Latest news with #economicchaos
The Independent
3 days ago
- Business
- The Independent
Figures show Farage's tax plans would benefit the wealthiest
Analysis by The Independent reveals Reform UK's tax plans would disproportionately benefit the wealthiest 10%, who would gain almost four times as much as the poorest 10%. Reform UK leader Nigel Farage has proposed up to £80bn in unfunded welfare and tax handouts, claiming Reform is the 'party of working people'. Economists warn Farage 's unfunded pledges could cause economic chaos, with the biggest benefits going to top earners, while those on universal credit may see reduced welfare payments. The IFS suggests targeting employee national insurance instead of raising the tax-free income allowance, as the latter primarily benefits the upper-middle class and wealthiest. Sir Keir Starmer criticised Farage 's plans as 'unfunded spending' reminiscent of Liz Truss's policies, while Labour MPs accused Farage of prioritizing the rich and harming working families.
The Guardian
4 days ago
- Business
- The Guardian
First Thing: Federal court blocks Trump from imposing ‘illegal' sweeping tariffs
Good morning. A federal trade court has ruled Donald Trump's sweeping tariffs regime illegal, a dramatic twist that could block the president's controversial global trade policy. The ruling by a three-judge panel at the New York-based court of international trade came after several lawsuits argued that Trump had exceeded his authority, treating trade policy as a matter of the president's whim and unleashing economic chaos around the world. The ruling, if it stands, blows a giant hole through Trump's strategy to use steep tariffs to wring concessions from trading partners, draw manufacturing jobs back to US shores and shrink a $1.2tn goods trade deficit. What was the ruling? Tariffs typically need to be approved by Congress but Trump has so far bypassed that requirement by claiming that the country's trade deficits amounted to a national emergency. The court's ruling stated that Trump's tariff orders 'exceed any authority granted to the president … to regulate importation by means of tariffs'. How are markets reacting? Global markets cheered the ruling, with the US dollar rallying along with indexes in France, Germany, Japan, and futures for the US S&P 500, Dow Jones and Nasdaq indexes rising. What's next? The Trump administration has already filed to appeal. White House officials attacked the court, calling it 'unelected'. Four people were killed as thousands of starving Palestinians burst into a UN warehouse in Gaza, tearing away sections of the building's metal walls in a desperate attempt to find food. Two people were fatally crushed and two others were killed by gunshot wounds after people crowded into a World Food Programme warehouse in Deir al-Balah on Wednesday, health officials said. It was not immediately clear if Israeli forces, private contractors or others had opened fire. Earlier, at least one civilian was killed and 48 wounded when Israeli troops opened fire on a crowd of Palestinians, after the US-backed food logistics group chosen by Israel to ship food into Gaza, the Gaza Humanitarian Foundation (GHF), lost control of its distribution center, health officials reported. What is the humanitarian situation after Israel's aid blockade since 2 March? Earlier this month, the IPC estimated that nearly 71,000 children under the age of five were expected to be 'acutely malnourished', with 14,100 cases expected to be severe in the next 11 months. What has the UN said about the new Israel-backed plan? The UN and other humanitarian groups have rejected the system, warning it would not be able to meet the needs of Gaza's 2.3 million people and that it allowed Israel to use food as a weapon to control the population. Elon Musk has announced he is leaving his role in the Trump administration, a departure the White House confirmed on Wednesday evening. It followed Musk publicly criticizing Donald Trump's tax bill, saying the plan undermined cost-cutting efforts, in comments likely to widen a rift between the two men. Musk said he was 'disappointed to see the massive spending bill, which … undermines the work that the Doge team is doing' in a CBS interview that will air on Sunday. What's in the bill? Extending tax cuts for individuals and corporations; ending Joe Biden's clean energy incentives; construction of a wall along the Mexican border; about $1tn in cuts to benefits, including Medicaid and Supplemental Nutrition Assistance Program (Snap) food