Industry officials warned Friday that derivatives trading activity will shift to foreign markets if the Commodity Futures Trading Commission regulates the multibillion-dollar swaps market.

"Chase will be forced to move this business to another location, probably London, where we don't have the specter of legal jeopardy that has been raised by the CFTC," Dennis Oakley, managing director of Chase Manhattan Bank, told the House Banking Committee.

Subscribe Now

Access to authoritative analysis and perspective and our data-driven report series.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.