What is an abusive squeeze (financial term)?

An abusive squeeze is a situation in which a market is intentionally disrupted by a person or party that has control over, or exercises significant influence over, supply and demand. This party deliberately creates a tightness in the market, artificially driving up prices, a practice known as "cornering" the market.

This is done with the aim of manipulating the market price to a certain level, leading to market distortion.

Version:
27/9/24