j.p. morgan stock up on fire out of j.p. morgan stock up. i like that i go there well dan for if this guy had his house burgles by j.p. morgan chase also kept copies of important documents inside the house and they were also taken experts said in case of a fire or burglary by j.p. morgan chase it's a good idea to have copies of important documents in a digital form or a safety deposit box but this is something you and i have also talked about not only could j.p. morgan chase lloyd blankfein and jamie diamond type guys steal your stuff but you know you need gold silver are diamonds and in your co it's time to start thinking about that because this is the blitzkrieg coming these are the guys taking your stuff and there's nobody there to protect you right so they steal all your stuff and then they'll sell you insurance to pretty good protection against them spree stealing all your stuff is j.p. morgan bankrupt the community gomery alabama and then everyone's on the street and then they process all of the machinery behind food stamps so they try to hedge their bets one thing i guess i never learned was how to heads his programs the wa

j.p. morgan chase. >> reporter: the losses for j.p. morgan chase continued today, this time to its stock price which tumbled more than 9%. as the bank reeld from its $2 billion trading blunder and bank analysts took aim at c.e.o. jamie dimon. >> he should have done his home work better. >> reporter: mike mayo, who closely watches the company for the investment firm c.l.s.a. says in april dimon dismissed concerns the bank was making big bets on credit derivatives that even then were rattling the markets. >> one month ago jamie dimon gave a reassurance that this was "a tempest in a teapot" when it came to the company's investments. here one one month later and there's a $2 billion loss on their books. >> reporter: the risky bets were placed out of the bank's london office by a trader named bruno ixill, nicknamed the london whale but he was not a rogue and critics say that raises serious questions about risk management at america's biggest bank. michael houston is an analyst with the london investment firm c.m.c. markets. >> the "too big t

j.p. morgan chase-- continued to fall today. it has lost $19 billion in value since friday, more than 12% of its total worth. late last week, the bank shocked investors with a $2 billion loss in its trading department. j.p. morgan chase had made enormous bet on what are known as derivatives, an exotic wall street investment that was at the heart of the financial collapse in 2008. by this morning, a top executive was out and anthony mason picks up the story from there. >> reporter: the first casualty of the bank's $2 billion blunder was its chief investment officer anna drew, a 30-year veteran of j.p. morgan chase and one of the highest ranking women on wall street resigned this morning. she oversaw the division responsible for the $2 billion loss. the bank stock tumbled another 3% today and c.e.o. jamie dimon has been rushing to do damage control. >> in hindsight we took far too much risk, the strategy we had was badly vetted, it was badly monitored, it should should never have happened. >> reporter: but the bad trades are still

j.p. morgan chase.there is so much exposure they're trying to unwind all of them but we could see other financial units also getting hit hard. it has had an impact on wall street but not as bad as you may expect. financial sector is getting hit pretty hard to afford to let we got a surprising rise in consumer sentiment. the highest level in four years. the dow lower by just 15 points. nasdaq up by nine. s&p down one. g tim ega j.p. morgan chase this is the story that is not going to end anytime soon. back to you guys. >> thank you. >> now to campaign 2012, the president in reno nevada right now at this hour discussing more is released. let's listen into the president ... >> i will take her word for it that she is a pretty good cop. a piece they have lived in this house for 14 years. she works your by helping secure loans for farmers and ranchers. paul is a retired electrical contractor who started a family business with her son. last year, with mortgage rates at historic lows, the keller's decided credi

j.p. morgan chase's $2 billion blunder. tonight, j.p. rgan chase's ceo isn't making excuses after his company admitted to losing that money. >> that's right. three executives will lose their jobs this week. what are the latest developments? >> what's next for j.p. morgan chase? last week, the nation's largest bank disclosed they ran over $2 billion in losses over six weeks. c.e.o. jamie dimon was blunt. >> made a terrible egregious mistake. >> we took far too much rent, the strategy we had was vetted, monitored, it should never have happened. >> financial stocks took a beating on wall street friday when j.p. morgan chase leading the way down. >> this is just a few -- trying to regain the investment public's trust. >> for many, the painful reminder of the bad ole days of the 2008 banking crisis. a huge reversal coming at a time when the frnls industry is trying to loosen regulations on trading. >> they made bets and couldn't pay for it. we said no, you can't get yourself in that position. >> one top lawmaker said the j.p. morgan chase deba

