Congressional stock trading has plunged more than 75% so far this year here's why

Published

11 months ago

October 20, 2023

admin

Congressional stock trading has fallen off sharply this year, according to an analysis by a popular financial news site and some insiders believe its because US lawmakers are feeling heat from a possible legislative clampdown.

The volume of stock trades made by members of Congress tumbled more than 75% in the nine months of this year to just 1,800 trades versus 8,000 a year earlier, according to data from Unusual Whales.

Former House Speaker Nancy Pelosi has made just six trades this year as a congresswoman representing San Francisco. Those include selling Roblox shares, buying Apple and Microsoft shares and acquiring a stake in a luxury hotel, according to recent filings.

Thats a steep dropoff from the 39 trades she made in 2022, the 24 trades she made in 2021, and the 38 trades she made in 2020.

A spokesperson for Pelosi did not respond to a request for comment.

While the markets have been bumpy this year, overall trading volume is down just 10%, according to CBOE data, versus the three-quarters plunge inside Congress.

Passing legislation, sources say, is critical to keep Congress from trading again.

If a movement doesnt turn into a law, Congress isnt going to remain scared, Jeff Hauser, founder of nonprofit watchdog the Revolving Door Project, said. The combination of a bill that could pass and the broader conversation acts as a deterrent.

Ethics experts say the another reason may simply be that members dont feel the trades are worth the trouble anymore.

Federal Reserve governors Eric Rosengren and Robert Kaplan resigned after scrutiny of their trades. Now-retired Sen. Richard Burr stepped down as Chair of the Intelligence Committee and now-ex-Sen. James Inhofe resigned after scrutiny of trades.

It may not be worth the grief, Charles Stewart III, a political science professor at MIT, told On The Money.

The founder of Unusual Whales, who prefers to remain anonymous, notes that members of Congress have lately been far more diligent about filing their trades quickly. The STOCK Act requires members to file their trades within 45 days but members of Congress like Pelosi lately are filing within just a few days.

Essential weekly read to fuel business lunches.

Please provide a valid email address.

By clicking above you agree to the Terms of Use and Privacy Policy.

Thanks for signing up!
Never miss a story.

There is limited upside and maybe a lot of downside to congressional trading these days, agrees Thomas Hayes, chairman at Great Hill Capital. Shining a light on this has played a big role.

Another issue: Some of the most lucrative, valuable stocks like Google and Amazon which Pelosi had snatched up are presenting an even greater conflict of interest than they did previously.

The tech high flyers that many members wanted to trade in are politically fraught these days a reference to lawsuits both Google and Amazon are facing, Stewart adds.

While some applaud the recent trend, others are more cautious and note stronger laws against stock trading need to be codified.

Attention helps and attention makes transparency more effective, Jeff Hauser, founder of nonprofit watchdog the Revolving Door Project, said. But even more effective than transparency is strict rules.

As for the question of whether regulators will ever be willing to regulate themselves, the answer is almost always no. Still, Hauser is optimistic that with enough sticks not to mention the dwindling supply of carrots lawmakers could eventually succumb.

If the momentum grows big enough, it could pass, Hauser said. And it only has to pass one time.

US

Second boat boarded by FBI after Baltimore bridge collapse

Published

2 hours ago

September 21, 2024

admin

Second boat boarded by FBI after Baltimore bridge collapse

FBI agents have boarded a boat managed by the same company whose cargo ship crashed into a Baltimore bridge and caused it to collapse.

The two companies in charge of the ship “recklessly cut corners” and ignored electrical problems on the vessel before the crash in March, alleged the US Justice Department on Wednesday.

Three days later, FBI agents boarded the Maersk Saltoro, a second ship managed by the same company, although authorities did not offer further details on the operation.

Six construction workers were killed when the Dali ship had a power outage and crashed into a support column on the Francis Scott Key Bridge.

The Justice Department alleged that mechanical and electrical systems on the massive ship had been improvised and improperly maintained which led to the power outage.

Authorities are seeking to recover more than $100 million the government spent to clear the underwater debris and reopen the city’s port, which was only fully reopened in June.

