CME Group has fined trader , James Groth , $ 55,000 and jailed him for ten days for ' spoofing ' , where Groth placed orders for Treasury futures without intending to actually complete the transactions ; Groth has made no comment on the accusations . Spoofing is banned as it can trick other traders into believing prices are going to move , encouraging them to nudge up prices in the direction the cheater intends . This form of market manipulation has received a lot of attention recently due to allegations it helped bring on the 2010 flash crash .
CME Group has fined trader, James Groth, $55,000 and suspended him for ten days for 'spoofing', where Groth placed orders for Treasury futures without intending to actually complete the transactions; Groth has made no comment on the accusations. Spoofing is banned as it can trick other traders into thinking prices are poised to move, encouraging them to nudge up prices in the direction the cheater prefers. This form of market manipulation has received a lot of attention recently due to allegations it helped spur on the 2010 flash crash.