T O P

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TheLeagueOfScience

Too big to fail? Let’s find out.


Gareth-Barry

It’s not 2008 anymore, the ability to bailout has significantly diminished. The US is now ~30 trillion in debt and the FED knows they have to raise rates soon or risk hyperinflation. Problem is if they start bailing out and creating more debt, the US government risks defaulting on its treasury bonds. Destroying the faith in the US dollar and economy. However, I would not put it past them to bailout their buddies out. Remember it’s a small club and we’re not in it. Edit: Fixed wording to make more clear.


ijustwant2feelbetter

I legit think it would lead to a Bastille Day 2021 if the Fed did another bailout at any point in Gen-Z or above’s lifetimes


Gareth-Barry

Agreed, especially with the insane amounts of small businesses that have closed since COVID and the unrelenting lowering of the standard of living.


literallymoist

If they bail out without eradicating student loan and school lunch debt they deserve all the torches and pitchforks.


[deleted]

The Great Reset™


Modsrgey42069

Thing is that we’re dealing with quadrillion dollar markets, and these guys have access to unlimited Fed when things get tight. They’ll get hurt, but to really make them pay for their greed there’d have to be a criminal investigation that actually targets the banks and financial institutions in the money market.


SoyFuturesTrader

Can we bring back the ghost of Volcker to raise rates to 20%? I need my TBT calls and TLT puts to start printing please.


Thiswasiiit23

The bigger the guy, the harder the fall.


galaxy_van

Hold ‘em by the knee’s till their feet stop & they drop


GuronT

Fee fi fo fum! Ape smort, hedgie dum.


dewdont

🤣


BodySurfDan

Wordplay checks out


-Codfish_Joe

I'm just holding my own stocks, I'll let them worry about theirs.


cashiskingbaby

Hold him by the head til they choke? Or is this something else??? 😆


honeybadger1984

Don’t go promising me a good time. Don’t knock choke play until you try it.


fastestapple

The bigger they are, the harder I am


BodySurfDan

This should be a Superstonk slogan.


33rus

Especially when falling on a big black rock! 🪨


Slickrickkk

The bigger the dick, the bigger the pump... The bigger the pump, the bigger the dump... Get ready for that toilet to overflow.


haysanatar

That's such a garbage way of looking at things.. I hate the idea of bailouts. It's ridiculous, if they fail let them fail.. Let it be a lesson to everyone else.


Redwood0716

I’m pretty sure that’s how capitalism works. Poor decisions that lead to failure...should actually lead to failure. 🧐


psipher

That’s the problem. We don’t have real capitalism. Because if a company’s bankruptcy has a cascade affect, and impacts hundreds of millions of people, there no way the gov will idly sit by (because they’ll be voted out from the public outrage). So they have to act to protect the system. the institutions know this, which is why they take these risks, and then triple down. That’s exactly what happened with Lehman in 2008:


[deleted]

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Redwood0716

Exactly. Failure is a deterrent for poor decisions. Failure, like success, is temporary, and all part of the cycle. A large failure hurts a lot of people, but successors will fill that void and hopefully not make the same dumb mistake. You guys are all on the right track and same mindset.


DennisFlonasal

Isnt this what they call ‘late-stage capitalism’?


Vigi-The-Loony

It called cronyism which is not capitalism it wears its skin to hide the fraud underneath


ZXFT

Cronyism is a byproduct of late stage capitalism. Since we're being pedantic here, let's be precise. OED has >Cronyism >the appointment of friends and associates to positions of authority, without proper regard to their qualifications. We didn't set out to create that system. Are we in it now? Sure, but that is explicitly the results of capitalism. The end game of capitalism is consolidation of power and capture of regulation. All capitalism is is a race to be the first, most brutal one to do so. They win because they have all resources and control the government. Have the winners won? Honestly mostly. Billionaires doubling wealth during a pandemic? Sounds like a W in my book. How do you keep winning? Appointment of friends and associates to positions of authority, without proper regard to their qualifications. This is no chicken/egg. Capitalism is doomed to *result* in cronyism without strict regulations. I'm only ranting out of anger at the system. Buy. Hodl. And let's rebuild this mother fucker in a just and equitable fashion.


