Members of the House Agriculture Committee quickly approved their chairman’s proposal to reauthorize the Commodity Futures Trading Commission while creating additional protection for customers’ funds and reducing regulation of end users, companies such as manufacturers, food processors and utilities that use derivatives to lock in prices and supplies of materials they need for their operations. The bill was approved on a voice vote with no amendments, says Agri-Pulse.
The committee’s press release on the mark-up is here. For a summary of the bill, click here.
The CFTC bill would reduce the amount of capital that so-called non-bank swaps dealer would have to hold, a victory for a group of small brokerage and large commodity companies, says Reuters.