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Jun 24, 2014

U.S. House bill calls for CFTC to review metals warehouse oversight

WASHINGTON (Reuters) – The U.S. commodities regulator will have to carry out a review of metals warehousing if a bill before the U.S. House of Representatives is passed, the latest sign of intense U.S. political pressure over the controversy at the London Metal Exchange.

Representative Bob Goodlatte, who chairs the House Judiciary Committee, urged the CFTC to take a tougher stance on the LME when the House Committee on Agriculture in April approved a bill reauthorizing the agency’s mandate.

Jun 17, 2014

New U.S. CFTC head Massad picks top agency staffers

WASHINGTON, June 17 (Reuters) – The new head of the U.S.
derivatives regulator on Tuesday filled a number of senior
positions, picking a mix of newcomers from Capitol Hill and
veterans at the agency, which helps oversee the $710 trillion
swaps market.

Clark Ogilvie, who comes from the House Agriculture
Committee and its highest-ranking Democrat, Congressman Collin
Peterson, will become the new chief of staff at the Commodity
Futures Trading Commission.

Jun 17, 2014

Analysis – U.S. banks seen falling short of new debt funding rule

WASHINGTON (Reuters) – Wells Fargo, State Street and JPMorgan Chase & Co are below or almost at minimum capital thresholds expected to be included in a rule still being hammered out by U.S. regulators that’s meant to mitigate taxpayer losses in another financial crisis, according to a Reuters analysis.

U.S. banks are already required to hold equity equal to about 10 percent of their balance sheet to serve as a shock absorber to cover the risk of a sharp drop in the value of loans, investments and other assets on their books. Banks expect U.S. regulators to require them to hold another 10 percent in bonds with maturities of more than a year and other instruments, as part of the forthcoming rule.

Jun 17, 2014

U.S. banks seen falling short of new debt funding rule

WASHINGTON (Reuters) – Wells Fargo, State Street and JPMorgan Chase & Co are below or almost at minimum capital thresholds expected to be included in a rule still being hammered out by U.S. regulators that’s meant to mitigate taxpayer losses in another financial crisis, according to a Reuters analysis.

U.S. banks are already required to hold equity equal to about 10 percent of their balance sheet to serve as a shock absorber to cover the risk of a sharp drop in the value of loans, investments and other assets on their books. Banks expect U.S. regulators to require them to hold another 10 percent in bonds with maturities of more than a year and other instruments, as part of the forthcoming rule.

Jun 9, 2014

Fed’s Tarullo: widen bank directors’ fiduciary duties

WASHINGTON, June 9 (Reuters) – Making bank directors
responsible for regulatory goals as part of their fiduciary
duties could help make the financial system safer, a top U.S.
bank regulator said on Monday.

Expanding the fiduciary duties of bank boards would require
a change in corporate law, and was something beyond the
authority of the central bank, Federal Reserve Governor Daniel
Tarullo said in a speech.

Jun 6, 2014

Possible U.S. dollar payments ban could badly hurt BNP

NEW YORK/WASHINGTON (Reuters) – New York’s banking regulator has threatened to hit BNP Paribas (BNPP.PA: Quote, Profile, Research, Stock Buzz) where it hurts by telling it to halt its dollar payments business, sources say, which would almost certainly cause a client exodus.

France’s biggest bank is trying to limit the damage as it works out a deal with U.S. authorities for allowing payments from countries such as Sudan, which Washington says is supporting terrorists, in breach of U.S. sanctions.

Jun 5, 2014

U.S. futures regulator NFA cuts fees as market grows

WASHINGTON, June 5 (Reuters) – The U.S. National Futures
Association said on Thursday it would cut its fees because
increased trading volume and a broader revenue base had swelled
the coffers of the agency that self-regulates the futures and
swaps industry.

The Chicago-based watchdog said that effective Oct. 1 it
would halve the fee it raises on futures contracts, and options
on futures contracts, to $0.01 for each side of the trade.

May 22, 2014

U.S. CFTC wins Hunter Wise Commodities fraud case

WASHINGTON, May 22 (Reuters) – The U.S. Commodity Futures
Trading Commission scored a legal victory on Thursday, as a
court ordered a group of precious metals firms and their owners
to pay $108 million in fines and restitution for fraud.

The Southern District Court in Florida said Hunter Wise
Commodities LLC and three related companies, as well as two of
their managers, defrauded thousands of retail customers, and
ordered them to pay $52.6 million in restitution.

May 22, 2014

U.S. Senate eyes early June vote on nominees for swaps regulator

WASHINGTON, May 22 (Reuters) – The U.S. Senate aims to vote
to confirm three candidates to the Commodity Futures Trading
Commission in early June, a senior Democratic aide said on
Thursday, to fill a leadership gap at the futures and swaps
regulator.

The agency played a crucial role in reforming financial
markets after the 2007-2009 credit crisis, bringing largely
unregulated swaps trading by Wall Street giants such as Bank of
America and JPMorgan under its control.

May 22, 2014

U.S. CFTC wins Hunter Wise precious metals fraud case

WASHINGTON, May 22 (Reuters) – The U.S. Commodity Futures
Trading Commission notched up a legal victory on Thursday, as a
court ordered a group of precious metals firms and their owners
to pay $108 million in fines and restitution for fraud.

The Southern District Court in Florida said Hunter Wise
Commodities and three related companies, as well as two of their
managers, defrauded thousands of retail customers, and ordered
them to pay back $52.6 million in restitution.

    • 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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