Per Bloomberg
Recently, JPMorgan CEO Jamie Dimon went on Bloomberg Radio to discuss his thoughts on a short-selling ban. He specifically commented on a short-selling ban on banks and said that regulators should look into it.
When asked whether regulators should look at short-sellers of banks, the JPMorgan CEO said "yes." He then explained why he thought so despite saying that his folks said the short-selling ban wasn't the problem.
Dimon also noted that the SEC had the enforcement abilities to be able to look into what people were doing in different trading methods. He said the SEC could look into what people did by name in options, derivatives, and short sells.
The JPMorgan CEO said that if people were doing something wrong, the SEC should go after them. He also specifically mentioned that if someone was going short then placing out a tweet about a bank, "they should go after them."
As for how hard Dimon wants the SEC to go after these types of traders, the JPMorgan CEO said that the SEC should go after them "vigorously" and that people engaging in those practices should be "punished to the full extent that the law allows."
Recently, it was reported that Washington could be compelled to take an emergency halt to short-selling amid the banking crisis. Analysts at JPMorgan said that they predicted that Washington had to take action.
It also recently came to light that 722 banks had unrealized losses over 50% of their capital in the third quarter of 2022. Because of this, it was said that the bank's ability to meet potential unexpected liquidity needs could be hindered.
The Fed also noted that 31 of the 722 banks were at a point of "negative tangible equity," which would prevent them from being able to use the Federal Home Loan Banks to borrow money.
See flow at unusualwhales.com/flow.
Other News:
- Washington could be compelled to take an emergency halt to stop short-selling given the banking crisis
- 722 banks had unrealized losses over 50% of their capital in Q3, 2022
Resources:
Bloomberg TV on Twitter
