Commodity Futures Trading Commission: Difference between revisions

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==CFTC and Position Limits==
==CFTC and Position Limits==
In July 2009 the CFTC announced some initiatives targeting concerns about the impact of “speculative" trading on commodities. These include a series of hearings in July and August to be announced considering:
In July 2009 the CFTC announced some initiatives targeting concerns about the impact of “speculative” trading on commodities. These include a series of hearings in July and August to be announced considering:
*'''Position Limits in all commodities''': whether CFTC should set speculative limits on “all commodities of finite supply”, esp. energy commodities (the CFTC can impose position limits wherever it finds “speculation that causes unwarranted price changes" but currently sets limits only on certain agricultural futures – elsewhere, limits are set by exchanges)
*'''Position Limits in all commodities''': whether CFTC should set speculative limits on “all commodities of finite supply”, esp. energy commodities (the CFTC can impose position limits wherever it finds “speculation that causes unwarranted price changes” but currently sets limits only on certain agricultural futures – elsewhere, limits are set by exchanges)
*'''Hedge Exemption''': whether hedge exemptions should apply to dealers who use the futures markets “to hedge purely financial risks rather than risks arising from the actual use of a commodity”.  
*'''Hedge Exemption''': whether hedge exemptions should apply to dealers who use the futures markets “to hedge purely financial risks rather than risks arising from the actual use of a commodity”.  
*'''Participant/Market Scope''': whether position limits should be applied “across all markets and participants, including index traders and managers of exchange-traded funds”.  
*'''Participant/Market Scope''': whether position limits should be applied “across all markets and participants, including index traders and managers of exchange-traded funds”.