Futures brokers and commodities traders looking to place a bet on the success or failure of specific movies will have to wait another week to find out the fate of the proposed box office futures contracts, according to the LA Times and other news sources.
The Commodity Trading Futures Commission (CTFC) has been considering a proposal by Media Derivatives, Inc. to create a market in box office futures, allowing brokers and traders to bet on the box office revenues of Hollywood releases.
The implementation of such a market is opposed by the Motion Picture Association of America (MPAA), who have lobbied in the Capitol, unsuccessfully so far, for Congress to limit or eliminate such a market.
The MPAA was dealt a serious setback two months ago, when the CTFC said that Media Derivatives had the right to create a box-offices futures market. At the time, regulators did not give the company the right to write specific box office futures contracts, which they were expected to rule on this week.
News sources report that it was Media Derivatives which requested and was granted the extension of the review period by one week.
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