Biden aides pushed for early debate with Trump: Memo
'The earlier YOU are able to debate the better, so that the American people can see YOU standing next to Trump and showing the strength of YOUR leadership, compared to Trump's weakness and chaos,' a group identified as senior advisers wrote in an April 15 memo to Biden that was published Monday via Politico Playbook. 'After further discussion, YOUR Senior Advisors, including Ron and Cedric, continue to believe it is important to move forward with a plan that supports YOUR participation in debates as early as possible.'
Former Biden chief of staff Ron Klain led Biden's debate prep before he faced Trump in the disastrous July 2024 head-to-head, while former White House senior adviser Cedric Richmond was a 2020 and 2024 Biden campaign co-chair. Both have been close political confidants of Biden for years.
'YOUR Senior Advisers think strategically holding these debates in the fall, after many of the battleground states have already begun their early voting process and voter registration deadlines have passed is too late,' the advisers wrote in the memo.
But rather than fortifying Biden's reelection chances, the debate jump-started questions about his fitness to serve another four years and calls for him to step aside.
The White House said at the time that Biden, who was 81 years old, had a cold, but his close supporters feared that his wavering voice, halted speaking and meandering answers doomed his reelection chances. He withdrew from the race the following month and supported then-Vice President Kamala Harris to move to the top of the Democratic ticket to face Trump.
Trump won the popular vote and the Electoral College to secure the White House for a second, nonconsecutive term.
The memo was obtained by journalists Josh Dawsey of The Wall Street Journal, Tyler Pager of The New York Times and Isaac Arnsdorf of The Washington Post, while reporting their book, '2024: How Trump Retook the White House and the Democrats Lost America,' which will be released Tuesday.
Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
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Yahoo
17 minutes ago
- Yahoo
SM Lee: Electing more opposition MPs to check Govt is 'wrong direction'; Head monk of Shaolin Temple in China faces criminal probe: Singapore live news
Senior Minister Lee Hsien Loong acknowledged on 26 July that the opposition is now a permanent feature of Singapore politics. He said the growing number of opposition Members of Parliament (MP) reflects a growing public desire for alternative voices in Parliament, a sentiment he described as "quite natural" and "quite understandable." He cautioned that this shift could lower the quality of governance and jeopardise Singapore's future. SM Lee said, "You can elect more opposition MPs to check the Government... but once you are set on that path, you are heading in the wrong direction." Shi Yongxin, the abbot of the famed Shaolin Temple in China, is under investigation for alleged embezzlement, improper relationships with multiple women, and fathering illegitimate children. The temple confirmed the investigation on Sunday (27 July), which involves multiple agencies looking into the serious accusations. Read more in our live blog below, including the latest local and international news and updates. Head monk of Shaolin Temple in China faces criminal probe Shi Yongxin, the abbot of the famed Shaolin Temple in China, is under investigation for alleged embezzlement, improper relationships with multiple women, and fathering illegitimate children. The temple confirmed the investigation on Sunday (27 July), which involves multiple agencies looking into the serious accusations. Located in Henan province, the 1,500-year-old Shaolin Temple is a major cultural and religious site, attracting thousands of disciples from around the world each year. Shi, who became abbot in 1999, is known for commercialising the temple and has been nicknamed the "CEO monk" for his efforts in building its global brand. Amid the ongoing investigation, China's Buddhist Association announced on Monday that Shi has been stripped of his ordination certificate – an important document that signifies formal acceptance into the monastic community. In a statement, the association said, "Shi Yongxin's actions are extremely bad, seriously damaging the reputation of the Buddhist community and the image of monks." For more on Shi Yongxin's criminal probe, read here. SIA flights from Singapore to Cambodia, Thailand not affected by border dispute Singapore Airlines (SIA) flights between Singapore and both Cambodia and Thailand continue to operate as scheduled, despite a deadly border conflict between the latter two Southeast Asian nations. A spokesperson for the SIA Group said that passenger and crew safety remains the airline's top priority. 