Jpmorgan Chase

NEW YORK - JPMorgan Chase & Co. revealed that losses from a trading blunder could widen to a whopping $7.5 billion as it reported that profit fell last quarter. Wall Street's reaction? Investors sent the bank's stock surging 6% on Friday. It's been a rough couple of months for JPMorgan and its savvy chairman and chief executive, Jamie Dimon, since the bank disclosed that risky derivatives trades blew a hole - initially pegged at $2 billion - in what he calls the bank's "fortress balance sheet.

JPMorgan Chase & Co. will take back compensation from employees responsible for trading losses that it said have so far totaled $5.8 billion. Three London-based employees responsible for the bank's bungled derivatives trades have left the bank and will be subject to maximum claw-backs, executives said Friday morning. The claw-backs would equal about twice the employees' annual compensation, though JPMorgan execs would not detail how much would be taken back, nor would they name the employees.

JPMorgan Chase & Co.'s losses from risky derivatives bets widened to $4.4 billion in the second quarter, the bank announced. Originally pegged at $2 billion when the bank disclosed the blunder in May, the bad bets have renewed debates over financial regulations four years after the financial crisis, when risky trading on Wall Street helped bring the system to the brink. At an analysts meeting Friday morning, JPMorgan's chief financial officer added that year-to-date losses from the bad trades have reached $5.8 billion.

NEW YORK -- Stocks continued their slide in early trading on a Wall Street as the public digested the U.S. Supreme Court's ruling on President Obama's healthcare law. The Dow Jones industrial average was down 88 points, or 0.7%, to 12,536 shortly after the opening bell. The Dow hasn't budged since the high court released its highly anticipated ruling. The broader Standard & Poor's 500 index was down 8 points, or 0.6%, to 1,324. The Nasdaq was down 23 points, or 0.8%, to 2,852.

Moody's Investors Service slashed the credit ratings of more than a dozen giant global banks amid worries that Europe's economic turmoil could slow both profit and growth. The downgrades, announced after the close of U.S. financial markets Thursday, included Goldman Sachs Group Inc., JPMorgan Chase & Co., Morgan Stanley, Citigroup Inc. and Bank of America Corp. The move came as the 15 banks singled out by Moody's try to navigate through the European debt crisis, which could have a major effect on their trading businesses.

WASHINGTON -- Democrats and Republicans sparred over the need for tougher oversight of Wall Street as regulators and JPMorgan Chase & Co. Chief Executive Jamie Dimon prepared to testify Tuesday about the bank's more than $2-billion trading loss. The hearing by the House Financial Services Committee started out much more sharply partisan than last week's hearing by the Senate Banking Committee, where Dimon was questioned about the loss. Rep. Spencer Bachus (R-Ala.), chairman of the House Financial Services Committee, said the most important lesson of JPMorgan's loss had nothing to do with the "more than 400 rules" enacted by the Dodd-Frank financial reform law. He said it showed that the regulatory system still was too complex -- something the 2010 overhaul did not address.

WASHINGTON - Facing more congressional heat about JPMorgan Chase & Co.'s huge trading loss, Chief Executive Jamie Dimon said he did not mislead shareholders about the extent of the problems as a financial regulator revealed that the bank's public disclosures were under scrutiny. "We disclosed what we knew when we knew it," Dimon told the House Financial Services Committee on Tuesday. It was the second time in less than a week that he testified on Capitol Hill about JPMorgan's more than $2-billion trading loss.

WASHINGTON -- JPMorgan Chase & Co. Chief Executive Jamie Dimon on Tuesday defiantly defended his lobbying against some new financial regulations as he faced tough questioning by lawmakers about the bank's huge trading loss. Appearing before a congressional committee for the second time in less than a week, Dimon again said the bank was sorry for the more than $2-billion loss. But he downplayed the consequences for the company and the financial system, saying JPMorgan soon would report a solid profit for the second quarter of the year.

WASHINGTON -- A key financial regulator said the investigation of the more than $2-billion trading loss at JPMorgan Chase & Co. has found the bank apparently has "serious risk management issues" that might go beyond the office responsible for the losses. "We do believe as a preliminary matter that there are apparent serious risk management weaknesses at the bank," Comptroller of the Currency Thomas J. Curry told the House Financial Services Committee on Tuesday. The Office of the Comptroller of the Currency is the main regulator for JPMorgan Chase's banking operations and is "continuing to examine the root causes for those failures and whether there are other weaknesses" outside the firm's chief investment office, which conducted the trades that led to the losses.

WASHINGTON - As JPMorgan Chase & Co. Chief Executive Jamie Dimon prepares for another day on the congressional hot seat this week, the U.S. Chamber of Commerce warned lawmakers and regulators not to overreact to the bank's huge trading loss. "Hiding money in a mattress isn't a strategy for a growing, prosperous, economy, but that seems to be the road some want us to go down," Thomas Quaadman, vice president of the U.S. Chamber's Center for Capital Markets Competitiveness, wrote on the business group's blog Monday.