Thank you Collin Peterson and Tom Harkin

Bloomberg reports:

Credit-default swap clearing would become mandatory under legislation slated to be introduced next month by House of Representatives Agriculture Committee Chairman Collin Peterson.

Not to be outdone,

Peterson’s counterpart in Congress, Senate Agriculture Committee Chairman Tom Harkin, a Democrat from Iowa, last month introduced legislation that would force all over-the-counter trades including credit-default swaps to be traded on an exchange and processed by a clearinghouse.

If this happens, it would be tremendous for London. We will consolidate our lead in credit derivatives, and attract a lot of OTC equity and interest rate derivatives currently traded in the US too. That should cushion Crunch-related job losses a little, at least.