Weekly News Summary – March 17–21 – BAI Capital
The third week of March closed with major announcements reflecting the momentum of the U.S. economy, migration trends, and investment patterns. The Federal Reserve set the tone for the markets, while the real estate sector showed signs of resilience and immigration policies continued to evolve in a key election year. Here are the week’s most relevant developments:
1. The Fed Holds Rates, Signals Cuts Ahead
The Federal Reserve kept its benchmark interest rate unchanged in the range of 5.25% to 5.50%, aligning with market expectations. In his statement, Chairman Jerome Powell noted that although inflation remains above the 2% target, there are clear signs of a slowdown, allowing the Fed to adopt a wait-and-see approach.
The most notable announcement was the confirmation that the Fed still expects three rate cuts in 2025, if macroeconomic conditions allow. Markets reacted positively, with the S&P 500 hitting new highs and Treasury yields declining, reflecting expectations of a more flexible financial environment in the coming months.
2. Core Inflation Continues to Ease
The core Consumer Price Index (CPI) — which excludes food and energy due to their volatility — rose 0.3% monthly and 3.5% annually in February. This marks a decrease compared to previous months and strengthens the perception that inflation is finally cooling in a sustained way.
However, certain sectors continue to exert pressure, such as housing, medical services, and insurance. Rent costs, in particular, remain a key obstacle to bringing inflation back to target. As a result, the Fed maintains a cautious stance and will continue relying heavily on data in the coming months.
3. Miami Leads U.S. Real Estate Growth
According to Redfin’s weekly report, Miami’s real estate market stood out as one of the most dynamic in the country, with an 8.4% year-over-year increase in home prices. This growth is fueled by strong international demand and the influx of buyers from states like New York, Illinois, and California.
Miami’s appeal goes beyond weather and low taxes — the rise of luxury developments and key investment areas such as Aventura, Brickell, and Coral Gables is also playing a big role. Despite high mortgage rates, the fact that many purchases are made in cash highlights the strength of investors betting on South Florida.
4. Goldman Sachs Raises U.S. Growth Outlook
Investment bank Goldman Sachs raised its U.S. GDP growth forecast for 2025 from 1.9% to 2.2%. This optimistic view is based on strong consumer spending, healthy employment levels, and a rebound in private investment supported by federal incentives and financial stability.
The report highlights sectors such as clean energy, artificial intelligence, and infrastructure as major investment magnets. Meanwhile, American consumers continue to benefit from rising wages and lower inflation — and with potential rate cuts on the horizon, the economic outlook for the second half of the year looks increasingly positive.
5. EB-5 Visa Applications on the Rise
The U.S. Citizenship and Immigration Services (USCIS) reported a 12% increase in EB-5 visa applications during the first quarter of 2025 compared to the previous quarter. The rise is driven by renewed interest from investors in India, Brazil, and Vietnam, seeking stable migration pathways for their families.
The EB-5 program, which offers a path to permanent residency (Green Card) through an $800,000 investment in a qualified project, continues to attract foreign capital. The program’s legal modernization in 2022 has also contributed to greater investor confidence worldwide.
6. Biden Administration Announces New Immigration Measures
The Department of Homeland Security (DHS) unveiled new actions to manage pressure at the southern border. These include limiting asylum applications for unauthorized entrants and expanding humanitarian parole programs for citizens of countries such as Venezuela, Haiti, and Nicaragua.
The measures aim to strike a balance between border control and legal pathways for migration, amid a politically sensitive election year. The administration also urged Congress to approve a new budget package to strengthen border security and modernize immigration processing — despite criticism from both ends of the political spectrum.
7. Millionaire Exodus from New York and California
A report by Henley & Partners revealed that New York and California lost over 1,000 millionaires in the first months of 2025. Many of these high-net-worth individuals have relocated to Florida and Texas. The trend, already present since the pandemic, continues to accelerate due to high state taxes and living costs.
Florida in particular has become the top destination, thanks to its favorable tax policies, attractive climate, and real estate investment opportunities. The migration of this capital affects the tax base of the original states and has broader political and economic implications.
8. BlackRock and JPMorgan Invest in Sunbelt Real Estate
BlackRock and JPMorgan Chase announced new combined investments of over $1.5 billion in housing developments across the U.S. Sunbelt — including Texas, Arizona, and Florida. Their focus is on multifamily rental housing projects to address population growth and a lack of affordable housing.
These moves reflect growing institutional confidence in the southern U.S. real estate market. Population growth, job creation, and internal migration are driving strong demand for housing. Secondary cities like Austin, Tampa, and Phoenix are emerging as key hubs for these investment funds.
9. Interest in H-1B and F-1 Visas Rebounds
USCIS reported an 18% increase in registrations for the H-1B visa lottery compared to the same period in 2024. This shows that the U.S. remains an attractive destination for skilled professionals, especially in technology, healthcare, and finance.
There has also been a rise in F-1 student visa applications, particularly from Asia and Latin America. Universities such as NYU, USC, and Georgia Tech reported increases in international admissions, fueled by the desire to study, work, and settle long-term in the U.S. through the education pathway.
10. Senators Propose New Legislation for Foreign Investment
A bipartisan group of U.S. senators introduced a new bill this week aimed at modernizing the EB-5 program and other tools for attracting foreign direct investment. The proposal seeks to streamline processing times, increase transparency, and promote projects in rural and infrastructure zones.
The goal is to bring in more private capital to key economic sectors in the U.S., while ensuring job creation. The initiative has support from private sector organizations and could become a strategic tool for revitalizing communities outside major urban centers.
