The House Agriculture Committee held hearings on February 3 and 4 on the Derivatives Markets Transparency and Accountability Act of 2009, a draft bill prepared by Committee Chairman Collin Peterson. As proposed, the legislation would amend the Commodity Exchange Act to, among other things, (i) require the Commodity Futures Trading Commission to establish speculative position limits for all commodities, (ii) narrow the definition of bona fide hedging transactions that would be excluded in calculating speculative positions, (iii) mandate clearing of essentially all over-the-counter transactions, and (iv) ban “naked” credit default swaps by making it unlawful for a party to enter such a contract unless it had a direct exposure to financial loss should the credit event occur. Witnesses at the hearings addressed these and other provisions.