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Biden Endorses Congressional Stock Trading Ban Amid Criticism

Biden on congressional stock trading/ stock trading ban Congress/ ethics in government/ congressional insider trading/ Biden interview stock market ban/ WASHINGTON/ Newslooks/ J. Mansour/ Morning Edition/ President Joe Biden has endorsed a ban on congressional stock trading, a stance aligning with growing public criticism over lawmakers profiting from insider information. While bipartisan efforts have yet to advance, Biden emphasized the need for legal reform to restore public trust.

President Joe Biden speaks during a Hanukkah reception in the East Room of the White House in Washington, Monday, Dec. 16, 2024. (AP Photo/Rod Lamkey, Jr.)

Biden Backs Congressional Stock Trading Ban: Quick Looks

  • Biden’s Stance: Advocates for banning stock trading by members of Congress and their families.
  • Populist Issue: Congressional trades during sensitive events, like the COVID-19 pandemic, sparked outrage.
  • Bipartisan Proposal: Legislation has support but hasn’t reached a vote.
  • Accountability Concerns: Many lawmakers fail to disclose stock transactions on time, violating rules.
  • Biden’s Legacy: Highlights focus on ethics and economic fairness.
  • Historic Context: Biden notes his personal avoidance of stock trading during his Senate career.

Biden Endorses Congressional Stock Trading Ban Amid Criticism

Deep Look

In a significant shift, President Joe Biden endorsed a ban on congressional stock trading, addressing a long-debated issue in Washington that has fueled public distrust. The statement came during an interview conducted by Faiz Shakir, a political adviser to Sen. Bernie Sanders, and was released by A More Perfect Union, a pro-labor advocacy organization.

Biden’s Position

“Nobody in the Congress should be able to make money in the stock market while they’re in the Congress,” Biden declared, signaling his support for reform aimed at preventing lawmakers and their families from leveraging insider information for financial gain.

This marks the first time Biden has explicitly weighed in on the topic. Previously, the White House avoided taking a firm position, with former Press Secretary Jen Psaki stating the issue should be left to congressional leadership.

Congressional Stock Trading Under Fire

Public frustration has grown over perceived conflicts of interest in Congress, particularly during crises like the early days of the COVID-19 pandemic. Some lawmakers made substantial stock trades after being briefed on the looming health emergency, raising ethical questions.

Although members of Congress are required to disclose transactions over $1,000, compliance has been spotty, with many failing to file on time or at all.

A bipartisan proposal to ban stock trading by lawmakers and their families has gained traction, boasting dozens of sponsors. However, the legislation has yet to reach a vote, reflecting ongoing resistance or inaction in Congress.

Biden’s Ethical Legacy

During the interview, Shakir praised Biden’s ethical conduct during his 36 years as a U.S. senator, noting that he avoided stock trading entirely. Biden echoed this sentiment, stating he relied solely on his government salary during his career.

“I don’t know how you look your constituents in the eye,” Biden said, criticizing lawmakers who profit from insider knowledge. He called for legal changes to rebuild public trust in government.

Timing and Impact

Biden’s statement comes just a month before the end of his term, leaving its immediate impact uncertain. Still, his endorsement may add momentum to the push for reform, particularly among populist lawmakers who have long advocated for banning congressional stock trading.

Broader Context

Biden’s remarks reflect a broader focus on economic ethics and fairness, aligning with his legacy of supporting unions, clean energy investment, and infrastructure development. As public scrutiny of congressional behavior intensifies, his endorsement could reinvigorate discussions about transparency and accountability in Washington.

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