Why the Supreme Court Upheld Birthright Citizenship

Summary

WSJ What’s News – June 30, 2026

Episode Summary: Why the Supreme Court Upheld Birthright Citizenship

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Episode Overview

This episode of WSJ’s “What’s News” PM edition focuses on significant news developments, with a special deep dive into the Supreme Court's pivotal decision upholding birthright citizenship—a major setback for one of President Trump’s key immigration policies. Other topics include financial market highs, key political developments in Colorado and New Jersey, major moves in the food industry, and a look at new trends in book rights investments.

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Key Discussion Points and Insights

1. Supreme Court Upholds Birthright Citizenship

• Main Story: The Supreme Court, in a 6-3 decision, struck down President Trump’s executive order attempting to limit birthright citizenship for children born in the U.S. to non-citizen parents—whether undocumented or on temporary visas.
• Legal Analysis (02:00–04:23)

  • 14th Amendment Interpretation:

    • Chief Justice John Roberts wrote the majority opinion, emphasizing the clear constitutional language:
    • “All persons born or naturalized in the US and subject to the jurisdiction thereof are citizens.”
    • The Court found no textual basis for Trump’s proposed limitation.
    • Roberts noted that if Congress wanted to restrict citizenship to those domiciled in the US, it would have been explicit.

  • Dissenting Opinions:

    • Justices Thomas, Gorsuch, and Alito dissented.
    • Justice Thomas argued the 14th Amendment was historically designed to protect newly freed black slaves, not to guarantee citizenship more broadly.
    • Justice Alito claimed the Amendment was intended only to cover children who “at birth owe an allegiance to the United States.”

  • Policy Impact:

    • Trump’s order was never enacted, having been blocked by lower courts before this final Supreme Court ruling.
    • This decision marks the third major block this year of Trump’s signature initiatives, after his tariffs and effort to remove Lisa Cook from the Fed.

  • Quote (Lydia Wheeler, 02:00–03:57):

    • “Chief Justice John Roberts wrote the court’s majority decision, and he said that there was scant evidence that birthright citizenship is limited just to those people who are domiciled in the United States, which is exactly what the Trump administration basically tried to claim.”

  • Quote (Lydia Wheeler on court’s stance toward Trump, 03:57–04:23):

    • “The court gave Trump full reign to fire whoever he wants from whatever agency that he wants, except the Fed...The president is walking away here, I think, with a lot to gain and a lot of big wins from the court this term.”

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2. Supreme Court and Transgender Athlete Bans

• Ruling (04:28): The Court upheld state-level bans on transgender women and girls participating in female sports teams, affecting 27 states.
  • The decision divided justices along ideological lines.
  • President Trump praised the opinion.

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3. Food Industry & Corporate Developments

• Meatpacking Aid: USDA announces financial aid—up to $500 million—for smaller meatpacking operations (Excludes major firms like Tyson, JBS, Cargill, National Beef) (04:28–05:20).
• Egg Industry Settlement:
  • Investigation into price manipulation; three producers to donate 50M+ eggs and pay over $3M.
  • Cal Maine, Hickman’s Egg Ranch, and Versova cited.
• Nicotine Marketing: FDA allows Zyn, a tobacco-free nicotine pouch, to market as less harmful than cigarettes.

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4. Market Wrap: Record Quarter for Tech Stocks

• Market Performance (06:19–07:20):
  • Nasdaq: +21%; S&P 500: +15% (best since Q2 2020)
  • Gains driven by semiconductor (“AI chip”) stock rally; broader market gains mostly limited to the tech sector.
  • Quote (Hannah Aaron Lange, 06:42):
    • “There are still some key risks hanging over markets. Investors are starting to look around and wonder when we'll start to see these good vibes spread throughout the market beyond just the tech sector.”

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5. Gates Foundation Pause & Saudi Wealth Fund

• Buffett Delays Donation (07:20):
  • Warren Buffett withholds mid-year donation to Gates Foundation, waiting on an external review over potential ties to Jeffrey Epstein. (Buffett has donated $48 billion since 2006.)
• Saudi Wealth Fund:
  • Annual report shows asset growth due to government funding, not investment success, with large projects underperforming due to unrealistic designs and costs.

