gensler at cftc dot above. it's -- everyone at the cftc has that same nomenclature. so the office of data technology along with the executive directer and the lawyers set up another account that was just, it just took my initials, actually, but set up another account which was linked. the foia office had it linked. we've gone back just many preparation for this yearing to see whether over these last years they were always linked. and it was the senior staff of the agency and of government could communicate on this secondary account which, as i say, were linked in the foia office in the data technology and is archived. >> my last question to you, ms. jackson and mr. gensler. i mean, i'm sure having had to come before this committee, you've thought about this a lot. and i'm just wondering, are there things that you think the congress ought to be doing or your agencies could be doing so as to make sure -- i'm sure you agree with what we're trying to get to here. things that we might be able too too -- to do so that future be folk in your position are within bounds of wh

bart chilton, cftc commissioner. thanks for coming in again. >> good to be with you, david.liz: more to come on the ahead of the trade. david: they call it, event-jumping. todd tell us there were a lot of traders in the cftc and other traders and really wondering whether some of this event-jumping had to do with gold jumping. >> mortimer brothers did it in account trading places." a former ceo semibarking on a bold new venture to shake up the entire financial industry which is growing exponentially. doug bergeron is next. david: i have to see "trading places" again. president obama's health care reforms take place in one week next month. we'll find out how the obama administration is launching a full-court press, p.r. campaign, to try to sell what is very controversial plan directly to the public. ♪ at od, whatever business you're in, that's the business we're in with premium service like one of the best on-time delivery records and a low claims ratio, we do whatever it takes to make your business our business. od. helping the world keep promises. but it doesn't usually work

the underfund and underthey find replacement of the cftc is on the table. we will hear from its chairman next. dennis: the jaded jaguars, not the people who owned it in the 80s. the lowest rated nfl teams and plan to get teams back in the stadium. bottoms up on this one. tracy: racking up the effort to save the forest, $40 million and counting. the massive federal fingerprints backed by your taxpayer dollars. don't go anywhere. we will be right back. with the spark cash card from capital one... boris earns unlimited rewards for his small business. can i get the smith contract, ease? thank you. that's three new paper shredders. [ boris ] put 'em on my spark card. [ garth ] boris' small business earns 2% cash back on every pchase every day. great businesses deserve unlimited rewards. read back the chicken's testimony, please. "buk, buk, bukka!" [ male announcer ] get the spark business card from capital one and earn unlimited rewards. choose 2% cash back or double miles on every purchase every day. told you i'd get half. what's in your walle and this park is

i believe, though, that the cftc is a good investment for the american public.ment to insure that companies such as yourself have a transparent and well functioning market. i don't believe our current funding is sustainable. dagen: what does former delaware senator ted kaufman think? good to see you, as always. >> good to see you, dagen. dagen: do you buy that, that they just need more money? >> yeah, i think they do. i mean, look, dagen, the republicans and democrats when we were debating dodd-frank said that lack of regulation is one of our major problems. that cost the country $14 trillion. we've got 398 rules in dodd-frank, only 40% of them have been completed. and, look, giving money to these regulators is a good investment. look, they're talking about a settlement for $11 billion with jpmorgan chase, they've had a billion dollars worth of settlements. we need the regulators doing their job if, in fact, we're going to have a financial system that works for all of us. dagen: do you think that they are -- they're clearly tougher now, but do you think there's

the cftc seemingly had a problem with him -- or his firm taking risks. well, they're a commodities firm. what do you think they're doing? >> but you can't borrow customer money. you can't do that. >> no allegation he knew they had. they don't even allege it. >> from a control person liability perspective, it doesn't matter -- >> no, they have to -- >> he's the supervisor. >> they have to prove there was a reason to know -- >> you can't -- >> you just can't do it. >> this goes back to the argument that the same kind of argument you hear surrounding the financial crisis as we remember that five years later that not a single head of any single financial institution went to prison, was arrested, was charged with anything. >> so what? >> at what point -- doesn't the guy at the top have to have responsibility for something? >> you don't look at -- >> of course. >> you can't bury your head in the sand. >> hey, tom, let me ask you this, do you think that it's been -- it's been overdone, what's going on at jpmorgan and jamie dimon? they're constantly -- >> shame

