Marketplace Morning Report

This morning, President Donald Trump revealed his choice to lead the Federal Reserve: It's Kevin Warsh, a former Fed governor and more recent Fed critic. If confirmed by the Senate, Warsh would replace Jerome Powell, whose term expires in May. Warsh had called for "regime change" at the Fed. On today's show, we'll dig into Warsh's background and perspective. Plus, from "Marketplace Tech," we'll hear how a Nevada startup is taking used electric vehicle batteries to help power a data center.

An increasing number of states in the U.S. not only require high schools to teach financial literacy but also require them to incorporate the fundamentals of free-market capitalism into their lesson plans. We head back to the classroom to hear how these lessons are changing as a growing number of students voice skepticism about capitalism. (Need to head back to Econ 101? Take our quiz to find out.) Plus, following last week's economic blackout in Minneapolis, we examine the history of general strikes in the U.S.

From the BBC World Service: Panama's Supreme Court has annulled a contract allowing for a Hong Kong company to operate two ports on the major shipping route. The canal handles 5% of all shipping traffic between the Atlantic and Pacific, and the news comes as the Trump administration seeks to curb Chinese influence in the region. Then, Madagascar recently opened its first-ever stretch of highway. Can it speed up trade and spur economic development in the country?

The Trump administration held a summit yesterday, all about Trump Accounts — those are investment accounts for babies born during his term. The government has promised to contribute $1,000 to every American child, no matter what their family's income is. We'll help you understand the details. Plus, we'll learn how vital Latino-owned businesses are to the economy and unpack the Federal Reserve's decision to leave interest rates unchanged.

Last year, President Donald Trump issued an executive order aimed at ending gender-affirming care for transgender children and teenagers under 19. Since then, the Department of Health and Human Services proposed a new rule that would ban hospitals offering that care from receiving Medicaid and Medicare funding. The attacks on transition-related care are having a profound effect on transgender kids and their families, but they're also having an impact on health care providers. Today, we'll hear more. But first: progress on a deal to avoid a partial government shutdown.

From the BBC World Service: U.K. Prime Minister Keir Starmer is the latest political leader to visit China for trade talks. Chinese President Xi Jinping told Starmer that Beijing is ready to develop a long-term strategic partnership. Since President Donald Trump imposed tariffs on most imports, countries around the world have been scrambling to sign new trade deals. Plus, as South Africa has been grappling with 30% U.S. tariffs, farmers there are also looking to China.

We've been deluged with the annual economic and market forecasts that traditionally mark the turn of a new year. Is it worth paying attention to these forecasts, or are they a waste of time? Maybe a little bit of both? Today, we're joined by Marketplace senior economics contributor Chris Farrell to assess their worth. But first, we'll discuss some of the forecasts and market conditions the Federal Reserve has in mind at this week's meeting. And, Boeing's revenue is up, as are its airplane delivery numbers.

There's a chance that the federal government will shut down late this week over reform and funding for the Department of Homeland Security, which also includes ICE. We'll break down the likelihood of a shutdown, demands of Senate Democrats, and potential impacts to ICE. Plus, the Fed likely won't cut interest rates today. And the 2026 World Cup is expected to draw millions of foreign visitors. Will U.S. authorities let them in?

From the BBC World Service: One of the world's leading technology bosses has warned there could be “carnage" if a bubble in AI share prices bursts. The chief executive of Cisco, Chuck Robbins, has told the BBC that while some companies won't survive, artificial intelligence will be “bigger than the internet.” Plus, we take you to Saudi Arabia, where the construction of a huge skyscraper — 20 times the size of the Empire State Building — has been suspended.

President Donald Trump is rolling out plans to make housing more affordable. He's ordered Fannie Mae and Freddie Mac to purchase $200 billion in mortgage bonds, proposed a ban on private equity purchasing single-family homes, and floated the idea of 50-year mortgages — all while continuing his pressure campaign on the Federal Reserve to lower interest rates. Will they work? Also, tech earnings this week will offer investors a window into the AI boom, and what we're watching as the Fed meets.

