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Non-Tech : Derivatives: Darth Vader's Revenge

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To: Worswick who started this subject2/25/2002 1:22:18 PM
From: Gamma Positive   of 2794
 
From Briefing.com today:


While Treasuries have been under modest pressure today, their recent rally has largely been a function of concerns
surrounding corporate leverage and disclosure, the latest of which have centered around the derivatives exposure of
JPMorganChase. Looking at the latest Bank Derivatives Report from the Office of the Comptroller of the Currency, it seems that
such concern is clearly warranted. Of interest, as of the end of the third quarter of 2001, JPMorganChase held a roughly 60% share
of the $51.3 tln worth of total derivatives positions on the part of US banks (notional amounts). For comparison's sake, the
notional amount of derivatives exposure held by JPMorganChase in the third quarter stood at roughly three times the total of US
GDP for the three months ended September.
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