derivatives market news stories on Newser

Shareholders Sue JPMorgan

Kevin Spak — Wed, 16 May 2012 10:11:18 CDT

Two shareholders filed separate lawsuits against JPMorgan and its top executives in the wake of its $2 billion trading loss , accusing them of misleading investors about the company's risk exposure. One aspires to be a class action suit, representing anyone who owned JPMorgan stock from April 13 to May 10,...

Heads Roll at JPMorgan Over $2B Trade Loss

Neal Colgrass — Mon, 14 May 2012 08:34:40 CDT

JPMorgan's disastrous $2 billion trading loss has officially claimed its first casualty. Chief Investment Officer Ina R. Drew, a 30-year veteran of JPMorgan and one of Wall Street's most prominent women, retired today, the AP reports. Drew was responsible for overseeing the disastrous trades. Executives say she ordered them to...

JPMorgan: 'Sloppiness' Cost Us $2B in 6 Weeks

Rob Quinn — Fri, 11 May 2012 07:46:20 CDT

JPMorgan Chase has stunned the financial world by disclosing trading losses of $2 billion since the beginning of April, caused by what CEO Jamie Dimon calls "errors," "sloppiness" and "bad judgment." The losses came from bad trades made by a unit that was supposed to help America's biggest bank hedge...

Democrats Hammer GOP on Wall Street Ties

Kevin Spak — Fri, 17 Sep 2010 09:11:32 CDT

As the midterms heat up, expect to hear the words “Wall Street” a lot. Democrats are hammering Republicans on their ties to Wall Street, no matter how tangential, and on their party’s opposition to financial reform legislation, the LA Times reports. Republicans, meanwhile, speak angrily about bailouts and downplay their...

Reform Isn't Perfect, But Still 'Big and Welcome'

John Johnson — Fri, 25 Jun 2010 09:51:00 CDT

The Wall Street reform that emerged from Washington this morning isn't perfect, but all in all this is a "great day," writes financial blogger Felix Salmon at Reuters . The consumer protection agency is overdue, "and while banks won’t have to sell their swaps desks entirely, they will need to spin...

Senate Finance Bill Could Trim Big Banks' Profits 20%

John Johnson — Fri, 21 May 2010 07:43:41 CDT

To their surprise, the financial reform bill approved by the Senate last night has some real teeth, financial analysts tell the Wall Street Journal . Although specifics depend on what emerges from the confab with the House, some of Wall Street's biggest institutions could see profits decline by as much as...

Morgan Stanley Hit With Criminal Investigation

Kevin Spak — Wed, 12 May 2010 08:40:00 CDT

Looks like Goldman Sachs might have some company. Federal prosecutors have launched a criminal investigation into some of Morgan Stanley's mortgage derivative deals, the Wall Street Journal reports. Morgan Stanley created several mortgage-backed CDOs that it then bet against. Some it marketed itself, while others were sold by Citigroup and...

65% of Americans Back Stricter Financial Controls

Caroline Miller — Mon, 26 Apr 2010 09:18:41 CDT

Two-thirds of Americans say they support tighter regulation of banks in a new Washington Post -ABC News poll, and majorities also agree with the two main components of the Senate bill Democrats are poised to introduce this week: more federal oversight of consumer loans (59% to 38%), and making banks...

Buffett Lobbies Dems to Soften Derivatives Rule

Kevin Spak — Mon, 26 Apr 2010 07:44:03 CDT

Warren Buffett, the guy who once called derivatives “financial weapons of mass destruction,” is now lobbying Democrats to soften their restrictions on derivatives in the upcoming financial reform bill. It seems they would, as presently written, hurt his bottom line. Berkshire Hathaway has $63 billion in derivatives, the Wall Street...