Is forex market controlled by someone? - page 38

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nbtrading:
Is there anybody the sincerely believes that forex is not rigged?

see the posts of people talking that forex can not be controlled. Lack of information is a ***** - people don't know what is a daily fix and they want to trade forex. No wonder that they believe that "forex is too big to rig".

 

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It Just Cost Deutsche Bank $25,000 Per Employee To Keep Its Libor Manipulating Bankers Out Of Jail

And so another historic scandal involving the manipulation and rigging of one of the most important global markets, that of Libor which is the reference security for several hundred trillion in derivatives, goes in the history books.

Moments ago the NY Department for Financial Services announced that Deutsche Bank would pay $2.5 billion "in connection with the manipulation of the benchmark interest rates, including the London Interbank Offered Bank ("LIBOR"), the Euro Interbank Offered Rate ("EURIBOR") and Euroyen Tokyo Interbank Offered Rate ("TIBOR") (collectively, "IBOR")."

According to FT calculations, "this is the largest fine to date in the sprawling worldwide Libor investigation" and beneficiaries of DB's criminal generosity include New York State Department of Financial Services (NYDFS) which will get $600 million, $775 million go to the U.S. Department of Justice (DOJ), and 227 million GBP (approximately $340 million) to the United Kingdom’s Financial Conduct Authority (FCA). Best of all $800 million will end up in the bank accounts oi the Commodities Futures Trading Commission (CFTC), the same CFTC which can now afford to upgrade from ticker tape and actually have some sense of the pervasive manipulation taking place in the S&P on a daily basis.

Most importantly for DB's 98,138 employees is that while DB will "terminate and ban individual employees who engaged in misconduct" nobody will go to jail. Again.

In other words it just cost DB's about $25,474 per employee to keep its Libor-manipulating employees (and thus, senior level management because the stench always goes to the very top) out of prison.

Considering it has cost JPMorgan $150,000 per employee to achieve the same result, here again we see that famous German efficiency in action.

read more

 

Why Sarao Is The Flash Crash Patsy: He Threatened To Expose The "Mass Manipulation Of High Frequency Nerds"

There are several notable items in Bloomberg's comprehensive overnight summaryof the epic humiliation America's market regulators are about to undergo, complete with yet another round of theatrical Congressional kangaroo courts, which will lead to a lot of red faces, a wrist slap or two and maybe even the termination of one or two lowly employees and... nothing else.

Because what difference does it make?

At this point only a bottom-up overhaul can "fix" the fragmented, broken market which by definition can only come after the next market crash, one which will promptly be blamed on HFTs (which leaving the central bankers unscathed).

Back to the Bloomberg piece in which we first discover that it wasn't even the CFTCthat, 5 years later, "figured out" the flash crash was one person's fault:

When Washington regulators did a five-month autopsy in 2010 of the plunge that briefly erased almost $1 trillion from U.S. stock prices, they didn’t even consider whether it was caused by individuals manipulating the market with fake orders.

Their analysis was upended Tuesday with the arrest of Navinder Singh Sarao -- a U.K.-based trader accused by U.S. authorities of abusive algorithmic trading dating back to 2009. Even that action was spurred not by regulators’ own analysis but by that of a whistle-blower who studied the crash, according to Shayne Stevenson, a Seattle lawyer representing the person who reported the conduct.

Your tax money not at work.

But fear not: after today's Deutsche Bank $2.5 billion "get out of jail" card, the CFTC will be $800 million richer and can finally even afford to hire a former trader who has some understanding of how the market works.

* * *

Second, the reason why the SEC wrote a 104-page report with "findings explaining the Flash Crash" which it will have no choice but to retract in light of the latest news and developments, is the following:

Spoofing wasn’t even part of the CFTC’s analysis of the crash, said James Moser, a finance professor at American University who was the agency’s acting chief economist in May 2010.The flash-crash review marked the first time that the agency worked through the CME’s massive order book. CFTC officials often needed to call the exchange for help interpreting the data, he said in an interview.

