A bipartisan group of Senators announced a deal to ban stock trading for members of Congress Wednesday.
The deal was revealed at a noon press conference on Capitol Hill that was first reported by Andrew Desiderio. The press conference included Democratic Senators Gary Peters of Michigan, Jeff Merkley of Oregon and Jon Ossoff of Georgia as well as Republican Missouri Sen. Josh Hawley.
NEWS — Bipartisan group of senators is about to announce a deal on a congressional stock trading ban. Will be marked up in committee on July 24.
More TK …
— Andrew Desiderio (@AndrewDesiderio) July 10, 2024
Congressional stock trading and accusations of insider trading have been at the forefront of discussions regarding corruption in Congress. Some internet accounts have even found fame by copying the trades of different members of Congress. (RELATED: Appeals Court Greenlights Campaign Finance Case Against Nonprofit Founded By Stacey Abrams)
Unusual Whales, a site dedicated to tracking market activity, has an entire section of its website dedicated to tracking congressional trades. The returns that members have experienced are exponentially higher than even the best of Wall Street, with four generating returns in excess of 100% in 2023.
Perhaps the most notable Congressional lawmaker to catch flak for her stock trades is California Democrat Nancy Pelosi. Business outlets have covered the trades of Pelosi and her husband for years, and her returns have been gargantuan. Increased attention on Pelosi’s activity helped gin up public support for new restrictions on Congress.
During the COVID-19 pandemic, then-Republican Sen. Richard Burr faced an investigation from the Securities and Exchange Commission (SEC) for potential insider trading violations, although the agency later dropped its probe.
“This is long overdue, this is necessary and this is a major step forward,” Ossoff noted in his statement at the conference. Ossoff also mentioned the overwhelming public support for such measures among members of both parties and independents.
Sen. Hawley, the only Republican in the group, emphasized the idea that members of Congress are in Washington to serve the American people, not to be “day trading” or “making a buck.”
MORE — There will be a press conference at noon announcing this, I’m told. Led by Sens. Peters, Merkley, Ossoff & Hawley. Possibly others as well.
— Andrew Desiderio (@AndrewDesiderio) July 10, 2024
The legislation will be submitted to the Senate Committee on Homeland Security and Governmental Affairs July 24th, according to Sen. Peters who serves as its chair. It will be the first time that a committee considers legislation to ban members of Congress from banning stocks.
