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GCA Forums News for Thursday, July 3, 2025
Here are the big stories you need to know for Thursday, July 3, 2025, covering housing, business, politics, and more.
Housing and Mortgage News
- According to Freddie Mac, thirty-year mortgage rates fell again, now at 6.67 percent.
- That is the lowest reading since mid-April, down from 6.77 percent a week ago.
- Bankrate also shows the thirty-year average at about 6.70 percent, the fifteen-year loan at 5.86 percent, and the five-one ARM at 6.02 percent.
- Despite the dip, many buyers still devote more than 30 percent of their income to house payments, especially in large metro areas.
Demand vs. Inventory
- Although cheaper borrowing costs lure fresh buyers into the market daily, the number of homes for sale remains disappointing.
- That combination gives buyers more negotiating power, yet sky-high prices and rising construction costs continue to pin many budgets to the ceiling.
Business and Markets
- US stocks rose to fresh record highs on Wednesday.
- The S&P climbed about 0.8 percent, the Nasdaq jumped by 1 percent, and the Dow gained roughly 0.8 percent.
- Analysts credit the rally to a better-than-expected jobs report showing the economy added 147,000 jobs in June.
Bond Yields Also Moved
- The ten-year Treasury hit about 4.34 percent, lending weight to speculation that the Federal Reserve is less likely to cut rates soon.
- In precious metals, gold prices eased as strong equity markets and rising yields sapped the usual safe-haven appetite.
Tesla News Remains Mixed
- Goldman sees weaker near-term consumer demand, although it acknowledges a possible recovery if economic sentiment improves.
Employment & Economy
June Jobs Snapshot
- Employers added 147,000 nonfarm positions, nudging the unemployment rate to 4.1% from 4.2%.
- Most new jobs appeared in healthcare and state-local offices, while manufacturing shed 7,000 roles for a fourth straight month, partly because of the ongoing tariffs.
Inflation Overview
- The Fed sees price growth easing toward its 2% target.
- Still, rising bond yields and market pricing show traders wobbling over tariffs and climbing housing costs.
Federal Reserve & Trump vs Powell
Powell Speaks
- Fed Chair Jerome Powell stood by the central bank’s independence, noting that global tariffs push rate cuts further down the calendar.
Trump Responds
- The President demanded that Powell resign, claiming he had misled Congress and bungled interest rates.
One Big Beautiful Bill
Senate Approval
- The upper chamber passed the President’s tax-spending plan, dubbed the Big Beautiful Bill, on July 1, sending it to the House.
House Showdown
- GOP leaders, including Trump and Speaker Johnson, forced a tight 219-213 procedural vote, triggering fierce arguments over cuts to Medicaid, the Affordable Care Act, and Medicare, even as the CBO warned the bill could add $3.3 trillion to the deficit.
Musk and Trump: Bromance Done?
Split Alert
Elon Musk labeled Trump’s new spending plan insane and warned it could hammer US debt. Trump Fires Back
The former President threatened to axe Musk’s government subsidies, scrap nearly \$22 billion in SpaceX deals, and maybe even send him back to South Africa.
Musk’s Counterpunch
He has promised to help Republicans fighting the bill, like Rep. Thomas Massie, and hinted he might back challengers in Team Trump’s primary.
Cybertruck Seized by Feds
Bad news for fans:
US regulators have grounded the Cybertruck, declaring it illegal for public roads, and similar bans are popping up overseas. The penalty stems from several recalls, fuelling doubts about Tesla’s safety checks and oversight.
Biggest Health-Fraud Bust Ever
DOJ sweep:
In a record sweep, federal agents charged over 300 people for healthcare fraud that cost an estimated \$14.6 billion, marking the largest bust of its kind.
Political shake-ups:
At the same time, Trump’s team has emptied Biden-era U.S. attorneys and rolled back police reforms in Minneapolis, Louisville, Phoenix, and Memphis.
