We should get much more information about the Senate’s view on OTC derivative reform on Friday when the first amendment to the bill is expected.  In the meantime:

While most derivative pros did not expect the broader definition in Dodd’s revised bill, they believe the Reed-Gregg amendment will focus heavily on exemptions. “The way it feels to me is…the true end-user firms, the non-financial corporate firms, airlines, construction companies, etc…believe they will mostly in the end be exempt,” said Kevin McPartland, a senior analyst at TABB Group. “There are too many downsides [to forcing clearing on them]. I do think they will put language that will include a lot of the major hedge fund and buyside firms that are heavy into derivatives.”

Full article at DerivativesWeek.com (subscription)