[This Commentary originally appeared in the June 7, 1990 issue of The Mendon-Honeoye Falls-Lima Sentinel.]

The Commodity Futures Trading Commission (CFTC) currently has regulatory responsibility for stock index futures. The Bush administration recently announced plans to introduce legislation shifting control to the Securities Exchange Commission (SEC). Both Investor’s Daily and The Wall Street Journal have faithfully presented both sides of the debate.

The critical questions, however, relate not to who’s in charge, but to the impetus behind the territorial maneuvering. In analyzing the 1987 stock market crash, official Washington, the news media and even some well respected financial gurus have blamed stock index futures – in particular their use in program trading – for the Continue Reading “D.C. Turf Wars”