Corporate Bankruptcies & Layoffs
Mid-sized retail and energy firms filed more Chapter 11 cases in early July as higher borrowing costs pinched cash flow and shoppers pulled back. Names involved will be confirmed after the long holiday break.
Outlook & Forecasts
Mortgage outlook:
Freddie Mac expects rates to drift toward the mid-6s by midsummer, if inflation cools and bond yields do not spike. Still, any fresh tariff talk usually jolts Treasuries and resets that trend.
Realty sector:
Lenders report more inquiries thanks to lower rates, yet agents warn that wages lag prices, and thinning commissions, coupled with big tech bills, squeeze profit.
Legislative risks:
If Congress passes the so-called “Big Beautiful Bill,” the housing landscape will shift, notably through a 30% solar tax credit that expires on December 31, 2025.
Summary Take:
- Rates are easing, yet homes remain pricey and listings scarce.
- The job market added solid numbers and stocks hit new highs, but fresh yield and inflation fears linger.
- Rising Trump-Fed friction over interest policy prompts analysts to question whether future Fed moves will be free of politics.
- Trump’s sweeping tax-and-spending “Big Beautiful Bill” races through committees, raising eyebrows over added deficit risk.
- The fallout between Musk and Trump keeps getting louder.
- Musk is now a loud political agitator while Trump talks tough about legal action.
- Fresh regulatory bans on the Cybertruck pile on more legal headaches for Tesla and its CEO.
- The DOJ presses ahead with sweeping fraud cases and tries to scrub away many legacies from the Biden years.
Hey everyone, if you want a deeper look at any of these topics or need fresher housing numbers for Fresno, inflation breakdowns, or information on how local businesses might feel the pinch, just let me know.
According to Freddie Mac, mortgage rates have slipped to 6.67 percent, giving some home shoppers hope. Apartment renters are also following the market closely because rising mortgage costs tend to nudge more people toward leasing in the short term. With inflation still above the Fed’s comfort zone, however, no one expects rates to come crashing down overnight.
Wall Street set another record high after the June jobs report beat forecasts by adding 147,000 positions. Wages are still climbing, unemployment is low, and that gets investors optimistic about corporate earnings. Rising yields on Treasury bonds usually follow that optimism, which we saw last week-evidence, some analysts say, that economic momentum hasn’t faded. Asian shares opened mostly higher on that US lead, shrugging off fears that venues like China might seek new lockdowns.
In the political arena, former President Donald Trump’s so-called “Big, Beautiful Bill” is back on Capitol Hill, courting both support and scorn. He spent days lobbying representatives, trying to pull them away from rivals like Senator Thomas Massie, who does not share his vision for mega subsidies. Critics, including billionaire Elon Musk, have called the plan “insane.” Even so, Senate Republicans moved it along, raising questions about spending priorities heading toward the next election cycle.
Stronger demand and supply cuts from OPEC+ have kept crude prices firm on the energy beat, pressing diesel consumers into harvest season. Experts say farmers should closely monitor global inventories and geopolitical flashpoints, as even small disruptions can cause pump prices to dart upward.
Thomas Massie, often called one of the President’s biggest rivals in Congress, hasn’t held back since the GOP decided to lean toward more traditional leadership in the House.
Breaking
- Tesla Cybertruck Declared ILLEGAL to Drive in the US.
