Trump's Pauses Tariffs, Market Rallies

President Trump announced a 90-day suspension of planned tariff increases for most countries, reducing tariffs to a baseline of 10%. However, he escalated tariffs on Chinese imports to 125%, citing China's retaliatory measures and trade practices. This move led to a significant surge in U.S. stock markets, with the S&P 500 and Nasdaq experiencing substantial gains. The tariff suspension for most countries may ease global trade tensions temporarily and restore investor confidence, as evidenced by the market rally. However, the significant increase in tariffs on Chinese imports could further strain U.S.-China relations, potentially leading to prolonged economic disputes and impacting global supply chains. The mixed reactions from political and business leaders suggest uncertainty about the long-term effects of these policies on the U.S. economy and international trade partnerships.

House GOP Halts Budget Vote Amid Deep Divisions Over Trump’s Agenda and Spending Cuts

House Republican leaders abruptly canceled a key vote on the Senate’s budget resolution late Wednesday, acknowledging a lack of support from within their own ranks. Speaker Mike Johnson and his team faced opposition from fiscal hardliners unwilling to back the plan without deeper spending cuts. The setback deals a blow to former President Donald Trump’s legislative priorities, as the budget resolution is crucial for advancing tax cuts, military spending, and border security investments through a reconciliation process that avoids the Senate filibuster. House leaders are now considering amending the Senate’s proposal or initiating a conference to reconcile differences. With a two-week recess approaching, further progress may be delayed unless lawmakers reconvene early.

Texas Chemical Plant Could Become First Factory Powered by Onsite Nuclear Reactors

Dow Chemical and X-energy are advancing plans to integrate nuclear power directly into industrial manufacturing by building small modular nuclear reactors at Dow’s Seadrift, Texas, facility. The two companies have submitted a construction permit application to the U.S. Nuclear Regulatory Commission (NRC), a key milestone that could make the Seadrift plant the first in the world to use nuclear reactors onsite for both steam and electricity production. The facility will use X-energy’s Xe-100 high-temperature gas-cooled reactors, capable of producing consistent high-grade steam essential for industrial processes. Each of the four planned reactors will serve specific functions—from powering operations to selling electricity to the grid. If approved and constructed, the facility is expected to begin operation early in the next decade, potentially setting a precedent for nuclear-powered data centers and heavy industry as part of broader decarbonization efforts.

Why Nvidia Surged 18%

Nvidia shares skyrocketed 18.1% to close at $114.24 after President Trump announced a 90-day pause on most tariffs and reduced reciprocal tariffs to 10%, sparking a dramatic surge across U.S. markets. Investors responded positively to what appeared to be a shift toward a more measured and predictable trade approach, easing fears that had been weighing heavily on high-growth tech stocks. Nvidia, which had recently suffered from escalating trade tensions and tariffs on U.S. goods by China, benefited from renewed investor confidence that the worst of the disruption might be delayed or softened. As a leader in graphics chips and AI hardware, Nvidia is particularly sensitive to global supply chains and export markets, especially China. The prospect of short-term trade stability—despite China being excluded from the pause—was enough to fuel a powerful rally in the stock, which had already been under pressure throughout the year.