and in a filing today the bank says it received a wells notice from the cftc, indicating cftc staff haveion. so, simon, even though today's action is a big milestone for the firm and for regulators, this chapter and this book are not closed just yet. >> we should mention even if the fines for this particular episode stack up to over $1 billion, there's still the issue with regard to what jpmorgan was doing in energy markets. this is just one of many different battles that the firm seems to be caught in the middle of right now. >> and there's still an issue over the company's credit card collection practices and a lot of other issues that are ongoing. one thing people forget about with regard to the london whale yet, we still haven't seen the volcker rule. and rivals say it's been the single most painful issue for the volcker rule. they say that regulators are continually point together london whale. of course we haven't seen the volcker rule but it's expected to be strict because of that. >> the london whale hurting liquidity. kayla tausche, thank you very much. >> stocks have calmed dow

the cftc when started dealt with corn and pork, etc.hen what happened was the financial derivatives came to the fore. i proposed a solution at one point. we should give the cftc jurisdiction over everything and the sec had everything else but the agriculture wouldn't give it up. >> fannie, freddie. you mentioned fannie and freddie, big piece of unfinished business. we nationalized the mortgage market. what should we do? what are the principles we need to use? i want to say the first thing we worked on in getting done was the extraordinary authorities for fannie and freddie. they haven't gotten the attention they might have because they came unglued. they were nine times larger. in the market stooims auctioning $20 billion of securities. if the auctions had gone bad and people started to dump the securities, it would have been terrible. can you imagine what mortgage prices -- home prices would have gone and the number of defaults we would have had if the institutions were not put under conservatorship. so i think it's a factor in anythin

the cftc, the regulate other in the derivative space, taking a good hard look at high-speed trading.t looks like they may be thinking of putting some controls in place here to prevent another flash crash of the kind we saw back in 2010. elsewhere, moody's concerned about a drop in enrollment in higher education in the u.s. the first time in six years this has happened. they say it could put the squeeze on college budgets and we know the states are not raising their budgets, so that could be of concern to some of those institutions. >>> and apple, big news today. we're waiting on an announcement. we're expecting a lower-priced colored handset from apple. possibly with some new fingerprint technology. those shareholders will be hoping that this gets the stock back somewhere towards that $700. the all-time high. we're still something like 28%, 29% away from that now so fascinating business stories out there. >> back to you. >> hopefully the battery life is longer on that. geoff, thank you very much. we're tight on time. i'd love to split the atom on this next one. you have the eye in lo

>> i would have, would have merged the sec and the cftc. no national universe but the other problem is the cf. c is the farmers, the sec is the east coast and west coast financial committee. it would be politically difficult. you would have shays rebellion break out. >> you wouldn't have rebellion in west coast and east coast. it would have been people in congress. >> no rational way, the cftc when it was started dealt with corn and pork, et cetera. then what happened was the financial derivatives came to the fore and that is what caused confusion. before you had financial derivatives, i propose ad solution at one point, we should give the cftc jurisdiction over everything edible you and the sec everything else but the agriculture people wouldn't give it up. >> fannie and freddie, you mentioned fannie and freddie, big piece of unfished business. we basically now nationalized mortgage market. what should we do? what are the principles we should do? >> let's get to that i want to say the first thing that barney and i members, you know, democr

your nose, the cftc wants money. supposedly there are eight other agencies. liz: it's unbelievable.e a number. >> i would say in the 15 area would be something that i would assume is correct. the robber, this company does almost to a half trillion in assets. common equity, and it as a cash position which is a couple of hundred billion. it is not going to harm the company financially to make the payment. it is just that i just don't think that it is right for it to make the payment. liz: who is the next target? management in the past. is there a next target where you get this effect of all of these regulators in states saying there is money. they look at these banks has an atm, and they are not innocent. certainly they played a role. but enough is enough at a certain point.e right. you know, where all of these guys who put these companies out of business? they're sitting with hundreds of millions of dollars not affected by anything it is going on. we have seen the justice department take the stand because the united states government has a clear goal. they do not believe in too big t

it is a restriction and constraint on the government him th powers of governmentnd the cftc is out of control. gerri: i would think the name of that organization sounds like something of a 1984. it is orwellian. they're to protect you. >> soda protecting us from? gerri: okay. this particular thing and doing, they said it would collect the dataase. the idea is that this is somehow going to allow them to have better insight into consumer practices so that they can write better laws. at the same time, the organization that they are collecting this data from which is called mgan direction is working with bankruptcy attorneys all over the country. and they are under investigation. help me understand that. what does that mean? are they just trying to protect us from this company or what is happening? >> back in may of 2012 an attorney with the u.s. trustee's program filed an overly broad discovery request to get tons and tons of records on all sorts of people in the country who well, consumers cannot get to break. housing finally seeing that recove. getting a mortgage will be more expensive

