New commentary by Reg Howe examines Enron

JP Morgan says suffered no gold trade loss

NEW YORK, Feb. 6 (Reuters) -- J.P. Morgan Chase amp; Co. on
Wednesday squashed rumors in financial markets that it
sustained a loss during Tuesday's powerful gold rally,
saying instead it made a profit on gold's run to two-year
highs.

quot;We had a very good day yesterday,quot; said a senior
bank official with knowledge of the bank's bullion trading
operations. quot;There is no truth to the rumor that we have a
short position in the market, and I don't know where that
came from.quot;

He emphasized, quot;We did not lose money.quot;

COMEX benchmark April gold futures shot up $9 on
Tuesday and continued to rally early Wednesday,
topping at $309 an ounce, up more than $20 since
Monday. The contract was last down $1.10 at $298
an ounce.

Spot gold was quoted at $296.90/8.40, off from New
York's close Tuesday at $298.00/75. Earlier
Wednesday it hit a two-year high at $305 an ounce.