Morning Business Report: Markets react as shutdown drags on, gold hits record, tariffs surge
Prediction markets are betting the U.S. government shutdown could last nearly two weeks.
(LILAMAX)- Prediction markets are betting the U.S. government shutdown could last nearly two weeks, with growing odds that Congress will not reach a deal until at least mid-October.
Investors are already reacting. Gold surged to a fresh all-time high as traders sought safe-haven assets, while Bitcoin gained ground as an alternative to the U.S. dollar. Market bettors also see a 100% probability of an October interest rate cut and an 88% chance of another in December.
Despite political gridlock, Wall Street closed strong. The S&P 500 hit another record close as the fourth quarter began, while the Nasdaq ended just shy of its own record.
Meanwhile, the Treasury Department reported the U.S. collected $31.3 billion in tariff revenue in September, bringing 2025’s total to $214.9 billion. The surge comes as the Supreme Court prepares to consider the legality of President Trump’s sweeping trade policy.
On the consumer front, new car down payments fell to a four-year low, according to Edmunds. Buyers are increasingly stretching out loan terms, with the average down payment dropping to $6,020 in Q3. Nearly 19% of buyers now face $1,000 monthly car payments, an all-time high.
And in the fitness sector, Peloton is revamping its hardware lineup and raising prices for the holidays. Equipment costs will rise by several hundred dollars, while its all-access membership jumps from $44 to $49.99 per month. The company is also launching a new commercial line of equipment tailored for hotels and apartment buildings.