the securities exchange commission and commodities trade .ommission are underfunded we gave the cftc to deal with the rivets. frankly it is a partisan difference. when the republicans took over the house in 2010 they decided theignificantly underfund sec. the problem is if we begin to get tough on these people, they will -- they will litigate. they have resources beyond what we have. a couple of the cases can exhaust us. thing i was hoping we could have done was to get the sec the fiscal autonomy the bank regulators have. can you give the woman in front, second row. .> go ahead >> peter ackerman. seven percent of all mortgages were held by gse's. today 90% held by them. of all americans own their homes. my the question is, what are we trying to and >end? what are we trying to accomplish as a country with a housing policy? >> that is the question. you heard me say i thought one of the most effective things we did was putting in the conservative ship. i remember talking right as we were doing that and got nothing but support from them. we both said and i said this is a timeout. we cann

we have capital levels up a bit, thanks to the cftc and gary gensler.e have a good chunk of derivatives market in centralized clearing. so much more needs to be done. i worry about it, apropos with your conversation with john taylor, tapering there will be market volatility with this tapering. it will create some challenges i think for large financial institutions and we still have a fragile financial system. i think that is very unfortunate. i agree with john. we need to get out of this. it needs to be gradual and controlled and but we need to get out of it. it will be hard. the system is still fragile and i worry about thible to cope with it. melissa: sheila bair, thanks for your insight. come back soon. >> thanks. melissa: time for the today's fuel gauge report. oil prices tanked for third straight sessions. crude settled down 1 1/2% at 106.59 a barrel. natural gas futures jumping today. tropical storm activity in the gulf of mexico and hot temperatures in the midwest heatings the rally. nat-gas settled at its highest level since july 23rd. >>> iran

deal with new regulation we're facing with all the new filings we have to do with the s.e.c., the cftc, all the new filings in europe. we've added many more people in the compliance area, making sure we meet the needs of the new regulation. >> you've got to. >> obviously, there is hiring in those areas. that may not be productive. i think the key for us is, us being the united states, we need to find jobs that will meet the needs of the middle class. the jobs in the financial services area, that's fine. jobs in the high-end area, that's fine. the key for a vital america is finding better jobs for middle class. and one of the areas i think we missed a great opportunity as a country is infrastructure. infrastructure creates quite a few large jobs in terms of construction. we have not used governmental policy to affectionate, whether roads, bridges, power grids -- >> and we need it. >> one of the reasons we've seen anemia, again, is lack of great governmental policy when it comes to infrastructure. >> so, where are you seeing the money movement? where are you seeing the flows today? do yo

the lawsuit has not been approved by the cftc. just to the commissioner level. >> thanks very much. the last word there. you wonder what the end game here is for regulators and jamie dimon and jpmorgan. >> they definitely have him in their sights. >> yes. >> we have blackberry in our sights. shares have been halted for a few minutes pending news. don't know what the news is. we'll wait for that. it's interesting it's on a friday afternoon. this is a stock that put itself up for sale recently. we've been hearing that the bidders that have stepped forward aren't interested in buying the whole thing, just pieces. maybe we'll get clarification on that coming up. right now, the stock down 2.3% in halt mode. meantime, stock market continues lower. dow down 119 points on a very heavy volume day because it is expiration daye day here as well. >> cleveland clinic, one of the leading institutions in health care, cutting jobs to prepare for the health care legislation. up next, find out from ceo toby cosgrove why they feel they need to do that. >> then the dow will never look the same again. s

same with cftc, same with other things, justice department.o actually accomplish. folks will go in tomorrow. if they're furloughed, hand in the blackberries, sent home. who is essential, non-essential. essential workers will stick around and get paid. it does begin to snowball, david. david: tomorrow is october 1st and sometime in mid-october, according to treasury secretary jack lew we will come into the debt discussion. we're having a discussion about spending and whether we can spend. we will soon have a discussion about we can issue more debt in order to pay for our expenses. these two crises may overlap each other, right? >> they might. when you look into this and look at what markets are looking at, some of the analysis, what does this mean, debt ceiling fight, government shut down fight, what does it mean for the debt ceiling fight. investors look to that for the real fight. >> thank you, rich. liz: 8:00 p.m. eastern, neil cavuto will continue coverage live. melissa: president obama is set to make a statement on the impending government

