The White House sharply criticized Democrats for accusing President Trump of manipulating financial markets after he temporarily suspended specialized tariffs on Wednesday.
White House spokesperson Kush Desai defended the decision as a necessary measure to stabilize markets and reassure Americans amid economic anxieties, arguing that it represents a decisive victory over China’s trade practices. “It is the President’s duty to safeguard American financial security,” Desai stated. “Democrats spent decades criticizing China’s unfair trade policies; now, instead of acknowledging this significant action, they are engaging in partisan attacks.”
The accusations followed a letter penned by Senators Adam Schiff (D-CA) and Ruben Gallego (D-AZ), addressed to White House Chief of Staff Susie Wiles and Trade Representative Jamieson Greer. In the letter, the senators requested an investigation into potential insider trading.
“This series of events raises serious legal and ethical questions. Individuals close to the President hold a unique advantage – access to confidential information that could be exploited for financial gain,” the senators wrote.
Trump’s Statements & Actions:
- Prior to the tariff pause, 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!” and “THIS IS A GREAT TIME TO BUY!!! DJT.”
- He previously indicated resistance to pausing tariffs but remained open to international negotiations.
- The pause primarily affected customized tariffs imposed on countries with a history of erecting trade barriers against U.S. goods, resulting in a uniform 10% tariff for most nations worldwide.
While the tariff pause applies broadly, China was notably excluded and now faces a significantly higher 125% tariff following their retaliatory measures.
Senator Schiff, a vocal critic of Trump, stated his intention to investigate potential wrongdoing, including examining the role of digital assets. “Family meme coins and other investments are not immune to scrutiny,” he told Time magazine.
Treasury Secretary Scott Bessent explained that the pause was implemented because President Trump wanted to actively participate in ongoing trade negotiations with numerous countries – over 75 have reportedly contacted the White House seeking agreements. “Each potential solution requires a tailored approach and will take time,” Bessent stated, adding that the President’s direct involvement necessitated the 90-day delay.
Trump acknowledged observing volatility in the bond market, describing it as “tricky” and causing some apprehension. However, he insisted this did not influence his decision to halt the customized tariffs.
“Some people were acting out of turn; they were getting nervous,” Trump remarked. “Unlike these champions – we have a big job to do. No other president would have taken this action.”
