>>6747489 lb

Bruno and the Blythe

http://www.zerohedge.com/news/and-now-something-special-jpmorgan-guide-credit-derivatives-blythe-masters

https://www.zerohedge.com/news/jpmorgan-trader-accused-breaking-cds-index-market-massive-prop-position

And that, for those confused, is how JPMorgan operates: they lie about everything, fully aware they have perpetual immunity because they are more powerful than the Fed (just recall Jamie Dimon's symbolic spitting in the face of Ben Bernanke), they are a tri-party repo dealer thus in the center of the entire shadow banking system, and have the biggest single-bank derivative exposure in the world, at $70 trillion as of December 31.

JPMorgan is modern finance.

And because of they they can and will get away with everything, lying on prime time TV most certainly included.

Yet while JPMorgan may manipulate the gold, silver, or any other market, for its or the Fed's agenda, there is a silver lining: it allows everyone to buy physical assets at artificially deflated paper spot prices. And for that, JPM should be thanked. Because until the grand reset takes place, JPMorgan will never be held accountable for any of its actions in the current status quo regime. Period.

///

And then we read this: "A JPMorgan Chase & Co. trader of derivatives linked to the financial health of corporations has amassed positions so large that he’s driving price moves in the multi-trillion dollar market, according to traders outside the firm." Say what? A JPMorgan trader has a prop(not flow, not client, not non-discretionary) position so big it is moving the entire market? And we are talking hundreds of billions of CDS notional. But... that would mean everything Blythe said is one big lie... It would also mean that JPMorgan is blatantly and without any regard for legislation, ignoring the Volcker rule, which arrived in the aftermath of Merrill Lynch doing precisely this with various CDO and credit indexes, and "moving the market" only to blow itself up and cost taxpayers billions when the bets all LTCMed. But wait, it gets better: "In some cases, [the trader] is believed to have “broken” the index -- Wall Street lingo for the market dysfunction that occurs when a price gap opens up between the index and its underlying constituents." 

>>6748489

>>6748489

Makes you wonder if cufflinks and blythe blew the fucking market up back 2008 and 09 only to be fed moar meat….

All the way back to the Exxon Valdez spill Alaska way.

>>6748532

Not sure about the lease but it'll be another stroll down memory lane for all the financial fuckery. If the titanic and Olympic did swap, why not give it a go with the Valdez…imho

https://thinkprogress.org/jp-morgan-invented-credit-default-swaps-to-give-exxon-credit-line-for-valdez-liability-dfe0333d25c7/

The Boca Raton meeting first bore fruit when Exxon needed to open a line of credit to cover potential damages of five billion dollars resulting from the 1989 Exxon Valdez oil spill. J. P. Morgan was reluctant to turn down Exxon, which was an old client, but the deal would tie up a lot of reserve cash to provide for the risk of the loans going bad. The so-called Basel rules, named for the town in Switzerland where they were formulated, required that the banks hold eight per cent of their capital in reserve against the risk of outstanding loans. That limited the amount of lending bankers could do, the amount of risk they could take on, and therefore the amount of profit they could make. But, if the risk of the loans could be sold, it logically followed that the loans were now risk-free; and, if that were the case, what would have been the reserve cash could now be freely loaned out. No need to suck up useful capital.

In late 1994, Blythe Masters, a member of the J. P. Morgan swaps team, pitched the idea of selling the credit risk to the European Bank of Reconstruction and Development. So, if Exxon defaulted, the E.B.R.D. would be on the hook for it””and, in return for taking on the risk, would receive a fee from J. P. Morgan. Exxon would get its credit line, and J. P. Morgan would get to honor its client relationship but also to keep its credit lines intact for sexier activities. The deal was so new that it didn’t even have a name: eventually, the one settled on was “credit-default swap.”

>>6748532

Jaime Dimon

Jimmy the Dime

Migrated to JPM after his stint with Citi and Sandy Weill

>>6748669

Interesting on both

Greek by heritage or at least what is attributed to his old man….

Also makes me wonder about the Supreme's decision to reduce punitive damages from 5b down to 500m that June of 2008

>>6748733

Hanky Poo, not a Christmas one though

Henry Merritt "Hank" Paulson 

Treasury Sec. For W when all that shit boogied down.

Please don't forget about Corzine and MF global, whom JPM was opposite all their shitty deals….

>>6748814

Is that why Schneiderman quit tilying at windmills over the NY banks and the Libor manipulation…?

>>6748902

Same here with wamu preferreds….

Could have made a lot and didn't, held on when should have let them go. At least made everything back and said adios mfers.