Weather Analytics Discussed on CMC Policy Call

Ria Persad of StatWeather discussed her weather forecasting models with CMC members on this week’s policy call.  She discussed how accurate weather forecasting involves more than meteorology, and also includes statistics, mathematics, physics and software development.

CFTC Proposes New Regulations

CFTC Proposes New Regulations and to Amend Existing Regulations to Enhance Protections for Customers and Customer Funds Held by Futures Commission Merchants and Derivatives Clearing Organizations

The CFTC yesterday approved for public comment proposed new regulations, and amendments to existing regulations, to enhance protections for customers and to strengthen the safeguards surrounding the holding of money, securities and other property deposited by customers with futures commission merchants (FCMs) and derivatives clearing organizations (DCOs).

CFTC Announces Public Meeting

CFTC Announces Public Meeting of the Technology Advisory Committee (Chicago)

Full Committee to Focus on Updates from the Subcommittee on Automated and High Frequency Trading, Discussion of Industry-Lead Effort to Improve Customer Protections and New Technological Requirements Imposed by Part 1 of the Commission’s Regulations

Multiple CFTC-related Topics Addressed on CMC’s Policy Call

On CMC’s policy call this week, our policy consultants at the Delta Strategy Group discussed a wide range of derivatives regulatory topics with CMC members. Among the topics discussed were position limits, electronic recording, swap dealer registration, and the SEC’s capital and margin rule.

Special Report – RJO Summary of USDA Data Users Meeting

CMC Board member Rich Feltes of RJ O’Brien attended the USDA Data Users meeting on October 22.  Here he shares his summary notes with CMC.  

WSJ: A Seinfeld Rerun

Americans are cynical about bureaucratic motives, but sometimes not enough. Consider that the Commodity Futures Trading Commission may go to court to defend its obligation to impose needless rules for nonexistent problems.

A federal judge ruled late last month that the 2010 Dodd-Frank law does not require the CFTC to impose new trading regulations if the CFTC doesn’t believe they are necessary. One would have thought this would be welcome news. Show of hands, how many people want to be forced to implement policies they don’t believe in? But now comes word that CFTC General Counsel Dan Berkovitz is recommending an appeal.

The rule in question, struck down by Judge Robert Wilkins of the District of Columbia Circuit, restricted the size of positions that traders could hold in derivatives related to commodities. The CFTC enacted its position-limits rule in 2011, ostensibly to limit speculation, which is believed by some to result in volatile markets when it isn’t the root of all evil.

But Democratic Commissioner Michael Dunn, who cast the deciding vote in a 3-2 decision to enact the rule, said he only did so because he believed Dodd-Frank required the CFTC to enact position limits.

Flurry of Oct 12 CFTC Announcements Discussed on Policy Call

The CFTC recently released a flurry of no-action letters, FAQs, announcements and other clarifications pertaining to the Oct 12 date when many of the definition regulations were supposed to be effective.  CMC’s policy consultants at the Delta Strategy Group explained and discussed these announcements with the CMC membership.

Agricultural Crop Trends Discussed on CMC Policy Call

Dan Basse of the AgResource Company spoke with CMC members regarding global and domestic price and production trends in various crops such as corn, soybeans and wheat.

CFTC Releases Enforcement Division’s Annual Results

CFTC Releases Enforcement Division’s Annual Results

The CFTC today announced that it filed 102 enforcement cases in fiscal year 2012 (FY 12). During the past two fiscal years, the Commission filed a total of 201 enforcement actions, representing a significant increase from past years. The Division of Enforcement also opened more than 350 new investigations in FY 12, among the highest annual count of new investigations in program history.

Swap Dealer Petition and Position Limits Ruling Discussed on CMC’s Policy Call

Last week’s court ruling on position limits and the possibilities/options for the CFTC on that subject moving forward, as well as the recently filed swap dealer registration petition filed by CMC with the CFTC, were discussed on our member-only policy call this week.