stamps. How is it progressing on Capitol Hill? Trump's One Big Beautiful Bill Act was narrowly approved last week by the House of Representatives, sending it to the Senate, where the Republican majority will probably make its own changes. Donald Trump's plane from the government of Qatar, which he said would be turned into the new Air Force One, has arrived – but the president says it's too big to use as his personal aircraft. A former French surgeon was sentenced to 20 years in prison for the sexual abuse of hundreds of patients, mostly aged under 15, after the biggest child abuse trial in French history. Argentina is being used as a 'testing ground' for stripping back abortion rights internationally, Amnesty International has warned. The secretary of state, Marco Rubio, has said the Trump administration will 'aggressively' revoke visas of Chinese students. China sent 277,398 students in the 2023-24 academic year, and international students are one of the largest sources of revenue for US colleges. 'For the first time in my life, a notional concept of global Black solidarity became concrete,' writes Nesrine Malik. Five years on? 'The biggest lesson is that we don't get to choose how revolutions unfold' but also that 'BLM opened up the issue of racial justice in ways that can never again be closed.' The president of Cop30 has warned that the world is facing a new form of climate denial: a concerted attack on the idea that the economy can be reorganized to fight the climate crisis. André Corrêa do Lago, a veteran Brazilian diplomat, has said he believes countering this new type of denialism will be his biggest job as director of this year's UN climate summit. Hitting a strong updraft during a test of his new equipment, Peng Yujiang was sent soaring from 3,000 metres to above 8,000 metres, nearly the height of Mount Everest. He managed to survive despite losing consciousness and enduring temperatures of -31F (-35C), eventually landing 30km from the launch site. First Thing is delivered to thousands of inboxes every weekday. If you're not already signed up, subscribe now. 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Yahoo
4 days ago
- Business
- Yahoo
FTSE 100 LIVE: Stocks rise as US court ruling blocks Trump tariffs
The FTSE 100 (^FTSE) and European stocks were higher on Thursday as the US Court of International Trade ruled that the Trump administration did not have authority to impose most of the tariffs that have been announced. A three-judge panel argued that the US president has exceeded his authority, left US trade policy dependent on his whims and unleashed economic chaos. "The worldwide and retaliatory tariff orders exceed any authority granted to the president by IEEPA to regulate importation by means of tariffs," the court said. "…The court does not pass upon the wisdom or likely effectiveness of the president's use of tariffs as leverage. That use is impermissible not because it is unwise or ineffective, but because [federal law] does not allow it." It gave the administration 10 days in order to 'effectuate' the judgement, but a White House spokesperson told Reuters that it was 'not for elected judges to decide how to properly address a national emergency'. Stocks: Create your watchlist and portfolio Prashant Newnaha, senior Asia-Pacific rates strategist at TD Securities, said: "The knee-jerk reaction for equities to rally and bond yields to back up on the tariff pause makes sense. "However, with tariffs now in the appeal process and likely heading to the Supreme Court, uncertainty is back. Expect to see this lead to delays in investment and hiring. The pause also puts tariff revenue at risk which could bring deficit issues back on the radar." London's benchmark index (^FTSE) was 0.1% higher in early trade. Germany's DAX (^GDAXI) rose 0.7% and the CAC (^FCHI) in Paris headed 1% into the green. The pan-European STOXX 600 (^STOXX) was up 0.5%. Wall Street is set for a positive start as S&P 500 futures (ES=F), Dow futures (YM=F) and Nasdaq futures (NQ=F) were all in the green. The pound was flat against the US dollar (GBPUSD=X) at 1.3466. Follow along for live updates throughout the day: Stocks in Asia were higher overnight as the US Court of International Trade ruled that the Trump administration did not have the authority to impose most of the tariffs that have been announced. It said the administration had exceeded their legal authority, and that the International Emergency Economic Powers Act (IEEPA) 'does not authorize the President to impose