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— Josh

MARKETS

💰 Trump to Unveil Elimination of “Egregious” Democrat Programs Amid Shutdown

(Credit: White House/Shealah Craighead)

The Scoop: President Donald Trump announced that he will reveal on Friday the most "egregious socialist, semi-communist" Democratic-backed federal programs slated for permanent elimination amid the ongoing government shutdown, vowing they "won't reopen" as part of a broader bureaucratic overhaul, Axios reports.

The Details:

  • The administration is capitalizing on the partial government shutdown to enact deep cuts, including thousands of federal worker layoffs last week—following the dismissal of over 200,000 employees earlier this year—to reshape federal agencies.

  • Recent reductions have hit Democrat-favored entities such as the Environmental Protection Agency, Department of Health and Human Services, and Department of Education.

  • Speaker Mike Johnson (R-LA) slammed Democrat demands to end the government shutdown, including $3.9 million for LGBT democracy grants in the Western Balkans, as part of $1.5 trillion in new spending proposals.

What’s Next: Friday's announcement could accelerate the administration's deregulation agenda, potentially spurring legal challenges from Democrats and affected unions, while intensifying partisan gridlock over shutdown funding.

Market Roundup

🏦 Economy

  • Editor’s Pick: Federal Reserve Chairman Jerome Powell struck a dovish tone in a Philadelphia speech, solidifying expectations for a second rate cut at the October 28-29 meeting. (INV)

  • Trump threatened to terminate U.S. trade ties with China on cooking oil and other goods, branding Beijing's refusal to purchase American soybeans an "economically hostile act." (CNBC)

  • Trump threatened tariffs on Spain for failing to boost NATO defense spending to 5% of GDP, accusing Madrid of freeloading on U.S. protection. (BBG)

  • The IMF upgraded its 2025 U.S. growth forecast to 2% from 1.9%, due to Trump’s trade deals and supply chain adaptations. (AP)

📈 Hot Stock Picks

  • Editor’s Pick: Cathie Wood of Ark Invest touts AI-driven healthcare as a vastly underappreciated investment opportunity, predicting its potential to revolutionize drug discovery and diagnostics. (BI)

  • Pure Storage's shares have soared to all-time highs, cementing its status as an underappreciated force in the AI revolution through cutting-edge data storage solutions, according to Market Beat. (MB)

  • Dell Technologies is a compelling buy as its stock due to surging demand for AI-driven data center solutions and a recovering PC market, with analysts projecting a potential 20% upside, Barron’s says. (BAR)

  • The Schwab U.S. Dividend Equity ETF stands out as the premier choice for deploying $500 now, offering a 3.9% yield, and a valuation at three times book value, according to Motley Fool. (MF)

  • CoreWeave is evolving from an AI cloud hardware provider into a full-stack agentic infrastructure platform, fueling a trillion-dollar valuation potential, Seeking Alpha reports. (SA)

🏢 Industry

  • Editor’s Pick: Global automakers and governments are scaling back electric vehicle ambitions, following the U.S. lead, as high costs and consumer hesitancy drive a retreat from aggressive EV mandates. (WSJ)

  • Stellantis unveiled a $13 billion investment in U.S. manufacturing, aiming to create over 5,000 jobs and rolling out new products across plants in Michigan, Illinois, Indiana, and Ohio. (CNBC)

  • NBC News is set to eliminate 150 positions—about 7% of its workforce—this week amid Comcast's impending spin-off of MSNBC and other cable assets. (NYP)

  • Bilt Rewards is teaming up with United Wholesale Mortgage to let homeowners earn redeemable points on on-time mortgage payments starting in early 2026. (FBN)

🛢️ Energy & Commodities

  • Editor’s Pick: Texas developers are transforming 50,000 acres near Laredo into a hydrogen-fueled "Data City" hub, delivering 5 gigawatts of clean power for AI's voracious demands. (ENRE)

  • The U.S. Army launched the JANUS program to develop mobile nuclear energy systems for battlefield use. (AA)

  • Republicans are advancing a multifaceted push to shield oil giants from proliferating state and local climate-damage lawsuits. (ENCA)

  • Gold hit a record high near $4,200 per ounce, driven by expectations of Federal Reserve rate cuts. (INV)

🌕 Crypto

  • Editor’s Pick: BlackRock CEO Larry Fink outlined an ambitious strategy to expand the firm's tokenization efforts, aiming to lead in digitizing real-world assets. (PARA)

  • U.S. prosecutors charged Chinese émigré Chen Zhi, founder of Cambodia's Prince Group, in the largest-ever U.S. forfeiture of $15 billion in crypto tied to a "pig butchering" scam. (USAT)

  • Reform UK leader Nigel Farage proposed a Bitcoin reserve, 10% flat crypto tax, and scrapping the digital pound. (IND)

  • Former Democrat mega donor Sam Bankman-Fried claims his arrest was a politically motivated move by the Biden administration to stop his Republican donations, as he seeks clemency from Trump. (TB)

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TECH

💻 U.S. Military Secrets, Power Grids Exposed by Unencrypted Satellites

(Credit: Pexels)

The Scoop: A study by UC San Diego and University of Maryland researchers reveals that roughly half of geostationary satellite communications, including sensitive consumer, corporate, and government data, are unencrypted and vulnerable to eavesdropping, exposing critical information like T-Mobile user calls, military communications, and infrastructure operations, WIRED reports.

The Details:

  • Using an $800 off-the-shelf satellite receiver in San Diego, researchers intercepted unencrypted signals from geostationary satellites over three years, capturing data such as T-Mobile users’ calls and texts, in-flight Wi-Fi browsing, and communications from U.S. and Mexican military, law enforcement, and critical infrastructure like power grids and oil platforms.

