SEC Release (NYSE Rulemaking) The SEC approved an NYSE proposal to (1) establish a new bonds-only trading license and (2) create a new class of market participants called "Bond Liquidity Providers." The new class would function similarly to "Supplemental Liquidity Providers" trading equity securities. Document Number SEC Release 34-63736 Date January 19, 2011 Cross References (links may require a Cabinet subscription) SR-NYSE-2010-74 NYSE Rules 87, 88

News Article Commodities trading firms and exchanges are in the process of drafting robust responses to new rules, outlined under the European Commission's review of the markets in financial instruments directive, which they fear European governments may use as a 'back door' for price controls. The European Commission's proposed rules seek to prevent traders from manipulating commodities markets, a common political accusation in the summer of 2008 when food and energy prices soared to record highs. The EU is following in the footsteps of the US, which introduced similar rules under the Dodd

News Articles Articles on pp. 10-12 discuss views of various industry participants and CFTC Commissioner Scott O'Malia on CFTC's position limit rule proposal, including one comment that regarding the possible effect on index funds and ETFs: "Recall, that last summer the natural gas fund ETF - UNG - "reduced its position in the natural gas futures market to adhere to federal limits, adding that it may need to seek alternative investments to compensate." That was even before Dodd-Frank was enacted. You will see more of that, more funds going into the physical and cash markets directly, and yes

European Commission The Commission has set out a proposal to produce legislation which governs the implementation of Central Securities Depositories and International Central Securities Depositories. It is envisaged that this measure, along with future provisions on OTC derivatives, Central Counterparties and Trade Repositories (EMIR), will form the EU rules for financial markets post-trading infrastructure. Date January 21, 2011

European Commission The Commission has published a proposed roadmap for a directive to encourage safe and effective clearing and settlement of securities in the European Union. The main aims of this directive would be to co-ordinate Member States' laws on holding and transaction, and to eliminate barriers to investors' rights when securities are held cross-border. Date January 21, 2011