China on Thursday acknowledged that a since-detained government trader placed a series of disastrous bets on the price of copper in London this summer, leaving the state to cover hundreds of millions of dollars in losses, according to a report in official Chinese media.
As rumors of the scandal filtered out this month, China first denied the existence of the trader, and then branded him a rogue operator. Thursday’s report in the official China Daily newspaper suggests that the Communist Party-led government has resolved to take responsibility for a scandal that has roiled commodity markets while renewing fundamental questions about the transparency of the fast-growing economy.
See also “Copper auctions aim to bring down prices” from China Daily.
