The United States and China agreed to temporarily lower tariffs on goods from the other country, the two sides said in a joint statement on Monday. Washington agreed to cut duties on Chinese goods from 145% to 30% for 90 days, while Beijing agreed to lower levies from 125% to 10% during the pause. “After taking the aforementioned actions, the Parties will establish a mechanism to continue discussions about economic and trade relations,” the US and China stated.
S&P 500 on Verge of Erasing Year-to-Date Losses on China Trade Hopes
- US stocks surge at market open on US-China trade truce
- The two countries agree to temporarily lower tariffs
- S&P 500 on verge of erasing year-to-date losses
- Gold extends losses as haven demand sinks; dollar rises
Oil Prices Surge As U.S. and China Agree to Tariff Cuts
- The United States and China have agreed to temporarily lower tariffs on each other’s products, resulting in a significant jump in oil prices.
- Both WTI and Brent crude saw increases as the market reacted positively to the news of easing trade tensions.
- Discussions between U.S. and Chinese officials will continue to address economic and trade relations following the initial tariff suspension.
Oil jumped by 3% early on Monday after the United States and China agreed to slash tariffs on each other, easing concerns about global trade and the economy. As of 6:52 a.m. on Monday, the U.S. benchmark, WTI Crude, was up by 3.13% at $62.93. The international benchmark, Brent Crude, moved up above $65 per barrel and traded at $65.79, up by 2.93% on the day. The market was expecting on Monday the outcome of the initial U.S.-China trade talks in Geneva this weekend. Early on Monday, the White House announced that the United States and China will each lower tariffs by 115% while retaining an additional 10% tariff. Other U.S. measures will remain in place. The U.S. and China will suspend the tariffs for 90 days except the 10% baseline rate. “After taking the aforementioned actions, the Parties will establish a mechanism to continue discussions about economic and trade relations,” the United States and China said in a joint statement at the end of the talks in Geneva this weekend. He Lifeng, Vice Premier of the State Council of China, U.S. Secretary of the Treasury, Scott Bessent, and United States Trade Representative, Jamieson Greer, will continue to hold future discussions. “Crude oil jumps together with other pro-cyclical commodities on news the U.S. and China will temporarily lower tariffs on each other’s products, thereby reducing fears of a prolonged economic fallout hurting demand,” Ole Hansen, head of commodity strategy at Saxo Bank, commented on Monday. “WTI and Brent may take a closer look at key resistance near $65 and $69, respectively. However, the key question is whether today’s news marks peak optimism, given the low likelihood of a full U.S. retreat from its stance on China,” the strategist noted. The oil price jump was mirrored by the equity markets on Monday, with the Dow futures also soaring in the wake of the news that the U.S. and China are backing down from 100%-plus tariffs, for now.
nn: told you china will cave
Trump-Netanyahu ties strained over Iran, Gaza policy
Tensions are growing between US President Donald Trump and Israeli Prime Minister Benjamin Netanyahu over diverging strategies on Iran and Gaza, NBC News reported Sunday. Once closely aligned, the leaders are at odds over military action and diplomacy in the Middle East. Netanyahu is pushing for strikes on Iran’s nuclear sites, while Trump prefers negotiating a deal that might allow Iran to maintain civilian uranium enrichment. The disagreement has alarmed Israeli officials, who fear the US could finalize an agreement they believe leaves Iran’s nuclear capabilities intact. Trump has also halted US operations against Iranian-backed Houthis, further straining ties. Trump’s support for a Gaza ceasefire and plans to rebuild the strip clash with Israel’s ongoing offensive.
Trump said to receive $400M jet from Qatar
President Donald Trump is set to receive a Boeing 747-8 jumbo jet from Qatar’s royal family, which will serve as Air Force One during his current term before transferring to the Trump Presidential Library Foundation in 2029, ABC News reported Sunday. The aircraft, dubbed a “palace in the sky,” is estimated to be worth $400 million and will be modified by the US Air Force to meet presidential standards. The unusual arrangement, approved by Trump administration lawyers, has been deemed legal under the emoluments clause since the plane is technically being donated to the government and later to the library. The move comes amid continued delays in Boeing’s new Air Force One fleet production. Trump has expressed frustration with the timeline, prompting him to explore alternative solutions, including this Qatari gift and Elon Musk’s involvement, to accelerate aircraft readiness.
