British regulators expanded their probe into the manipulation of global currency markets by asking banks to examine foreign-exchange traders’ personal transactions, said a person with knowledge of the matter.
Bloomberg reports that the Financial Conduct Authority is focusing on 'personal account dealing' by traders who may have placed bets for their own benefit based on knowledge of customer currency orders, said the person, who asked not to be identified because the request hasn’t been made public.
Regulators in the U.K., Switzerland, the U.S. and Asia are probing the $5.3tril-a-day foreign-exchange market after Bloomberg News reported possible misconduct in June. Dealers said they had been front-running client orders and trying to rig the benchmark WM/Reuters rates by colluding with counterparts and pushing through trades before and during the 60-second windows when the figures are set, Bloomberg reported.
Britain’s markets regulator asked traders to come in for interviews in recent weeks, two people with knowledge of the inquiry said last week.
To access the complete Bloomberg article hit the link below:
image: © Tax Credits