jp morgan shares today fell on the news. investors like charlie of aerial investments saying lawsuits are a fact of life for the bank. >> there is no doubt about it the share price for jp morgan is lower than it would otherwise be if all of a sudden magically these lawsuits went away but they won't. investors know they won't. >> reporter: jamie diamond warned legal charges would rise on the first and second quarter earnings calls. one possible audition to the legal costs, an investigation of jp morgan securities by the u.s. attorneys office in mile phil. jp morgan or prosecutors would comment. that would make four different u.s. attorneys offices investigating the banks business. in audition, new york's attorney general is suing the bank alleging investors lost $22 billion on jp morgan mortgage securities. they aren't the only bank on the federal hot seat. pennsylvania's pnc repormted investigations of it's pricing and foreclosure expenses. on tuesday bank of america reported a probe of $850 million in mortgage backed securi

jp morgan or prosecutors would comment. that would make four different u.s. attorneys offices investigating the banks business. in audition, new york's attorney general is suing the bank alleging investors lost $22 billion on jp mn mortgage securities. they aren't the only bank on the federal hot seat. pennsylvania's pnc repormted investigations of it's pricing and foreclosure

the former jp morgan trader known as the "london whale" may be off the hook. reports say bruno iksil is not likely to face charges related to bad trading bets that racked up more than $6 billion in losses for jp morgan chase. iksil is called the london whale because he was based in jp morgan's london office and put on monster-sized trading positions. the justice deparmtment and sec are still investigating the bank, but the whale trader is said to no longer be the focus. things are looking up in the u.s. according to bruce flatt. he's the ceo of brookfield asset management and is often refered to as the warren buffett of canada. brookfield already has $100 billion in u.s. assets, and flatt tells cnbc there continues to be a lot of investment opportunity in america. flatt says he's bullish on the u.s. because housing, retail and manufacturing are all making a comeback, and he sees possibilities in the shale gas revolution. flatt also mentioned he's looking for value plays in europe and emerging markets. it's always fascinating to know how billionaires are invest

in this article, jp morgan is saying it will resist paying that big a penalty. >>> more good news to tell you about in housing. home prices in june shot up 12.1% from the same month last year. nearly matching a seven-year high. that's according to the latest s&p case shiler home index that keeps track. las vegas saw the biggest gains, soaring nearly 25% from a year ago. but the pace of growth may be slowing. 14 of the 20 cities posted smaller gains in june compared with may. now robert shiller co-founder and economics professor says increases in home prices is part of an up and down pattern and prices will eventually turn lower again. >> the housing market has gotten very speculative and goes through big cycles. take california for example. this is up and down, up and down, decade by decade and doesn't go anywhere. that's the way the markets have become. so for a long-term buyer the fact they are going up now, doesn't mean a whole where it will be when you finally sell. >> turning now to the market focus, we begin with earnings from tiffany, the high-end jeweler posted a stronger tha

jp morgan chase is back in the headlines.. this time the "justice department" is investigating whether the bank manipulated u.s. energy markets. jp morgan was accused earlier by the federal energy regulatory commission of manipulating energy markets in california and the midwest. the bank settled by paying $410 million dollars. now the justice departments want a closer look according to the wall street journal.. jp morgan responds: 'we're working hard to address regulatory concerns." the bank is said to face at least 6 ongoing investigations. a hedge fund manager who was once a star on wall street-- will be fined and banned from the securities industry. the sec says philip falcone will admit to wrongdoing,be banned from the industry for at least 5 years and his fund harbinger capital partners will pay more than $18 million dollars. the original deal for 2 years and no admission of wrong doing was reportedly considered too lax by the new sec chairwoman mary jo white and others and was toughened up. a disturbing story out of lon