staff at the cftc have recommended the agency launchity own enforcement action over the issue, informingof that decision on monday through what's called a wells notice. other federal agencies are investigating civil and criminal matter related to this case as well. but that's just for the whale. the outside credit derivatives trade the bank buildup. the bank is also under investigation for hiring practices in china, mortgage-backed securities fraud and potential in electricity trading. another issue concerning proper consumer collection practices. all told the bank said its legal liabilities could go up to $6.8 billion beyond what it's already earmarked to pay for this stuff. it's been putting aside more each quarter to pay for it, ty, but this is just a boatload of mope. >> they talk about these settlements being a plaque eye for jpmorgan, but you koind of wouldn't know it. it's the biggest bank still. what's giving it a bos? >> well, it's the biggest investment bank still. and where is it getting that business from? ity balance sheet. it is the single biggest jupd writer of bonds and l

the republicans in the house have refused adequately to fund the cftc.ll these comments, the conservative court in d.c. makes them do a thorough analysis and they don't have enough money to do it. the biggest single reason is the inadequate funding for the cftc. >> and you're not blaming the banks for pushing back? >> you do to a large extent, but i'm more optimistic than others are. jack lew has indicated by the end of next year the big one left is the volcker rule. but barney's right, i regret we didn't have the funding, there are members not about to give up their authority over that. but that's -- and the other thing i wish we could've done, i proposed it in the fall of '09 and that is to consolidate under a single predential regulator. >> people talk about you've got to take the little bank. the smaller banks politically would've killed any effort to put them into the same regulator within national banks. that was a political fact of life. >> there have been arguments made that your bill at some level has slowed the economy, slowed the banks down, d

if i'm the white house, will tell you why. 90% of the furlough, 99% of the cftc furloughed, imagine wesequestration we realize we are surviving without 95%. we talk about cutting government, we know where to start. this is the template for this. david: they tell us the sec is going to be open. of all bureaucracies. tracy: we have to move on because we're talking about the president. obamacare. the government could shut down but obamacare could be open for business. online health care exchanges are on track to launch tomorrow. millions will have access to health care, but the rest of the country actually know how obamacare is going to affect them? dennis, you first. dennis: nobody has any idea, but we are beginning to lose the illusion it will not change at all. more change than people realize. liz: i think we will know in a year how the landscape looks. they are not one of the exchanges right now, taking a wait and see. we know there will be not that much great state managed competition. dennis: there are lot of freelances were kind of concerned because they're working less than 30 hou

we gave the cftc new authority to do everything. frankly, again, it is a partisan difference.hen the republicans took over the house in 2010, they decided that the budget was significantly underfunded. they had the money to run this whole industry. but the problem is what they tell me if we begin to get tough on these people, they will mitigate. and this led me beyond what we had. and a couple of those cases can i exhaust us. one of the things i hope we could have done is to get for example the fiscal autonomy that the bank regulators have come and we could have gotten it done publicly. >> there is a woman in the front here. the woman in the front in the second row. go ahead. >> my name is peter ackerman. since in 1980, 70% of all of the mortgages were held and 64.5% of the american people own their own home. today, 90% are held gse and 65% of all americans own their homes. my question is to the two of you, what are we trying to end? in the interim there have been a long crisis and in what happened in 2008. what are we trying to accomplish in the housing policy? >> that is the

cftc is not their regulator.e fed, this is deal is crafted with their number one regulator, the fed could theoretically pull the plug on these guys, break them up, how do you fight that type of regulator? >> you're exactly correct, the federal reserve does have the ability to break up jpmorgan. the fed can throw a cease and desist order at them which will change the way they run their business but they can take the things to court. there is no reason to just sit there and say look, you want a billion dollars from us over victimless crime. >> that is the "london whale." >> yeah. you want 11 billion more for some mortgage activity? we'll give it to you. you want another who knows what for whatever new york state wants, whatever california wants, whatever these eight, you know, i'll give it to you. you just can't have stockholder money ladled out by the board of directors without -- >> you're saying strategically jpmorgan is making a mistake and jamie dimon, i talk to people inside that place, they really believe, t

investigations by the cftc and new york attorney general's office continue and could result in additionaln shares in europe, just down about 0.6%. ross. >> seema, thanks for that. >>> a recap of the headlines, the countdown is on. the fed expected to announce a gradual wind down of stimulus tomorrow. >>> search for motives in the shooting of washington's navy yard that left 13 people dead. >>> philips hikes its profit targets warns of ongoing global head winds in an exclusive cnbc interview. >>> wrerl, we toll you about a new report suggesting that smartphones, tablets and keyboards are riddled with more germs than toilet seats. a big part of the problem occurs when people fail to clean device properly or even worse, when they take gadgets into the bathroom. we're saying, is that a step too far? should anti-bacteria wipes be on every desk? to you trust your keyboard? that's why i keep my devices next to the uv ionic air sanitizer when i sleep. very sensible advice. right. keep your thoughts coming in with investors. meanwhile, in a hold onning pattern ahead of the fed decision tomorrow, w

