JPMorgan Will Shut Propietary Trading Desk In Response To Volcker Rule: Bloomberg

bloomberg.com:

Aug. 31 (Bloomberg) -- JPMorgan Chase & Co., the second- largest U.S. lender by assets, told traders who bet on commodities for the firm's account that their unit will be closed as the company begins to shut down all its proprietary trading, according to a person briefed on the matter.

Read the whole story: bloomberg.com

Comments

[tompoe]

09:43 AM on 09/02/2010

I see corporate media is spewing more propaganda for the masses. A secret contact had a briefing with unknown sources, saying JP Morgan is playing straight with Americans, and won't be raping and pillaging today. What utter waste of readers' time.

[msjimmied]

12:13 PM on 09/01/2010

Y'all know JPM is the biggest manipulator of the precious metals market, right? They are shutting their proprietary prop desks, or moving them? Like they have moved other assets?

http://www.reuters.com/article/idUSSGE6490MF20100510

[mrspiffy]

10:44 AM on 09/01/2010

It's called "Are you a bank or a trading house". Can't be both.
http://yieldpig.blogspot.com/

[jerrydenim]

02:13 AM on 09/01/2010

Yeah right, and the Iraq war is over. All the soldiers have come home. We just happen to have 50,000 "advisers" over there who are not being shot at or killing anyone in return.

This is B.S. If you've got a MBA or some kind of finance degree and you can boast a job that pays more than a million a year the law doesn't exist for you. You can pay taxes according to different rules and you can just change the mailing address of your derivative trading business to a post office box in the Caymens and tell the IRS and a reporter from Bloomberg it's been "closed down".

This is spin and smoke. Try to follow the money if you can.

[msjimmied]

12:10 PM on 09/01/2010

+1

Fanned.

[dems08]

01:31 AM on 09/01/2010

A total of 1,050 insured U.S. commercial banks reported derivatives activities at the end of the first quarter, an increase of 20 banks from the prior quarter.

Derivatives activity in the U.S. banking system continues to be dominated by a small group of large financial institutions.

Five large commercial banks represent 97% of the total banking industry notional amounts and 86% of industry net current credit exposure.

[ButchManowski]

12:12 AM on 09/01/2010

Financial Reform has a reward for the taxpayers. Excellent.

[DiogenesOfAlaska]

12:02 AM on 09/01/2010

This could be a good time to ask Ms. Masters why she hasn't opened up her own very private hedge fund yet.

Could it be because gearing up bets is a shaky business model unless your leverage comes for free from within a TBTF bank?

Just a thought.

[KarolinaReiss]

10:50 PM on 08/31/2010

I want to buy it!

[DiogenesOfAlaska]

12:05 AM on 09/01/2010

Great idea. Like the hen buying the foxhouse or something. :-)

[LightShadow62]

10:14 PM on 08/31/2010

So Chase is going to shut down it's gambling division.......Good!

[Cipo]

11:30 PM on 08/31/2010

Don't believe the hype: http://www.zerohedge.com/article/jpmorgan-shutting-down-all-prop-trading-desks
It is a bait and switch.

[LightShadow62]

12:21 AM on 09/01/2010

I know it is but sometimes it is fun to pretend that these "expletive deleted" are at least being inconvenienced by what is going on.

[spinns17]

10:11 PM on 08/31/2010

still like to know who thier god is

[fxtrade]

10:35 PM on 08/31/2010

Themselves.

[Nobody78]

03:22 AM on 09/01/2010

Yep!

[seeksthetruth]

11:32 PM on 08/31/2010

Money.

[ibsteve2u]

09:33 PM on 08/31/2010

Christopher Whalen, [...]: “This will put more pressure on JPM to look for growth outside the U.S. market.”

And there it is: The poison that is Wall Street at work.

A successful business model returning steady profits is not good enough; both the business and its profits must continually grow, or Wall Street's analysts will change the stock to a "hold" or "sell", and the executive "team" will consequently see their option-rich compensation begin to fall to measly millions...

Perhaps, even, Wall Street will say that the business must now look offshore for more growth; more profit...perhaps Wall Street will say the "cost structure of the business is unwieldy", forcing cost-cutting and offshoring as the suits in the e-suite rush to remain on the Forbes list.

Perhaps? lolllll....most likely, rather.

Wall Street - the greatest inflationary pressure...the greatest destroyer of jobs...the greatest enemy of the American people ever invented by those afflicted with greed and the lust for power.

It begs the question: What will Wall Street demand once the entire planet is covered meridian to meridian with mega-corporations? Force the people of the world to breed - whether they want to, or not - to satiate their demand for growth? For more profits? Instigate war, so as to destroy entire countries - or multinational corporations - thus leaving room for the game to begin again?

I wouldn't put anything past...the Street.

[petef59]

10:59 PM on 08/31/2010

The creativity of the 'best & brightest' mainstream MBA's. Impressive, no?

[29bela]

01:45 AM on 09/01/2010

World is watching and learning to be more careful.

[bayviking]

07:36 PM on 08/31/2010

Shutting down, or divesting that department. Let's get real, the system is rigged and proprietary trading and derivatives are where most of the money is being made (scammed). The purpose of proprietary code is to see the buy/sell margins before they close and act, in microseconds.

[spinns17]

10:10 PM on 08/31/2010

fanned

[alreadybad]

10:22 PM on 08/31/2010

There it is! Fanned and faved for putting it out there like crystal

[rikster]

06:45 PM on 08/31/2010

surprise..surprise.

[PhobiaPhobia]

06:36 PM on 08/31/2010

Hip hip...

[kirazmazzone]

06:16 PM on 08/31/2010

It doesn't matter, like all good cons, they'll figure out a new one.

[DASChicago]

09:03 PM on 08/31/2010

True!!!

[spinns17]

10:11 PM on 08/31/2010

2nd that