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US Debt Limit Nail-Biter Looms as Senate Ponders Trump Tax Bill

US Debt Limit Nail-Biter Looms as Senate Ponders Trump Tax Bill

Bloomberg23-05-2025

Chances of a close brush with a US payment default are growing as the Senate plans for time-consuming revisions to President Donald Trump's sprawling, multi-trillion-dollar tax and spending package.
Republican congressional leaders attached an increase in the US legal debt limit to the president's signature economic legislation. That gambit adds urgency to the enactment of a top-priority bill, but could put averting a default at the mercy of the complex legislative obstacle course that lies ahead.

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Protests intensify in Los Angeles after Trump deploys National Guard troops
Protests intensify in Los Angeles after Trump deploys National Guard troops

Yahoo

time31 minutes ago

  • Yahoo

Protests intensify in Los Angeles after Trump deploys National Guard troops

Tensions in Los Angeles escalated on Sunday as thousands of protesters took to the streets in response to US President Donald Trump's deployment of the National Guard. They blocked off a major road and set self-driving cars on fire as law enforcement used tear gas, rubber bullets and flash bangs to control the crowd. Many protesters dispersed as evening fell and police declared an unlawful assembly, a precursor to officers moving in and making arrests of people who do not leave. Some of those remaining threw objects at police from behind a makeshift barrier that spanned the width of a street and others hurled chunks of concrete, rocks, electric scooters and fireworks at California Highway Patrol officers and their vehicles parked on the closed southbound 101 freeway. Officers ran under an overpass to take cover. Sunday's protests in Los Angeles, a sprawling city of four million people, were centred in downtown several blocks. It was the third and most intense day of demonstrations against Mr Trump's immigration crackdown in the region, as the arrival of around 300 Guard troops spurred anger and fear among many residents. The Guard was deployed specifically to protect federal buildings, including the detention centre where protesters concentrated. Los Angeles Police Chief Jim McDonnell said officers were 'overwhelmed' by the remaining protesters. He said they included regular agitators who appear at demonstrations to cause trouble. Several dozen people were arrested throughout the weekend of protest. One was detained on Sunday for throwing a Molotov cocktail at police, and another for ramming a motorcycle into a line of officers. Let's get this straight: 1) Local law enforcement didn't need help. 2) Trump sent troops anyway — to manufacture chaos and violence. 3) Trump succeeded. 4) Now things are destabilized and we need to send in more law enforcement just to clean up Trump's mess. — Gavin Newsom (@GavinNewsom) June 9, 2025 Mr Trump responded to Mr McDonnell on Truth Social, telling him to arrest protesters in face masks. 'Looking really bad in L.A. BRING IN THE TROOPS!!!' he wrote. Starting in the morning, the troops stood shoulder to shoulder, carrying long guns and riot shields as protesters shouted 'shame' and 'go home'. After some closely approached the guard members, another set of uniformed officers advanced on the group, shooting smoke-filled canisters into the street. Minutes later, the Los Angeles Police Department fired rounds of crowd-control munitions to disperse the protesters, who they said were assembled unlawfully. Much of the group then moved to block traffic on the 101 freeway until state patrol officers cleared them from the roadway by late afternoon. Nearby, at least four self-driving Waymo cars were set on fire, sending large plumes of black smoke into the sky and exploding intermittently as the electric vehicles burned. By evening, police had issued an unlawful assembly order shutting down several blocks of downtown Los Angeles. Flash bangs echoed out every few seconds into the evening. Democratic Governor Gavin Newsom requested that Mr Trump remove the guard members in a letter on Sunday afternoon, calling their deployment a 'serious breach of state sovereignty'. He was in Los Angeles meeting local law enforcement and officials. The deployment appeared to be the first time in decades that a state's national guard was activated without a request from its governor, a significant escalation against those who have sought to hinder the administration's mass deportation efforts. Mr Newsom and Los Angeles Mayor Karen Bass blamed the increasingly aggressive protests on Mr Trump's decision to deploy the Guard, calling it a move designed to inflame tensions. They have both urged protesters to remain peaceful. 'What we're seeing in Los Angeles is chaos that is provoked by the administration,' she said in an afternoon press conference. 'This is about another agenda, this isn't about public safety.' But Mr McDonnell, the LAPD chief, said the protests were following a similar pattern for episodes of civil unrest, with things ramping up in the second and third days. He pushed back against claims by the Trump administration that the LAPD had failed to help federal authorities when protests broke out on Friday after a series of immigration raids. His department responded as quickly as it could, and had not been notified in advance of the raids and therefore was not pre-positioned for protests, he said. Mr Newsom, meanwhile, has repeatedly said that California authorities had the situation under control. He mocked Mr Trump for posting a congratulatory message to the Guard on social media before troops had even arrived in Los Angeles, and said on MSNBC that Mr Trump never floated deploying the Guard during a Friday phone call. He called Mr Trump a 'stone cold liar'. The admonishments did not deter the administration. 'It's a bald-faced lie for Newsom to claim there was no problem in Los Angeles before President Trump got involved,' White House spokesperson Abigail Jackson said in a statement. The arrival of the National Guard followed two days of protests that began Friday in Los Angeles before spreading on Saturday to Paramount, a heavily Latino city south of the city, and neighbouring Compton. Federal agents arrested immigrants in LA's fashion district, in a Home Depot parking lot and at several other locations on Friday. The next day, they were staging at a Department of Homeland Security office near another Home Depot in Paramount, which drew out protesters who suspected another raid. Federal authorities later said there was no enforcement activity at that Home Depot. The weeklong tally of immigrant arrests in the LA area climbed above 100, federal authorities said. Many more were arrested while protesting, including a prominent union leader who was accused of impeding law enforcement. The protests did not reach the size of past demonstrations that brought the National Guard to Los Angeles, including the Watts and Rodney King riots, and the 2020 protests against police violence, in which Mr Newsom requested the assistance of federal troops. The last time the National Guard was activated without a governor's permission was in 1965, when President Lyndon B Johnson sent troops to protect a civil rights march in Alabama, according to the Brennan Centre for Justice. In a directive on Saturday, Mr Trump invoked a legal provision allowing him to deploy federal service members when there is 'a rebellion or danger of a rebellion against the authority of the Government of the United States'. He said he had authorised the deployment of 2,000 members of the National Guard. Mr Trump told reporters as he prepared to board Air Force One in Morristown, New Jersey, Sunday that there were 'violent people' in Los Angeles 'and they're not going to get away with it'. Asked if he planned to send US troops to Los Angeles, Mr Trump replied: 'We're going to have troops everywhere. We're not going to let this happen to our country.' He did not elaborate. About 500 marines stationed at Twentynine Palms, about 125 miles (200 kilometres) east of Los Angeles were in a 'prepared to deploy status' on Sunday afternoon, according to the US Northern Command.