- How the Justice Department carried out a $14.6 billion healthcare fraud…
- Justice Dept. abandons police reform deals with Minneapolis…
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3 Replies
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Good afternoon, GCA Forums. I have several questions about what happened to President Donald Trump and Elon Musk. How did their bromance come to an abrupt end? I thought Elon Musk had no ulterior motive in helping Trump win the 2024 election and being in charge of the Department of Government Efficiency. I also thought that Musk did not want anything from Trump and did all his DOGE work and donation of $300 million with the kindness of his heart. I heard that Musk got pissed off and feels like Trump used him for his endorsement and money to win the election? Why did Trump buy a Tesla Electric Vehicle? Did Musk have a hyper fit and break their bromance because the EV mandate was abolished on the Big Beautiful Bill? There are problems with Tesla Electric Vehicles, including catching on fire, and many safety concerns. Did Tesla go down the drain and become garbage now because Elon Musk ignored it while campaigning for Donald Trump? You cannot be a jack of all trades and master of them all. Can you explain why federal transportation safety regulators banned the Tesla Cybertruck? It seems like Trump and Musk made up, but their relationship turned 180 degrees. I will lose a lot of respect for Trump if he uses Elon Musk. Does Trump mean that he will deport Musk out of this country to South Africa? Is Musk in this country illegally? Is Musk going for revenge and hurting Trump?
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GCA Forums Response: The Trump-Musk Feud and Its Implications
Good afternoon, GCA Forums! With news outlets buzzing about the fallout between President Donald Trump and Elon Musk, many of you have been eager to know what happened. I’m glad you asked. In the next few paragraphs, I’ll explain the key events, their motives, and what the clash might mean for politics and technology. The goal here is to keep things clear and even-handed so you get a sense of the bigger picture without any drama added.
How Did the Trump-Musk Bromance Come to an Abrupt End?
- The friendly partnership between Trump and Musk hit the rocks in June 2025, and the fight boiled down to money.
- It started when Trump pushed his sprawling tax and spending plan, dubbed One Big Beautiful Bill, and Musk tore into it on social media.
- Back in early 2024, after a shocking assassination attempt aimed at Trump in Pennsylvania, Musk jumped into the president’s camp, calling his push a fresh start.
- Musk then gave almost $300 million to Trump’s re-election effort, helped run the short-lived Department of Government Efficiency (DOGE), and cut thousands of federal jobs to save cash.
- Things turned sour when Musk called Trump’s new bill a disgusting abomination, warning that it could add $2.4 trillion to the national debt over ten years, according to the Congressional Budget Office.
- Trump immediately hit back, saying Musk opposed the new law only because it stripped tax credits for electric vehicles and Tesla.
- On Truth Social, Trump claimed Musk “knew the inner workings” of the bill and called him “crazy” when the subsidies disappeared.
- Musk answered on X, tweeting that Trump would likely lose the 2024 race without his money and public hype, and lobbed some personal insults of his own.
- From there, things got even rougher.
- Trump warned he could snatch away billions in federal contracts from Tesla, SpaceX, and Musk’s other projects. At the same time, Musk floated the idea that Trump deserved a second impeachment.
- Their break also deepened when Trump rejected Musk’s pick, Jared Isaacman, for a NASA leadership role, citing Isaacman’s ties to the Democratic Party.
- That messy turn of events was probably coming anyway.
- Observers on GCA Forums and accounts like Dustin Dumestre pointed out that Musk cares about principles.
- At the same time, Trump demands unquestioning loyalty, so their bond was always shaky.
- By June 5, 2025, the friendly bromance had turned into an open clash, with each man using his platform, Truth Social for Trump and X for Musk, to hurl fresh insults.
Did Musk Have No Ulterior Motive in Helping Trump and Leading DOGE?
- It’s hard to believe that Musk dumped $300 million into DOGE and jumped on the Trump bandwagon just out of the goodness of his heart.
- However, he called it a stand for the principles that made America great, the timing and tone hint at something more tactical.
- Consider how Tesla, SpaceX, and Starlink have long leaned on huge government contracts, grants, and tax breaks to stay afloat.
- In 2024 alone, Tesla pocketed $2.8 billion by selling regulatory credits, and SpaceX landed $3.8 billion from federal missions.
- By steering DOGE and backing a $2 trillion spending-cutting push, Musk gained a rare chance to shape rules that could protect his companies’ cash streams.
- Yet Musk’s harsh take on the “Big Beautiful Bill” shows he never signed up for every part of Trump’s plan.
- He called the bills’ spending “insane.” He even threatened to back candidates who voted for them, hinting he cares more about balancing the books than party loyalty.
