The US Federal Reserve has moved to tighten the rules on physical commodity trading by banks, citing fears they might suffer huge losses as a result of an environmental disaster. How valid are such concerns...
Under pressure from politicians, the US Federal Reserve floats proposals to tighten rules on banks in physical commodities
Handicapped by tighter regulations, banks have ceded derivative market-making share to oil majors such as BP and Shell
Insurance Risk and BNY Mellon have conducted a survey to look at how insurance companies are preparing for the new regime and the opportunities and challenges that the changes will bring.
More Physical articles
As an increasing volume of crude oil is transported via North America’s railroads, market participants are growing hungry for data and market intelligence on crude-by-rail. Such insight had been in short supply, until recently. Alexander Osipovich reports...
The role of banks in physical commodities is poorly understood, but it is not indispensable
Amid a review of a 2003 determination by the Federal Reserve, the involvement of US banks in physical commodities has come under fire from regulators, politicians and the media. Could they really be forced to exit physical trading? Alexander Osipovich...
Physical trading by banks said to inflate commodity prices, increase systemic risk and threaten shortage of beer cans
This paper discusses a number of diverse considerations that risk managers need to incorporate into their thought processes and recurring procedures if they are to fulfill their role more effectively in the future