On the trading floors of New York and Chicago, and on quieter desks from Greenwich to Boston, trading supervisors are reviewing surveillance reports and consulting real-time surveillance monitors as though their bonus checks depend on it—because they do. Here’s why.
The U.S. Commodity Futures Trading Commission (Commission) unanimously approved proposed rules that mark a comprehensive regulatory response to the evolution of automated trading on U.S. designated contract markets (DCMs).
A jury on Tuesday convicted high-frequency trader Michael Coscia of commodities fraud and "spoofing," in the U.S. government's first criminal prosecution of the banned trading practice. The verdict may energize prosecutors to pursue market manipulation cases and spur some high-speed traders to review their strategies, in which orders are sometimes executed or canceled within milliseconds after they are entered.
Environmental Financial Products LLC (EFP) and CBOE Holdings Inc. (CBOE) announced plans to launch the American Financial Exchange (AFX), an electronic marketplace for small and mid-sized banks to lend and borrow short-term funds.
As part of the Dodd-Frank Wall Street Reform and Consumer Protection Act, Congress mandated that the CFTC adopt limits to address the risk of excessive speculation in physical commodity derivative contracts.