Eurex may have to amend or postpone its plan for a
trans-Atlantic clearing link in order to comply with US
CFTC chairman Jim Newsome told a Congressional committee
hearing last week that "any proposal that would permit the
clearing of US Futures Exchange positions by Eurex Clearing
would require that Eurex Clearing first become a US DCO
[derivatives clearing organisation]. Eurex has so far not
applied for DCO status. Were it to do so, it is unlikely that
the application process would be complete in time for the
proposed 1 February launch date. There is a partial precedent
for European clearinghouses entering the US in the form of
London Clearing House, which was granted DCO status in 2001,
but only for OTC products.
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