President Donald Trump used his State of the Union address to urge Congress to pass legislation banning lawmakers from trading individual stocks, prompting rare bipartisan applause inside the House chamber.
“Members of Congress cannot corruptly profit from using insider information,” Trump said, receiving a standing ovation from both Republicans and Democrats on an issue that has gained momentum across party lines in recent years.
The moment briefly bridged partisan tensions, though Trump also took aim at former Speaker Nancy Pelosi, a frequent target of Republican criticism over stock-market gains.
“Let’s also ensure that members of Congress cannot corruptly profit from using insider information,” Trump added. “Did Nancy Pelosi stand up? … Doubt it.”
House Republicans have struggled to unite their caucus behind legislation sponsored by Bryan Steil, known as the “Stop Insider Trading Act.” The bill would prohibit members of Congress from purchasing individual stocks while allowing investments in diversified funds. It currently lacks broad Democratic support, despite several Democrats introducing similar proposals in recent years.
“It needs to be done,” said Chip Roy, a co-sponsor of Steil’s bill, after Trump’s address. “We have a vast majority of Republicans who support it — varying degrees. Got a little bloc who don’t. You got Democrats. And now it’s just playing a dance of what we actually move.”
Representative Mike Lawler, another co-sponsor, said lawmakers often possess nonpublic information that could affect markets. “When you’re serving on these committees, you are privy to information that other people just are not aware of,” he said. Lawler acknowledged concerns about members who entered Congress with existing business-related stock holdings but said Steil’s bill attempts to address those realities.
Despite Trump’s public push, the measure faces a steep climb. Supporters concede it still falls short of the 218 votes needed in the House and the 60 required in the Senate, with resistance from a portion of Republicans and uncertain backing from Democrats.
In other policy appeals during his speech, Trump urged Congress to pass federal voter ID legislation and advance his health-care plan. Neither proposal is expected to move forward this year due to narrow majorities in both chambers and deep partisan divisions.