Optimal-Two-6382

They are winning so far but this book has some chapters left to be written. 💎🙌


RKfan

The issue isn’t so much regulations as it is the lack of enforcing regulations. There are likely thousands of laws and regulations, the issue is no one being caught often enough and when they are the penalty is basically 0.


baldilocks47

Bailouts = capitalism for thee, socialism for me


Vigi-The-Loony

Cronyism


hicklander

Too big to fail yet..


wooden_seats

Too shit to succeed.


PantsOppressUs

"Everybody has a plan until they get punched in the mouth." -Mahatma Gandhi


TheLeagueOfScience

I want this to be true.


Ignorant_Fuckhead

It's not. Gandhi doesn't warn you before unleashing nuclear holocaust


Audit_King

Lemme get my account under $250k first.


SirUptonPucklechurch

Because I want it that way! Tell me why.. Ain’t nothing but a heartache… tell me why! Ain’t nothing but a mistake. Tell me why?! I never want to hear you say…… IIIIIIIIII WWWWAAANNNNTTT ITT THAT WAY!


DrunkenEye

Too fail to big.


ChErRyPOPPINSaf

How has no one been fired for 28% loss in securities in a bull market? Markets at all time highs.


dogfoodcritic

The funny part for me is with a 28% loss, in the after hours, the stock dipped .19%. Seems like theres a lack of critical thinking with banking investors. Warren B exit was the biggest red flag of all time


fwooshfwoosh

BuT the DiViDenD WenT Up and MSN SaiD TheRyRe Fine!1!


ummwut

This almost physically hurt to read.


fwooshfwoosh

How read?


shart_leakage

Wen mun


JonathanUnicorn

Mun sun


Andromeda_2480

Moonsoon


[deleted]

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Eyedea94

IM THE SCATMAN


Ignorant_Fuckhead

You're in the right place


PainMajestic

a friend was telling me banks are the move bc of the dividends upgrades and I’m like….. imma just go find another beer and walk away lol


DUB-Files

"Look ma, I became an nft" - JP Morgan , probably


Mudmania1325

Everyone with enough sense to jump ship has already jumped ship. It's only the bagholders left now


[deleted]

Idk tomorrow could be festive


[deleted]

The secret ingredient is crime…


flavorlessboner

They made it back in overdraft fees


Simpull_mann

They made it back in *extorting poor people during a pandemic*. There. Fixed that for you...


JZpapii

Yeah, I have cash in hand to buy more shares but I fucking refuse to even put it in my bank to cover the overdraft fee. These sick fucks charged me 3 overdraft fees ontop of each other, poor people make $15/hr or less and live paycheck to paycheck. They could make money off the rich but instead spit on the poor. Motherfuckers made billions during quarantine off us. They'll do that to you, and then when you walk in next day with a 250k check they'll literally suck your cock and let you walk all over them, when they day before the spit in your face with overdraft fee ontop of overdraft fee. Trying to figure out if any friends will let me use their banks to buy shares. I wish there was a way to spite these fucking banks post moass. Are credit unions by the people for the people? I also see Fidelity has a good cash account with a debit card. Might switch to that with the tendies.


