The Fox News Rundown Evening Edition: Positive Expectations For Possible President Trump And XI Meeting
Oct 28, 2025
Dr. Peter C. Earle, Director of Economics at the American Institute for Economic Research, shares insights on the potential outcomes of President Trump’s upcoming meeting with Xi Jinping, highlighting optimism around trade negotiations. He discusses the limited impact of government shutdowns, emphasizing their local effects. Earle also dives into the ramifications of AI on employment, detailing Amazon's job cuts and shift towards automation, while contrasting current AI developments with the dot-com bubble's speculative nature.
AI Snips
Chapters
Transcript
Episode notes
Shutdowns Often Hurt Regionally First
- Government shutdowns are usually more theatrical than economically damaging in the short run.
- A prolonged shutdown mainly hurts the D.C. regional economy and could persist if political incentives change.
Framework Exists, Details Still Missing
- Trump and Xi have a framework for cooperation but lack granular agreement on technology and strategic commodities.
- Semiconductors and rare earths remain unresolved and could determine whether decoupling continues or pauses.
Market Rally Fueled By AI And Lower Rates
- The stock market climbed despite tariff threats because promised large-scale tariffs never materialized.
- AI investment and Fed accommodation have supported strong earnings and higher equity valuations.