The big news on CNBC today is the testimony in of JPMorgan CEO Jamie Dimon on Capital Hill. You can best follow along at The Wall Street Journal, as they are “live blogging” this event, much better than I can, so I’ll leave it at that.
Basically, Jamie Dimon has to answer to Washington regarding that $2 billion dollar trading loss. How could they have made such a blunder, and what risky investments did they get themselves into at JPMorgan? I mean, they’re the experts. Would Warren Buffett lose that kind of money? I think not.
Jamie Dimon and the JPMorgan Saga
J.P. Morgan’s Chairman and CEO Jamie Dimon takes to Capitol Hill today to testify before the Senate Banking Committee, his first congressional appearance since revealing “embarrassing” trading losses last month.
In fact, today is the two month anniversary of Dimon calling the London Whale a “tempest in a teapot” a comment sure to be dredged up quite a few times.
Deal Journal and the WSJ banking team are covering this from every angle in a live blog. Stay with us throughout the morning as Dimon takes center stage.
DELL Announces Dividends
9:17am – They covered this yesterday on CNBC. DELL announced that they will have their first-ever dividend for their shareholders. In the past their stock has plummeted, and the company has struggled in a world that is going increasingly mobile and more people are buying Apple products than every before. To successfully deal with this, DELL has been shifting their emphasis to the corporate world and doing business with government as well, with less emphasis on consumer sales.
My first Windows PC was a DELL. But my first-ever computer was an Apple.
9:22am – The DOW was in the green about an hour ago. Now all indices are in the red.
9:46am – The major stock indices are back in the green, proving this is quite the volatile market.
CNBC Real-Time App for iPhone
Just downloaded the CNBC Real-Time app for iPhone. I like it very much, and it’s FREE! It really does update in real-time, the closest thing to my trading software.
10:28am – I’ve been reluctant to invest in Treasury Bonds and now I’m reading they are not all that safe now, if you’re thinking of selling shares of stock and putting your cash into bonds. Apparently, they are a bubble ready to burst.
But the truth is that the market conditions now are completely different from what they were in 2008. The truth is that the lines you’ve heard your whole life — that “bonds are safe” and “stocks are risky” — just aren’t true anymore.
I always think about Warren Buffett when people think stocks are risky. The bottom line is to pick great companies and invest for the long term, unless you’re going to be a day trader exclusively.
10:34am – Could this be a turning point right now. The DOW back in the green and up 16 points. And my stocks are back in the green, for the most part.
10:41am – Bloomberg reports that the euro strengthens as U.S. Stocks recover from early drop.
10:50am – SBUX has been showing some resistance at the $54 range. It’s 52-week high was $62.
FreshBrewedMedia via Comtex:
Starbucks (NASDAQ:SBUX) closed Tuesday’s favorable trading session at $53.04. In the past year, the stock has hit a 52-week low of $33.72 and 52-week high of $62.00. Starbucks (SBUX) stock has been showing support around $51.22 and resistance in the $54.34 range. Technical indicators for the stock are Bearish and S&P gives Starbucks (SBUX) a positive 4 STARS (out of 5) buy rating.
11:20am – Now the stock market is tanking for the day. My positions are almost all in the red.
11:22am – Can’t stick around for the closing bell today. I’m out.