CFTC blocks CME's plan to offer 24/7 trading in crude oil futures

The U.S. Commodity Futures Trading Commission said 'on Thursday that it would use 'its authority to stay listing of a contract which?would allow?CME -Group to begin 24/7 trading in crude oil futures on Friday.

CME attempted to self-certify this contract on July 8 despite an ongoing public comment period regarding the extension of standard futures contracts, including crude oil, to round-the clock trading.

CME Group announced in June it would offer 24/7 trading for some crude and gold futures contracts pending regulatory review.

Michael Selig, the CFTC chairman, said that the commission is still examining if 24/7 trading on futures contracts for various asset classes is consistent with its statutory Core Principles.

Selig said in a press release that "we don't take a one size fits all approach to trading 24/7".

The?commission stated that its regulations provide exchanges with?two ways to?list contract -- self-certification and seeking an approval and review. "CME filed simultaneous but separate filings under the two provisions."

CFTC'said that it would review the product filings - and bar CME from 'listing these contracts - until they are determined to comply with the Commission regulations and the Commodity Act. (Reporting and editing by Joyjeet Das in Bengaluru)

(source: Reuters)