Citigroup Will Pay $525,000 Over CFTC Wheat Speculation Claims
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Citigroup Inc. will pay $525,000 to resolve U.S. regulatory claims that the Wall Street bank’s traders exceeded limits on speculation in wheat futures.
Traders with Citigroup units in December 2009 held bullish positions on the Chicago Board of Trade that exceeded so-called position limits intended to curb excessive speculation, the Commodity Futures Trading Commission said in an order released today. The trades were used to hedge customers’ transactions in the over-the-counter swap market, the agency said.