This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

JPMorgan M&A Email Raises Questions

However, Ayres notes what he sees as a weakness in the U.S. Sherman Antitrust Act, which is that it is only violated if an actual anti-competitive agreement is put in place. That loophole famously allowed American Airlines (AMR) to avoid penalty even after its chief executive was recorded openly proposing to a competitor that they both lower their prices simultaneously. The JPMorgan e-mail does not appear to prove an anti-competitive agreement existed between the two banks, Ayres says.

The Federal Trade Commission has argued it has broader powers under Section Five of the Federal Trade Commission Act, which prohibits "unfair methods of competition," according to William Page, a senior associate dean at University of Florida's law school who has written two books on anti-trust issues involving Microsoft (MSFT).

Page would not say whether he thought the e-mail described illegal activity, or warranted further investigation, saying only that he found it "interesting."

"The fact that you have the heads of these two banks talking directly: whenever you have that kind of direct communication there's going to be some question about what it is they're actually discussing," Page says.

In addition to the banks mentioned above, the e-mail describes both bank chiefs as interested in buying Citigroup's (C - Get Report) Banamex unit. Santander confirmed it tried to buy Banamex but was told it was not for sale.

Dimon also advises Santander to "take a good look," at Citigroup's U.S. consumer finance business, a business Dimon likes but says "does not fit in any one of JPMorgan's key divisions."
2 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
SYM TRADE IT LAST %CHG
C $58.30 0.58%
GE $26.12 0.64%
JPM $68.06 0.07%
STI $44.20 0.64%
WFC $57.42 -0.30%

Markets

Chart of I:DJI
DOW 17,622.75 +182.16 1.04%
S&P 500 2,093.00 +25.36 1.23%
NASDAQ 5,085.9690 +46.1930 0.92%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs