What money? Do you really know how much this is going to cost them? Markets wobbled just a bit on the Europe news and they got in trouble with this stuff. What happens if the fecal matter hits a turbine instead of a Vornado fan? Do you really want to make a bet on them surviving if they can't even handle this little bit of turbulence?
who said they can't handle it? i don't recall that. the fact is JPM will be fine in the long run but CEO's need to be sent to jail and than you will see less problems like this.
Dimon is a smart guy. He'll weather this storm and he won't panic. On the other hand, if there is another shoe to drop JPM and the rest of us will have a BIG problem. Bailout?
What's concerning is that, as Wall Streeters, they know that the best way to disclose a loss is to get over with quickly. Overstate it even. But they still did it this way. They very probably have an illiquid bet similar to long Euro that they are finding difficult to unwind.........
I disagree. The new formula is to disclose a loss and then piecemeal adjust the loss higher and higher over a series of weeks. The initial figure is a shocker, but not apocalyptic. By the time the real number is revealed some time down the road, the headline shock has worn off and the billions added on lose their shock value. Need I remind you of the exact same play by play from late last October.
========== Good points.But in an election year, who would have figured so many different[ US, European...]central banks & gov groups would pile on against them??? Especially with notable campaign gifts to R & D. It looks like Mr Dimon was partly right, FLA real estate may have hit a bottom, with some multiple offers on some FLA propertys. But most US forclosure trends stiill seem to be against them Realty Trac exspects more FC, especially with the 25 Billion mortgage settlement against them, BAC,C.... Weekly sell volume still looks strong on JPM; but hard to say how the additional lawsuits may go