- While that criticism sounds serious, his push to keep the sizable EV tax credits, a feature the bill stripped out, is hard to read as anything other than self-defense for his company.
- Wall Street analysts at JPMorgan Chase say dropping those credits could reduce Tesla’s bottom line by nearly $1.2 billion, or about 17 percent of the profit they expect for 2024.
- In other words, Musk mixes his beliefs with a clear business shield, casting doubt on any story that paints his political spending as purely generous.
Did Musk Think Trump Just Wanted His Money and Hype?
- Musk has hinted he felt Trump stabbed him in the back.
- On June 5, 2025, he posted on GCA Forums, “Without me, Trump would have lost the election, the Democrats would control the House, and the Republicans would be 51-49 in the Senate,” as if his $300 million cash and campaign muscle had saved the day.
- He then called Trump “ungrateful” and brought up wild rumors linking the ex-President to Jeffrey Epstein, showing just how annoyed he was.
- Around the same time he stepped away from the DOGE role he had called temporary, Musk loudly blasted a new bill he once seemed fine with, hinting he felt pushed aside on Beltway deals.
President Trump Rebuttal
- Trump shot back by saying Musk “went CRAZY” because of a lost EV command, and that zinger only fed the story that the billionaire had been played for a fool.
- Soon Musk floated the idea of launching his party and backing primary foes of the GOP establishment, which sounded like revenge after Trump tried to trim the subsidies that had fattened Tesla’s bottom line.
- Still, Musk’s huge donations and nonstop public lobbying also point to a man chasing power, not merely sympathy.
- Hence, the tale of him being a pure victim gets murky fast.
Why Did Trump Buy a Tesla Electric Vehicle?
- In March 2025, Donald Trump and Elon Musk held a splashy event on the White House lawn that felt more like a car show than a press conference.
- Musk rolled out a shiny red Tesla Model S, and Trump slid behind the wheel.
- With cameras clicking, he declared that he was buying the car.
- At the time, their friendship was still hot, riding high while Tesla faced backlash linked to Musk’s polarizing tweets and votes.
- By backing the brand, Trump also gave himself a pro-business photo op that matched the aggressive spirit of his early presidency and his joke about the DOGE coin.
- Yet three months later, after their public spat, a White House aide quietly floated the idea that Trump might flip the Tesla, marking how quickly politics can sour a deal.
- In short, the purchase had little to do with Trump’s taste-he once said electric cars were impractical for most people-and everything to do with polishing Musk’s image when it needed a shine.
Did Musk Freak Out About the EV Mandate in the Big Beautiful Bill?
- Saying Musk had a big meltdown over killing the EV mandate makes the whole thing sound simpler.
- First, the “Big Beautiful Bill” never had a nationwide EV mandate, so that part of the story is already off.
- The bill started to wind down the federal $7,500 tax break for electric vehicles, which would hit almost every car maker, but hit Tesla less than people think.
- Trump stepped into the debate and said Musk was mad.
- This is because losing the credits costs him a pile of cash, adding, “Elon is upset because we took the EV mandate, which was a lot of money for electric vehicles.”
- Musk shot that claim down on GCA Forums, saying, “Keep the EV/solar incentive cuts in the bill, even though no oil & gas subsidies are touched (very unfair!!). But ditch the mountain of DISGUSTING PORK in the bill.”
- That tweet made it clear his main beef was with the bill’s huge spending and how much it would add to the national deficit, not just the EV issue.
- Though losing U.S. electric-vehicle tax credits is expected to cost Tesla around $1.2 billion, CEO Elon Musk’s anger has gone beyond dollars.
- He warned he might ground the Dragon spacecraft—a threat he later walked back—and even floated the idea of a fresh political party, hints pointing to deeper frustration with some Trump policies, not just subsidy cuts.
- Yet the financial blow to Tesla surely stoked those feelings, merging personal and corporate worries.
