Heard on the Street Recap: Wild Quarter
Traders work on the floor of the New York Stock Exchange on Monday. (Timothy A. Clary/AFP/Getty Images)
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
31 minutes ago
- Yahoo
Tesla Stock Sinks as Musk-Trump Feud Escalates Again
Shares of Tesla are dropping in premarket trading Tuesday as the feud between CEO Elon Musk and President Donald Trump heats up again. Trump early Tuesday accused Musk of gaining excessively from electric vehicle subsidies. Trump's "One Big Beautiful Bill," currently being debated by the Senate, includes a provision to eliminate the $7,500 new EV tax credit, a key piece of former President Joe Biden's efforts to accelerate U.S. EV of electric vehicle maker Tesla (TSLA) are dropping more than 4% in premarket trading Tuesday as the feud between CEO Elon Musk and President Donald Trump heats up again. In a post on his Truth Social platform early Tuesday, Trump accused Musk of gaining from subsidies on electric cars. "Elon may get more subsidy than any human being in history, by far, and without subsidies, Elon would probably have to close up shop and head back home to South Africa," Trump wrote. Trump's signature "One Big Beautiful Bill," currently being debated by the Senate, includes a provision to eliminate the $7,500 new EV tax credit, a key piece of former President Joe Biden's efforts to accelerate U.S. EV adoption. "No more Rocket launches, Satellites, or Electric Car Production, and our Country would save a FORTUNE. Perhaps we should have DOGE take a good, hard, look at this? BIG MONEY TO BE SAVED!!!,' Trump added as he lashed out at his former ally. Musk, who also is the CEO of rocket company SpaceX, recently stepped down from running the cost-cutting Department of Government Efficiency (DOGE) in order to focus on his businesses. Trump's comments came hours after Musk posted his latest complaints about the tax-and-spending bill on his social media platform X. "Every member of Congress who campaigned on reducing government spending and then immediately voted for the biggest debt increase in history should hang their head in shame!" Musk wrote. "And they will lose their primary next year if it is the last thing I do on this Earth." Tesla shares entered Tuesday having lost more than a fifth of their value this year. During the initial escalation of the public spat between Musk and Trump on June 5, shares tumbled 14%, erasing more than $150 billion from Tesla's market capitalization. Read the original article on Investopedia Sign in to access your portfolio
Yahoo
34 minutes ago
- Yahoo
US Senate holds marathon overnight vote on Trump's 'big beautiful bill'
The US Senate is holding a marathon voting session on a sprawling budget bill that is critical to President Donald Trump's agenda. The One Big Beautiful Bill Act, though, hangs in the balance as Trump's Republicans - who control both chambers of Congress - remain split over how much to cut welfare programmes by as they seek to extend tax breaks. If approved in the Senate, the bill will return to the lower House of Representatives, which passed its own version by a single vote last month. Elon Musk has stepped up his criticism of Republicans who "campaigned on reducing government spending" and then "immediately voted for the biggest debt increase in history". The tech billionaire was in charge of Doge, the Department of Government Efficiency, which has been tasked to find ways of cutting government spending, until the pair fell out. The US national debt currently sits at $36tn (£26tn), according to the treasury department. According to new estimates, if passed, the bill will add $3.3tn to that debt. The proposed legislation - running to nearly 1,000-pages - includes increased spending for border security, defence and energy production - offset to a degree by cuts to healthcare and food-support programmes. Proposed cuts could strip nearly 12 million Americans of their health insurance coverage, according to the Congressional Budget Office, a non-partisan federal agency. Senators are currently arguing for or against adding amendments - each voted on separately in a process called "vote-a-rama", which has been going on for more than 20 hours. The Republican debate has focused on how much to cut welfare programmes in order to extend $3.8tn (£2.8tn) in Trump tax breaks. One of their amendments, by Senator John Cornyn, proposed reducing federal Medicaid payments - the programme that helps low-income groups cover healthcare costs - to states that provide coverage to undocumented immigrants charged with specific crimes. It was not approved. Democrats have criticised the proposed cuts. Senator Ed Markey, for instance, proposed an amendment to delete provisions which he argued would force rural hospitals to limit their services or shut down altogether. Other amendments proposed by Democrats concerned the bill's cuts to food assistance. They were all voted down along party lines. "We have been debating amendments for 21 hours and we are still going because through 12 hours of debate and 21 hours of amendment votes, Republicans still don't have 50 votes for their bill. Because it's a moral monstrosity," Democratic Senator Chris Murphy said early on Tuesday. On Sunday, Democrats used a political manoeuvre to stall the bill's progress, calling on Senate clerks to read all 940 pages of the bill aloud, a process that took 16 hours. It followed weeks of public discussion and the Senate narrowly moving on the budget bill in a 51-49 vote over the weekend. Two Republicans sided with Democrats in voting against opening debate, arguing for further changes to the legislation. One of those Republicans, North Carolina Senator Thom Tillis, announced his retirement following that vote and said the legislation broke promises that Trump and Republicans made to voters. "Too many elected officials are motivated by pure raw politics who really don't give a damn about the people they promised to represent on the campaign trail," Tillis wrote in his announcement. Kentucky Republican Senator Rand Paul objected to the debt increase, and cuts to Medicaid. A look at the key items in Trump's 'big, beautiful bill' The woman who could bust Trump's 'big beautiful bill Republicans in the Senate can only afford three defections in order for the bill to pass. If they lose three votes, Vice-President JD Vance will have to cast a tie-breaking vote. The bill would then return to the House of Representatives, where a full vote on the Senate's version could come as early as Wednesday morning. Fiscal hawks of the Republican-led House Freedom Caucus have threatened to torpedo the Senate package which they say adds over $650bn to the national deficit. Despite the uncertainty, White House Press Secretary Karoline Leavitt has said Trump is "confident" the bill will be on his desk for a final signature by 4 July. For his part, Elon Musk has, once again, threatened to set up a new political party if the bill clears Congress. In a sign of further alienation between the pair, Trump has suggested that Doge should take a look at cutting the subsidies that Tesla CEO's companies have received. "Elon may get more subsidy than any human being in history, by far, and without subsidies, Elon would probably have to close up shop and head back home to South Africa," Trump wrote on his Truth Social platform. (With additional reporting from Bernd Debusmann Jr at the White House) Senate Republicans advance Trump's 'Big Beautiful Bill' but final vote hangs in balance The woman who could bust Trump's 'big beautiful bill' Republican Senator Thom Tillis to leave Congress after clash with Trump
