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      Trump’s Encouragement of Stock Investors Draws Scrutiny

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      Was the president manipulating the market with his comments, as his critics say, or reassuring Americans, as the White House maintains?President Trump began his Wednesday with some advice for those rattled by his steep tariffs.“BE COOL,” Mr. Trump told his followers on social media after the markets opened. Just a couple of minutes later he wrote, “THIS IS A GREAT TIME TO BUY!!!”Hours after that, Mr. Trump sent the markets soaring when he paused the levies for 90 days. The S&P 500 climbed several percentage points in a matter of minutes and was on its way to its best day since the recovery of the 2008 financial crisis.Soon after Mr. Trump’s pause, Democrats and government ethics experts asked the perhaps obvious question: Did Mr. Trump give the green light to his followers to cash in on a forthcoming rise in stock prices?“How is this not market manipulation?” Representative Mike Levin, Democrat of California, said on social media, referring to action that is potentially illegal. “If you’re a Trump supporter and you did what he said and you bought, then you did great. On the other hand, if you’re a retiree or a senior or somebody in the middle class over the last few days that didn’t have the tolerance for risk and you decided to sell, you got screwed.”The news of Mr. Trump’s pause came as Jamieson Greer, the U.S. trade representative, was testifying on Capitol Hill. Representative Steven Horsford, Democrat of Nevada, pressed him on Mr. Trump’s aim.“It’s not market manipulation,” Mr. Greer said. “We’re trying to reset the global trading system.”“How have you achieved any of that?” Mr. Horsford asked. “So if it’s not market manipulation, what is it? Who’s benefiting? What billionaire just got richer?”We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More

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      Appeals Court Clears Path for Trump to Resume Firing Probationary Workers

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      The Trump administration is once again free to fire probationary employees. For now.The U.S. Court of Appeals for the Fourth Circuit, in a 2-to-1 decision, sided with the government on Wednesday to block a lower-court ruling in Maryland that had led to the reinstatement of thousands of federal workers who had been fired in February.The purge of the employees had marked one of the first stages of President Trump’s plan to rapidly downsize the civil service and overhaul or eliminate entire offices and programs. Since then, the status of the workers has been tied up in legal battles over whether the firings had been carried out lawfully.The Wednesday appeals court decision came a day after the Supreme Court blocked a similar ruling in California reining in the government in a separate case. There is now no court order in place to stop the government from firing probationary employees.Both courts ruled on narrow issues of standing: whether the probationary firings harmed the plaintiffs so much that they had the right to sue in district court. In California, nonprofit organizations sued the government over the firings at six agencies because they said they benefited from the services the federal workers provided. In Maryland, 19 states and the District of Columbia sued 20 federal agencies, arguing that the government was obligated to give them notice when personnel actions could abruptly and significantly increase demand for unemployment benefits.It was not immediately clear what the latest decision meant for the thousands of fired probationary employees, nearly all of whom had been recently reinstated as a result of district court orders. The back-and-forth has left the employees in a state of limbo, wondering if they will be fired again after having just been rehired.We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More

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      House Votes to Curb National Injunctions, Targeting Judges Who Thwart Trump

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      The House passed legislation on Wednesday that would bar federal district judges from issuing nationwide injunctions, part of an escalating Republican campaign to take aim at judges who have moved to halt some of President Trump’s executive orders.The bill, approved mostly along party lines on a vote of 219 to 213, would largely limit district court judges to issuing narrow orders that pertain to parties involved in a specific lawsuit, rather than broader ones that can block a policy or action from being enforced throughout the country. It would make an exception in cases that were brought by multiple states, which would need to be heard by a three-judge panel.It faces a slim chance of becoming law because of the obstacles it faces in the Senate, where seven Democrats would have to join Republicans to allow it to advance. So far, similar bills have not been approved by the Senate Judiciary Committee.House Republicans have framed the legislation, named the No Rogue Rulings Act, as a necessary constitutional check on what they claim is an abuse of power by judges attempting to wield political influence from the bench.Citing an increase in nationwide injunctions since Mr. Trump took office, Republican lawmakers have argued that an unelected federal judge in one district should not be able to block the executive branch from implementing nationwide policies, a duty they say should be left to appeals courts or the Supreme Court.The Supreme Court “must reach a majority in order to make something the law of the land, and yet a single district judge believes that they can make the law of the land,” Representative Darrell Issa, the California Republican who introduced the bill, said on the House floor on Wednesday.We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More

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      Bond Sell Off Raises Questions About U.S. Safe Haven Status