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6. U.S. Political Updates

• New Jersey Rep. Tom Kaine Jr. Returns (08:32–08:51)
  • Opens up about depression following a four-month absence from Congress.
  • Quote (Tom Kaine Jr., 08:32):
    • “As the over 48 million of my fellow Americans being treated for this illness have come to discover, there is no timeline for healing.”
• Colorado Democratic Primary (09:24–10:18)
  • House Rep. Diana DeGette faces a challenge from 29-year-old Democratic Socialist Melat Quiros.
  • Issues: Medicare for All, abolishing ICE, halting arms to Israel.
  • Race seen as a test of “Democratic socialist” momentum outside New York.
  • Quote (Elizabeth Findel, 09:24):
    • “The reason this congressional race is getting so much attention all of a sudden is people want to see whether there is a broader trend outside of New York as far as Democratic socialists gaining momentum.”

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7. Book Publishing: IP Rights Gold Rush

• Primary Wave Music Enters Books (10:26–12:07)
  • Moves to buy older book rights, betting that savvy marketing (a la BookTok) can revive old titles.
  • Quote (Melissa Korn, 11:02):
    • “Publishers are often putting even less attention and money into marketing older books now, frankly, even newer books. So the folks behind this project see a real gap in the market and an opportunity there.”
  • Certain genres and backlist titles still see sudden revivals via social media:
    • “Every once in a while, especially with social media now, you see some book from 20, 30 years ago really pop up and go viral again.” (Melissa Korn, 11:41)

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Notable Quotes and Timestamps

• Lydia Wheeler, on SCOTUS reasoning (02:00):
  “There was scant evidence that birthright citizenship is limited... now a majority of the Supreme Court has said it’s unconstitutional.”
• Justice Thomas (as paraphrased): The 14th Amendment was intended to secure rights for newly freed black slaves, not universal birthright citizenship. (02:54)
• Tom Kaine Jr. on mental health (08:32):
  “There is no timeline for healing.”
• Elizabeth Findel on Colorado’s Democratic primary (09:24):
  “People want to see whether there is a broader trend outside of New York as far as democratic socialists gaining momentum.”
• Hannah Aaron Lange, on stock rally (06:42):
  “That was really because of this frenetic chip stock rally...the next leg of the AI trade. There are still some key risks hanging over markets.”

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Key Timestamps for Segment Navigation

• 00:33 – Show Headlines (Supreme Court, Colorado Race, Markets)
• 02:00 – Supreme Court on Birthright Citizenship (with Lydia Wheeler)
• 04:28 – Court Rules on Trans Athlete Ban
• 04:28–05:20 – Food Industry/Agricultural Developments
• 06:19 – Stock Market Quarterly Review
• 07:20 – Gates Foundation & Saudi Wealth Fund
• 08:32 – Rep. Tom Kaine Jr. Returns to Congress
• 09:24 – Colorado House Primary (with Elizabeth Findel)
• 10:26 – Music Publisher Buys Book Rights (with Melissa Korn)

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Overall Tone and Language

The episode maintains WSJ’s concise, analytical tone, rapidly covering news headlines while pausing for deep dives into complex legal and market topics. Expert guests provide clear, accessible explanations, and notable moments occur when they bring national or structural context to each news story.

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This summary provides a comprehensive guide to the episode, capturing all major topics and key moments, ideal for listeners who want an in-depth rundown or may have missed the broadcast.

Transcript

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[Alex Osola]

The Supreme Court upholds birthright citizenship in a blow to one of President Trump's signature policies. And it's primary day in Colorado and we're looking at a race between a longtime Democratic congresswoman and her left wing challenger.

[Elizabeth Findel]

The reason this congressional race is getting so much attention all of a sudden is people want to see whether there is a broader trend outside of New York as far as democratic socialists.

[Alex Osola]

G momentum plus, the S&P and the Nasdaq close out their best quarter since 2020. It's Tuesday, June 30th. I'm Alex Osola for the Wall Street Journal. This is the PM edition of what's news, the top headlines and business stories that move the world today. We're starting the show today with the Supreme Court. It was the last day of the term and the justices issued several major opinions. First up, in a 6 to 3 vote, they rejected President Trump's attempt to curtail birthright citizenship. Trump aimed to cancel citizenship for people born in the US if their parents were living in the country illegally or if their parents were in the US on temporary visas. It was a signature immigration policy that Trump issued on the first day of his second term. But the executive order was blocked by lower courts. It never went into effect. And now a majority of the Supreme Court has said it's unconstitutional. For more on the decision and its implications for Trump's immigration agenda, Journal legal affairs reporter Lydia Wheeler joins me now from Washington. Lydia, why did the justices strike down this order?

