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Genworth subsidiary launches inaugural long-term care insurance

SUMMARY:

    • , a subsidiary, launched its first long-term care
    • Product covers nursing homes, assisted living, home care, hospice and respite care
    • Company says the product uses conservative pricing and 50 years of Genworth claims experience to avoid steep premium hikes

CareScout, a subsidiary of -based Fortune 1000 insurance company , announced Wednesday it has launched its first long-term care insurance product.

Known as CareScout Care Assurance, the insurance covers services at nursing homes, assisted living facilities, home , adult day care, hospice care and respite care.

It won’t cover services outside the U.S., services from immediate family (with exceptions) or care provided by or in federal government facilities.

The company describes the launch as “a significant milestone” in broadening its services to support families.

Lynn White, CEO of CareScout Insurance Co., said in a statement the product’s launch represents the company’s commitment “to enabling a better aging journey — one that is thoughtful, dignified and personalized at every step.”

The product is available to people ages 40-65. People can purchase coverage from between $50,000 and $250,000, with daily benefit maximums from $50 to $200 (subject to state minimum benefit requirements). They can also buy optional protection, with options of 1%, 3% and 5%.

Policyholders can adjust coverage levels, inflation protection and benefits after purchase, but they may be asked to go through underwriting again.

Long-term care policies have long been challenging throughout the country, with policyholders seeing their premiums continuously raised higher and higher. KFF Health News reported in 2023 that the private insurance market was “wildly inadequate” in providing financial security for older Americans, with the industry for decades underestimating how long policyholders would live and need care, how many would use their coverage and the cost of the care.

CareScout, however, believes that it can use the decades of data, reporting and experience in the market to help avoid the pitfalls of older long-term care policies.

When asked what safeguards are in place to prevent the steep premium increases that affected older long-term care insurance policies, a Genworth spokesperson said in an email the CareScout Care Assurance product uses conservative pricing assumptions and has 50 years of claims experience from its parent company.

Premiums depend on benefit amount, daily max, inflation protection, deductible period and payment frequency. The spokesperson noted future rate increases may happen if claim costs exceed projections, but increases apply broadly, not individually.

One of the features of the new product is the CareScout Quality Network, a nationwide network of aging care providers who CareScout says are vetted for quality standards and offer “preferred pricing.” The spokesperson said policyholders are not required to use the network, and that it is “a value add to the policy itself.” He said a policyholder can select a provider of their own choosing if they prefer or if one is not available in their area.

“With CareScout Care Assurance, individuals can choose the level of protection they prefer, access helpful resources as they age and leverage a trusted network of providers when care is needed,” White said in a statement. “The product was designed to be simple, flexible and to support the needs of policyholders and their families.”

There are no pre-existing condition exclusions.

CareScout Care Assurance is currently approved in 35 states, but CareScout intends to seek approval in all states. Based in , CareScout is a wholly owned subsidiary of Genworth Financial. Genworth dropped off the Fortune 500 in 2025, slipping to No. 507. The insurer posted 2024 revenue of about $7.3 billion, down about 2.58% from 2023.

Shutdown halts key economic data as Fed weighs rate cuts

Summary

  • Shutdown delays release of monthly jobs and unemployment data
  • Fed may lack critical reports before its Oct. 28-29 policy meeting
  • and hiring trends remain uncertain amid economic slowdown
  • Investors, economists, and businesses turn to private data sources

WASHINGTON (AP) — The that began Wednesday will deprive policymakers and investors of vital to their decision-making at a time of unusual uncertainty about the direction of the U.S. economy.

The absence will be felt almost immediately, as the government’s monthly  scheduled for release Friday will likely be delayed. A weekly report on the number of Americans seeking unemployment benefits — a proxy for layoffs that is typically published on Thursdays — will also be postponed.

If the shutdown is short-lived, it won’t be very disruptive. But if the release of economic data is delayed for several weeks or longer, it could pose challenges, particularly for the . The Fed is grappling with where to set a key interest rate at a time of conflicting signals, with inflation running above its 2% target and hiring nearly ground to a halt, driving the unemployment rate higher in August.

The Fed typically cuts this rate when unemployment rises, but raises it — or at least leaves it unchanged — when inflation is rising too quickly. It’s possible the Fed will have little new federal economic data to analyze by its next meeting on Oct. 28-29, when it is widely expected to reduce its rate again.

“The job market had been a source of real strength in the economy but has been slowing down considerably the past few months,” said Michael Linden, senior policy fellow at the left-leaning Washington Center for Equitable Growth. “It would be very good to know if that slowdown was continuing, accelerating, or reversing.”

