(Audio)Matt Taibbi Discusses the Market Rigging in the Swaps and LIBOR Markets By the Banks

[jakeXT]

Derivatives and many real world calculations of risk and price are based on a relatively few published data, such as LIBOR.

Similarly, the 'spot' price of gold and silver is based in large part on the front month contract for gold and silver on the Comex. And those prices in turn have enormous leverage over the price of mining stocks.

Some have pointed to the 'physical market' in London for metals at the LBMA as the true price market for physical bullion, with their AM and PM 'price fix.' And while it is true that the LBMA is a market dominated by insiders, with less disclosure than many exchanges, it has come out that even on the LBMA the price is largely based on paper trading with leverage approaching 100 to 1.

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http://jessescrossroadscafe.blogspot.com/2013/04/matt-taibbi-discusses-market-rigging-in.html (player at link)

[orpupilofnature57]

1. Unchecked levers ?