Holy. Fucking. Shit. J.P. Morgan Chase (JPM), just bought Bear Stearns (BSC) for a whopping… wait for it… $2.00* a share. Goddamn it - I sold my Morgan Stanley puts based on technicals Friday. I made a few ducats, but cockroach theory (there’s never just one) says some other investment banks are fucked - I should have held on. This is just the first round - this shit is going to make the dot bomb bust look like amateur hour.

I wish I had bought some lottery ticket puts on those fools at BSC early in the week when they claimed not to have solvency liquidity issues - but based on technicals and the greeks, they were overpriced, so I passed.

[UPDATE: Trading in Asia is now open, and the Nikkei is not liking the purchase - the index is down 1.25 percent. ]

notes:

See: JPMorgan Buys Bear Stearns for $2 a Share After Clients Flee at Bloomberg.
* BSC closed at $30.00 (worthless) U.S. Dollars on Friday - down $27.00