Morgan gets slammed in cyberspace
(assembled by Bill Murphy of GATA)
[there is blood in the water... when the market realizes that the blood has a golden hue, all hell might break loose... this will take more time, more losses, more disclosure, like pulling teeth... golden, as in gold, not urine... altho I would like to deliver JPM mgmt team a long warm golden shower]
SAN FRANCISCO -- The virtual hyenas were a-
cacklin' Wednesday as they feverishly tore
into J.P Morgan following the finance giant's
earnings warning.
Bitten by credit losses and a steep decline
in trading revenue, J.P. Morgan Chase said
that third-quarter profits would come in
"well below" second-quarter results.
Over on Raging Bull, as some posters placed
their bets in "The J.P Morgan Death Pool,"
others, like Derbenski, painted a bleak
picture looking forward:
"When I look at JPM's current condition I see
'designed to fail' in the model. It was not
that long ago that Long-Term Capital
Management nearly melted down the world
financial markets with the derivative
concoction, and you look at JPM -- it's
LTCM's daddy in the derivative market. If the
derivatives don't kill them then it will be
cuts from a thousand knives from the likes of
Enron and the rest of the list of bad plays."
In Yahoo's brazen cyber-kingdom, GoldBugger2k
drew plenty of attention as he shuffled the
deck: "The cards have been dealt with three
showing and two hidden. When the two hidden
cards are revealed we will be on our way to
the greatest gold bull market ever.
"Card 1 was turned yesterday -- JPM's price
of $20/share or less. The next card to be
revealed soon is a spot price of gold of $340
plus. When this happens, and it will, JPM
will be forced to settle derivative positions
on gold at expiration. That, my dear friends,
will be the final nail in JPM's coffin.
"The days of making obscene profits shorting
gold and gold stocks will come to an end once
and for all. They had a good thing going for
them but as usual greed and avarice overtook
them. Ta-ta, JPM."
While gold fever wafted through the boards,
some posters went for the jugular. Take
EasyGoin, who was anything but:
"Anyone that would buy stock to profit in a
lying, cheating, and fraudulent organization
such as JPM is just about as UNAmerican as
you can get. Is it really fair to reward
those in banking for their greedy self-
serving mismanagement? Let them sink."
Flickenstein didn't shed any tears either:
"Pillaged by management in search of quick
bucks and fees. Nice bonuses now taken
directly out of market cap. Let her sink,
please. JPM is the ultimate gambling bank
that bet against the house. They thought they
WERE the house but quickly realized the game
is played only when players do not think the
odds are stacked against them. Now they are
left to play with themselves."
There's no saving this beached whale,
according to JKShaughnessy:
"JPM has come ashore and is in desperate need
of liquidity. Try as the Fed may to cover her
with wet towels, it looks like it will be a
long time before the tide returns. Too big to
fail? More like 'too big to save.'"
And finally, WalterReed didn't stop at merely
attacking J.P Morgan:
"The Fed will shotgun marriage this dead dog
to Citibank and create the world's ugliest
banking monstrosity. One half dead greedy dog
dragging a totally dead one down the road
while being whipped forward by Alan Greenspan
and the FOMC sled drivers."
Needless to say, there's still plenty of
negativity toward corporate America drifting
across the cyber-plains. Does J.P. Morgan
deserve all the bashing? Share your thoughts
in CBS MarketWatch.com's JPM Discussion. |