the bank is still wrestling over the trades that cftc is probing whether jpmorgan's london traders manipulatedederal prosecutors and fdi are gathering evidence that could result in criminal charges against the company. a grand jury indicted two former traders this week for their alleged roles in hiding the losses. checking shares of jpmorgan in europe, i think they're up just fractionally. ross, back over to you. >> seema, good stuff. thanks for that. have a good day there. we're going to talk about the fed still to come. meanwhile, their decision means that they have an opportunity in india to step up economic growth to 6.5% by march 2014 is. to say the u.s. fed position to hold firm on stimulus has potential to add around 50 basis points of growth in the near term. the rupee has risen sharply against the dollar against in the 24 hours, as well. the emerging markets are up strongly. so still to come, the fed's decision not to taper its bond buying program has sparked a debate. is the central bank right or wrong in delaying the inevitable? see you in a few moments. [ male announcer ] this stor

only within the justice d., but the other entities within the government, fhfa, also looking sec, cftc also looking. so if they can clear this in one scoop, that would phenomenal for jpmorgan chase. i think jamie dimon coming down here himself to talk with eric holder is a big step. we don't know how much ground they might have covered there or if they did reach any differences, but it's a step. it's a big step. adam: rich edson and elizabeth macdonald, thank you very much. coming up, exclusive details from charlie gasparino on all of this. charlie is on the road right now, but we're going to keep with this story. >>king news today, the u.s. treasury says it will begin a third round of sales for its general motors commons stock, one step closer to its march 2014 deadline. as of september, u.s. taxpayers still own 7.3% of the company. shares of gm are taking some losses on that news. also blackberry is out at brick and mortar t-mobile stores. t-mobile will continue to sell blackberry devices online but will not stock them, this as blackberry officially puts itself up for sale. verizon a

>> the cftc was created for the farmers when commodities is what you dealt with. then commodities get financial eyes. if you try to merge the two -- get financialized. if you try to merge the two, the financial community rebels. the reason we did not merge them was political. >> it is friday, and the major bank is having liquidity problems and it is not -- it is thought that it will not survive the weekend. what happens now as opposed to what happened then, which was regulators gathering over the weekend, on the phone to regulators in london, begging other banks to take them out, the other banks refusing and saying what happens when they come for me? >> last time, two things happen that were very important. first is, the initial responses were very much institutional. lehman brothers has a problem. there stearns has a problem. aig. correctly, the response was to pump liquidity into the system. really, the whole goal was to get liquidity to anybody who needs it with reasonable collateral. we are in 2013. it is friday. the fed is seeing that, not as an institutional

the cftc was created for the farmers when commodities is what you dealt with.en commodities get financial eyes. if you try to merge the two -- get financialized. if you try to merge the two, the community rebels. the reason we did not merge them was political. is friday, and the major bank is having liquidity -- it isand it is not thought that it will not survive the weekend. what happens now as opposed to what happened then, which was regulators gathering over the weekend, on the phone to , beggings in london other banks to take them out, the other banks refusing and saying what happens when they come for me? >> last time, two things happen that were very important. responsesthe initial were very much institutional. lehman brothers has a problem. there stearns has a problem. aig. was toly, the response pump liquidity into the system. was to the whole goal get liquidity to anybody who needs it with reasonable collateral. in 2013. it is friday. , not asis seeing that an institutional problem, but as problem,ased financial the fed needs to be there quickly as opp

i want to do that at the cftc. i am not an expert, but i do support the general approach to we modernize our record-keeping laws to the 21st century and training is critical and i directed our general counsel with the current staff. thirdly with technology. we will need to spend money on us. i think that it is a really good thing because it means that it captures everything, even this can't be deleted. >> thank you. >> i would echo the idea of clarity as much as possible in a very complex situation. i think the committee for trying to give more clarity because i think we are trying to follow the law as best as we can. using the best judgment that we have. i would also urge that if there are a set of rules and policies by looking at the official records and trying to guess whether or not somebody was compliant, it is quite difficult. those records are our public and available. i would just like to ask that there be fairness in judgment as well. that there be a set of requirements and people who understand and be tra