Did Tesla Go Down the Drain Because Musk Kept Battling Trump?
- Tesla has seen its share of bumps, but saying the company is “down the drain” or now “garbage” is way over the top.
- The firm’s stock certainly took a beating during Musk’s public spat with Trump, plummeting 14.3% on June 5, 2025, and erasing about $150 billion, the biggest single-day loss it had ever posted.
- By July 2025, shares were still 21% lower for the year, pulled down by Musk’s political spotlight, global criticism of the brand, and leaner rivals, especially Chinese EV makers.
- Adding to the pain, Q2 2024 profits dropped 45% to $1.48 billion after price cuts on cars and heavy spending on AI projects, such as the planned robotaxi fleet.
- Elon Musk’s heavy spending in politics—including a much-publicized $300 million push and his promotion of Dogecoin—pulled attention away from Tesla, sparking worries among investors.
- His far-right tilt also sparked protests at U.S. and European factory sites, which dented sales, especially in Europe and China.
- Still, the company posted record quarterly revenue of $25.5 billion in its second quarter of 2024.
- Cybertruck production has tripled, with analysts expecting the vehicle to help boost profit by year-end.
- Austin’s ongoing robotaxi pilot also remains a key growth story.
- Although Musk’s split focus deepened some hurdles, Tesla’s solid sales and margin numbers show the business is far from failure, even in a tougher market.
- Several Tesla models—including the Cybertruck—have come under the spotlight on the safety front.
- Incidents of battery fires and high-speed crashes have raised eyebrows.
- Still, no independent data indicates a systemic safety crisis beyond what other EVs see.
- Federal regulators have not banned Cybertruck, a point we will cover later.
- Meanwhile, Tesla continues to roll out over-the-air software patches and revise design features, showing it takes safety issues seriously.
Why Did Federal Transportation Safety Regulators Ban the Tesla Cybertruck?
- As of July 4, 2025, there is no official federal ban on the Tesla Cybertruck from agencies like the National Highway Traffic Safety Administration (NHTSA).
- The idea that the truck has been prohibited is a mix-up or a rumor gaining steam online.
- Safety talk has circled the vehicle because its tough stainless-steel shell could hurt pedestrians and other cars in a crash, and there have been a few highlighted battery fires.
- While NHTSA still examines Tesla’s Full Self-Driving (FSD) feature in older models, that probe has nothing to do with a stop order for the Cybertruck.
- Tesla’s second-quarter 2024 numbers showed Cybertruck assembly moving ahead, and the company is calmly settling safety issues tied to its future robotaxi idea, which uses much of the same tech.
- So, stories of a ban mixed strict testing with standard regulatory oversight.
Did Trump and Musk Make Up, or Did Their Relationship Turn 180 Degrees?
- As of July 4, 2025, Donald Trump and Elon Musk have not patched things up, even though the fireworks from their June 5 argument cooled a bit afterward.
- Two days later, while sitting on Air Force One, Trump told reporters he did not plan to call Musk, so the split still looked real.
- Still, Politico revealed that Trump’s aides quietly booked a phone call on June 6, hinting that someone wanted to fix what was broken. Musk then eased up on his threat to shove the Dragon spacecraft into mothballs, which showed at least a little self-control.
- Even so, their bond has flipped from friendly teamwork.
- Musk’s appearance at the White House and Trump’s snagging of Tesla stock led to a full-on public beef, with Trump promising to axe Musk’s contracts and Musk floating the idea of impeachment.
- At its core, the feud reflects two different worldviews.
- Musk favors tight budgets and hard numbers.
- At the same time, Trump leans on loyalty and personal ties.
- They could still shake hands over things like SpaceX’s role in Trump’s Golden Dome missile shield, but do not count on their friendship getting cozy again.
- Posts on GCA Forums, including one by the always-watchful Alex Carlucci, back up the story, and Trump himself now talks about Musk in the past tense.
