The Commodity Trading Commission has fined Morgan Stanley $14m for failing to disclose a “large” crude oil block trade entered on the former New York Mercantile Exchange (Nymex).
The US regulator said Morgan Stanley entered into a large Trade at Settlement (TAS) block crude oil trade with UBS Securities on February 6, 2009, but failed to notify Nymex within the five minutes the bourse requires of market participants.
The CFTC said earlier that in February 2009, a Morgan Stanley trader and a UBS broker “discussed an opportunity” for Morgan Stanley...