Late last week regulators from the United States and European Union pledged to work more closely together on reforms for the $630 trillion global derivatives market. According to a recent Reuters article, following bilateral talks last week in Washington, representatives from the U.S. and EU noted they were concerned with the lack of progress in establishing accounting standards on equal footing.
“When new initiatives are finalized by either jurisdiction, staff (at regulators) will seek to reach consensus in as many areas as possible,” they said in a joint statement.
In December, Treasury Secretary Jack Lew defended the strict U.S. stance on financial regulations, saying that he would “press other jurisdictions to match our robust standards,” and that he would not allow trade talks – such as the ongoing Transatlantic Trade and Investment Partnership with the EU – to alter those regulations. According to Reuters, the next meeting between regulators will take place in Brussels in July.
Read more about the U.S. and EU cooperation on derivatives reform online from Reuters.