The Fed cut its rate by a quarter-point earlier this month and signaled it was likely to do so twice more this year. Fed officials said they would keep a close eye on how inflation and unemployment evolve, but that depends on the data being available.

A key inflation report is scheduled for Oct. 15 and the government’s monthly retail sales report is slated for release the next day.

“We’re in a meeting-by-meeting situation, and we’re going to be looking at the data,” Fed Chair Jerome Powell said during a news conference earlier this month.

The economic picture has recently gotten cloudier. Despite slower hiring, there are signs that overall economic growth may be picking up. Consumers have stepped up their shopping and the Federal Reserve Bank of Atlanta estimates the economy likely expanded at a healthy clip in the July-September quarter, after a large gain in the April-June period.

A key question for the Fed is whether that growth can revive the job market, which this Friday’s report might have helped illustrate. Economists had forecast another month of weak hiring, with just 50,000 new positions added, according to a survey by FactSet. The unemployment rate was projected to stay at a still-low 4.3%.

On , investors obsess over the monthly jobs reports, typically issued the first Friday of every month. It’s a crucial indicator of the economy’s health and provides insights into how the Fed might adjust , which affects the cost of borrowing and influences how investors allocate their money.

So far, investors don’t seem fazed by the shutdown. The broad stock index rose slightly Wednesday to an all-time high.

Many businesses also rely on government data to gauge how the economy is faring. The Commerce Department’s monthly report on retail sales, for example, is a comprehensive look at the health of U.S. consumers and can influence whether companies make plans to expand or shrink their operations and workforces.

For the time being, the Fed, economists, and investors will likely focus more on private data.

On Wednesday, the payroll provider ADP issued its monthly data, which showed that businesses cut 32,000 jobs in September — a signal the economy is slowing. Still, ADP chief economist Nela Richardson said her firm’s report “was not intended to be a replacement” for government statistics.

The ADP data does not capture what’s happening at government agencies, for example — an area of the economy that could be significantly affected by a lengthy shutdown.

“Using a portfolio of private sector and government data gives you a better chance of capturing a very complicated economy in a complex world,” she said.

The Fed will remain open no longer how long the shutdown lasts, because it funds itself from earnings on the government bonds and other securities it owns. It will continue to provide its monthly snapshots of industrial production, which includes mining, , and utility output. The next industrial production report will be released Oct. 17.

Lego’s $1B Chesterfield facility nears 35% completion

 

SUMMARY:

  • ‘s $1B Chesterfield facility is nearly 35% complete as of Wednesday
  • Lego has hired about 500 employees for the facility and expects to hire 1,760 over 10 years
  • Company also will build $366M warehouse in Prince George County

The ‘s $1 billion facility in is nearly 35% complete, Lego Virginia General Manager Jesus Ibañez said Wednesday.

The Danish toymaker held a topping-out ceremony Wednesday at the 340-acre site in Meadowville Technology Park, placing a steel beam signed by Gov. and other government and business executives atop the structure of its packing building. Although there weren’t any colorful plastic bricks, a steel structure with a ceiling and some flooring stood on site.

“I do believe that today is a milestone in so many regards,” Youngkin said. “It’s a milestone in a project, it’s a milestone in commitment, it’s a milestone in collaboration and partnership, and it is also a milestone in the impact that these bricks have on children’s lives.”

Billund, Denmark-based Lego first announced the project, expected to create about 1,760 over 10 years, in July 2022 and held a ceremonial groundbreaking at the site in April 2023. The company initially expected to begin production there in the second half of 2025 but announced in February 2024 that production would begin in 2027.

Lego is targeting January 2027 for the Virginia site’s completion, Ibañez said. When complete, the site will have 13 buildings comprising more than 1.7 million square feet, including office spaces, molding, processing and packing facilities and a high-bay warehouse.

“In 2027, this building will be buzzing with activity,” Ibañez said. “Just think for a moment, right here in this location, our bricks, packed in pre-packed bags, will be assembled with building instructions and placed into the colorful Lego boxes you will see on shelves, reaching children and, of course, adults all over the world.”

Gov. Glenn Youngkin (L) signs a steel beam while Lego Vice President Preben Elnef and Lego Manufacturing Virginia General Manager Jesus Ibañez look on at the topping out ceremony for Lego's $1 billion Chesterfield facility on Oct. 1, 2025. Photo by Katherine Schulte/Virginia Business
Gov. Glenn Youngkin (L) signs a steel beam while Lego Vice President Preben Elnef and Lego Manufacturing Virginia General Manager Jesus Ibañez look on at the topping out ceremony for Lego’s $1 billion Chesterfield facility. Photo by Katherine Schulte/Virginia Business

The company currently has hired more than 500 people to package toys in a temporary facility in Chesterfield’s Walthall Interchange Industrial Park. Those workers will eventually transition to the permanent factory, Ibañez told Virginia Business and reporters from other media outlets.

