JPMorgan and UBS in LIBOR Investigation

The other shoe may be dropping. Bloomberg reports that JPMorgan and UBS have been subpoenaed by New York and Connecticut authorities as part of their investigation into LIBOR-fixing, which manipulated the price of trillions of assets worldwide. According to additional AP sources, as many as seven banks may be subpoenaed in total, adding Barclays, Citigroup, Deutsche Bank, HSBC and Royal Bank of Scotland. The news comes at a bad time for both JPMorgan and UBS. The former is still suffering from losses related to its botched London Whale trades, while the latter has been linked to a tax-evasion scheme by the Financial Times Deutschland.