CFTC deference needed for EC to recognise US clearing houses

The European Commission is discussing its rules on anti-procyclicality — measures to prevent the build up of margin required in times of stress — with the Commodity Futures Trading Commission in an effort to grant equivalence to US clearing houses. However, the US must look to reciprocate by acting with deference to other country’s regimes, according to Patrick Pearson, head of financial markets infrastructure at the EC.