French watchdog fines Morgan Stanley for bond price manipulation

France's financial markets regulator said Tuesday it had fined US bank Morgan Stanley 20 million euros ($22 million) for market manipulation at the height of the Greek debt crisis.

This file photo taken on June 21, 2006 shows a sign hanging at Morgan Stanley Inc headquarters in New York City. [File photo: Getty Images North America / AFP / Mario Tama]

The Autorite des Marches Financieres said the lender 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.

It said the bank bought up massive amounts of futures for French and German bonds on June 16, 2015 in 15 minutes.

Morgan Stanley has denied manipulating markets. It termed the fine "disproportionate" and "unreasonable" and said it would appeal.