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In its semiannual Global Financial Stability Report, the International Monetary Fund has said that global financial stability risks have increased significantly since the fall amid heightened economic uncertainty around trade policy and other geopolitical factors. "The overall level of policy uncertainty has increased . . . the forecast of economic activity going forward is slightly lower," observed Tobias Adrian, director of the IMF's monetary and capital markets department. The IMF identified three vulnerabilities that could affect financial stability going forward: valuations are still high in some equity and corporate debt markets despite recent selloffs, leaving room for further declines; some highly leveraged financial institutions could come under strain in volatile markets and exacerbate any selloffs; and further turmoil could weigh on sovereign debt markets.

 

Reuters

The International Monetary Fund has significantly downgraded its growth forecasts for both the U.S. and global economies, citing the impact of President Donald Trump's tariffs. The IMF now predicts global growth will be just 2.8% this year, down from 3.3% in January, with U.S. growth expected to slow to 1.8%, a drop from 2.7%. Pierre-Olivier Gourinchas, the IMF's chief economist, observed: “We are entering a new era. This global economic system that has operated for the last eighty years is being reset.” The IMF has raised the odds of a U.S. recession from 25% to 37%, while economists at JPMorgan estimate a 60% chance. Inflation in the U.S. is projected to rise to about 3% by year-end, exacerbated by the tariffs. Meanwhile, China's growth is also expected to slow to 4% due to reduced demand from U.S. imports.

 

CNBC

Los Angeles Times

Washington Post

Wall Street Journal

President Donald Trump said on Tuesday that he has "no intention" of firing Federal Reserve Chair Jerome Powell, just a day after calling him a "major loser" and suggesting that he be removed from the post. Speaking at an event swearing in new SEC chair Paul Atkins, who previously served as a member of the agency during the George W. Bush presidency, Mr. Trump said: “I would like to see him (Powell) be a little more active in terms of his idea to lower interest rates. It is a perfect time to lower interest rates." The issue of how to respond to the Fed’s caution on cutting rates has appeared to create divisions within the Trump administration. Last week, Treasury Secretary Scott Bessent said Fed independence was a “jewel box that has got to be preserved.” Even if Mr. Trump doesn’t ultimately oust Mr. Powell, his efforts to discredit him could do lasting harm to an institution that has long sought to remain apolitical and technocratic, according to Peter Conti-Brown, a Fed historian at the University of Pennsylvania. He added: “The very integrity and buy-in on a bipartisan basis that the Federal Reserve is going to be a straight shooter is what gives the Fed its authority, its maneuverability.”

 

CNN

New York Times

Reuters

Wall Street Journal

The Federal Reserve has proposed an overhaul its annual stress testing for large banks, suggesting it could average results over two years in setting capital requirements. The Fed has also proposed giving banks three more months to adjust to the capital requirements as it looks to make the process more transparent and less volatile. The plans would see banks receiving test results in June given until January to adjust capital plans. Currently, the deadline is October.

 

Reuters

Officials serving both under former U.S. President Joe Biden and U.S. President Donald Trump erroneously publicized classified information to thousands of federal employees. The information was shared in a Google Drive folder by General Services Administration (GSA) employees with the whole GSA workforce. Among the data made privy to the over 11,200 staff were potentially confidential White House floor plans and particulars for a proposed armored door for the White House visitor center.

 

Washington Post

Boeing employees have significant distrust in their senior leadership, according to an internal survey shared by CEO Kelly Ortberg. Only 27% of participants said they would recommend Boeing as a workplace, and the survey, with an 82% participation rate, showed a decline in company pride, dropping from 91% in 2013 to 67% this year. Employees trust their direct managers more than senior leaders, with less than half saying they were confident in leadership's decision-making abilities. “I look at this as an opportunity for us to really understand what it is we need to do . . . to improve the culture of the company,” Ortberg told managers. “When we (improve the culture), people are going to be more motivated,” he continued. “Good things happen. People enjoy coming to work. And so as leaders of the company, it's really up to us to make that happen, enable that in the organization.” A California-based engineer who asked to remain anonymous to protect their job said: “We hear the same message all the time (but) it's all different between what you say you're going to do and what the actual action is.”

 

OregonLive.com

Seattle Times

A U.S. appeals court on Monday revived a proposed data privacy class action against Shopify. In a 10-1 decision, the 9th U.S. Circuit Court of Appeals in San Francisco said the Canadian e-commerce company can be sued in California for collecting personal identifying data from people who make purchases on websites of retailers from that state. Brandon Briskin, a California resident, said Shopify installed tracking software known as cookies on his iPhone without his consent when he bought athletic wear from the retailer I Am Becoming, and used his data to create a profile it could sell to other merchants. Shopify said it should not be sued in California because it operates nationwide and did not aim its conduct toward that state. It said instead that the case should be heard in Delaware, New York, or Canada. A bipartisan group of 30 states plus Washington, D.C., sided with Briskin. They said they needed an ability to enforce their own consumer protection laws against companies that avail themselves of local marketplaces through the internet.