[Lydia Wheeler]

So the whole debate Centers on the 14th Amendment and exactly what it says, which is all persons born or naturalized in the US and subject to the jurisdiction thereof are citizens. Chief Justice John Roberts wrote the court's majority decision, and he said that there was scant evidence that birthright citizenship is limited just to those people who are domiciled in the United States, which is exactly what the Trump administration basically tried to claim. Roberts said that if Congress intended basically to limit American citizenship just to children of people domiciled in the US that they would have conveyed that right and that nothing in the text of the 14th Amendment actually says that he said nowhere do you see the words father or lawful or temporary.

[Alex Osola]

But this was a 6 to 3 decision. So what did the dissenters say?

[Lydia Wheeler]

We saw dissents come in from Justices Clarence Thomas, Neil Gorsuch and Samuel Alito. And these are the Court's staunchest conservative members. Justice Thomas said that the Court's historical analysis was inaccurate. He said that the 14th Amendment was designed and understood to secure equal rights for newly freed black slaves and basically to ensure that they would never again be treated as second class citizens. And Justice Samuel Alito, he said that the court basically made a serious mistake with this decision. He said that when the 14th Amendment was adopted that it was really meant only for children who at birth owe an allegiance to the United States.

[Alex Osola]

This decision is the third time this year that the Supreme Court has blocked one of Trump's signature initiatives. The other two were his tariffs and his effort to remove Lisa Cook from the Fed. What does that tell us about how the court sees its relationship with President Trump's policy agenda and also his effort to expand presidential authority?

[Lydia Wheeler]

The court gave Trump full reign to fire whoever he wants from whatever agency that he wants, except the Fed. And, you know, Republicans then won big today with the court's decision to strike down limits on how much political parties can spend in coordination with their preferred political candidate. And so really, the president is walking away here, I think, with, with a lot to gain and a lot of big wins from the court this term.

[Alex Osola]

That was WSJ legal affairs reporter Lydia Wheeler. Thank you, Lydia.

[Lydia Wheeler]

Thanks so much.

[Alex Osola]

The court also ruled today that states can ban transgender women and girls from playing on female sports teams. The decision largely divided the justices along ideological lines. It means that the 27 states with those bans can keep them. President Trump today praised the opinion and two updates on the food industry. The U.S. agriculture Department is planning financial aid of up to $500 million for smaller meatpacking companies. These slaughterhouses are struggling with dwindling cattle supplies, which has sent beef prices surging. The program is for U.S. companies, and it excludes the four largest beef processors in the country. That's Tyson Foods, JBS, Cargill and National Beef. And antitrust officials say that part of the reason eggs were so expensive last year was was market manipulation by three large egg companies. Those producers, Cal Maine Foods, Hickman's Egg Ranch and Versova, have now agreed to settle the claims by donating more than 50 million eggs to food banks and paying more than $3 million. Cal Main and Versova denied wrongdoing, while the former CEO of Hickman's Egg Ranch declined to comment. Separately, the Food and Drug Administration said that Zyn can market its nicotine pouches as less harmful than cigarettes. Zyn doesn't contain tobacco and it's the most popular nicotine pouch brand in the U.S. it's a product of Swedish Match USA, which is owned by Philip Morris International. Coming up, why a music publisher is looking to buy the rights to old books. That story and more after the break.

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[Alex Osola]

Stocks closed out a blockbuster quarter today with another rally. The Nasdaq led Today's gains, adding 1.5% for the quarter, the S&P 500 rose 15% and the Nasdaq jumped 21%, the biggest increases for both since the second quarter of 2020. Journal markets reporter Hannah Aaron Lange says those gains came during a particularly volatile period.

[Hannah Aaron Lange]

So in spite of these uncertainties looming over markets in the second quarter, whether that was the war in Iran or a really rapidly shifting outlook on interest rates, we saw double digit gains for all major U.S. stock indexes across the board. And that was really because of this frenetic chip stock rally, right? Investors were piling into shares of semiconductor companies. This has emerged as the kind of next leg of the AI trade. There are still some key risks hanging over markets. Investors are starting to look around and wonder when we'll start to see these good vibes spread throughout the market beyond just the tech sector.

