Swaps Rules in Limbo as CFTC Deadline About to Hit

July 8, 2013

Financial firms are facing a looming deadline for new rules on the global trading of derivatives, without any clear sense of what final decision the Commodity Futures Trading Commission might make. Then again, for what it’s worth—the CFTC doesn’t seem certain about how to proceed either.

The issue in question is the cross-border treatment of derivatives trading, which CFTC Commissioner Mark Wetjen has described as “the most consequential and complicated policy judgments that the agency must make under the Dodd-Frank Act.” The agency issued proposed rules one year ago, with a goal of implementing final rules by July 12, 2013.