Investor Peter Schiff on Sunday accused President Donald Trump of lying about the situation in the Middle East, as Iran closed the Strait of Hormuz once again amid uncertainty.
Market Manipulation
In a post on X, Schiff delivered sharp criticism of Trump, saying that the likely reason for “Trump’s Truth Social lies” about the situation in Iran on Friday was “market manipulation.” He added that Trump’s insiders “must have made billions” from the trade. Schiff then criticized Trump as being “incompetent” or “delusional.”
$760 Million Oil Trade
Schiff’s comments come as Reuters reported on Friday that traders placed a $760 million bet on falling crude oil prices around 20 minutes prior to the Iranian Foreign Minister announcing the reopening of the Strait of Hormuz.
The report said that between 12:24 GMT and 12:25 GMT, multiple investors sold over 7,990 lots of Brent crude futures, citing data from the London Stock Exchange Group(LSEG). The trade was worth over $760 million, according to the prices at the time.
The well-timed nature of the trade, as well as other similar trades in the past, has raised questions about insider trading, with Rep. Sam Liccardo (D-Calif.) alleging that the trades indicated advanced knowledge, in a letter to the Securities and Exchange Commission Chair Paul Atkins.
Iran’s Speaker Of Parliament Slams Trump
On Sunday, Iran’s Speaker of Parliament, Mohammad Bagher Ghalibaf, slammed the Trump administration in a cryptic post on X, saying that “Vibe-trading digital oil” was like “vibe-hedging in treasuries during Hormuz risk-off.” He said that both the futures shared one “house of cards” which worked on paper, but the difference was that oil had “Dated Brent,” but U.S. treasuries were “vibes all the way down.”
Ghalibaf, via his post, implied that while the U.S. treasuries remained a solid, safe investment on paper, oil had intrinsic value on the ground, which was backed by actual trade figures like the number of shipments delivered and more. On the other hand, he signaled that U.S. government bonds have no such value and are purely based on sentiment.
The speaker had earlier threatened to expose Wall Street insiders, who were allegedly manipulating U.S. policy against Tehran.
Peter Schiff’s Criticism Of Trump
Schiff had earlier criticized Trump, warning that a U.S.-led blockade of the Strait of Hormuz could be perceived as an “act of war” by countries that were affected due to the move. He also questioned whether the U.S. had the right to stop China from purchasing oil.
Check out more of Benzinga’s Future Of Mobility coverage by following this link.
Image via Shutterstock
Recent Comments