India markets regulator to widen probe into Jane Street, source says

India's market regulator is set to expand its investigation into Jane Street, a prominent global trading firm, according to a source familiar with the matter. The inquiry centers around allegations that Jane Street purchased significant volumes of stocks that are part of India's Bank Nifty index in both cash and futures markets. This move has raised concerns about potential market manipulation or other irregular trading activities. The probe's widening reflects the regulator's commitment to ensuring transparency and fairness in the financial markets. By delving deeper into Jane Street's trading activities, the regulator aims to ascertain whether the firm's actions had any undue influence on market prices or liquidity. Such investigations are crucial in maintaining investor confidence and safeguarding the integrity of the financial system. While Jane Street has yet to publicly comment on the allegations, the expanded investigation underscores the increased scrutiny facing global trading firms operating in India. As the situation develops, market participants and investors will be closely monitoring the outcomes, which could have broader implications for regulatory practices and market operations in the region.

— Authored by Next24 Live