his basement losing money for his shareholders.
Speak to him as you would a golden retriever.
I have a stupid question. How the hell are they going to unload these positions?
Wait for QE3 to boost the market, and woosh, no more loss. Clean new money smell...
Or QE is the Fed buying what ever crap derivative they made the losses on...
If JP Morgan has bought so much toxic paper that it can roil the market, that means that there are other people with the same crap position that are equaly or worse off.
We just took a giant leap towards QE me thinks.
Easy...LSAP of IG9
Silly people,
You ASSUME Ben can or will bail JPM out. Not so. Lots of reasons why that won't happen.
JPM is having its cage rattled for a reason. The fun story is who is in on the copy cat trade and can they take the heat as long as JPM can? You can't tell me that others aren't doing the same as JPM. I wonder who that be?
You can't always frak with the Infinite.
you are correct ......i have seen a whale at the racetrack who a bunch of guys like to follow and he lets them as he likes the attention .....well when all is going good , everyone is cocky however when things go bad, the low men on totem pole always get wiped out and he is able to sustain and get thru to the other side and make the losses up......all the other guys are busted out and miss on the next hot streak.....seen it happen way too many times !
in the harem, the women danced the dance of seven veils to crescendo nakedness...olé!
In the WS harem, the Oligarchs lead, and dance themselves to dire, clueless emperor's nakedness all over the public place; holy cow!
Barney Frank would love to get inside Jamie Dimon's "Bowels" with his congressional probe ! Gordon Brown would love to pick Rebekah Brook's nose ! That's just the way it is ! Monedas 1929 Comedy Jihad Think Like A Liberal
clueless idiocy is sufficient grounds for termination.....terminate dimon...
There are others out there and I believe JPM are getting out of shit-storm-dodge before others are revealed and it's too late to liquidate positions.
Who's the counter party?
You!
So it begins. Watch Monday.
What time does the "smart money" enter the markets today?
Chill out folks !! What's 2 Billion down the tubes when the cesspool of Derivative Debt is about 700 Trillion ....Go get some beer and cheetos for snackin' on Monday night while you watch "Dancing for Dollars" or is that DWTS...
...doing GOD's work...GS-DickinDaMuppets
The Anglo/American central banks and national treasuries have already had 3 1/2 years to perfect their market manipulation strategies, they've gotten extremely proficient at it by now. It will take an extremely major calamity to permanently alter the market's contrived upward momentum. IMO.
J.
Why would I expect Jamie Dimon to know what is going on ? His job is to smooch Obama and Geithner and keep Capitol Hill onside. It is election year and he needs to grease palms. He is not going to check trading positions daily let alone hourly - which CEO in any bank worldwide does ?
Eric Rosenfeld was an Instructor in Finance at Harvard Business School in 1982 , an MIT grad. Very smart. Much smarter than Jamie Dimon who was at HBS at the same time.
Eric was a founder of Long-Term Capital Management and knew more about their trading than Jamie Dimon knows about JPM trading. So what did happen to LTCM ?
Or it was a brilliantly executed p/r move worthy of the Van Praag laptop found missing in a garbage room.
www.tradewithdave.com
Witness the Jamie Dimon real-time interview for US Treasury Secretary.
Jamie gets paid for looking good and he looks "Maaarvelllous". No need to panic, duct tape and bailing wire are being applied this very moment. It will take more than this to tip the apple cart........
http://www.youtube.com/watch?v=HRoCyB9r-jw
that was Dick Fulds downfall
"that was Dick Fulds downfall"
Literally- Wasn't he coldcocked at the gym afterwards and put on his ass?
Honest Dimon: 'we are brainstorming ways right now to sell these great investments to our clients.'
sounds like Jeremy Irons, in Margin Call
The answer is, of course, Dimon didn't know. Like all the big banks, JPM is too big to manage. These are leverage- and liquidity-bloated Godzillas.
Regulation is probably heading toward ending most of the pseudo-hedging (in reality, leveraged speculation) at US commercial banks, shrinking their balance sheets, earnings, and work forces. But the system will be more stable and less likely to require public support as a result. Best would be a return to Glass-Steagall, or something like it. Speculative stuff will go where it belongs, and everyone involved in it will be left on their own responsibility, without mixing up such activities with humdrum, everyday banking. But we have to face the reality that there will be less credit available for all, for households, businesses, and governments. This is why governments and central banks allowed and pushed these crazy practices in the first place, to inflate available credit. Bankers have been both beneficiaries and victims of this insanity, but not innocent victims -- like reckless drivers with lazy policemen looking the other way, they're complicit in their own victimization.
The scary part is that JPM, with GS, is the best-managed mega-bank. What does that tell you about the rest of the big banks? Even scarier are the European banks, which are far more leveraged, and even deeper into pseudo-hedging, painting a rosy picture with small "net" exposures, rather than gross positions.
As Peter Tchir put it, banks are trading at or below "book value" for a reason: the stated book values are suspect at best. Just remember that when you next hear Dick Bove et al. bloviating about banks.
Awww, poor Wall Street having trouble scalping a buck off the QE fiat bailout money when there is no more retail investors to skin, or any real income from doing actual work?
That's too bad that the cronies on Wall Street will have to eat each other for lunch, with their program trading algorithms that go nowhere without an influx of more funny money.
Where's helicopter Ben when you need him?
Awww, poor Wall Street having trouble scalping a buck off the QE fiat bailout money when there is no more retail investors to skin, or any real income from doing actual work?
