President Donald Trump announced on Thursday that the Bureau of Labor Statistics (BLS) had overestimated jobs under the Biden administration, citing unpublished census data.
Trump invited Stephen Moore, of rightwing thinktank Heritage Foundation, to present findings from the census bureau data, which he said would not be released for another six months.
Moore said that Trump had made the right call by firing BLS Commissioner Erika McEntarfer, after he alleged that the bureau had made a “gigantic error” by overestimating jobs gained under then-President Joe Biden by 1.5 million. Newsweek has not been able to independently verify that figure.
Trump also signed a series of executive orders on Thursday, focusing on banking and investments, as well as university admissions. They included an order that allows riskier assets, such as real estate, private equity, and cryptocurrency, to be included in 401(k) retirement accounts.
What To Know
Trump’s 401(k) order will allow private equity and other fund managers to tap into trillions of dollars of Americans’ retirement savings.
The president said in his order, “A combination of regulatory overreach and encouragement of lawsuits filed by opportunistic trial lawyers has stifled investment innovation and largely relegated 401(k) and other defined-contribution retirement plan participants to asset classes whose returns lack the very same long-term net benefits allowed for and achieved by public pension plans and other institutional investors.
“My Administration will relieve the regulatory burdens and litigation risk that impede American workers’ retirement accounts from achieving the competitive returns and asset diversification necessary to secure a dignified, comfortable retirement.”
Trump’s “debanking” order seeks to punish banks for restricting or blocking services to customers based on their political or religious beliefs.
Conservatives and crypto industry advocates have been pushing for Trump to direct federal banking regulators to remove “reputational risk” language from their guidance, which they say has been used to exclude them from mainstream organizations.
Newsweek’s live blog is closed.
07:00 PM EDT
Trump addresses fast-approaching ceasefire deadline for Putin
President Donald Trump spoke today about the Friday deadline for Russian President Vladimir Putin to reach a ceasefire in Ukraine.
Last month, Trump announced Putin had until August 8 to agree to a ceasefire in Ukraine, or the U.S. would impose secondary sanctions or tariffs on Russia and its trade partners.
However, when asked if his deadline still stood for the Russian leader tomorrow, Trump replied, “It’s gonna be up to him.”
“We’re going to see what he has to say, but it’s going to be up to him. Very disappointing,” he added.
REPORTER: Does your deadline for Vladimir Putin still stand tomorrow?
TRUMP: Say it — what?
REPORTER: Is your deadline still standing for Putin to agree to a ceasefire tomorrow?
TRUMP: It’s gonna be up to him. Very disappointed. pic.twitter.com/x7dtQ5biZy
— Aaron Rupar (@atrupar) August 7, 2025
06:44 PM EDT
‘It wasn’t that easy for me either’ says Trump as he honored Purple Heart recipients
President Donald Trump held a White House event honoring Purple Heart recipients on Thursday.
Trump gave a special thank you to one veteran who had mailed in his own Purple Heart to the president after the assassination attempt in Butler, Pennsylvania last year.
Marine Corps veteran Staff Sgt. Thomas Mateo, who was wounded during two tours of Vietnam, said he was one of many veterans who had sent him their medals after the shooting.
“I want to thank you very much,” Trump said. “What a great honor to get those Purple Hearts.”
“I guess in a certain way, it wasn’t that easy for me either, when you think of it. But you went through a lot more than I did, and I appreciate you all very much.”
on Thursday, President Donald Trump thanked a veteran in the audience for sending him his own medal last year, after the president was shot during a campaign rally in Butler, Pennsylvania.
06:26 PM EDT
WATCH: Trump shares clip of White House economic announcement, comparing his and Biden’s first terms
06:24 PM EDT
Who is Stephen Miran? Donald Trump’s pick for key Federal Reserve role
Stephen Miran, chairman of the Council of Economic Advisors, walks at the White House, June 17, 2025, in Washington.
