Forbes Daily: U.S. Deal With China Slashes Tariffs Temporarily

Forbes

12-05-2025

Bill Gates and his ex-wife, Melinda French Gates, are America's second-biggest philanthropists after Warren Buffet and his family. But how rich would they be if they'd never given away a dime?
Forbes calculated that they'd be worth $1.5 trillion combined. Melinda would be worth an estimated $300 billion, and Bill would likely be the world's first trillionaire, more than triple the net worth of the current richest individual in the world, Elon Musk. Bill Gates recently criticized Musk and the Trump Administration's cuts to foreign aid programs, telling Forbes that HIV infections and deaths are increasing for the first time in this century as a result.
But while Bill and Melinda may not be quite as wealthy as Musk, Jeff Bezos or Mark Zuckerberg, the estimated $47.7 billion the pair have donated to the Gates Foundation have gone a long way towards global poverty and health initiatives.
Treasury Secretary Scott Bessent speaks during a news conference in Geneva on May 12, 2025.
The U.S. and China on Monday announced they would significantly cut back tariffs placed on each other's goods for at least 90 days as both sides plan to continue negotiations on a trade deal. The total U.S. levy on Chinese goods will drop from 145% to 30%, and the move triggered a surge in U.S. stock futures and global markets.
MORE: Even as the Trump Administration negotiates with more countries, the president intends to keep a baseline 10% tariff in place on all imported goods, White House Press Secretary Karoline Leavitt told reporters Friday. Trump's 'Liberation Day' tariffs charged different rates based on the U.S.' trade imbalances with each country—a method many economists criticized as 'incredibly stupid.'
AI study aid chatbots are supposed to help kids with homework questions, but in test conversations with Forbes they did quite a bit more, including providing detailed recipes for date rape drugs and 'pickup artistry' advice. Forbes' conversations with bots from KnowUnity and CourseHero raise sharp questions about whether they could endanger their teen users.
President Donald Trump, worth $5.4 billion, signaled he was 'OK' with raising taxes on the wealthy to pay for other cuts in his signature economic package. In a phone call with House Speaker Mike Johnson (R-La.), Trump reportedly suggested taxing individuals making more than $2.5 million per year and couples earning above $5 million at a rate of 39.6%. Such a move could raise $67.3 billion over the next 10 years, according to a preliminary estimate from the nonpartisan Tax Foundation.
Donald Trump Jr. is starting a new private club called Executive Branch, and it seems to have a much smarter business plan than the Trump Hotel, which served as the de facto MAGA lounge in President Trump's first term, writes Forbes' Dan Alexander. Key to Trump Jr.'s plan is a membership structure, which will allow the club to generate big fees up front.
Trump advisor Stephen Miller told reporters Friday that the administration is 'actively looking at' suspending the writ of habeas corpus to more easily detain migrants, a move that would deny immigrants any recourse to challenge their detention and seek release. The writ of habeas corpus has only previously been suspended four times in U.S. history, and it's commonly believed that only Congress can issue the suspension, meaning such a move would likely face legal challenges.
Newark Airport's air traffic control woes continued this weekend with a 45-minute ground stop Sunday morning due to audio issues, as well as an additional telecommunications outage Friday morning. The FAA announced a plan last week to upgrade its communication system, but U.S. Transportation Secretary Sean Duffy on Sunday's Meet The Press said Newark '100%' needs to scale back its operations. 'We have less controllers working the Newark airspace right now. And, you know, we're having these… these glitches in the system. So we slow it down and keep people safe, that's what we do.'
When the Covid-19 pandemic emptied sports stadiums, team owners were left to cover skyrocketing operating losses. 'You had to fasten your seatbelt and know that in the short run you're going to take a financial hit,' says Tom Werner, the billionaire chairman of Fenway Sports Group, which owns MLB's Red Sox, the NHL's Pittsburgh Penguins and the Premier League's Liverpool FC.
The decline didn't extend to team values, however—even in the near term. Franchises in MLB (3% on average), the NBA (13%) and the NFL (14%) continued to appreciate from 2020 to 2021, with the kind of annual growth that has given rise to the perception that sports teams are 'recession proof.'
Werner rejects that terminology, but at the same time, team values in the four major North American leagues have increased roughly 2,000% on average since Forbes started valuing franchises in 1998, more than double the S&P 500's growth over the same period. And data going back even further shows sports teams have been remarkably resilient during broader economic downturns.
Now, investors from all walks are facing another year of uncertainty prompted by President Donald Trump's heavy-handed tariff policies, with the S&P 500 index down 4% so far in 2025 and some economists pegging the chances of the U.S. entering a recession this year as a coin flip.
But sports owners are better positioned than almost anyone to weather the storm. 'Obviously you need to have eggs on the table,' Werner says, 'but people I think are still going to go to their home games, and certainly they're going to be watching on television.'
WHY IT MATTERS
'One reason the rich have gotten so much richer in the last couple decades is that these sports teams have generally been unscathed by the crises that have dragged down simple stock portfolios and other assets,' says Forbes staff writer Hank Tucker.
'We've seen more Wall Street billionaires and institutional investors get into sports ownership in recent years, drawn by the promise of steady returns as much as the excitement of winning championships. While sports ownership is out of reach for most Americans, it's a trend that will probably continue as long as they're willing to keep paying higher prices for tickets or streaming services to pad these owners' checkbooks.'
MORE
The World's Most Profitable Sports Teams 2025
Shares of Expedia fell after the company reported weaker-than-expected travel demand into and within the U.S. It follows the warnings of several major airlines, hotels and other travel firms:
3%: The growth in Expedia's revenue in the first quarter at the lower end of its forecast, as the company missed its sales target
Two-thirds: The share of Expedia's business that comes from the U.S.
7%: The decline in Expedia's stock Friday
It's never too early to start saving for retirement—even if it's just a small amount to establish the habit. Make sure to use a tax-advantaged account, like a 401(k) or 403 (b), which will shelter investment earnings from taxes as your savings grow. Your employer may match your contributions, adding even more to your savings. Though it depends on how much you can afford, a typical amount to set aside is 10% to 15% of your regular income.
The Social Security Administration announced the most popular baby names for 2024. Which name topped the list for boys?
A. Oliver
B. William
C. Liam
D. Noah
Check your answer.