This article was written the day before being published and was pushed back due to the breaking news of the donwngrades that happened in Europe that day.
A much anticipated decision was made today, but didn’t have the effect many thought it would….
The CFTC met today to determine the following;
– Final Rule on Derivatives Clearing Organization General Provisions and Core Principles;
– Final Rule on Position Limits for Futures and Swaps; and
– Consider a Notice of Proposed Amendment to Effective Date for Swap Regulation.
There were many nervous investors out there as the meeting was taking place as the precious metals market continued to trade in the current range since the recent correction in late September.
With gold still north of $1,600 and silver above the $30 mark, these “final” decisions will allow some people out there to breathe finally. But they have to stay “final” from this point, and we have not done our due diligence as of yet to know what stipulations have been laid out to adjust the “final limit decisions” if need be.
The market did not have to much reaction to the decisions, which leads us to believe there are still numerous “back doors” in the new rules, but only time will tell.
Rest assured we will have our eye it.
You can read the final decisions on the futures limits here;
If you would like to see all the final decisions, they can be found here;