WASHINGTON (Reuters) - U.S. banking regulators are working with international counterparts to address worries that margin and capital requirements for derivative trades will put Wall Street at a competitive disadvantage, a top regulator plans to tell Congress on Tuesday.
U.S. regulators will take this work into consideration when writing a final rule governing these trades that is expected to be released by mid-2012, Federal Deposit Insurance Corp acting Chairman Martin Gruenberg said.
The comments were in testimony prepared for a Senate Banking Committee hearing on Tuesday.
As required by the 2010 Dodd-Frank financial oversight law, policymakers are creating a global framework to regulate the roughly $700 trillion global derivatives market that was blamed for contributing to the 2007-2009 financial crisis.
The United States is far ahead of other countries in writing proposals for governing the over-the-counter derivatives, or swaps, market that is dominated
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