'We will continue to monitor the situation closely and adjust our flights where necessary,' the spokesperson said. The conflict between Thailand and Cambodia escalated into deadly violence on 24 July, with military forces clashing at several points along the border, and leaving at least 12 people killed. This flare-up is rooted in historical disagreements dating back more than a century and centres around the Emerald Triangle, a region where Thailand, Cambodia, and Laos converge. In response to the crisis, the leaders of Thailand and Cambodia are set to meet for mediation talks in Malaysia on 28 July at 3pm local time, at the Prime Minister's Office in Putrajaya. For more on SIA flights to Cambodia and Thailand, read here. Infant in India bites cobra to death A one-year-old boy in the northern Indian state of Bihar reportedly bit a cobra to death after the snake coiled itself around his hands. According to local news reports, the incident occurred while the child, identified only by his first name Govinda, was playing outside his home in the town of Bettiah, near the Indo-Nepal border. "When we saw the snake in the child's hand, everyone rushed towards him, but in the meantime, he already bit the snake, killing it on the spot," the boy's grandmother told reporters. After biting the snake, the child fainted and was immediately taken to a primary health care centre for initial treatment. He was later transferred to the Government Medical College Hospital (GMCH) in the town for further observation and care. For more on the snake biting incident, read here. PUB: Sewage shaft failure linked to sinkhole A concrete structure at a PUB worksite along Tanjong Katong Road South failed at about 5.50pm on 26 July, according to a statement by the national water agency. The structure was part of a shaft under construction at the site. Around the same time, a sinkhole appeared on the road next to the worksite, causing a black car to fall in. The driver managed to escape from the vehicle on her own and was rescued by construction workers. PUB said the ongoing project involved building a 16-metre-deep shaft to link three existing sewer lines. The failure was linked to a caisson ring, but the exact cause of the structural collapse has not yet been determined. Investigations are currently underway. As a safety measure, PUB announced a time-out across similar sewer construction works in Singapore. This pause will allow the agency to review safety practices and ensure that proper protocols are in place to prevent similar incidents. For more on the sinkhole incident, read here. Arsenal edge Newcastle 3-2 as Dowman shines off the bench Arsenal secured their second win in a row during their pre-season tour of Asia with a 3-2 victory over Newcastle at the National Stadium in Singapore. Coming off a narrow 1-0 win against AC Milan, Arsenal once again showed determination, especially as they had to come from behind, and later, defend their lead. Newcastle took an early lead just six minutes into the match when their new £55 million signing, Anthony Elanga, scored with a shot that deflected twice before bouncing in off the post. It was Newcastle's first meaningful attack and gave them the early advantage. Arsenal responded well, with Mikel Merino levelling the score after receiving a smart pass from teammate Kai Havertz, and placing the ball accurately into the corner of the net. Just moments later, they gained the lead when Newcastle's young defender Alex Murphy accidentally turned a low cross from Havertz into his own goal. By halftime, Arsenal had taken control of the match, showing improved teamwork and fluid attacking movements. For more on the Arsenal-Newcastle match in Singapore, read here. More teen births in 2024, gradual increase from 2022 More teenagers in Singapore are becoming mothers, marking a reversal of a steady decline in teen births in the past 20 years, according to the Report on Registration of Births and Deaths 2024 released by the Immigration and Checkpoints Authority. In 2024, 244 babies were born to teens aged 19 or younger, up 7 per cent from 228 in 2023. There were 218 teen births in 2022. The Health Ministry also noted that in the past five years, the average age of pregnant teens was 18. Ms Melisa Wong, executive director at Babes Pregnancy Crisis Support, cited multiple factors behind the rise. She said that during the Covid-19 pandemic, many teens felt isolated or struggled with other negative emotions, and some may have engaged in unprotected sex to seek connection or to cope with whatever they were going through. Ms Wong added that while teens are exploring relationships at younger age, some may not use contraceptives for various reasons. She also pointed out that part of the increase in teen births may also be due to a decline in abortions. For more on Singapore's teen pregnancy stats, read here. SM Lee: Electing more opposition MPs to check Govt is 'wrong direction' Senior Minister Lee Hsien Loong acknowledged on 26 July that the opposition is now a permanent feature of Singapore politics. He said the growing number of opposition Members of Parliament (MP) reflects a growing public desire for alternative voices in Parliament, a sentiment he described as "quite natural" and "quite understandable." Despite the rise in opposition presence, the ruling People's Action Party (PAP) must continue to perform well and earn voter support to ensure the country's continued success, he said at a National Day dinner in Serangoon. Following the 2025 General Election, the 15th Parliament will have 12 opposition MPs, including two Non-Constituency MPs – the same number as in the 2020 General Election. SM Lee stated, "The opposition is here to stay in Singapore politics. But in order for Singapore to keep on doing well, the Government has to continue to hold its own, and to win votes and to win seats in elections." If the ruling party weakens, it could become more difficult to form teams, govern well, and garner support for policies, he warned. He cautioned that this shift could lower the quality of governance and jeopardise Singapore's future. SM Lee said, "You can elect more opposition MPs to check the Government... but once you are set on that path, you are heading in the wrong direction." SM Lee called for striking the right balance between having stronger alternative voices in government, and supporting and electing an effective government that can make tough, long-term decisions in the nation's