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Futu and Tiger Brokers Fine Notice Precedes Unusual Surge in Put Options Volume, Market Questions Possible 'Rat Trading'

BlockBeats News, May 23rd, according to public options data platform and market information, before the China Securities Regulatory Commission announced its intention to impose administrative penalties on Futu and Tiger Brokers and other cross-border internet brokers on May 22nd, the trading volume of related American stock put options of Futu and Tiger saw abnormally high volume on May 7th, 19th, and 21st.

The highest trading volume occurred before the official announcement of the news, as StreetInsider alerted at 09:57 EST on May 21st that FUTU and TIGR saw abnormal put options trading; ThetaOwl data also showed that Futu's options expiring on May 22nd had a significantly high Put/Call volume ratio on May 21st.

Some market observers believe that the above anomalies may indicate that funds had already positioned themselves in a short direction before the news was made public, triggering concerns of insider trading or premeditated trading.

Fonte:BlockBeats

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