US watchdog subpoenas swaps association over benchmark

The top US derivatives regulator is probing a widely used benchmark for swaps, the trade body overseeing the rate said, dealing a further blow to the market after the sprawling Libor probe.

The Commodity Futures Trading Commission (CFTC) has subpoenaed the International Swaps and Derivatives Association (ISDA) over its ISDAfix benchmark, widely used to anchor market rates, a spokeswoman for ISDA said.

Bloomberg reported on Monday that the CFTC was investigating derivatives broker ICAP Plc and as many as 15 banks in a probe into the possible manipulation of the benchmark.

via Business feed http://www.scmp.com/business/banking-finance/article/1210619/us-watchdog-subpoenas-swaps-association-over-benchmark