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An association for interdealer brokers of derivatives is recommending that federal officials let the industry set up a self-regulator for swap-execution facilities, a new class of trading platform that is being held separate from exchanges and designated contract markets.
NYSE Euronext reported a $184 million profit for the second quarter, buoyed by its derivatives business and asset sales, but said efforts to expand derivatives operations in the U.S. are likely to be delayed.
IntercontinentalExchange Inc will apply to trade swaps under new rules governing Wall Street, CEO Jeffrey Sprecher said on Wednesday, putting the exchange operator into competition with some of its biggest clients.
Financial regulatory reform around the world would spur trading in over-the-counter derivatives by bringing certainty to the markets, the head of the US's second-biggest futures market said on Wednesday.
Derivatives dealer banks want regulators to lay out guidelines for new clearinghouses set up to handle over-the-counter transactions, seeking better coordination between the platforms in the event of a major blow-up in the swap market.
As dealers and legislators feud over reform of the over-the-counter derivatives market, at least one innocent bystander - New York-based post-trade utility the Depository Trust & Clearing Corporation (DTCC) has been caught in the crossfire.
Icap, the world's largest inter-dealer broker, on Wednesday said it would launch an over-the-counter (OTC) oil swap trading service that combines traditional voice broking on the phone with electronic trading on screen.
Derivatives dealers should not be allowed to own stakes in central counterparties (CCPs) or their risk management systems - and CCPs should not be allowed to compete with each other, according to advice from the European Parliament's Committee on Economic and Monetary Affairs.
The majority of financial institutions and corporations around the world agree that moving OTC derivatives trading to a system of centralised clearing would help manage risk but many market participants still harbour serious concerns about the prospect, according to a survey from Greenwich Associates.
The U.S. Senate has a lot on its agenda before acting on legislation to put unregulated over-the-counter derivatives under Commodity Futures Trading Commission oversight, said the head of the Senate Banking Committee on Wednesday.
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