Eurex Clearing, the clearing arm of Deutsche Boerse, has applied to the US regulators to clear over-the-counter (OTC) derivatives in the US, according to a Financial Times report.
Using a rule on the Commodity Futures Trading Commission books, that exempts foreign clearers the requirement to set up a clearing house on US soil, Eurex may be hoping to cash in on recent statements by Treasury Secretary Tim Geithner that more OTC derivatives should be cleared.
The FT did not state where it got the information.
In an earlier statement in response to Geithners comments on OTC regulatory reform, Deutsche Bourse said: With its OTC clearing solution, to be started in July 2009 with Credit Default Swaps, Deutsche Boerse and Eurex address the broad aims of the proposed regulatory reform for OTC derivatives. In this regard, Deutsche Boerse and Eurex will continue its cooperative dialogue with regulators, supervisors and market participants on both sides of the Atlantic.
LCH.Clearnet already owns a full clearing license in the US, but has yet to act upon it.