It appears that silver investors’ days of deriding Blythe Masters as the face of JP Morgan’s alleged gold & silver manipulation may be over, as Jamie Dimon has formerly announced the sale of JPM’s commodities division to Switzlerland’s Mercuria for $3.5 billion.
The Morgue will however reportedly continue its global commercial gold vaulting business, as well as financial products (derivatives) and will continue to “make markets“.
Perhaps Blythe should re-apply for a position at the CFTC?
From the JPM Press Release:
JPMorgan Chase & Co. (JPM) announced today that it has reached a definitive agreement to sell its physical commodities business to Mercuria Energy Group Limited, a global energy and commodities trading company, for $3.5 billion. The all cash transaction is expected to close in the third quarter of 2014, subject to regulatory approvals.
J.P. Morgan will work closely with Mercuria to ensure a smooth transition of commodities assets, transactions, physical trading operations and employees to Mercuria at the close of the transaction.
“Our goal from the outset was to find a buyer that was interested in preserving the value of J.P. Morgan’s physical business,” said Blythe Masters, head of J.P. Morgan’s global commodities business. “Mercuria is a global leader in the commodities markets and an excellent long-term home for these businesses.”
Following the sale, J.P. Morgan will continue to provide traditional banking activities in the commodities markets, including financial products and the vaulting and trading of precious metals – businesses that the firm has been a leader in for years. The firm will also continue to make markets, provide liquidity and risk management, and offer advice to global companies and institutions around the world.
Blythe reportedly “probably won’t join Mercuria as part of the deal.” which leaves us almost sorry to see the creator of derivatives join the unemployment ranks. Almost.