However this was achieved largely through commodity swaps
We also offer access to interest rate swaps and commodity swaps
Special items increased net loss by USD17.7m for 2016, primarily as a result of employee retention expenses of USD10.7m, losses of USD1m related to an asphalt inventory adjustment, unrealised losses of USD14.8m associated with commodity swaps
and USD1.7m associated with losses recognised on disposition of assets, before income tax and non-controlling interest impacts of USD10.5m.
, the most common tool for gaining broad commodities exposure, historically have not been traded on exchanges.
The CFTC was given authority over a very broadly defined universe of 'swaps', including interest rate swaps, commodity swaps
, agricultural swaps, currency swaps and swaps (including credit default swaps) based on broad-based indices of securities.
- Volume of commodity swaps
cleared grew 82% year-on-year and 19% month-on-month to 43,055 contracts.
These commodity swaps
have been increasingly difficult to maintain because of market differences in water and gas, and mounting political rivalry.
It also supports commodity swaps
as hedging instruments, and gives the option to either have a system generated hypothetical derivative or one that is user specified.
"The hedging definition [in the rule] talks about physical delivery, so we're uncertain about whether that applies only to derivatives like commodity swaps
," he says.
A final rule published in May by federal banking agencies requires commercial banks to look at the risk profile of end-users negotiating for interest rate or commodity swaps
and determine whether a margin is needed.
The Treasury decision to exempt FX swaps and forwards does nothing to erase business concerns about having to post margins on interest rate and commodity swaps
, one of the issues that dominated the April 12 Senate hearing.