TRG Fast Facts

By TRG Advisors on May 9, 2025

Weekly data-driven insights on the markets and economy

Fed Holds Steady

The Federal Reserve held its key interest rate steady at 4.25%-4.5% on Wednesday, citing increased economic uncertainty and the impact of trade policies. The decision reflects the challenges posed by tariffs, which could both raise inflation and slow growth. Despite these risks, the Fed remains patient, with the economy showing resilience for now.^[i]

Disney’s Enchanting Growth

Disney posted its fiscal second-quarter earnings on Wednesday, surpassing expectations on both the top and bottom lines, driven by better-than-expected subscriber growth for its Disney+ streaming platform. The company also raised its fiscal 2025 guidance and reported revenue growth across all three business segments. Additionally, Disney announced a new theme park and resort in Abu Dhabi, contributing to a nearly 10% rise in its shares in early morning trading.^[ii]

Doordash Expands

Doordash announced on Tuesday the $1.2 billion acquisition of restaurant booking platform SevenRooms and reported first-quarter revenue of $3.03 billion, missing expectations of $3.09 billion. Shares fell 5% following the news. Additionally, Doordash agreed to a $3.9 billion takeover of British food delivery service Deliveroo, aiming to expand its global presence and enhance local commerce services.^[iii]

Toys Take On Tariffs

Mattel CEO Ynon Kreiz said on Tuesday that he does not foresee toy manufacturing returning to America, despite President Trump’s 145% tariff on Chinese imports. Instead, Mattel plans to raise prices in the U.S. to offset the tariffs. By the end of the year, less than 40% of Mattel’s products will be sourced from China, with a goal to reduce that to below 25% in the next two years.^[iv]

Air Traffic Control Trouble

It was reported on Monday that air traffic controllers at Newark Liberty International Airport (EWR) temporarily lost radar and communications with aircrafts heading to and from EWR on April 28, leading to massive flight delays and underscoring concerns about aging U.S. aviation infrastructure and staffing shortages. This incident caused more than 1,500 delays, and United Airlines announced it will cut 35 flights a day from Newark to ease disruptions caused by these issues.^[v]

Loan Chaos Looming?

The U.S. Department of Education resumed collection efforts on defaulted student loans on Monday, ending a five-year pause and putting millions of borrowers at risk of wage garnishment and other consequences. With more than 42 million Americans holding student loans and more than 5 million currently in default, the restart of collections could significantly impact borrowers’ financial stability.^[vi]

[i] Cox, Jeff. “Fed holds rates steady as it notes rising uncertainty and stagflation risk.” CNBC, 7 May 2025, https://www.cnbc.com/2025/05/07/fed-rate-decision-may-2025.html. Accessed May 7, 2025.

[ii] Whitten, Sarah. “Disney reports surprise uptick in streaming subscribers, beats on top and bottom lines.” CNBC, 7 May 2025, https://www.cnbc.com/2025/05/07/disney-dis-earnings-q2-2025.html.Accessed May 7, 2025.

[iii] Eudaily, Chris. “Doordash announces $1.2 billion SevenRooms deal, misses revenue expectations.” CNBC, 6 May 2025,

https://www.cnbc.com/2025/05/06/doordash-announces-1point2-billion-sevenrooms-deal-misses-revenue-expectations.html. Accessed May 6, 2025.

[iv] Whitten, Sarah. “Mattel CEO says toy manufacturing won’t come to America, but price hikes will.” CNBC, 6 May 2025, https://www.cnbc.com/2025/05/06/mattel-ceo-toy-manufacturing-trump-tariffs.html. Accessed May 6, 2025.

[v] Josephs, Leslie. “Newark air traffic controllers couldn’t see or talk to planes, leading to last week’s airport meltdown.” CNBC, 5 May 2025, https://www.cnbc.com/2025/05/05/air-traffic-controllers-newark-airport-delays.html. Accessed May 6, 2025.

[vi] Nova, Annie. “Trump administration restarts student loan collections for millions in default after years-long pause.” CNBC, 5 May 2025, https://www.cnbc.com/2025/05/05/student-loan-collections-restart-for-borrowers-in-default.html. Accessed May 6, 2025.