NN: this deal sucks
Aramco Profit Drops With Weak Oil Signaling More Strain
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Saudi Aramco’s net income declined 4.6% to 97.5 billion riyals in the first quarter due to lower crude prices
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The company’s total dividend for the quarter fell to $21.36 billion, compared with $31 billion in the same three months of last year, which will add to the strain on the Saudi budget
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Brent contracts are trading near $64, significantly below the $92-level that the International Monetary Fund estimates the kingdom needs to balance its spending
Saudi Aramco reported a decline in profit in the first quarter as lower crude prices put pressure on the finances of the world’s biggest oil exporter. Net income slipped 4.6% to 97.5 billion riyals ($26 billion) in the quarter, according to a statement Sunday. Free cash flow again failed to cover the dividend despite the total payout being lower. Operating profit, which fell 5.3%, beat analyst estimates compiled by Bloomberg. The numbers are another sign of the pressures on Aramco’s balance sheet. As part of a previously announced plan, the company earlier this year decided to cut its dividend for 2025 by about a third to $85 billion. While that helps ease some of the strain on Aramco, it lowers a key source of revenue for the Saudi government whose own finances are under increasing stress. Oil’s decline since April is likely to inflict more pain both on Aramco and the Saudi government despite the higher oil production. Over the past five weeks, Riyadh led the OPEC+ coalition through two bigger-than-scheduled supply hikes, which together with US President Donald Trump ’s trade war, briefly crashed oil futures to a four-year low below $60 a barrel in London.
Weak Oil Prices Pile Pressure on Aramco Earnings
The company’s total divided for the quarter fell to $21.36 billion, compared with $31 billion in the same three months of last year. That’s primarily because Aramco decided to vastly reduce the performance-linked component of the payout after completing the distribution of the bumper profits from 2022. The lower payout will add to the strain on the Saudi budget as Crown Prince Mohammed bin Salman spends hundreds of billions of dollars to modernize the economy. That plan, which includes an entirely new city in the desert called Neom and a push into sports, has led to a widening deficit, with debt levels jumping by the most on record in the first quarter. The Saudi government and the kingdom’s main wealth fund together own over 97% of Aramco. Brent contracts are trading near $64, significantly below the $92-level that the International Monetary Fund estimates the kingdom needs to balance its spending. Aramco sold its crude at an average price of $76.30 a barrel in the first quarter, compared with $83 a year earlier, according to the statement. Trump is scheduled to tour the Middle East, arriving in Riyadh Tuesday and later visiting Qatar and the United Arab Emirates. The president has called on OPEC+ to raise output and lower oil prices to control inflation and put pressure on Russia over its war in Ukraine.
NN: As a direct result of trashing oil prices Saudi debt levels are 11% of GDP this is the highest in the world. And the costs of insuring against debt default through swaps are soaring.
they are starting s fight they cannot win its called a bluff.
Macron: Russia to be hit with ‘massive’ sanctions if no ceasefire
French President Emmanuel Macron underlined on Saturday during a press conference that Russia will be hit with “massive [and] coordinated” sanctions if it refuses to accept and violates a 30-day ceasefire with Ukraine, which is supposed to begin on May 12. “In the event of a violation of this ceasefire, we agree that massive sanctions will be prepared and coordinated between Europeans and Americans,” he commented, adding that the United States would be primarily “monitoring compliance” with the truce. Meanwhile, United Kingdom Prime Minister Keir Starmer said that during a summit in Kiev, the European leaders agreed to act in “absolute unity.” On his end, Ukrainian President Volodymyr Zelensky remarked that the leaders agreed that there is a need to end the war in Ukraine “with dignity and peace.”
VDL: EU ready to maintain pressure on Russia
European Commission President Ursula von der Leyen said on Saturday in a post on X that the European Union supports the proposal for a “full and unconditional 30-day ceasefire” between Ukraine and Russia. She stressed that the truce must be implemented, underpinning that the “ball is now in Russia’s court,” and stressing that the bloc stands ready to “maintain strong pressure on Russia and impose further biting sanctions in the event of a breach of a ceasefire. “Her remarks come as European leaders gather in Ukraine.