Stephen Miran, chairman of the Council of Economic Advisors, walks at the White House, June 17, 2025, in Washington.
Associated Press
President Donald Trump on Thursday announced his intent to nominate Stephen Miran, chairman of the White House’s Council of Economic Advisers, to the Federal Reserve Board of Governors. Miran would temporarily fill the seat left vacant by Biden appointee Adriana Kugler, who is stepping down Friday. If confirmed by the Senate, Miran would serve until January 31, 2026.
The appointment marks Trump’s first opportunity in his second term to exert more direct control over the Federal Reserve—an institution he has repeatedly criticized. Trump last week lashed out at Fed Chair Jerome Powell on social media, calling him “a stubborn MORON” for not cutting interest rates amid his sweeping new tariffs.
Miran has emerged as a vocal defender of Trump’s economic agenda, particularly the 2025 tax cuts and the broad tariff regime. He has argued these policies will drive economic growth and help reduce budget deficits, while minimizing the risk of inflation. His nomination is likely to raise concerns over political influence at the Fed, an institution long prized for its independence.
Even with Miran’s appointment, many of the Fed’s 12 voting officials remain wary of inflationary pressure from Trump’s policies. After the July jobs report, Miran criticized Powell again, asserting that Trump had been proven right on inflation in his first term and would be again.
“What we’re seeing now in real time is a repetition once again of this pattern where the president will end up having been proven right,” Miran said on MSNBC. “And the Fed will, with a lag and probably quite too late, eventually catch up to the president’s view.”
06:08 PM EDT
Trump suggests BLS deliberately overestimated jobs under Biden
President Donald Trump suggested on Thursday that the Bureau of Labor Statistics (BLS) may have deliberately overestimated jobs under the Biden administration.
Stephen Moore, of rightwing thinktank Heritage Foundation, was presenting findings from unpublished census bureau data, which he said would not be released for another six months.
“They overestimated job creation during the Biden administration. That is a huge error,” Moore said at the White House.
“It might not have been an error,” Trump responded. “That is the bad part. I think they did it purposely.”
Moore: They overestimated job creation during the Biden administration. That is a huge error.
Trump: It might not have been an error. That is the bad part. I think they did it purposely.
Moore: You may well be right.. pic.twitter.com/rwS3ZQcBaE
— Acyn (@Acyn) August 7, 2025
05:57 PM EDT
Supreme Court receives new request from Donald Trump
The Trump administration on Thursday asked the U.S. Supreme Court to lift a lower court’s order that blocked immigration stops in Southern California, which a federal judge deemed indiscriminate and unconstitutional.
The emergency appeal follows a refusal by the Ninth Circuit Court of Appeals to dissolve the temporary restraining order. That order was issued by U.S. District Judge Maame E. Frimpong, who cited a “mountain of evidence” suggesting that the federal government’s immigration enforcement tactics in the region violated constitutional protections against unreasonable searches and seizures.
In its filing, the administration argued that Judge Frimpong’s order poses a significant barrier to enforcing federal immigration laws. The Justice Department contends that the decision unjustly restricts the ability of federal agents to carry out lawful enforcement operations.
The case now moves to the high court, where justices will decide whether to grant emergency relief pending further litigation.
05:48 PM EDT
WATCH: Trump makes economic announcement on jobs, household income
05:46 PM EDT
Democrat Net Favorability Plunges to Near Three-Decade Low, Poll Shows
A new survey from CNBC on Thursday shows that the Democratic Party‘s net favorability has hit a near three-decade low. In the new poll, the Democratic Party carries a -32 net favorability rating among registered voters.
“The -32 rating appeared to be the lowest rating for either party going back to at least 1996,” CNBC said of the survey.
The Party has a 24 percent positive rating and a 56 percent negative rating.
Trump’s approval rating in the same poll is 46 percent versus a 51 percent disapproval rating. The president had a negative net approval rating on key policy issues like tariffs, inflation, taxes and federal spending.
