As for Wednesday's scheduled news, JPMorgan Chase (JPM) CEO Jamie Dimon is set to testify before the Senate's Banking Committee about the shocking $2 billion (and counting) trading loss resulting from credit derivative hedging within its synthetic portfolio.
The debacle has been a severe blow to Dimon's image as Wall Street's teflon CEO and brought mockery down on the bank's so-called fortress balance sheet strategy. The hearing is slated to run from 10 a.m.-12 p.m. ET and the stated subject: A Breakdown in Risk Management: What Went Wrong at JPMorgan Chase? provides a pretty clear idea of what line the questioning is going to take.
Whether this blunder ends up being enough to fire a serious debate about breaking up the big banks again remains to be seen but how Dimon handles this grilling and another before a House committee next week could go a long way toward determining whether he remains in the C-suite long term. Reports late Tuesday are saying Dimon is going to argue the loss, which could ultimately run as high as $5 billion, should be viewed as an "isolated event". Good luck with that.
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV