In the wake of a vote by Republicans on a U.S. House appropriations committee to slash the CFTC's budget, CFTC Chairman Gary Gensler says the representatives are putting the interests of financial firms ahead of those of the American public.
The following is from the CFTC...
CFTC Chairman Gary Gensler today released the following statement after the House Appropriations Subcommittee on Agriculture, Rural Development, Food and Drug Administration, and Related Agencies voted to cut the CFTC budget.
“The result of the House bill is to effectively put the interests of Wall Street ahead of those of the American public by significantly underfunding the agency Congress tasked to oversee derivatives – the same complex financial instruments that helped contribute to the most significant economic downturn since the Great Depression.
“The CFTC’s hardworking staff is just 10 percent more in numbers than at our peak in the 1990s, yet Congress has now directed the agency to oversee the swaps market that is eight times larger than the futures market. Picture the NFL expanding eightfold to play more than 100 football games in a weekend, leaving just one referee per game, and, in some cases, no referee. Imagine the mayhem on the field, the resulting injuries to players, and the loss of confidence fans would have in the integrity of the game.
“We would not want similar mayhem and loss of confidence in markets so critical to farmers, ranchers and end users that may result from this bill’s significant underfunding of the CFTC.”