Will CFTC's new powers lead to more market manipulation cases?

US regulators have gained new powers to battle energy market manipulation, and the White House is pushing them to act more aggressively. Should traders be worried? Alexander Osipovich reports

US regulation of market manipulation

America’s top cop for energy derivatives, the US Commodity Futures Trading Commission, has a spotty track record of catching market manipulators. In its nearly four-decade history, the CFTC has successfully prosecuted only one manipulation case; many more have ended in settlements, with no admission of wrongdoing and financial penalties rarely larger than $20 million.

Perhaps that is all well and just. Traders argue that truly manipulative schemes – such as the Hunt brothers’ infamous plot to

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