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April 24, 2012

Reform group defends U.S. CFTC's position limits

 “Financial reform advocacy group Better Markets filed a friend-of-the-court brief on Monday in defense of a new rule curbing speculation in commodities markets that has been challenged by an industry lawsuit.”

“The U.S. Commodity Futures Trading Commission in October finalized the rule included in the 2010 Dodd-Frank financial oversight law to limit the number of contracts any trader can hold in certain commodities like gold and oil.”

“But financial industry groups have sued to stop the rules from taking effect, saying the curbs would irreparably harm the marketplace and arguing that the CFTC failed to sufficiently weigh the economic consequences of the rule, as is required by law.”


Read full Reuters article here.

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