Trump pursues new import taxes to replace the tariffs the Supreme Court rejected
WASHINGTON (AP) — When the Supreme Court killed his favorite tariffs in February, President Donald Trump rolled out temporary import taxes to replace them. But those stopgap levies expire in less than three months. Now the administration is scrambling to put more durable tariffs in place to keep revenue flowing into the U.S. Treasury and to shore up the president’s protectionist wall around the American economy. Starting this week, the government will begin hearings in two investigations — one on countries that lag in enforcing bans on forced labor, another on overproduction — that will likely lead to a new round of U.S. tariffs.
Fed likely to leave rates unchanged at what may be Powell's last meeting, as Warsh to advance
WASHINGTON (AP) — Wednesday will likely be a momentous day for the future of the Federal Reserve as Chair Jerome Powell could signal he will stay with the Fed even as a Senate panel is expected to confirm his replacement. Powell will preside over what will probably be his last meeting as chair and hold a news conference Wednesday afternoon, when he may say whether he will take the unusual step of remaining on the central bank’s board of governors, even after his term as chair ends May 15. Separately, the Senate Banking Committee is scheduled to vote on the nomination of Kevin Warsh to succeed Powell.
United Arab Emirates will leave OPEC in a blow to the oil cartel
DUBAI, United Arab Emirates (AP) — The United Arab Emirates will leave OPEC effective Friday, stripping the oil cartel of its third-largest producer and further weakening its leverage over global oil supplies and prices. The UAE in recent years has pushed back against OPEC production quotas it felt were too low. Regional politics are also likely a factor in the decision announced Tuesday. The UAE has had increasingly frosty relations with Saudi Arabia, OPEC’s largest producer, over political and economic matters in the Mideast, even after both were attacked by fellow OPEC member Iran during the war. The UAE’s withdrawal from OPEC won’t necessarily have any immediate effects in markets because supplies are being constrained by the war in Iran.
The UAE's departure from OPEC shakes up the alliance that influences oil prices worldwide
FRANKFURT, Germany (AP) — The decision by the United Arab Emirates to leave the OPEC oil cartel has shaken up the 65-year-old alliance that produces some 40% of the world’s crude oil and exerts major influence over the price of energy around the globe. The UAE said Tuesday that following its exit this Friday, it plans to carry on with its long-held goal of increasing crude production. Right now, that’s academic as far as oil prices go, since Iran is still blocking the Strait of Hormuz, which means much of the oil from Persian Gulf producers such as the UAE cannot be exported. But the departure could have long-term effects on oil prices.
Will Powell stay or go? Fed chair may reveal next steps after central bank meeting Wednesday
WASHINGTON (AP) — The Federal Reserve will meet this week ahead of a looming leadership transition that remains fuzzy, and Wednesday’s news conference will be closely watched for any clarification. Powell may indicate whether he will remain on the Fed’s board of governors after his term as chair ends May 15. Powell serves a separate term as a governor that lasts until January 2028. Chairs typically leave the board when their leadership terms end, but Powell has signaled he could stay on. It would be the first time a former chair remained on the board since 1948.
US will issue commemorative passports with Trump’s picture for America's 250th birthday
WASHINGTON (AP) — The State Department says it's preparing a limited release of commemorative U.S. passports celebrating America’s 250th birthday and featuring a picture of President Donald Trump. He would be the first living president to be featured in the travel document. The concept for the special passport, including a rendering of Trump’s visage, had been under consideration for months before finally being approved late Monday and announced Tuesday. The commemorative passport will be the default document for people applying in person at the Washington, D.C., passport office. But those who want a standard passport will be able to get one by applying online or outside Washington.
New York City's first full casino with live table games opens
NEW YORK (AP) — New York City’s first full casino with live table games has opened to fanfare. Resorts World, a slots parlor in Queens, officially cut the ribbon Tuesday on an expanded gambling area featuring more than 200 games with live dealers, including blackjack, craps, baccarat and roulette. The company says it will bring more tables and slot machines online later in the year. It has promised to invest more than $5 billion to expand its facility into a full casino with a hotel, dining and entertainment options. Resorts World is one of three projects awarded state gambling licenses to operate full-scale casinos in New York City.
Starbucks says higher gas prices aren't yet dampening customers' enthusiasm
Starbucks said Tuesday that customers are responding to improved service in its stores, which saw better-than-expected sales in the company’s fiscal second quarter. The Seattle coffee giant said global same-store sales for the January-March period rose 6.2%. That was higher than the 4% increase Wall Street was anticipating, according to analysts polled by FactSet. In the U.S., same-store sales jumped 7%. Starbucks has been adding employees to stores during rush times and using technology to better sequence its in-store and mobile orders. It has also encouraged friendlier service.
BP's profit more than doubles as US gas prices hit the highest point since the start of war in Iran
BP’s profit more than doubled in the first quarter as the war in Iran drove energy prices sharply higher. On Tuesday as the British energy giant reported a banner financial performance, gasoline prices in the U.S. hit new multiyear highs, a point of increasing agitation for travelers, households and also businesses that are particularly sensitive to higher energy prices, such as airlines.  The near closure of the Strait of Hormuz off the coast of Iran is a flashpoint in the war and the source of much of the economic pain being felt globally. The Trump administration appeared unlikely Tuesday to accept Iran’s offer to end the war and reopen the strait if the U.S. lifts its blockade on the country.
Elon Musk takes stand in trial vs. Sam Altman that could reshape AI's future
OAKLAND, Calif. (AP) — Elon Musk, the Tesla CEO, world’s richest man and OpenAI’s cofounder, took the stand Tuesday in a high-stakes trial revolving around a bitter feud between himself and former friends Sam Altman and Greg Brockman that could reshape the future development of artificial intelligence. The bickering billionaires’ early-morning appearances at the Oakland, California, federal courthouse foreshadow what could be a dramatic start to a legal drama that is expected to be brimming with intrigue and potentially embarrassing details about the two tech moguls. The jury was selected Monday and the trial is scheduled to take three weeks.