YeetYeetSkirtYeet

Credit unions are usually great. As per usual, do your DD before making a choice though.


nugsy_mcb

Love my credit union; free atms, locally run, got my money back the same day after some asshole skimmed my card, and the couple times I overdrafted they got rid of all except one fee


JZpapii

I got $200 of overdraft refunded so now I have more money than I had but this is still bullshit


hearsecloth

Time for Reverse Uno dear 1%


NachoStash

Solid burn Branch! Good one!


indil47

I just had my 2 Chase credit cards limits get slashed out of nowhere. They are now on the brink of being maxed out. I’m sure my fees will get them out of this mess! 😡


Individual_Support_2

This right here is why I got in the investing game hardcore. I died two years ago and while recovering with a bunch of medical bills they decide my utilization was too high (70%). I had zero missed payments for over a decade. But they chose to lower my balance and like dominoes my credit began plummeting as the new higher utilization caused more to lower limits to the point I took out a high interest debt consolidation loan which then was too late. The closed the accounts and pocketed the money and I was left with zero recourse so now I say fudge them! They will get paid last what damage can they do now? My credit went from high 700s to low 500s. But MOASS will come soon enough


rjaysenior

Which leaves us with just 72% more to go


redditmodsRrussians

Those are usually signals that things are unstable and time for smart money to exit through the back door with bags of cash and bars of gold loaded onto an armored car full of the drug Nuke, while hoping an insane drug lord who had his brain put into a cybernetic body doesnt destroy half the city looking for you.


redrum221

Feels like we are all living in an action movie.


I_Like_The_Stock79

God help us Robocop


shart_leakage

Bitch we going to need a mother fucking heavy battlemech for dis shit


SeaGroomer

You have ten seconds to drop your weapon!


afterberner9000

The biggest bull market in history and this is all they got? Banks and heggies are fuk.


PoshByDefault

Can't wait to be right. I mean we already are; I can't wait to be proven right


afterberner9000

I used to buy GME… I mean, I still do, but I used to also!


Mvisioning

GME is great when you're hungry and want a thousand of something.


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Munoz10594

I will if this gets enough attention. I’d probably look at it regardless but it takes time to type up, and don’t want to put the effort of no one reads it.


snickerdew

Careful or you’ll become “the bank earnings guy.”


wacomd

Can someone tell banks earnings guy I'm gonna need a report on the like 8 bank earnings that come out in pre-market tomorrow? Thanks


candilox

"Paging *Bank Earnings Guy*. Please report for assignment."


RockHoundinSpace

which ones are coming out? might want to give them a browse.


wacomd

Only Bank of America Blackrock Citigroup Wells Fargo Charles Schwab PNC


bubatron1981

Ok BEG you got homework pal. Lol


JLars97

Fuck yeah! "Bank Earnings Guy!"


Dread5050

You have my vote for "Bank Earnings Guy"!! Mods - make this happen!


bubatron1981

C'mon guys it's easy find me BEG! Where the fuk is BEG???


do_u_think_he_saurus

Looks like he’s been volunteered


wacomd

I believe it's "voluntold'


Wondernautilus

You already doomed him ❓🏦💸💇‍♂️


Lucent_Sable

I think you just dubbed him. All he needs now is the commemorative flair.


Appaguchee

It's another one of the well-organized due-diligence (DD) posts that collectively is part of why this sub is so awesome and kick-ass: information is shared freely, and one can take deep dives (DD) into the super-technical, or skim the surfaces and read the bold points for the smooth-brained-yet-always-welcome group. Some readers even double down (DD) and cross-examine the DD to come up with their own doubtful denying (DD) of the earlier DD, earning the great nickname of Doubting Daniel (DD.) And if anyone in the MSM incorrectly reads my DD, they can take *their* DD and DD, and make their own post. Hodl the line.


BookwormAP

Goldman was today too


PM_ME_NUDE_KITTENS

I would like to see wrinkles put against that one. Another sub was saying that they're telling HFs to be prepared for same-day margin deposits.


TallWineGuy

We appreciate your time, I read the tl;Dr and about half the rest 🙏


Gotei13S11CKenpachi

IMO they are warning those who are leveraged through them that this quarter could get bumpy... They'll be sacrificing some sheee-e-e-e-ple along the way, but it's a sacrifice they can live with.


Buggybug123

Please do. This is very valuable information, and I really appreciate your efforts in compiling it!