“We will transition the colleagues,” he said. “We will run both facilities at the same time. For a while, the temporary facility will help us to ramp up what we are going to do here. Gradually, we will start increasing jobs in this facility.”

Gray | Hourigan, a joint venture between Lexington, Kentucky-based Gray and Richmond-based Hourigan, is the general contractor on the project, which has about 1,000 construction workers.

The Chesterfield factory will be Lego’s first U.S. manufacturing facility and its second in North America (the first being in Monterrey, Mexico).

Lego Vice President Preben Elnef said Lego’s partnerships “with the Commonwealth of Virginia, Chesterfield County, Gray | Hourigan, the local business community, organizations and so many others reminds me and us in the Lego Group why we have selected the location here. It is not only awesome — it’s perfect for Lego Manufacturing Virginia here, right here.”

In May, Lego and Youngkin announced the company will build a $366 million, 2 million-square-foot warehouse and distribution center in Prince George County. Lego expected to start construction on the facility later this year have it operational in 2027.

“Together with our regional distribution center we are building in Prince George County, we will add vital capacity and capabilities to the Lego Group’s global supply chain,” Ibañez said. “With the opening of the factory, we will be able to shorten our supply and respond more quickly to U.S. consumer demand and reduce the environmental impact from shipping long distance.”

The Prince George regional distribution center will be the second in Lego’s Americas network, joining an existing center in Fort Worth, Texas.

Youngkin announced last week that he is recommending the Commonwealth Transportation Board allocate $25 million to widen the Meadowville Road bridge. Currently, Meadowville Road narrows from four lanes to two lanes on the bridge over Interstate 295. The CTB next meets Oct. 15, after a workshop on Oct. 14.

Founded in 1932 by Danish carpenter Ole Kirk Christiansen, Lego reported 74.3 billion Danish Krone in 2024 revenue, equivalent to about $11.27 billion. It employs more than 31,000 people worldwide, including more than 3,500 employees in the United States.

Lego has had a presence in the U.S. since the 1960s, when it entered a partnership with Samsonite to manufacture and market its bricks in the country. In 1973, the company established its American subsidiary, Lego Systems, after the license agreement with Samsonite for the U.S. market was cancelled. The toymaker is moving its U.S. headquarters from Enfield, Connecticut, where it has been since 1975, to Boston in 2026.

D.C.-area leaders launch initiative to help laid-off federal workers

SUMMARY:

    • launched to help laid-off in the D.C. region
    • Initiative is led by the Metropolitan Washington Council of Governments with local support
    • Federal job cuts are hitting the D.C. area especially hard, prompting the initiative to fight to retain local talent

Government and business leaders on Wednesday launched a new initiative and website designed to help laid-off federal workers find and prevent them from leaving the , D.C., region.

Unveiled during a launch event Wednesday and spearheaded by the Metropolitan Washington Council of Governments (COG), the Talent Capital initiative and website aims to aid displaced workers in finding new jobs that fit their skills and interests. It also offers tailored training and career resources across the region.

The initiative has support from a coalition of government, and nonprofit partners across Virginia, and Washington, D.C.

The Talent Capital’s services are free and are available to all residents in D.C. region, with focus on the 24 local governments encompassed by the Metropolitan Washington Council of Governments.

The Talent Capital website, TalentCapital.AI, is operated by D.C. software company BuildWithin and offers free AI agents that help connect users with job matching, training, reskilling and career navigation services. It also contains links and resources to job opportunities, coaching opportunities, local networking events and job coaching.

The website was launched in a year in which the has announced plans to cut 300,000 federal jobs by the end of 2025. In an interview, COG Executive Director Clark Mercer noted that because the D.C. region’s is heavily tied to the federal government, the Trump administration’s federal workforce cuts are having a disproportionate impact in the area.

As of early 2025, Virginia had 321,516 federal civilian workers, second only to California, according data from the Weldon Cooper Center for Public Service at the University of Virginia. Virginia also ranks No. 1 in federal contract spending, with $109 billion spent in the state in 2023, 62% of which went to . More than 441,000 jobs depend on that funding, according to the center.

As thousands of people in the region have lost their jobs, Mercer said, other states have aggressively been marketing to lure those laid-off workers out of the area. The hope is that the Talent Capital initiative will help the D.C. region retain its local talent.

All 24 local governments in the COG’s region are supporting the program, including Arlington, Fairfax, Loudoun and Prince William counties and the cities of Fairfax, Falls Church, Manassas and Manassas Park.