  • The study, presented at an ACM conference in Taiwan, found exposed data including U.S. military vessel communications, Mexican military asset locations, and Mexico’s state-owned electric utility’s internal operations, with some U.S. infrastructure still unencrypted despite warnings.

  • The researchers estimate they accessed only 15% of global satellite signals, suggesting a vast amount of sensitive data worldwide remains at risk, potentially exploited by intelligence agencies or malicious actors with basic equipment.

What’s Next: The findings are likely to spur urgent action from telecoms, governments, and infrastructure operators to encrypt satellite communications, though retrofitting legacy systems could take years, leaving data exposed to interception and potential cyberattacks, including relay attacks on cellular networks.

Tech Roundup

🧠 AI

  • ⭐ Editor’s Pick: Walmart partnered with OpenAI to enable seamless shopping on ChatGPT, letting users browse and buy apparel, entertainment, and packaged goods through a dedicated "buy" button. (AX)

  • OpenAI CEO Sam Altman announced plans for a forthcoming ChatGPT update restoring the engaging "personality" users favored in GPT-4o, while introducing age-gated erotica features for verified adults. (X)

  • India's call-center industry confronts widespread job losses as AI chatbots take over human operations. (RTS)

  • Google Meet rolled out an AI-powered virtual makeup filter, offering customizable options for enhanced video appearances that stay stable during movement. (TC)

  • An AI-powered wearable device, STAT-ON, continuously monitors Parkinson’s symptoms, potentially enhancing treatment efficacy and reducing healthcare costs for patients. (NM)

🤖 Hardware & Robotics

  • ⭐ Editor’s Pick: A Department of Energy official tasked with nuclear stockpile oversight lost his security clearance after inadvertently uploading AI-generated "robot porn" to a government network. (404)

  • Apple plans to manufacture its tabletop robot in Vietnam by 2026, partnering with BYD to reduce reliance on China. (BBG)

  • Caltech's X1 system merges a humanoid robot with a drone backpack, enabling autonomous walking, flying, and driving for complex terrain navigation. (IE)

  • Dubai Police unveiled the AI-powered DPR-02 autonomous robotic patrol at Global Village, enhancing security with real-time data. (TOD)

🚀 Defense & Space

  • ⭐ Editor’s Pick: China's electronic warfare unit deployed a vehicle-mounted deception system to spoof radar signals, luring a foreign spy plane over the South China Sea into pursuing illusory warship targets. (DP)

  • The U.S. military’s SkyFoundry program is targeting production of over 10,000 drone units monthly by 2026. (DS)

  • U.S. Army leaders warn that first shots in future conflicts will strike in cyberspace, emphasizing AI-enhanced command and data as a critical assets. (DN)

  • A Texas farmer discovered a car-sized NASA research probe that crash-landed in a field after veering off course from a New Mexico facility. (UPI)

💰Venture Capital

  • ⭐ Editor’s Pick: Kailera Therapeutics, a biotech startup developing obesity drugs, secured a $600 million Series B funding round led by Bain Capital. (STAT)

  • Reducto, an AI document intelligence platform, secured a $75 million Series B funding round led by Andreessen Horowitz at a $600 million valuation. (TI)

  • Glue, the AI-driven Slack rival co-founded last year by David Sacks, raised a $20 million Series A led by Abstract Ventures. (AX)

  • Finch, a voice-powered AI platform automating paralegal administrative tasks, raised a $20 million Series A funding round at a $100 million valuation. (FRBS)

FREEDOM

🇺🇸 Trump Posthumously Awards Charlie Kirk the Presidential Medal of Freedom

(Credit: White House/Screenshot)

The Scoop: President Donald Trump posthumously awarded the Presidential Medal of Freedom—the nation's highest civilian honor—to slain conservative activist Charlie Kirk during a moving Rose Garden ceremony on Tuesday on what would have been Kirk's 32nd birthday, Fox News reports.

The Details:

  • Trump, fresh from Middle East peace talks, praised Kirk's role in building Turning Point USA into the largest conservative youth organization, forging bonds with young conservatives on issues like free speech, religious liberty, strong borders, and "America First" principles, calling his death a catalyst that amplified his legacy.

  • Kirk's widow, Erika Kirk, who accepted the medal and has been named TPUSA's new CEO, delivered an emotional speech reflecting on her husband's simple joys—like late-night walks and reading to their children—and thanked Trump for the "best birthday gift he could ever have," while noting Charlie's private prayers for his enemies.

What’s Next: Erika Kirk's leadership at TPUSA could supercharge conservative youth mobilization, potentially fueling midterm voter turnout and policy pushes on immigration and cultural issues.

Freedom Roundup

🏛️ Policy & Culture

  • Editor’s Pick: Rep. Ayanna Pressley (D-MA) ignited backlash after declaring "We are all on stolen land" on Indigenous Peoples' Day, prompting conservatives to demand she relinquish her Martha's Vineyard home. (DM)

  • A French court ruled that a government official's email demand for Rumble to remove videos from Russian news outlets lacked legal authority, prompting restoration of full access for French users. (BRUS)

  • Obama lashed out at corporate America's retreat from DEI initiatives amid Trump's agenda to dismantle them. (FBN)

  • NFL fans are escalating criticism of Jay-Z's partnership with the league to infuse Super Bowl halftime shows and other events with a woke political agenda. (GH)

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DISCLAIMER: The CAPITAL newsletter is for informational purposes only and does not constitute financial, investment, or professional advice. Readers should conduct their own research and consult a qualified financial advisor before making investment decisions. The CAPITAL newsletter and its owner and operator, Josh Caplan, are not liable for any loss or damage resulting from reliance on this information. The CAPITAL newsletter is solely owned and independently operated by Josh Caplan, separate from any employer affiliations.

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