JP Morgan’s officially admitted CIO delta risk hedging losses are now growing by $1-2 Billion per day.
CNN states that the losses have likely ballooned to $7 billion.
Perhaps we should start an SD poll for how long until it is admitted the losses are in excess of $100 billion.
(CNNMoney) — One thing seems clear about JPMorgan Chase’s $2 billion loss. It’s no longer $2 billion. It’s likely much higher.
The number being bandied about now is closer to a range of $6 billion to $7 billion, according to several people working on trading desks that specialize in the derivatives JPMorgan Chase (JPM, Fortune 500) used to make its trades and from two sources with knowledge of the bank’s positions.
JPMorgan Chase declined to comment on its trading activities. Of course, it is impossible to know with absolute certainty just how high the losses are at any given moment.
But experts said there are few scenarios in which hedge funds on the other side of the bank’s giant bet will let JPMorgan Chase out of it without significantly more pain.
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I keep my call. $100 Bn in 6 weeks. That’s around July the 2nd.
Doc, take a look. Can you post a snapshoot?
http://www.nyse.com/about/listed/lcddata.html?ticker=jpm&fq=D&ezd=1M&index=3
Higher and higher.
which is the leading financial institution in our country and it’s lost about
1/3 of its value. When you see that type of financial entity lose that type of
value, what does it say about this country and our currency?
Massive volume in JPM into the close:
Only Close
The government….er….JP Morgan can go to hell. Live by the sword and die by the sword!
I’ve got to believe that as JP Morgan goes, so goes the banks. Greece is done, Spain is teetering, Italy is hating it and Merkel is squirming. O’Bummer has crack sweat at this point so stack as high as you can ’cause the S%*t is just around the corner.
Nasty O’ Bummer
I’ll take a crack at the bottom line of JPM’s shorts. Sorry, could not help myself 2 oz.
It will not hit $100 before their overlords the Fed and UST or other PTB step in and take over. This mess is just the tip of the iceberg with the $125 billion in mortgage buy backs, Wells notice, derivatives. The losses wold be way beyond Lehman levels. TBTF is JPM’s middle name
With 7 trillion in derivatives bets, this can’t & won’t end well. When JP Morgan goes down, they will take the rest of them down too. The run on the banks will happen shortly.
Dimon must be looking for a job by now. He won’t go down with the ship, or wate for Obama to come in and fire him.
$100 billion by June 17
I wonder how much tax payer dollars will be thrown at this mess so they can cut checks in time for bonuses… I mean it’s JPM… We can’t expect them to pay for there losses and mistakes out of there own pockets, that the tax payers already paid to fill…. That would just be insane that they loose money and not get bailed out and receive a bonus… How on earth could they possibly go on….
Damn losers did it to themselves… There is much more to come kids… Grab some popcorn with Sterling and watch the show… Just make sure you stack it high during intermission… Now down with the ship!!
Get your cement shoes here… Cement shoes for sale…. Fresh off the press cement shoes for sale!! LMFAO
JPM’s loss is $31.5 billion, according to zero hedge:
http://www.zerohedge.com/news/did-fed-just-give-us-very-big-clue-just-how-big-jpms-cio-loss-may-be
JPMorgan unit has $100bn of risky bonds
By Sam Jones in London and Tracy Alloway and Tom Braithwaite in New York
The unit at the centre of JPMorgan Chase’s $2bn trading loss has built up positions totalling more than $100bn in asset-backed securities and structured products – the complex, risky bonds at the centre of the financial crisis in 2008.
These holdings are in addition to those in credit derivatives which led to the losses and have mired the bank in regulatory investigations and criticism.
The unit, the chief investment office (CIO), has been the biggest buyer of European mortgage-backed bonds and other complex debt securities such as collateralised loan obligations in all markets for three years, more than a dozen senior traders and credit experts have told the Financial Times.
The bank has said its derivative activities were intended primarily to help balance risks on its overall balance sheet, but the revelation that it has built up other large, risky positions is likely to raise further questions about the CIO’s remit.
A spokesperson for JP Morgan declined to comment.
The CIO sprang into the spotlight with the revelation of more than $2bn in losses on the complex derivative trades, a turn of events that has triggered a Department of Justice investigation and angered US lawmakers.
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