On May 6, 2010, the Dow suddenly dropped 600 points and then just as quickly recovered, and high-frequency trading became a new economic bogeyman. But then, without its dangers being addressed, HFT slipped back into the shadows. Now, an upcoming report from the Commodity Futures Trading Commission may finally change all that.
A manipulative scheme that made unlawful profits on the price of crude oil was flagged in a complaint Tuesday by the Commodity Futures Trading Commission, a sign that the regulator is cracking down on potential speculation in energy markets.
We know some of the reasons oil currently costs over $100 a barrel -- growing Asian markets and Mideast turmoil. But a significant premium in the price of oil stems from speculation, which has recently skyrocketed as traders and fund managers seek out commodity and global growth plays.
As the crisis in Libya continues to shake world oil markets, many voices are calling for President Obama to tap into the Strategic Petroleum Reserve. With gasoline prices up 33 cents a gallon in the last month, that's a tempting idea. It's also the wrong one.
The May 6 "flash crash" is still somewhat of an enigma, but an advisory panel meeting on Friday to review a report into it could at least help regulators establish some new market rules to prevent similar crashes from occurring in the future, Reuters reports.
Shares of silver are up 40% this year, compared to just over 20% for gold. But a statement from the Commodity Futures Trading Commission on Tuesday could rattle prices and investors considering adding silver to their portfolios.
The Swiss franc has been a top currency over the past six months, outpacing the dollar by 8.9% and the euro by 7.8%, thanks to shaky conditions in Europe. But some signs suggest the Swiss currency is due for a correction.
If you can predict which movies will be hits at the box office, you may soon be able to profit from it. Federal regulators have approved a controversial, new electronic exchange where investors can bet on the success or failure of upcoming Hollywood releases.
