NEW YORK (TheStreet) -- Until now, JPMorgan Chase (JPM) CEO Jamie Dimon has staved off any serious talk that he'd get picked up by the seat of the pants and scruff of the neck and thrown out of his corner office.
The company's so-called rogue trading loss was just going to be $2 billion -- and that appeared tolerable to the masses. OK, maybe three. Or, uh, five. But no matter. Slick Jamie, who seemed to be telling the truth slowly on company's misdeeds, charmed the pants off of the media, traders and politicians in Washington testimony.
Now comes this revelation from The New York Times (NYT):
"JPMorgan Trading Loss May Reach $9 Billion."Even if this is the final number -- and, considering history, that'd be a risky bet -- it chips away at Dimon's nearly inexplicable sense of invincibility. Would CEO's of Bank of America (BAC), Morgan Stanley (MS) or Citigroup (C) get the same endless supply of good will? In reporting on the $9 billion-loss figure, that's the key takeaway. We've finally reached the point of ridiculousness, of ever cascading losses, of loss in confidence that Dimon has been forthright or, worse, even aware -- and that calls into question his future leadership. The New York Times goes right there: "The growing fallout from the bank's bad bet threatens to undercut the credibility of Mr. Dimon, who has been fighting major regulatory changes that could curtail the kind of risk-taking that led to the trading losses. The bank chief was considered a deft manager of risk after steering JPMorgan through the financial crisis in far better shape than its rivals." CNNMoney, The Associated Press and Marketwatch don't go there and that's just wrong. At $9 billion and growing, it's time.
Select the service that is right for you!COMPARE ALL SERVICES
- $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
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV