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Apr 14, 2014

Arcadia in settlement talks in CFTC manipulation case

WASHINGTON, April 14 (Reuters) – Arcadia Petroleum and
Parnon Energy have entered talks to settle accusations by the
Commodity Futures Trading Commission that they fixed the
physical crude oil market, possibly ending one of its most
highly-publicized oil manipulation cases.

The derivatives regulator in May 2011 sued two well-known
traders, James Dyer of Parnon Energy and Nick Wildgoose of
Arcadia, and their firms for allegedly making $50 million by
squeezing markets in 2008.

Apr 9, 2014

U.S. House panel to look at aluminum prices, warehousing

WASHINGTON, April 9 (Reuters) – A U.S. congressman on
Wednesday expressed concern to regulators about inflated
aluminum prices as a result of the London Metals Exchange’s
(LME) policies, urging the Commodity Futures Trading Commission
to be tougher on the issue.

“The CFTC acknowledges that they have the authority to
regulate and investigate concerns about the aluminum supply,”
said Virginia Republican Bob Goodlatte, who was speaking at a
meeting of the House Committee on Agriculture.

Apr 9, 2014

Firms’ debt loads risk for emerging economies -IMF

WASHINGTON, April 9 (Reuters) – Large debt piles at
companies are rendering emerging economies more fragile because
they could quickly transmit trouble to banking systems in a
crisis, the International Monetary Fund said on Wednesday.

Debt at risk of not being repaid by companies that have
already borrowed heavily could increase to $740 billion, or 35
percent of the total, the Fund found in a model test simulating
a severe crisis.

Apr 8, 2014

Senate panel approves Massad to head CFTC

WASHINGTON (Reuters) – A U.S. Senate panel on Tuesday approved Timothy Massad as the next chairman of the Commodity Futures Trading Commission, but a second nominee to the derivatives watchdog hit a snag.

Massad, a lawyer who oversaw the U.S. government’s $700 billion bank bailout program, was nominated by President Barack Obama to replace Gary Gensler. He has spent most of his career at Wall Street law firm Cravath, Swaine & Moore, working on a wide variety of corporate transaction.

Apr 8, 2014

U.S. House panel to vote on swaps regulator mandate

WASHINGTON, April 7 (Reuters) – Four U.S. lawmakers launched
a bill on Monday to rewrite the rules of of the Commodity
Futures Trading Commission (CFTC), giving more leeway to smaller
players in the derivative markets it oversees.

The agency became one of the most prolific reformers of Wall
Street after the financial crisis under its previous Chairman
Gary Gensler, who was frequently criticised for his hard-nosed
style and sometimes-hasty adoption of new rules.

Apr 7, 2014

Fed gives banks more time on Volcker rule detail

WASHINGTON (Reuters) – The U.S. Federal Reserve will give banks two more years to divest collateralized loan obligations (CLOs) that fall under the Volcker rule, a part of the Dodd-Frank financial law that bans banks from making a range of risky investments.

The Fed said banks will now have until July 21, 2017 to shed these funds, which pool together risky loans.

Apr 3, 2014

U.S. futures regulator CFTC probing speed traders

WASHINGTON (Reuters) – The U.S. Commodity Futures Trading Commission is investigating high-frequency traders to see if they were breaching the derivatives regulator’s rules, its chief said on Thursday.

“Staff (is) responding to concerns brought to us about certain practices, whether it be spoofing just to give one example, whether that’s running afoul of our rule,” Acting Chairman Mark Wetjen told reporters during a meeting.

Apr 3, 2014

US CFTC pledges swaps relief for public utilities

WASHINGTON, April 3 (Reuters) – The U.S. Commodity Futures
Trading Commission plans to ease its new swaps rules to help
public power utilities using swaps to hedge price risk, the head
of the derivatives regulator said on Thursday.

The agency will propose to make it easier for electricity
and natural gas utilities to continue to use these products
without incurring the cost that comes from tighter new swaps
laws written after the financial crisis.

Apr 2, 2014

U.S. regulators warn banks about rise in cyber-attacks

WASHINGTON (Reuters) – A group of top U.S. regulators on Wednesday warned about the threat of rising cyber-attacks on banks’ websites and their cash machines, urging the industry to put proper measures in place to guard against fraud.

The Federal Financial Institutions Examination Council (FFIEC) said it had seen a rise of so-called denial-of-service attacks on banks’ websites, which were sometimes a cover for criminals to commit fraud.

Mar 31, 2014

U.S. Treasury unit to support CFTC on swaps data

WASHINGTON, March 31 (Reuters) – A U.S. Treasury Department
unit said Monday it had signed a formal agreement with the
Commodity Futures Trading Commission to help it sort out a raft
of derivatives data and get a better handle on the global $690
trillion market.

The CFTC, which oversees futures and swaps, has complained
it still is not getting a full and clear picture of what is
happening in the derivatives market because the data it receives
from market participants is not adequate.

    • 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."
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