U.S. authorities are set to issue a multi-million-dollar fine against three banks for the manipulation of the futures market. UBS is one of the banks.
CFTC, the U.S. derivatives regulator, will announce the fines against UBS, Deutsche Bank and HSBC, «Reuters» reported, citing three people with direct knowledge of the matter. The fines are a result of an investigation by the regulator together with the FBI and Department of Justice.
CFTC alleges that the banks manipulated the pricing of the U.S. futures market through so-called «spoofing», whereby a market participant is placing bids to buy a futures contract with the intent to stop it before its execution, «Reuters» said.
The banks face fines in the region of $10 millions, with HSBC slightly less than UBS and Deutsche Bank. Neither of the banks commented in the story «Reuters» ran.