. >> here to talk more about the fed and economy is david kelly, chief global strategist at jp morgan funds. we come. you heard vince ryan heart say he thinks the fed wants to get out of the stimulus business and begin tapering. i was talking about a half hour ago to a former policy maker who said i don't really think they want to start tapering and probably not until the end of the year at the soonest. what do you think? >> i think they do want to get out of tapering but what they are trying to do is quietly move an elephant out of a room and you can't do that. i was frustrated by the fact they didn't put this timetable, which ben bern fan key announced in june. they didn't put that in the statement so we're wondering are they continuing to remove qes at the end of this year. i think they want to because they have to. people don't talk about enough is the problems they are billing. it's not just status quo. they are adding a trillion dollars a year and those are chickens that will come home to roost. so they do need to get out of it, but they are so sensitive to doing anything to ups

joining us with his thoughts, global market strategist at jp morgan funds. andres there is a summer lull. what is the smart thing for investors to do? do you buy, sale, just sit tight? >> for the active investor, short-term investment horizon nobody wants to be a hero this august considering how strong the markets rallied. if you're a long-term investors it opens opportunities, for instance european equities we think they under performed the u.s. equity market and economies not in good shape but going from really bad to just bad and that momentum is what you look for to generate outside returns in the years to come. >> how much of a typical investor, and i realize there is no such thing as a typical investor but how much of a typical investor's portfolio should be in overseas securities? >> that's a great question. it matter what is your risk aversion is. european equities will be more volatile. there is more uncertainty not only about their economy but earnings. that's a reason i think there will be a higher expected return. having said that, if you look at

are you going to let jp morgan go under? $3 trillion worthing worth of assets to blow up and to spread systemic risk? it ain't going to happen and there's nothing in this bill that says there will be no more bailouts. there are bailout mechanisms. ways to work these things out. so i say this. read the fine print. there's not that stops too big to fail. >> neil: something that might thwart it is demand banks have more money on hand. >> that's okay. >> neil: does that do anything? >> it does some things but here's the problem. they should really break up these banks. the president shows no willingness. the reason why is since the financial crisis you have risk, risk. the -- all the assets, all the bets the guys placed, housed in seven institutions, not 12, not 15. seven. and that creates a powder keg. if citigroup blows up, there's a london whale at jp morgan, that means they have three times as much risk. >> neil: we haven't taken any of the risk away. institutions -- >> there's more -- we have taken some of it because there'

>> this is exactly the same as the jp morgan story.had a crisis, we had a disaster, an oil spill, and now we're overcorrecting. >> bill? >> i don't think you can say you're overcorrecting for what was a generational type environmental disaster that came up because of what bp did. in the cleanup, they were not great partners in how we went about making sure that all of the damage was mitigated in the best possible way. so look, i think that the epa makes decisions based on science, based on facts. and i don't think that they're letting the correction get in the way of what is the best possible policy for the american people in our interest. >> bill, great to have you, thank you so much. hadley, you, too. bill burton and hadley heath joining us for a lightning round on government gone wild. >>> now, it's nice when your college football team's biggest fan is the founder of nike. how nice? look at the palace that bill knight built for the university of oregon. jane wells is about to take you inside this $68 million palace of college footba

jp morgan bought bear stearns during the financial crisis. a judge is ordering a stay in the sec cases against sac's billionaire hedge fund manager steve cohen. he's accused of failing to supervise ex- employees allegedly involved in insider trading. and the white house put out late notice president obama will hold a press conference today. on this friday morning, we find chris gersch of altimus capital good to go at cme group. good morning, chris. - good morning, angie. - a lot of interesting things happened in the market yesterday. one of them was gold. gold back above $1,300. is this a safe-haven play, or is something else going on here? - angie, it is not a safe-haven play. i believe it's about a two week trade. china came out with some great numbers, and i think it's a brilliant opportunity for copper and platinum, which rallied, to continue to rally. but, in the long-term, i think it's going to come out that the qe3 concerns are going to come back to the market, and it's going to hover around that $1,300 level. it's not a long-term, ups

what have you been telling your clients at jp morgan about what they should do to prepare for syria or the fed or the jobs report next week? should they do with portfolios next week? >> first and foremost keep an eye on the fundamentals. of course, any international action on behalf of the u.s. will have an impact on the market in the near term. focus on fundamentals. in the long run, stock markets fall and if things are in fact, improving, that having been said, we are expecting a little noils in the markets next week and clearly what is going on in syria only complicates things. you need a disciplined approach to risk taking, and that means the right exposure to stocks and safe assets like bonds despite the fact rates may be rising. >> that's joe, a global market strategist at jp morgan chase. >>> a federal judge is speeding up a trial objecting to a huge airline merger. challenging american airlines and u.s. airways will start on november 25th. that's good news for the two carries since the justice department wanted it to start next march saying it needed more time. >>> it's called

