Most Clicked ISDA dailyLead Stories

1. FCMs reportedly raise derivatives-clearing costs

ISDA dailyLead | Mar 25, 2015

Futures commission merchants are said to be increasing costs for derivatives clearing as the supplementary leverage ratio in the U.S. takes hold. The amount of increase depends on the client, according to FCMs. (subscription required) (03/24)

2. CFTC enforces swaps-reporting rules despite complaints

ISDA dailyLead | Mar 27, 2015

The Commodity Futures Trading Commission has begun enforcing swaps-reporting rules by fining firms that fail to comply. "The CFTC cannot carry out its vital mission of protecting market participants and ensuring market integrity without correct and complete reporting by registrants, including designated contract markets," Enforcement Director Aitan Goelman said. International Financing Review (free content) (03/26)

3. G-20 study on capital, margin rules faulted for data problems

ISDA dailyLead | Mar 23, 2015

A Group of 20 study concluding that capital and margin rules support mandatory swaps clearing is being criticized for not mentioning problems with analysis data and ignoring the effect of the leverage ratio. The study is "not to be taken strictly literally," one source says, adding that economics for futures commission merchants are ambiguous. (subscription required) (03/20)

4. Dealers might shift on revealing derivatives-counterparty names

ISDA dailyLead | Mar 24, 2015

Dealers are showing signs they are shifting their stance on the practice of revealing counterparty names for derivatives trades on swap-execution platforms. An end to so-called name give-up could promote trading on anonymous central limit order books, proponents say. Reuters (03/23)

5. EU recognition of U.S. clearinghouses sought by CME's Duffy

ISDA dailyLead | Mar 26, 2015

Terry Duffy, executive chairman of CME Group, testified before a House subcommittee about the need for European regulators to recognize U.S. clearinghouses. Duffy said the issue is resulting in disruptions in the U.S. futures markets. Commodity-derivatives market participants called on lawmakers to revise the Dodd-Frank Act and improve protections for hedgers. The House hearing is the beginning of the reauthorization process for the Commodity Futures Trading Commission. (subscription required) (03/25) Financial Times (tiered subscription model) (03/25) (03/25)

6. Sen. Roberts asks Treasury to end clearinghouse dispute with Europe

ISDA dailyLead | Mar 27, 2015

Sen. Pat Roberts, chairman of the Senate Agriculture Committee, is asking the Treasury Department to help end a dispute between European and U.S. regulators over clearinghouses. Negotiations between the EU and the Commodity Futures Trading Commission are focusing on European objections to declaring U.S. rules for clearinghouses as equal to their own, sources say. Wall Street Journal (tiered subscription model), The (03/26)

7. Global FX code of conduct is introduced

ISDA dailyLead | Mar 24, 2015

Committees for the foreign exchange market operated by major central banks have agreed to a global code of conduct for currency trading. Traders are prohibited from sharing order information. "FX market participants are advised to apply the global 'high-level principles' set out in this document to the FX market as it evolves, including with respect to new FX products, processes and technologies," according to a document from the central banks. Reuters (03/23)

8. Survey: Quarter of market participants expect negative CDS spreads

ISDA dailyLead | Mar 24, 2015

A Citigroup survey has found that more than 25% of market participants for credit default swaps think spreads could slip below zero. "Even in an environment with zero default probability, and 100% recovery and negative yields elsewhere, the credit spread should be bound at zero," according to a client note by credit analysts Aritra Banerjee and Abel Elizalde. International Financing Review (subscription required) (03/18)

9. Survey examines worries in wholesale, investment banking

ISDA dailyLead | Mar 23, 2015

Consultants at Oliver Wyman and Morgan Stanley have released results of a survey covering wholesale and investment banking. Market participants are concerned about liquidity in the fixed-income market, tougher capital requirements and low interest rates, according to the research. Meanwhile, market-infrastructure providers' revenue between 2006 and 2014 was flat as exchanges and others continued to grapple with how to capitalize on opportunities arising from changing regulations. Financial Times (tiered subscription model) (03/20) Wall Street Journal (tiered subscription model), The (03/19) Financial News Online (U.K.) (subscription required) (03/20)

10. Libor case obtains guilty conspiracy plea from ex-trader

ISDA dailyLead | Mar 24, 2015

A former trader has pleaded guilty in U.S. federal court to charges that he conspired to manipulate the London Interbank Offered Rate from 2006 to 2011. The former senior derivatives trader in London is scheduled to be sentenced in June 2017, a Department of Justice spokesman said. Wall Street Journal (tiered subscription model), The (03/23) Reuters (03/23)

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