Excerpt from Table 9

http://www.occ.gov/ftp/release/2009-114a.pdf

JPMorgan Gold derivatives exposure Q2 US$ 80 Billion vs Q1 $ 93 Billion.

HSBC was replaced by Wells Fargo in the Top 5 derivatives exposed banks. HSBC now in Other. JPM is now the single major Gold/Silver derivatives player.

JPM Silver derivatives Q2 $4.3 Billion vs $4.6 in Q1. JPM Silver exposure still 269 million ounces or 40% or Global annual production. (USGS assessment of 671 million ounces world-wide production)

Overall derivatives increasing for all U.S. Banks except for JPM, HSBC but then JPM already has $80 trillion in derivatives exposure.

The regulator(s) Fed, SEC, CFTC through their "Laissez Faire" non-intervention attitude appear accessory to this blatant market manipulation and playing for time.

The ratios Assets / Derivatives leverage appear to be totally out of wack for all banks. Leveraged bets Risk Management and appropriate tangible reserves may be questioned.

This market manipulation with derivatives may prove to develop into their Waterloo with the humongous leverage on the underlying and exposure when the bet reverses, how about a short squeeze coverage, e.g. when China would flex its financial muscle. Barrick is a minuscule example of a short squeeze with the associated costs.

All figures in U.S. $ millions