China warns against ‘insider trading’ on Singapore-based Singapore Exchange
MASON, Singapore — China warned on Wednesday that it will not tolerate “insider trade” on the Singapore-listed Singapore Exchange and called for it to stop trading in the United States.
In a statement posted on its official microblog, the People’s Bank of China said that the Singapore Exchange had been using its “privilege” to market and trade with the United Kingdom and the European Union, without disclosing any information about its operations or assets.
“Such trading violates the rules of fair and impartial markets,” the statement said.
“Singapore cannot be allowed to use its privilege to engage in such illegal activity.”
China is the world’s second-largest economy and one of the worlds biggest markets for the U.S. stock market.
It is the largest trading partner of the U,K., the U:EU, Canada and Australia.
The statement said that in order to comply with the rules, the Singapore Stock Exchange must make all necessary changes to the way it conducts its business.
China has taken action against Singapore since the start of the year.
Earlier this month, it banned the Singaporean trading house Batsun and other firms from using its exchange.
In June, the country said it was banning the trading of a number of financial products, including commodities, on the exchange.