CME Group removes 3 pct margin cost to interest-rate swaps

Reuters

Oct 17 (Reuters) - CME Group said on Thursday it hasremoved a temporary three percent margin cost it applied tocertain products on its platform, imposed earlier in the week inanticipation of market gyrations as the U.S. debt ceilingapproached.

In a statement, CME, the largest U.S. futures marketoperator, said it was removing this cost from over-the-counterinterest-rate swap trades.

On Wednesday, CME imposed this margin, though it said it wastemporary. U.S. lawmakers reached an agreement late Wednesday toextend the federal borrowing limit through early February,staving off a technical default that had spooked fixed incomemarkets.

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