Yahoo
34 minutes ago
- Yahoo
3 times Trump's tariffs worked
President Donald Trump's tariffs are designed to boost US manufacturing, restore the balance of trade and fill America's coffers with tax dollars. The White House's record on those three goals has been a decidedly mixed bag. But Trump has a fourth way that he likes to use tariffs. Trump has repeatedly threatened tariffs as a kind of anvil dangling over the heads of countries, companies or industries. The subjects of Trump's tariff threats have, at times, immediately come to the negotiating table. Sometimes, threats just work. The most recent example was over the weekend, when Canada backed off its digital services tax that was set to go into effect Monday. Trump had railed against the tax on online companies, including US corporations that do business in Canada. On Friday, he threatened to end trade talks with America's northern neighbor. Trump also said he would set a new tariff for Canada by the end of this week. On Sunday, Canada backed down, saying it would drop the tax to help bring the countries back to the table. 'To support those negotiations, the Minister of Finance and National Revenue, the Honourable François-Philippe Champagne, announced today that Canada would rescind the Digital Services Tax (DST) in anticipation of a mutually beneficial comprehensive trade arrangement with the United States,' the Canadian government said in a statement. On Monday, United States and Canada restarted trade discussions. 'It's part of a bigger negotiation,' said Prime Minister Mark Carney in a press conference Monday. 'It's something that we expected, in the broader sense, that would be part of a final deal. We're making progress toward a final deal.' Trump's first tariff action of his second term came against Colombia after President Gustavo Petro in late January blocked US military flights carrying undocumented migrants from landing as part of Trump's mass deportation effort. In turn, Trump threatened 25% tariffs on Colombian exports that would grow to 50% if the country didn't accept deportees from the United States. Colombia quickly walked back its refusal and reached an agreement to accept deported migrants. 'You can't go out there and publicly defy us in that way,' a Trump administration official told CNN in January. 'We're going to make sure the world knows they can't get away with being nonserious and deceptive.' Trump ultimately dropped the tariff threat. Citing a lack of progress in trade negotiations, Trump in late May said he was calling off talks with the European Union and would instead just impose a 50% tariff on all goods from there. 'Our discussions with them are going nowhere!' Trump wrote on Truth Social on May 23. Later that day in the Oval Office, Trump said he was no longer looking for a deal with the EU. But three days later, European Commission President Ursula von der Leyen spoke with Trump and said the EU would fast-track a deal with the United States. Trump then delayed the 50% tariff deadline until July 9. Although a deal hasn't yet come through, Trump's threat got Europe to get serious, in the White House's view, on trade, when it had been slow-walking negotiations, trying to get a consensus from its dozens of members. The Trump administration attributes a large number of corporate investments in the United State to its tariffs and tariff threats, although it's often hard to draw a clear line from Trump's trade policy to a particular company announcing it will build an American factory. Those decisions often take years of planning and are costly processes. For example, shortly after Trump doubled down on steel and aluminum tariffs and included finished products like dishwashers and washing machines in the 50% tariff, GE Appliances said it would move production from China to Kentucky. The company said it had planned the move before Trump announced the derivative product tariffs – but Trump's trade war accelerated its plans. In some other cases, Trump's threats have largely gone nowhere. Furious with Apple CEO Tim Cook for announcing the company would export iPhones to the United States from India – rather than building an iPhone factory in the United States – Trump announced a 25% tariff on all Apple products imported to the United States. He threatened the same against Samsung. But Trump never followed through with his threat, and Apple and Samsung haven't budged on their insistence that complex smartphone manufacturing just isn't practical or possible in the United States. Skilled manufacturing labor for that kind of complex work isn't readily available in the United States – and those who do have those capabilities charge much more to work here than their peers charge in other countries. Complying with Trump's demands could add thousands of dollars to the cost of a single smartphone – more than Trump's threatened tariff. Trump similarly threatened Hollywood in May with a 100% tariff on movies made outside the United States. That left many media executives scratching their heads, trying to figure out what the threat entailed – a threat that ultimately never materialized. The administration later acknowledged Trump's statement about the tariff was merely a proposal, and it was eager to hear from the industry about how to bring lost production back to Hollywood. Nevertheless, Trump's threats against the movie industry raised awareness about the bipartisan issue, and California's Democratic Gov. Gavin Newsom subsequently posted support for a partnership with the Trump administration to incentivize movie and television makers to film in the state again. Trump's threats don't always work, and sometimes his tariffs have kicked off a trade war, raising prices in a tit-for-tat tariff escalation. But a handful of times, including this weekend, his tariff threats have gotten America's trading partners to agree to major concessions. CNN's Luciana Lopez and Michael Rios contributed to this report. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
