JPM Releases Trading Forecast - Expects 30% drop in Q3

In a brief moment of bumility, JPM's masters of the universe admit, well, they are not. The firm sees markets revenue -30% from Q2 2011, sees lower asset management revenues, expects a modest loss in private equity, and will recognize additional litigation expenses. Overall corporate net income is expected to be a small loss.


Market reaction predictable enough in this crazy world - JPM stock rallies from 1-2.5% (and CDS -2bps) which is better than broad financials at +1.3%.