investmentresearchdynamics.com / By David Kranzler /
One former precious metals manager at a big investment bank says there has long been an understanding among market participants that sellers and buyers of digitals [exotic options derivative contracts] would try to protect their positions if the benchmark price and barrier were close together near expiry.
That quote is from the Financial Times: Trading To Influence Gold Fix Price Was “Routine”
As most of you know by now, Barclays was fined a meagre $43 million for the “misconduct” of one options trader by England’s Financial Conduct Authority, the equivalent of FINRA in the U.S. The lack of a far deeper investigation into Barclay’s gold price manipulation activities – and that of the other LBMA Gold Fix member banks – is an outrage. The decision and the process to reach the decision is a complete farce.
My co-producer and I did a quick video analysis of this FCA’s decision and why it’s the equivalent of having a full file of evidence on a serial murderer and only convicting him for jay-walking. You can see the short video here: The LBMA: Fake Justice For Real Criminals