Once the entire market knew that JPMorgan Chase (JPM) had a huge problematic position it would need to unwind, it seemed inevitable that the bank’s loss on that position would continue to grow.
Well, voil�.
Apparently, the loss has grown by at least 50%, according to the New York Times, which says that hedge funds have pounced on the weakened bank. The Times also notes that the bank could still report a profit for the quarter if the losses double.
The fallout from the trading loss, disclosed by CEO Jamie Dimon last Thursday, continues to grow, as the SEC and FBI are both reportedly reviewing the bank’s actions.
JPM is down 2.3% in midday trading, with competitors trading slightly in positive territory.
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