CFTC market definitions held up as rules move on
News Article
February 9, 2011
Tight deadlines in the U.S. financial reform law will force the CFTC to forge ahead with new rules for over-the-counter swaps without first putting key market definitions in place, Commissioner Michael Dunn said on Wednesday.
"As we go through implementation of Dodd-Frank, really it is kind of a chicken-and-an-egg situation," Dunn told a Commodity Markets Council conference. "We're trying to get things out, but we really don't have the right nomenclature out there."
This makes it difficult for participants to provide informed input on the rules that have already been proposed, because there is uncertainty about what's in play, Dunn added. "It's hard for you to comment on what we have out there, when you don't know what we're talking about," Dunn said.
Dunn said the CFTC has no choice but to try to meet the timelines set in Dodd-Frank. "The law is the law," he said.
Cross References
Dodd-Frank Act, Title VII, Sec. 721; 17 CFR 1; 75 FR 51429; 75 FR 80173