Debt-ceiling deal wildly profitable for mystery trader, raising suspicions of insider trading

[Nevilledog]

https://fortune.com/2023/06/04/debt-ceiling-bill-insider-trading-mountain-valley-pipeline-equitrans-midstream/

No paywall
https://archive.is/TQcAH


The US government’s move to greenlight a 300-mile natural gas pipeline as part of legislation to stave off a Treasury default shocked just about everyone, except for a mystery trader who somehow appears to have seen it coming.

On Wall Street, analysts had mostly expected vague promises on energy permits to be included in a bill to raise the US debt ceiling. Yet, options trading suggests something bigger may have been in the offing.

On May 24 — several days before an agreement was announced — a huge bullish bet was made on Equitrans Midstream Corp., data compiled by Bloomberg show. The company is deeply involved in the long-delayed Mountain Valley Pipeline. The wager involved snapping up 100,000 call options on the firm’s stock.

It proved prescient and wildly profitable within just a few days.

On May 27, White House and Republican lawmakers reached a deal that would give the long-delayed Mountain Valley Pipeline the final approvals needed to complete the project.

Throughout April and much of May, negotiators from the White House and Congress went back and forth on broad-stroke parameters of an agreement. Almost until the very end, the details were closely held and in flux. Doubts lingered over whether a deal would be reached before the US was scheduled to run out of money in early June.

*snip*

[DURHAM D]

1. The Manchin family.

[brush]

2. My first thought. I'm not fan of Manchin's but if his name surfaces...

Last edited Mon Jun 5, 2023, 03:12 PM - Edit history (1)

he's liable to lose to a repug challenger, making our Senate majority even slimmer...even though he's not always with our Dem agenda.

[we can do it]

5. He is already likely to lose (stupid autocorrect) to WV governor.

Last edited Mon Jun 5, 2023, 04:49 PM - Edit history (1)

[brush]

9. Getting desperate, looking to cash out?

Last edited Mon Jun 5, 2023, 04:57 PM - Edit history (1)

[we can do it]

11. Anything is possible, I'm afraid.

[Initech]

3. Let me guess, mystery trader is also MAGA and watches Fox 24/7.

[Autumn]

4. Which Senator or Representative was it and will they be charged with insider trading or

get the powerful pass?

[Hassin Bin Sober]

6. Aren't they actually exempt from those laws?

[onethatcares]

7. yep.

we mere mortals aren't however.

[Autumn]

8. With any luck it will be a big GOP donor.

[brush]

10. Theoretically, no, but often they've been untouchable. But wasn't that...

Repub senator from Georgia, Loeftler who lost to now Dem. senator Warnock. Loeffer and another senator, Burr, were investigated for insider trading. She was cleared but Burr is still under investigation.

So I guess we might as well say they're immune as it seems they never get charged.