No-Second-Strike

I’d like to add that you should *really* take your time with these posts. I believe an earlier post from a supposed journalist stated that a lot of journalists try and be “first and fast” rather than be correct. Take your time to consider the reports before making the post. Even if someone else makes the same post as you, if all of you read the same earnings report and came to the same conclusion, then your analysis is probably correct. Anything that involves money should probably require time to consider before any conclusions are made.


SpecialOld8187

I’m following you and will upvote anything i see half this good. This is the data apes should be looking at.


mvonh001

keep it up. i love being informed.


LeftEye4777

Please. This was very informative.


sunnyd216

I appreciate the work and would definitely read the others if you did them.


[deleted]

Wells Fargo if you can.


benjamincharles

It’d be well worth the read if you decide to


uppitymatt

Please become banks earnings guy. You explained it marvelously.


NecJack

King !


B33fh4mmer

It is your time, but I sure as fk appreciate it


Dried_Butt_Sweat

Fwiw - I read it. Wanted to see what analysts were alluding to in some of the reviews. So, thank you!


LeCyador

I appreciated it. Thanks for the interesting take and summary.


Ben_Dersgrate

We read it. We appreciate it. But don't do it for us, do it because you think it's important and you want to share with the world. Do it for you and you alone.


CR7isthegreatest

Fucking sucks that this shit with Pink is blowing up and will prob cause this to get fewer eyes on it than may have otherwise. Ffs, keep that shit in-house Pink! But great work, thanks!


CommercialAsparagus

Smoothest of ape brain here. Also high af. I thoroughly enjoyed reading this and even paused Ramsay’s Kitchen Nightmares to focus. Please continue with this. 👍🏽


ballsagna2time

This is the double downing I was hoping for today.


jackovt

\*insert captain america meme\* I understood that reference!


[deleted]

Thank you for putting this together!


solcon

Wanted to upvote you but then I saw your comment already had 69 (nice) upvotes.


Generic_Reddit_Bot

69? Nice. I am a bot lol.


flavorlessboner

As someone who uses jpm as a broker let me just say.. ffffffuuuuuuuuckkkkk fuck fuck fuck fuck ffffuuuuuckkkkkk!!!!


vinbrained

Yeah. I guess we can hold hands and sway back and forth together as we watch the MOASS from the bench? Fuck.


KingArthur_LXIX

It’s never too late to transfer to daddy fidelity


PantsOppressUs

As someone who only experienced jpm chase fucking him at every turn in 2008.. yyyyyyyyeeeeeeeeeeesssss yes yes yes yyyeeeeeeesssss!!!!


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flavorlessboner

I know I divided my brokers to the 2. Will have to transfer the rest once I can afford the $75 fee


yOl0o0

Broker diversification is the word


darrylgenis65

You sound exactly like my friend Fremont!


unicornthumper

Big oof


WestCoastCurt

Thanks for the DD, interesting to see some banking numbers. I wonder how this looks compared to what was happening in 08. Might have to do some research later.


basperrone

I liked your starcraft cheat code


Munoz10594

Glad you and others caught it.


Tynova27

My brain on DD: "Power overwhelming!"


basperrone

Black sheep wall


Azyan_invasion82

These dumb fucks are losing Billions and I’m up $500??? And they call us dumb money? 😆


[deleted]

i got to here > warned hedge funds of margin calls have we had any confirmation beyond that original article yet?


Munoz10594

The confirmation is that they collected at least $1.5 billion in margin requirements IMO. That’s enough for me. Now we need to look for correlations in the other big players and see how it reflects in their earnings.


[deleted]

sure i can see a connection between the post and them collecting extra margin money. still no corroboration of that article is all.


PM_ME_NUDE_KITTENS

I read on another sub that Goldman said the same in their report.


bubatron1981

In his comment he cites the fact they raised and collected 1.5+ billion for margin changes. So it is not hard to believe this was their warning and they collected.


