Think we have a free market? Here is a nice list of how much of it is rigged against us

Great Moment In Murdoch Journalism 

 

Currency Markets Are Rigged
[Via The Big Picture]

Big Banks Busted Massively Manipulating Foreign Exchange, Precious Metals … And Every Other Market

Currency markets are massively rigged. And see this and this.

Reuters notes today:

Regulators fined six major banks including Citigroup (C.N) and UBS (UBSN.VX) a total of $4.3 billion for failing to stop traders from trying to manipulate the foreign exchange market, following a year-long global investigation.

HSBC (HSBA.L), Royal Bank of Scotland (RBS.L), JP Morgan (JPM.N) and Bank of America (BAC.N) also face penalties resulting from the inquiry that has put the largely unregulated $5 trillion-a-day market on a tighter leash, accelerated the push to automate trading and ensnared the Bank of England.

In the latest scandal to hit the financial services industry, dealers shared confidential information about client orders and coordinated trades to make money from a foreign exchange benchmark used by asset managers and corporate treasurers to value their holdings. Dozens of traders have been fired or suspended.

***

Britain’s Financial Conduct Authority (FCA) fined five lenders $1.77 billion, the biggest penalty in the history of the City of London, and the U.S. Commodity Futures Trading Commission (CFTC) ordered them to pay a further $1.48 billion.

***

The U.S. Office of the Comptroller of the Currency, which regulates banks, also fined the U.S. lenders $950 million and was the only authority to penalise Bank of America.

[More]

Read the whole thing. Gold and silver markets are rigged. Derivatives are rigged. Interest rates are rigged. Energy prices are rigged. Oil prices are rigged. Commodities are rigged. Stocks, bonds, options, currencies and commodities are rigged.

And it is worse:

The big banks and other giants manipulate numerous markets in myriad ways, for example:

  • Engaging in mafia-style big-rigging fraud against local governments. See thisthis and this
  • Shaving money off of virtually every pension transaction they handled over the course of decades, stealing collectively billions of dollars from pensions worldwide. Details hereherehereherehereherehereherehereherehere and here
  • Pledging the same mortgage multiple times to different buyers. See thisthisthisthis and this. This would be like selling your car, and collecting money from 10 different buyers for the same car
  • Pushing investments which they knew were terrible, and then betting against the same investments to make money for themselves. See thisthisthisthis and this
  • Engaging in unlawful “Wash Trades” to manipulate asset prices. See thisthis and this
  • Bribing and bullying ratings agencies to inflate ratings on their risky investments

Meanwhile, the only people doing well in the US are the financial people. They now make up a larger percentage of the entire US economy than every before:

NewImage

Almost 8% of our entire economy is based on people who manipulate the underlying economy. Isn’t that a very dangerous thing?

Yet, they keep Americans divided on all sorts of trivial stuff, all while they keep doing the manipulation. The Tea Part and OWS were both started to deal with Wall Street.

Neither has been effective. Both were undone by the authoritarians under the control of the plutocrats manipulating the supposedly free markets.

We need to unite Americans to deal with this battle, not allow our difference to divide us.

Becasue we all agree on this – wall Street needs to be dealt with.

2 thoughts on “Think we have a free market? Here is a nice list of how much of it is rigged against us

  1. Let us not forget George Soros and his ilk who made their billions because of currency regs in Europe and the US.

    1. George Soros is not the problem. The Koch Brothers are not the problem. Focussing on them suggests that dealing with them will fix things. It will not. Someone else will just full their place.

      The system is broken. There is not one person or persons responsible who needs to be punished. We need a distributed approach to bring about real change. Like putting Glass-Steagall back. And regulating derivative sales. We did exactly this sort of thing when FDR was President – Americans brought the bankers under control. We had 60 years without a crash. Then less than 10 years after Democrats and Republicans got rid of that regulation, we have another crash. Now wonder why neither party is willing to do it now?

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