HSBC’s former top trader and Head of Global FX Cash Trading Mark Johnson is reaching the end of a three-week trial in New York. Both prosecutors and his defense team are preparing closing remarks today with the global currency market eagerly awaiting an outcome.
Register now to the London Summit 2017, Europe’s largest gathering of top-tier retail brokers and institutional FX investors
The past three weeks have seen Johnson under siege for his damning statements surrounding a $3.5 billion Cairn Energy transaction. Johnson, a UK national, was originally apprehended at JFK airport last month. Prosecutors have been pinpointing a variety of circumstances and actions surrounding Johnson’s lead role in the trade, which saw the bank net nearly $8.0 million in illegal profits.
The prosecution, including Brian Young, a justice department attorney, told jurors: “Trust your gut, trust your judgement, and trust your ability to know a scam when you see one.” The prosecution is highly confident of a conviction following mounting evidence against Johnson, per an FT report.
‘Hand in the cookie jar’
From the beginning of the trial, Johnson has faced an uphill battle after multiple testimonials were brought to light as evidence. Recorded conversations picked up code words to his fellow traders, including the phrase "my watch is off", which ultimately triggered frenetic buying action from the traders.
Moroever, US prosecutors obtained a statement regarding the Cairn trade – that was like “f***ing Christmas”. Prosecutors also claimed that he discussed how high the currency prices could go with other traders before Cairn would later “squeal”.
Case shaping up as future litmus test
More important than the fate of Johnson is the precedent that could be set across the foreign Exchange
Exchange
An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectively relevant with real-time pricing.Depending upon where you reside, an exchange may be referred to as a bourse or a share exchange while, as a whole, exchanges are present within the majority of countries. Who is Listed on an Exchange?As trading continues to transition more to electronic exchanges, transactions become more dispersed through varying exchanges. This in turn has caused a surge in the implementation of trading algorithms and high-frequency trading applications. In order for a company to be listed on a stock exchange for example, a company must divulge information such as minimum capital requirements, audited earnings reports, and financial reports.Not all exchanges are created equally, with some outperforming other exchanges significantly. The most high-profile exchanges to date include the New York Stock Exchange (NYSE), the Tokyo Stock Exchange (TSE), the London Stock Exchange (LSE), and the Nasdaq. Outside of trading, a stock exchange may be used by companies aiming to raise capital, this is most commonly seen in the form of initial public offerings (IPOs).Exchanges can now handle other asset classes, given the rise of cryptocurrencies as a more popularized form of trading.
An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectively relevant with real-time pricing.Depending upon where you reside, an exchange may be referred to as a bourse or a share exchange while, as a whole, exchanges are present within the majority of countries. Who is Listed on an Exchange?As trading continues to transition more to electronic exchanges, transactions become more dispersed through varying exchanges. This in turn has caused a surge in the implementation of trading algorithms and high-frequency trading applications. In order for a company to be listed on a stock exchange for example, a company must divulge information such as minimum capital requirements, audited earnings reports, and financial reports.Not all exchanges are created equally, with some outperforming other exchanges significantly. The most high-profile exchanges to date include the New York Stock Exchange (NYSE), the Tokyo Stock Exchange (TSE), the London Stock Exchange (LSE), and the Nasdaq. Outside of trading, a stock exchange may be used by companies aiming to raise capital, this is most commonly seen in the form of initial public offerings (IPOs).Exchanges can now handle other asset classes, given the rise of cryptocurrencies as a more popularized form of trading.
Read this Term industry should a conviction be made. His case may serve as a barometer for future currency manipulation scandals, many of which are still ongoing. Finance Magnates will continue to update the story as it develops, with a verdict from the jury possible this week.
HSBC’s former top trader and Head of Global FX Cash Trading Mark Johnson is reaching the end of a three-week trial in New York. Both prosecutors and his defense team are preparing closing remarks today with the global currency market eagerly awaiting an outcome.
Register now to the London Summit 2017, Europe’s largest gathering of top-tier retail brokers and institutional FX investors
The past three weeks have seen Johnson under siege for his damning statements surrounding a $3.5 billion Cairn Energy transaction. Johnson, a UK national, was originally apprehended at JFK airport last month. Prosecutors have been pinpointing a variety of circumstances and actions surrounding Johnson’s lead role in the trade, which saw the bank net nearly $8.0 million in illegal profits.
The prosecution, including Brian Young, a justice department attorney, told jurors: “Trust your gut, trust your judgement, and trust your ability to know a scam when you see one.” The prosecution is highly confident of a conviction following mounting evidence against Johnson, per an FT report.
‘Hand in the cookie jar’
From the beginning of the trial, Johnson has faced an uphill battle after multiple testimonials were brought to light as evidence. Recorded conversations picked up code words to his fellow traders, including the phrase "my watch is off", which ultimately triggered frenetic buying action from the traders.
Moroever, US prosecutors obtained a statement regarding the Cairn trade – that was like “f***ing Christmas”. Prosecutors also claimed that he discussed how high the currency prices could go with other traders before Cairn would later “squeal”.
Case shaping up as future litmus test
More important than the fate of Johnson is the precedent that could be set across the foreign Exchange
Exchange
An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectively relevant with real-time pricing.Depending upon where you reside, an exchange may be referred to as a bourse or a share exchange while, as a whole, exchanges are present within the majority of countries. Who is Listed on an Exchange?As trading continues to transition more to electronic exchanges, transactions become more dispersed through varying exchanges. This in turn has caused a surge in the implementation of trading algorithms and high-frequency trading applications. In order for a company to be listed on a stock exchange for example, a company must divulge information such as minimum capital requirements, audited earnings reports, and financial reports.Not all exchanges are created equally, with some outperforming other exchanges significantly. The most high-profile exchanges to date include the New York Stock Exchange (NYSE), the Tokyo Stock Exchange (TSE), the London Stock Exchange (LSE), and the Nasdaq. Outside of trading, a stock exchange may be used by companies aiming to raise capital, this is most commonly seen in the form of initial public offerings (IPOs).Exchanges can now handle other asset classes, given the rise of cryptocurrencies as a more popularized form of trading.
An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectively relevant with real-time pricing.Depending upon where you reside, an exchange may be referred to as a bourse or a share exchange while, as a whole, exchanges are present within the majority of countries. Who is Listed on an Exchange?As trading continues to transition more to electronic exchanges, transactions become more dispersed through varying exchanges. This in turn has caused a surge in the implementation of trading algorithms and high-frequency trading applications. In order for a company to be listed on a stock exchange for example, a company must divulge information such as minimum capital requirements, audited earnings reports, and financial reports.Not all exchanges are created equally, with some outperforming other exchanges significantly. The most high-profile exchanges to date include the New York Stock Exchange (NYSE), the Tokyo Stock Exchange (TSE), the London Stock Exchange (LSE), and the Nasdaq. Outside of trading, a stock exchange may be used by companies aiming to raise capital, this is most commonly seen in the form of initial public offerings (IPOs).Exchanges can now handle other asset classes, given the rise of cryptocurrencies as a more popularized form of trading.
Read this Term industry should a conviction be made. His case may serve as a barometer for future currency manipulation scandals, many of which are still ongoing. Finance Magnates will continue to update the story as it develops, with a verdict from the jury possible this week.