[Alex Osola]

The Journal has learned that Warren Buffett is skipping his usual mid year donation to the Gates foundation for the first time in two decades. He's waiting to see the findings of an outside law firm's review of the foundation's ties to Jeffrey Epstein. Buffett has given roughly $48 billion to the foundation since 2006. Buffett declined to comment. Representatives for the Gates foundation didn't respond to requests for comment. And Saudi Arabia's sovereign wealth fund holds more than $1 trillion in assets, but it's not getting much return on its investments. The fund's annual report out today shows that most of the asset growth is coming from government injections and borrowing. Its portfolio is weighed down by megaprojects with unrealistic designs and costs and and lackluster tech investments. The performance adds to the list of fiscal challenges in the country, which is expected to face huge bills as a result of the war with Iran. In U.S. politics today, New Jersey Republican Representative Tom Kaine Jr. Had his first day back at the Capitol after being absent for four months. In an April social media post, Cain wasn't specific about the health issue that was keeping him away today. In a speech on the House floor, he disclosed that he had been hospitalized and diagnosed with depression.

[Tom Kaine Jr.]

When I said I hope to return in a matter of weeks, I believed it. Those were the best estimates the doctors could provide. But as the over 48 million of my fellow Americans being treated for this illness have come to discover, there is no timeline for healing.

[Alex Osola]

Cain's seat is one that Democrats hope to win back in a competitive race in the midterms. Cain didn't respond today when a reporter asked him whether he planned to continue to run for reelection. And in Colorado, voters are going to the polls for the state's primary election. And our reporters are keeping an eye on a contested House race. Democrat Diana DeGette, who has been a representative for almost 30 years, is facing a challenge from 29 year old Democratic socialist Melat Quiros. Elizabeth Findle covers politics for the Journal and joins me now from Denver. Elizabeth, what are some of the issues on the ballot in this race?

[Elizabeth Findel]

You know, it's interesting because Representative DeGette has been a very progressive leader during her time in office office, but she's being challenged from the left. Kiros is telling voters that she wants to have Medicaid for all, wants to abolish ice, wants to stop arms to Israel. The reason this congressional race is getting so much attention all of a sudden is people want to see whether there is a broader trend outside of New York as far as Democratic socialists gaining momentum. And it's somewhat of a test case of that. Colorado was a swing state for a long time, arguably even a red state, and became very blue very quickly. It's become a little bit of a laboratory of democratic politics.

[Alex Osola]

That was Journal reporter Elizabeth Findel. Thanks, Elizabeth.

[Elizabeth Findel]

Thank you. Appreciate it.

[Alex Osola]

The deal boom that took over music may now be coming for books. Primary Wave Music, a music publisher that acquires and markets the catalogs of artists including Stevie Nicks and Prince, is working on a new venture. It's kicked in $100 million to buy the rights to major authors old books. The company, along with writer and entrepreneur Richard Hurwitz, is betting they can unearth new revenue by presenting past titles for the Booktok era. For more, I'm joined now by Melissa Korn, deputy bureau chief for the Wall Street Journal's media team. Melissa, the back catalog has existed basically forever. Why is this venture pursuing this now?

[Melissa Korn]

In part because it's been so successful on the music side, private equity investors, labels, lots of big enterprises have gotten into the rights business on the music side. So books are just another form of ip. So it's kind of an easy shift over to that. I think the other reason is publishers are often putting even less attention and money into marketing older books now, frankly, even newer books. So the folks behind this project see a real gap in the market and an opportunity there.

[Alex Osola]

Is there really appetite for more books to be out there? I mean, are people reading enough?

[Melissa Korn]

I mean, I certainly am. The answer is yes. People are reading a lot. They're not reading every type of book, but there are certain genres that are doing well and certain authors who, who can kind of give some new life to their old works. And they're. Every once in a while, especially with social media now, you see some book from 20, 30 years ago really pop up and go viral again.

[Alex Osola]

That was the Journal's Melissa Korn. Thanks, Melissa.

[Melissa Korn]

Thanks.

[Alex Osola]

And that's what's news for this Tuesday afternoon. Today's show is produced by Anthony Banci and Alexis Moore, with supervising producer Tali Arbel. I'm Alex Osoleff for the Wall Street Journal. We'll be back with a new show tomorrow morning. Thanks for listening.

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