While any job seeker can use the Talent Capital site, the jobs promoted are located with the regional footprint, with an aim to simplify job searches by consolidating listings that may previously have been scattered across multiple job boards.

“You’ve seen Maryland and D.C. both lose their AAA bond rating directly tied to what’s happened at the federal level,” Mercer said. “You saw CNBC rate Virginia the fourth best state for business, down from [No. 1], directly attributing that to what’s happened at the federal level, [and] the Weldon Cooper Center at U.Va. has said there will be no net job growth … in Virginia this year. So, these are all … not just warning signs, but like flashing red lights that we need to work together as a region … to be responsive, because it’s not going to get the job done just working in silos.”

Some high-priority career paths being promoted on the website include jobs connected to AI, big data, cybersecurity, and tourism. A long-term goal of the initiative is to improve regional collaboration across states and higher education institutions to align workforce training with in-demand fields.

“Talent Capital ensures that our residents can stay in the region they call home, access high-quality jobs, grow their careers, and drive innovation across key industries,” said Washington, D.C., Mayor Muriel Bowser said in a statement. “We are proud to lead this effort, and confident that economic mobility and opportunity will continue to define our region for years to come.”

In Virginia, Gov. earlier this year unveiled VirginiaHasJobs.com, an online resource to help unemployed people in the commonwealth find job opportunities across the state. VirginiaHasJobs.com is listed as a partner for Talent Capital.

The Talent Capital infrastructure will continue to evolve based on user feedback, with new support and resources added on an ongoing basis, Bowser said.

Supreme court lets Lisa Cook stay on Fed board for now

Summary

WASHINGTON (AP) — The Supreme Court on Wednesday allowed Lisa Cook to remain as a Federal Reserve governor for now, declining to act on the ‘s effort to immediately remove her from the central bank.

In a brief unsigned order, the high court said it would hear arguments in January over Republican President ‘s effort to force Cook off the Fed board.

The court will consider whether to block a lower-court ruling in Cook’s favor while her challenge to her firing by Trump continues.

The high-court order was a rare instance of Trump not quickly getting everything he wants from the justices in an emergency appeal.

Cook will be able to take part in the remaining two Fed meetings in 2025, including the next meeting of its interest rate-setting committee in late October.

Separately, the justices are hearing arguments in December in a separate but related legal fight over Trump’s actions to fire members of the boards that oversee other independent federal agencies. The case concerns whether Trump can fire those officials at will.

But a second issue in the case could bear directly on Cook’s fate: whether federal judges have the authority to prevent the firings or instead may only order back pay for officials who were wrongly dismissed.

Trump had sought to oust Cook before the September meeting of the Fed’s interest rate-setting committee. But a judge ruled that the firing was illegal, and a divided appeals court rejected the Trumps administration’s emergency appeal.

A day after the meeting concluded with a one-quarter of a percentage point reduction in a key interest rate, the administration turned to the Supreme Court in a new emergency appeal.

The White House campaign to unseat Cook marks an unprecedented bid to reshape the Fed board, which was designed to be largely independent from day-to-day politics. No president has fired a sitting Fed governor in the Fed’s 112-year history.

“President Trump lawfully removed Lisa Cook for cause from the Federal Reserve Board of Governors. We look forward to ultimate victory after presenting our oral arguments before the Supreme Court in January,” White House spokesman Kush Desai said.

The court already has suggested that it will view the Fed differently from other independent agencies and Wednesday’s order is another demonstration of that distinction, said Lev Menand, a professor at Columbia School and author of a book on the Fed.

The justices have allowed other firings to take effect while challenges proceed, including in the case that will be argued in December involving Rebecca Slaughter, whom Trump fired from the Federal Trade Commission.

“The court seems to be steering a different course here,” Menand said. “It has the effect of freezing the status quo that is in favor of Fed independence.”

Cook, who was appointed to the Fed board by Democratic President Joe Biden, has said she will not leave her job and won’t be “bullied” by Trump. One of her lawyers, Abbe Lowell, has said she “will continue to carry out her sworn duties as a Senate-confirmed Board Governor.”

Separately, Senate Republicans recently confirmed Stephen Miran, Trump’s nominee to an open spot on the Fed’s board. Both Cook and Miran took part in last month’s meeting. Miran was the sole dissenting vote, preferring a larger cut.

Trump has accused Cook of mortgage fraud because she appeared to claim two properties, in Michigan and Georgia, as “primary residences” in June and July 2021, before she joined the Fed board. Such claims can lead to a lower mortgage rate and smaller down payment than if one of them was declared as a rental property or second home.