interest. He stressed that the country needs a capable government to maintain high standards and navigate challenges, especially given global uncertainties. SM Lee concluded by saying he was heartened that Singaporeans recognised the importance of strong leadership and had given the PAP a firm mandate in the May election, where it received 65.57 per cent of the popular vote – up from 61.24 per cent in 2020. For more on SM Lee's National Day dinner remarks, read here. Head monk of Shaolin Temple in China faces criminal probe Shi Yongxin, the abbot of the famed Shaolin Temple in China, is under investigation for alleged embezzlement, improper relationships with multiple women, and fathering illegitimate children. The temple confirmed the investigation on Sunday (27 July), which involves multiple agencies looking into the serious accusations. Located in Henan province, the 1,500-year-old Shaolin Temple is a major cultural and religious site, attracting thousands of disciples from around the world each year. Shi, who became abbot in 1999, is known for commercialising the temple and has been nicknamed the "CEO monk" for his efforts in building its global brand. Amid the ongoing investigation, China's Buddhist Association announced on Monday that Shi has been stripped of his ordination certificate – an important document that signifies formal acceptance into the monastic community. In a statement, the association said, "Shi Yongxin's actions are extremely bad, seriously damaging the reputation of the Buddhist community and the image of monks." For more on Shi Yongxin's criminal probe, read here. Shi Yongxin, the abbot of the famed Shaolin Temple in China, is under investigation for alleged embezzlement, improper relationships with multiple women, and fathering illegitimate children. The temple confirmed the investigation on Sunday (27 July), which involves multiple agencies looking into the serious accusations. Located in Henan province, the 1,500-year-old Shaolin Temple is a major cultural and religious site, attracting thousands of disciples from around the world each year. Shi, who became abbot in 1999, is known for commercialising the temple and has been nicknamed the "CEO monk" for his efforts in building its global brand. Amid the ongoing investigation, China's Buddhist Association announced on Monday that Shi has been stripped of his ordination certificate – an important document that signifies formal acceptance into the monastic community. In a statement, the association said, "Shi Yongxin's actions are extremely bad, seriously damaging the reputation of the Buddhist community and the image of monks." For more on Shi Yongxin's criminal probe, read here. SIA flights from Singapore to Cambodia, Thailand not affected by border dispute Singapore Airlines (SIA) flights between Singapore and both Cambodia and Thailand continue to operate as scheduled, despite a deadly border conflict between the latter two Southeast Asian nations. A spokesperson for the SIA Group said that passenger and crew safety remains the airline's top priority. 'We will continue to monitor the situation closely and adjust our flights where necessary,' the spokesperson said. The conflict between Thailand and Cambodia escalated into deadly violence on 24 July, with military forces clashing at several points along the border, and leaving at least 12 people killed. This flare-up is rooted in historical disagreements dating back more than a century and centres around the Emerald Triangle, a region where Thailand, Cambodia, and Laos converge. In response to the crisis, the leaders of Thailand and Cambodia are set to meet for mediation talks in Malaysia on 28 July at 3pm local time, at the Prime Minister's Office in Putrajaya. For more on SIA flights to Cambodia and Thailand, read here. Singapore Airlines (SIA) flights between Singapore and both Cambodia and Thailand continue to operate as scheduled, despite a deadly border conflict between the latter two Southeast Asian nations. A spokesperson for the SIA Group said that passenger and crew safety remains the airline's top priority. 'We will continue to monitor the situation closely and adjust our flights where necessary,' the spokesperson said. The conflict between Thailand and Cambodia escalated into deadly violence on 24 July, with military forces clashing at several points along the border, and leaving at least 12 people killed. This flare-up is rooted in historical disagreements dating back more than a century and centres around the Emerald Triangle, a region where Thailand, Cambodia, and Laos converge. In response to the crisis, the leaders of Thailand and Cambodia are set to meet for mediation talks in Malaysia on 28 July at 3pm local time, at the Prime Minister's Office in Putrajaya. For more on SIA flights to Cambodia and Thailand, read here. Infant in India bites cobra to death A one-year-old boy in the northern Indian state of Bihar reportedly bit a cobra to death after the snake coiled itself around his hands. According to local news reports, the incident occurred while the child, identified only by his first name Govinda, was playing outside his home in the town of Bettiah, near the Indo-Nepal border. "When we saw the snake in the child's hand, everyone rushed towards him, but in the meantime, he already bit the snake, killing it on the spot," the boy's grandmother told reporters. After biting the snake, the child fainted and was immediately taken to a primary health care centre for initial treatment. He was later transferred to the Government Medical College Hospital (GMCH) in the town for further observation and care. For more on the snake biting incident, read here. A