Fed investigating bank conduct in forex markets
The U.S. Federal Reserve is investigating possible improper conduct in foreign exchange markets by large banking institutions, a spokesman said on Wednesday.
“The Federal Reserve is continuing to investigate in the foreign exchange markets in coordination with other authorities, including the Department of Justice,” the spokesman said in a statement.
The Fed also is working closely with authorities overseas, according to the statement.
The announcement was made as global regulators fined five major banks, including UBS (UBSN.VX), HSBC (HSBA.L) and Citigroup (C.N), $3.4 billion for failing to stop their traders from trying to manipulate the foreign exchange market.