however, jp morgan's richard says that multi nationals with exposure to bricks could be a huge buying opportunity. >> if you watch currencies fall 10, 15, 20%, if you were looking at strategic investment you were planning to build up manufacturing domestically over the next two to three years, you'll uncrease the investment today because you got a haircut of 20% on the investment. >> reporter: while they battle over the fate of emerging market stocks, there is one thing they do agree on, further volatility and markets will continue as these countries assess what type of structural reform is needed to solve the problems. for "nightly business report," i'm seema mody in new york. >>> joining us to talk about how investors can navigate through uncertainties from syria to oil to emerging markets, jeff with us tonight, chief market strategist. good to see you again. >> thanks for having me on. >> we built a worry for investors. should they be concerned? we're going into the fall. we didn't get the tapering. the possibility of a debt crisis. should investors be concerned? >> it's understand

she is from jp morgan chase. good morning. who's buying, and how's phoenix doing these days? - from a buying prospective we're starting to see younger, dual-income couples getting into the market, which is good. and the reason they're doing it is there's some positive signs. speaking specifically to phoenix, when we look at our chase mortgage originations, year-over-year we've seen over a 50% increase in originations from 2011 to 2012. but then what's really important about phoenix is we're seeing the home values increase. so, buyers are looking to see that those values are increasing, and they're also making sure that- they want to be confident, so they want to see that unemployment rates have remained steady. what we're seeing it is, unemployment rates in phoenix are lower than the national average, so phoenix in general is a very hot market for us. close to 70% of our total originations in 2013 are from the phoenix area. so, we're seeing a good recovery there, we're seeing these younger couples, dual-income couples, getting into the market. so it's encouraging. - it doesn'

iksil put on large trading bets that cost jp morgan more than $billion dollars.spanish police say martin artajo turned himself in. he's charged with hiding the bank's lossess. and remains free in spain while the u.s. requests his extradition which could take months. activist investor daniel loeb has a collector's eye for stocks. loeb's third point hedge fund revealed this week it has a 5.7% stake in auction house sotheby's. the stock rose 3% on the news. loeb, who's ranked among the top 200-art collectors in the world by art news magazine, says he plans to engage in a dialogue with sotheby's board. rival auctioneer christies is revamping itself to conduct business in the digital age. he's been known to acquire a large stake in a company, and then fight to make changes in the boardroom. the summer heat is helping some crops around the nation.. while causing others to whither away.. jack scoville of price futures group joins us this morning... what's the latest on corn prices.? prices at the grocery store? thanks jack tiffany and company is able to shrug off tepid

a jp morgan spokesman tells bloomberg the suit has no merit. goldman sachs agrees and plans a vigorous fight. goldman sachs was sued on similar charges august 1st. jpm recently revealed plans to exit owning and trading commodities. a-rod's appeal has eroded, according to marketing executives. it happened to tiger woods, lance armstrong and a list of other athletes who fell from the pedestal they were placed upon after a variety of missteps - in alex rodriguez's case, major league baseball's 211-game suspension, which he is appealing, for involvement in the biogenisis performance-enhancing drugs scandal. "i think there is more of a risk for companies to identify with an individual athlete. if they do something wrong, your brand goes down with them. i think what you're likely to see are more 'group' sponsorships, similar to the 'gillette young guns' or the coca-cola's 'family of drivers' in nascar. that seems safer to me." adler says look for fewer mega- deals for individual athletes, and corporate sponsorship decisions to move even slower than t

jp morgan chase. what do you have?ll, a billionaire private investor has won a victory in court regarding the mortgage crisis that many small investors have not been able to. in this case, billionaire leonard blavatnik. he's been suing for years. he has won a partial victory. the judge in new york state supreme court has ruled that jp morgan is liable to him for breach of contract and set damages at about $43 million. however, jp morgan is not liable on the claim of negligence. so, this is an ongoing case, bill and mandy, but an interesting resolution and something of a victory for the investor who has been struggling over the years in order to make his case. he was already turned down at a lower court. >> all right. thanks very much. keep an eye on that story for us. ten minutes to go before the closing bell. down 47 points. nasdaq holding on to a gain. joining us with their thoughts, chad, steve and alan. what do you make of the action here? how much of this is about syria? we had a sudden selloff a half hour ago. >>

