By Roberta Rampton and Charles Abbott
WASHINGTON, March 3 (Reuters) – The top U.S. futures regulator wants Congress to include as part of its financial regulatory reform package new securities-style firewalls and insider trading bans for commodities, the chairman of the Commodity Futures Trading Commission said on Wednesday.
The CFTC and Securities and Exchange Commission proposed the harmonized rules in October, many of which require authority from Congress. This is the first time CFTC Chairman Gary Gensler has indicated how soon he wants to begin implementing the new measures.
The CFTC is calling its insider trading ban the “Eddie Murphy rule” after the actor’s role in the movie “Trading Places,” in which traders stole an Agriculture Department report on the U.S. orange crop and then placed positions on the market.
Gensler said the House version of the reform bill included some of the harmonized measures, and said the CFTC will suggest legislative provisions to the Senate on other measures.
“We will provide language to the Senate as they consider financial regulatory reform legislation,” Gensler said in testimony prepared for a House Agriculture subcommittee hearing.