Read in full from Anna Commander on Newsweek.
05:16 PM EDT
Trump says households gained ten times more income under him, than Biden
During President Donald Trump’s first five months in office, the average median household income went up by $1,174, according to Stephen Moore, of rightwing thinktank Heritage Foundation.
Moore, citing unpublished census bureau data, which he said would not be released for another six months, said that he had then compared monthly estimates of net change in real household income between Trump and Joe Biden’s first terms.
“You gained ten times more income for the average family than Joe Biden,” he told Trump, adding that households had gained $6,400 under him, compared to $551 under Biden.
“Every income group did better under Trump than Biden,” he added.
05:07 PM EDT
Trump says BLS overestimated jobs under Biden by 1.5 million
President Donald Trump announced on Thursday that the Bureau of Labor Statistics (BLS) had overestimated jobs under the Biden administration, citing unpublished census data.
Trump invited Stephen Moore, of rightwing thinktank Heritage Foundation, to present findings from the census bureau data, which he said would not be released for another six months.
Moore said that Trump had made the right call by firing BLS Commissioner Erika McEntarfer, after he alleged that the bureau had made a “gigantic error” by overestimating jobs gained under then-President Joe Biden by 1.5 million.
Newsweek has not been able to independently verify that figure.
04:46 PM EDT
Trump orders universities to submit admissions data to prove they’re not doing affirmative action
President Donald Trump has signed a new executive order demanding that universities across the U.S. submit their admissions data in order to prove they are not engaging in affirmative action.
The order, signed Thursday, also directs Secretary of Education Linda McMahon to expand the data that colleges and high education institutions need to submit to the administration.
McMahon will also increase accuracy checks of data submitted through the Integrated Postsecondary Education Data System. Action can be taken if the government decided the data is not up to its standards.
“American students and taxpayers deserve confidence in the fairness and integrity of our Nation’s institutions of higher education, including confidence that they are recruiting and training capable future doctors, engineers, scientists, and other critical workers vital to the next generations of American prosperity,” Trump said in the order.
“Race-based admissions practices are not only unfair, but also threaten our national security and well-being. It is therefore the policy of my Administration to ensure institutions of higher education receiving Federal financial assistance are transparent in their admissions practices.”
04:35 PM EDT
What does Trump’s executive order on 401(k) investments say?
Trump’s Thursday executive order aims to make it easier to allow riskier assets, such as real estate, private equity, and cryptocurrency, to be included in 401(k) retirement accounts.
The order instructs the Secretary of Labor to “prioritize actions that may curb ERISA litigation that constrains fiduciaries’ ability to apply their best judgment in offering investment opportunities to relevant plan participants.”
ERISA litigation are lawsuits related to the Employee Retirement Income Security Act of 1974 (ERISA). These cases often involve disputes over employee benefits, such as retirement and health plans, such as breaches of fiduciary duty, prohibited transactions, and other violations.
The Labor Secretary is also instructed to reexamine the Department of Labor’s past and present guidance regarding a fiduciary’s duties under ERISA in connection with “making available to participants an asset allocation fund that includes investments in alternative assets. When conducting this reexamination, the Secretary shall consider whether to rescind the Department of Labor’s December 21, 2021, Supplemental Private Equity Statement.”
Also to seek to clarify the Department of Labor’s position on alternative assets and the “appropriate fiduciary process associated with offering asset allocation funds containing investments in alternative assets under ERISA.”
“Such clarification must aim to identify the criteria that fiduciaries should use to prudently balance potentially higher expenses against the objectives of seeking greater long-term net returns and broader diversification of investments,” the order read.
04:21 PM EDT
Trump blasts ‘opportunistic’ lawyers as he signs 401(k) executive order
President Donald Trump has signed an executive order titled, “Democratizing access to alternative assets for 401(k) investors.”