Will Trump Deport Musk to South Africa? Is Musk in the U.S. Illegally?
- Donald Trump’s July 2025 remark about possibly sending Elon Musk back to South Africa grabbed headlines.
- Yet, the comment was more theatrical than policy.
- When pressed, Trump acknowledged Musk’s 2002 U.S. citizenship and joked that “DOGE,” the meme-coin, could somehow force Musk to leave.
- His ally Steve Bannon piled on with a call for a look into Musk’s immigration papers.
- Still, no evidence supports that he came to America unlawfully.
- Musk obtained citizenship through naturalization, and stripping that away usually requires proof of fraud.
- Nobody has yet provided such proof.
- Because Trump and Musk have traded barbs during the election campaign, the deportation jab reads more like campaign theatre than a legal plan.
- The Biden administration has not launched any formal review.
- Even if it did, Musk’s high-profile role in the economy and advanced tech would make a forced exit politically and practically near impossible.
Is Musk Seeking Revenge and Hurting Trump?
- Most people watching Elon Musk play in the political sandbox think his moves mix real anger with a business-like goal instead of pure revenge.
- When he hinted at backing candidates who cross the GOP on his pet projects and the idea of launching a brand-new party, he looked more interested in bending party rules than in trying to hurt Trump only.
- His June 5, 2025, post, where he floated a wild link between Trump, Epstein, and impeachment, was classic Musk-clickbait, heavy on drama and light on proof, just like plenty of other posts on GCA Forums.
- Yet he soon eased off, canceled the Dragon threat, and said, “So tempting to escalate this.
- So, so tempting.
- But I will refrain for now,” a signal that for now he wants to steer, not destroy.
- Elon Musk could shake up Trump’s standing by splitting GOP backing or backing rival candidates, but that power is pretty modest.
- A recent Pew survey found that half of U.S. adults see Musk in a negative light.
- Yet seven in ten Republicans still like him, so his real appeal is strongest among the party’s core.
- Trump keeps a tighter grip on the GOP and owns a social platform.
- Consultant Alex Conant nails it when he says, “Most members of Congress would rather have Trump’s endorsement than Musk’s millions.”
- Musk seems more wrapped up in Tesla’s robotaxi push and chasing SpaceX contracts than in scoring personal vendettas.
- However, his political moves could still throw curveballs at whatever Trump wants to do.
Broader Context and Implications
- The back-and-forth between Trump and Musk shows how shaky a friendship based on convenience can be.
- Musk once boosted Trump’s image and wallet, helping him look strong heading into 2024.
- Still, their goals pull in different directions-Trump wants tax cuts and border walls, Musk wishes for thrift and new tech ideas-so cracks began to show.
- With Tesla losing the EV tax breaks and Musk getting pushed to the sidelines after DOGE hurt that bond, Tesla’s shaky stock showed how jumpy the market was about their fight.
- Trump’s hints that he might kill government deals raise real worries about SpaceX’s part in the NASS Artemis plan or the credits that keep Tesla’s books green.
- However, a full breakup seems unlikely because Musk’s factories are too valuable for Washington to ignore.
- Members of GCA Forums who fear that Trump is just using Musk may take comfort in one fact.
- They have squeezed juice from the other.
- Musk got a voice in D.C. while Trump pocketed cash and headlines.
- Sure, their spat has rolled out name-calling and even talk of deportation, and that can put some voters’ doubts about Trump’s steady hand.
- Yet his core fans are still cheering.
- Musk is not in danger of being kicked out of the U.S.; his talk of revenge sounds more like a poke at power than an honest threat to sink Trump.
Please ask if you need more details or want to dig into a specific point. GCA Forums!!!
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Incompetent Chicago Mayor Brandon Johnson declares Chicago the safest city in America. However, 18 people were shot in Chicago’s River North neighborhood. What is Brandon Johnson thinking? With a single digit approval rating, Johnson actually thinks he’s doing a fabulous job as Chicago’s mayor which is furthest from the true.
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