j.p. morgan trade securities and exchange commission chairman mary shapiro said on friday that regulators were obviously very focused on the situation at j.p. morgan chase and company j p m after the bank's surprise announcement that it will take a quote significant trading loss shapiro said to reporters quote all the regulators are very focused on this she declined however to comment on whether the trade gives an impetus to regulators to adopt the volcker rule which seeks to limit speculative trading she also declined to comment on whether the financial stability oversight council a group of bank securities and housing regulators planned to meet to discuss the trade immersion definition of focus that before buying into a cucumber sandwich at the commissary so more washington d.c. she mentioned to somebody on line waiting to buy their macaroni and cheese to the effect did your budget be morgan terrible better to catch it. that's all that's all it's on base but that's my point is that they don't they're not focused on this they're not they're not judah kidding they're not regulating they are part of the problem they are deep deeply ingrained in the fabri

morgan chase into a hundred fund. you wrote a spectacular blog in which you crunched some of the numbers. a large piece of the profit that j.p. morgan chase has been booking over the past couple of years has come from this unit. >> 25% of j.p. morgan's profits came from this london hedge fund which had $360,000,000,000 in assets under management which makes it one of the biggest if not the biggest hedge funneled in the world. no one knows it exists really so what does that do in your mind to the credibility of the claim that was being made by jamie dimon that these were just hedging positions? it's laughable? right? >> hedging in the way all hedge funds are hedging. you can come up with some position somewhere else in the bank which you are quote/unquote hedging but the great genius of ima drew in charge of this, was that every time jamie dimon asked her to put a hedge she would turn that into a few hundred million dollar of profits. you are hedging and making billions at the same time. >> the first indication to me these are not just hedges was the fact she was being paid 14 million a year. you don't pay somebody 14 million

j.p. morgan chase. our best information is that the trading activities in question took place in the bank in london and perhaps in other affiliates but not in the broker-dealer directly supervised by the sec. although the commission does not discuss investigations publicly, i can say that in circumstances of this nature where the activity does not appear to have occurred in one of our regulated entities the sec would be interested in and focused on the appropriateness and completeness of the entity's financial reporting and other public disclosures. in conclusion, as we continue to implement title 7, we look forward to continuing to work closely with congress, our fellow regulators at home and abroad and members of the public. thank you for the opportunity to share our progress on the implementation of title 7 and i will of course be happy to answer any questions. >> thank you. chairman gensler, please begin your testimony. >> good morning, chairman johnson, ranking member shelby and members of this com

j.p. morgan chase is the biggest bank in the u.s. he errors are@ ja rule, ad -d@t fmer aithe fera >> i know it was done with the intention to -- j.p. morgan chase, but i'm telling you it morph ode diver and the new strategy meant to reduce the hedge overall made it more complex, more risky, and it was unbelievably ineffective. we do believer we need to have the able to hedge in a ceo type position and that volcker allows that. this trading -- may violate the rule but violates the diamond principle. >> question, will it set back the regulators in washington? >> it will strengthen the hands of the regulators, and it comes at a very important moment because in the last true months, you've seen a real pushback from the banks aided by the republicans to try to look at watering down a lot of the financial reforms. this could not have come at a better moment as far as regulated were concerned because not only have jamie diamond been in the forefront of the pushback, he's also deemed one of the most effective bankers out there. and the questi

j.p. morgan chase, at least two traders are expected to get the ax as well and c.e.o. jamie dimon will undoubtedly face some angry shareholders at the bank's annual meeting tomorrow. >> pelley: anthony, let's be clear. j.p. morgan chase is not in danger. >> no, $2 billion is a lot of money, scott, but this is the biggest bank in the country by assets. they have a $2.3 trillion asset sheet. >> pelley: jamie dimon is one of the most respected bankers in the country. if this can happen to him what does that tell you? >> reporter: this suggests, scott, that the bank may not... it's too big to fail, we know that, but it may also be too big to manage and there are increasing calls for these big banks to be broken up. that has risen again. >> pelley: thank you, anthony. anthony mentioned dodd-frank, that's the financial market reform law that passed in 2010. the federal government now has the authority to break up failing banks, but the rule that would ban risky trades doesn't go into effect until 2014. the economy is the top issue in the presidential race and tonight a cbs n

