JPMorgan Traders Wagered Against London Whale Bets, Reuters Says
JPMorgan Chase & Co. (JPM) traders placed bets on the opposite side of a derivatives position that led to more than $6.2 billion in losses, and U.S. Senate investigators are reviewing how that happened, Reuters reported.
The U.S. Senate Permanent Subcommittee on Investigations is looking into how different units within the New York-based bank ended up on opposites sides of the same trade, the news service said today, citing an unidentified person familiar with the matter. The opposing trades were much smaller than the money- losing position, Reuters reported, without specifying the value.
Kristin Lemkau, a spokeswoman for JPMorgan, and Elise Bean, staff director for the Senate panel, declined to comment.
A report by the committee, led by U.S. Senator Carl Levin, a Michigan Democrat, probably will be released in coming weeks, people with knowledge of the matter said earlier this month.
To contact the editor responsible for this story: David Scheer at firstname.lastname@example.org