Unadorned Notes: January 18-21, 2025
Trump Sworn In for Second Term; Trump Signs 200 Executive Actions; Biden Pardons Allies, Trump Hints Retribution; Trump Threatens Tariffs, Targets TikTok; Trump Unveils $500B AI Initiative
U.S. Politics, Policies, and Geopolitics
Trump Sworn In for Second Term: Donald Trump was inaugurated as the 47th president of the United States, marking a historic return to power after overcoming four criminal indictments and two assassination attempts. During an indoor ceremony at the Capitol, Trump outlined a sweeping agenda focused on immigration enforcement, energy expansion, and reversing Biden-era policies, including declaring a national emergency at the southern border. He promised “a revolution of common sense”, emphasizing economic protectionism, deportations, and a new era of space exploration, including a mission to Mars. His second term is expected to focus on populist policies with loyalist Cabinet members poised to implement his disruptive vision for governance.1
Trump Signs 200 Executive Actions: On his first day in office, President Donald Trump signed over 200 executive actions, including rescinding 78 Biden-era directives and issuing 42 executive orders. Key measures included reinstating the “Remain in Mexico” policy, withdrawing from the Paris Climate Agreement and WHO, and declaring a national emergency at the southern border to end birthright citizenship. Trump also issued sweeping pardons for Jan. 6 defendants, froze federal hiring, and rolled back diversity, equity, and inclusion (DEI) initiatives across federal agencies. Additional actions targeted inflation, energy production, and transgender rights, with federal programs now restricted to recognizing gender assigned at birth.2
Biden Pardons Allies, Trump Hints Retribution: Outgoing President Joe Biden issued unprecedented preemptive pardons for family members, allies, and critics of incoming President Donald Trump, citing concerns over politically motivated retribution. Among those pardoned were Gen. Mark Milley, Dr. Anthony Fauci, and January 6 investigators, with Biden defending the action as necessary to protect public servants from baseless investigations.3 Shortly after taking office, Trump signed an executive order instructing federal agencies to preserve records of alleged political persecution under the Biden administration and pledged to expose abuses of power. Trump’s promises to prosecute political opponents have raised concerns about potential misuse of federal investigative powers.4
QZ’s Comment: These maneuvers, where a new administration vows to investigate its predecessor’s alleged abuses while that predecessor preemptively pardons allies, reflect a shrewd, almost Machiavellian grasp of raw political power. Trump’s directives and Biden’s pardons demonstrate a deep understanding of the interplay between constitutional powers and the political impulse to defend one’s allies and legacy. Both actions show how legal tools and administrative directives can be used as important instruments of political leverage.
Trump Launches Sweeping Immigration Crackdown: President Donald Trump began his immigration crackdown by declaring illegal immigration a national emergency and ordering military support for border security, wall construction, and migrant transportation. He initiated efforts to restrict birthright citizenship, sparking immediate legal challenges from the ACLU. The administration also suspended refugee resettlement, expanded deportation priorities, and began targeting cartels as terrorist organizations using the Alien Enemies Act. Migrants stranded at the border expressed confusion and frustration after the “CBP One” app was abruptly shut down. Critics warn that Trump’s actions could disrupt families, harm businesses, and lead to costly litigation.5
DOGE Faces Lawsuits Over Transparency: The Department of Government Efficiency (DOGE), created by President Donald Trump to cut $2 trillion in federal spending, faced lawsuits on its first day from groups demanding compliance with federal transparency laws. Plaintiffs argue DOGE should operate under the Federal Advisory Committee Act, requiring open meetings, balanced membership, and accountability. Critics allege the task force, now led solely by Elon Musk after Vivek Ramaswamy’s departure, prioritizes corporate interests over public welfare. DOGE leadership defended the initiative, while watchdog groups called for evidence-based reforms instead of sweeping cuts.6
Trump Threatens Tariffs, Targets TikTok: President Donald Trump announced plans to impose tariffs on Canada, Mexico, and China, with levies of up to 100% on Chinese imports contingent on a deal to sell TikTok’s U.S. operations to an American company. He also extended TikTok’s operational deadline by 75 days, warning that failure to divest could result in further economic measures.7 Trump’s broader trade agenda includes raising tariffs to reduce the U.S. trade deficit and increase domestic revenues, emphasizing an “America First” policy. China did not immediately respond to Trump’s approach, while Canada and Mexico pledged to defend their trade interests amid escalating tensions.8
