U.S. regulators face renewed pressure from congressionallawmakers to ease Dodd-Frank Act derivatives requirements amidmounting criticism from Wall Street and overseas officials that therules overreach.

The House Financial Services Committee is scheduled to vote onnine measures that would allow more swaps to be traded in units ofbanks such as JPMorgan Chase & Co. and Citigroup Inc. that holdgovernment-insured deposits. One measure would force U.S.regulators to determine the cost of new Basel III capital chargeson banks' swaps with corporate clients.

The measures, which would need approval from the House andSenate before heading to President Barack Obama, are part of aneffort by big banks and their congressional supporters to amend orlimit the regulatory overhaul the president signed into law lessthan three years ago. Dodd-Frank requires the Commodity FuturesTrading Commission and Securities and Exchange Commission to createswap-market rules after largely unregulated trades helped fuel the2008 credit crisis.

Continue Reading for Free

Register and gain access to:

  • Thought leadership on regulatory changes, economic trends, corporate success stories, and tactical solutions for treasurers, CFOs, risk managers, controllers, and other finance professionals
  • Informative weekly newsletter featuring news, analysis, real-world cas studies, and other critical content
  • Educational webcasts, white papers, and ebooks from industry thought leaders
  • Critical coverage of the employee benefits and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.