CFTC To Propose Defining Banned Derivatives Practices

The U.S. Commodity Futures Trading Commission may propose guidelines for defining derivatives trading practices that are banned under the Dodd-Frank Act, reports Bloomberg.

The U.S. Commodity Futures Trading Commission may propose guidelines for defining derivatives trading practices that are banned under the Dodd-Frank Act. Those practices include so-called “spoofing” and “banging the close,” terms that earlier this year the Securities Industry and Financial Markets Association and International Swaps and Derivative Association told the CFTC need to be clarified since they are not commonly understood.

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