The FBI has disclosed a year-long investigation into the questionable practices of high-frequency trading less than 24 hours after the rest of the world discovered how suspect the practice can be.
The Wall Street Journal reports the Federal Bureau of Investigationopened an investigation into high frequency trading on Wall Street about a year ago. “Trading ahead of other investors based on information about orders that other investors can’t see could violate insider-trading laws,” an FBI spokesperson explained to theJournal.
The FBI joins investigations into high-frequency trading by the Securities and Exchange Commission and the New York Attorney General’s office. CBS News and various others have confirmed the existence of the FBI’s investigation.