Don't buy into JPMorgan sucker's rally
Wall Street has no clue about the extent of the banking giant's trading losses.
People may regret buying into the rally, because no one seems to have a clue about what's really happening at the venerable Wall Street company.
JPMorgan estimated the trading losses caused by the "London Whale" at $5.8 billion through Thursday, $4.4 billion of which occurred in the second quarter. That's way up from an earlier estimate of $2 billion. And that number could grow further, as JPMorgan has "recently discovered information" that indicates the traders may have tried to cover up the extent of their trading losses. Remember, CEO Jamie Dimon, long considered one of the smartest people on Wall Street, first dismissed the problem as a "tempest in a teapot."
Jonathan Berr does not own shares of the listed stocks. Follow him on Twitter@jdberr.
It's all a sucker's rally and has been for 4 years.
Retail and small individual investors being the suckers. Large Institutional investors and insiders being the carnival barkers.
Jonathon 'I couldnt be a bigger moron at MSNBC' Berr...dude, its been a suckers rally for almost a year now...how long have we hovered around 12000 +/-
sheesh...how do these clowns get their jobs?
Why does the link to this article say "Is this a sucker's rally?"?
The article is about JP Morgan, not the overall markets. MSN is managed by a bunch of turds.
The fact that it has taken JPM over a month just to figure out "how much" money a handful of people in their company lost (and they still either don't really know or won't admit it) is reason enough for me to stay away from them and any large bank like them.
When it comes to value investing the management is what it's all about, and that's not the kind of management I want to own a piece of.
Yes ... this is a "sucker rally." The stock market loses 300 Monday through Friday and then suddenly "rallies" 203 on the weekend (?!) ... when the average person has time to notice it. Only the oblivious would believe it.
YES! IT IS A SUCKERS RALLY!
What has changed? Nothing! Just a little hope and the market goes up.
I must have been the Feds buying more stock.
Yes, Free-Market Capitalists, one of your kings is betting on your failure.
Ohio Attorney General Mike DeWine filed a motion seeking to lead a proposed class-action lawsuit against JP Morgan Chase involving the activities of a U.K. trader known as the “London Whale.”
Ohio pension funds lost more than $27.5 million due to the alleged fraud, DeWine’s office said today in a statement. Spokesman Dan Tierney, speaking in a telephone interview, said the state is seeking lead plantiff status in the case because of “the size of the losses.”
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The solid report comes a month after the retailer closed all of its Canadian operations.
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