It could become the most expensive marine casualty case in history and the two Singapore-based companies, Synergy Marine Group and Grace Ocean, are trying to limit their legal liability.

The Justice Department said it will vigorously contest that limitation, arguing that vessel owners and operators need to be “deterred from engaging in such reckless and exceedingly harmful behaviour”.

Darrell Wilson, a Grace Ocean spokesperson, confirmed that the FBI and Coast Guard boarded the Maersk Saltoro in the Port of Baltimore on Saturday morning.

Mr Wilson has previously said the owner and manager “look forward to our day in court to set the record straight” about the Justice Department’s lawsuit.

The Dali, which was stuck amid the wreckage of the collapse for months before it could be extricated, departed Virginia on Thursday afternoon en route to China on its first international voyage since the March 26 disaster.

Environment

2024 Cadillac LYRIQ buyers could score $10,500 in discounts

Published

4 hours ago

September 21, 2024

admin

2024 Cadillac LYRIQ buyers could score ,500 in discounts

Cadillac Lyriq first drive: A year early and dollar long at $60K

The all-electric Cadillac LYRIQ was an Electrek favorite when it first made its debut two years ago. Now, LYRIQ buyers who have been waiting for a deal can score more than $10,500 in discounts on the Ultium-based Caddy.

Our own Seth Weintraub said that GM had come in, “a year early and dollar long at $60K” when he first drove the Ultium-based Cadillac LYRIQ back in 2022. He called the SUV “a stunner,” too, heaping praise on the LYRIQ’s styling inside and out before adding that the EV’s ride quality really impressed on long journeys.

Well, if the first mainstream electric Cadillac was a winner at its original, $57,195 starting price (rounded up to $60K for easy math), what could we call it at $10,500 less?

That’s a question that’s suddenly worth asking, thanks to huge GM discounts on the LYRIQ that prompted the automotive pricing analysts at CarsDirect to name the 2024 LYRIQ one of the industry’s “Best New Car Deals” this month:

A slew of incentives can enable you to save big on a 2024 Cadillac LYRIQ. First, EVs eligible for the federal tax credit qualify for $7,500 in Ultium Promise Bonus Cash from GM. Additionally, competing EV owners can score $3,000 in conquest cash.

Meghan Carbary | CarsDirect

With more than 100 kWh of battery capacity and 300-plus miles of real-world driving range (plus available 190 kW charging capability) the Cadillac LYRIQ ticks all the boxes – but you don’t have to take just my word for that.

You can check out Electrek‘s original First Drive video, below, and click here to find Cadillac LYRIQ deals near you.

First Drive: Cadillac LYRIQ | Luxury E-CUV

[embedded content]

SOURCE | IMAGES: CarsDirect.

FTC: We use income earning auto affiliate links. More.

Sports

Michigan star TE Loveland ruled out vs. Trojans

Published

4 hours ago

September 21, 2024

admin

Michigan star TE Loveland ruled out vs. Trojans

Jake Trotter, ESPN Senior WriterSep 21, 2024, 02:01 PM ET
Close

ANN ARBOR, Mich. — Michigan star tight end Colston Loveland has been ruled out of Saturday’s game against No. 11 USC with an undisclosed injury.

Loveland suffered an apparent shoulder injury in last weekend’s win over Arkansas State. Michigan coach Sherrone Moore hasn’t specified the nature of the injury.

A preseason All-American, Loveland leads the Wolverines with 19 catches for 187 yards; no other Michigan pass catcher has more than nine receptions.

The No. 18 Wolverines also changed starting quarterbacks this week, moving from Davis Warren to Alex Orji. Warren had thrown six interceptions in three games, including three last weekend. He threw two picks in a 31-12 loss to Texas on Sept. 7.

Orji has only seven career passing attempts but has rushed for 58 yards in a relief role this season.

Moore said this week that he wants to see Orji “take the reins” of the Michigan offense with his opportunity.

“Excited for him,” Moore said. “I know he’s chomping at the bit.”