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Regulators Probe $760 Million Oil Bet Placed Minutes Before Hormuz Reopening

Authorities are testing whether the lightning-fast sale drew on nonpublic information.

Overview

  • Traders sold 7,990 Brent futures worth about $760 million within one minute on Friday, roughly 20 minutes before Iran said the Strait of Hormuz was open.
  • Brent then fell by up to about 11 percent after the post, a swing that can filter quickly into fuel and heating costs.
  • The CFTC is examining the trade and has asked CME and ICE for granular records of who placed the orders.
  • Regulators are also reviewing two similar sales—about $500 million on March 23 and $950 million on April 7—that came before market-moving announcements.
  • The White House rejects claims of leaks and investigators have not found wrongdoing, while the strait remains a key route for global oil flows.