Germany’s financial watchdog has ordered Deutsche Bank to do more to ensure that commodity prices cannot be manipulated by its traders, in the latest sign that authorities believe some of the world’s largest markets are open to abuse.
Deutsche received a letter from BaFin in April following a probe by the German regulator that found there were faults in controls surrounding the reporting of commodity prices, say people familiar with the probe.
BaFin’s move comes as regulators scrutinise a string of financial reference rates, including the gold price, after global probes into Libor and foreign exchange rates found evidence of attempted market rigging by a large number of institutions.