CurrencyGate? Global Banks Put Currency Dealers on Leave

CurrencyGate? Global Banks Put Currency Dealers on Leave (Bloomberg)

As if JPMorgan Chase & Co. investors didn’t have enough to worry about with the $13-plus billion settlement with the U.S. Justice Department looming over the company. Now, JPMorgan Chase and Citigroup Inc. have put a number of their currency dealers on leave ahead of a new regulatory investigation into foreign exchange-rate manipulation. Specifically, regulators are looking into three individuals’ use of an instant messaging service over the last three years to communicate exchange-rate information. While no wrongdoing has been found at present, the regulators are looking into whether these people were trying to manipulate exchange rates in this $5.3 trillion-a-day business. Should they find evidence of malfeasance, shares of these banking giants could be punished.

Wayne Ellis

Wayne Ellis has been involved in the financial publishing industry for more than 15 years. During that time, he has helped to edit, to market and to launch products and services for Ernst & Young, LLC, Fidelity Investments, Agora, LLC, and Eagle Financial Publications. He currently puts his broad-based experience and industry expertise to use as a contributing writer for Eagle Financial Publications. He also is a graduate of Arizona State University.