The Commodity Futures Trading Commission has announced its first enforcement action against a firm that used high-speed trading technology to manipulate the commodities market.
On July 22, the CFTC issued an Order filing and simultaneously settling charges against Panther Energy Trading of Red Bank, New Jersey, and its principal Michael J. Coscia, for engaging in the disruptive practice of “spoofing,” utilizing a computer algorithm to illegally place and quickly cancel bids and offers in futures contracts.
