JPMorgan's $2B Loss May Spur Volcker Rule Tightening

Law360, New York (May 11, 2012, 6:21 PM EDT) -- News that JPMorgan Chase & Co. lost more than $2 billion in a botched hedging strategy may push regulators to tighten the Dodd-Frank Act's ban on proprietary trading, in particular by closing loopholes that allow for broad portfolio hedges, financial reform advocates said Friday.

While few expect that regulators will go back and entirely rewrite Dodd-Frank, backers of financial reform say the JPMorgan hedge transaction losses highlight the need to tighten up the proprietary trading ban, an ironic twist since JPMorgan CEO Jamie Dimon has been...
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