Freezing temperatures and ice over the past weekend have impacted agricultural industries across the U.S. This morning, we'll learn about its effects on timber, sugar cane, crawfish, cattle, and more. But first, major U.S. insurance companies are down in premarket trading after a small projected rate increase for privatized Medicare Advantage plans. And, from Marketplace's "Make Me Smart," federal student loan borrowers in default won't experience wage or tax garnishment — yet.

From the BBC World Service: India and the European Union have agreed to a major trade deal after nearly two decades of on-and-off negotiations. The wide-ranging agreement will see a number of huge tariff cuts and a joint security partnership. And later, President Donald Trump says that he's jacking up tariffs on South Korea. Plus, French lawmakers have passed a bill that will ban children under 15 from accessing social media.

The second deadly shooting in Minnesota by immigration agents has some Democrats in Washington renewing calls for reform to the Department of Homeland Security. This could hold up a spending bill, increasing the chances the federal government partially shuts down again late this week. Also in play is money for defense. We'll hear more. Then, we'll discuss the value of the yen and hear why more optimism about the economy isn't translating into hiring.

Following yet another deadly shooting by ICE agents in Minnesota, more than 60 CEOs there have now signed a letter calling on federal, state, and local officials to de-escalate. Some smaller businesses across the state have temporarily closed or reduced hours as employees and customers worry about being stopped or profiled by ICE. Also: Surging precious metal prices hint at investor anxieties, and we look at the economic impact of the 2026 Winter Olympics.

From the BBC World Service: A group of European countries has signed a clean energy pact, committing to build an offshore wind power grid in the North Sea. The agreement is in contrast to the U.S. and President Donald Trump's strong opposition to wind power. Then, gold hit another high. Plus, Peru's Chinese-funded “mega port” has ambitious plans to become a local and regional hub for Latin America, but is it delivering?

TikTok says it has formed a joint venture for U.S. operations with majority American ownership. The deal is intended to address national security concerns that led to a law that would have banned the app. Then, the world is now holding more gold than U.S. bonds. Is this a sign of changing times? And later, we discuss Americans' savings rate and the impact of the upcoming cold snap on spending.

Usually a relatively quiet affair, this year's World Economic Forum made headlines as President Donald Trump walked in with threatening language over wanting to acquire Greenland and left with what he said was a framework deal that would avoid a new trade war. We'll discuss the lasting impact. Plus, TikTok looks to be here to stay. And, from Marketplace's "This Is Uncomfortable," we hear about the importance of how people feel about their finances.

From the BBC World Service: Sanctions on the export of Russian oil have left many ships stuck at sea, unable to unload their cargoes. Today, we speak with a captain of an oil container ship that's part of Russia's shadow oil export fleet. His ship and the crew are stranded, unable to sell or offload their ship's oil. Then, we head to Slovakia, which manufactures more cars per capita than any other country in the world.

President Donald Trump acknowledged yesterday that he'll need help from Congress to cap credit card interest at 10%. He also talked about this at the World Economic Forum; at another Davos venue, JPMorgan Chase's Jamie Dimon said that capping cards would cause "economic disaster." We dig in. Plus, tax breaks from the "Big Beautiful Bill" should boost the economy (temporarily), and boosting Venezuela's oil production could have serious environmental impacts.

Following the president's intervention in Venezuela, the Trump administration is escalating threats against several sovereign nations. Now, Cuba is set to lose access to one of its main suppliers of oil, adding pressure to its increasing energy shortage and an already struggling economy. This morning, we'll discuss with the BBC's Will Grant. Plus, President Donald Trump's pivot on Greenland was well-received on Wall Street, and renter affordability is improving.

From the BBC World Service: The world has been reacting to President Donald Trump's announcement of a vague framework agreement over the future of Greenland. The president said that the U.S. will not impose tariffs on eight NATO countries. Then, you might think of corporate bonds as relatively modern, but companies have actually been issuing them since at least the 17th century; so what kind of return can you expect from a bond issued in 1648 by a Dutch water company?

