The White House faces accusations of facilitating illicit gains in the stock market linked to Donald Trump’s posture on tariffs. “Americans need to know if President Trump or someone from his administration has manipulated the market to benefit his donors,” Senator Elizabeth Warren said.
Leader Democrats in the Congress claim that President Donald Trump’s allies may be illegally profitable with his tariff stance.
Trump’s trade war has caused major oscillations in global assets prices. On Wednesday (9), the Dow Jones Industrial Avelage index raised 3,000 points for the first time in a single session, while the shares of the “seven magnificent” group fired 22%after the White House announced a break in the so-called reciprocal tariffs.
Thanks to volatility, anyone with prior knowledge of government plans could profit significantly in the market. Now democrats are wondering if their republican colleagues have done just that.
“Any member of Congress that has bought shares in the last 48 hours should probably disclose this now. I’ve heard some interesting conversations in the plenary,” wrote New York Deputy Alexandria Occortez. “It’s time to prohibit the use of privileged information in Congress.”
Your comments were in response to indications that Trump’s posture information may have leaked shortly before the announcement.
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Shortly before the statement, there was a wave of purchasing purchases in the market derivatives market traded on the stock market that accompanies stock rates, such as SPDR S&P 500 and Invesco QQQ, which move in conjunction with Nasdaq 100.
Hours before Trump changes his posture, he encouraged investors to buy assets
On Wednesday, the White House published a video in which the president heads for Charles Schwab, the 87-year-old founder of the broker who bears his name, saying that he had just earned $ 2.5 billion that day.
“This is not bad,” said Trump. He did not mention whether Schwab made negotiations that day, and his company did not respond to Fortune’s request for comment.
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Earlier, however, Trump published on Truth Social recommending, “This is a great time to buy.” The CNBC then questioned the US Secretary of Commerce about the president’s unusual ability to predict the market. “I always bet on Donald Trump,” replied Howard Lutnick.
Trump also ended the publication with his initials, DJT. Normally, this is a way of politicians signaling that they wrote the post personally instead of their teams, but a feature of the president is that he writes his own statements on social networks, making the use of initials unnecessary.
Interestingly, DJT is also the Truth Social Truth Company negotiating code, Trump Media & Technology Group, which was also up more than 20% on the day.
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Asked about this detail, the Secretary of Commerce stated that Trump uses his initials to identify himself as a sender in all text messages Lutnick receives from his boss.
Senator asks for investigation
As President Trump determined Washington’s movements in the recent commercial tariff strategy, investors had little choice and follow each Trump pronouncement.
Even an apparent misunderstanding about comments from the economic counselor Kevin Hassett caused major fluctuations in the market on Monday.
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This unpredictability has problems, as those in your circle can enjoy an advantage and can be tempted to speculate based on the information obtained by its proximity to the oval hall.
For example, when asked which American companies, your administration could exempt from tariffs – a decision that could have huge implications for business stock prices like Apple – Trump replied that these decisions would be made “instinctively.”
A few hours before Trump changed his posture, he stated that it was now a great time to buy assets, a statement that the criptocyteed Stephen Findisen researcher argued to offer the “perfect plausible denial” needed to use privileged information.
It is still unclear if, by the time it published this on the social Truth, he was already planning a change of posture in relation to tariffs. The White House did not respond to the request for comment Fortune.
“Was this market manipulation? Was it corruption in sight of everyone?” Senator Elizabeth Warren said in the congress plenary, asking for an official investigation. “Americans need to know if President Trump or someone in his administration has manipulated the market to benefit his donors.”
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