It’s a great day to be a Capitalist,

Big news in the Supreme Court today could mean a huge opportunity for the Trump admin, the stock market is roaring to new heights and a trade agreement with China is coming into sharper focus. Times are good in the ole U.S.A!

Here is everything you need to know today:

Stock Market hits new all time highs this morning

The S&P 500 and Nasdaq just hit record highs, and it’s all tied to some exciting developments in trade talks, bets on Federal Reserve moves and investors feeling pretty optimistic about tech and the economy’s future.

• Stock Market Surge: The S&P 500 and Nasdaq both climbed about 0.6%, with the S&P 500 on track for its first record close since February, while the Dow gained 0.7% (over 300 points), driven by optimism around trade and monetary policy.

• Nasdaq’s New Peak: The Nasdaq climbed to 20,243 points, up 0.4%, beating its previous high of 20,204 from December 16, driven by excitement over AI and tech companies.

• Trade and Tariff Optimism: Investors are upbeat due to cooling trade tensions between the U.S. and China, with President Trump’s “Liberation Day” tariffs looming but hopes rising for productive U.S.-China trade talks.

• Fed Rate Cut Hopes: Markets are rallying as investors bet on a potential Federal Reserve rate cut, spurred by upcoming inflation data and weaker economic indicators like a 0.5% GDP contraction in Q1 2025.

• Bull Market Vibes: This surge puts the Nasdaq on track to confirm a bull market, fueled by hopes for looser monetary policy and strong investor confidence in tech.

• The Top Line Market Numbers:

• DOW: 43861.98 - (⬆️1.10) ✅

• S&P: 6183.48 - (⬆️0.69) ✅

• NASDAQ: 20306.19 - (⬆️0.69) ✅

• CBOE VIX Volatility Index: 16.48 (⬇️0.11) ⚠️⬇️

Open door for Trump: SCOTUS rules to limit lower court power

The Supreme Court ruled 6-3 to limit when lower courts can issue nationwide injunctions that block Trump's executive orders across the entire country. This gives Trump a partial victory as his administration tries to implement major policies, though the court didn't rule on whether his birthright citizenship order is actually constitutional.

• What Changes: Lower courts can still block Trump's policies in certain cases, but they have to be more careful about when they stop policies nationwide versus just protecting specific people who sue. The court said federal judges don't have unlimited power to issue these sweeping nationwide blocks and told lower courts to move quickly to figure out how this applies to current cases.

• Liberal Justices Strongly Disagree: The three liberal justices harshly criticized the decision, with Justice Sotomayor saying it's an "open invitation for the Government to bypass the Constitution." Justice Jackson worried it will hurt "the poor, the uneducated, and the unpopular" who can't afford lawyers to fight harmful policies in court.

• Real-World Impact: This affects over 300 federal lawsuits challenging Trump's policies since he took office in January, including cases about transgender military service, foreign aid, and Elon Musk's government efficiency program. The ruling makes it harder for judges to completely stop Trump's policies nationwide, though people can still sue for individual protection.

• 30-Day Pause: The court gave a 30-day break from enforcing the birthright citizenship order while lower courts figure out how to apply the new rules. Attorney General Pam Bondi celebrated the decision, saying it would stop the "endless barrage of nationwide injunctions against President Trump" and help the administration defend its policies.

China and the US have agreed on a trade deal framework

The U.S. and China, have just hashed out key details of a trade deal that could cool down their heated trade war.

• Trade Truce Details Finalized: After intense talks in London, the U.S. and China agreed on a framework to implement a deal from Geneva, with China easing export controls on key items and the U.S. lifting some restrictions on Beijing.

• Trump’s Announcement: President Trump claimed a deal was signed, though a White House official clarified it’s an "additional understanding" to stabilize trade, following negotiations led by U.S. Treasury Secretary Scott Bessent and Chinese Vice Premier He Lifeng.

• Economic Impact: This agreement aims to prevent a return to sky-high tariffs and supply chain chaos, offering relief to industries like tech and automotive that rely on Chinese rare earths.

Quote of the Day:

NATO’s new defense spending deal will be good news for American firms

NATO’s recent defense spending agreement could reshape trade dynamics between the EU and the U.S. while strengthening Europe’s defense game. EU Council President Antonio Costa spilled the details.

• NATO’s Big Spending Boost: NATO allies agreed to ramp up defense spending from 2% to 5% of GDP by 2035, aiming to balance the defense burden and address U.S. concerns about Europe’s contributions.

• Trade Tension Relief: Costa says this deal tackles the main trade issue between the EU and U.S., with Europe set to buy more American weapons, potentially smoothing out trade talks before a July deadline.

• Trump’s Influence Pays Off: The agreement aligns with U.S. President Trump’s push for Europe to step up, with Costa calling it a “big win” that rebalances transatlantic defense responsibilities.

NYC Socialist wants to spend billions from taxes to freeze rents

The race for NYC mayor is heating up, and Zohran Mamdani’s socialist housing plan is making waves—especially among real estate developers who aren’t thrilled about it. Housing affordability is a massive issue in the city, and Mamdani’s ideas could reshape how New York tackles its housing crisis.

• Mamdani’s Big Plan: Zohran Mamdani, the democratic socialist Queens assemblyman and mayoral candidate, is pushing a $100 billion proposal to freeze rents for 2.4 million stabilized tenants and build 200,000 new affordable homes, funded partly by $70 billion in city borrowing and higher taxes on corporations and wealthy residents.

• Developer Pushback: Real estate developers are slamming the plan, arguing it attacks the industry that builds housing, potentially discouraging new construction and worsening the housing shortage.

• Rising Tensions: While Mamdani’s plan resonates with progressive voters frustrated by sky-high rents (NYC’s median rent hit $3,397), developers and landlords worry it could lead to financial strain, with some even threatening to leave the city if policies like rent freezes are enacted.

DOGE just dropped their latest government waste report and it’s a doozy

It may be out of the news but The Department of Government Efficiency (DOGE) is cutting wasteful contracts, even after Elon Musk stepped back from leading it.

• Big Savings Achieved: DOGE canceled 312 contracts with a total ceiling value of $2.8 billion, saving taxpayers $470 million in just one week.

• Targeting Wasteful Spending: Examples include nixing a $286,000 Department of Defense contract for a Harvard entrepreneurship course and a $485,000 USAID contract for a senior advisor in Madagascar.

• Continued Momentum: Despite Elon Musk’s departure after a public spat with President Trump, DOGE’s mission to root out waste, fraud, and abuse in government spending continues strong.