Government Shutdown, Historic Peace Deal, and Economic Shifts

Federal Government Shutdown Continues

The U.S. federal government remains in a shutdown as of October 13, 2025, due to Congress's failure to pass appropriations legislation for the 2026 fiscal year. Approximately 900,000 federal employees are furloughed, with another 700,000 working without pay. Essential services like Medicare and Medicaid continue, but many agencies, including the National Institutes of Health and the Centers for Disease Control and Prevention, face partial or full suspensions of operations.

Trump Administration Considers Emergency Powers

The Trump administration is contemplating invoking the Insurrection Act of 1807 to address rising crime and unrest across U.S. cities. Vice President JD Vance confirmed that the White House is seriously considering this option. Simultaneously, President Trump traveled to Jerusalem, declaring "the war is over" in Gaza following a major peace agreement that led to the expected release of Israeli hostages by Hamas.

Economic Markets React to Trade Developments

U.S. stock futures surged on October 13, 2025, following President Trump's softened stance on trade with China. The Dow, S&P 500, and Nasdaq futures rose by 0.7%, 1.1%, and 1.6%, respectively. Gold prices hit a record $4,100 per ounce, reflecting investor concerns and a rush to safe-haven assets. Bitcoin rebounded to $114,000 following a weekend dip. Additionally, JPMorgan Chase announced a $10 billion investment in critical U.S. industries, boosting market confidence.

SpaceX Plans Major Starship Launch

SpaceX has scheduled the 11th launch of its Starship megarocket for October 13, 2025, from its Starbase facility near Brownsville, Texas. The mission aims to build on SpaceX’s progress toward rapid rocket reusability. The upcoming test will involve both the Super Heavy booster and Starship upper stage, marking a significant step in Elon Musk’s vision of transporting humans to Mars.

Looking Ahead

As the federal government shutdown continues, negotiations in Congress remain at an impasse, with no immediate resolution in sight. Internationally, the implementation of the Gaza peace agreement will be closely monitored, with challenges anticipated in the disarmament process and the establishment of a transitional government. Economically, markets will be watching for further developments in U.S.-China trade relations and the impact of JPMorgan Chase's investment on the broader economy. In the coming days, SpaceX's Starship launch will be a focal point for advancements in space exploration.