 

Reuters

Reuters reports that the U.S. Department of Justice (DOJ) has backed away from a plan to break up its Washington-based tax division and send prosecutors to offices throughout the country. A new plan would house tax attorneys within the DOJ's civil and criminal divisions, otherwise keeping intact the unit which specializes in enforcing the tax code. The initial plan to send tax attorneys to U.S. attorneys' offices was part of a broader proposed shakeup at the DOJ. That proposal drew criticism from dozens of former tax officials, including Rod Rosenstein, the second in command at the DOJ during the first Trump administration. "If the goal is to increase efficiency and our return on investment, eliminating the Tax Division would be an epic failure," the officials wrote, saying that decentralizing the division would risk inconsistent application of tax law.

 

Reuters

Liability policies issued to defense firm Lockheed Martin from the 1950s to the 1970s do not cover defense costs in lawsuits related to the alleged discharge of toxic chemicals from a Florida plant, according to a Loews insurance unit. Continental Casualty Co. said the U.S. District Court for the District of Maryland should dismiss the company’s amended complaint. Lockheed faces litigation “seeking damages arising from alleged injuries associated with purported exposure to hazardous substances generated, stored, or disposed of by Lockheed Martin at its weapons manufacturing facility in Orlando, Florida.”

 

Bloomberg Law

Ahold Delhaize USA, the parent company of supermarket brands such as Hannaford and Stop & Shop, has confirmed a data breach following a November cyberattack. The INC ransomware operation claims that 6 TB of information was stolen, according to a report by The Record. Ahold Delhaize is currently investigating the breach with third-party cybersecurity experts. The INC ransomware group has previously targeted other organisations, including the State Bar of Texas and Xerox.

 

SC Magazine

The FT reports that the White House intends to pressure India to give companies such as Amazon and Walmart full access to its $125bn e-commerce market. Amazon and Walmart operate in India through local units but face restrictions on holding inventory and directly selling to consumers, unlike domestic firm Reliance, which can open physical stores and leverage its vast retail network to reach customers across the country. India and the U.S. are in the middle of chalking out a trade deal as part of New Delhi's efforts to avoid U.S. tariffs. India faces a 26% tariff on its exports to the U.S. barring an agreement, with President Donald Trump having paused the measure for 90 days so negotiations could take place.

 

Financial Times

Reuters

DHL Express has temporarily suspended business-to-consumer shipments over $800 from Hong Kong and China to the U.S. due to new U.S. tariffs eliminating the “de minimis” exemption. The move, prompted by a backlog at U.S. customs following the tariff hike to 120%, is expected to hit Hong Kong e-commerce firms and U.S. consumers hardest. Business-to-business shipments continue but may face delays. Retailers like Shein and Temu will raise prices, while Hong Kong businesses are shifting trade focus to Southeast Asia and Europe.

 

South China Morning Post

Intel is to unveil plans this week to cut more than 20% of its workforce in a move to streamline operations and reduce bureaucratic inefficiencies. The layoffs are part of a broader strategy to refocus on an engineering-driven culture.

 

Bloomberg

In the first quarter of 2025, global natural catastrophes resulted in insured losses exceeding $53bn, primarily driven by California's wildfires, which accounted for approximately $38bn or 71% of the total losses, according to Aon's Q1 Global Catastrophe Recap. This figure is significantly higher than the 21st-century Q1 average of $17bn and marks the second-highest total on record since Q1 2011. The report also highlighted that U.S. economic losses reached around $71bn, the highest since 1994, while the insurance protection gap stood at 36%, the lowest since 1990.

 

Insurance Journal

According to a study published in the American Journal of Preventive Medicine, gun violence negatively affects dental health by discouraging individuals from seeking dental care. Daniel Semenza, director of research at the New Jersey Gun Violence Research Center, explained: “Firearm violence doesn't just shape public safety, it shapes health behaviors, including whether people feel safe enough to seek care.” The research analyzed over 20,000 census tracts in the U.S. from 2014 to 2022, and revealed that for each additional shooting, there was a 0.01% decrease in dental visits and a 0.06% increase in tooth loss. The study highlights how community violence creates barriers to essential health care, precipitating long-term consequences for oral health.

 

U.S. News