At the three-way talks, on 29 May, the European Parliament and Council spelled out their respective positions on the controversial aspects of rules on market abuse, summed up several sources, who nevertheless reported that some progress was made.

The reform of rules on insider trading and market manipulation, presented by the European Commission in October 2011, is comprised of two legislative texts: a regulation directly applicable across the Union, which replaces the 2003 directive, and a new directive requiring criminal penalties for the most serious market abuse committed intentionally.

Only the draft regulation is being negotiated for the moment.

The first subject debated at length was the type of information that must be considered inside information, said a source, without giving details. Inside information is information not available to the public and which, if published, would influence the price of the financial instruments concerned. This aspect is extremely important since it is the use of this information that can lead to market abuse, and more specifically insider dealing, ie the buying or selling of financial instruments based on the use of inside information. The discussions are said to be difficult on the classification of inside information for commodities derivatives.


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