one-year-old boy in the northern Indian state of Bihar reportedly bit a cobra to death after the snake coiled itself around his hands. According to local news reports, the incident occurred while the child, identified only by his first name Govinda, was playing outside his home in the town of Bettiah, near the Indo-Nepal border. "When we saw the snake in the child's hand, everyone rushed towards him, but in the meantime, he already bit the snake, killing it on the spot," the boy's grandmother told reporters. After biting the snake, the child fainted and was immediately taken to a primary health care centre for initial treatment. He was later transferred to the Government Medical College Hospital (GMCH) in the town for further observation and care. For more on the snake biting incident, read here. PUB: Sewage shaft failure linked to sinkhole A concrete structure at a PUB worksite along Tanjong Katong Road South failed at about 5.50pm on 26 July, according to a statement by the national water agency. The structure was part of a shaft under construction at the site. Around the same time, a sinkhole appeared on the road next to the worksite, causing a black car to fall in. The driver managed to escape from the vehicle on her own and was rescued by construction workers. PUB said the ongoing project involved building a 16-metre-deep shaft to link three existing sewer lines. The failure was linked to a caisson ring, but the exact cause of the structural collapse has not yet been determined. Investigations are currently underway. As a safety measure, PUB announced a time-out across similar sewer construction works in Singapore. This pause will allow the agency to review safety practices and ensure that proper protocols are in place to prevent similar incidents. For more on the sinkhole incident, read here. A concrete structure at a PUB worksite along Tanjong Katong Road South failed at about 5.50pm on 26 July, according to a statement by the national water agency. The structure was part of a shaft under construction at the site. Around the same time, a sinkhole appeared on the road next to the worksite, causing a black car to fall in. The driver managed to escape from the vehicle on her own and was rescued by construction workers. PUB said the ongoing project involved building a 16-metre-deep shaft to link three existing sewer lines. The failure was linked to a caisson ring, but the exact cause of the structural collapse has not yet been determined. Investigations are currently underway. As a safety measure, PUB announced a time-out across similar sewer construction works in Singapore. This pause will allow the agency to review safety practices and ensure that proper protocols are in place to prevent similar incidents. For more on the sinkhole incident, read here. Arsenal edge Newcastle 3-2 as Dowman shines off the bench Arsenal secured their second win in a row during their pre-season tour of Asia with a 3-2 victory over Newcastle at the National Stadium in Singapore. Coming off a narrow 1-0 win against AC Milan, Arsenal once again showed determination, especially as they had to come from behind, and later, defend their lead. Newcastle took an early lead just six minutes into the match when their new £55 million signing, Anthony Elanga, scored with a shot that deflected twice before bouncing in off the post. It was Newcastle's first meaningful attack and gave them the early advantage. Arsenal responded well, with Mikel Merino levelling the score after receiving a smart pass from teammate Kai Havertz, and placing the ball accurately into the corner of the net. Just moments later, they gained the lead when Newcastle's young defender Alex Murphy accidentally turned a low cross from Havertz into his own goal. By halftime, Arsenal had taken control of the match, showing improved teamwork and fluid attacking movements. For more on the Arsenal-Newcastle match in Singapore, read here. Arsenal secured their second win in a row during their pre-season tour of Asia with a 3-2 victory over Newcastle at the National Stadium in Singapore. Coming off a narrow 1-0 win against AC Milan, Arsenal once again showed determination, especially as they had to come from behind, and later, defend their lead. Newcastle took an early lead just six minutes into the match when their new £55 million signing, Anthony Elanga, scored with a shot that deflected twice before bouncing in off the post. It was Newcastle's first meaningful attack and gave them the early advantage. Arsenal responded well, with Mikel Merino levelling the score after receiving a smart pass from teammate Kai Havertz, and placing the ball accurately into the corner of the net. Just moments later, they gained the lead when Newcastle's young defender Alex Murphy accidentally turned a low cross from Havertz into his own goal. By halftime, Arsenal had taken control of the match, showing improved teamwork and fluid attacking movements. For more on the Arsenal-Newcastle match in Singapore, read here. More teen births in 2024, gradual increase from 2022 More teenagers in Singapore are becoming mothers, marking a reversal of a steady decline in teen births in the past 20 years, according to the Report on Registration of Births and Deaths 2024 released by the Immigration and Checkpoints Authority. In 2024, 244 babies were born to teens aged 19 or younger, up 7 per cent from 228 in 2023. There were 218 teen births in 2022. The Health Ministry also noted that in the past five years, the average age of pregnant teens was 18. Ms Melisa Wong, executive director at Babes Pregnancy Crisis Support, cited multiple factors behind the rise. She said that during the Covid-19 