CFTC History in the 2010s
January 14, 2010—The CFTC votes at an open meeting to publish in the Federal Register a proposal to set position limits for futures and option contracts in the major energy markets. (CFTC Press Release 5771-10, January 7, 2010).
March 25, 2010—The CFTC holds an open meeting to examine the trading of futures and options in the precious and base metals markets. (CFTC Press Release 5782-10, February 23, 2010).
April 3, 2010—The CFTC Launches a new web site along with supporting web 2.0 components. (CFTC Press Release 5804-10, April 3, 2010).
April 29, 2010—The CFTC issues an order filing and simultaneously settling (for a civil monetary penalty of $25 million among other things) charges that Moore Capital Management, LP, and various affiliated companies attempted to manipulate the settlement prices of platinum and palladium futures contracts on the New York Mercantile Exchange. (CFTC Press Release 5815-10, April 29, 2010).
May 6, 2010—Major stock indexes and stock index futures experience a brief but severe drop in
prices, falling more than 5% in a matter of minutes, only to recover a short time later. Some individual securities experience more volatility than the stock indexes. (Statement by SEC and CFTC, May 6, 2010)
May 18, 2010—The staffs of the CFTC and the SEC release preliminary findings related to the unusual market events on May 6, 2010. (CFTC Press Release 5825-10, May 17, 2010).
May 24, 2010—The newly formed Joint CFTC-SEC Advisory Committee on Emerging Regulatory Issues holds its first meeting. (CFTC Press Release 5823-10, May 17, 2010).
June 14, 2010—The CFTC approves the first futures contracts based on motion picture box office receipts after finding that the terms and conditions of Media Derivatives, Inc.’s proposed Weekend Motion Picture Revenue futures and options contracts do not violate the Commodity Exchange Act or CFTC regulations. However, the Dodd-Frank Act contains provisions that ban futures contracts based on motion picture box office receipts. (CFTC Press Release 5834-10, June 14, 2010).
July 21, 2010— President Obama signs the Dodd-Frank Wall Street Reform and Consumer Protection Act (“Dodd-Frank Act”). Title VII of the Dodd-Frank Act amends the Commodity Exchange Act to establish a comprehensive new regulatory framework for swaps and security-based swaps. The legislation is enacted to reduce risk, increase transparency, and promote market integrity within the financial system by, among other things: 1) providing for the registration and comprehensive regulation of swap dealers and major swap participants; 2) imposing clearing and trade execution requirements on standardized derivative products; 3) creating robust recordkeeping and real-time reporting regimes; and 4) enhancing the Commission’s rulemaking and enforcement authorities with respect to, among others, all registered entities and intermediaries subject to the Commission’s oversight. On the same day, the CFTC releases a list of 30 areas of rulemaking to implement the Dodd-Frank Act. (CFTC Press Releases 5855-10 and 5856-10, July 21, 2010).
August 16, 2010—The CFTC sanctions ConAgra Trade Group, Inc. (CTG) $12 Million for causing a non-bona fide price to be reported in the NYMEX Crude Oil futures contract. On January 2, 2008, CTG was the first to purchase NYMEX crude oil futures contracts at the then-historic price of $100. As a result of CTG’s effort to be the first to trade at the $100 level, CTG caused a non-bona fide price to be reported, according to the CFTC order. (CFTC Press Release 5873-10, August 16, 2010).