College students are running out of job prospects — and the situation may only get worse
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Good morning. Elon Musk held a town hall in Wisconsin on Sunday. Over the course of 100 minutes, he gave out million-dollar checks and fielded questions about sending federal savings to taxpayers. He also acknowledged the slump in his net worth, much of which has come from Tesla's falling stock price. Read the five takeaways here.
In today's big story, college students are running out of job prospects — and it could haunt them for years to come.
What's on deck
Markets: Gold may be thriving now, but one analyst says he could see a correction in the metal's future.
Tech: I attended two Tesla Takedown Protests. One generation showed up more than others.
Business: Even Hollywood is caving to Trump 2.0.
But first, what's a college senior to do?
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The big story
Gen Z's career apocalypse
C.J. Burton for BI
"Government jobs are secure. What drew me into it was the stability."
That's what one Gen Z student who was pursuing a career in public service told BI's Aki Ito.
Things aren't exactly going to plan.
With DOGE office initiatives ranging from slashing government budgets to dismantling entire federal agencies, public service jobs don't quite have the reputation for stability that they once had.
Roughly two million students set to graduate this spring are entering an exceptionally shaky job market.
Some of them have seen their offers at federal agencies rescinded; others have received no word on jobs they applied for months ago.
It's not just government positions that are taking a hit — it's jobs at a whole host of businesses, nonprofits, and universities that rely on federal funding and contracts.
Oh, and going to graduate school (a classic backup plan for many indecisive undergrads) might not be an option, either, unless the Department of Education manages to deliver financial aid in a timely fashion.
To make matters worse, the outlook is likely to get even more dismal in the months ahead.
President Donald Trump's tariff wars have spurred companies to hold off on hiring, investors are already bracing for the looming threat of stagflation, and the long list of major companies laying off staff this year is growing even longer.
Gen Z is running out of job prospects — and their careers could suffer for years to come, Aki writes.
3 things in markets
Getty; BI
1. Not all that glitters is gold, but gold could lose its shine, too. Despite a record-setting rally for the precious metal, one Morningstar analyst suggested prices could drop 38% in the coming years. He told BI three reasons bullion prices could decrease in the long term.
2. You don't have to spend less in a down market — but plenty of people cut back anyway. Americans pull back spending when they perceive a loss of wealth in the stock market, even if their incomes don't change. It's one way stock market woes spill into the broader economy.
3. The possible $35 trillion lifeline for US homeowners. If a recession were to strike, home equity lines of credit could give a boost. But their full potential as a stimulant remains to be seen.
3 things in tech
Daniel Zender for BI
1. AI twins are happening, and users are getting emotional. David Kushner can get advice from his mom anytime — even after she dies. That's because the two worked with a company to bring her to life in AI form. The end result took Kushner by surprise.
2. Takeaways from the Tesla Takedown. Protesters gathered at Tesla showrooms nationwide on Saturday to oppose Elon Musk's political role. A BI reporter joined nearly 400 protesters at a Tesla showroom in Ann Arbor, Michigan, and a smaller protest outside a mall in Troy. She said one generation showed up more than others.
3. xAI buys X. Elon Musk announced on Friday in a post on X that his artificial intelligence company, xAI, had acquired his social media platform, X, in an all-stock deal. The deal valued xAI at $80 billion and X at $33 billion.
3 things in business
Tyler Le/BI
1. The Big Stay? More like the Big Cling To Your Desk. Even though the job market looks good on paper, research shows consumer expectations for unemployment over the next year are at their worst level since the Great Recession, prompting some workers to stay put.
2. Charlie Javice was convicted Friday on four counts of defrauding JPMorgan Chase. Federal prosecutors asked that she be required to wear an ankle monitor prior to sentencing. Her lawyer objected, saying it would make her job as a pilates instructor "impossible."
3. Make Hollywood Great Again. The entertainment industry is quietly pulling back on DEI amid Trump 2.0. Studios are reducing queer storylines and ditching efforts to diversify casting, while financiers are heavily scrutinizing filmmakers' politics before investing, industry insiders told BI.
In other news
- I spent 11 hours at a legal conference, and the takeaway was clear. 'Lawyers need to wake up.'
- ScaleAI is seeking a valuation as high as $25 billion in potential tender offer, according to sources.
- Don't overthink CoreWeave's IPO. It is a bellwether — just not for all of AI.
- The creator of Kind Bars is now investing in longevity. Here's what his firm is betting on.
- Skadden's pact with Trump was a 'dealbreaker,' associate tells BI after resigning.
- A tiny US city paying people $50,000 to move there got 115 applications in two weeks.
- Black Americans describe how being a federal worker was their path to the middle class — and the heartbreak of losing it.
- Meet the movie theater superfans making the most of a $20 subscription.
What's happening today
- Senate votes on nomination of Matthew Whitaker to be US NATO representative.
Newsmax shares expected to commence trading on NYSE.
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