Loading...
See More

JPMorgan shares jump despite huge losses

Jul 13 2012 16:28

Related Articles

Massive loss shocks Wall Street

JPMorgan hit by $4.4bn loss

Old Mutual, Sanlam eye JP Morgan unit

JPMorgan reports lower Q4 profit

JPMorgan drags down Wall St

Bank reacted badly - JPMorgan CEO

 

New York - JPMorgan Chase shares surged over 4.1% in opening trade Friday after the bank reported solid second-quarter earnings despite a huge $4.4bn loss on derivatives.

The bank said it had earned $5bn in the quarter, even after more than doubling earlier estimates of its losses in the period from its botched "London Whale" derivatives hedging scheme.

Nearly 30 minutes into trade, the shares were off their highs but still up 3.85% at $35.35.

Profits were 9% lower than a year earlier, and the bank also revised first-quarter earnings lower by $459m

But investors seemed pleased that the quarter was not worse than that.

Chief executive Jamie Dimon said Friday the firm had "significantly reduced" the residual risk from the trading scheme, saying $1bn of gains had been clawed back even as it sought to quickly unwind the positions.

But he admitted the bank could face more losses of between $800m and $1.7bn.

*Watch the JP Morgan Chase saga unfold on your social network feeds. Follow Fin24's Twitter, Facebook and Google+ pages.

jp morgan  |  banks  |  shares

NEXT ON FIN24X

 
 
 

Read Fin24’s Comments Policy

24.com publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
0 comments
Add your comment
Comment 0 characters remaining
 

Company Snapshot

We're talking about:

SMALL BUSINESS

Johannesburg has been selected to host the Global Entrepreneurship Congress in 2017. "[The congress] will ensure that small business development remains firmly on the national agenda and the radar screen of all stakeholders, the Small Business Development minister said.
 
 

The Fast and Furious R40 million

With the Fast and the Furious 7 hitting South African cinema’s this April, all eyes are on the cars and we’re in for a treat!

 
 

Luxury living

This is the most expensive burger in the world!
Exclusive food items that WILL break the bank
Top 10 most expensive homes in the world
You can permanently live on a ship and sail the world!

Money Clinic

Money Clinic
Do you have a question about your finances? We'll get an expert opinion.
Click here...

Voting Booth

How will you manage Vodacom’s price hike for contracts?

Previous results · Suggest a vote

Loading...