U.S. Rules Are Scrutinized as Energy Futures Swapped for Swaps
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Derivatives-trading rules are facing scrutiny at the U.S. Commodity Futures Trading Commission after the country’s largest exchanges began replacing energy swaps with futures last year.
The five-member commission held a roundtable meeting in Washington yesterday with representatives of exchanges and trading firms including CME Group Inc., Intercontinental Exchange Inc. and Deutsche Bank AG. The agency is reviewing if the new futures contracts have enough transparency and competition or if too many transactions are being allowed off exchange by setting low levels for so-called block trades.