Regulating Energy Contracts Through SPDC Authority

Law360, New York (May 21, 2010, 1:48 PM EDT) -- The Commodity Futures Trading Commission voted unanimously on April 27 to designate seven natural gas contracts traded on the Intercontinental Exchange Inc. (ICE) as "significant price discovery contracts," or SPDCs. These actions represent the U.S. Government's first significant foray into the regulation of over-the-counter (OTC) derivatives transactions, which are currently the subject of Congress's attention in Washington. In addition, these actions may further evidence the CFTC's interest in pursuing increased enforcement efforts and a greater presence in the energy sector.

The CFTC derives its authority over...
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