Tuesday July 1st, 2025
Senate Slashes, Canada Folds, Harvard Fights: WTF Will Happen Tomorrow?
Medicaid on the chopping block, Canada caves to Trump, Harvard stares down a funding freeze, and the Senate plays math games with $3.8 trillion. Tomorrow’s headlines are about to get even uglier.
Today in one sentence: As the Senate races through amendments on a divisive mega-bill slashing social safety nets and clean energy, Canada surrenders its digital tax under trade pressure, Harvard faces a historic federal funding threat, and fiscal sleight-of-hand hides trillions in new debt.
1. Senate Bill Showdown Splinters GOP Unity
Expect at least two Republican senators to publicly waver or defect over the Medicaid and SNAP cuts in Trump’s signature bill, intensifying pressure on leadership and raising the odds of a last-minute rewrite (NBC News, The Hill). GOP splits on energy and state impacts will force overnight negotiations, with Democratic amendments likely to be torpedoed. Ripple: Hospital groups and state Medicaid offices will warn of imminent layoffs and care delays, fueling new protests in red states (Medicare Rights, WCHSB Insights).
2. Fiscal Fakery Faces Bipartisan Blowback
Democrats and budget watchdogs will hammer the GOP’s new accounting trick for masking $3.8 trillion in tax cuts, with independent analysts (CBO, Committee for a Responsible Federal Budget) calling it unprecedented and ‘budgetary fraud’ (Politico, WSJ). Expect a sharp House Democratic letter demanding an ethics probe. Ripple: State treasurers and Wall Street analysts will warn that the fake math could spook muni bond markets and drive up borrowing costs for states (Yahoo Finance).
3. Amendment Vote-a-Rama Turns Ugly
With Senate leadership scrambling for votes, at least one surprise amendment—likely on Medicaid or green energy—will pass with bipartisan support, forcing Trump and House leaders to consider a deal or risk the entire bill imploding (CNN, The Hill, ABC News). Ripple: Markets will react with a choppy session as energy stocks swing wildly (Bloomberg).
4. Canada-U.S. Trade Reset Spooks Tech Giants
As Canada formally repeals its digital services tax, expect Google, Meta, and Amazon to hail a ‘victory for open trade’ while quietly pressing for favorable terms in the new deal (BBC, Global News). Ripple: European officials may accuse Ottawa of caving to Trump, creating transatlantic friction over digital taxation (Canada.ca, Politico EU).
5. Harvard Sues, Ivy Allies Join Funding Battle
Harvard will file for an injunction to block further federal funding cuts, with faculty and student protests erupting nationwide (Harvard Gazette, NY Attorney General). At least three other elite universities will announce legal action and solidarity, framing the administration’s move as an attack on academic freedom. Ripple: Expect calls for emergency alumni fundraising and high-profile faculty resignations (Harvard PDF).
Notables
Iran Nuclear Sites: Not So Obliterated
UN nuclear watchdog and Pentagon sources will confirm Iran can resume enrichment within months, undercutting Trump’s ‘obliterated’ narrative. This will fuel bipartisan calls for more congressional oversight on military action (Washington Post, NPR).
Fed Chair Powell Shrugs Off Trump Tantrum
Despite Trump’s handwritten pressure, expect Jerome Powell to signal steady rates, citing economic uncertainty and global volatility. Ripple: Expect a mild market dip as traders read the tea leaves (The Hill, Axios).
Lawsuit Palooza: Sanctuary Cities and Fox News
California’s lawsuit against Fox News and the Trump DOJ’s suit against LA over sanctuary policies will trigger tit-for-tat legal fireworks, setting up months of courtroom drama (Politico, NBC News). (70% chance)
If you thought today was nuts, just wait for tomorrow’s hangover.