Morgan to pay $2 per share for Bear Stearn

[grantx]

At 23:17:55:

NEW YORK (AP) - JPMorgan Chase said Sunday it will acquire rival Bear
Stearns in a deal valued at $236.2 million, a stunning collapse for one of the
world's largest and most venerable investment banks. JPMorgan Chase & Co. said the $2 a share, all-stock deal has received the required approvals from the federal government and the Federal Reserve. Bear Stearns shares close Friday at $30 a share. The Fed will provide special financing to JPMorgan Chase in connection with the deal, JPMorgan Chase said. The central bank has agreed to fund up to $30 billion of Bear Stearns' less liquid assets.

THIS IS A BREAKING NEWS UPDATE. Check back soon for further information.AP's earlier story is below. NEW YORK (AP) -- JPMorgan Chase says it will acquire rival Bear Stearns for $2 a share in a move aimed at averting spreading panic in the financial markets over tightening credit. JP Morgan says the all-stock deal has received the required approvals from the federal government and the Federal Reserve. The Fed will provide special financing to JPMorgan Chase in connection with the deal. The central bank has agreed to fund up to $30 billion of Bear Stearns' less liquid assets.

Grant.

 

[theroguetrader]

At 23:17:55:

NEW YORK (AP) - JPMorgan Chase said Sunday it will acquire rival Bear
Stearns in a deal valued at $236.2 million, a stunning collapse for one of the
world's largest and most venerable investment banks. JPMorgan Chase & Co. said the $2 a share, all-stock deal has received the required approvals from the federal government and the Federal Reserve. Bear Stearns shares close Friday at $30 a share. The Fed will provide special financing to JPMorgan Chase in connection with the deal, JPMorgan Chase said. The central bank has agreed to fund up to $30 billion of Bear Stearns' less liquid assets.

THIS IS A BREAKING NEWS UPDATE. Check back soon for further information.AP's earlier story is below. NEW YORK (AP) -- JPMorgan Chase says it will acquire rival Bear Stearns for $2 a share in a move aimed at averting spreading panic in the financial markets over tightening credit. JP Morgan says the all-stock deal has received the required approvals from the federal government and the Federal Reserve. The Fed will provide special financing to JPMorgan Chase in connection with the deal. The central bank has agreed to fund up to $30 billion of Bear Stearns' less liquid assets.

Grant.

O M G.......... !! - thats SERIOUS...... !! :-0:-0

 

[theroguetrader]

Didnt ANY of the so called " brains " that work for these massive institutions think of doing some kind of " Risk Assessments/ impact analysis " BEFOREHAND, to see what could happen if it all went tits up..? :-0

What are they paid these vast salaries for..? :-0 -it all starts collapsing like a deck of cards and theyre all like rabbits trapped between fast moving headlights - :-0

 

[nine]

93% discount from Friday's share price.

97.8% discount from February share prices. I'm glad I wasn't long.

 

[BobScott]

Bought at $32.11 on Friday and sold 4 minutes and 13 seconds later at $37.15. Somebody up there is watching over me!!!!

 

[theroguetrader]

Bought at $32.11 on Friday and sold 4 minutes and 13 seconds later at $37.15. Somebody up there is watching over me!!!!

V nice........ !! :clap:

 

[nine]

So skilled (I'm sure luck was but a modest contributor )

Bob,

For the benefit of stock trader's here ... would you be willing to post a chart and give them a few hints about why you got in, where you might have got out if wrong and why you got out when you did? Good to have some learning along with such a black story!

Nine

PS. I won't use it against you because I sleep while you trade.

 

[grantx]

Rogue,

Yep, that is SERIOUS. Wither the DOW tomorrow? January’s low of 11,634 looks tempting. And don’t forget we are going into a very long Easter weekend. Who knows what can happen between Thursday’s close and Tuesday’s open. By Thursday: 9000. Puts all round.

" Risk Assessments/ impact analysis "? No, they may conflict with bonus awards.

