By: Mike Hammer
The CFTC announced via press release that 6 current and former traders from 3 major banks will be charged with spoofing gold sales in futures markets.
Every month, we see op-eds wondering if manipulation is happening, usually with circumstantial evidence that it could be. Further supporting manipulation claims – and sometimes to the surprise of people who don’t keep up with the news – this is not the first time such charges have been brought. Especially against HSBC.
Our favorite sentence in today’s featured article is the last: “For those keeping count, this is roughly the 4th time HSBC has been found guilty of manipulating markets after the bank nearly lost its charter and swore it would never manipulate markets again.”
You can read all about the charges and the fines here, and comment below on whether you think the penalties are appropriate.