In his order, Trump promises to relieve the “regulatory burdens” which he said are stopping Americans from achieving a “comfortable retirement.”
“A combination of regulatory overreach and encouragement of lawsuits filed by opportunistic trial lawyers has stifled investment innovation and largely relegated 401(k) and other defined-contribution retirement plan participants to asset classes whose returns lack the very same long-term net benefits allowed for and achieved by public pension plans and other institutional investors,” Trump said.
“My Administration will relieve the regulatory burdens and litigation risk that impede American workers’ retirement accounts from achieving the competitive returns and asset diversification necessary to secure a dignified, comfortable retirement.”
03:58 PM EDT
Trump to sign executive order targeting race-based college admissions
Trump is set to sign an executive order requiring colleges to submit detailed admissions data to prove they are not using race as a factor in their selection process. The move follows the 2023 Supreme Court decision that struck down affirmative action but allowed applicants to discuss how race shaped their lives in personal essays.
The Trump administration argues that universities are using personal statements and other indirect methods to continue factoring race into admissions. The executive order mirrors recent federal settlements with Brown and Columbia universities, which agreed to provide data on applicants’ race, GPA, and test scores, undergo audits, and release admissions statistics publicly.
03:54 PM EDT
Investment software expert welcomes Trump’s executive order on 401(k)
Simon Tang, the U.S. head at investment software firm Accelex, welcomed the news that President Donald Trump was making it easier for private equity to be offered in retirement investments.
“Trump’s move to allow private equity in 401(k)s is a positive step towards democratizing alternative assets,” he told Newsweek. “Private markets are no longer the obscure, high-risk investments they once were. They’ve matured into a strong-performing asset class delivering excellent long-term returns, so this is good news for Americans. It’s also good news for fund managers, opening up fresh capital flows at a time when the industry could use a boost.
“But there’s a catch: transparency. When it comes to investing in stocks, retail investors are used to instant pricing, clean data, and daily performance updates. Private markets are a different ballgame. There’s no real-time information, no ticker and no standardization, just fragmented documents and unstructured formats. Even some institutional investors rely on teams of people to piece together basic information on their investments. Retail investors could end up taking on risks without having a full picture of the investment.”
03:41 PM EDT
Trump orders colleges to disclose more admissions data amid scrutiny over race-based practices
Trump is set to sign a memorandum requiring colleges and universities that receive federal funding to expand the admissions data they share with the federal government. The directive, aimed at increasing transparency, follows the 2023 Supreme Court ruling that barred race-based admissions in higher education.
Under the memorandum, Education Secretary Linda McMahon will oversee a revamp of the Integrated Postsecondary Education Data System (IPEDS), the federal database that tracks college metrics. The goal is to make admissions data more accessible and understandable for students and families, while ensuring institutions are not engaging in unlawful discrimination.
The White House fact sheet notes concerns over the lack of available data and the continued use of diversity statements and other potential racial proxies in admissions decisions. The new reporting requirements will include accuracy checks and penalties for noncompliance.
This move is part of a broader push by the Trump administration to scrutinize diversity, equity, and inclusion initiatives on campuses. Recent settlements with Columbia and Brown universities have already mandated increased transparency in their admissions and hiring practices.
03:31 PM EDT
Executive order is the latest move by Trump to fulfil his campaign promise make America the ‘crypto capital’
President Donald Trump appears to be following through with his campaign promise to make the U.S. the “crypto capital of the planet.”
Since taking office, Trump has signed executive orders rolling back Biden-era regulations, banned a U.S. central bank digital currency, and formed a Presidential Working Group on Digital Asset Markets.
His administration created a Strategic Bitcoin Reserve from seized crypto holdings, paused major SEC enforcement actions against exchanges like Coinbase and Ripple, and appointed pro-crypto adviser David O. Sacks to lead policy coordination.
