Morning Brief: Trump’s Financial EOs, Threatened Federal Takeover Of D.C., Divorce At 50-Year Low

President Trump signs executive orders to overhaul 401(k) investing and ban ideological “de-banking,” as India’s Prime Minister defies new U.S. tariffs. Amid a surge in youth crime, President Trump threatens to “federalize” Washington, D.C., and take over the city’s police force. The U.S. divorce rate hits a 50-year low as new research shows a surprising resurgence in family stability, particularly in the black community.

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Trump Signs Sweeping Banking Orders, Faces Off With India

Topline: President Trump signed two major executive orders on Thursday aimed at reshaping the American financial system by overhauling 401(k) investment rules and banning the practice of ideological “de-banking.”

The first executive order directs the SEC to remove regulations that currently prevent Americans from investing their 401(k) retirement funds in private assets, such as private equity funds, gold, and cryptocurrencies. The White House says Americans should be able to decide for themselves where to put their money, while critics warn of the higher risks associated with such investments. The move is a major win for private equity funds, which have long sought access to the $12 trillion in American 401(k)s.

The second order targets the practice of “de-banking.” It directs federal regulators to remove “reputational risk” as a legitimate reason for denying financial services. The move comes after numerous reports of banks closing the accounts of conservative individuals and non-profits for their political views. The president also ordered the Small Business Administration to ensure those who have been de-banked are reinstated.

Meanwhile, a trade standoff with India is intensifying. After Trump imposed a 50% tariff on the country for continuing to purchase Russian oil, Indian Prime Minister Narendra Modi responded defiantly. “I know I’ll have to pay a heavy price, but I’m ready. India is ready,” Modi said Thursday, adding that his country “will never compromise” on its interests.

Trump Threatens Federal Takeover Of D.C. Amid Crime Wave

Topline: Following a surge in violent youth crime in Washington, D.C., President Trump has threatened to “federalize” the nation’s capital and potentially take control of the city’s police force.

While a complete federal takeover of the city would require an act of Congress, President Trump has the authority to temporarily take over the D.C. police or call in the National Guard, options he confirmed on Thursday he is considering. “The crime is ridiculous,” Trump said, adding that he also wants to “beautify the city” by cleaning up graffiti and repairing crumbling roads.

The president’s threat was sparked by a recent attack on a government staffer by a gang of teenagers. U.S. Attorney for D.C. Jeanine Pirro said that such crimes are rampant because violent teens are sent to family court for “rehabilitation” instead of being charged as adults. “I’m tired of having these kids commit crimes,” Pirro said, calling for the age of criminal responsibility to be lowered to 14.

Crime statistics show the city’s justice system is lenient on violent offenders. Between 2018 and 2022, less than 2% of people arrested in D.C. for carrying a pistol without a license were sentenced to prison. The city’s Democratic mayor, Muriel Bowser, has remained publicly silent on Trump’s threat, but is reportedly working with the White House to address the crime issue.

U.S. Divorce Rate Plummets To 50-Year Low

Topline: The U.S. divorce rate has fallen to a 50-year low, and new research from the Institute for Family Studies indicates a surprising trend toward greater family stability, particularly in the black community.

The divorce rate has plummeted by around 40% from its peak in 1980. While the decline is partly due to fewer people getting married, sociologist Brad Wilcox of the Institute for Family Studies says it also reflects a genuine cultural shift. “Divorce is down, single parenthood is coming down, family stability is going up,” Wilcox told Morning Wire. “More kids are being raised by their own married, biological parents, and that’s good news for kids.”

The most surprising finding, according to Wilcox, is the “uptick in the share of kids being raised in black married families.” Over the last decade, there has been a six-percentage-point increase in the share of black children living in married-parent households.

The research also indicates a generational shift in attitudes toward marriage, with Gen Z being more positive about the institution than Millennials and Gen X were. Today, only 20% of 18- to 27-year-olds say marriage is irrelevant, compared to nearly 40% of young adults 20 years ago. Researchers are now watching to see how new technologies, such as AI companions and pornography, may threaten these positive trends in the future.