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RELEASE: pr5814-10

  • April 28, 2010

    CFTC Determines that Seven Contracts Traded on the IntercontinentalExchange Inc are Significant Price Discovery Contracts

    Contracts are Subject to Commission Oversight, Emergency Authority and Large Trader Reporting Requirements

    Washington, DC – The Commodity Futures Trading Commission (CFTC) today determined, by a 5-0 vote, that seven contracts traded on the IntercontinentalExchange Inc (ICE) perform significant price discovery functions. As such, the contracts must be traded in compliance with applicable core principles and statutory provisions. The Commission considered a total of 24 contracts traded on three Exempt Commercial Markets (ECMs): ICE, the Natural Gas Exchange, Inc (NGX) and the Chicago Climate Exchange, Inc (CCX). The Commission determined that the other 17 contracts it reviewed were not SPDCs.

    ECMs are exempt from the provisions of the Commodity Exchange Act, other than the anti-fraud and anti-manipulation provisions. However, Congress provided a regulatory regime for contracts traded on ECMs that the Commission determines to be significant price discovery contracts (SPDCs) comparable to that provided for futures contracts traded on designated contract markets.

    Contracts the Commission determined to be SPDCs include:

    1.

    ICE HSC Financial Basis Contract

    2.

    ICE Waha Financial Basis Contract

    3.

    ICE AECO Financial Basis Contract

    4.

    ICE NWP Rockies Financial Basis Contract

    5.

    ICE Socal Border Financial Basis Contract

    6.

    ICE PG&E Financial Basis Contract and

    7.

    ICE Chicago Financial Basis Contract

    Contracts the Commission determined not to be SPDCs include:

    1.

    ICE San Juan Financial Basis Contract

    2.

    ICE Malin Financial Basis Contract

    3.

    ICE Dominion-South Financial Basis Contract

    4.

    ICE Henry Financial Basis Contract

    5.

    ICE Henry Financial Index Contract

    6.

    ICE Henry Financial Swing Contract

    7.

    ICE Permian Financial Basis Contract

    8.

    ICE TCO Financial Basis Contract

    9.

    ICE Zone 6-NY Financial Basis Contract

    10.

    ICE TETCO-M3 Financial Basis Contract

    11.

    ICE NGPL TxOk Financial Basis Contract

    12.

    NGX AECO Basis Contract

    13.

    NGX Union-Dawn Basis Contract

    14.

    NGX AECO Fixed-Price Contract

    15.

    NGX Union-Dawn Fixed-Price Contract

    16.

    NGX 7a Index Contract and

    17.

    CCX Carbon Financial Instrument

    Media Contacts
    Scott Schneider
    202-418-5174

    R. David Gary
    202-418-5085

    Last Updated: April 28, 2010