Finance

Trump’s Latest Tariff Setback Looms Over China Trade Talks President Trump’s tariff agenda suffered another legal setback as a court ruling limits the scope of executive tariff authority. The decision casts uncertainty over upcoming US-China trade negotiations, potentially reshaping the balance of power in trade policy. Analysts say the ruling could fundamentally alter the landscape of US trade policy decision-making, weakening the executive branch’s ability to act unilaterally on trade matters. For upcoming China-US economic negotiations, this legal variable may affect both sides’ strategies and expectations. ...

President Donald Trump stated that the ceasefire agreement with Iran remains intact despite a recent exchange of fire between US and Iranian forces in the Strait of Hormuz. The incident has drawn international attention, with Iran’s Foreign Minister Abbas Araghchi accusing the United States of engaging in a “reckless military adventure.” Araghchi claimed that the US launches attacks whenever a diplomatic solution appears within reach. According to The Washington Post, Washington continues to hope for a “serious offer” from Tehran to advance the peace process. Secretary of State Marco Rubio, attending NATO meetings in Rome, echoed this sentiment while acknowledging that President Trump’s verbal criticisms of Iran may persist. ...

US payrolls rose more than expected in April, though the pace of hiring showed signs of deceleration compared to previous months. The April jobs report added complexity to the Federal Reserve’s interest rate outlook. While the labor market remains resilient, the moderation in hiring growth could influence the Fed’s policy decisions in coming months. Economists noted that the report suggests a labor market that is cooling but not collapsing, a scenario often described as a “soft landing” for the economy. ...

European Central Bank President Christine Lagarde has warned that Europe should not simply replicate the US approach to stablecoins when developing a digital euro. Lagarde cautioned that large stablecoins such as Tether and USDC, which now dominate a $310 billion market, pose potential financial stability risks. She argued that these assets could transmit shocks across the financial system if not properly regulated. The ECB President emphasized that Europe’s approach to digital currency should prioritize financial stability and regulatory oversight, rather than following the more laissez-faire model that has developed in the United States. ...

The S&P 500 index hit a fresh all-time high, marking its sixth consecutive weekly gain, driven by better-than-expected April jobs data and optimism around US-Iran peace talks.

The US Labor Department reported 115,000 new nonfarm jobs in April, nearly double market forecasts, though wage growth slowdown eased inflation concerns.

Senator Warren Questions Meta on Stablecoin Plans Senator Elizabeth Warren has pressed Meta over its stablecoin trial, citing risks from the previous Libra project and the company’s planned 2026 integration, according to The Block. Warren’s inquiry highlights ongoing regulatory concerns about major technology companies entering the cryptocurrency space. She has long been one of the most vocal critics of the crypto industry in Congress. The questioning references Meta’s previous attempt to launch the Diem (formerly Libra) stablecoin project, which faced intense regulatory pushback and was ultimately abandoned. Warren expressed concerns about the timeline for integrating stablecoin functionality into Meta’s platforms in 2026. ...

Sony Announces $3 Billion Buyback Amid Memory Price Pressure Sony Group announced a $3 billion share buyback program. Its semiconductor division faces pressure from declining memory chip prices. Despite slowing PlayStation growth, Sony maintains its double-digit profit growth forecast.

S&P 500 Call Options Volume Surges to Record $2.6 Trillion Wall Street’s chase for upside has pushed S&P 500 call options volume to a record $2.6 trillion. Analysts say the implications for bitcoin appear bullish, though with an important caveat about sustainability.

Companies Making Billions From the Iran Conflict As tensions between the US and Iran escalate in the Strait of Hormuz, a range of companies are reaping massive profits from the geopolitical crisis. Energy firms, defense contractors, and shipping-related businesses have all seen surging share prices and profits. The spike in crude oil prices has directly boosted the earnings of oil majors. The Strait of Hormuz, through which roughly one-fifth of global oil passes, sees its security situation trigger violent reactions in international oil markets with every fluctuation. Major oil producers benefit from the risk premium driven by supply concerns. ...