CME: Ball in CFTC’s court on rival ELX’s trade rule

NEW YORK, April 13 (BestGrowthStock) – The ball is in the Commodity
Futures Trading Commission’s court on the question of how it
will deal with rival ELX Futures LP’s trade rule, a CME Group
Inc (CME.O: ) official said on Tuesday.

Upstart futures exchange ELX is pushing for the CFTC, the
market regulator, to allow its so-called exchange of futures
for futures (EFF) rule, which would let traders easily move
their U.S. Treasury contract positions from one marketplace to
another — and could pose a threat to futures giant CME Group.

While Wall-Street-backed ELX has said that its bigger rival
is misleading regulators about EFF to stifle competition, CME
Group has said that EFF violates its rules.

“It’s between CFTC and CME, and we’ve done what they’ve
asked us to do so I think the ball is in CFTC’s court,” Derek
Sammann, managing director of CME Group’s financial products
and services division, told Reuters on the sidelines of a
conference here.

“We’ve cycled through this with the CFTC. We are not
engaged in a dialogue with ELX on this. The CFTC is our
regulator and they’ve asked us for clarity,” Sammann said.

Stock Trading

(Reporting by Jonathan Spicer. Editing by Robert MacMillan)

CME: Ball in CFTC’s court on rival ELX’s trade rule