Staff representing the Securities and Exchange Commission’s (SEC) Division of Trading and Markets issued a statement Monday warning broker-dealers and other market participants to “remain vigilant to market and counterparty risks that may surface during periods of heightened volatility and global uncertainties.”
Though the statement does not specifically mention the Ukraine crisis, it comes at a time when Russia’s actions in the region and the subsequent response by the United States and other countries have had significant effects on the U.S. markets. Beyond stock fluctuations prompted by businesses halting operations in Russia in compliance with sanctions or to avoid consumer backlash, commodities like oil and wheat have been susceptible to wild price swings.