j.p. morgan chase's blunder making a $2 billion trading loss causing trade teors shave almost 10% of off of j.p. morgan zok price. dimond addressed it saying they made an egregious error. but they will weather the size. >> this is not a risk. it's a stupid thing that we should have never done but we are going earn a lot of money this quarter. it's no the like the company is jeopardized. >> heather: but when a bank gets too big to fail he supports the government stepping in and taking action. >> we support getting rid of too big to fail. it's very important. this is not going to even remotely to make money for capital but we want the government to take down a big bank like j.p. morgan. it can be done. dodd-frank has the authority to take a big bank and when it happens, the board should be fired and compensation and equity should be wiped out and the name should be buried. >> heather: we'll have much more on the developing story on senior business correspondent brenda butner. >> gregg: an assassin strikes in afghanistan. armed guards surrounding the home of the victim. a top member of the afg

j.p. morgan chase. now not only is this the nation's largest bank. espected ceo who managed to steer his company through the financial crisis better than most. j.p. morgan chase's ceo jamie dimon waited until after the markets closed thursday to make the stunning announcement that the bank lost $2 billion this quarter, a loss he blames on slopeness and bad judgment. >> they were gross mistakes, they were self-inflicted and we were accountable and what happened violates our own standards and principles by how we operate the company. this is not how we want to run a business. >> cannot believe that a ceo respected as much as im. >>y dimon who a month earlier said oops, we've got it wrong. >> the author of "exile on wall street" says while it is not life-threatening to the bank it raises much larger concerns. >> the question is are these big banks including j.p. morgan too big to manage? they were taking actions to protect the company and they lose money. it's as if i went out and took insurance out on my house and a month later i said oops, i lost $100,

j.p. morgan chase reportedly are out. this after the bank revealed on thursday it lost at least $2 billion in risky trades. those stepping down will include the senior executive who oversaw the transaction and two upper traders. today c.e.o. jaime diamon called the trades a terrible, egregious mistake. he also acknowledges the securities and exchange commission is investigating whether rules were broken. >> we know we were sloppy. we know we were stupid. we know there was bad judgment. we don't know if any of that is true. regulators should look, that is their job so we are open to the regulators. they will come to their own conclusion. the strategy we had was barely vetted, it was barely monitored. it should never have happened. >> glor: joining me to discuss this is law professor and former wall street regulator michael greenberger. one question a lot of people are asking is how is it jamie dimon by all accounts a smart man, a savvy banker, how is it he didn't know something like this was going on? >> these kinds of tra

j.p. morgan chase is retiring. ida true oversaw at least two other executives at j.p. organ could leave the company as early as today. that follows an apology from the ceo of the world's largest bank. he says he was wrong to ignore the warning signs that he says the bank is in no danger of failing. governor jerry brown will release his revised budget in sacramento based on higher than anticipated deficit. >> we're now facing a $16 billion hole, not 9 billion we thought in january >> he blames the higher deficit on lower tax revenue. he says cuts to public education and safety are not acceptable. he wants to increase income tax for highest earners. >> later this morning, the new ceo of pg&e each holds his for a shareholder meeting. the media will be allowed to attend although no recording will be allowed inside. sandbur now has a special ceremony this evening for residents returning to that neighborhood that was destroyed. 38 homes were lost in the gas pipeline explosion that killed eight people in september of 2010 and the bay area news group reports that two families h

j.p. morgan chase. when the financial crisis erupted j.p. rgan chase was the best bank that came out of it. they did not have the risky trades that many competitors have so their ceo was called the king of wall street. >> now we learn there might be an additional billion dollar loss to come. it has prompted calls for stricter bank regulations. >> a crack down on mechanics is putting one bay area man in jail. an undercover sting caught the redwood city mechanic doing unnecessary repairs. >> boss is in at hudson on a repair but not for much longer. the owner is heading to jail. earlier this week he pleaded no contest to misdemeanor following the investigation by the bureau of automotive repair >> they had received complaints from consumers were concerned that the shop might be performing unnecessary repairs >> the d.a. says according to this complaint he performed unnecessary repairs on two different under cover vehicles. one in 2010 and another in 2011. they are not stopping at 30 days jail time. they're going after his license to run a repair

j.p. morgan chase i believe at this point issues. food stamp debit cards in some thirty states in this country they they don't have to worry about the two billion dollars don't make it up in the long run and the american people keep keep being spared the same propagandise left red team blue team garbage and it's unfortunate christine but it looks like we're just going to keep swallowing debate until we have the uber collapse a super collapse or make two thousand and eight look like a day in romper room and then they'll stand around and say you know what we were doing just fine we were doing just fine in the sovereign debt problem is what brought the world's financial system crashing down that way they can lead and lay the blame on the people of the world sauber in debt once it's the public's debt they can let this whole thing come apart and then blame the people of the world and then offer us a nice solution in the form of a global financial governance well i thought it was pretty interesting we played a small part of jamie diamond i