EcoHealth Barred Over Wuhan Research: The U.S. Department of Health and Human Services has debarred EcoHealth Alliance Inc. and its former president, Peter Daszak, for five years, cutting all funding over alleged violations tied to virus research in Wuhan, China. The decision follows evidence from the Select Subcommittee on the Coronavirus Pandemic, which found the organization improperly facilitated gain-of-function research without adequate oversight. EcoHealth also allegedly violated the terms of its National Institutes of Health grant and failed to comply with federal oversight requests. House Oversight Committee Chairman James Comer called the move a “victory for the U.S. taxpayer”, citing EcoHealth’s repeated noncompliance. The decision underscores concerns about the origins of the Covid-19 pandemic and research safety protocols.9
Trump, Putin, Xi Weigh Ukraine Peace: President Donald Trump criticized Vladimir Putin’s war in Ukraine, urging an end to the conflict while signaling readiness for dialogue with both Russia and China.10 Meanwhile, Putin and Chinese leader Xi Jinping held a 95-minute video call to discuss U.S. relations under Trump and reaffirmed their “no limits” partnership. Putin emphasized long-term peace in Ukraine but insisted any resolution must account for Russia’s interests, including territorial gains. Xi reiterated support for talks to end the war but accused the U.S. of fueling the conflict with arms supplies to Kyiv.11
Economics, Finance, and Business
AI Chip Demand Reshapes Market: The growing need for AI computing power has driven cloud service providers (CSPs) like Google, Amazon, and Microsoft to develop custom ASICs, challenging Nvidia’s dominance in the GPU market. ASICs offer superior energy efficiency and performance for specific AI tasks, with companies like Broadcom and Marvell emerging as key players. Marvell’s partnerships with Amazon and Google are projected to boost ASIC revenue from 2024, though long-term growth may face challenges due to increased competition. Broadcom maintains a competitive edge through significant R&D investments and leadership in network interconnectivity, while Marvell focuses on strategic acquisitions to expand its AI chip expertise. Semiconductor stocks, including Marvell and Nvidia, have benefited from this trend, contributing to recent market gains.12
Trump Unveils $500B AI Initiative: President Donald Trump announced a $500 billion private sector investment to develop artificial intelligence infrastructure in the U.S., led by OpenAI, SoftBank, and Oracle through a venture called Stargate. Initial plans include 10 data centers under construction in Texas, with expansion to other states, aiming to create over 100,000 jobs. Executives Masayoshi Son, Sam Altman, and Larry Ellison emphasized AI’s potential to revolutionize healthcare and other sectors. Trump pledged regulatory support, citing competition with China and the urgency to accelerate domestic development. Additional investors are expected to join the initiative, though details remain forthcoming.13
Bitcoin Rises Amid Trump Uncertainty: Bitcoin rose 2.4% to $105,009 on Tuesday after retreating from Monday’s record high of $109,071, as investors reacted to the absence of crypto-related policies in President Donald Trump’s first-day agenda. Ethereum gained 0.84%, while Trump’s meme coin fell 20.5% to $39.68, raising concerns over the volatility of Trump-linked crypto ventures. Analysts noted market disappointment over the lack of immediate crypto reforms but anticipate potential executive orders promoting digital assets in the coming days. Trump’s appointment of Republican SEC commissioner Mark Uyeda as acting chair was viewed positively, signaling a possible shift toward more crypto-friendly regulation. Separately, the Trump-linked World Liberty Financial project raised $300 million in an initial token sale, while ethics experts flagged concerns over conflicts of interest in Trump’s personal crypto projects.14
Instagram Debuts Video Editing App: Instagram announced “Edits”, a video editing app launching in February 2025, offering tools like green screens, overlays, and transitions. The announcement coincided with TikTok’s brief U.S. outage due to a federal ban requiring its Chinese parent to sell its U.S. operations. TikTok resumed service after President Donald Trump paused enforcement of the ban, but its long-term future remains uncertain. Instagram capitalized on the disruption, running App Store ads targeting TikTok users and promoting its Reels platform. X, formerly Twitter, also unveiled a new video tab to expand its content offerings, competing for creators amid the shifting video app landscape.15