pandemic, many teens felt isolated or struggled with other negative emotions, and some may have engaged in unprotected sex to seek connection or to cope with whatever they were going through. Ms Wong added that while teens are exploring relationships at younger age, some may not use contraceptives for various reasons. She also pointed out that part of the increase in teen births may also be due to a decline in abortions. For more on Singapore's teen pregnancy stats, read here. More teenagers in Singapore are becoming mothers, marking a reversal of a steady decline in teen births in the past 20 years, according to the Report on Registration of Births and Deaths 2024 released by the Immigration and Checkpoints Authority. In 2024, 244 babies were born to teens aged 19 or younger, up 7 per cent from 228 in 2023. There were 218 teen births in 2022. The Health Ministry also noted that in the past five years, the average age of pregnant teens was 18. Ms Melisa Wong, executive director at Babes Pregnancy Crisis Support, cited multiple factors behind the rise. She said that during the Covid-19 pandemic, many teens felt isolated or struggled with other negative emotions, and some may have engaged in unprotected sex to seek connection or to cope with whatever they were going through. Ms Wong added that while teens are exploring relationships at younger age, some may not use contraceptives for various reasons. She also pointed out that part of the increase in teen births may also be due to a decline in abortions. For more on Singapore's teen pregnancy stats, read here. SM Lee: Electing more opposition MPs to check Govt is 'wrong direction' Senior Minister Lee Hsien Loong acknowledged on 26 July that the opposition is now a permanent feature of Singapore politics. He said the growing number of opposition Members of Parliament (MP) reflects a growing public desire for alternative voices in Parliament, a sentiment he described as "quite natural" and "quite understandable." Despite the rise in opposition presence, the ruling People's Action Party (PAP) must continue to perform well and earn voter support to ensure the country's continued success, he said at a National Day dinner in Serangoon. Following the 2025 General Election, the 15th Parliament will have 12 opposition MPs, including two Non-Constituency MPs – the same number as in the 2020 General Election. SM Lee stated, "The opposition is here to stay in Singapore politics. But in order for Singapore to keep on doing well, the Government has to continue to hold its own, and to win votes and to win seats in elections." If the ruling party weakens, it could become more difficult to form teams, govern well, and garner support for policies, he warned. He cautioned that this shift could lower the quality of governance and jeopardise Singapore's future. SM Lee said, "You can elect more opposition MPs to check the Government... but once you are set on that path, you are heading in the wrong direction." SM Lee called for striking the right balance between having stronger alternative voices in government, and supporting and electing an effective government that can make tough, long-term decisions in the nation's interest. He stressed that the country needs a capable government to maintain high standards and navigate challenges, especially given global uncertainties. SM Lee concluded by saying he was heartened that Singaporeans recognised the importance of strong leadership and had given the PAP a firm mandate in the May election, where it received 65.57 per cent of the popular vote – up from 61.24 per cent in 2020. For more on SM Lee's National Day dinner remarks, read here. Senior Minister Lee Hsien Loong acknowledged on 26 July that the opposition is now a permanent feature of Singapore politics. He said the growing number of opposition Members of Parliament (MP) reflects a growing public desire for alternative voices in Parliament, a sentiment he described as "quite natural" and "quite understandable." Despite the rise in opposition presence, the ruling People's Action Party (PAP) must continue to perform well and earn voter support to ensure the country's continued success, he said at a National Day dinner in Serangoon. Following the 2025 General Election, the 15th Parliament will have 12 opposition MPs, including two Non-Constituency MPs – the same number as in the 2020 General Election. SM Lee stated, "The opposition is here to stay in Singapore politics. But in order for Singapore to keep on doing well, the Government has to continue to hold its own, and to win votes and to win seats in elections." If the ruling party weakens, it could become more difficult to form teams, govern well, and garner support for policies, he warned. He cautioned that this shift could lower the quality of governance and jeopardise Singapore's future. SM Lee said, "You can elect more opposition MPs to check the Government... but once you are set on that path, you are heading in the wrong direction." SM Lee called for striking the right balance between having stronger alternative voices in government, and supporting and electing an effective government that can make tough, long-term decisions in the nation's interest. He stressed that the country needs a capable government to maintain high standards and navigate challenges, especially given global uncertainties. SM Lee concluded by saying he was heartened that Singaporeans recognised the importance of strong leadership and had given the PAP a firm mandate in the May election, where it received 65.57 per cent of the popular vote – up from 61.24 per cent in 2020. For more on SM Lee's National Day dinner remarks, read here.