“Put simply, the President may reasonably determine that paid by the American people should not be set by a Governor who appears to have lied about facts material to the interest rates she secured for herself — and refuses to explain the apparent misrepresentations,” Solicitor General D. John Sauer wrote in his Supreme Court filing.

Cook has denied any wrongdoing and has not been charged with a crime. According to documents obtained by The Associated Press, Cook specified that her Atlanta condo would be a “vacation home,” according to a loan estimate she obtained in May 2021. In a form seeking a security clearance, she described it as a “2nd home.” Both documents appear to undercut the administration’s claims of fraud.

U.S. District Judge Jia Cobb ruled that the administration had not satisfied a legal requirement that Fed governors can only be fired “for cause,” which she said was limited to misconduct while in office. Cook joined the Fed’s board in 2022.

Cobb also held that Trump’s firing would have deprived Cook of her due process, or legal right, to contest the firing.

By a 2-1 vote, a panel of the federal appeals court in Washington rejected the administration’s request to let Cook’s firing proceed.

Trump’s lawyers have argued that even if the conduct occurred before her time as governor, her alleged action “indisputably calls into question Cook’s trustworthiness and whether she can be a responsible steward of the interest rates and economy.”

___

Rocket Lab expands Virginia’s role in commercial space launch, exploration  

Summary

  • opens Launch Pad 0-D at for
  • Gov. calls the project a major milestone for Virginia
  • New pad supports aerospace development and economic growth in the region
  • Neutron rocket aims for first flight this year, with potential missions to Mars

RICHMOND, Va. – Virginia celebrated the opening of its new launch pad last month at Wallops Island, which marks the state’s role in the aerospace industry. Gov. Glenn Youngkin attended the ceremony to cut the ribbon and called the opening an “engineering achievement” and “significant milestone.”  

Rocket Lab Launch Complex 3 is located at a new launchpad created for the reusable Neutron rocket at the Mid-Atlantic Regional Spaceport, a facility that operates on ‘s Wallops Island. 

The new launchpad supports demand for launch-related needs and will fuel aerospace development in Virginia, according to retired Maj. Gen. Ted Mercer, the CEO and executive director of the Spaceport. 

“The opening of Launch Pad 0-D is a bold step forward for Virginia’s growing role in our nation’s commercial space launch industry,” Mercer stated in an email. “It provides the infrastructure to support more diverse and complex missions.” 

The company is excited to meet the growing demand for an increased , according to Rocket Lab’s senior manager of government operations Grace Casey.  

The locality and connection to Virginia has the potential to drive for both Rocket Lab and the region, according to Casey.  

LaunchPad 0-D 

Rocket Lab supplies launch services, spacecraft, satellite and orbit components, according to the company. The company enables more than 1,700 missions globally and supports the commercial, civil and defense markets.  

The company began in New Zealand and moved to the U.S. in 2013 with a mission to make space more accessible for people on Earth, according to Casey.  

“We’re able to reach a lot of the different orbits that we need to from Wallops, as well that we might not be able to get from New Zealand and other places,” Casey said.  

The geographical benefits and isolation of Wallops made it the ideal location for this particular rocket, Casey said.  

Rocket Labs Fully Reusable Rocket  

Rocket Labs Electron is the second most flown U.S. rocket and the third most flown rocket in the world, according to Casey.  

The reusable launch vehicle Neutron will support payload capacities up to 33,000 pounds, according to a press release by the governor’s office. Neutron plans to make its first flight by the end of the year and will launch low-orbit satellites and potentially reach farther orbits like Mars or Venus.  

The launchpad has a black, 285-foot-tall water tower that holds approximately 200,000 gallons of water and can be emptied in less than one minute, according to the governor’s office.  

Due to the large size of the Neutron rocket, more water is needed to provide safety and manage effects during a launch, according to Casey.  

Rocket Lab is working with NASA on a project called “The Mars Telecommunications Orbiter,” according to Casey. This project’s mission is to take a large spacecraft to Mars to relay critical communications to Earth in order to improve future science and exploration missions.  

Impact  

Satellites are essential to obtain data that cannot always be collected on the ground, according to Chris Gough, executive director of Virginia Commonwealth University’s River Rice Center. The Center hosted research teams in collaboration with a NASA training program. 

“I think space exploration, as well as any exploration, is part of our DNA, it’s inherent to who we are and what we do as humans,” Gough said.  

The high volume impact of the Neutron rocket can be damaging to equipment but also to humans and living organisms, according to Joe Franzen, a mechanical and nuclear engineering student at VCU. He believes the water tower is a great safety addition to the facility as it decreases ground impact, creates noise reduction and reduces exhaust energy. 