Some L.A. Protesters Are Marching for Neighbors and Family Members
Some L.A. Protesters Are Marching for Neighbors and Family Members

New York Times

time31 minutes ago

  • New York Times

Some L.A. Protesters Are Marching for Neighbors and Family Members

Some of the people demonstrating in downtown Los Angeles on Sunday said they were first- or second-generation immigrants showing solidarity with their neighbors or family members, and a few expressed anger that their neighbors had received deportation orders. 'This is a real threat, this is not just talk,' said Zander Calderon, 36, a protester from northeast Los Angeles. He said he knew several people who had received such orders, as well as one neighbor who had self deported. 'He didn't want to live in fear,' Mr. Calderon, who wore a poncho with an image of the Virgin Mary and the colors of the Mexican flag, said of the neighbor. Others said that although they were not regular protesters, the federal government's recent immigration raids had motivated them to take action. 'This morning I couldn't stay home anymore,' said Elizabeth Torres, 36, who was carrying a Mexican flag outside the Metropolitan Detention Center in downtown Los Angeles on Sunday morning, as a crowd of protesters began to swell. 'If the people that are detained can see me through the windows, just know that you're not alone.' Martín Hoecker-Martinez, a physics professor who was waving an American and a Colombian flag, said that he had traveled about an hour and a half to join the protests because he could not stay home in good conscience. 'I'm an American citizen, and I think that one of the greatest points of pride of the United States is that we are a country of immigrants,' said Professor Hoecker-Martinez, whose mother came from Colombia. 'I bristle when people deride the U.S. government as the embodiment of our collective will.' Nicole Garcia, 35, attended the protest with her teenage son. She said that while she worried about the safety risks of bringing him along, she wanted him to understand 'what it looks like when community comes together.' Ms. Garcia, who described herself as Mexican American, was veiled and wore a floral wreath and face paint symbolizing the Mexican Day of the Dead. Brianna Vargas, 24, who was standing on an overpass above the U.S. 101 highway with a megaphone in her hand, said she was protesting for her parents, who had emigrated from Mexico and El Salvador, and for others who were too afraid to leave their homes. Reposting messages of solidarity with victims of immigration enforcement raids on social media is one thing, she said. 'It's different when you're actually here.'