“We didn’t look for any sort of spoofing activity,” said Moser, who added that he doubts that Sarao’s activity was the main cause of the crash. “At that point in 2010, that wasn’t high on the radar, at least in our minds.”

So the CME, which is the exchange that trades the E-mini, "concluded within four days of the 2010 flash crash that algorithmic trading on futures exchanges didn’t exacerbate losses in the market," and a few months later, so did the SEC, which instead pinned the entire crash on Waddell & Reed. And the way it did it was by completely ignoringabout 99% of all posted quotes: the layered and rapidly canceled trades or what we dubbed "quote stuffing" one whole month after the Flash Crash, in June. In fact we even explained it to anyone who cared to listen: "How HFT Quote Stuffing Caused The Market Crash Of May 6, And Threatens To Destroy The Entire Market At Any Moment."

Shockingly, the SEC appeared in front of Congress claiming it has everything under control, when it now admits it never even looked at spoofing.

read more

 

The forex rates are manipulated via central banks and institutional traders coordinating their trades. When you dig into this you will be shocked what is really going on. There isnt one group that dominates the market.

 
theNews:
It Just Cost Deutsche Bank $25,000 Per Employee To Keep Its Libor Manipulating Bankers Out Of Jail

And so another historic scandal involving the manipulation and rigging of one of the most important global markets, that of Libor which is the reference security for several hundred trillion in derivatives, goes in the history books.

Moments ago the NY Department for Financial Services announced that Deutsche Bank would pay $2.5 billion "in connection with the manipulation of the benchmark interest rates, including the London Interbank Offered Bank ("LIBOR"), the Euro Interbank Offered Rate ("EURIBOR") and Euroyen Tokyo Interbank Offered Rate ("TIBOR") (collectively, "IBOR")."

According to FT calculations, "this is the largest fine to date in the sprawling worldwide Libor investigation" and beneficiaries of DB's criminal generosity include New York State Department of Financial Services (NYDFS) which will get $600 million, $775 million go to the U.S. Department of Justice (DOJ), and 227 million GBP (approximately $340 million) to the United Kingdom’s Financial Conduct Authority (FCA). Best of all $800 million will end up in the bank accounts oi the Commodities Futures Trading Commission (CFTC), the same CFTC which can now afford to upgrade from ticker tape and actually have some sense of the pervasive manipulation taking place in the S&P on a daily basis.

Most importantly for DB's 98,138 employees is that while DB will "terminate and ban individual employees who engaged in misconduct" nobody will go to jail. Again.

In other words it just cost DB's about $25,474 per employee to keep its Libor-manipulating employees (and thus, senior level management because the stench always goes to the very top) out of prison.

Considering it has cost JPMorgan $150,000 per employee to achieve the same result, here again we see that famous German efficiency in action.

read more

JPMorgan $150,000 per employee was because they had to give back the free money they got from the FED. Deutche bank did not get that free money, hence they just payed the fine

 

this is a interbank market. nobody can control it. but some person who has high affect to market. as FED chairman or director of ECB... some decision of them which is important but it is a termporary. market will still keep the trend

 

Did you read how they rig the forex market at all?

Please guys, first read it - there is no market that can not be rigged

 

Goldman Sachs expected to settle forex suit for almost $130 mln - WSJ

May 8 Goldman Sachs Group Inc is expected to pay $129.5 million to settle its portion of a lawsuit that accuses banks of rigging prices in the foreign exchange market, The Wall Street Journal reported, citing a person familiar with the matter.

The Journal said in its report that a final agreement may be reached in the next several weeks.

The lawsuit accused traders at a dozen banks of improperly sharing confidential information about their clients' orders through electronic chat rooms, then using that information to make money at the expense of their clients.

In April, Bank of America Corp had agreed to pay $180 million to settle the lawsuit. JPMorgan Chase & Co settled for $99.5 million in January, and Switzerland's UBS AG settled for $135 million in March.

Goldman Sachs was not available for comment outside regular U.S. business hours

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