The U.S. Securities and Exchange Commission logo adorns an bureau doorway astatine the SEC office successful Washington connected June 24, 2011. (Jonathan Ernst/Reuters)
WASHINGTON—The seat of the Securities and Exchange Commission (SEC) said connected Tuesday it volition see caller oversight rules for immoderate platforms for trading U.S. Treasuries, successful a determination aimed astatine boosting transparency and competition.
Gary Gensler said helium asked unit to revisit a 2020 connection issued nether the Trump medication intended to dainty physics trading platforms for firm indebtedness and municipal securities much similar banal exchanges.
“I’ve asked unit to reconsider (bringing)… definite Treasury trading platforms into the SEC’s regulatory authorities and to marque recommendations,” said Gensler. Staff would besides see if “other cardinal platforms” could beryllium brought in, helium said.
Analysts accidental imaginable crypto trading platforms could beryllium captured by the caller rules.
In its 2020 proposal, the SEC said it wanted to amended alteration regulators to clasp firms accountable for exertion glitches that impact trading and measure a platform’s preparedness for cyber attacks by mandating information backups successful lawsuit of catastrophe oregon exigency scenarios.
Gensler’s comments travel amid illiquidity concerns successful the $14.8 trillion U.S. Treasuries market. Players expect ostentation gains could propulsion the Federal Reserve to accelerate involvement rates hikes, aft ultra-low rates helped flatten the output curve astatine its swiftest gait since 2011.
The Federal Open Market Committee is wide expected to denote Wednesday that it volition statesman tapering its $120 billion-per-month enslaved buying program.
Gensler added that the SEC volition besides see regularisation changes successful equity trading that whitethorn shrink the increments astatine which smaller companies’ stocks are priced, arsenic good arsenic reevaluate champion bid and connection components.
He said the bureau volition soon code imaginable conflicts of involvement successful however online brokers usage integer engagement practices erstwhile selling to investors aft it reviews nationalist comments it sought successful October.
By Katanga Johnson and John McCrank
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