Goldman Sachs has said it’s under investigation by regulators probing the potential manipulation of foreign-exchange rates.
Bloomberg News reports that currencies and commodities were added to a list of financial products and related activities that are subject to investigation, according to a regulatory filing. The filing also added options trading and technology systems and controls to the list.
Investigators are looking at the firm’s 'trading activities and communications in connection with the establishment of benchmark rates', Goldman Sachs said in the filing.
In the meantime, Bloomberg also reports that Goldman, which had the steepest drop in trading revenue among Wall Street’s largest banks, posted losses from that business on 15 days during the third quarter, up from two a year earlier.
Traders made more than $100m on four days in the three months ended Sept. 30, down from seven days in the year-earlier period, the firm also said in a regulatory filing. None of the losses were more than $50m and none topped the bank’s so-called value-at-risk, an estimate of potential trading losses.