Who got the 2 billion that JP Morgan lost?

[uscitizen]

It had to go somewhere....

 

[zonly1]

being knaive is no excuse

 

[waltky]

Congress `bout to crawl up dey's butt with a microscope...

JPMorgan Trading Losses Prompts New Probe, Concerns About Wall Street
May 16, 2012 - JPMorgan is facing increasing pressure to explain recent losses. Last week, the world's largest bank disclosed a loss of at least $2 billion from trades that were supposed to protect the firm from risk. Now the FBI is looking into whether any laws were broken, and shareholders are looking for assurances that it won't happen again.

Just days after JPMorgan Chase reported the loss, Jamie Dimon, the bank's embattled CEO, apologized to shareholders. "This should have never happened. I can't justify it. Unfortunately, these mistakes were-self inflicted," Dimon said. Tuesday, the FBI said it was launching a probe. And, on Wednesday, lawmakers held a hearing to determine if new regulations are needed. New laws that go into effect in July would limit some banks from making proprietary bets with publicly-insured money. Financial strategist Peter Cardillo blames the new regulations on Wall Street's appetite for high-risk gambles. "There's no question, derivatives have turned Wall Street into a casino. There's no question about that," Cardillo said.

Although Cardillo has concerns about a rush to over-regulate, Treasury Secretary Timothy Geithner says the JPMorgan fiasco makes a powerful case for stronger financial oversight. "The test of reform is not whether you can prevent banks from making mistakes, errors of judgement Risk management, that's going to happen. That's inevitable. The test of reform should be do those mistakes put at risk the broader economy, the financial system or the taxpayer?," Geithner said. Ironically, JPMorgan's Dimon has been among the harshest critics of Wall Street reform. But shareholder Peter Skillern wonders who's watching their CEO -- who also happens to be the company's chairman. "So who oversees that unit? Jamie. Who oversees Jamie? Jamie. That's the problem. He's his own boss," Skillern said.

Despite their concerns, shareholders demonstrated support for their chairman -- voting against a proposal to split his position into two separate jobs. Outside, protesters threw eggs at a picture of Dimon and expressed a litany of complaints against what they call the "fat cats" of Wall Street. "The big banks need to be broken up, as well as reducing principal for homeowners that are underwater with their mortgages and clearly for them to stay out of, keep their money out of politics, which is really destroying our democracy right now," one protester said. JPMorgan's trading blunder has already prompted several resignations. Analysts say more employees are likely to lose their jobs.

Source

 

[maxroe]

I'm pretty sure we didn't get any of anything anybody lost. :T

 

[whitehall]

Good question. We will get to it as soon as we find out what M.F. Global CEO and former democrat governor of N.J. Jon Corzine did with 1.2 Billion dollars.

 

[Jroc]

This was great I must say


[ame=http://www.youtube.com/watch?v=S3gGCrjVdwA]Mitt Romney Solyndra Fremont California (May 31, 2012) - YouTube[/ame]

 

[whitehall]

Hooah for Mitt. Put the pressure on.

 

[JimBowie1958]

Bet the Sock Monster got it....

 

[percysunshine]

It had to go somewhere....

The other side of the trade.

It is an interesting topic. Some group like Chase, or Barclays loses a couple billion dollars, but the money did not evaporate, it just changed hands. Someone is always on the other side of the trade, or there would never be a trade in the first place.


All that housing money that supposedly evaporated in the 2008 realestate bubble? It just traded hands. People who bought a house in California for $50,000, and then sold it 7 years later for $500,000 were the other hands.

 

[uscitizen]

Actually a lot of "money" never does exist.

 

[ABikerSailor]

Actually a lot of "money" never does exist.

True, most of the "money" traded on Wall St. is actually imaginary numbers that only exist as computer readouts and phosphor dots.

 

[percysunshine]

Money is a convenient medium for the exchange of goods and services. Nothing more, nothing less.

 

[ABikerSailor]

Money is a convenient medium for the exchange of goods and services. Nothing more, nothing less.

Yeah..............but now that medium is all computer programs and readouts. Have you ever had a whole paycheck in cash in your hand on payday?

I did, for about the first year I was in the Navy, but then it went to Direct Deposit System.

From then on? I have to trust that the money is real on the computer, otherwise I can't get it.

 

[JimBowie1958]

Money is a convenient medium for the exchange of goods and services. Nothing more, nothing less.

No, gotta disagree.

It is also the scoring mechanism for those involved in the ultimate ego war; whose got more dollars.

 

[Flopper]

Congress `bout to crawl up dey's butt with a microscope...

JPMorgan Trading Losses Prompts New Probe, Concerns About Wall Street
May 16, 2012 - JPMorgan is facing increasing pressure to explain recent losses. Last week, the world's largest bank disclosed a loss of at least $2 billion from trades that were supposed to protect the firm from risk. Now the FBI is looking into whether any laws were broken, and shareholders are looking for assurances that it won't happen again.

Just days after JPMorgan Chase reported the loss, Jamie Dimon, the bank's embattled CEO, apologized to shareholders. "This should have never happened. I can't justify it. Unfortunately, these mistakes were-self inflicted," Dimon said. Tuesday, the FBI said it was launching a probe. And, on Wednesday, lawmakers held a hearing to determine if new regulations are needed. New laws that go into effect in July would limit some banks from making proprietary bets with publicly-insured money. Financial strategist Peter Cardillo blames the new regulations on Wall Street's appetite for high-risk gambles. "There's no question, derivatives have turned Wall Street into a casino. There's no question about that," Cardillo said.

