In an attempt to begin anew regulating markets under the Obama administration, the Commodities Futures Trading Commission considered how to oversee a potential cap-and-trade market for greenhouse gases. \u201cWe want to avoid the antithetical purpose of driving more participants into unregulated markets,\u201d Gary Gensler, CFTC chair, said. In the big picture, commissioners said in hearings on July 28 and 29, that their job is to protect consumers. As far as their ability to do so, however, it apparently comes to limits on over-the-counter trades in the energy market, as well as derivatives. (Derivatives can be any tradeable paper, there is no set description and the contents of derivatives change on a daily, if not hourly, basis, depending on what a buyer and seller are willing to agree upon.) The commission is considering setting \u201cposition limits\u201d on speculative energy trading, according to Gensler. Exchanges, like the Chicago Board of Trade, are the ones that currently limit a trader\u2019s allocation due to accountability levels. (A \u201cposition limit\u201d is the maximum of a short-buy--betting that a commodity will decline--or a long-buy--betting a stock will increase.) Banks, like Goldman Sachs, agreed that federal regulators should limit energy trading through caps, but that those caps should apply to individuals, not the banks\u2019 own positions. The CFTC is accustomed to regulating corn and soybeans, but not greenhouse gases. A cap-and-trade market would expand regulators\u2019 oversight. \u201cWe need strong regulation from the start,\u201d Senator Bernie Sanders (D-VT) told the CFTC. \u201cCompanies will hedge their risks in a cap-and-trade\u201d market, he added. Regulators aren\u2019t expected to make any decisions in the near term, but plan to hold more hearings in the weeks to come on new oversight, including a cap-and-trade market.