Strong manipulation of the market refers to the behavior of institutions and large households involved in market transactions, in order to make huge profits, deliberately violating the relevant state regulations on futures trading and the trading rules of the exchange, violating the principles of openness, fairness and impartiality of the futures money market, using improper means alone or in collusion, seriously distorting the futures market price and disrupting the market order. Market manipulators mainly take advantage of their advantages in capital, goods and information. And illegally open a large number of positions, affecting the futures market price and creating the illusion of the futures market. Thereby manipulating market prices and profiteering. Its main means are:
(1) warehouse. Exchange members or customers engage in futures trading in the name of other members or customers to influence prices and manipulate the market to hold excessive positions. Avoid the position limit of the exchange, and its total position in each seat exceeds the position limit of the exchange for the customer or member.
(2) Moving position (reverse position). Exchange members move their positions from one seat to another in order to create the illusion of midfield or transfer profits. Call the warehouse to move (reverse the warehouse). If there are 10 soybean bulls in seat A, the price at the time of purchase is 2 800 yuan/ton. When the market price rises to 2 850 yuan/ton, the floating profit of Member A is 2/ ton (2850-2800). At this time, Member A sold the 10 soybean contract on its seat at the price of 2850 yuan/ton, and closed the original long position. At the same time, he bought the 10 soybean contract at the price of Lu 50 yuan/ton in the second seat related to himself, so that the total position of Member A was still 10 long, but the floating profit has been converted into real profit.
(3) Knock on the door. In order to create the illusion of midfield, members or customers of the exchange attempt or actually seriously affect the futures price or the position of midfield, deliberately collude and trade with each other in a pre-agreed way or price. For example, the latest transaction price of soybean futures contract in forward money market is 2800 yuan/ton, and member A sells lm contract at 2850 yuan/ton. If there is no agreement in advance, someone can buy the contract sold by Member A at this high price. Member B agreed with Member A in advance to buy 100 machine heads at a price of 2850 yuan/ton, so the computer matched the deal. At this time, the transaction price of 2850 yuan/ton appeared in the market, which increased the original midfield price by 50 yuan/ton.
(4) forced positions. By controlling futures trading positions or monopolizing spot commodities that can be delivered, members or customers of futures exchanges deliberately raise or lower futures market prices, over-hold positions and deliver, forcing counterparties to default or close positions at unfavorable prices and reap huge profits. According to the different operation methods, it can be divided into two ways: "more forced air" and "more forced air".
(1) How empty. In some small varieties of futures trading, when market manipulators expect that there are insufficient spot commodities for delivery, they will build enough long positions in the futures market by virtue of their own financial advantages, raise futures prices, and at the same time buy and hoard a large number of physical goods for delivery, so the prices in the spot market will rise at the same time. In this way, when the contract is close to delivery, the short-selling members and customers will either buy back the futures contract at a high price to compensate for liquidation, or buy the spot at a high price to order physical delivery, or even be fined for breach of contract for failing to hand over the physical goods, so that the long-term holders can reap huge profits from it.
3 air force. Market manipulators use the advantages of funds or objects to sell a large number of futures contracts in the futures market, making their short positions greatly exceed the ability of many parties to undertake objects. As a result, the futures market price has fallen sharply, forcing speculative bulls to sell contracts at low prices to admit losses, or to pay extra for goods and be fined for breach of contract, thus making huge profits.
When the market is manipulated, it will often cause drastic fluctuations in futures prices, resulting in huge losses for the majority of small and medium-sized retail investors. In order to avoid greater losses, or the margin has been lost to the minimum level stipulated by the exchange or brokerage company. When there is no ability to add margin, you have to close the position and pay the bill. This is lightening the position. If the futures price goes up and down continuously in the same direction, even if the customer wants to make a claim or close the position, the transaction cannot be concluded, and the customer's loss will be further increased. Finally, the margin account will lose money completely or even have a deficit (negative number). When it cannot be added, it will be called overdraft status, which is called broken position or broken position. Generally speaking, liquidation refers to the margin system or position limit system of the exchange or commission merchant. When the margin loss of a member or customer reaches a specified level or the customer violates the position limit, the main purpose of compulsory liquidation is to control the trading risk. When market manipulation occurs, forced liquidation is used by exchanges as a means to reduce huge positions and reduce market risks.
