From MXMNews

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On Monday, President Trump signed an executive order to create the first-ever U.S. sovereign wealth fund, with TikTok potentially becoming one of its first acquisitions. Trump emphasized the fund’s potential to generate significant wealth, positioning the U.S. alongside countries like Saudi Arabia and China that have long operated similar funds.

Key Details:

• Trump signed the order in the Oval Office, joined by Treasury Secretary Scott Bessent and Commerce Secretary Howard Lutnick, calling the move “a very exciting event.”

• The fund may be capitalized through tariff revenues, with Trump hinting that TikTok could be included as an asset, possibly as part of a deal tied to avoiding new 10% tariffs on Chinese goods.

• Bessent and Lutnick will oversee the fund’s creation, aiming to “monetize the asset side of the U.S. balance sheet” within the next year.

Diving Deeper:

President Trump on Monday signed an executive order to establish the first sovereign wealth fund in U.S. history, signaling a bold new approach to managing national assets. Speaking from the Oval Office, Trump described the initiative as “a very exciting event” and highlighted its potential to generate vast wealth for the country.

“Other countries have sovereign wealth funds, and they’re much smaller than the United States,” Trump noted. “We’re going to have one of the biggest funds in the world in a short period of time. The Saudi Arabia fund is large, but we’ll catch up.”

While the exact source of the fund’s initial capital hasn’t been confirmed, Trump has previously suggested that tariff revenues could play a key role. This aligns with his recent announcement of a 10% tariff on Chinese imports, which he framed as part of his strategy to combat fentanyl trafficking. Trump also floated the idea of including a stake in TikTok within the fund, hinting that Beijing might divest from the platform to sidestep the new tariffs.

Treasury Secretary Scott Bessent outlined the administration’s vision, stating, “We are going to monetize the asset side of the U.S. balance sheet for the American people. We’ve studied best practices from around the world, and it will include a mix of liquid assets and domestic investments.”

Commerce Secretary Howard Lutnick added that the sheer scale of the U.S. government’s operations presents a unique opportunity to create value for American citizens. “If we’re buying billions of COVID vaccines, maybe we should hold equity in these companies to benefit the health and wealth of the American people,” he said.

Trump envisions the fund investing in infrastructure, manufacturing, medical research, and more. During his campaign, he suggested the fund could be supported through tariffs and “other intelligent things,” emphasizing that it will be a tool to strengthen America’s economic independence and global competitiveness.

With sovereign wealth funds in countries like China, Saudi Arabia, and Singapore boasting assets exceeding $1 trillion, Trump’s move represents a significant shift in U.S. fiscal strategy, positioning the nation to compete directly in this arena for the first time.

From MXMNews

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President Trump is reportedly weighing an executive order to significantly reduce the Department of Education’s functions, with the ultimate goal of abolishing the agency altogether. According to the Wall Street Journal, the move would be part of a broader effort to downsize the federal government and return control over education to the states.

Key Details:

• The proposed executive order would dismantle most of the Department of Education’s operations, though functions mandated by federal law would remain.

• Trump has consistently criticized the department, pledging during his campaign to eliminate it, stating at a September rally in Wisconsin that he’s “dying” to get back in office to “eliminate the federal Department of Education.”

• Education Secretary-designate Linda McMahon’s confirmation process may influence the timing of the order, as some officials reportedly prefer waiting until after her Senate hearing to avoid complicating her nomination.

Diving Deeper:

President Trump is considering an executive order aimed at gutting the Department of Education, with plans to push for legislation to abolish the agency entirely, according to a Wall Street Journal report published Monday. The reported discussions within the Trump administration reflect the president’s long-standing campaign promise to reduce the size of the federal government and shift educational authority back to the states.

The potential executive order would target nearly all functions of the Department of Education, though programs explicitly required by statute would remain under its jurisdiction. Other responsibilities might be reassigned to different federal agencies. Importantly, while an executive order could scale back the department’s operations, fully dismantling it would require an act of Congress.

The Wall Street Journal also noted that Elon Musk, serving as the Department of Government Efficiency chief, is involved in plans for significant federal budget cuts, with the Education Department among the primary targets. A White House official told the New York Post that Trump’s administration is committed to “reevaluating the future of the Department of Education” to fulfill his campaign promises.

Throughout his campaign and presidency, Trump has been vocal about his opposition to the department. At a September rally in Wisconsin, he declared, “We will drain the government education swamp and stop the abuse of your taxpayer dollars to indoctrinate America’s youth with all sorts of things that you don’t want to have our youth hearing.” In a December interview with Time magazine, he mentioned plans for at least a “virtual closure” of the department.

Internal discussions reportedly include concerns about the timing of the executive order, particularly regarding Education Secretary-designate Linda McMahon’s Senate confirmation. Some officials fear that announcing such a sweeping move before her hearing could jeopardize her nomination. When Trump nominated McMahon last November, he emphasized her role in shifting education policy back to state control, stating, “We will send Education BACK TO THE STATES, and LINDA will spearhead that effort.”