FSA uses Markit to scrutinise credit markets

The Financial Services Authority in London has stepped up its oversight of the credit markets by taking pricing information on credit derivatives from data vendor Markit.

The regulator will use Markit's pricing benchmarks on CDS to monitor price movements in these markets as part of its increasing vigilance against market abuse in credit.

In particular the regulator is concerned about insider trading: the use of what it terms market non-public information, which traders might glean from loan p