From the Wall Street Journal:
The Department of Justice has opened an initial probe into the metals warehousing industry, according to a person familiar with the matter.
The probe comes amid growing concern in Washington over banks' ownership of metals warehouses and other commodity assets.
The Commodity Futures Trading Commission has also sent letters to some firms telling them to preserve documents, in what is likely the beginning stages of an investigation, according to other people briefed on the matter.
Banks that trade physical commodities have come under attack by government officials, companies and consumer groups, who worry about the ability of the financial sector to exert influence over markets for raw materials....MORE