Barclays and HSBC are among several major banks set to be investigated by a Swiss regulator over possible collusion of precious metals markets.
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Foreign banks alleged to be involved in the alleged collusion include Deutsche Bank, HSBC, Barclays, Morgan Stanley and MItsui.
The authority suspects possible illegal competition agreements among the banks to coordinate prices, the WSJ report says.
The banks are suspected of affecting the bid/ask spreads in the gold, silver and platinum markets.
ZURICH, Sept 28 The Swiss blue-chip SMI was seen opening 0.7 percent lower at 8,444 points on Monday, according to premarket indications by bank Julius Baer.
Ducrey said the banks had all been informed of the ongoing probe, and that the investigation would likely conclude in 2017.
Past year Swiss financial regulator FINMA said it had found a “clear attempt” to manipulate precious metals price benchmarks during a cross-market investigation into trading at UBS. He didn’t specify a maximum fine, but added that more banks could be investigated.
HSBC declined to comment.
Julius Baer, which was not part of the U.S. investigation, told AFP Monday it was aware of the Swiss probe. The other banks were not immediately available for comment.
Aside from regulatory probes, a number of lawsuits have also been filed in US courts alleging a conspiracy to manipulate precious metals prices.
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A new method for setting the gold benchmark price is expected to take effect in March.