Manipulating the market seriously distorts the price of the futures market, which hinders the price discovery and hedging function of the futures money market and is extremely harmful. Therefore, the regulatory authorities and futures exchanges all over the world have taken strict measures to prevent and combat market manipulation. Frequently adopted measures are:
(1) Strictly control illegal funds flowing into the futures market. Futures exchanges and futures brokerage companies shall formulate a strict review system for the sources of funds for members and customers to prevent credit funds and funds with unknown sources from flowing into the futures market. Manipulating the middle field of the securities market refers to the behavior of individuals or institutions that deviate from the principle of free competition in the market and the relationship between supply and demand, artificially manipulate securities prices, induce others to participate in securities trading, and seek personal gain for themselves. The Notice on Prohibiting Manipulation of the Securities Market issued by China Securities Regulatory Commission on June 5438+0996 1 1 clearly defines the manipulation of the securities market. This kind of behavior includes: ① manipulating the stock market price through collusion or pooling funds; (two) spreading rumors and false information, affecting the issuance and trading of securities; (three) colluding with others to buy and sell securities without transfer of ownership; (4) Conducting transactions with similar price and quantity and opposite directions in different accounts at the same time; (5) selling or offering to sell securities that it does not hold, disrupting the order of the securities market. (6) trading a certain kind of securities continuously for the purpose of raising or lowering the trading price of the securities. (7) artificially lowering or raising the price of securities by taking advantage of his position. (8) Securities investment consulting institutions and stock appraisers use media and other means of communication to create and disseminate false information, disrupting the normal operation of the market; (9) A listed company buys or sells its own shares or colludes with others.
Strong manipulation of the market refers to the behavior of institutions and large households involved in market transactions, in order to make huge profits, deliberately violating the relevant state regulations on futures trading and the trading rules of the exchange, violating the principles of openness, fairness and impartiality of the futures money market, using improper means alone or in collusion, seriously distorting the futures market price and disrupting the market order. Market manipulators mainly take advantage of their advantages in capital, goods and information. And illegally open a large number of positions, affecting the futures market price and creating the illusion of the futures market. Thereby manipulating market prices and profiteering. Its main means are:
(1) warehouse. Exchange members or customers engage in futures trading in the name of other members or customers to influence prices and manipulate the market to hold excessive positions. Avoid the position limit of the exchange, and its total position in each seat exceeds the position limit of the exchange for the customer or member.
(2) Moving position (reverse position). Exchange members move their positions from one seat to another in order to create the illusion of midfield or transfer profits. Call the warehouse to move (reverse the warehouse). If there are 10 soybean bulls in seat A, the price at the time of purchase is 2 800 yuan/ton. When the market price rises to 2 850 yuan/ton, the floating profit of Member A is 2/ ton (2850-2800). At this time, Member A sold the 10 soybean contract on its seat at the price of 2850 yuan/ton, and closed the original long position. At the same time, he bought the 10 soybean contract at the price of Lu 50 yuan/ton in the second seat related to himself, so that the total position of Member A was still 10 long, but the floating profit has been converted into real profit.
(3) Knock on the door. In order to create the illusion of midfield, members or customers of the exchange attempt or actually seriously affect the futures price or midfield position, deliberately collude and trade or buy and sell with each other in a pre-agreed way or price. For example, the latest transaction price of soybean futures contract in forward money market is 2800 yuan/ton, and member A sells lm contract at 2850 yuan/ton. If there is no agreement in advance, someone can buy the contract sold by Member A at this high price. Member B agreed with Member A in advance to buy 100 machine heads at a price of 2850 yuan/ton, so the computer matched the deal. At this time, the transaction price of 2850 yuan/ton appeared in the market, which increased the original midfield price by 50 yuan/ton.
(4) forced positions. By controlling futures trading positions or monopolizing spot commodities that can be delivered, members or customers of futures exchanges deliberately raise or lower futures market prices, over-hold positions and deliver, forcing counterparties to default or close positions at unfavorable prices and reap huge profits. According to the different operation methods, it can be divided into two ways: "more forced air" and "more forced air".
(1) How empty. In some small varieties of futures trading, when market manipulators expect that there are insufficient spot commodities for delivery, they will build enough long positions in the futures market by virtue of their own financial advantages, raise futures prices, and at the same time buy and hoard a large number of physical goods for delivery, so the prices in the spot market will rise at the same time. In this way, when the contract is close to delivery, the short-selling members and customers will either buy back the futures contract at a high price to compensate for liquidation, or buy the spot at a high price to order physical delivery, or even be fined for breach of contract for failing to hand over the physical goods, so that the long-term holders can reap huge profits from it.
