US Lawmaker Demands Federal Probe Into Suspicious Oil Trades Ahead of Iran Hostility Pause

US Representative Ritchie Torres (D-N.Y.) is calling for a formal federal investigation into highly irregular trading activity in oil and equity futures markets. The activity took place immediately preceding President Donald Trump's March announcement of a five-day delay in military strikes against Iran's energy infrastructure. In letters addressed to SEC Chair Paul Atkins and CFTC Chair Michael Selig, Torres highlighted reports of massive, unhedged trades executed just minutes before the announcement was made via Truth Social. The lawmaker characterized the timing as a 'statistical impossibility' without the benefit of insider information, questioning why a trader would place such large bets without a hedge so close to a market-moving event. Reports indicate that more than $500 million in crude oil futures were traded in the 15-minute window prior to the announcement. Data suggests an abnormal surge in volume predicting a drop in oil prices and a recovery in equity markets, coinciding precisely with the shift in geopolitical tension. This request follows previous concerns raised by Torres regarding prediction markets, specifically a $400,000 payout on Polymarket related to the removal of Venezuelan President Nicolás Maduro. Torres has since introduced legislation to prohibit federal officials and political appointees from trading event contracts based on material nonpublic information. While the SEC has declined to comment and the CFTC has not yet responded, the pressure on regulators grows as Democratic lawmakers question the adequacy of oversight regarding offshore prediction markets and potential government-linked insider trading.