The Financial Conduct Authority (FCA) has today published updated position limits for certain commodity derivative contracts traded on UK trading venues. The limits have been established under the Markets in Financial Instruments Regulations 2017 (MIFI Regs).
These changes to limits will apply immediately.
The changes reflect changing market conditions. In these circumstances, a 2,500 lot limit could impair market functioning or growth in the contracts in ways which MiFID II seeks to avoid, and a limit will be announced in due course. We will give two months' notice before those limits come into force.
These limits are published in advance of the publication of ESMA Opinions on the limits. These limits may change in light of an ESMA opinion, or in the event that we decide it is necessary. This is in accordance with the statements of ESMA and of the FCA published on 28 September 2017.