US Treasury’s FX exemption hangs in the balance

Scales

A year on from the US Department of the Treasury's high-stakes proposal to exempt foreign exchange swaps and forwards from mandatory central clearing and organised trading under the Dodd-Frank Act, some have suggested the agency may now be reconsidering its position. After months of lobbying from the foreign exchange market, the US Treasury issued its proposed determination on April 29, 2011, followed by a 30-day consultation period – market participants had widely expected the position