. >>> los empresarios enviaban el dinero de los contratos a cuentas de jp morgan y un grupo en new york no serÁ una tarea fÁcil. >>> probar un soborno es algo l justicia criminal. lleva aÑos poder probar la conexiÓn por un pago a alguien y una acciÓn publica, en lo civil es mÁs difÍcil probar esto. >>> los abogados que representan a dos de los acusados dijeron a univisiÓn que la demanda estÁ plagada de falsas cosas e imprecisiones y dijo que los clientes niegan acusaciÓn de mal proceder en relaciÓn con derwic asociados. >>> seÑala que la versiÓn le causÓ la perdida de importantes contratos de consultarÍa. >>> los abogados de los acusados agregaron que sus clientes nunca dijeron que trabajaba con ellos, ramÍrez, el presidente de pedevesano r no respondiÓ llama de univisiÓn. >>> pasamos con illia calderÓn. >>> arrestan a hispano en new york por tratar de vender a una bebÉ de dos meses por 100 dÓlares en pÁgina de internet. >>> hombre se convierte en riesgo para la seguridad del embajador de estados unidos en mÉxico, tendremos detalles. >>> primera hamburguesa que no tiene una gota de gras

as the london whale will not face charges for his role in last year's trading scandal that cost jp morgan more than $6 billion. now the london whale is reportedly no longer the focus of the doj's investigation. >>> also a favorable weekly jobs report helps stock break a three-day losing streak. karen, good morning. >> good morning, brian, let's get to some more stories. the latest industry stats show that the west and the sun belt ask where the most increases are happening year after year. if you look at the top ten cds with the biggest increases, the sacramento area, if you bought a year ago, you would be sitting on a paper profit of 39%. elsewhere, t-mobile has released some data about new subscribers. the bulk of them were actually the very valuable contract subscribers. about a year ago -- this is a massive turn around. it's managed to do that on the back of offering less complicated contracts. there's enormous frustration about these two-year locking periods and also expensive data contracts, and t-mobile has been able to offer something different and that's why the customers are com

let's go to thomas lee, strategist at jp morgan. jack and tom, i would like to know point blank, is this just a summer swoon, or is this something more? >> i think it's just a summer swoon. i think if you strip away quantitative easing and just look at fundamental value, you're looking at an s&p that should be trading at right-hand 15.50 and 15.70 and not 16.60. now, we're not pulling the complete rug out from under quantitative easing but perhaps somewhere in between which suggests to me maybe a 5% pullback, somewhere in there, but no, this isn't the beginning of some spiral. >> tom, do you agree? >> i think it's -- you know, i think this is your normal sort of summer doldrums. a lot of professional investors are really making vacation plans, and so having risk on into the last part of august isn't what people want to do. i don't think this is the start of a major selloff. and i think if you look at the past four years, and even just the last 12 months, movements like this have really been opportunities for investors to add risks.

. >>> jp morgan and glen core are the latest companies to be accused of artificially inflating aluminum prices. it was filed on behalf of master screens, a direct purchaser and individual who is described as a buyer of beverages sold in aluminum cans. >>> according to a report yesterday from the center for disease control the obesity rate among low-income preschooler social securis is falling. it went from $74 billion in 199 8 to $147 billion. this study could have important economic implications. >> reporter: the centers for disease control tracked the height and weight of nearly 12 million low income 2 to 4-year-olds. between 2008 and 2011 obesity rates stayed the same or decreased in 40 states and territories and only went up slightly in three. for weight management experts like dr. scott cohan it is good news. he struggled with weight as a child. he was 25 pounds over eight at age 11. >> anything we can do to push forward on addressing obesity and related chronic diseases is going to be not only a health triumph but also have large economic benefits to society. >> reporter: despite

