Future for CME?

Discussion in 'Wall St. News' started by NielsenDK, Nov 9, 2008.

  1. I am new to trading and was wondering what you think the future will bring to trading, particularly in futures. I ran across this article today and there were some less optimistic points:

    1. "A combination of the CFTC and the SEC, which has a much larger enforcement staff and budget, could heighten restrictions on the futures business at a time when CME's trading growth is slowing. Futures traders may be required to hold more money in margin accounts, for example, raising their costs and potentially driving down business. Also, CME could face a lengthier approval process for new contracts."

    2. "Observers say it's also possible another idea unpopular with CME may resurface: a tax on futures trades."

    But also
    A. "We shouldn't have the concerns that others may have because our markets are already highly regulated," Mr. Duffy (CME Executive ) says. "You don't want to try to fix something that's not broke."

    With Obama soon in office and Democrats ruling Congress, what do you think will happen?

    Full Link to article:


    Looking forward to your thoughts on this :)
  2. It's an attempt by lobbyists and legislators to "shakedown" the CME for money. There will be the appearance of the threat of more regulation and a transaction tax but mysteriously, nothing will come of it. It tends to happen every year. :cool:
  3. A rare good point made on CNBC ... Obama and his Chief of Staff are Chicago pols. Whatever comes out of DC over the next few years will likely be good for the CME.