EU, U.S. derivatives talks inconclusive, hope for deal by summer
LONDON (Reuters) - Regulators from the European Union and United States failed on Thursday to end a long-standing deadlock over recognising each other's derivatives market rules, but said they hoped for a deal by the summer.
Most of the world's $630 trillion (£414.78 trillion) financial derivatives are traded in London and New York.
Without deferral to each other's rules for the clearing houses that stand between two sides of a derivatives transaction, clearers and their users face the costly burden of complying with two sets of regulation.
The European Commission and U.S. regulators have been trying to iron out differences over their approaches to regulating the same market since at least 2013.
"Discussions are constructive and progressing," EU financial services chief Jonathan Hill and Timothy Massad, chairman of the U.S. Commodity Futures Trading Commission (CFTC), said in a joint statement at the end of a meeting in Brussels.
The talks have been "mutually satisfactory" on the ability for both sides to potentially defer to each other's rules, the statement said.
Hill and Massad agreed to continue their discussions "with the aim of finalising an approach by the summer".
Differences between the two sides were highlighted in exchanges between Massad and one of Hill's senior officials at a hearing in the European Parliament on Wednesday.
(Reporting by Huw Jones Editing by Jeremy Gaunt)