j.p. morgan chase has lots of exposure.we're talking about derivatives, trades based on other trades and other investments. so there could be more fallout. the sec says they're looking into this matter. that is putting a severe dent in the wall street. financial stocks falling on misinformation. j.p. morgan chase shares down over 9%. goldman sachs down 3% because of bank of america also down by 3%. the market is heading lower, the dow finally broke a losing skid yesterday but is heading back the other way. the dow giving up 46 points right now. the nasdaq is up by three and the s&p down by four. the chips, thanks to shares up over 9%. back to you guys. >> all right, jason brooks, cbs money watch .com, have a great weekend. >> before the president's historic remarks, san fransisco took the lead on same-sex marriages. >> the man that led the charge, gavin newsom, with former mayor willie brown, a lieutenant governor and former mayor of san francisco gavin newsom. good morning. >> good morning. >> ok, the president, this morni

j.p. morgan chase is under federal review after huge bets went horribly wrong and j.p. morgan chase reported yesterday before the fox report a loss of $2 billion, the biggest bank in the country and the c.e.o. calls the loss "egregious and self inflicted," due to the same kind of risky trades that brought down a.i.g. you hear me? nothing has changed. nothing. the swaps market is bigger today than it was weapon the financial crisis happened. bigger. and lawmakers say the news suggests banks still cannot be trusted to handle risk. stocks took a beating early but rebounded and now are slightly in the red with consumer confidence at a four-your high and the losses are mostly confined to finance sector with shares of j.p. morgan chase down 9 percent. 9 risky bets, stupid move, it has not contained. the unregulated swaps market is multiple times larger than the entire economy. it is completely unregulated. and absolute fiasco. >>gerri: i cannot agree more. people think the stock market is big. the bond market is big. no, not compared to derivatives. huge. much, much bigger and

j.p. morgan chase, in less than a week after the banking giant announce add $2 billion loss because of one person's risky trades, heads are rolling. j.p. morgan chase announced this executive who managed the department responsible for the trading loss will retire and the resignation is accepted after a 30-year career. one of the most powerful and high ranking women in this nation in the banking business, or on wall street, which is the height of it. her salary last year, more than $15 million. today a resignation is accepted. and yesterday's "meet the press," j.p. morgan chase crow said they remain strong despite a few sloppy moves. >> this is not a risk which is life threatening to j.p. morgan chase but a stupid thing that is, we should never have done but we are still going to earn a lot of money. it isn't like this company is jeopardized. we hurt ourselves and our credibility. >>shepard: that $2 billion loss came from the same bets that forced the taxpayers to shell out hundreds of billions in bailouts. is j.p. morgan chase too-big-to-fail? or capitalized to the point it is not necessar

j.p. morgan chase. this in the wake of the financial institutions recent admission it lost at least $2 billion in some risky credit derivative trades. >> i would say the trades came to our attention and with press reports. >> press reports. >> our staff was aware of trades that are in the clearing houses because they monitor the clearing houses daily. >> reporter: the senate banking committee wants to know if reforms in the 2010 dod frank financial oversight law that go into effect this summer, could have stopped the trading losses. >> and the trading activities in question took place in the bank in london and not directly supervised by the scc. >> reporter: wall street supporters argue they should not intrude. >> and as the american economy continues to struggle and inm ployment, the last thing we need is self-inflicted wounds. >> reporter: he's agreeing to talk to congress about the trading losses and lawmakers will invite him to do so once the series wraps up in early june and in washington, jennifer

j.p. ses fo chase. >> reporter: the losses for j.p. morgan chase continued today, this time to its stock price, which tumbled more than 9%, as the bank reeled from its $2 billion trading blunder, and bank analysts took aim at c.e.o. jamie dimon. >> he should have done his homework better. >> reporter: mike mayo, who closely watches the company for the investment firm c.l.s.a., says in april dimon dismissed concerns the bank was making big eets on credit derivatives that even then were rattling the markets. >> one month ago, jamie dimon o ve a reassurance that this was "a tempest in a teapot" when it came to the company's investments. here we are one month later, and there's a $2 billion loss on their books. of reporter: those risky bets