On Wednesday, President Donald Trump spoke in front of international leaders in Davos, Switzerland. There, he touted his use of tariffs to disrupt the global trading system and spoke about his aspirations for acquiring Greenland without the use of force. We'll unpack some of the economic headlines. Then, we'll also discuss yesterday's sell-off of stocks and bonds and hear how Russia's war on Ukraine is impacting European airlines' bottom lines.

People around the world are using AI more than Americans, a new poll finds. About 40% of adults in the U.S. told pollsters that they used generative AI in the last year. In Nigeria, the United Arab Emirates, and India, that number was about 85%. What's driving the divide? But first: a preview of markets before President Donald Trump's speech at Davos, and a look at the struggle between the Trump administration and the Fed.

From the BBC World Service: Tech billionaire Elon Musk has picked a fight with Michael O'Leary, the chief executive of Ryanair; after O'Leary said Ryanair wouldn't be offering Musk's Starlink satellite services, Musk floated the idea of buying Ryanair himself. Plus, Lufthansa — one of the world's largest airline groups — says that airspace closures due to war zones are forcing substantial rerouting of flights, with the ban on using Russian and Ukrainian airspace creating detours of one to two hours.

Today is the second day of the World Economic Forum meeting in Davos, Switzerland. It's a meeting that attracts some of the world's most powerful people (and often protests). Among the biggest names are the heads of Microsoft and Nvidia, the chancellor of Germany, and — after a six-year in-person absence — President Donald Trump is returning to the forum. We'll outline what to expect. But first: a discussion of housing and tariffs.

The Supreme Court will hear oral arguments tomorrow in the case around President Donald Trump's bid to fire Federal Reserve Governor Lisa Cook over mortgage fraud allegations. Cook denies any wrongdoing, and she hasn't been charged with any crime. Federal Reserve Chair Jerome Powell is set to attend tomorrow's session. We hear about the case at hand and what's at stake. But first, we hear why houses in some areas could get more affordable this year.

From the BBC World Service: It's day two of the annual World Economic Forum in Davos, Switzerland, where President Donald Trump's goal of acquiring Greenland continues to preoccupy European leaders, as he attempts to project military and economic power over NATO allies. The president of the European Commission described fresh tariffs as a "mistake" and warned the response would be "unflinching." Also on this morning's program: a look at tourism in Japan and ghosting in the job market.

It's called the "lipstick effect." Consumers sometimes splurge on small luxuries — like cosmetics, accessories, and more — as a sort of rebellion against a bleak economic backdrop. And these indulgent purchases are expected to be big in the year ahead. Also: the toll tariffs have taken on the economy as Trump threatens more over Greenland and the impact of a growing number of millionaires in the United Arab Emirates.

President Donald Trump has made it very clear that he wants to purchase Greenland. Now, he's threatening to increase tariffs on eight European countries unless they agree to let the U.S. purchase the Danish territory, and the European Union is considering retaliation with its own tariffs on U.S. products. Also on the show: Europe is emerging as a major new destination for low-cost items from China.

From the BBC World Service: New data shows that China's economy grew by 5% last year. While positive, it's not anywhere near the stellar growth figures China has had over years past, and the economy faces a weak housing market, a falling population, and ongoing trade tensions with the U.S. Plus, we examine what's driving the wealthy to the United Arab Emirates and how a boom in luxury real estate is changing Dubai.

International visitors to 11 U.S. national parks, including Yellowstone, Bryce Canyon, and Sequoia, now have to pay more to get in — as in, up to a $100 a head more. The fees will help national parks address maintenance backlogs running to more than $22 billion, but some worry that it'll dent visitor numbers and hurt “gateway communities” near the parks. Also: plans to cap credit card rates and energy prices.