Bob,

“Somebody up there is watching over me”. He certainly wasn’t watching Bear Stearns. Maybe His omnipresence was a bit weak that day.

What’s the betting you’ll be hauled before a Senate committee: “Why did you decide to sell after only 4 minutes? Were you forewarned? Did you have privileged information? Are you a member of the Communist party?”

Well done, mate.

From the news item above (just noticed):

“will acquire rival Bear Stearns for $2 a share in a move aimed at averting spreading panic” Do they reckon everyone will think, ‘ Thank God - that $2 a share certainly alleviated all my anxieties. I think I’ll bet the farm and load up on financials tomorrow’. I doubt it. They’ll be thinking, ‘If BS is only worth $2, the others must be way over-valued. Fucck this, I’m dumping everything’.

Grant.

 

[grantx]

$/Yen: 96.55 and falling

$/Euro: 1.5804 and rising

£/Euro: 0.7831 and rising

Euro/Yen: 152.78 and falling

 

[luckyd1976]

Didnt ANY of the so called " brains " that work for these massive institutions think of doing some kind of " Risk Assessments/ impact analysis " BEFOREHAND, to see what could happen if it all went tits up..? :-0

What are they paid these vast salaries for..? :-0 -it all starts collapsing like a deck of cards and theyre all like rabbits trapped between fast moving headlights - :-0

It happened so Fast Too.

It started with Carlyle Capital -Bear had a 15% stake, and it swam around the world in 5 business days!!!

 

[luckyd1976]

Pay particularily more attention this week to GS earnings report. They've got 10 straight quarters of earnings upbeats. Their report should show that BSC was an isolated case of Bad Management/Risk managers.

 

[grantx]

Lucky,

Do you know the date and time re GS?

If the news is good, I doubt it will have any effect on the market; if bad, then it will be bad.

Grant.

Grant.

 

[luckyd1976]

Lucky,

Do you know the date and time re GS?

If the news is good, I doubt it will have any effect on the market; if bad, then it will be bad.

Grant.

Grant.

Before market open tommorrow

 

[grantx]

Lucky,

I'm sure my news said today, pre-market (?). We'll see.

Grant.

 

[BobScott]

For the benefit of stock trader's here ... would you be willing to post a chart and give them a few hints about why you got in, where you might have got out if wrong and why you got out when you did?

Nine,

In the prior decade I did not have a problem going long for months at a time and I still go long but I pick and choose and go long for minutes at a time. I run the fantastic NxCore datafeed HotList which gives me all trades on whatever exchanges I am subscribed to and gives me a report as often as every second. I have an application which I wrote that interfaces with the HotList and pinpoints the liquid and volatile issues which of course BSC was prime on Friday. My rules are simple - making a litlle bit is far better than losing any. So, the "dance" went as follows as shown by the attached 10 second chart:

1. I waited until I was sure the lows were increasing - the first "yellowed" area on the plot and then went long.

2. I continued to watch until the first decreasing low occured and then sold - the second "yellowed" area.

I would have sold if the price had gone below my buy price by any amount at any time. I miss a lot of the potential upswing with these rules but I sleep better at night and a few percent for a minutes work is great.

Don't ever feel badly about what you might have missed but be very thankful for all you have gained.

~Bob

 

[Rhody Trader]

Hey Grant. One quick thing. Not that you can change it now, but when you use "Morgan" that is generally meant to mean Morgan Stanley (MS) rather than JP Morgan (JPM). Just me being nit-picky.

 

[grantx]

John,

Which post are you referring to? Everything above is a copy and paste from AP news.

Grant.

 

[grantx]

John,

Found it (by accident). It's in another thread.

Grant.

 

[Rhody Trader]

Which post are you referring to? Everything above is a copy and paste from AP news.

I was referring to the title of this thread, actually.

 

[Crap Buddist]

If one was selling hot potato's you want to buy em cold, non?

The owners need to lose.