Franzen highlights the significant usage of solar panels for renewable energy and how space exploration has the ability to expand its benefits and collect data.  

“I think the research that’s done in space, as well as the research done to get us into space, can be really beneficial to us down on Earth,” Franzen said.  

Space exploration has led to beneficial research studies and results, and should continue to be pursued, Frazen said.  

“Humans for a long time have looked up at the stars with wonder,” Franzen said. “We should definitely explore it.” 

Capital News Service is a program of Virginia Commonwealth University’s Robertson School of Communication. Students in the program provide state government coverage for a variety of media outlets in Virginia. 

 

Senate deadlock extends Trump-era government shutdown

Summary

  • Shutdown began after midnight with no funding deal
  • Democrats demand ACA subsidies, GOP refuses to negotiate
  • 750,000 face furloughs or firings
  • Economic fallout and service disruptions expected nationwide

WASHINGTON (AP) — A vote to end the  hours after it began failed Wednesday, as Democrats in the Senate held firm to the party’s demands to fund  subsidies that President  and Republicans refuse to provide.

The tally showed cracks in the Democrats’ resolve but offered no breakthrough. Blame was being cast on all sides on the first day of the shutdown. The White House and Congress failed to strike an agreement to keep programs and services open, throwing the country into a new cycle of uncertainty.

Roughly 750,000 federal workers were expected to be furloughed, with some potentially fired by Trump’s Republican administration. Many offices will be shuttered, perhaps permanently, as the president vows to “do things that are irreversible” to punish Democrats. Trump’s deportation agenda is expected to run full speed ahead, while education, environmental and other services sputter. The economic fallout is expected to ripple nationwide.

“I certainly pray they will come to their senses,” House Speaker  said, flanked by GOP leaders at the Capitol.

This is the third time Trump has presided over a federal funding lapse and the first since his return to the White House this year. His record underscores the polarizing divide over budget priorities in a political climate that rewards hard-line positions rather than more traditional compromises.

Plenty of blame being thrown around

The Democrats picked this fight, which was unusual for the party that prefers to keep government running, but their voters are eager to challenge the president’s second-term agenda. Democrats are demanding funding for that are expiring for millions of people under the , causing the  premiums to spike nationwide.

Republicans have refused to negotiate and have encouraged Trump to steer clear of any talks. After convening a White House meeting this week with the Democratic leaders, the president posted a cartoonish fake video mocking the Democratic leadership that was widely viewed as unserious and racist.

“President Trump’s behavior has become more erratic and unhinged,” Democratic leaders Sen. Chuck Schumer and Rep. Hakeem Jeffries said in a joint statement, calling for an “intervention” to get the country out of the shutdown. “Instead of negotiating a bipartisan agreement in good faith, he is obsessively posting crazed deepfake videos.”

Vice President JD Vance said Republicans want to resolve the health care issues that concern Democrats but will not negotiate until the government reopens.

“It’s craziness, and people are going to suffer because of this,” Vance said Wednesday on the Fox News show “Fox & Friends.”

What neither side has devised is an easy off-ramp to prevent what could become a protracted closure. The ramifications are certain to spread beyond the political arena, upending the lives of Americans who rely on the government for benefit payments, work contracts and the many services being thrown into turmoil.

Economic fallout expected to ripple nationwide

An economic jolt could be felt in a matter of days. The government is expected Friday to produce its monthly report, which may or may not be delivered.

Wall Street veered toward losses before the opening bell Wednesday as the government shutdown went into effect just after midnight.

Across the government, preparations have begun. Trump’s Office of Management and Budget, headed by Russ Vought, directed agencies to execute plans not just for furloughs, which are typical during a federal funding lapse, but mass firings of federal workers. It’s part of the ‘s mission, including its Department of Government Efficiency, to shrink the government.

What’s staying open and shutting down

The Medicare and Medicaid health care programs are expected to continue, though staffing shortages could mean delays for some services. The Pentagon would still function. And most employees will stay on the job at the Department of Homeland Security.

But Trump has warned that the administration could focus on programs that are important to Democrats, “cutting vast numbers of people out, cutting things that they like, cutting programs that they like.”

As agencies sort out which workers are essential, or not, Smithsonian museums are expected to stay open at least until Monday. A group of former national park superintendents urged the administration to close the parks to visitors, arguing that poorly staffed parks in a shutdown are a danger to the public and put park resources at risk.

No easy exit as health care costs soar

Ahead of Wednesday’s start of the fiscal year, House Republicans had approved a temporary funding bill, over opposition from Democrats, to keep government running into mid-November while broader negotiations continue.

