Submitted by Tyler Durden on 06/19/2012 13:46 -0400
CDS
DVA
Fail
Gambling
Jamie Dimon
Testimony
Too Big To Fail
As expected, absolutely nothing new was disclosed in today's latest Jamie Dimon dog and pony show. To summarize what we did learn:
"JPM is not too big to fail, but it is not at risk of failing unless the earth is hit by the moon"
"We make CDS for the benefit of veterans, retirees, orphans and widows"
"We only bought Bear's assets in a firesale while the Fed backstopped its liabilities, because the US government made us"
"VaR can be made to show anything. We have a closet full of models"
"Gambling is not investing"
Finally, Jamie Dimon once again refused to disclose the to-date losses on the CIO trade, but promises the firm will be profitable. Which only leaves one question open: how much "profit" from "reserve release" and "DVA", aka blowing out in JPM CDS, will the firm need to take to mask the CIO losses?
http://www.zerohedge.com/news/summarizing-jamie-dimons-congressional-testimony?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+zerohedge%2Ffeed+%28zero+hedge+-+on+a+long+enough+timeline%2C+the+survival+rate+for+everyone+drops+to+zero%29
Realist - Everybody in America is soft, and hates conflict. The cure for this, both in politics and social life, is the same -- hardihood. Give them raw truth.
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