Crypto News: Work with us

Good morning. Congress Republicans implore Elon Musk to work with them. Starlink faces a backlash. And just what is MAGA trying to do to capitalism? Listen to the day's top stories.

Markets Snapshot

S&P 500 Index Futures

5,793.25

Bloomberg Dollar Spot Index

1,271.59

-0.01%

Market data as of 06:54 am EST.

View or Create your Watchlist

Market data may be delayed depending on provider agreements.

Republicans warned Elon Musk that his DOGE spending cuts are at risk of being overturned in court unless he gets support from Congress, a point underscored by a Supreme Court decision yesterday that dealt a blow to Donald Trump's unilateral foreign-aid freeze. Meanwhile, planned job cuts at the IRS would leave it with its smallest workforce since at least the 1960s—bad news if you need help, but potentially good news for tax cheats. Here's a reminder of what DOGE is trying to achieve.

Michael Grimes in 2018. Photographer: David Paul Morris/Bloomberg

The US is tapping former Morgan Stanley banker Michael Grimes to lead its planned sovereign wealth fund, according to people familiar. It's all part of Trump's effort to give the US a stake in projects he considers critical to national security like manufacturing hubs, defense and medical research. Saudi Arabia's got one, so does Norway: Check out our guide to what such a fund could do for America.

Trump ramped up his tough stance against Hamas, warning there'll be "hell to pay" if the group doesn't immediately release its hostages in Gaza. The president met with freed hostages yesterday, while his top hostage negotiator met with Hamas officials in Qatar, a rare instance of direct contact by US officials with a group it designates a terrorist organization.

European Union leaders are gathering for an emergency summit on Ukraine and defense as they scramble to respond to the US's abrupt U-turn on foreign policy involvement in the region. Hungary may throw a wrench in the works but Norway's prime minister offered support with a "substantial" boost to its aid to Kyiv. All this talk of Europe ramping up defense spending is propelling European stocks higher, leaving US returns in the dust.

If you really want to see the impact of the seismic policy shifts prompted by the rethink, look at the bonds sold by governments. Germany's bonds have plunged in recent days, dragging down debt markets around the world, as Berlin's plan to unlock hundreds of billions of euros for defense and infrastructure investments makes investors worry about a resurgence of inflation. Here's a reminder why inflation can be bad news.

In corporate news

Alibaba Leads Competitors Playing Catchup With China's DeepSeek

Klarna to File for $1 Billion-Plus IPO as Soon as Next Week

Deep Dive: Breaking Connections

A homeowner installs a Starlink satellite internet system in Galisteo, New Mexico. Photographer: Cate Dingley/Bloomberg

Elon Musk's Starlink is becoming a flashpoint in America's trade war as some consumers take out their frustrations with the billionaire's political leanings.

Canada and Mexico make up the satellite network's two largest markets outside of the US. That's leaving customers in remote locations there that traditional internet services don't reach torn between a patriotic desire to boycott and a decent connection.
Ontario's Premier has ripped up the Canadian province's contract with Starlink as part of its retaliation to Trump's tariffs, while the nation's angry consumers have been ditching American goods and booing The Star-Spangled Banner. As for Tesla, its 31% stock plunge this year tells its own story.
One winner may be French satellite operator Eutelsat. Its stock is climbing again (more than 400% this week alone) as talks for it to replace Starlink's terminals in Ukraine gather steam and its CEO seems happy to step up.

The Big Take

Delegates attend the opening ceremony of the Chinese People's Political Consultative Conference in Beijing on March 4. Photographer: Adek Berry/AFP/ Getty Images

China's leaders are pushing to overhaul the country's investment-led growth model in favor of a consumer-driven economy, spurred by Trump's punitive tariffs.

Podcast

Key Takeaways From Donald Trump's Joint Address

Opinion

Photographer: Yuri Gripas/Bloomberg

MAGA wants to end capitalism as we know it, Adrian Wooldridge writes. But America's small businesses and blue-collar workers should not expect lasting solutions to their problems from half-baked and nostalgia-soaked anti-corporatists.

More opinions

Michael R. Bloomberg

NYC's Congestion Pricing Is Good for the US

Andreas Kluth

Real Ukraine Peace Talks Require a Real US Security Guarantee

Before You Go

President Trump on March 4. Photographer: Win McNamee/Getty Images

Pulling in the viewers. More than 36.6 million people watched Trump's speech to a joint session of Congress on Tuesday, according to Nielsen ratings, surpassing Joe Biden's 2021 address by 36%. It was a win for Fox News too, which led with 10.7 million viewers, more than ABC and CBS combined. Missed it? Catch up here.

One More Thing

It's Almost Time to Change Your Clock Again

Qatar Economic Forum: Join us in Doha May 20-22. Since 2021, the forum, powered by Bloomberg, has convened more than 6,500 influential leaders to tackle the critical challenges shaping the global economy. Don't miss this opportunity—request an invitation today.