But that bill has failed repeatedly in the Senate, including Wednesday, on a 55-45 vote. It needs 60 votes for approval, which requires cooperation between the two parties in a chamber where the GOP has a 53-47 majority. A Democratic bill also failed.

Divisions within the Democrats are apparent, as three senators crossed over to join Republicans, signaling that Democratic leverage may be eroding. One Republican opposed the GOP plan.

During the roll call, an widening group of senators engaged in an intense conversation, including GOP Sen. Mike Rounds of South Dakota, who has been talking with colleagues about the idea of a one-year extension of the expiring health care subsidies.

“It’s just one thought, and there are other ideas that are out there,” Rounds said afterward.

Senate Majority Leader John Thune, who has said Republicans are happy to discuss the health care issue — but not as part of talks to keep the government open — is working to peel off more Democrats to his side.

The standoff is a political test for Schumer, who has drawn scorn from a restive base of left-flank voters pushing the party to hold firm in its demands for health care funding.

Johnson sent lawmakers home nearly two weeks ago after having passed the GOP bill, but said they would be back next week.

Trump, during his meeting with the congressional leaders, expressed surprise at the scope of the rising costs of health care, but Democrats left with no path toward talks.

During Trump’s first term, the nation endured its longest-ever shutdown, 35 days, over his demands for funds Congress refused to provide to build his promised U.S.-Mexico border wall.

In 2013, the government shut down for 16 days during the Obama presidency over GOP demands to repeal and replace the Affordable Care Act, also known as Obamacare. Other closures date back decades.

Virginia AG sues Zillow, Redfin over $100M agreement not to compete

SUMMARY:

    • and other states sued and over an “unlawful” agreement not to compete
    • Suit claims Zillow paid Redfin $100 million to exit the multifamily rental advertising market
    • The seeks to declare the agreements illegal and restore competition

Virginia and attorneys general from Arizona, Connecticut, New York and Washington filed an lawsuit Wednesday against tech companies Zillow and Redfin, arguing that the two companies entered into an unlawful $100 million agreement not to compete with one another.

According to the lawsuit, Zillow entered into an agreement in February to pay Redfin $100 million to stop competing for online multifamily housing listings, terminate its existing multifamily advertising contracts and transition its customers to Zillow. The suit alleges this “unlawful payment” violates federal antitrust , harming renters seeking to find available units and companies seeking to advertise their properties.

Furthermore, in a separate deal, Zillow agreed to make a minimum $75 million payment in the first year for Redfin to exclusively carry Zillow’s multifamily listings on its rental search websites, according to the lawsuit.

“This agreement between Zillow and Redfin not to compete is illegal,” Miyares said in a statement. “Zillow paying Redfin to exit the market harms renters and property owners by taking away free market incentives to provide high-quality services that businesses and consumers rely on. My office is suing to protect Virginians from this anticompetitive conduct.”

The complaint, filed in the United States District Court for the Eastern District of Virginia, asks the court to declare the agreements illegal and restore market competition. The plaintiffs want the court to award injunctive relief, including divestiture or restructuring of the businesses.

Miyares said his office worked closely with the Federal Trade Commission in investigating the matter.

Zillow and Redfin did not immediately return requests for comment. Both companies are headquartered in Seattle.

Wednesday’s suit marks the latest in a string of lawsuits Zillow has faced this year. In June, real estate brokerage company Compass sued Zillow in the U.S. District Court for the Southern District of New York, challenging Zillow over its policy of excluding many private home listings. According to the Associated Press, Compass claims Zillow “has sought to rely on anticompetitive tactics to protect its monopoly and revenues in violation of the antitrust laws.”

And in July, Arlington County-based and one of its subsidiaries sued Zillow, alleging Zillow was using nearly 47,000 CoStar-copyrighted images illegally on its listings sites.

Wall Street yawns at DC’s looming shutdown as US stocks head toward another winning month

Summary

  • S&P 500 up 0.1%, set for fifth straight monthly gain
  • Dow and little changed ahead of shutdown deadline
  • shares sank 5.4% after CEO Daniel Ek stepped down
  • jumped 11.8% on $14.2B Meta cloud deal

NEW YORK (AP) — U.S. stocks are coasting toward the finish of ‘s latest winning month on Tuesday, as financial markets give a collective yawn for the potential shutdown of the U.S. federal government that’s looming.

The S&P 500 edged up by 0.1% and is on track for a fifth straight winning month after setting a record last week. The Industrial Average was down 18 points, or less than 0.1%, with an hour remaining in trading, and the Nasdaq composite was virtually unchanged.

The quiet trading came as a midnight deadline approached, when the U.S. government looks likely to shut down because of Washington’s latest political impasse. That’s because history has shown that past shutdowns have had limited impact on the economy and , and many economists and professional investors expect something similar this time around.

