CMC Markets, a broker out of Australia which offers Contracts For Difference (CFDs), has just formally joined the increasingly larger group headed by Forex.com (discussed on Saturday) which is now advising customers that gold and silver trading will be prohibited in a month. Specifically, CMC has said that beginning July 29, it will no longer offer nor roll any of its existing gold and silver CFDs. What is curious is that unlike Forex.com, which advised clients it is halting comparable trading on July 25 as pertains to spot OTC products (XAU and XAG), CMC's halt is impacting gold and silver futures. While we still are not confident we understand precisely what span of products is prohibited by Dodd-Frank, it appears that ever more brokers are interpreting the law loosely enough to where practically all gold and silver products will soon be removed from retail participation. Readers, however, can rest assured that the CFTC, which is urgently delaying any of the Frankendodd provisions that impair Wall Street bottom lines, will not move a finger to address or resolve this issue which will suddenly affect millions of retail investors in the US, and around the world.
http://www.zerohedge.com/article/another-broker-halts-trading-gold-and-silver-products
Rumor? No Forex Trading of Gold and Silver in US
We wanted to make you aware of some upcoming changes to FOREX.com’s product offering. As a result of the Dodd-Frank Act enacted by US Congress,a new regulation prohibiting US residents from trading over the counter precious metals,including gold and silver,will go into effect on Friday,July 15,2011.
In conjunction with this new regulation,FOREX.com must discontinue metals trading for US residents on Friday,July 15,2011 at the close of trading at 5pm ET. As a result,all open metals positions must be closed by July 15,2011 at 5pm ET.
We encourage you to wind down your trading activity in these products over the next month in anticipation of the new rule,as any open XAU or XAG positions that remain open prior to July 15,2011 at approximately 5:00 pm ET will be automatically liquidated.
We sincerely regret any inconvenience complying with the new U.S. regulation may cause you. Should you have any questions,please feel free to contact our customer service team.
Sincerely,
The Team at FOREX.com
http://dont-tread-on.me/rumor-no-forex-trading-of-gold-and-silver-in-us/
