Financial Regulatory Forum

Cost-benefit lawsuits snarl Dodd-Frank implementation

By Guest Contributor
December 9, 2011

By Nick Paraskeva

NEW YORK/WASHINGTON, (Thomson Reuters Accelus) – A financial industry lawsuit seeking to block new U.S. rules on commodity position limits on the grounds that they lack an adequate cost-benefit analysis could cause regulators to slow their implementation of the Dodd-Frank financial regulatory overhaul and be an indicator of more such challenges. Meanwhile, the Obama administration is saying it will resist efforts to block the law.  (more…)

ANALYSIS-CFTC speculation limits may pass quietly, unchanged

By Reuters Staff
December 20, 2010

U.S. Commodity Futures Trading Commission Chairman Gary GenslerBy Christopher Doering

WASHINGTON, Dec 17 (Reuters) – New U.S. rules to limit speculation in commodity markets could move forward quickly, and with few alterations, after objections by the measure’s most vocal supporter unexpectedly delayed a key vote.

COLUMN-Cocoa’s rise and fall puts spotlight on FSA: John Kemp

By Reuters Staff
September 15, 2010

– John Kemp is a Reuters market analyst. The views expressed are his own –

By John Kemp

LONDON, Sept 15 (Reuters) – Cocoa’s stunning rally and equally spectacular bust over the last five months provides compelling evidence that large positions, especially in contracts close to delivery, influence futures prices, and that regulators should develop effective position limits to ensure market prices reflect supply-demand fundamentals and not the impact of dominant positions.

COLUMN-Is the argument from liquidity a fallacy? John Kemp

By Reuters Staff
June 29, 2010

– John Kemp is a Reuters market analyst. The views expressed are his own –

By John Kemp

LONDON, June 29 (Reuters) – What is the “right” level of speculative activity in commodity markets? Different people reach different conclusions, explaining the fierce debate over position limits and other attempts to impose stricter regulation that has broken out since the price spike in 2008.

COLUMN-Gensler on brink of position-limits victory: John Kemp

By Reuters Staff
June 28, 2010

– John Kemp is a Reuters market analyst. The views expressed are his own –

By John Kemp

LONDON, June 25 (Reuters) – U.S. Commodity Futures Trading Commission (CFTC) Chairman Gary Gensler appears to be on verge of achieving a big victory in his battle to impose stricter position limits on major energy futures contracts.

COLUMN-Consolidated analysis of oil positions needed: John Kemp

By Reuters Staff
May 25, 2010

– John Kemp is a Reuters market analyst. The views expressed are his own –

By John Kemp

LONDON, May 25 (Reuters) – The standard analysis of speculators’ positions in crude oil markets is highly misleading. By focusing only on futures and options positions in physically-settled NYMEX light sweet oil it ignores important and financially equivalent positions in other WTI-linked derivatives as well as positions on the rival ICE market in London.

COLUMN-Pending U.S. bill clears way for CFTC limits vote: John Kemp

By Reuters Staff
May 24, 2010

– John Kemp is a Reuters market analyst. The views expressed are his own –

By John Kemp

LONDON, May 24 (Reuters) – With Congress poised to enact sweeping financial reforms next month, attention will switch back to the Commodity Futures Trading Commission (CFTC) proposals to impose tougher position limits on major energy contracts.

PREVIEW – Odds stacked against CFTC metals position limits

By Reuters Staff
March 23, 2010

By Frank Tang and Christopher Doering

NEW YORK/WASHINGTON, March 23 (Reuters) – The top U.S. futures regulator, which has struggled to gain support for a plan to curb concentration in energy markets, could face even tougher resistance on Thursday as it considers whether similar provisions are needed for metals.

COLUMN – U.S. futures industry risks Pyrrhic victory in battle with CFTC: Kemp

By Reuters Staff
March 22, 2010

– John Kemp is a Reuters columnist. The views expressed are his own –

By John Kemp

LONDON, March 19 (Reuters) – By rejecting position limits on energy markets, and calling into question the Commodity Futures Trading Commission’s (CFTC) authority to regulate in this way, the Futures Industry Association (FIA) has dangerously escalated the conflict with its regulator and ultimately with Congress.

ANALYSIS-Big traders face ‘landmine’ in CFTC energy rule

February 17, 2010

By Christopher Doering and Roberta Rampton

WASHINGTON, Feb 17 (Reuters) – Buried deep in the proposal to set position limits on oil and gas futures is a possible “landmine” that could force the industry’s biggest traders to make a stark choice: Keep your hedging exemptions, or keep your speculative book. But you can’t keep both.