Derivative clearinghouse stress-testing to expand as two facilities pass latest tests

2 May 2019 1:42am
The US Commodity Futures Trading Commission plans to expand stress-testing of derivative clearinghouses, Chairman J. Christopher Giancarlo said, as new tests showed two major clearinghouses could cover losses from economic jolts.

“The commission expects to grow our stress testing program to help ensure that the clearing eco-system continues to be resilient to absorb both market and systemic shocks,” Giancarlo told a House Agriculture Committee panel on commodity exchanges today.

The CFTC today released the results of stress tests it conducted last year on Chicago-based CME Group and London Stock Exchange Group-owned LCH Ltd.