j.p. morgan- chase plunging more than 9% today. the admission was all the more surprising because j.p. morgan- chase came through the 2008 financial crisis without reporting a loss. the announcement also triggered new calls for tighter government regulation. democratic senator carl levin spoke on cnbc. >> what you cannot do is bet on a general direction of the economy, because that's the kind of bet which can lead to a bank getting in big trouble, and if it's a big, big bank, if it's too big to fail, if it did fail, would drag the entire economy down with it. then, we end up bailing out these banks. >> woodruff: levin pointed to the need for the new "volcker rule," named after former federal reserve chairman paul volcker. it takes effect in july, and will ban so-called "proprietary trading," effectively barring big banks from trading with their own money. j.p. morgan's dimon insisted yesterday that's not what his bank was doing. in the meantime, it was widely reported that the federal securities and exchange commission has opened an investigation into exactly what did happen. >> brown:

j.p. morgan chase will step down after the bank reported a surprise to billion dollar loss last week. that is according to "the wall street journal". the news comes as the company's ceo offered an explanation on this morning's "meet the press". >> from the ceo of j.p. morgan chase, an unambiguous explanation on a stunning $2 billion loss. >> we made a terrible, a grievous mistake. there is no excuse. >> jimmy diamond shrugged off mounting concerns last month that something was terribly wrong with the $100 billion head of investment is being described as a bad bet. >> we know we were sloppy, it was bad judgment her >> is a nightmare is reminder of the wall street meltdown that up ended the economy for years ago. main street americans paid a steep price for those bailouts. the economy is still crawling towards recovery. this time around, j.p. morgan's reputation and its stock price are taking a hit but the company expects to turn a profit. for democrats, this is a warning sign. >> we are not trying to stop banks from losing money. we are trying to stop them from losing money in ways tha

j.p. morgan chase announced that it lost $2 billion in just six weeks. traveling with the president today, white house press secretary jay carney said this event only reinforces why it was so important to pass wall street reform. why it is so important to fully implement wall street reform. j.p. morgan chase ceo jamie dimon has been a leading opponent of new regulations under the dodd frank law. he spoke sunday on "meet the press" in remarks taped before the bank announced its massive losses. >> i don't like this attitude to blame everybody. if you think something is wrong go get those people who did something wrong and blame them. >> woodruff: the president's republican challenger mitt romney argued earlier this month that the regulations will do more harm than good. >> the small community banks are the ones that have been most hurt because again the burden of regulation falls heaviest on the smaller enterprises that don't have the funds and the personnel to follow all the new government regulations. >> woodruff: meanwhile the obama re-election team is

j.p. morgan chase complex, holding signs and calling for more regulation on banks. there are several investigations into j.p. morgan chase and that $2 billion loss. it was the sec which announced last week it would investigate the deal. in tampa, adam shapiro, fox business. >>> coming up, national plan to fight a debilitating disease. we'll tell you about the obama administration's new strategy against alzheimer's. >> 70 miles northwest of washington, played host to presidents, prime ministers and world leaders. we explore the history of camp david. >> probably not the way you want to start your first term as president. we'll tell you about a scare in the air for the new leader of france. >> lots of rain this morning. good rain, too. we needed it. we'll be getting more this afternoon and overnight tonight. we'll take a first look at your forecast. it's coming up, stay with us. the news will continue.     [ male announcer ] hot outta the oven, it's the pizza sub! featured $5 footlong™ of may! melty cheese, kickin' pepperoni and our signature marinara sauce on f

j.p. morgan chase. senators are debating whether the big banks need more federal regulators to protect customers from the big bad bets. this in a c.e.o. of j.p. morgan chase called the loss "egregious face," saying it "puts egg on our face," but insists the health is strong of the bank. these two top regulators urged stricter rules for the nation's largest banks to govern the risky bets and many of the same bets that helped tank the united states economy in 2008. and now, to the founder of a financial services firm and host of financial show on talk radio. good to see you, man. >>guest: how are you. >>shepard: more regulation needed? >>guest: i'm a free market guy sometimes to the point of loss of consciousness. so i don't think increased regulations are the answer. we had dodd-frank in place during this debacle and it did not work what i say --. >>shepard: so let them run wild with our money and get too-big-to-fail? is that it? >>guest: no, what i think is you cannot take risk with the depositor funds t