On the legislative front, Trump signed the bipartisan GENIUS Act in July 2025, setting the first national framework for stablecoins, and issued an order in August allowing cryptocurrencies in 401(k) retirement plans. These steps—combined with regulatory easing, asset accumulation, and expanded market access—are central to his effort to position the U.S. as a global leader in digital assets.
Today he is signing an order that would allow cryptocurrency into 401(k) accounts and retirement investments.
03:20 PM EDT
At what age can you withdraw from a 401(k) account?
For those nearing retirement, the IRS Rule of 55 offers a way to access 401(k) funds early, without the usual 10% penalty. If you leave your job during or after the year you turn 55, you can begin withdrawing from that employer’s 401(k), though regular income taxes still apply, Charles Schwab reports.
This rule doesn’t extend to IRAs, and it only applies to the plan tied to your most recent employer. Public safety workers get even earlier access, starting at age 50. However, rolling your 401(k) into an IRA after leaving your job disqualifies you from using the rule.
Experts recommend reviewing your plan’s details and consulting a financial advisor before making withdrawals, as early distributions can impact long-term growth and tax strategy.
02:59 PM EDT
Is Trump giving Americans tariff rebate checks? What to know
Trump is considering a new round of direct payments to Americans, this time funded by revenue from his trade tariffs. The proposal echoes the 2020 CARES Act stimulus checks, with a minimum of $600 per adult and dependent child under the newly introduced American Worker Rebate Act of 2025.
Senator Josh Hawley (R-MO) introduced the bill following Trump’s remarks about the government’s growing tariff surplus, which reached $27 billion in June—a 301% increase from the previous year. The rebates could increase if tariff revenue exceeds expectations.
While the plan has gained traction among Trump-aligned Republicans, some economists warn it could fuel inflation. A Yale analysis estimates households may face an average $2,400 increase in costs due to higher prices passed on by businesses paying the tariffs.
The bill’s fate remains uncertain, as fiscal conservatives debate whether the funds should be used to reduce the deficit instead.
02:32 PM EDT
Trump cabinet hits the road to promote ‘One Big Beautiful Bill’ amid public pushback
Nine senior members of Trump’s Cabinet are set to travel across the country in the coming weeks to promote the administration’s sweeping tax and spending package, dubbed the “One Big Beautiful Bill.” The tour will focus on swing states, aiming to shore up support for a law that has drawn sharp criticism from voters and lukewarm polling numbers, ABC News reported.
The legislation, signed into law on July 4, includes extended tax cuts, new deductions for tips and overtime, and deep reductions to Medicaid and SNAP funding. While the White House touts it as a win for working families, a CNN/SSRS poll found that 60% of Americans oppose the bill, with many fearing it will harm the economy.
Republicans are already facing backlash. At a recent town hall in Nebraska, Rep. Mike Flood was met with boos and chants of “Tax the Rich!” as constituents grilled him over Medicaid cuts and questioned the bill’s fairness.
Despite the resistance, the administration is pressing forward with its messaging campaign, hoping to reframe the bill as a catalyst for economic growth and fiscal responsibility.
02:15 PM EDT
Trump signals federal crackdown in DC amid crime rhetoric
Federal law enforcement is poised to expand its footprint in Washington, D.C., following President Trump’s renewed push to address what he calls unchecked crime in the city. Officials say agents from DHS, ICE, FBI, and the National Guard could be deployed imminently, though their exact duties remain undefined.
The White House emphasized that planning is still underway, but residents may begin seeing increased federal activity on government property as early as tomorrow. Trump has repeatedly criticized D.C.’s leadership and floated revoking the Home Rule Act, which allows residents to elect local officials.
Despite police data showing a sharp drop in violent crime, Trump has pointed to recent incidents—including an assault involving two teens—as justification for tougher measures. He’s called for prosecuting minors as adults and warned of federal intervention if local governance doesn’t meet his standards.