unbounded tariffs.' The court gave the administration 10 days in order to 'effectuate' the judgement — the ruling covers the 10% baseline tariffs, the 25% tariffs on Canadian and Mexican products, the extra 20% on China, as well as all the reciprocal tariffs that have been paused until 9 July. However, there are a few exceptions not covered by the ruling, including the tariffs on steel, aluminium and automobiles. The Nikkei (^N225) rose 1.9% on the day in Japan, while the Hang Seng (^HSI) gained 1.4% in Hong Kong. The Shanghai Composite ( was 0.7% up by the end of the session. The Kospi (^KS11) was also up 1.9% after the Bank of Korea delivered a 25bp rate cut overnight, in line with expectations, taking the policy rate down to 2.5%. They also cut their growth forecast for this year to 0.8%. Across the pond on Wall Street, the S&P 500 (^GSPC) slipped 0.6%, falling back after the previous day's 2.05% surge, and the tech-heavy Nasdaq (^IXIC) was 0.5% down. The Dow Jones (^DJI) fell 0.6%. Good morning, and welcome back to our markets live blog. As usual we will be taking a deep dive into what's moving markets, and happening across the global economy. Coming up today we have US data releases which include the weekly initial jobless claims, the second estimate of Q1 GDP, and pending home sales for April. Otherwise, Central bank speakers include the Fed's Barkin, Goolsbee, Kugler, Daly and Logan, along with Bank of England (BoE) governor Andrew Bailey. Here's a snaphot of what's on the agenda: 7am: Trading updates: Nationwide (NBS.L), Helios Underwriting (HUW.L), Braemar (BMS.L), Hollywood Bowl (BOWL.L), AutoTrader (AUTO.L) 9:30am: ONS estimates of inflation for different household types 1:30pm: Second reading of US GDP 1:30pm: US weekly jobless claimsStocks in Asia were higher overnight as the US Court of International Trade ruled that the Trump administration did not have the authority to impose most of the tariffs that have been announced. It said the administration had exceeded their legal authority, and that the International Emergency Economic Powers Act (IEEPA) 'does not authorize the President to impose unbounded tariffs.' The court gave the administration 10 days in order to 'effectuate' the judgement — the ruling covers the 10% baseline tariffs, the 25% tariffs on Canadian and Mexican products, the extra 20% on China, as well as all the reciprocal tariffs that have been paused until 9 July. However, there are a few exceptions not covered by the ruling, including the tariffs on steel, aluminium and automobiles. The Nikkei (^N225) rose 1.9% on the day in Japan, while the Hang Seng (^HSI) gained 1.4% in Hong Kong. The Shanghai Composite ( was 0.7% up by the end of the session. The Kospi (^KS11) was also up 1.9% after the Bank of Korea delivered a 25bp rate cut overnight, in line with expectations, taking the policy rate down to 2.5%. They also cut their growth forecast for this year to 0.8%. Across the pond on Wall Street, the S&P 500 (^GSPC) slipped 0.6%, falling back after the previous day's 2.05% surge, and the tech-heavy Nasdaq (^IXIC) was 0.5% down. The Dow Jones (^DJI) fell 0.6%. Good morning, and welcome back to our markets live blog. As usual we will be taking a deep dive into what's moving markets, and happening across the global economy. Coming up today we have US data releases which include the weekly initial jobless claims, the second estimate of Q1 GDP, and pending home sales for April. Otherwise, Central bank speakers include the Fed's Barkin, Goolsbee, Kugler, Daly and Logan, along with Bank of England (BoE) governor Andrew Bailey. Here's a snaphot of what's on the agenda: 7am: Trading updates: Nationwide (NBS.L), Helios Underwriting (HUW.L), Braemar (BMS.L), Hollywood Bowl (BOWL.L), AutoTrader (AUTO.L) 9:30am: ONS estimates of inflation for different household types 1:30pm: Second reading of US GDP 1:30pm: US weekly jobless claims Error while retrieving data Sign in to access your portfolio Error while retrieving data Error while retrieving data Error while retrieving data Error while retrieving data
Irish Times
4 days ago
- Business
- Irish Times
US federal court blocks Trump from imposing sweeping tariffs
