The US Commodity Futures Trading Commission (CFTC) has warned the EU that it may have to take retaliatory action if the organisation follows through with plans to institute closer supervision of US-based clearinghouses. In a letter sent on Friday to European regulators and published in the Financial Times, the CFTC said its investigation into whether derivatives trading firms were manipulating prices had revealed “serious concerns” about how they The CFTC's chairman, Christopher Giancarlo, said the US would not accept the plans and was prepared to withdraw the exemptions that allow participants in US markets to use EU trading platforms as a last resort if a deal cannot be reached.
The US Commodity Futures Trading Commission (CFTC) has warned the EU that it may have to take retaliatory action if the organisation follows through with plans to institute closer supervision of US-based clearinghouses. The proposals, which the EU aims to implement before Brexit, would only allow foreign companies to serve customers if European regulators jointly supervise the transactions. The CFTC's chairman, Christopher Giancarlo, said the US would not accept the plans and was prepared to withdraw the exemptions that allow participants in US markets to use EU trading platforms as a last resort if a deal cannot be reached.