Not Just Silver – Barclays manipulated California electricity markets
It’s Not Just Silver That’s Manipulated: Barclays and former traders being investigated for manipulating California electricity markets, say US regulators.
The bank evidently bought and sold electricity in volume enough to move exchange price up or down to benefit swap positions held by the bank, according to the Federal Energy Regulatory Commission.
The bank took trade positions in futures markets that were trans-hedging and caused an interplay between physical energy trades and futures markets which benefited the bank.
Barclay’s denies the allegations.