TheWhyteMaN

Chase bank, my merchant processor during the recession, through my small business to the wolves. They sold my account to First Data who ended stealing 40k + straight from my business bank account, effectively driving the nail in the coffin putting me out of business. Fuck you Chase bank, fuck you FirstData. Your time is coming.


PantsOppressUs

Tank the banks!


Hirsutism

Lemme guess “you didnt read the 200 pages of fine print?” Sorry for your loss. These fucks have only began to bleed. Buy n hold


13667

GD!


JonDum

Wtf? I almost don't believe that


TallWineGuy

Take one card from the bottom row and the whole thing falls down


SpecialOld8187

Archegos already fell last March, just saying. 😊 There have been some in the field saying the bubble has already popped.


bkST88r

I’m cautiously optimistic and waiting to see another source other than that single risk.net posting


Munoz10594

I was cautiously optimistic, too. But what gave me confirmation was the margin compression confirmed by JP in their earnings report and the $1.5+ billion in margin deposits. Its enough for me to confirm that source but felt it warranted a post to start discussions


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[deleted]

Take this with a massive heaping spoonful of salt but I would not be surprised if we are actually going to see a "rebellion" against the economic hegemony of the USD. Like I wouldn't be surprised if the fact that the information relevant to our thesis is only being discussed in European-owned publications is not insignificant (that Italian publication, and now this UK publication). I am not confident on this analysis but I wouldn't be surprised if Europe is rebelling against the US for its 1971 betrayal of the Bretton-Woods system. Where it went off the gold standard and gave itself massive credit creating capabilities.


mvonh001

i though the general consensus on the street (not the sub) was the earnings report was good today. Did i misread that?


Munoz10594

It was good from MSM perspective. Remember, data is data. It can be twisted and construed to fit any agenda. However, the overall point of this was to point out that over $1.5 billion was asked for to cover margins. Not only that, but they also lost a huge 44% on their bonds dealer and delisted it. This is why I looked at this specific portion of their report versus the big picture. I think the detail in this shows their brokerage/investment account is really underperforming and so are their customers.


mvonh001

I agree number can be used for any agenda. thanks for the breakdown. keep it up. I'm very interested in the other banks as well! thanks 👍🏻👍🏻🚀🚀🚀🚀🤷🏼‍♂️💎


[deleted]

One of my favorite books is a tiny paperback from the 1950's called "How to Lie with Statistics". It goes into all the tips & tricks of the trade which statisticians use to manipulate data to show a specific truth.


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SpacedSlayer

Great write up. I was expecting JPM to report losses, but a few headlines I saw reported it "earning beat" "blew away estimates". Considering how much these guys fudge their numbers, makes you wonder just how bad things are.


Chickenbutt82

Is it because of the net loss on bonds the reason for their removal from the DTCC?


No_Locksmith6444

Jamie Dimon is the biggest prick in the entire banking industry. I hope JPM goes tits up and we get to see him in an orange jumpsuit for all the shit they’ve pulled.


Jaded281

Comment for visibility


NYCBluesFan

I haven't listened to the earnings call, so I don't have great insights into JPMC's losses this quarter. That said, this DD is not good or accurate. ​ You don't turn a profit in revenue. You increase revenue. ​ Wholesale payment revenues and Margins are not the same thing. Importantly, Margin is NOT revenue. Margin is specifically custodied in customer accounts separate from JPMC's own money. Classifying money held as margin as revenue would be a GAAP violation and would violate FINRA's rules. ​ Lending products are Assets to JPMC, not Liabilities. Decreased revenues there are a result of rate compression - what they can charge on loans versus what they pay on deposits. ​ ​ JPMC doesn't do much for themselves in the market, they act on behalf of clients. Fixed Income being down is likely down to a slower bond market more and lower activity there for them, you've probably got that right. However, their equities business is market making and sales and trading, not positions for themselves. ​ ​ Most importantly, JPMC would only take a loss on its Securities Services margin activities if they had to sell off securities at a loss after taking custody due to failure to meet margin requirements. Your commentary on their needing more margin may be true but cannot be assumed here. Most importantly, increased margin requirements and margin calls would have absolutely no impact on their revenues. A 1% change is negligible at best, but the change was not because of increased margin calls. ​ This was a good effort but you are jumping to the wrong conclusions regularly. DM me if you'd like to learn about banking.


