Chief Correspondent M&A and investment banking
Douwe's Feed
Oct 1, 2014

Need to monitor, not stifle shadow banks, IMF says

WASHINGTON, Oct 1 (Reuters) – Regulators should keep a close
watch over the shadow banking system to protect its useful
functions without any undue risks to the financial system, the
International Monetary Fund said on Wednesday.

Shadow banks are a loosely defined group of financial
industry operators that provide credit without officially being
banks, such as hedge funds, money market funds, finance
companies and securitization vehicles.

Sep 26, 2014

U.S. senators urge CFTC to review aluminum markets, LME

WASHINGTON, Sept 26 (Reuters) – U.S. Senator Sherrod Brown
on Friday urged the Commodity Futures Trading Commission to
crack down on the London Metal Exchange, citing concerns its
policies may be inflating aluminum prices.

Brown, a crusader against the role that Wall Street banks
play in commodity markets, warned that Congress would write new
laws if the CFTC and foreign regulators were unable to fix what
he called “ongoing irregularities” in the market.

Sep 24, 2014

New US CFTC member wants cross-border rules rethink

WASHINGTON, Sept 23 (Reuters) – The U.S. swaps regulator
should revise its policy that determines how its rules apply
overseas, a new commissioner said on Tuesday, wading into a row
between international regulators and his own agency.

Rather than sticking to its so-called cross-border guidance,
the Commodity Futures Trading Commission should start a more
formal rule-making process and take in industry comments,
Commissioner Chris Giancarlo said.

Sep 18, 2014

U.S. Fed raps Santander over unsanctioned dividend

WASHINGTON (Reuters) – The Federal Reserve on Thursday disciplined Spain’s Santander over paying out a dividend without approval, as it tightens control of how foreign banks manage risk in the United States.

In a written agreement with the Boston Fed, Santander Holdings USA, Inc. said it would tighten management standards to make sure it did not pay out any dividends without the prior written approval of the Fed.

Sep 17, 2014

U.S. watchdog CFTC proposes rules for uncleared swaps

WASHINGTON, Sept 17 (Reuters) – The U.S. derivatives
regulator on Wednesday proposed a new rule for safety margins
for uncleared swaps, a last remaining building block in its
efforts to make the $710 trillion global market safer.

The Commodity Futures Trading Commission’s rule will be
largely identical to one proposed by bank regulators, which
determines the margin for swaps traded outside clearing houses,
firms that stand between buyers and sellers.

Sep 17, 2014

U.S. derivatives watchdog to propose rules for uncleared swaps

WASHINGTON, Sept 17 (Reuters) – The U.S. derivatives
regulator on Wednesday met to propose a new rule for safety
margins for uncleared swaps, a last remaining building block in
its efforts to make the $710 trillion global market safer.

The Commodity Futures Trading Commission said the rule will
be largely identical to one proposed by bank regulators, which
determines the margin for swaps traded outside clearing houses,
firms that stand between buyers and sellers.

Sep 16, 2014

U.S. court mostly upholds CFTC’s cross-border rules on swaps

WASHINGTON (Reuters) – A court on Tuesday largely rejected a challenge from banking groups to the way the U.S. swaps regulator applies its rules overseas, a hotly debated issue as it reins in the $710 trillion global market.

The majority of the claims by the three banking groups failed because the 2010 Dodd-Frank Wall Street reform law stated that the Commodity Futures Trading Commission could apply its rules to overseas business in certain cases, the ruling in U.S. District Court for the District of Columbia said.

Sep 12, 2014

Bitcoin gets boost as U.S. watchdog approves first swap

WASHINGTON (Reuters) – TeraExchange on Friday launched a swap based on the bitcoin virtual currency, becoming the first to receive approval from a U.S. federal regulator for a financial product based on the budding technology.

The derivative allows clients to protect the value of their bitcoin holdings by locking in a dollar value, offering an insurance against the astronomical price swings that have plagued the computer-generated currency.

Sep 10, 2014

CFTC keeping tabs on LME amid aluminum warehousing crisis

NEW YORK (Reuters) – The U.S. commodities markets regulator is still keeping tabs on the London Metal Exchange as the 137-year-old exchange tries to resolve an ongoing crisis over its warehousing policy that end users say has inflated prices and distorted supplies.

In an interview with Reuters, Timothy Massad, the newly installed chairman of the Commodity Futures Trading Commission (CFTC) said the regulator has been in touch with the LME as it prepares to launch a new aluminum contract in a bid to ease concerns that global aluminum pricing is broken.

Sep 10, 2014

U.S. regulator would welcome delay of EU clearing rules

WASHINGTON (Reuters) – A top U.S. regulator said on Wednesday he would welcome a delay by the European Union that gave more time to resolve a conflict with Washington over making derivatives markets safer.

Reuters reported last week that the EU is discussing whether to move a deadline by which U.S. clearing houses, which act as go-betweens for buyers and sellers, must meet EU rules when doing business there.

    • About Douwe

      "I head up the Financial Services team in London. We're 20 journalists, covering M&A, IPOs, restructuring, banking, real estate, investment management, hedge funds and private equity. I've worked for Reuters in Zurich, Frankfurt and Amsterdam."
    • More from Douwe

    • Follow Douwe