. >>> a potential settlement between jp morgan and the securities commission would require the firm to admit wrongdoing in the handling of the london trading laws, banks neither admitting or denying cupbility and the first admission under the new program spearheaded by marry joe white. >>> well, back to school it's one of the most important shopping seasons of the year and this year shoppers will looking for discounts, so courtney regan hit the outlets to see how high-end retailers are trying to take advantage of bargain hunters. >> retailers may be holding a collective breath hoping the shoppers are coming soon. this weekend is traditionally a big one for back to school shopping but summer sales haven't inspired confidence that retail's second most important season will be a strong one. july saw weak traffic at traditional malls while american eagle and aeropastal warned about low earnings. while some have within disappointi disappointing, a didn't story at the outlets. in new york, there are actually lines of shoppers waiting outside to get in to some of the stores. >> clearance rack

high priced think tank consultant, but i'll tell you in alabama, jefferson county, 80% or more of jp morgan'shase's loans to that county were canceled, were just liquidated, canceled completely because of the unclean hands. they had been bribing officials to say that bankruptcy should just look forward is incorrect. a bankruptcy judge has to applied equity and fairness, and if someone carried out crooked operations in detroit, and you can look at senator levin's 2011 senate sub committee on investigations report, 600 pages on the criminal actions of all the big banks, not to mention the fact that we bailed them out for $700 billion without any accountability back in the early days of this decade. >> one more thing i want to get to in this segment, jim, when we talk about judges there is something going on here between state and federal judges. michigan does not allow bankruptcy protection from municipalities, but the federal government seems to be indicating that the state can apply for bankruptcy protection. if you had to look into the crystal ball here, who is going to prevail? jim? >> well

the government goes after 2 jp morgan traders for allegedly cheating clients. in today's cover story... con artists are capitalizing on health care confusion. plus... remember those mermaid entertainers from the 40's? how they are making waves today... and...will apple's massive success translate into a box office smash! first business starts now! you're watching first business: financial news, analysis, and today's investment ideas good morning! it's thursday, august 15th.i'm angela miles. in today's first look: the dow took a triple digit tumble wednesday.the blue chips fell 113 points, the nasdaq down 15 and s&p lost 9.the market lost ground on concerns over the fed's next move and soft sales numbers from macy's. gold up $15 oil up 12 cents.cisco skids on earnings.the stock fell more than 2 dollars after the close.the tech company topped ananlyst expectations but the ceo says the economy is challenging and inconsistent. cisco is cutting 4,000 jobs. fight for flight.attorneys for american airlines and u.s. airways are gearing up for a courtroom battle to prov

at jp morgan chase-- a top litigation lawyer is said to be leaving the bank in the wake of a slew of lawsuits and investigations against the firm. about 13-hundred american airlines employees have been permanently banned from trading the funds available to them in the company's 401-k plan. another 800 have received warning letters. according to an investigation done by reuters, at issue is the practice of collective trading by a group. this can force fund managers into buying and selling securities at inopportune times. an investment advisor told the chicago tribune it was akin to "taking a chain saw to an ingrown toenail." in other news about american airlines- -- the carrier's profits doubled in july -- to $292 million. 2 trading exchanges are merging to take on the new york stock exchange. bats global markets and direct edge are combing to become the second largest trading exchange in the u.s. behind the new york stock exchange. bats- and direct edge -- hope to have a competitive edge with high speed trading.even though trading volumes are falling. traders are keeping an eye on bi

. >>> prosecutors in new york city charged two former jp morgan chase employees in connection with the massive 6 billion-dollar trading loss orchestrated with the london whale. the two traders who were both based in london are accused of false flying records to conceal the size of the bank's losses. here is part of what the u.s. attorney of southern district of new york had to say about the charges he filed today, and the impact on investors. >> the defendants deliberately and repeatedly lied about assets on the books to cover up massive losses that mounted months after month ps at the beginning of 2012. those lies misled investors, regulators, and the public and they constituted federal crimes. >> a tragic day for ups. a large ups cargo plane crashed and burst into flames killing the pilot and co-pilot this morning. nobody on the ground was injured. no december streistress calls w the cause is under investigation. >>> the political turmoil erupted into violent and deadly confrontations between military police officers and supporters of the ousted president mohamed morsi overnight. a n