Two of the largest banks in the world and the biggest commodities trader have been found to be innocent of claims that they fixed zinc prices.
JP MORGAN Mining News
The two-year investigation concluded that Goldman Sachs, Morgan Stanley and JP Morgan have been manipulating commodity prices.
These are the first cases to come out of a global probe into allegations of widespread rate-rigging in foreign exchange markets.
The bank, which is the world’s largest private lender, is also expected to announce an agreement regarding alleged collusion and manipulation in the foreign exchange market.
The U.S. largest bank still plans to perform"traditional” activities in commodities such as financing, hedging, trading warrants on the London Metal Exchange and the vaulting of precious metals.
Tough regulations and worries about reputation have made trading commodities a source of worries for bank bosses.
The English bank is planning to sell large parts of its metals, agricultural and energy business.
The probe was opened following a settlement with regulators that alleged JPMorgan manipulated power markets in the Midwest and California.
Investors failed to demonstrate the bank violated federal antitrust and commodities laws by having distorted silver prices.
Deal places European trader among world’s top commodity titans.
Swiss Mercuria, founded in 2004, has become the front-runner to buy the physical commodities unit of JPMorgan.
The bank is willing to sell the business to one customer or break it down into various divisions.
Morgan Stanley and Goldman Sachs likely to be the next ones.
While the mining industry was struggling with the impacts of the economic meltdown, one Canadian company, Nautilus Minerals, announced at the end of 2008 that it was ready to start mining the deep ocean floor. All Nautilus had to […]