“This city should be the best-run in America,” Trump said Wednesday, vowing to use executive authority to reshape public safety in the capital.
02:00 PM EDT
Bank of America react to Trump’s ‘debanking’ claims
Bank of America CEO Brian Moynihan said that he agreed with Donald Trump about regulatory inconsistency.
While Moynihan did not address Trump’s claims that he turned him down when he asked to deposit a billion dollars.
But he said that he agreed with the broader criticism of banking regulations.
“I think that the president’s on the right issue, which is, we’ve got to stop the regulators behind the scenes whipsawing back and forth and forcing our companies to make decisions which Congress hasn’t passed,” he told CNBC.
01:57 PM EDT
Donald Trump says he’s been a victim of ‘debanking’
President Donald Trump said that he had been a victim of “debanking” as he claimed that JPMorgan and Bank of America had discriminated against him personally.
“The banks discriminated against me very badly, and I was very good to the banks,” he told CNBC Tuesday. “I had JPMorgan Chase. I had hundreds of millions of dollars in cash. And they told me, ‘I’m sorry, sir, we can’t have you. You have 20 days to get out.'”
Trump said he called Bank of America CEO Brian Moynihan to deposit “a billion dollars,” who had also turn him down.
JPMorgan spokesperson declined to comment about Trump’s allegation, but said it does not close accounts for “political reasons.”
01:37 PM EDT
Trump signs executive order on ‘debanking’: What to know
Debanking is the practice of banks refusing to do business with individuals or organizations they deem risky.
These risks may be financial, regulatory, or reputational, but the lack of transparency has sparked concern, especially when the closures affect politically or religiously affiliated groups. In many cases, banks do not disclose why an account is terminated, citing compliance with federal laws such as anti-money laundering (AML) or know-your-customer (KYC) regulations.
President Donald Trump’s executive order will formalize “debanking” protections and punish banks for restricting or blocking services to customers based on their political or religious beliefs.
Conservatives and crypto industry advocates have been pushing for Trump to direct federal banking regulators to remove “reputational risk” language from their guidance which they say has been used to exclude them from mainstream organizations.
01:26 PM EDT
Financial adviser urges firms to be ‘extremely cautious’ with offering crypto, private equity in 401(k) plans
Financial adviser Devin Carroll has urged companies offering 401(k) plans to be “extremely cautious” with offering riskier investments such as crypto and private equity in retirement plans, even as President Donald Trump signs an executive order to make the process easier.
“If this moves forward, plan administrators will need to be extremely cautious. These new options could increase exposure to lawsuits and compliance risks,” Carroll, the owner and lead adviser Carroll Advisory Group, told Newsweek. “The industry may cheer the move, especially private equity and crypto firms, but plan sponsors should ask themselves whether more complexity really serves the best interests of the average participant.”
Carroll added that the plan “would open a massive market for private equity firms, with nearly $10 trillion sitting in 401(k)s. It’s no surprise that the PE industry sees this as a chance to tap into new capital inflows.”
But he expressed concern that those involved not have as much understanding of these more complex asset classes.
“Most 401(k) investors don’t have a strong understanding of the basics,” he said, noting that studies have shown significant financial illiteracy among 401k participants regarding things like compound interest, inflation and diversification.
“My thought is that if investors struggle with understanding their current investments, adding complex and opaque products could do more harm than good,” Carroll said.
01:09 PM EDT
Donald Trump’s executive order changing 401(k)s: What to know
President Donald Trump is preparing to sign an executive order that will open up 401(k) retirement plans to alternative assets, the White House has confirmed to Newsweek.
Bloomberg and Reuters originally reported the move, citing anonymous sources familiar with the plan. The outlets said the order would revise existing regulations and guidance to allow assets such as real estate, cryptocurrency and private equity in the retirement savings accounts. Details of the plan first emerged in reports last month.