The S&P 500 has climbed an average of 4.4% during past shutdowns and is positive over the last five, according to Monica Guerra, head of U.S. policy at Morgan Stanley Wealth Management.

The broad stock market has been on a nearly relentless run since hitting a low in April on expectations that President Donald Trump’s tariffs won’t derail global trade and that the Federal Reserve will cut interest rates several times to boost the slowing job market.

wavered in the bond market but ultimately held relatively steady following a couple mixed reports on the . One said consumers are feeling less confident than economists expected, with many respondents in the Conference Board’s survey pointing to the job market and to inflation that has remained higher than anyone would like.

A second report suggested the job market may be remaining in its “low-hire, low-fire” state. U.S. employers were advertising roughly the same number of job openings at the end of August as the month before. The hope on Wall Street had been for a number that’s neither too high nor too low, one balanced enough to keep the Fed on track to continue cutting interest rates.

The Fed just delivered its first cut of the year, and officials have penciled in more through the end of next year to give the job market a boost. Too-strong data on could make the Fed less willing to cut rates, which would back up criticism that the U.S. stock market has become too expensive after prices ran so high. Too-weak numbers, meanwhile, could signal a coming recession, which would also hurt stock prices.

When Wall Street will get upcoming data reports on the job market and inflation is uncertain, though. A shutdown of the federal government would cause delays for several important reports, including Friday’s on how many jobs U.S. employers created and destroyed in September.

That could make Wall Street more twitchy when investors are already nervous about the state of the economy and what that means for the potential for cuts to rates. The Department of Labor has already said that the Bureau of Labor Statistics will completely cease operations if there’s a lapse.

On Wall Street, Spotify Technology sank 5.4% after the Stockholm-based streaming giant said its founder, Daniel Ek, is stepping down as CEO to become the executive chairman. Two of his lieutenants will replace him as co-CEOs: Chief Product and Technology Officer Gustav Söderström and Chief Business Officer .

Oil-related companies weighed on the market after the price of crude fell again as traders see too much oil washing around the world. Schlumberger fell 2.7%, and Halliburton dropped 2%.

On the winning side of Wall Street was CoreWeave, which jumped 11.8%. It said Meta Platforms will pay up to $14.2 billion for a new order for cloud computing power made under its existing service agreement, with the potential for more.

Lamb Weston climbed 4% after the supplier of frozen French fries and other potato products reported a stronger profit for the latest quarter than analysts expected.

In stock markets abroad, indexes ticked higher in Europe following a mixed finish in Asia.

In the bond market, the yield on the 10-year Treasury held steady at 4.15%, where it was late Monday.

Spotify CEO Daniel Ek steps down, Co-CEOs named

Summary

  • steps down as CEO, becomes executive chairman at
  • and appointed co-CEOs, effective Jan. 1
  • Ek will focus on long-term growth, global expansion, and new technology including AI
  • Spotify has 700M+ subscribers, 100M+ songs, 7M podcasts, and 350K

LONDON (AP) — Spotify said Tuesday that founder Daniel Ek is stepping down as CEO to become the executive chairman, in an announcement that sent its shares sliding in Tuesday trading.

The Stockholm-based streaming giant said Ek will be replaced by two lieutenants who will become co-CEOs: Chief Product and Technology Officer Gustav Söderström and Chief Business Officer Alex Norström. The pair, who are also currently copresidents, will transition into their new on Jan. 1 and will report to Ek.

Spotify said in a press release that the move “formalizes” how Spotify has been operating since 2023, with Söderström and Norström largely leading strategic development and operational execution.

Ek said that he had already “turned over a large part of the day-to-day management and strategic direction” to the pair.

“This change simply matches titles to how we already operate,” he said. As executive chairman, Ek said he will focus on Spotify’s “long arc.”

In an online question and answer session following the announcement, Ek said his new role would not be a ceremonial one that investors with a “U.S. perspective” might expect.

In Europe, an executive chairman is typically “quite active in the business,” and acts as a representative to “certain stakeholders” such as governments, he said.

Ek said he still sees growth opportunities, including a “huge part of the world that’s really not accustomed to streaming” stretching from Asia to Africa, as well as new technology including .

“I’m gonna keep pushing for us to look around the corner, stay focused on the long term,” he said.

Since Ek founded Spotify about two decades ago, the platform’s rise has helped transformed the music business and paved the way for modern streaming. Spotify now has more than 700 million subscribers and a library of more than 100 million songs, 7 million podcast titles and 350,000 audiobooks.

Spotify shares, which have doubled in the past year, fell more than 5% in afternoon trading after the announcement.