Regulators are considering allowing banks an extended deadline of July 2016 to meet a Dodd-Frank Act requirement to separate portions of their swaps-trading business from their government-insured units, sources say.
ICAP says it hopes to establish a swaps-trading platform, having filed with the Commodity Futures Trading Commission to become a swaps-execution facility. The move was expected because the British firm is a dominant swaps broker.
Deals that resolve disputes with MF Global Holdings' U.K. affiliate should clear the way to step up cash payouts to clients and creditors, a bankruptcy trustee says. Trustee James Giddens announced that he had negotiated the two accords, which could lead to the return of $500 million to $600 million to the MF Global estate.
Remco Lenterman, head of the FIA European Principal Traders' Association, continues to challenge critics of high-frequency trading by touting the benefits of such strategies. "We make the market cheaper and more efficient for the end user," Lenterman says.
The last-minute pact to avert the "fiscal cliff" resulted in a boost for U.S. stock market futures Wednesday. Dow Jones industrial-average futures were up 1.6%, the Standard & Poor's 500 index's futures increased 1.9% and the Nasdaq 100 index's futures gained 2.2%.