Victoria Craig hosts this Financial Times news briefing covering major developments in U.S. politics, economics, and international relations. Key contributors include Claire Jones, U.S. economics editor, and James Fontanella Khan, U.S. finance editor.

The episode examines Trump's immigration enforcement backlash following a fatal shooting in Minneapolis, the upcoming Federal Reserve chair announcement with four candidates in contention, and the administration's unprecedented $1.6 billion rare earths investment strategy.

Additional coverage includes UK Prime Minister Starmer's diplomatic reset with China and growing corporate concerns about Trump's direct government intervention in private markets through equity stakes and strategic investments.

Immigration Crackdown Faces Mounting Opposition After Minneapolis Killing

Federal agents killed Alex Predi, a 37-year-old intensive care nurse in Minneapolis, marking the second such death in two weeks and sparking nationwide protests.

Video footage contradicted authorities' claims that Predi violently resisted, though federal officials maintained he threatened agents with a gun.

Senate Democrats threaten government shutdown next week, vowing to block funding packages that include Immigration Enforcement Agency financing.

Former President Barack Obama called the shooting 'a wake-up call to every American' in an unusually pointed intervention.

Fed Chair Race Narrows to Four Candidates as Trump Prepares Announcement

Rick Reeder, BlackRock's head of fixed income, emerged as betting market favorite after his interview with Trump went 'very well' - Claire Jones.

Kevin Walsh, former Fed governor, remains strong contender due to extensive Wall Street connections but may resist Trump's desired sharp rate cuts.

Kevin Hassett's odds 'plunged' after Trump indicated he'd prefer keeping him in current role rather than promoting to Fed chair.

Any new Fed chair faces structural constraints as 'just one of 12 voters' on the Federal Open Market Committee that sets interest rates - Jones.

U.S. Government's $1.6 Billion Rare Earths Investment Targets China Dominance

USA Rare Earth will receive $1.6 billion government investment for roughly 10% equity stake, marking the largest U.S. rare earths sector investment.

China controls 70-80% of global rare earths mining, creating dependencies for defense, AI, semiconductors, and electric vehicle industries.

This represents Trump's sixth rare earths deal in the past year as part of broader industrial policy to counter Chinese dominance.

Government equity stakes in private companies are 'unusual' for the U.S., more common in Europe where governments retained stakes after privatization - James Fontanella Khan.

Corporate America's Unease with Trump's Deal-Making Approach

Intel stock rallied nearly 100% since government's 10% investment, demonstrating market impact of Trump's winner-picking strategy.

'The main concern is that Trump is picking winners and losers, and it doesn't really work well with kind of a traditionally capitalist society' - Fontanella Khan.

Business leaders express 'unease and concern' privately about lack of framework for government corporate interventions.

Despite concerns, there's 'open-mindedness' given national security challenges from China, but calls for better regulatory framework persist.

UK-China Diplomatic Reset as Starmer Visits Beijing

Prime Minister Keir Starmer's China visit marks first by British leader in eight years, focusing on illegal migration, organized crime, and financial cooperation.

Beijing seeks to exploit 'widening transatlantic fractures' by drawing in close U.S. allies like Britain.

Canada's Mark Carney earlier pledged new China partnership to adapt to 'new global realities,' infuriating the White House and triggering tariff threats.