rki.news | Xinhua
LONDON: A new report by the BBC has raised serious concerns over unusual financial market activity occurring shortly before major public statements by US President Donald Trump, prompting fresh scrutiny over potential insider trading.
According to the analysis, trading data across multiple global markets shows a consistent pattern of sharp spikes in activity hours, and sometimes minutes, before Trump’s market-moving remarks were made public through social media or interviews. These early trades were frequently followed by significant price movements, allowing some investors to secure substantial profits.
Market analysts say the pattern bears similarities to insider trading, where transactions are executed using non-public information. However, some experts caution that the activity may also reflect increasingly sophisticated efforts by traders to anticipate policy signals and geopolitical developments.
Several cases highlighted in the report involve oil markets, where traders placed large bets on price declines shortly before Trump signaled easing tensions in conflicts, particularly involving Iran. In one instance, trading volumes surged minutes before comments indicating progress in conflict resolution, followed by a sharp drop in oil prices.
The report also points to growing scrutiny of online prediction markets, where users speculate on geopolitical outcomes, sometimes generating significant profits from accurate forecasts.
While insider trading remains illegal under US law, experts note that enforcement is challenging due to difficulties in tracing information sources and proving intent, leaving many such cases unresolved.