The Commodity Futures Trading Commission has announced amendments to the no-action letter previously granted to ICE Futures Europe (ICE Europe), which permits ICE Europe to provide direct electronic access to ICE Europe members within the United States. These amendments coincide with an agreement between the CFTC and the UK Financial Services Authority (FSA) on further steps to strengthen cross-border supervision of energy markets.

The amendments to ICE Europe’s no-action letter relate to contracts listed on ICE Europe that settle based upon the prices of contracts listed on a CFTC-regulated exchange (“linked contracts”), and require ICE Europe (i) to provide CFTC staff with (A) trade execution and audit trail data, (B) advance copies of proposed rules, rule amendments, circulars and other exchange notices, and (C) copies of all disciplinary notices relating to linked contracts; (ii) to permit on-site visits by CFTC staff; and (iii) in the event that the CFTC directs the applicable CFTC-regulated exchange to take emergency action, promptly to take similar action with respect to the applicable linked contract(s). ICE Europe currently lists contracts that settle based upon the price of the West Texas Intermediate Light Sweet Crude Oil futures contract that is listed for trading on the New York Mercantile Exchange.

The CFTC press release announcing these amendments is available here, and its press release regarding the CFTC-FSA agreement is available here.