Commodity Futures Trading Commission Chairman Gary Gensler discussed a range topics, including the London Interbank Offered Rate issue, swap-execution facilities and the agency's shortage of resources, during his keynote address at an industry conference. Gensler recounted the CFTC's accomplishments while standing his ground on controversial rules.
The Commodity Futures Trading Commission's inspector general rebuked the agency over its handling of the MF Global meltdown, particularly CFTC Chairman Gary Gensler's decision to bow out of the probe of the failed financial company. Gensler declined to comment.
Four House Republicans signed a letter to Commodity Futures Trading Commission Chairman Gary Gensler expressing concern about the agency's efforts, particularly a move to introduce position limits for commodities. A U.S. judge blocked the CFTC's position-limit rule last month. "The commission's limited financial resources spent promulgating and defending the position limits rule demonstrates a serious mismanagement of the agency's priorities," the lawmakers wrote. Meanwhile, Gensler said he would support appealing the ruling, noting that the rule was drafted at the direction of Congress. However, the CFTC's options are increasingly limited.
The Commodity Futures Trading Commission approved a final swaps-trade reporting rule that imposes a "real-time" price-disclosure delay of a half-hour. The delay will eventually drop to 15 minutes. "Leading up to the financial crisis, there was no required reporting about swaps trading, and this lack of market transparency made the risk that had spread throughout the financial system all the more difficult to identify," CFTC Chairman Gary Gensler said.
Gary Gensler, chairman of the Commodity Futures Trading Commission, said the agency is poised to introduce its own version of the Volcker rule. "I would envision that we would move forward with a rule similar to what other regulators have done," Gensler said.