A federal trade court on Wednesday blocked US president Donald Trump from imposing sweeping tariffs on imports under an emergency-powers law. The ruling from a three-judge panel at the New York-based Court of International Trade came after several lawsuits arguing Mr Trump has exceeded his authority, left US trade policy dependent on his whims and unleashed economic chaos. The White House did not immediately respond to a message seeking comment. The Trump administration is expected to appeal. At least seven lawsuits are challenging the levies, the centrepiece of Mr Trump's trade policy. READ MORE Tariffs must typically be approved by Congress, but Mr Trump says he has the power to act because the country's trade deficits amount to a national emergency. He imposed tariffs on most of the countries in the world at one point, sending markets reeling. The plaintiffs argue that the 1977 International Emergency Economic Powers Act (IEPPA) does not authorise the use of tariffs. Even if it did, they say, the trade deficit does not meet the law's requirement that an emergency be triggered only by an 'unusual and extraordinary threat'. The US has run a trade deficit with the rest of the world for 49 consecutive years. Mr Trump imposed tariffs on most of the countries in the world in an effort to reverse America's massive and longstanding trade deficits. He earlier imposed levies on imports from Canada, China and Mexico to combat the illegal flow of immigrants and the synthetic opioids across the US border. His administration argues that courts approved then-president Richard Nixon's emergency use of tariffs in 1971, and that only Congress, and not the courts, can determine the 'political' question of whether the president's rationale for declaring an emergency complies with the law. Mr Trump's Liberation Day tariffs shook global financial markets and led many economists to downgrade the outlook for US economic growth. So far, though, the tariffs appear to have had little impact on the world's largest economy. Wendy Cutler, a former US trade official who is now vice-president at the Asia Society Policy Institute, says the court's decision 'throws the president's trade policy into turmoil'. She said: 'Partners negotiating hard during the 90-day day tariff pause period may be tempted to hold off making further concessions to the US until there is more legal clarity. 'Likewise, companies will have to reassess the way they run their supply chains, perhaps speeding up shipments to the United States to offset the risk that the tariffs will be reinstated on appeal.' – AP
BreakingNews.ie
4 days ago
- Business
- BreakingNews.ie
Court blocks Trump from imposing sweeping tariffs under emergency powers law
A federal trade court on Wednesday blocked US President Donald Trump from imposing sweeping tariffs on imports under an emergency-powers law. The ruling from a three-judge panel at the New York-based Court of International Trade came after several lawsuits arguing Mr Trump has exceeded his authority, left US trade policy dependent on his whims and unleashed economic chaos. Advertisement The White House did not immediately respond to a message seeking comment. The Trump administration is expected to appeal. At least seven lawsuits are challenging the levies, the centrepiece of Mr Trump's trade policy. Tariffs must typically be approved by Congress, but Mr Trump says he has the power to act because the country's trade deficits amount to a national emergency. He imposed tariffs on most of the countries in the world at one point, sending markets reeling. Advertisement The US has run a trade deficit with the rest of the world for 49 consecutive years (Evan Vucci/AP) The plaintiffs argue that the 1977 International Emergency Economic Powers Act (IEPPA) does not authorise the use of tariffs. Even if it did, they say, the trade deficit does not meet the law's requirement that an emergency be triggered only by an 'unusual and extraordinary threat'. The US has run a trade deficit with the rest of the world for 49 consecutive years. Mr Trump imposed tariffs on most of the countries in the world in an effort to reverse America's massive and longstanding trade deficits. Advertisement He earlier plastered levies on imports from Canada, China and Mexico to combat the illegal flow of immigrants and the synthetic opioids across the US border. His administration argues that courts approved then-president Richard Nixon's emergency use of tariffs in 1971, and that only Congress, and not the courts, can determine the 'political' question of whether the president's rationale for declaring an emergency complies with the law. Mr Trump's Liberation Day tariffs shook global financial markets and led many economists to downgrade the outlook for US economic growth. So far, though, the tariffs appear to have had little impact on the world's largest economy. Advertisement
