Today’s Agenda: IDF’s “Professional Failures.” The crypto gambling boom. Saudi Arabian groups are embracing the sun. China’s UK’s large investment. Jamie Dimon’s meeting called to “kill”
good morning. We’re starting a week in Washington. In Washington, amid growing threats to global growth, world leaders meet at the IMF/World Bank spring meeting, as shown in a recent Financial Times study.
How bad is the outlook? Trust indicators have fallen sharply following the shock of Donald Trump’s tariffs, according to the Brookings-FT Index. The US trust numbers are particularly harsh, showing the lowest levels of confidence since the index began, along with a sharp deterioration in financial market conditions. The level of trust between China and Germany has also declined.
Why it matters: It’s “premature” to predict a global recession, said Eswar Prasad, a senior Brookings fellow, warned that the collapse of global trade and higher policy uncertainty would significantly curb the restraint. “All open economy that relies on trade is squeezed,” he said.
IMF Managing Director Kristalina Georgieva warned last week that the fund plans to cut its growth forecasts due to “up in financial market volatility,” and that “uncertainty in trade policy is literally off the charts.”
Looking ahead: Global policymakers await clarity on the US President’s stance on the IMF and the World Bank. The White House is reviewing the role and support of the United States with Treasury Secretary Scott Bescent, who will comment on the administration’s policies on the IMF and the World Bank on Wednesday, with its biggest shareholder, Secretary of Equity Treasury. This goes on to the organization’s weekly meeting that begins today.
Reeves of Washington: The British Prime Minister advocates for global free trade and urges the US to cut punitive tariffs on UK automobiles and steel.
Is the IMF next? Trump has already withdrawn the United States from the Paris Climate Agreement and the World Health Organization, writes Edwin Truman of Harvard Kennedy School.
A world of high tariffs: Rutil Sharma explains how a trade war sorts the world economy – it doesn’t burn.
Here is the other thing we keep tabs today:
War in Ukraine: The conflict follows the 30-hour “Easter Certain Fire” unilaterally declared by Vladimir Putin.
Markets have been closed: Mark Easter Monday in France, Germany, Italy and the UK.
On Wednesday, we will be joining Unedged’s Robert Armstrong and other FT experts to discuss how Trump’s policies shape the market with subscriber-only webinars. Please sign up for free.
Five more top stories
1. Israeli military admitted “special failures” and said it would be dismissed officers after the military killed 15 unarmed workers in southern Gaza last month. The Israeli Defense Forces had to contradict the previous versions of the explanation of what happened after the video appeared.
Trump’s Gaza plan: The US president’s proposal to expel the strip population has put pressure on his “favourite dictator,” Egyptian Abdel Fatta al-Sisi.
2. Crypto casino take has skyrocketed to tens of millions of dollars a year as gamblers bypass their country’s blocs and bet on unregulated offshore platforms, new data show. Despite being illegal in most countries, bets paid in cryptocurrency last year generated $81.4 billion in total game revenue. This is a five-fold increase since 2022.
3. Large Saudi Arabian companies are accepting solar power generation in an effort to save energy costs after the government eliminates electricity subsidies. Encouraged by the cost of solar panels and the decline in state sustainability targets, several large companies in the logistics to retail sector have installed rooftop solar panels in recent months.
4. Exclusive: Hargreaves Lansdown’s billionaire co-founder returns to the investment platform’s group board following a private equity takeover 10 years after resigning as director. Peter Hargreaves also moved forward to moving his son Robert forward and becoming an observer on the board, people familiar with the matter said. Emma Dunkley has details from London.
5. The Trump administration has raised dramatic cuts for the State Department, including abolishing African policies, closing many embassies on the continent, closing embassies on the continent, and closing many embassies on the continent that were denied as “hoaxes” by Secretary of State Marco Rubio. Other suggestions for the draft document are:
Other US news: Republican senators have fought back against Trump’s attack on Jay Powell and said no president has the authority to fire the Federal Reserve Chairman.
Big reading
©Menahem Kahana/Pool/AFP/Getty Images
After a year of hind legs following Hamas’ attack, Israeli Prime Minister Benjamin Netanyahu launched the attack. Israeli forces seized the land from their neighbors, and Netanyahu pressured Trump to support military action against Iran. At home, Netanyahu’s administration resumed a fierce power struggle with justice and other pillars of the state. “What we are facing now is an existential crisis,” said Singh Bett, former prime minister of the domestic spy agency.
We’re reading too. . .
Wall Street: Deregulation could free US banks to support the economy and markets. But no one would be interested in recklessly shaking Pendurum from safety, writes Patrick Jenkins.
Americans in the Alps: “Flying to Safety” by people fleeing the Trump administration is driving demand for property in a small Swiss ski village.
Trump’s Trade War: Tariffs without industrial policy will not bring manufacturing jobs back to the US, Lana Forhaal writes.
Nassef Sawiris: Egypt’s wealthiest man and co-owner of Aston Villa blames “10 years of incompetence” under Tories for driving him to leave the UK.
The chart of the day
The British government’s decision to take control of British steel from Chinese owner Jingye has led to a demand for greater scrutiny of China’s investment in the country. China has poured over $100 billion into the UK since 2000, with energy alone making up almost a fifth of all major Chinese investments since 2005.
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Take a break from the news
Jamie Dimon’s annual letter to shareholders was nerve-wracking with his call to “kill” the meeting. But many workers share the dissatisfaction of JPMorgan’s chief executive with endless debates, writes Emma Jacobs.
©Kenneth Andersson