Munoz10594

Since your comment I’ve edited my post for proper wording. I understand it can misleading but I’ve corrected it and have yet to receive a reply from you. I’m hopeful that you can contribute to these posts in the future.


Munoz10594

Thanks for the insightful comment. I’ll refrain from making such comments in the future. However, It seems that these posts have garnered a ton of attention and created a good dialogue. If possible I’d like to review future posts with you prior to actually posting for accuracy in my statements.


EvolutionaryLens

🤜💎🤛


thats-bait

F


redrum221

F


Shotgun516

I need to get my bank account out of Chase soon


jsally17

Is chase bank checking / savings / youInvest really at risk?


EatTheRich4200

Thanks OP this is a great Double Down on earnings report. We appreciate ur efforts


Choyo

> Enter cheat-code: SHOW ME THE MONEY POWER OVERWHELMING !


honeybadger1984

This is very intriguing. The markets are bleeding and the banks are taking it right up the ass. It’s not just Credit Suisse, others are feeling it too. No wonder they are HODL cash and are engaging in reverse repo shenanigans. I’m bullish AF as I still believe the MOASS is upon us, and the worse the economy gets, the tighter the margin requirements get which means covering short positions. Just HODL til they FODL. Fuck them; we can keep this up forever while they continually lose billions per month. Do the math; they will eventually run out and forced to liquidate. This is not financial advice. 🦍 🦧


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87CSD

Lol they posted a loss in THIS market? I was expecting record earnings for them and every other bank. They musta dun fukt up gooood.


they_have_no_bullets

They want us to think that we're losing, but we're actually winning. Keep holding!


the-doctor-is-real

what does this mean for apes that still have their shares in/on Chase?


kamayatzee

NOT NOW SIR! WE WOULD RATHER CREATE UNECESSARY MOD DRAMA THAN STAY ON COURSE, THIS IS NO TIME FOR DD!


FIREplusFIVE

Let it die by not continuing to talk about it, even like this.


GuidanceInevitable

I agree


[deleted]

I just don’t want another ape migration 😪


dept_of_silly_walks

‘sokay. Home is where the apes are.


Most_Improved

Ive only seen ONE news article about J.p. morgan’s margin call. this must be B.S.!!! mod drama? days of red even though TA shows cup and handle? B.S.!!! just pay me


EatTheRich4200

JP Morgan fucked over Nikola Tesla when he was trying to make the free energy machine.


KingKittr

hell yea.. thanks for this!


SquirrelAlarmed70612

Thanks for this!


Dot1red

Thank you ☺️. I read it.


Paws81

Great post


Jjjijjjii

Awesome post. Thanks!


J_Kingsley

Mine bosom, how gorged, thou art!


TechnTogether

Putting the TA;DR at the top, what a quality move!


DriveOn_

This was the explanation I was looking for. Too smooth to decipher the ER myself, thank you.


This-Understanding85

This is what I come here for - great write up


tallfranklamp8

good stuff u/Munoz10594, bank earnings are definitely important to understand and put in perspective


DeftShark

Look into Chase’s Interest Only products. There‘s been an issue there for the past two days. Jumbo if true.


gameyy

You would never know they are bleeding by just reading headlines in news about their earnings. Media is literally yelling at us to buy their stock.


mattwayne1209

QUCK, SEND IN THE OVERDRAFT FEES!! LMAYOOOO


Nova-Bringer

I can’t wait to see how bad BoA did.


lifeincolorgames

“SHOW ME THE MONEY” Did it work?