Jane Street barred from Indian markets as regulator freezes $566 million

Re:Jane Street barred from Indian markets as regulator freez... by helsinkiandrew on Tuesday July 08, 2025 @02:18AM (#44497566)

Bloombergs Matt Levine does a good analysis of this and comes to the conclusion that the example the SEBI gives looks a lot more like arbitrage than manipulation. They were selling zero day options to customers and hedging with the underlying stock, which reduced the cost of the options to customers (whilst making a ton of money).

> The difference can be subtle, and I often joke that the difference between legitimate trading and manipulation is whether you send your colleagues an email saying “lol I sure manipulated that market.”

https://www.bloomberg.com/opinion/newsletters/2025-07-07/jan... (https://archive.ph/20250708012725/https://www.bloomberg.com/...)

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Re:Jane Street barred from Indian markets as regulator freez... by cs702 on Tuesday July 08, 2025 @08:16AM (#44499270)

Thank you for sharing this. Levine is usually pretty accurate about this stuff. I'll give the benefit of the doubt to the folks at Jane Street.

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Re:Jane Street barred from Indian markets as regulator freez... by bwfan123 on Tuesday July 08, 2025 @10:49AM (#44500519)

I am not so sure, since the article does not explain the biggest source of profits which is the put-options that were "bought" by jane street ! It only talks about options that were "sold".

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Re:Jane Street barred from Indian markets as regulator freez... by cs702 on Tuesday July 08, 2025 @01:43PM (#44502293)

Maybe. I'm no longer so sure.

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