Donald Trump, for all his many faults, is reportedly considering an ambitious plan. It’s key to accelerating the development of factories and other critical infrastructure across America. This new initiative is the product of current, year-long trade negotiations with Japan. Here’s what it does. It would create a $550 billion national investment fund to rebuild America’s manufacturing capacity and infrastructure.
The timing of this plan’s announcement couldn’t be better, considering Trump is set to remove the de minimis exemption. That regulation allowed these low-value packages to enter the U.S. trade duty-free. This major policy change will dramatically alter the world of international trade. It would have a significant adverse effect on U.S. economic relations with our most important trading partners, particularly China.
On September 18, 2025, Trump unveiled an agreement with UK Prime Minister Keir Starmer during a press conference at Chequers in Aylesbury, England. This agreement is a key piece of a larger strategy to deepen transatlantic relations and respond to urgent economic demands.
Even as these breakthroughs take place, some industries are adapting at record speed to the new economic order while others lag behind. And Lennar, one of the nation’s largest homebuilders, last week delivered some very bad news. Neither mortgage rate buydowns nor home price reductions were enough to lure new home buyers in Q3. This trend further underscores the persistent hurdles that remain in the housing market even with attractive financing available.
United Parcel Service (UPS) continues to navigate difficult macroeconomic pressures. The company has been hampered by a weak and slow to recover demand from customers, noted analysts at BMO Capital Markets. Those challenges mirror larger macro trends affecting supply chains and logistics in an evolving landscape of trade policy.
On the financial end, Scholastic announced a net loss of $2.52 per share for the fiscal first quarter. That figure is an increase over last year’s $2.13 per share loss. This performance, while impressive, calls attention to the strains the company is under, which is reflected in an increasingly cutthroat educational publishing milieu.
Investor and founder of the world’s largest hedge fund Bridgewater Associates, Ray Dalio, has sounded the alarm on reckless U.S. government spending. He thinks the growing debt is “unsustainable.” He cautioned that the country is on the brink of a significant fiscal disaster that may threaten its monetary system. Beyond Bitcoin and defi, Dalio pointed out the utility of non-fiat currencies as emerging stores of wealth.
“We are going to see non-fiat currencies become more important store of wealth and money,” – Ray Dalio
Dalio’s comments ring true during this moment of heightened scrutiny of economic policies and their long-term effects. Fadi Chamoun, an analyst, elaborated on the effects of changing trade policies, stating, “Shifting trade policies and the ending of the de minimis exemptions are adding to the macro challenges, with negative impact on some of the major higher density (i.e., higher profitability) trading routes, including China.”
In contrast, some sectors are booming in spite of these obstacles. Notable runners in the space included SolarEdge Technologies, which had its shares rise 4% as part of a strong weekly jump of 24%. This massive growth is indicative of the overwhelming demand for innovative technologies that can advance renewable energy.
Last week, Brighthouse Financial grabbed headlines when its stock shot up 26%. That jump came after news that the company might be acquired by a consortium led by Aquarian Holdings, which is in discussions to acquire the company for somewhere between $65 and $70 a share.
The semiconductor industry is similarly primed for a boom. ASML is expected to benefit from rising demand for semiconductor equipment following a substantial $5 billion deal between Nvidia and Intel. Didier Scemama, a leading industry expert, commented on what this merger means for competitiveness in both the datacenter and PC markets.
“While the [Intel] deal stops short of a foundry agreement between the two parties, we think that a potentially more competitive Intel in both datacenters and PCs should be positive for semicaps,” – Didier Scemama
Market analysts have noted that despite seasonal trends typically leading to pullbacks in September, this year’s market has defied expectations. Mark Hackett, chief market strategist at Nationwide, remarked on this phenomenon:
“While September has historically delivered pullbacks, this year’s market has defied that pattern — climbing 35% since March with strong technical and fundamental tailwinds.”
The source of this resilience is three-fold. Progress in artificial intelligence (AI), robust corporate profits and resilient consumer expenditures all make good cases for powering that strength. Ulrike Hoffmann-Burchardi, global head of equities, UBS Global Wealth Management, pointed out that a Federal Reserve easing cycle, when implementation collides with a non-recessionary environment, has an innate advantage at boosting stock performance.
“A Fed easing cycle in a non-recessionary environment has historically helped support stocks, and we see further gains underpinned by AI, earnings, and consumption,” – Ulrike Hoffmann-Burchardi
Newmont Corporation announced it sold its stake in Orla Mining for $439 million, reflecting strategic repositioning within the mining sector.
As part of this move on Friday, one exchange-traded fund (ETF) that tracks uranium prices skyrocketed to all-time record highs. It broke records that were more than 15 years old! This recent milestone is a sign of increasing investor interest in uranium as a resource as the global energy landscape rapidly changes.
Donald Trump’s infrastructure plan is beginning to take form. Since implementation, market participants have been keenly focused on how different sectors are responding to the changing economic landscape. The robust connection between domestic initiatives and international trade policies is sure to impact future economic development opportunities.