The G7, the European Union, and their allies have imposed a price cap of $60 per barrel on Russian crude transported by tanker, together with roughly equivalent caps for diesel, fuel oil, and other oil derivatives. But now some market participants are claiming that reported prices are not accurate.
WASHINGTON, DC – In 2012, the Commodity Futures Trading Commission grabbed international attention by investigating the manipulation of LIBOR, Euribor, and other interest-rate benchmarks. By 2015, the CFTC had fined six financial intermediaries a total of $2.7 billion for “similar misconduct relating to foreign exchange benchmarks,” and a whistleblower was awarded $200 million for helping to break open these cases. Now, the CFTC should turn its enforcement efforts to the reporting and potential manipulation of global oil prices.
WASHINGTON, DC – In 2012, the Commodity Futures Trading Commission grabbed international attention by investigating the manipulation of LIBOR, Euribor, and other interest-rate benchmarks. By 2015, the CFTC had fined six financial intermediaries a total of $2.7 billion for “similar misconduct relating to foreign exchange benchmarks,” and a whistleblower was awarded $200 million for helping to break open these cases. Now, the CFTC should turn its enforcement efforts to the reporting and potential manipulation of global oil prices.