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      A sharp sell-off in U.S. government bond markets has sparked fears about the growing fallout from President Trump’s sweeping tariffs and retaliation by China, the European Union and others, raising questions about what is typically seen as the safest corner for investors to take cover during times of turmoil.Yields on 10-year Treasuries — the benchmark for a wide variety of debt — shot 0.2 percentage points higher on Wednesday, to 4.45 percent, a big move in that market. Just a few days ago, it had traded below 4 percent. Yields on the 30-year bond rose significantly as well, at one point on Wednesday topping 5 percent. Borrowing costs globally have also shot higher.The sell-off comes as investors have fled riskier assets globally in what some fear has parallels to what became known as the “dash for cash” episode during the pandemic, when the Treasury market broke down. The recent moves have upended a longstanding relationship in which the U.S. government bond market serves as a safe harbor during times of stress.Volatility has surged as stock markets have plummeted amid fears that the U.S. economy is hurtling toward stagflation, in which economic growth contracts while inflation surges. The S&P 500 is now on the verge of entering a bear market, meaning it has dropped 20 percent from its recent high.“The global safe-haven status is in question,” said Priya Misra, a portfolio manager at JPMorgan Asset Management. “Disorderly moves have happened this week because there is no safe place to hide.”Scott Bessent, the U.S. Treasury secretary, sought to tamp down concerns on Wednesday, brushing off the sell-off as nothing more than investors who bought assets with borrowed money having to cover their losses.“I believe that there is nothing systemic about this — I think that it is an uncomfortable but normal deleveraging that’s going on in the bond market,” he said in an interview with Fox Business.But the moves have been significant enough to raise broader concerns about how foreign investors now perceive the United States, after Mr. Trump decided to slap onerous tariffs on nearly all of its trading partners. Some countries have sought to strike deals with the administration to lower their tariff rates. But China retaliated on Wednesday, announcing an 84 percent levy on U.S. goods after Mr. Trump raised the tariff rate on Chinese goods to 104 percent.In a social media post on Wednesday, the former U.S. Treasury secretary Lawrence H. Summers said the broader sell-off suggested a “generalized aversion to US assets in global financial markets” and warned about the possibility of a “serious financial crisis wholly induced by US government tariff policy.”“We are being treated by global financial markets like a problematic emerging market,” he wrote. More

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      Delta Warns Trump’s Trade War Could Lead to a Recession

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      Delta Air Lines on Wednesday became one of the largest American companies to warn that President Trump’s escalating trade war was weighing on its business and the global economy.In an interview with CNBC on Wednesday, Delta’s chief executive, Ed Bastian, said a recession was possible as companies pulled back spending.“Everyone’s being prepared for uncertainty,” he said, “if that continues, and we don’t get resolution soon, we will probably end up in a recession.”Airlines are highly sensitive to changes in the economy because air travel is among the first things that individuals and businesses can cut back on when they are worried about their paychecks or profits.Mr. Bastian expressed shock at the speed at which the trade tensions had taken the wind out of the economy.“We’re in uncharted, unprecedented uncertainty, when you look at what’s happened and the pivot so quickly to this self-inflicted situation,” he said.Mr. Bastian’s comments are at odds with those of the Treasury secretary, Scott Bessent, who said on Wednesday that chief executives had told him the economy was solid.In its first-quarter earnings release, Delta said it no longer expected its business to grow in the second half of the year and added that a lack of the clarity about the economy prevented it from telling investors how much money it expects to make this year.Mr. Bastian said summer bookings were in line with last year. Some customs data show a sharp decline in foreigners entering the United States. Mr. Bastian said around 80 percent of Delta’s international bookings are made in the United States. “U.S. consumers are looking to go somewhere, particularly to try to get a reprieve from all the craziness we’re going through,” he said.Delta’s shares have fallen around 40 percent this year. More

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      Trump Administration Freezes $1 Billion for Cornell and $790 Million for Northwestern, Officials Say

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      The Trump administration has frozen more than $1 billion in funding for Cornell and $790 million for Northwestern amid civil rights investigations into both schools, two U.S. officials said.The funding pause involves mostly grants from and contracts with the Departments of Agriculture, Defense, Education and Health and Human Services, according to the officials, who spoke on the condition of anonymity to discuss the unannounced decision.The moves are the latest and largest in a rapidly escalating campaign against elite American universities that has resulted in roughly $3.3 billion in federal funds being suspended or put under review in just over a month. Other schools that have had funds threatened include Brown, Columbia, Harvard, the University of Pennsylvania and Princeton.Cornell and Northwestern are both facing investigations into allegations of antisemitism and into accusations of racial discrimination stemming from their efforts to promote diversity.Cornell officials said in a statement that they had received more than 75 stop-work orders from the Defense Department on Tuesday, but that they had no information to confirm that more than $1 billion in funding had been suspended. The affected grants, they said, supported research that they described as “profoundly significant to American defense, cybersecurity and health.”“We are actively seeking information from federal officials to learn more about the basis for these decisions,” according to the joint statement from Michael Kotlikoff, the university president; Kavita Bala, the provost; and Robert Harrington, provost for medical affairs.We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More

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      Amid Tension Around H.H.S. Cuts, Kennedy Meets With Tribal Leader

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      At the very moment that Health Secretary Robert F. Kennedy Jr. was set to take the stage, the governor of Gila River Indian Community was still standing at the podium, articulating his uneasiness around recent Trump administration moves.“Let me repeat that: We have spent a good part of this year providing education on why tribes have a political status that is not D.E.I.,” Gov. Stephen Roe Lewis said to a room of 1,200 people, who clapped and cheered.When it comes to cuts sought by what has been called the Department of Government Efficiency, “we need a scalpel and not a chain saw approach to making these changes,” he said. The Gila River Wild Horse Pass Resort and Casino in Chandler, Ariz., owned and operated by two tribes, was the latest stop on Mr. Kennedy’s Make American Healthy Again tour through three Southwestern states. Mr. Kennedy was set to host a “fireside chat” at the Tribal Self-Governance Conference, an event celebrating 50 years of tribal sovereignty under the Indian Self-Determination and Education Assistance Act.The act, passed by Congress in 1975, marked a shift away from federal government control, so that Native communities could run their own programs based on their unique cultural needs.Mr. Kennedy has long expressed a particular zeal for improving tribal health, citing his family’s long history of advocacy, his childhood trips to American Indian reservations, and parts of his own environmental career.We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More