Good morning. Hamas releases all remaining living hostages as Donald Trump arrives in Israel to celebrate the peace deal. US-China trade tensions ease. And how ‘sideways’ succession is reshaping global wealth. Listen to the day’s top stories.
US-China trade tensions eased somewhat as the Trump administration dialed back on last week’s hostile rhetoric. JD Vance called on Beijing to “choose the path of reason,” claiming that Trump has more leverage if the fight drags on. That’s not the message from the latest Chinese trade data—exports soared 8.3% in September to $328.6 billion, the biggest monthly total so far in 2025.
Futures bounced back on those signs that another tit-for-tat escalation in China trade tensions isn’t inevitable. Cryptocurrencies also rebounded, after suffering a brutal weekend selloff. Silver hit the highest in decades as a historic short squeeze in London reinforced a powerful year-to-date rally, while gold also surged to a fresh record.
Warner Bros. rebuffed Paramount’s initial takeover approach of about $20 per share as too low, people familiar said. Elsewhere on the corporate front, Jefferies defended its dealings with First Brands Group and said its exposure to the bankrupt auto-parts supplier was small.
Javier Milei. Photographer: Tomas Cuesta/Getty Images
President Javier Milei’s finance chief said the US Treasury’s backstop of Argentina’s peso is unflinching as the libertarian leader prepares to travel to Washington ahead of a crucial midterm vote. The US “is willing to continue buying pesos and bonds, and all options are on the table,” Economy Minister Luis Caputo told a Buenos Aires-based TV channel.
Deep Dive: The US Shutdown, Week Three
The US Capitol on Wednesday, Oct. 1, the day the shutdown started. Photographer: Pete Kiehart/Bloomberg
Trump said he’s directing the Defense Department to use funds his administration has identified to deliver paychecks to US troops on Oct. 15 despite the ongoing government shutdown.
The military payday had been shaping up as a as a key pressure point in the ongoing standoff between Republicans and Democrats over a stopgap spending measure.
Trump’s hardball tactic of ordering permanent layoffs has hardened Democrats’ deep distrust of Republicans and risks prolonging the impasse. JD Vance told Fox News that the longer the shutdown goes on, the more significant the permanent layoffs will be.
More than a quarter of a million federal employees missed scheduled paychecks last week, with another 2 million expected to go without pay as the shutdown enters its third week.
The shutdown is even starting to put a damper on tourism. Sunday marked the first day that the Smithsonian Institution museums, which include the National Zoo, were closed because of the impasse.
The Big Take
Signage at a Tricolor dealership in Phoenix on Sept. 24. Photographer: Ash Ponders/Bloomberg
Borrower beware: It is, by almost any measure, a golden era for US credit markets. Companies are selling debt at a near record clip and investors are pocketing the best returns in years. But in recent months, a flurry of meltdowns from Tricolor to Saks has exposed cracks in that edifice.
Traders on the floor of the New York Stock Exchange. Photographer: Michael Nagle/Bloomberg
The US stock market’s meteoric rise has investors wondering if a replay of the dot-com crash is coming, Nir Kaissar writes. But unlike that era, this rally rests on solid earnings—with about 95% of S&P 500 firms expected to boost profit next year.
