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Nov 12, 2013

Obama picks Massad as new head of swaps regulator

WASHINGTON (Reuters) – President Barack Obama plans to name Timothy Massad as the next head of the U.S. swaps regulator, a White House official said, picking a lawyer who earned his spurs at the nation’s bank bailout program.

At the Commodity Futures Trading Commission, Massad would head an agency that was given vast new powers after the 2007-09 crisis to rein in uncontrolled trading of complex derivatives – a $630 trillion market – on Wall Street.

Nov 8, 2013

Senate to grill watchdogs on Wall Street commodity bets

WASHINGTON (Reuters) – U.S. senators will question financial regulators over Wall Street’s role in commodity markets, a person familiar with the matter said, in a hearing that will draw close attention from the largest investment banks.

The November 20 meeting of the powerful Senate Banking Committee will be the second called by Senator Sherrod Brown, an Ohio Democrat, and follows a session in which brewers complained that beer cans were too expensive because banks kept the price of aluminum artificially high.

Nov 8, 2013

Treasury’s Massad to head U.S. swaps regulator -source

WASHINGTON, Nov 7 (Reuters) – Timothy Massad, the Treasury
official who leads the U.S. bank bailout program, is about to be
selected as the new chair of the country’s derivatives
regulator, a source familiar with the matter said.

In nominating Massad as chairman of the Commodity Futures
Trading Commission, President Barack Obama would pick someone
who has earned his spurs during the 2007-09 financial crisis as
head of the $700 billion Troubled Asset Relief Program.

Nov 6, 2013

Exit sparks rising chatter over CFTC top roles

WASHINGTON (Reuters) – President Barack Obama is expected to soon fill two top roles at the U.S. derivatives regulator, people working closely with the agency said, to prevent a leadership vacuum from blocking crucial Wall Street reforms.

Bart Chilton, a Democratic member of the Commodity Futures Trading Commission, took policy watchers by surprise this week when he said he was leaving, creating a third gap among the agency’s five decision makers.

Nov 6, 2013

Exit sparks rising chatter over U.S. swap watchdog top roles

WASHINGTON, Nov 6 (Reuters) – President Barack Obama is
expected to soon fill two top roles at the U.S. derivatives
regulator, people working closely with the agency said, to
prevent a leadership vacuum from blocking crucial Wall Street
reforms.

Bart Chilton, a Democratic member of the Commodity Futures
Trading Commission, took policy watchers by surprise this week
when he said he was leaving, creating a third gap among the
agency’s five decision makers.

Nov 6, 2013

U.S. speed-trader Don Wilson and firm charged with price rigging

WASHINGTON (Reuters) – A Chicago speed-trading firm and its prominent founder were charged with manipulating prices by the U.S. derivatives regulator on Wednesday.

The Commodity Futures Trading Commission filed a civil enforcement action against Donald R. Wilson and DRW Investments – named after him – for manipulating the price of an interest rate futures contract in 2011, the agency said.

Nov 5, 2013

CFTC anti-speculation plan may not be so tough, data shows

CHICAGO/WASHINGTON (Reuters) – A new plan to curb commodity speculation could prove to be far less rigorous than feared by markets, data provided by the world’s largest futures exchange the CME Group Inc showed.

Under a proposal by the Commodity Futures Trading Commission, the maximum position traders would be allowed to hold in derivatives could dramatically rise rather than tighten sharply, the numbers showed.

Nov 5, 2013

U.S. regulator revives plan to limit excessive commodity bets

WASHINGTON, Nov 5 (Reuters) – The U.S. derivatives regulator
on Tuesday reintroduced a plan to curb commodity market
speculation, reviving a crucial Wall Street reform after a judge
knocked down an earlier version of its rule on position limits.

The redrafted rule by the Commodity Futures Trading
Commission appears to ease one major irritant for big banks by
lowering the threshold for aggregating trading positions held by
part-owned affiliates. But it threatens to create a new rift
with commodity merchants looking to hedge certain transactions,
such as rent on grain storage facilities.

Nov 5, 2013

Swap watchdog launches new commodity position rules

WASHINGTON (Reuters) – The derivatives regulator on Tuesday launched a plan to curb commodity market speculation, reviving a crucial Wall Street reform after a judge knocked down an earlier version of its rule on position limits.

The redrafted rule by the Commodity Futures Trading Commission will allow exemptions for positions held by firms in which banks own stakes of up to 50 percent, the agency said in documents prepared ahead of a public vote.

Nov 1, 2013

U.S. Fed sets tough tests in annual bank health war games

WASHINGTON, Nov 1 (Reuters) – Banks in the United States
will have to test whether they can survive a halving of the
stock market during a severe U.S. recession, the Federal Reserve
said on Friday, as it set the rules for next year’s model runs
to gauge the health of the financial system.

Eight large U.S. banks must also test for the first time
whether they can cope with the hypothetical default of their
largest trading partner, the Fed said in documents laying out
the so-called “stress tests”.

    • 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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