JPM losses increase...

Generali

....they've had to sell the 'organ' part of their name

The-Joker

Generali wrote: »

....they've had to sell the 'organ' part of their name

Very good Gen.

What do you think is the truth about this situation? Where do you think its going?

JonnyBravo

I should think JPM will have to close its massive, market altering positions on silver and as a result it's pice will go up.
Correct?

RenovationMan

JonnyBravo wrote: »

I should think JPM will have to close its massive, market altering positions on silver and as a result it's pice will go up.
Correct?

The way the Indian economy is flying, I would have thought pice's would go up for a long while, even though they are only worth 1/64th of a rupee.

The-Joker

RenovationMan wrote: »

The way the Indian economy is flying, I would have thought pice's would go up for a long while, even though they are only worth 1/64th of a rupee.

Do you know what Rupee means? No thought not. It means Silver. How could silver be worth 1/64th of silver? Oh thats right its been fiat since 1971.

Generali

The-Joker wrote: »

Very good Gen.

What do you think is the truth about this situation? Where do you think its going?

I think that this was a prop trade or perhaps a series of them that was disguised as a hedge.

What is clear is that it is not possible for all of the losses to have come from JPM's CDX position as is being claimed as the market simply isn't large enough for them to have lost that much money!

Will this bankrupt JPM? Probably not. It will put a nasty dent in this quarter's profits though.

The-Joker

Generali wrote: »

I think that this was a prop trade or perhaps a series of them that was disguised as a hedge.

What is clear is that it is not possible for all of the losses to have come from JPM's CDX position as is being claimed as the market simply isn't large enough for them to have lost that much money!

Will this bankrupt JPM? Probably not. It will put a nasty dent in this quarter's profits though.

What do you think of Jamie D, making a big deal about customer funds are safe? Worried about the bank runs spreading to JPMoron? I can see a lot more bank runs going forward, would be very happy to see everyone pull their funds out of JPMoron. Then see how they can keep their concentrated naked short in silver?

Generali

The-Joker wrote: »

What do you think of Jamie D, making a big deal about customer funds are safe? Worried about the bank runs spreading to JPMoron? I can see a lot more bank runs going forward, would be very happy to see everyone pull their funds out of JPMoron. Then see how they can keep their concentrated naked short in silver?

I think he's right and they are.

JPM couldn't stand a run on them but then nor can any bank.

What makes you so convinced that JPM hold this large short position? I have my doubts: I've certainly never seen any evidence of it.

RenovationMan

The-Joker wrote: »

Do you know what Rupee means? No thought not. It means Silver. How could silver be worth 1/64th of silver? Oh thats right its been fiat since 1971.

Did you even understand what my post meant? No, thought not because you don't have a sense of humour. :rotfl:

GDB2222

In the UK, life assurance companies and general insurance (that's home, car insurance, that sort of thing) have to be kept separate. That's because the general side is considered riskier, and life policyholders' money should not be at risk to support it. Quite right.

I really cannot see why banks should not do the same. Retail banking and lending in one part, commercial banking in another (possibly), and trading definitely in another. What's the big issue?

Generali

GDB2222 wrote: »

In the UK, life assurance companies and general insurance (that's home, car insurance, that sort of thing) have to be kept separate. That's because the general side is considered riskier, and life policyholders' money should not be at risk to support it. Quite right.

I really cannot see why banks should not do the same. Retail banking and lending in one part, commercial banking in another (possibly), and trading definitely in another. What's the big issue?

There is an argument (which I don't subscribe to) that keeping investment and retail banks as one increases risk as there is less diversification.

Personally, I would make all banks unlimited liability partnerships. That would concentrate the minds of the bosses.