Minnesota is home to more than a dozen Fortune 500 companies, including 3M, Target, Best Buy, and General Mills. But in a wave of wake immigration arrests and ICE's killing of 37-year-old Renee Good, executives from many of the state's leading corporations have been noticeably quiet. This morning, we'll examine why exactly that is. But first, enrollment at community colleges was up for the fourth fall in a row.

From the BBC World Service: Canadian Prime Minister Mark Carney and Chinese leader Xi Jinping have announced a "new strategic partnership" at a meeting in Beijing. The deal encompasses clean energy and lower tariffs. Then, the United States and Taiwan have reached a trade agreement that reduces import taxes on goods from the island, while increasing Taiwan's technology investment in the U.S. And later, we look at the growth in the low- and no-alcohol drinks industry.

2025 was a tough year for homebuyers. Two things happened over the last three months of the year that helped people trying to buy a home: Housing prices grew more slowly, and mortgage rates fell. We'll unpack and discuss other housing news. Also on today's program: how the wealth effect is supporting our K-shaped economy, and how the bond market is responding to pressures on the Fed to lower interest rates.

Saks Global — the luxury retail conglomerate that owns brands like Saks Fifth Avenue, Neiman Marcus, and Bergdorf Goodman — filed for Chapter 11 bankruptcy this week. But given that higher-income consumers are driving so much of spending, why is a chain of luxury department stores struggling? Then, the Trump administration is ending a special protected status for 350,000 Haitians, and the elder-care industry is expected to lose thousands of workers as a result.

From the BBC World Service: Despite Wednesday's inconclusive talks between the U.S., Denmark, and Greenland, investors are starting to examine how Greenland's extensive mineral resources might be tapped. Currently, there are only two active mines on the island, but many investors think there is potential in Greenland for additional commercial projects. Then, thanks to the climbing popularity of Korean skincare, South Korea has surpassed the U.S. to become the world's second-largest cosmetics exporter after France,

President Donald Trump traveled to Michigan yesterday to tout the economy's performance during his second administration. He spoke at the Detroit Economic Club for about an hour, but the speech included false or misleading information about inflation, wage growth, drug prices, tax breaks, and more. Today, we'll provide some fact-checking. Also on today's program, we'll learn about bank earnings, China's trade surplus, and what happens when Social Security funding runs out.

The data centers needed to power AI are controversial in many communities. People worry about that extra demand driving up their electricity bills, which are already up almost 7% in a year. In response, Microsoft is pledging to pay extra for electricity to power its data centers and says it'll work to prevent water resources from being drained by giant server farms. And later, we'll discuss the Trump administration's plan to control Venezuela's oil.

From the BBC World Service: China has announced record export numbers and the largest trade surplus in global history: $1.2 trillion. Despite the impact of President Donald Trump's tariffs, China has been able to pivot to other international trading partners, including countries in Africa, Southeast Asia, and Latin America. Then, global bond markets are where governments go to raise money to pay for services, but have they become too powerful?

The Bureau of Labor Statistics released the final consumer price index reading for 2025 this morning. Spoiler alert: Inflation is still too high. Prices were up 2.7% from the year before and up 0.3% between November and December. This morning, we'll unpack. Plus, President Donald Trump wants to cap credit card rates at 10%. What consequences would there be for consumers and banks? And: inside a quantum computing site in Santa Barbara.

President Donald Trump said on social media that he is imposing a 25% tariff on goods from countries “doing business” with Iran in response to Iran's government imprisoning and killing protesters. The countries that buy Iranian oil include India, Turkey, and China. We'll also share predictions for December's consumer price index. Plus, could the biggest economic risk to the U.S. in the year ahead be the U.S. itself?

From the BBC World Service: There's mounting pressure on Grok — the AI chatbot that's part of Elon Musk's social media platform, X — over the generation of explicit images. The U.K. is rushing through a new law making it illegal to create nonconsensual intimate images; meanwhile, Indonesia and Malaysia have already blocked access to Grok. Then, the race is heating up to build the most powerful quantum computers. We visit one of the biggest players, Google's quantum lab in California