3 air force. Market manipulators use the advantages of funds or objects to sell a large number of futures contracts in the futures market, making their short positions greatly exceed the ability of many parties to undertake objects. As a result, the futures market price has fallen sharply, forcing speculative bulls to sell contracts at low prices to admit losses, or to pay extra for goods and be fined for breach of contract, thus making huge profits.
When the market is manipulated, it will often cause drastic fluctuations in futures prices, resulting in huge losses for the majority of small and medium-sized retail investors. In order to avoid greater losses, or the margin has been lost to the minimum level stipulated by the exchange or brokerage company. When there is no ability to add margin, you have to close the position and pay the bill. This is lightening the position. If the futures price goes up and down continuously in the same direction, even if the customer wants to make a claim or close the position, the transaction cannot be concluded, and the customer's loss will be further increased. Finally, the margin account will lose money completely or even have a deficit (negative number). When it cannot be added, it will be called overdraft status, which is called broken position or broken position. Generally speaking, liquidation refers to the margin system or position limit system of the exchange or commission merchant. When the margin loss of a member or customer reaches a specified level or the customer violates the position limit, the main purpose of compulsory liquidation is to control the trading risk. When market manipulation occurs, forced liquidation is used by exchanges as a means to reduce huge positions and reduce market risks.
Manipulating the market seriously distorts the price of the futures market, which hinders the price discovery and hedging function of the futures money market and is extremely harmful. Therefore, the regulatory authorities and futures exchanges all over the world have taken strict measures to prevent and combat market manipulation. Frequently adopted measures are:
(1) Strictly control illegal funds flowing into the futures market. Futures exchanges and futures brokerage companies shall formulate a strict review system for the sources of funds for members and customers to prevent credit funds and funds with unknown sources from flowing into the futures market.
(2) Improve the futures margin system. This is the most effective means for futures exchanges to control risks, so it is necessary to improve and strictly implement the margin system. Market manipulators mainly rely on their capital advantages to open a large number of positions and affect prices. When it is found that someone in the market is trying to manipulate the market, the futures exchange should appropriately increase the margin of both long and short sides or one side, so as to increase their transaction costs and let the market manipulators know the difficulties before coming back. For contracts entering the delivery month. In order to prevent forced liquidation, the method of gradually increasing the deposit by stages can be implemented to ensure the smooth delivery of the physical goods.
(3) Strictly implement the position limit system and large account reporting system. In order to prevent large-scale market manipulation, the exchange must set a maximum position of futures contracts for its members and customers. If members and customers exceed the prescribed positions, the futures exchange may take measures such as forcibly closing positions or adding margin. At the same time, the futures exchange must also stipulate the reasonable position of each member and customer. When the position exceeds the specified position, members and customers must report their trading purposes and funds to the exchange.
(4) Strictly implement the succession system. The futures exchange reasonably determines the delivery grade of futures commodities, so that traders who make physical delivery can easily find commodities that meet the futures delivery standards in the spot market. In the design of delivery system, we should ensure the principle of delivery as long as it meets the delivery standards, and we should not restrict physical delivery for any reason, reduce delivery costs as much as possible, simplify delivery procedures, and make it easy to cut physical documents, thus reducing the possibility of large households forcing positions.
(2) Improve the futures margin system. This is the most effective means for futures exchanges to control risks, so it is necessary to improve and strictly implement the margin system. Market manipulators mainly rely on their capital advantages to open a large number of positions and affect prices. When it is found that someone in the market is trying to manipulate the market, the futures exchange should appropriately increase the margin of both long and short sides or one side to increase their transaction costs and let the market manipulators know the difficulties before coming back. For contracts entering the delivery month. In order to prevent forced liquidation, the method of gradually increasing the deposit by stages can be implemented to ensure the smooth delivery of the physical goods.
(3) Strictly implement the position limit system and large account reporting system. In order to prevent large-scale market manipulation, the exchange must set a maximum position of futures contracts for its members and customers. If members and customers exceed the prescribed positions, the futures exchange may take measures such as forcibly closing positions or adding margin. At the same time, the futures exchange must also stipulate the reasonable position of each member and customer. When the position exceeds the specified position, members and customers must report their trading purposes and funds to the exchange.
(4) Strictly implement the delivery system. The futures exchange reasonably determines the delivery grade of futures commodities, so that traders who make physical delivery can easily find commodities that meet the futures delivery standards in the spot market. In the design of delivery system, we should ensure the principle of delivery as long as it meets the delivery standards, and we should not restrict physical delivery for any reason, reduce delivery costs as much as possible, simplify delivery procedures, and make it easy to cut physical documents, thus reducing the possibility of large households forcing positions.