U.S. CFTC approves "commodity options" rule
WASHINGTON, April 18
WASHINGTON, April 18 (Reuters) - The U.S. Commodity Futures Trading Commission voted 5-to-0 on Wednesday to adopt a final rule that would subject commodity options to the same rules that govern swaps, and would exempt some "physically delivered" options from the regulation.
The rule on commodity options, which give the participant the option to buy or sell a certain amount of a commodity at a particular price in the future, was mandated by the 2010 Dodd-Frank financial reform law.
Later on Wednesday, the CFTC commissioners are poised to approve a highly controversial swap dealer definition, which would determine which market players are subject to new capital and margin rules.