Commodity Exchange Act

The Commodity Exchange Act (CEA) is a U.S. law that regulates the trading of commodity futures and options to promote fair practices in the markets. Established in 1936, it aims to protect investors from fraud and manipulation, ensuring that trading is conducted openly and transparently. The Act establishes the Commodity Futures Trading Commission (CFTC), which oversees the markets, sets rules, and enforces compliance. Overall, the CEA helps maintain the integrity of commodity trading, reducing risks and fostering confidence among traders and investors.