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JPMorgan (JPM) schedules an unusual conference call following the release of its 10-Q filing....

JPMorgan (JPM) schedules an unusual conference call following the release of its 10-Q filing. The lender says its Chief Investment Office (CIO) unit has suffered significant mark-to-market losses. Shares -3.9% AH.
Comments (9)
  • Score one for TD/ZH here: Those who booked CDS positions against JPM at the time may see some significant upside.
    10 May 2012, 05:35 PM Reply Like
  • thanks for the link bro...
    10 May 2012, 07:16 PM Reply Like
  • Doesn't take a Brainaic to figure out what ZeroH said...look at the
    total deposits and total loans,,,
    10 May 2012, 05:57 PM Reply Like
  • Look out for the litigation side...
    10 May 2012, 06:06 PM Reply Like
  • The 10-Q reveals the firm had losses of around $2 billion in trading synthetic securities, losing $200 million in one day during the quarter.


    The banks argues the CIO is charged with hedging "basis risk, hedge convexity risk and foreign exchange risk."


    In reality though, and as noted by ZH, the CIO is nothing more than a huge prop trading desk that has taken on risky bets and accumulated very large positions that may be diffcult to unwind.
    10 May 2012, 06:11 PM Reply Like
  • "significant mark-to-market losses"


    In other words, "If we ever have to unwind these 'investments', we're hosed"?
    10 May 2012, 06:13 PM Reply Like
  • The market should soar tomorrow on this news. I can hear the Fed's hard drive cranking out those electronic credits from where I sit in an undisclosed location.
    10 May 2012, 06:32 PM Reply Like


    Great stuff from ZH.
    10 May 2012, 06:38 PM Reply Like
  • In the 10Q it shows JPM's Securities actually went up though right?
    10 May 2012, 10:12 PM Reply Like
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