Suspicious $800M oil trades after Trump remarks spark regulatory probe
Minutes before U.S. President Donald Trump announced on social media on March 23 that he was postponing strikes on Tehran’s energy infrastructure, a burst of off-hours trading swept through the oil market.
According to London Stock Exchange Group (LSEG) data, more than $800 million in U.S. and international oil futures changed hands within minutes, raising suspicion, News.Az reports, citing The Wall Street Journal.
Traders behind those well-timed positions reportedly profited after U.S. oil prices fell by as much as 13% following Trump’s reversal.
Based on volume-adjusted average prices, at least five firms are estimated to have made gains of $5 million or more from crude futures trading that day, according to the report.
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The U.S. Commodity Futures Trading Commission (CFTC) is now examining the unusual surge in trading volumes. The regulator, which oversees futures markets, is assessing whether an individual with prior knowledge of Trump’s March 23 post may have traded on the information or passed it to others who did.
According to the report, the CFTC is focusing on at least three firms as part of its inquiry. London-based investment firm Qube Research & Technologies reportedly made about $5 million in adjusted gains from the trades, while Forza Fund Ltd. made approximately $10 million. TotalEnergies’ trading arm, Totsa, recorded a profit of around $200,000.
The report noted that none of the companies have been accused of wrongdoing. Some firms contacted by the CFTC said their trading decisions were based on a market headline that appeared roughly 15 minutes before Trump’s Truth Social post.
The CFTC investigation is ongoing, according to the report.
By Nijat Babayev
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