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View Diary: "Senate Censors Part of Report on JPMorgan About Its Stock Trading," by Pam Martens (63 comments)

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  •  The profits that the Too Big to Fails (9+ / 0-)

    were raking in for most of this decade were from risky trading and over-leveraged speculation. They were gambling, and worse, they were financing their gaming with  what amounted to credit-card cash advances.  There is no way that these banks could make the same kind of profits if they played by the rules and followed the law.

    However, if they stop posting record profits every quarter, the firms' stock prices will drop, and even more people will be looking at their books. Compunding the problem is the fact that each firm is in direct competition with another Too Big To Fail, and each firm knows that the competition isn't making money honestly, either.  

    I really think that even if some of them wanted to go legit at this point, they couldn't do it without risking ruin.

    "YOPP!" --Horton Hears a Who

    by Reepicheep on Mon Mar 18, 2013 at 05:34:31 PM PDT

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