Abstract:
On September 29, 2020, JPMorgan was ordered to pay a settlement of $920.2 million for spoofing the metals and Treasury futures markets from 2008 to 2016. We examine these cases using a visualization method developed in particle physics (CERN) and the messages that the exchange receives about market activity rather than time-based snapshots. This approach allows to examine multiple indicators related to market manipulation and complement existing research methods thereby enhancing the identification, understanding of, and motivation for market manipulation. In the JPMorgan cases, we show an alternative explanation for the motivation for spoofing, other than moving the price.