The days around Trump’s trade war announcements saw spikes in lawmaker stock market transactions

As market volatility rattled investors during former President Donald Trump’s surprise tariff announcements, some of America’s lawmakers appeared to act not with restraint, but with remarkable timing. Capitol Trades data featured in an article by CNN reveals that just before, during, and after key trade war developments this spring, congressional stock activity quietly surged, raising questions far bigger than mere portfolio management.

While everyday Americans watched their savings tumble in early April as rumors and confirmations of sweeping tariffs sent the markets into chaos, more than 30 lawmakers were actively buying and selling assets, some in substantial amounts. At a time when the White House was preparing to hit foreign imports with tariffs of at least 10%, a handful of politicians were making trades that would benefit from the resulting market rebound.

These trades weren’t technically illegal. Many were reportedly executed by third-party managers or involved mutual funds rather than individual stocks. But as filings show, the timing couldn’t be more conspicuous: lawmakers were tied to over 1,200 transactions totaling up to $28 million during the nine days surrounding Trump’s 90-day tariff pause announcement. The day Trump encouraged the nation to “BE COOL!” and called it “a great time to buy,” the S&P 500 posted its biggest single-day gain since 2008 and lawmakers’ portfolios were already in position to benefit.

Such activity underscores a deep ethical fault line in American politics. It’s not just the trades, it’s what they represent. Public servants are supposed to legislate in the national interest, not quietly hedge their own exposure ahead of policy decisions. The fact that some of these same lawmakers publicly endorsed the trade war while their financial accounts suggested caution reflects a disturbing dissonance between their public personas and private interests.

Despite the 2012 STOCK Act, which was intended to increase transparency, there is still no independent body tasked with reviewing potential conflicts of interest in lawmaker trading. Fines for late disclosures remain negligible. Reporting only requires a broad monetary range, not precise timing. The public is left to connect the dots, and many do with growing cynicism. A 2022 Fox News poll found 70% of Americans support banning lawmakers and their families from stock trading. Yet the loopholes remain wide open.

It’s not just about optics. It’s about public trust. When policies that affect millions also seem to move portfolios behind the scenes, the legitimacy of democratic governance takes a hit. Lawmakers, regardless of party, insist that they are shielded from direct trading. But as long as they benefit from the timing of market-sensitive decisions, skepticism will persist.

In the aftermath of the COVID-era trading scandals and now this tariff episode, momentum for reform is again building. Leading voices in both parties, including Speaker Mike Johnson and Minority Leader Hakeem Jeffries, have expressed support for stricter regulations. But words aren’t enough.

The American people deserve a government that works for them, not one that treats sensitive policy windows as opportunities for personal gain. If 2025 is to be the year of meaningful reform, lawmakers must not only say the right thing—they must vote to end a practice that has no place in public service.