The Forex and Futures Expo in Las Vegas last week was not particularly well attended but those who were there were keenly interested in learning how the new rules for retail forex would affect their business. One forex broker put it pretty simply, “We’re scared shitless,” he said of some of the new rules.
The Commodity Futures Trading Commission’s forex proposal last January stirred up a hornet’s nest of opposition.
It seemed awfully odd that just a month or so after the National Futures Association (NFA) instituted new tougher standards for forex, that the CFTC would propose something so different. The NFA, after all, is the agency who has dealt on the front lines with the forex problem. There has been a lot more continuity in the leadership and the staff of the NFA in recent years than at the CFTC yet the CFTC proposed a leverage standard 10X more restrictive than the NFA rules that had just gone into affect.
