(HedgeCo.Net) The Commodity Futures Trading Commission has issued an order simultaneously filing and settling charges against Mirae Asset Daewoo Co., Ltd. for spoofing in the Chicago Mercantile Exchange (CME) E-mini S&P 500 futures market. The order finds that Daewoo Securities Co. Ltd.\u2014a company Mirae acquired following the spoofing conduct at issue\u2014engaged in the spoofing through a trader located in Daewoo\u2019s Seoul office. The order requires Mirae to pay a $700,000 civil monetary penalty and to cease and desist from violating the Commodity Exchange Act\u2019s prohibition on spoofing. <\/p>\n
\u201cThis enforcement action demonstrates, once again, that the Commission will hold overseas entities that spoof in our markets accountable,\u201d said CFTC Director of Enforcement James McDonald.<\/p>\n
The order finds that from December 2014 to April 2016, the Daewoo Securities trader placed numerous orders for the E-mini contract with the intent to cancel those orders before execution. One strategy the trader employed involved three steps. First, the trader entered one or more disproportionally large orders\u2014which he intended to cancel\u2014on one side of the market (the spoof orders). The trader placed the spoof orders with the intention of giving a misleading impression of market depth and inducing other market participants to trade opposite the orders. Second, capitalizing on the increased buying or selling interest that the spoof orders created, the trader placed a small order\u2014which he intended to execute\u2014on the opposite side of the market (the genuine order). Third, within seconds of the genuine order being filled, the trader cancelled the spoof order before it was executed.<\/p>\n","protected":false},"excerpt":{"rendered":"
(HedgeCo.Net) The Commodity Futures Trading Commission has issued an order simultaneously filing and settling charges against Mirae Asset Daewoo Co., Ltd. for spoofing in the Chicago Mercantile Exchange (CME) E-mini S&P 500 futures market. The order finds that Daewoo Securities […]<\/p>\n","protected":false},"author":4,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[16,3,16048],"tags":[],"class_list":["post-72532","post","type-post","status-publish","format-standard","hentry","category-hedgeco-networks-press-releases","category-hedgeco-news","category-hedgecovest-news"],"_links":{"self":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts\/72532","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/users\/4"}],"replies":[{"embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/comments?post=72532"}],"version-history":[{"count":2,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts\/72532\/revisions"}],"predecessor-version":[{"id":72534,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts\/72532\/revisions\/72534"}],"wp:attachment":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/media?parent=72532"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/categories?post=72532"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/tags?post=72532"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}