That's too bad that the cronies on Wall Street will have to eat each other for lunch, with their program trading algorithms that go nowhere without an influx of more funny money.
Where's helicopter Ben when you need him?
You are missing the point....JPM is massively short the market. The market credit market has only rallied since December in all Credit Markets.
IG index 20bps tighter
HY index 65bps tighter
*****Be more concerned what Jamie knows and is not telling you.....they have $1T in assets, nothing good happens if you expect the market to melt down.
Jonathan Weil: "Here’s an idea for a new rule: If a too-big-to-fail bank can’t disclose what its trading desk is doing for fear of blowing itself up, then the bank shouldn’t be allowed to do it."
Double freaking No! Regulation doesn't matter. TBTF should not exist!
$60 trillion in Gross Notional Derivatives at JPM.
Though Bruno and Achilles had been considered among JPMs most skilled traders, let's assume his other traders are equally skilled.
On the IG9 book, ostensibly a hedge, with a Gross Notional of $200 billion, they will drop north of $2 billion. Cut them some slack and say it will top out at 1% (assuming the rest of the street doesn't charge them retail to wind down the trade).
What happens if, heaven forbid, they lose 1% on the total Gross Notional (supposedly hedged or netting out near zero) derivative book? Can't happen? Jamie says so? Is this any way for an institution to behave that holds $1.1 trillion of customer deposits, equal to about 9% of total US banking system deposits? Didn't Mssrs Glass and Steagall believe that such recklessness was not in the interest of the nation's financial system?
It’s like Hitler saying “I didn’t know that my soldiers invaded Russia” cause every trader on the block knew what was going on and even made up names for the trader like ‘whale’ and ‘Voldimort’.
Donnow about the American justice system cause they don’t seem to have one but in the Dutch Justice system the head of a company is responsible regardless if he knew it or not. If he didn’t knew it he suppose to have known about it as head of a company, simple as that. A judge can’t go into details about how somebody’s running his company that’s just ludricous but in the US this seems to be perfectly normal that you can put the blame on some lower minion.
My idea is that Americans don’t understand anything of the law system. They don’t even understand the principle of hierarchy of law like that a lower law never can put aside an higher law.
They got us by the balls yet “nobody seems to notice, nobody seems to care” http://www.youtube.com/watch?v=hw93b-KePRo
Bloomberg News http://www.bloomberg.com/news/2012-05-10/jpmorgan-chase-says-cio-unit-suffered-significant-loss.html first reported April 5 that London-based trader Bruno Iksil had amassed positions linked to the financial health of corporations that were so large he was driving price moves in the $10 trillion market. After the Bloomberg report, Dimon on a conference call said the news coverage was “a complete tempest in a teapot .”
The losses disclosed today were “a little bit to do with the article in the press,” Dimon said, without specifying who in the bank oversaw the trades.
So in fact Dimon is blaming the press for his losses LOlz
So, the trading desk says? Hey, how do we move the market 2% in the direction of our trade and recover our losses from last week? Let's go short our own stock and then put out a nasty news release, and we can pick up a couple billion on the move...
Na, that could never happen on Wall Street with the Fed's keeping such a keen eye on what goes on down there. ROFLMAO!
Max Fischer we need your value added insight
sorry forgot my sarc for morts button in ON
Do not worry! Obama and the CFTC, with the genius Gensler, have our backs!! They will have a comprehensive study done in 24 months, and then they will act decisively!! Corzine and Paulson are on the committee... Madhoff was not available.
The timeline has now been pushed to 36 months. But don't worry, we'll get to the bottom of the bottomless pit of slime eventually.
Pretty scary conference call
JPM and the Fed know who has their back.
There is no amount of debt the US Taxpayer cannot handle.
The CB boys have already shifted unfathomable debt to the Taxpayer, and they intend to do so with even greater vigor in the future.
It's a great "partnership".
If our government wasn't captured by the agents of the privately owned Federal Reserve corp (primary dealers like JMP) woudn't Sarbanes-Oxley would allow for a criminal investigation of Jamie Dimon...as if it could happen with all our senators and elected officials being bought by his boss.
JPM could buy some lotto tickets, "praying for a miracle".
In the old Soviet Union, he would be on his way to Siberia? Afghanistan? In China, well they have these firing squads where you have to pay for the bullets.......But here in the land of LaLa and the University of Chicago....hummmm, he will probably get a BIG BONUS$$$ in December
".hummmm, he will probably get a BIG BONUS$$$ in December"
And we will get the BIG BONE_US now!
ring ring
secretary: Mr Dimon, call for you.
Dimon: who is it?
secretary: it's the whale
Dimon: you cocksucker! I'm gonna cut your dick off and shove it down your... oh, hi Warren!
Buffett: Hey Jamie. Heard you might have some securities for sale.
Dimon: Well, maybe. We've got some good positions... great stuff, really. Might even be able to let you have it for under par. Why don't you send some of your people to take a look?
Buffett: No, that's ok Jamie. If you say it's good stuff that's good enough for me. 20 bid.
Dimon: What did you say?
Buffett: you heard me. what's the cover? Oh, and by the way, I'll need some ten year warrens to buy your stock at 38.
Dimon: Warrens? Do you mean warrants?
Buffett: well, that's what Lloyd calls them.
Dimon: Fuck you Warren.
Buffett: that's what Brian said the first time that I called. Hey, gotta hop. Got Jimmy Gorman on hold; something about collateral.