J.P. Morgan's former head of credit and equity trading at the investment unit in London, Javier Martin-Artajo, and ex-trader Julien Grout are accused of concealing massive trading losses that eventually reached $6.2 billion. They've been charged with wire fraud, filing false information with the Securities and Exchange Commission, among other crimes.
They are the first to be charged in the case. If convicted, both face up to five years in prison.
The SEC has filed a similar civil complaint in which it says it would hold the bank accountable for inaccurate information investors received.
In other news, Agmen's (AMGN) acquisition of Onyx Pharmaceuticals (ONXX) is said to be stalling over access to data from an ongoing drug trial. According to a report by Bloomberg, Agmen wants data from a study to gain European approval for Onyx's blood-cancer treatment, Kyprolis. But Onyx reportedly doesn't have access to the data as the trial is currently ongoing. The data is expected to be released in the first half of 2014. The data would help determine a value for Kyprolis. The two sides have reportedly agreed on a purchase price of $130 per share in cash.
Lastly, department store chain Kohl's (KSS) reported disappointing second-quarter results. The company reported net income of $231 million, a 4% decline from the same period a year ago. Earnings per share came in at $1.04 a share on sales of $4.29 billion. The results narrowly missed analysts' expectations for earnings of $1.05 a share. Looking ahead, Kohl's forecast third-quarter earnings below analysts' estimates as well. The company said it expects third-quarter earnings in the range of 83 cents to 92 cents a share, compared with analysts' expectations for a profit of 94 cents a share, according to Thomson Reuters. On a bright note, Kohl's reported a rise in quarterly comparable-store sales. Same-store sales rose 0.9%, still falling short of analysts' estimates for a rise of 1.1%. The results follow disappointing quarterly U.S. sales from rival Wal-Mart, which reported a fall in comparable store sales. Consumers have been curbing spending due to the payroll tax cut, cool weather, continued employment weakness and gas prices.
The chatter on Main Street (a.k.a. Google, Yahoo! and other search sites) is always of interest to investors on Wall Street. Thus, each day, TheStreet compiles the stories that are trending on the Web, and highlights the news that could make stocks move. -- Written by Brittany Umar.
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