Although Cardillo has concerns about a rush to over-regulate, Treasury Secretary Timothy Geithner says the JPMorgan fiasco makes a powerful case for stronger financial oversight. "The test of reform is not whether you can prevent banks from making mistakes, errors of judgement Risk management, that's going to happen. That's inevitable. The test of reform should be do those mistakes put at risk the broader economy, the financial system or the taxpayer?," Geithner said. Ironically, JPMorgan's Dimon has been among the harshest critics of Wall Street reform. But shareholder Peter Skillern wonders who's watching their CEO -- who also happens to be the company's chairman. "So who oversees that unit? Jamie. Who oversees Jamie? Jamie. That's the problem. He's his own boss," Skillern said.

Despite their concerns, shareholders demonstrated support for their chairman -- voting against a proposal to split his position into two separate jobs. Outside, protesters threw eggs at a picture of Dimon and expressed a litany of complaints against what they call the "fat cats" of Wall Street. "The big banks need to be broken up, as well as reducing principal for homeowners that are underwater with their mortgages and clearly for them to stay out of, keep their money out of politics, which is really destroying our democracy right now," one protester said. JPMorgan's trading blunder has already prompted several resignations. Analysts say more employees are likely to lose their jobs.

Source

Chase has been leading the charge in trying to reduce risk for over 10 years and apparently not very successfully. Of course, if they did what they should be doing, managing customer deposits and making loans instead speculating in currency and derivatives markets, there wouldn't be any need for the elaborate risk management.

 

[Oddball]

It had to go somewhere....

The other side of the trade.

It is an interesting topic. Some group like Chase, or Barclays loses a couple billion dollars, but the money did not evaporate, it just changed hands. Someone is always on the other side of the trade, or there would never be a trade in the first place.


All that housing money that supposedly evaporated in the 2008 realestate bubble? It just traded hands. People who bought a house in California for $50,000, and then sold it 7 years later for $500,000 were the other hands.

Or vanished because of overvaluation by appraisers.

 

[ABikerSailor]

I'm still wondering why the Republicans were all but on their knees blowing Diamon when he's the one that did the fucked up thing in the first place?

Does he contribute THAT much money to their campaigns?

 

[uscitizen]

Yes he and his buddies do.

and then jobs after DC for them and their families.

 

[zonly1]

Actually a lot of "money" never does exist.

True, most of the "money" traded on Wall St. is actually imaginary numbers that only exist as computer readouts and phosphor dots.

It must be trig identities on those HFT'ers.

 

[zonly1]

Congress `bout to crawl up dey's butt with a microscope...

JPMorgan Trading Losses Prompts New Probe, Concerns About Wall Street
May 16, 2012 - JPMorgan is facing increasing pressure to explain recent losses. Last week, the world's largest bank disclosed a loss of at least $2 billion from trades that were supposed to protect the firm from risk. Now the FBI is looking into whether any laws were broken, and shareholders are looking for assurances that it won't happen again.

Just days after JPMorgan Chase reported the loss, Jamie Dimon, the bank's embattled CEO, apologized to shareholders. "This should have never happened. I can't justify it. Unfortunately, these mistakes were-self inflicted," Dimon said. Tuesday, the FBI said it was launching a probe. And, on Wednesday, lawmakers held a hearing to determine if new regulations are needed. New laws that go into effect in July would limit some banks from making proprietary bets with publicly-insured money. Financial strategist Peter Cardillo blames the new regulations on Wall Street's appetite for high-risk gambles. "There's no question, derivatives have turned Wall Street into a casino. There's no question about that," Cardillo said.

Although Cardillo has concerns about a rush to over-regulate, Treasury Secretary Timothy Geithner says the JPMorgan fiasco makes a powerful case for stronger financial oversight. "The test of reform is not whether you can prevent banks from making mistakes, errors of judgement Risk management, that's going to happen. That's inevitable. The test of reform should be do those mistakes put at risk the broader economy, the financial system or the taxpayer?," Geithner said. Ironically, JPMorgan's Dimon has been among the harshest critics of Wall Street reform. But shareholder Peter Skillern wonders who's watching their CEO -- who also happens to be the company's chairman. "So who oversees that unit? Jamie. Who oversees Jamie? Jamie. That's the problem. He's his own boss," Skillern said.

Despite their concerns, shareholders demonstrated support for their chairman -- voting against a proposal to split his position into two separate jobs. Outside, protesters threw eggs at a picture of Dimon and expressed a litany of complaints against what they call the "fat cats" of Wall Street. "The big banks need to be broken up, as well as reducing principal for homeowners that are underwater with their mortgages and clearly for them to stay out of, keep their money out of politics, which is really destroying our democracy right now," one protester said. JPMorgan's trading blunder has already prompted several resignations. Analysts say more employees are likely to lose their jobs.

Source

Chase has been leading the charge in trying to reduce risk for over 10 years and apparently not very successfully. Of course, if they did what they should be doing, managing customer deposits and making loans instead speculating in currency and derivatives markets, there wouldn't be any need for the elaborate risk management.

Can't keep a lid on it because they can't help but create a new speculation. Kick the can. YEEEHAW