The Department of Justice is investigating a series of suspiciously timed trades timed around major announcements about the war in Iran, prompting skepticism.
The DOJ, along with the Commodity Futures Trading Commission, is looking into at least four transactions where traders made more than $2.6 billion betting that oil prices would drop right before they did, reported ABC News.
The network examined data of the four trades from the London Stock Exchange Group showing the massive transactions were made just head of major announcements President Donald Trump and a top Iranian official about the war.
"On March 23, 15 minutes before Trump announced that he would delay threatened attacks on Iran's power grid, traders bet more than $500 million that oil prices would fall," ABC reported. "On April 7, hours ahead of a temporary ceasefire announced by Trump, traders bet $960 million that oil prices would fall."
"On April 17, 20 minutes before Iran's Foreign Minister Abbas Araghchi posted on social media saying that the Strait of Hormuz was open, traders bet $760 million that oil prices would fall," the report added. "On April 21, 15 minutes before Trump announced he would extend the ceasefire, traders placed a series of bets worth $430 million that oil prices would fall."
Reuters first reported on the suspicious trades, but the LSEG data does not identify who the individual traders could be and does not prove the trades were based on insider information, but speculation has run rampant online that Trump officials or other insiders might be cashing in.
"Someone is insider trading on crude oil shorts using Iran War announcements from the White House…and making a LOT of money," said Rep. Melanie Stansbury (D-NM). "You better bet we’ll be investigating."
"Right up until they learn the trades are coming from within the administration," speculated Democratic influencer Molly Ploofkins.
"Trades were coming from inside the House," agreed U.S. government bond trader Ed Bradford.
"Oh yeah, I really believe the Trump DOJ will act decisively to prosecute those who are behind these trades. (Sarcasm emoji)," added journalist and law professor Scott Horton.