Ukraine plots fracking revolution
Ukraine plots fracking revolution

Yahoo

time32 minutes ago

  • Yahoo

Ukraine plots fracking revolution

Ukraine is working to unleash natural gas fracking with the goal of becoming a major exporter and revolutionising Europe's energy market. In plans critical to Volodymyr Zelensky's hopes of a post-war economic recovery, ministers in Kyiv are scrambling to lure private investment and gain access to new drilling technology to access the country's vast untapped shale gas resources. According to sources close to Kyiv, officials are racing to attract 'foreign technology and highly experienced subsoil users', with a focus on unconventional shale resources in western Ukraine. The hunt for cash - as revealed by the independent news platform Energy Flux - is being conducted in parallel to the rare earth minerals deal struck between Donald Trump and President Zelensky in April, which will allow the US to exploit Ukraine's natural resources, including aluminium, graphite, oil and natural gas. The priority is to rapidly revitalise Ukraine's ailing gas sector after a gruelling winter saw roughly 40pc of production capacity taken out by a fierce Russian campaign of drone and missile strikes. The attacks forced Ukraine to draw heavily on its gas stocks, which ended winter almost entirely depleted. But Ukraine's Ministry of Energy believes it is possible to refill the country's cavernous underground storage facilities and even produce a surplus for export 'within 18 months', according to a senior government source. Ukraine already has some experience with advanced drilling technology for old wells and has since carried out experimental trials that 'confirm its potential' for fracking, they said. However, to unlock Ukraine's shale reserves, the country needs to attract more investment and newer kit, primarily from America. 'Development and production can be quickly developed using available gas infrastructure with connections to the EU gas market that make it very attractive,' the source added. 'Ukraine has enough deposits of traditional gas to cover its own consumption and to become a net exporter, and shale gas production has quite a profound effect on its development.' Such a turnaround would help transform the fortunes of Europe's energy markets, which remain on edge following the loss of Russian pipeline gas exports via Ukraine at the start of 2025. Refilling Ukraine's depleted gas storage – the largest in Europe, at 32bn cubic metres – is one of the main factors tightening energy markets in Central and Eastern Europe ahead of next winter. Ukraine's gas stocks are today just 7pc full compared to the EU average of 50pc. Efforts to pipe natural gas from Southern and Eastern Europe into Ukraine have also been thwarted by red tape and a lack of market cohesion. However, if Ukraine could unleash its own shale revolution and create a surplus for export, the need to keep pumping European gas into Ukraine would effectively disappear overnight. It would also help reduce Europe's reliance on costly liquefied natural gas (LNG) supplies from overseas. Gas-starved Europe leaned heavily on LNG after Gazprom, the Kremlin-backed energy giant, halted exports to the EU following Vladimir Putin's full-scale invasion of Ukraine in 2022. Ukrainian shale gas exports, if scaled up quickly, would erase a large chunk of European energy demand currently being met by LNG, potentially sparking a sharp drop in energy prices around the world. However, Kyiv's proposed fracking revolution hinges largely on the country's ability to secure overseas investment. Officials from Ukraine's Ministry of Energy are tapping Western diplomatic ties to find private capital funds with a high tolerance for risk to bankroll drilling and bring in technology partners. A senior government team attended the Baku Energy Forum in Azerbaijan last week in part to promote Ukraine's potential as a shale hub. Speaking at the event, one high-ranking statesman said the Lviv-Lublin geological area that straddles the Ukraine-Poland border is 'superior on the Ukrainian side' thanks to higher porosity and lower clay content, making it 'better for fracking'. The most promising prospect is the Oleska (Olesskaya) shale block, which contains an estimated 0.8 to 1.5 trillion cubic metres of shale gas resources – enough to meet Ukraine's domestic needs for decades. How much of this resource is economically recoverable is an open question. Chevron walked away from a 50pc interest in the Oleska project in 2014 before drilling could begin. Chevron's stated reason for leaving was not because of political instability or lack of resources, but rather Kyiv's failure to enact specific tax reforms necessary to enable shale gas foreign investment. Now, the Zelensky administration is moving to streamline operations and reduce bureaucratic hurdles that previously deterred foreign investors. Ownership of the Olesskaya production sharing agreement (PSA) was transferred in April 2025 from government holding company Nadra Ukraine to Ukraine's largest oil and gas producer, Ukrnafta. The move signalled a strategic shift in the country's approach to fracking, particularly in the Oleska block. Ukrnafta is a state-owned enterprise following the nationalisation of strategic industries and declaration of martial law in 2022, which remains in force to this day. Attracting significant private capital into Ukrainian shale exploration would normally be impossible under these circumstances. However, the source said there are laws in place to ensure they can be overwritten. Broaden your horizons with award-winning British journalism. Try The Telegraph free for 1 month with unlimited access to our award-winning website, exclusive app, money-saving offers and more.

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