fuse lit on jpms $trillion interest rate swaps, page-6

"obscure derivative market is the fox in the hen house"

It must seem that way if you are one of the chooks.

There isn't anything particularly "obscure" about interest rates swaps. They have been around for thirty years.

It wouldn't surprise me if JPM had a gross one trillion of interest rate swaps in notional principal. However, to understand their exposure, I would want to know what their net position was, and what portion of that net position was hedging none derivative exposures.

If something is "obscure", it is the relationship between JPM's interest rates and the price of gold!