At 9:37 a.m. on Wednesday—before the U.S. stock market opened— US President Donald Trump posted on the social media platform Truth Social: “This is a good time to buy stocks! DGT.”
Less than four hours later, Trump again took to Truth Social to announce a 90-day suspension of reciprocal tariffs imposed on countries other than China.
Following his announcement, U.S. stock markets surged. By the end of trading, the NASDAQ Composite Index had climbed approximately 12%, the S&P 500 rose by 9.5%, and the Dow Jones Industrial Average increased by 8%.
“People who bought stocks after seeing that post made a lot of money,” said Richard Painter, a lawyer and vocal critic of Trump.
Critics argue that Trump’s initial post influenced the market and preceded a policy decision that further boosted stock prices. As a result, they are calling for an investigation into potential insider trading or market manipulation.
A group of 19 House Democrats, led by Maxine Waters, the ranking Democrat on the House Financial Services Committee, has written to Securities and Exchange Commission (SEC) Chairman Paul Atkins, urging an investigation into Trump's actions.
Senator Elizabeth Warren also supported the call, stating that Trump’s posts on Truth Social alone merit a formal and independent investigation.
The White House has denied any wrongdoing, dismissing the accusations as politically motivated.
“The responsibility of the U.S. President is to reassure markets and Americans about their financial security,” said White House spokeswoman Kush Desai. “Democrats have spent decades criticizing China’s trade practices. Now, instead of celebrating President Trump’s decisive action, they’re playing a partisan game.”
Currently, there is no evidence that Trump or his associates acted on non-public information or intentionally sought to manipulate the market.
Senator John Cornyn of Texas defended Trump, calling the allegations baseless:
“They’ve never missed an opportunity to criticize President Trump. The whole idea of insider trading here is ridiculous.”
House Speaker Mike Johnson also mocked the allegations while speaking to reporters:
“I think today would be a good day to buy stocks,” he said, echoing Trump’s earlier post with sarcasm. -- Agencies
