Elizabeth Warren Defends Calls for Trump Investigation Amidst Market Volatility
Massachusetts Democratic Senator Elizabeth Warren staunchly defended her push for a Securities and Exchange Commission (SEC) investigation into President Donald Trump, asserting it’s “entirely appropriate” to examine whether the administration benefited from potential market manipulation.
“That’s what investigations are for,” she stated during an interview on CNN. “It is entirely appropriate to have an investigation to ensure that Donald Trump, his family, and close advisors did not gain an unfair advantage by accessing information before making trades.”
Warren, joined by fellow Senate Democrats including Ron Wyden of Oregon and Chuck Schumer of New York, formally requested the SEC’s scrutiny in a letter sent Friday. This request stemmed from concerns surrounding market fluctuations following President Trump’s announcement and subsequent pause on reciprocal tariffs.
“We urge the SEC to investigate whether these tariff announcements, which precipitated both a market crash and a partial recovery, improperly enriched administration insiders at the expense of the American public,”
the letter stated. It specifically questioned whether anyone, including members of Trump’s family, may have possessed advance knowledge of the tariff pause and leveraged it for financial gain.
The White House swiftly rebuked these calls as “partisan games,” with spokesperson Kush Desai arguing that President Trump’s actions were aimed at bolstering economic security amid negative media coverage. Desai claimed Democrats are ignoring a decisive action taken to address what he described as China’s unfair trade practices.
When pressed about concrete evidence of insider trading, Warren pointed to unusual purchasing patterns and call volumes observed prior to the President’s announcement, suggesting suspicious activity.
Beyond the current investigation calls, Warren also advocated for stricter regulations on congressional stock trading.
“This is how the stock market should operate—consistently ensuring that no one trades based on inside information,” she explained. “And frankly, that same principle should apply to Congress. We need a rule barring members from trading individual stocks; I’ve been championing this bill for some time, and it enjoys considerable support.”
The call for an investigation is not limited to Warren and her colleagues. Senators Adam Schiff (D-Calif.) and Ruben Gallego (D-Ariz.) also requested a probe into potential insider trading involving the White House chief of staff and the US Trade Representative.
Prior to pausing certain tariffs last week, Trump posted on Truth Social expressing optimism: “BE COOL! Everything is going to work out well. The USA will be bigger and better than ever before!”
The tariff pause primarily affected higher, customized rates levied against nations with a history of erecting trade barriers against U.S. goods. Most countries now face a standard 10% tariff while negotiations continue regarding the reciprocal tariffs.
China remains an outlier, facing a significantly elevated 125% tariff in response to its retaliatory measures.
Warren criticized Trump’s overall tariff strategy, arguing it has created instability.
“What we have now is chaos and corruption. Donald Trump has imposed tariffs on everyone everywhere—on all products,”
she stated. “This trade war with China essentially aims to shut down trade altogether.”
Warren conceded that tariffs can be a valuable tool when strategically applied but accused the President of sowing “chaos” through his implementation of these policies.