Expanding access to the U.S. pension market—and the $9 trillion 401(k) market—signals a major shift in how Americans’ savings are managed. The executive order marks a victory for asset managers and the private equity industry, which have long sought access to this largely untapped pool of capital.Advocates believe the move will yield higher returns than the currently conservatively managed retirement investments. However, critics warn that the increased complexity of alternative assets such as private equity may mean that these higher returns come with increased risk.
According to Bloomberg‘s report, the accuracy of which the White House has confirmed, Trump will direct the Labor Department to review the existing regulations on retirement plans.
Read in full from Hugh Cameron on Newsweek.
01:06 PM EDT
Can you borrow from your 401(k)?
Participant can borrow from their 401(k) accounts, if their plan allows it.
Most employer-sponsored 401(k) plans offer loan provisions, though they are not required to do so, with the typical limit of up to $50,000 or 50 percent of the vested balance, whichever is less.
Repayment usually occurs over five years, with longer terms possible for primary home purchases. The interest you pay goes back into your own account, and repayments are often deducted automatically from your paycheck.
While a 401(k) loan offers fast access to cash without a credit check, there are important risks. The money borrowed won’t grow with the market, which can reduce your retirement savings. You also repay the loan with after-tax dollars, and if you leave your job, the outstanding balance often becomes due within 60–90 days. Failure to repay can lead to the loan being treated as a taxable distribution, plus a 10 percent penalty if you’re under age 59 and a half.
12:49 PM EDT
What are the 401(k) contribution limits in 2025?
In 2025, the employee salary deferral limit, meaning the maximum amount an employee can choose to contribute from their salary to certain retirement plans such as 401(k)s within a year, increased from $23,000 to $23,500.
The total combined contribution limit, which includes both employee and employer contributions, rose to $70,000.
Participants aged 50 and older are also eligible for catch‑up contributions of $7,500, bringing their total employee contribution limit to $31,000.
A new provision under the SECURE 2.0 Act adds an additional “super catch‑up” for participants aged 60–63 who—if their plan permits—can contribute an elevated catch‑up amount of $11,250, raising the total employee contribution cap for that age group to $34,750.
12:33 PM EDT
High profile cases of alleged debanking
National Committee for Religious Freedom (NCRF), a group founded by former Kansas senator and governor, Sam Brownback, had its account closed by JPMorgan Chase in 2022 without a stated reason.
Brownback said he received a number of “conflicting explanations” from Chase for the cancelation, before the NCRF decided to launch a national campaign to highlight other examples of people having their accounts canceled by their banks.
“No one should fear that their bank could punish them for their religious or political views — and we’ll keep fighting until every American is free from that threat,” he said in a New York Post op-ed in March.
12:17 PM EDT
What is ‘debanking’?
Debanking is the practice of banks refusing to do business with individuals or organizations they deem risky.
These risks may be financial, regulatory, or reputational, but the lack of transparency has sparked concern, especially when the closures affect politically or religiously affiliated groups. In many cases, banks do not disclose why an account is terminated, citing compliance with federal laws such as anti-money laundering (AML) or know-your-customer (KYC) regulations.
In recent years, the issue has gained national attention, particularly among Republican lawmakers.
Prominent figures like Rep. James Comer have launched investigations into what they claim are politically motivated closures, including those involving tech founders and even former First Lady Melania Trump. Additionally, Senators Tim Scott (R-SC) and Mike Rounds (R-SD) have criticized what they perceive as overreach by financial regulators, blaming vague federal guidelines rather than banks themselves for pressuring institutions to cut off services to politically or socially controversial clients.
Financial institutions have rejected the claim that they are engaging in ideological discrimination. Banks such as JPMorgan Chase and Bank of America argue that debanking decisions are rooted in regulatory compliance rather than politics. They point to evolving guidance from regulators that encourages banks to assess social or reputational risk—factors that can be inherently subjective and easily politicized. Some industry officials have supported Trump’s call to eliminate “reputational risk” from federal evaluations, saying clearer rules would improve fairness and transparency.
