Trading Assets and Liabilities

Trading assets and liabilities consisted of the following:



	March 31, 2016		December 31, 2015
	(in millions)
Trading assets:
U.S. Treasury	$	3,646	$	3,088
U.S. Government agency issued or guaranteed	12		13
U.S. Government sponsored enterprises⁽¹⁾	154		154
Obligations of U.S. states and political subdivisions	550		559
Asset backed securities	404		424
Corporate and foreign bonds	7,185		6,899
Other securities	14		18
Precious metals	1,194		780
Derivatives, net	5,107		5,150
Total trading assets	$	18,266	$	17,085
Trading liabilities:
Securities sold, not yet purchased	$	654	$	399
Payables for precious metals	241		650
Derivatives, net	7,893		6,406
Total trading liabilities	$	8,788	$	7,455


⁽¹⁾	Consists of mortgage backed securities of $154 million issued or guaranteed by the Federal National Mortgage Association ("FNMA") at both March 31, 2016 and December 31, 2015.

At March 31, 2016 and December 31, 2015, the fair value of derivatives included in trading assets is net of $4,817 million and $4,652 million, respectively, relating to amounts recognized for the obligation to return cash collateral received under master netting agreements with derivative counterparties.

At March 31, 2016 and December 31, 2015, the fair value of derivatives included in trading liabilities is net of $1,175 million and $1,530 million, respectively, relating to amounts recognized for the right to reclaim cash collateral paid under master netting agreements with derivative counterparties.

See Note 10, "Derivative Financial Instruments," for further information on our trading derivatives and related collateral.