Morning roundup: Recession risks rise; J.P. Morgan investigation

We’re committed to keeping you and your clients up-to-date with global industry news. Every morning, we offer articles from around the web. Here are some selections:

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First the Facebookalypse, now Taxmaggeddon!

The Congressional Budget Office issued a report saying proposed tax hikes to close revenue gaps could push the U.S. back into recession if planned spending cuts also are implemented.

This report comes as the Organization for Economic Cooperation and Development declares Germany’s hard line on austerity, combined with weak central bank efforts, could send Europe’s GDP growth back into negative territory.

Pundits are also starting to raise flags about the health of China’s economy.

Today’s chart: Austerity Measures Worldwide.

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J.P. Morgan Facebooks the music With accusations over problems with the Facebook IPO flying, lead underwriter J.P Morgan finds itself in the midst of another broil. The firm has hired an ex-SEC enforcement staffer to bulk up its defense muscle.

Its troubles don’t end there, either. A second U.S. regulator, the Commodity Futures Trading Commission, is now looking in to the firm’s trading practices.

The firm’s looses are creating pressure to complete drafting of the Volker Rule, which will specifically address the practices that led to Morgan’s losses.

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Enjoy your day, The Editors

Staff

The staff of Advisor.ca have been covering news for financial advisors since 1998.