Even the most ardent supporters of the vibrant derivatives industry were silenced last week when a former Republican senator and UBS vice-chairman spoke out in defence of their markets.

Speaking at the International Swaps and Derivatives _annual meeting in Chicago, Phil Gramm was almost embarrassingly evangelical about the controversial instruments. After having given them credit for stabilising world markets, improving risk management, preventing a deeper recession and propelling the recovery, Gramm went on to tell a disbelieving audience of some of the world's most highly paid bankers and their lawyers that they "were doing God's work". On Gramm's departure, a call was made from a sceptical press corps for Bob Pickel, Isda chief executive, to be renamed the Reverend Pickel.