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Meet The (First) Seven Banks Who Rigged The FX Market
Several years ago, anyone who suggested there was a massive Libor manipulation conspiracy was branded as, what else, a tin-foil fringe lunatic: after all "how can so many people possibly collude in complete secrecy?" And then it was revealed that for years, there was a massive Libor manipulation conspiracy.
Now, even though it has been extensively leaked in advance, we are about to get the next market rigging "conspiracy theory" become fact, after countless traders working for major banks and conspiring in secret chatrooms such as "The Cartel" and the "Bandits" are about to cost their employers billions in settlement charges as regulators after regulator and country after country charges the world's biggest, and most criminal banks, with billions for manipulating their currency for years.
As the WSJ reports, "Regulators in the U.S. and U.K. are nearing a deal with as many as seven large banks to resolve allegations of misconduct in the currencies market, with a settlement likely in the next two weeks, according to people familiar with the negotiations.
Regulators including the U.K.’s Financial Conduct Authority and the U.S.’s Office of the Comptroller of the Currency are planning to impose a total of well over £1 billion ($1.58 billion) in penalties against the banks as part of a roughly 18-month investigation into potential manipulation of the foreign-exchange market, one person said.
The goal is to announce a settlement by the middle of next week, but the timing could slip into the following week, the person said. The list of banks could change, the person added."
In other words, expect even more billions in "one-time, non-recurring" legal charges such as the following chart of Bank of America's "one-time, non-recurring" legal charges demonstrates.
So which banks were on the other side of your money-losing FX trades over the past decade. The answer:
- Barclays PLC
- HSBC Holdings PLC
- Royal Bank of Scotland Group PLC
- UBS AG
- Citigroup
- J.P. Morgan Chase
- Bank of America Corp. Bank of America
i.e., the world's Too Big To Prosecute institutions: the banks that the US Department of "Justice" would not pursue due to fears of systemic impact.
And, of course, since the banks are in control of the very regulators and enforcers who are supposed to police them (see Taibbi's latest for further proof), this happened: While the initial focus of the investigation was on the potential manipulation of a specific foreign-exchange benchmark, the coming settlements are likely to involve banks admitting misconduct in a narrower area, according to the people familiar with the settlement talks.
Some numbers:
The U.K.’s portion of the foreign-exchange penalties is expected to be between £200 million to £300 million per bank, for a total of roughly £1.2 billion, one person said. That would represent by far the FCA’s biggest-ever haul in any investigation.
It also means that since legal settlements are the highest IRRing investment for the banking cartel, the profits over time from rigging FX have been between 10 and 50 times higher.
The best news, however, is that not a single banker will go to prison that millions of FX traders will soon be due their pro rata portion of the settlement: it should amount to a little over a dollar.
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The fed
Those are all the Illuminati banks, right?
Correct. That's why I only deal with Sperm Banks and Blood Banks. I get good prices there.
On the culprits...
this is my surprised face. Notice how it looks a lot like my angry face. And my resigned face.
Seriously, who didn't know who the culprits were?
<Crickets>
It was a complete surprise to the sheep in the herd....
How did the Squid get its name removed from the list?
the ONE BANK
Where "rigged" = "made moar better for the retail offshore forwards mobile phone day trader."
Securitze Litigation Fees amongst the banks. AAA. Surely a winner.
Too Big To Fail, Too Big To Jail. Al Capone would be jealous of the swindle banks and .gov have going, Charles Ponzi apoplectic.
92 Million unemployed but unemployment supposedly at 5.8% = lies, legerdemain, & skullduggery.
Where the hell is GS & the Fed? : Too Big To Mention
Capones mistake was he didn't own a bank...
And the top TARP recipients.....?
Thousands with record bonuses paid for by you, Mr. Unincorporated sucker.
That is why world is quitting the system.
They know they will be screwed.
fuk, morgan stanley left out !!
Weird. They're all connected to the Rothschilds and their cohorts. Must be a coincidence.
Notice how the squid stays a step back? Also their derviative exposure is low relative to the biggies like JPM and Douchebank.
I wonder if the 7-11's in Greenwich have Bollinger in the big gulp machines.
The lesson here: You make money for the big banks, they support and protect you when the law comes knocking about your illegal dealings. If you lose money for the big banks, they say you went rogue and provide you a free ride to the prison.
Or a one-way non-stop ride from the top of a skyscraper
Pompeii Type of Event Coming
Meet The (First) Seven Hookers Who worked The FX Market for their Pimp The FED...
G-S just keeping the competition in line. Because Blankfein invented the FX market. just ask him.
But for the good old reliable Nathan, oh it's only just a short walk,
To the oldest established permanent floating crap game in New Yawk.
There are well-heeled shooters everywhere, everywhere,
There are well-heeled shooters everywhere,
And awful lot of lettuce for the fella who can get us to play.
If we only had a lousy little crap, we could be a millionaire.
Oh the good old reliable Nathan, Nathan, Nathan, Nathan Detroit,
If the size of your bundle you want to increase,
I'll arrange that you go broke in quiet and peace,
In a hideout provided by Nathan, where there are no neighbors to squawk,
It's the oldest established permanent floating crap game in New Yawk.
Where's the action? Where's the game?
Gotta have the game or we'll die from shame.
Banks should not be involved in the FX market.
DEATH PENALTY!
The lack of investigations into GS, I'm starting to think GS is the 'whistleblower' on the other banks and is getting a pass for cooperating.
BANKS did not rig FX. People rigged FX, so why is this not an FBI Rico investigation?
Let an unemployed single mother get popped stealing a bag of groceries and see what happens to her.
Federal investigation - now THAT is funny!
Justice monetized.
"Seven Banks Who Rigged The FX Market "
AKA The Bailout Bunch.
Rigged the fx market? They are the fx market.
I feel placated. Thank you.
I'll stop buying pm's now.
Paging Bruce Krasting... Bruce Krasting to the men's room.
Your turd is polished.
No one will give a shit about this small obscure $2 trillion a day market being rigged until Michael Lewis writes a book about it and goes on the Daily Show. And even then, they will only care for about 10 minutes
Goldman has lodged a formal complaint with the Fed as to not being included in that scam.
JPM isiinvolved in this illegality? Tell me why I'm not suprised?