12:08 PM EDT
White House confirms Trump to sign ‘debanking’ executive order
White House Press Secretary Karoline Leavitt posted on X, Thursday, to confirm that President Donald Trump was signing an order aimed at stopping “debanking.”
11:56 AM EDT
Sen. Warren critiques plans to allow retirement plans to invest in private markets
Democratic Senator Elizabeth Warren wrote to the chief executive of annuity provider Empower Retirement in June after the firm announced it would allow its 19 million retirement plan participants to invest in private markets.
Sen. Warren, who is the ranking member of the Senate Banking, Housing and Urban Affairs Committee, demanded to know what kind of safeguards would be offered for such investments, given the sector’s weak investor protections, its lack of transparency, expensive management fees, and unsubstantiated claims of high returns.”
Empower Retirement CEO Edmund Murphy III responded that retirement savers were being “excluded” from some of “the highest-performing asset classes for decades” by omitting private equity, credit, and real estate from investments.
However, Sen. Warren responded that “Studies suggest that private market investments have consistently underperformed as compared to publicly traded indices.”
“Despite these underwhelming results, private funds often charge up to 20 times as much in fees as mutual funds.”
11:44 AM EDT
How are investment firms reacting to executive order?
President Donald Trump’s executive order on 401(k)s is expected to allow open up retirements accounts to private equity, real estate, cryptocurrency and more.
The move would be a huge win for major alternative asset managers such as Blackstone, KKR, and Apollo Global Management.
BlackRock, one of the lobbyists for the change, is already planning to launch its own retirement fund in 2026 that will include private credit assets and private equity.
But even with the new guidance from the Trump administration, the proposition remains risky.
“The reality is, though, there is a lot of litigation risk. There’s a lot of issues related to the defined contribution business,” BlackRock CEO Larry Fink told Reuters.
The industry may even try and seek litigation reform before it expands into retirement investments.
11:26 AM EDT
Trump expected to make changes to 401(k) accounts: What to know
President Donald Trump’s executive order on 401(k) is expected to allow private equity, real estate, cryptocurrency and other alternative assets into the retirement accounts.
“The order directs the Securities and Exchange Commission to facilitate access to alternative assets for participant-directed defined-contribution retirement savings plans by revising applicable regulations and guidance,” the White House official told Reuters on condition of anonymity.
It would also allow private equity and other fund managers to tap into trillions of dollars of Americans’ retirement savings, although critics warn that it could allow riskier investments into people’s retirement investments. Other drawbacks compared to the publicly traded stocks and bonds most 401(ks) rely on include that the new investments are less easy to sell for cash, carry higher fees, and carry lower disclosure requirements.
The order will direct Labor Secretary Lori Chavez-DeRemer to also consult with the Treasury Department and other federal regulators to determine if similar regulatory changes should be made at those agencies.
Even after Trump signs the order, the change could be slow as confusion over the new investments may lead to a wave of litigation.
11:10 AM EDT
What executive orders is Donald Trump signing today?
President Donald Trump is expected to sign a series of executive orders on Thursday, focusing on banking and investments.
They include an order which will allow riskier assets, such as real estate, private equity and cryptocurrency, to be included in 401(k) retirement accounts.
Trump is also expected to sign an order formalizing “debanking” protections.
His “debanking” order would would punish banks for restricting or blocking services to customers based on their political or religious beliefs.
Conservatives and crypto industry advocates have been pushing for Trump to direct federal banking regulators to remove “reputational risk” language from their guidance which they say has been used to exclude them from mainstream organizations.
10:58 AM EDT
Where is Donald Trump today?
President Donald Trump is at the White House today, according to the White House’s Office of Communications.
Trump is set to sign a series of executive orders at 12 p.m. ET in the Oval Office.
At 4 p.m., he is expected to deliver remarks to the press from the White House’s East Room.