Goldman,JPMorgan 4th-qtr commods risk down sharply from year ago

Wed Jan 16, 2013 11:44am EST

Jan 16 (Reuters) - Commodities trading risk at Goldman Sachs Group Inc and JPMorgan Chase & Co fell sharply in the fourth quarter from a year earlier as prices of natural resources slipped.

Goldman Sachs, Wall Street's leading bank, said its value-at-risk (VaR) in commodities stood at $20 million in the fourth quarter, down from $22 million in the third quarter and $26 million a year ago.

JPMorgan, the largest U.S. bank, saw its commodities VaR at $14 million in the fourth quarter versus $13 million in the third quarter and $20 million a year ago.

Commodity prices as indicated by the Thomson Reuters-Jefferies CRB index fell nearly 5 percent in the fourth quarter following a 9 percent gain in the third quarter.

In the final quarter of 2011, the CRB, which tracks 19 commodities, rose more than 2 percent.