US said to push Israel toward deal with Hamas……Hegseth supposedly cancels trip to Israel …… Trump meets Netanyahu aide ahead of Mideast trip……. Israel says it struck 60 sites in Gaza
The United States has put significant pressure on Israel to achieve a ceasefire and hostage exchange agreement with Hamas before President Donald Trump visits the Middle East or risk Washington’s further support, Haaretz reported on Friday, citing people familiar with the matter. The sources also said that it was US Envoy to the Middle East Steve Witkoff that Channel 12 reported as criticizing Israel for the way it approached the hostage situation. “If until today, the hostages paid the price for not ending the war, then today the price will be much heavier for Israel, and not only the hostages,” the official that Channel 12 cited said. The official, allegedly Witkoff, also slammed Israel for not using the potential nuclear deal between the US and Saudi Arabia to its advantage. Haaretz’s sources added that Witkoff wanted his words to be leaked to the press.
Hegseth supposedly cancels trip to Israel
United States Defense Secretary Pete Hegseth canceled his visit to Israel, the Jerusalem Post reported on Friday, citing a source familiar with the matter. He was expected to arrive in the country on May 12, although his trip was not confirmed by the Pentagon. The newspaper did not provide a reason for the supposed cancellation. According to a separate report by Haaretz, the US is now pushing Israel toward a deal with Hamas that would end the conflict in the Gaza Strip after Finance Minister Bezalel Smotrich claimed Gaza will be “entirely destroyed.”
Trump meets Netanyahu aide ahead of Mideast trip
United States President Donald Trump held a private meeting Thursday at the White House with Israeli Strategic Affairs Minister Ron Dermer (pictured right), a top adviser to Prime Minister Benjamin Netanyahu, Axios reported, citing two sources briefed on the meeting. The discussion focused on the conflict in Gaza and US nuclear talks with Iran, which are set to resume Sunday in Oman. The meeting came shortly after Trump announced a ceasefire with Yemen’s Houthis, reportedly catching Israeli officials off guard. “We were shocked… and learned about it from the television,” an Israeli official was cited as saying.
Trump is scheduled to visit Saudi Arabia, Qatar and the United Arab Emirates (UAE) next week but will not stop in Israel.
Israel says it struck 60 sites in Gaza
The Israel Defense Forces (IDF) said on Friday it had struck around 60 targets across the Gaza Strip in the past 24 hours, including buildings that were reportedly used for storing weapons and positions from which missiles were fired. The operations involved air and ground forces, particularly in southern Gaza. According to the military, one person was shot near a tunnel shaft, and another airstrike hit a structure linked to projectile launches. The situation for Palestinians in Gaza remains dire, as international warnings persist over the severe humanitarian crisis, which has been described as a consequence of Israel’s genocidal actions.
NN: their is no negotiation with the hoouties, Hamzas, Hezbollah and their daddy iran. Their is only elimination.
American Cardinal Prevost becomes 267th pope……. Trump ‘looks forward’ to meeting new pope Leo XIV
The Vatican announced on Thursday that Cardinal Robert Francis Prevost had been elected the new pope. The announcement came around an hour after white smoke emerged from the Sistine Chapel, signaling the swift conclusion of the 2025 conclave. The election was finalized roughly 24 hours after the College of Cardinals began deliberations. Cardinal Robert Prevost, an American missionary who devoted his career to serving in Peru, has been elected as the first American pope in the Catholic Church’s 2,000-year history. At 69 years old, he has taken the name Leo XIV.
Trump ‘looks forward’ to meeting new pope Leo XIV
US President Donald Trump took to Truth Social on Thursday to express his anticipation to meet America’s first pontiff, Robert Francis Prevost, who will take the papal name Leo XIV. “Congratulations to Cardinal Robert Francis Prevost, who was just named Pope. It is such an honor to realize that he is the first American Pope. What excitement, and what a Great Honor for our Country. I look forward to meeting Pope Leo XIV. It will be a very meaningful moment!” he wrote.
Trump hails ‘great’ new UK trade deal as first of many
United States President Donald Trump officially announced on Thursday a new trade agreement with the United Kingdom, calling it “full and comprehensive” and the first in a series of major deals. Speaking from the Oval Office alongside Vice President JD Vance, Trump celebrated the accord as a milestone for transatlantic relations, noting it comes 80 years after the nations “won the war together.” President Trump also stressed that the administration is involved in many negotiations, affirming that “reciprocity and fairness are essential values in today’s world.” He emphasized the deal’s benefits for American exporters, highlighting increased access for US beef, ethanol, and other agricultural products, reduced non-tariff barriers, and faster customs processing. He praised both negotiating teams as “very talented” and said final details would be written in the coming weeks.