President Donald Trump said on Thursday that a wealthy private donor has provided $130 million to the U.S. government to cover potential shortfalls in military salaries caused by the ongoing government shutdown.
Speaking at a White House event, Trump praised the wealthy donor as a patriot and a “friend of mine," but declined to name him.
“He called us the other day and said, 'I'd like to contribute any shortfall you have because of the Democrat shutdown… because I love the military and I love the country,'” Trump said.
The administration faces mounting pressure to ensure active-duty service members receive their paychecks despite the budget impasse. Trump previously signed an executive order directing the Pentagon to repurpose unused research funds to cover salaries.
House Speaker Mike Johnson has called the military funding shift a temporary fix and warned that troops could soon miss their paychecks if Congress fails to pass a budget resolution.
The U.S. federal government has been partially shut down since October 1 as lawmakers in Congress remain deadlocked over a new budget, with disputes over healthcare subsidies at the center of the impasse.
The U.S. military is sending an aircraft carrier to the waters off South America, in the latest escalation and buildup of military forces in the region. The Pentagon spokesman said in a social media post Friday that Defense Secretary Pete Hegseth ordered the USS Gerald R. Ford and its strike group to deploy to U.S. Southern Command to “bolster U.S. capacity to detect, monitor, and disrupt illicit actors and activities that compromise the safety and prosperity of the United States." The USS Ford is currently deployed to the Mediterranean Sea along with three destroyers. It would likely take several days for the ships to make the journey to South America.
More than 75 million Americans receiving Social Security and Supplemental Security Income benefits will see their monthly payments rise 2.8% in 2026, accelerating from the prior year's increase for the first time in three years.
The Social Security Administration announced the annual cost-of-living adjustment to benefits on Friday, less than an hour after the Bureau of Labor Statistics published the Consumer Price Index for September, which had been delayed by more than a week by the ongoing federal government shutdown.
The agency bases the annual increase, closely watched by retirees and others on benefits, on the average of the annual increase in the CPI for Urban Wage Earners and Clerical Workers, also known as the CPI-W index. That index rose 2.9% in September and for the three months of July, August and September averaged about 2.7%.
The increase takes effect in January for 71 million Social Security recipients and on December 31, 2025 for nearly 7.5 million SSI beneficiaries. Some recipients receive both Social Security and SSI benefits.
It was the first time the annual increase was larger than the prior year since 2023, when recipients received an 8.7% increase - the largest since 1981 - after a 5.9% increase in the prior year.
For 2025, the increase was 2.5%.
Inflation, which surged to the highest level in four decades as the economy emerged from the COVID-19 pandemic, moderated over 2023 and 2024, resulting in a deceleration in benefits growth. Inflation, though, has edged up over the course of this year. The more widely watched main CPI index rose 3.0% in September, up from 2.9% in August, BLS said on Friday.
The Trump administration called back some furloughed BLS workers earlier this month to prepare the CPI report for September so that the Social Security increases could be announced. Publication of all other economic data releases by BLS and other statistical agencies has ceased during the shutdown.
Defense Secretary Pete Hegseth says another U.S. strike in the Caribbean targeted an alleged drug-running boat operated by the Venezuelan Tren de Aragua gang, killing six people. It's the 10th strike on a vessel suspected of carrying drugs. The death toll of the Trump administration's campaign against drug cartels is up to at least 46 people. Hegseth warns the drug smugglers the U.S. will hunt them down and kill them. The pace of the strikes has quickened in recent days from one every few weeks in September when they began to three this week. Two of the strikes this week were carried out in the eastern Pacific Ocean.
New York Attorney General Letitia James has pleaded not guilty to federal charges accusing her of lying on mortgage papers to secure favorable loan terms in a case pushed by President Donald Trump. James left the courthouse Friday smiling to cheers from supporters, who chanted, “We stand with Tish!” James says the case is about “a justice system which has been used as a tool of revenge." James faces bank fraud and false-statements charges in connection with a 2020 home purchase in Norfolk, Virginia. The Democrat has been a frequent target of the Republican president, especially after she won a massive civil fraud case against him.
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