WASHINGTON -- Industry leaders are worried that newly proposed regulations-such as the financial reforms being debated by the Senate and the Securities and Exchange Commission's large trader reporting system-would seriously hinder market activity. But officials argue that such changes are necessary to bring markets out of the dark.

"To better oversee the U.S. securities markets, the Commission must be able to readily identify large traders operating in the U.S. securities markets and obtain basic identifying information on each large trader, its accounts and its affiliates," said SEC Chairman Mary Schapiro. "In addition, to support its regulatory and enforcement activities, the Commission should have a mechanism to efficiently track and promptly obtain trading records concerning large traders."

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