<p>Regulators in France have suspended US investment bank Morgan Stanley from acting as a primary dealer in French government bonds for at least three months after it was found to have manipulated prices.</p>.<p>As a recognised official trader, Morgan Stanley was allowed to take part in sales of French government debt managed by the state agency AFT, which imposed the sanction.</p>.<p>AFT said overnight it had decided to suspend Morgan Stanley's trader status "for a minimum period of three months, with effect from 4 August 2020, for... transactions that seriously affected the liquidity of the French sovereign bond market."</p>.<p>In December, france's financial markets regulator fined Morgan Stanley 20 million euros ($22 million) over market manipulation at the height of the Greek debt crisis.</p>.<p>Regulators said Morgan Stanley had manipulated French and Belgian bond prices in June 2015 with the aim of causing an "abnormal and artificial rise" in sovereign bond prices and re-selling them for a profit.</p>.<p>It said the bank bought up massive amounts of futures contracts for French and German bonds on June 16, 2015 in just 15 minutes as part of the plan.</p>.<p>Morgan Stanley denied manipulating markets and at the time described the fine as "disproportionate" and "unreasonable" and said it would appeal.</p>.<p>The ATF said Morgan Stanley's regaining its official trader status is "subject to compliance with remedial measures".</p>
<p>Regulators in France have suspended US investment bank Morgan Stanley from acting as a primary dealer in French government bonds for at least three months after it was found to have manipulated prices.</p>.<p>As a recognised official trader, Morgan Stanley was allowed to take part in sales of French government debt managed by the state agency AFT, which imposed the sanction.</p>.<p>AFT said overnight it had decided to suspend Morgan Stanley's trader status "for a minimum period of three months, with effect from 4 August 2020, for... transactions that seriously affected the liquidity of the French sovereign bond market."</p>.<p>In December, france's financial markets regulator fined Morgan Stanley 20 million euros ($22 million) over market manipulation at the height of the Greek debt crisis.</p>.<p>Regulators said Morgan Stanley had manipulated French and Belgian bond prices in June 2015 with the aim of causing an "abnormal and artificial rise" in sovereign bond prices and re-selling them for a profit.</p>.<p>It said the bank bought up massive amounts of futures contracts for French and German bonds on June 16, 2015 in just 15 minutes as part of the plan.</p>.<p>Morgan Stanley denied manipulating markets and at the time described the fine as "disproportionate" and "unreasonable" and said it would appeal.</p>.<p>The ATF said Morgan Stanley's regaining its official trader status is "subject to compliance with remedial measures".</p>