Judge continues to block Biden student debt relief plan

The Street

TheStreet’s Conway Gittens brings you the biggest news of the day, including what investors are watching and a blow to the Biden Administration’s student debt relief plans.

Transcript

00:00I'm Conway Gittens reporting from the New York Stock Exchange. Here's what we're watching on the street today.

00:04It was a record-setting Thursday on Wall Street as both the Dow and the S&P 500 closed at record highs.

00:12Investors are jubilant with the surprise size of a Federal Reserve interest rate cut.

00:17Meanwhile, in a sign of an uneven economy, sales of previously owned homes dropped two and a half percent in August,

00:23but weekly jobless claims fell to their lowest since May.

00:29In other news, student loan borrowers will have to wait longer to see how much of that debt will be erased, if at all.

00:35A block on President Biden's attempt to push through student loan forgiveness was extended by a Republican-appointed judge.

00:42The Biden administration was hoping to get relief into the hands of tens of millions of borrowers ahead of the November election,

00:49but the judge's ruling could make that timeline difficult to reach.

00:53The judge says he needs extra time to weigh two competing requests.

00:56The Biden White House wants the case thrown out altogether,

00:59while a number of GOP-led states have urged the courts to knock down the forgiveness plan, calling it nothing short of illegal.

01:07The Biden plan that's on hold would have wiped out $147 billion in debt for roughly 28 million Americans

01:14who either owe more than they borrowed, qualify for existing loan forgiveness programs,

01:19have a loan from a financially weak institution, or have been paying off the loan for decades but still have balances.

01:26So far, President Biden has overseen $169 billion in student debt forgiveness for roughly 5 million Americans.

01:35That'll do it for your daily briefing from the New York Stock Exchange. I'm Conway Gittins with The Street.

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