What is the story about?
The White House issued an internal warning to staff in March, cautioning employees against using confidential government information to place bets or trade
in financial markets tied to the ongoing Iran conflict, according to reports. The staff-wide email, sent on March 24 by the White House Management Office, came just a day after US President Donald Trump announced on Truth Social that negotiations with Iran were underway and that Washington would pause certain military actions, according to a report by The Wall Street Journal, cited by Reuters. Click Here For LIVE Updates
Suspicious Trades Trigger Scrutiny
The warning followed a series of unusually well-timed and highly profitable trades that have raised concerns about potential insider trading linked to US policy decisions on Iran and Venezuela.
Reuters reported that some of Trump’s major military and diplomatic moves were preceded by large, strategic bets in financial markets, prompting questions over whether sensitive information may have leaked in advance.
Market data highlighted the scale of the activity. According to Dow Jones Market Data, cited by The Wall Street Journal, more than $760 million worth of oil futures contracts were traded within just two minutes shortly before a key policy shift was announced.
Following Trump’s announcement of a temporary halt to strikes on Iranian energy infrastructure, oil prices dropped sharply while stock markets surged.
Prediction Markets Add to Concerns
Beyond traditional markets, online betting platforms have also come under scrutiny.
Reports indicate that traders on prediction platforms such as Polymarket made significant profits by accurately wagering on the timing of a ceasefire. In some cases, accounts reportedly earned hundreds of thousands of dollars from these bets, further fuelling suspicions of information asymmetry.
White House Pushes Back
While the administration has not publicly confirmed details of the internal email, officials have strongly rejected suggestions of wrongdoing.
White House spokesperson Davis Ingle dismissed allegations that insiders were profiting from confidential information, telling Reuters that any such claims are “baseless and irresponsible.”
He added that President Trump remains committed to ensuring that government officials do not use non-public information for personal financial gain, emphasising that public interest remains the administration’s priority.
Ethics Rules and Growing Alarm
US government ethics rules prohibit federal employees from using confidential information for private profit and restrict gambling on federal property.
However, the scale and timing of recent trades have drawn criticism from lawmakers, analysts, and even some of Trump’s supporters, intensifying calls for tighter oversight of both financial and prediction markets.
