The financial crisis has revealed how the regulator is not enough data to see how risky mortgage securities that accumulate in some corners of Wall Street, ultimately leading to a market crash. Now regulators are dealing with a different problem: too much speech data.In yesterday, Scott O'Malia, commissioner of the Republic in the U.S. Commodity Futures Trading Commission, said it has been flooded with new Intel derivatives trading, but in making sense of the sheer volume and consistent format " ; did not go well. "inflow of the 2010 Dodd-Frank financial reform bill, which, among other things, the necessary derivatives dealers, including banks such as JPMorgan Chase (JPM) and Goldman Sachs (GS)-to report over-the-counter transactions in the new database, technically known as a "swap data repository. "This trade has been reported by the end of last year, but the regulator has so far not specify what format is required to use the repository.
As explained O'Malia, "for each category identified 70 + reported exchange rate dealers, swap reported in 70 + different data formats." O'Malia said the problem was "so bad that the staff said that they are currently unable to found the Pope in London in the current data file. "It may be a bit false argument, JPMorgan Chase Whale London trade was made in early 2012, prior to the reporting requirements kick in, but still, so much data flowing in every day O 'Malia said the CFTC computer can not load information without crashing.Things could get worse before they get better. O'Malia said, which is generally said that the Dodd-Frank goes too far, the CFTC will start getting more reports from the parties, the exchange of very large participants and end users, add heaps of information It should try to Wade through hunting of large positions that could threaten market . The CFTC may collect less information, because O'Malia suggest, or upgrade the system and require more uniformity in the data. In any case, O'Malia describe the current situation is uncomfortable, to say the least.