James Moore: Forex trading? Prepare to step up to the plate ...


Click to follow
The Independent Online

One area where UK regulators have stepped up to the plate is in the pursuit of banks involved in the rigging of foreign exchange markets. Some US regulators have also taken a swing of the bat.

But the US Department of Justice, when it comes to batting against banks, has  been making Babe Ruth look like Pee Wee Herman. The DoJ is now not only looking into Forex trading, it’s started nosing around so-called “structured products” and whether banks failed to disclose the profit they were making from currency trades used to generate the products’ return.

Sound technical? It isn’t really. What this all means is that when the DoJ is finally ready to take it’s turn at the plate, it plans to hit the banks out of the park. Or knock them for six, if cricket is your preference.