CNBC
19 minutes ago
- CNBC
U.S. trade deal offers initial relief but leaves Europe on the backfoot
After an initial sigh of relief at the U.S. and European Union avoiding further escalation by striking a trade agreement, concerns have grown that the framework deal is "unbalanced" and leaves Europe on the backfoot. The two trading partners on Sunday announced an agreement that includes a 15% tariff rate on most EU goods to the U.S. Some goods like aircraft components and certain chemicals are not set to be hit by tariffs, while autos will see duties reduced to the 15% rate. The agreement also includes provisions for the EU purchasing U.S. energy and increasing its investments in the country. The agreement halves the 30% tariff rate U.S. President Donald Trump had threatened the EU with and avoids any further escalation through for example countermeasures. Yet analysts and economists remain cautious as to the impact on both sides as negotiations are still set to take place. "It's a climb down from a much worse place," Cailin Birch, global economist at The Economist Intelligence Unit, told CNBC's "Europe Early Edition" on Monday. However, she noted, "a 15% tariff is still a big escalation from where we were pre-Trump 2.0." Birch also pointed out that a lot of uncertainty remains, with details about the steel and pharmaceutical sector still being unclear. European leaders struck similar notes overnight, with German Chancellor Friedrich Merz saying that while the EU was able to protect its core interests, he would have welcomed further easing of transatlantic trade. France's minister for Europe, Benjamin Haddad, meanwhile said in a Google-translated social media post that while the deal would bring "temporary stability" to some sectors, it is "unbalanced" overall. Holger Schmieding, chief economist at Berenberg, warned that while the "crippling uncertainty" was over, the damage for Europe is more frontloaded in comparison to the long-term impact on the U.S. "The deal is asymmetric. The US gets away with a substantial increase in its tariffs on imports from the EU and has secured further EU concessions to boot. In his apparent zero-sum mentality, Trump can claim that as a "win" for him," he said. As it will take some time for U.S. consumers to feel the impact of tariffs, Trump's supporters may not immediately realize they are being hurt by the president's policies, Schmieding explained. This may encourage Trump to continue to pursue economic policies that are "bad" for the U.S., he added. The Economist Intelligence Unit's Birch meanwhile pointed out that the U.S. also did not get everything it may have wanted from the deal. "Both sides are, are kind of set back a bit from this deal," she said. "The U.S. didn't make any headway on a lot of issues that have in recent history been critical to their trade approach to the EU. So agricultural standards, the tech industry regulating standard that has been a big bugbear, there was no real mention of those standards whatsoever," Birch explained, acknowledging that the deal is not yet done.
Newsweek
21 minutes ago
- Newsweek
Global Markets Welcome US-EU Trade Deal
Based on facts, either observed and verified firsthand by the reporter, or reported and verified from knowledgeable sources. Newsweek AI is in beta. Translations may contain inaccuracies—please refer to the original content. Financial markets around the world welcomed a framework trade agreement on Monday between the United States and the European Union with a 15 percent U.S. tariff on most EU goods and billions of dollars of European investment. U.S. President Donald Trump and European Commission President Ursula von der Leyen announced the agreement on Sunday at Trump's luxury golf course in Scotland following months of difficult negotiations. Why It Matters The deal averts a devastating trade war between the two economies, which represent the world's largest trade volume, encompassing hundreds of millions of people and trillions of dollars in commerce. Trump had this month threatened to impose a 30 percent tariff on goods from the E.U., which would have meant American consumers facing higher prices on everything from French cheese to German electronics and Spanish pharmaceuticals. The EU had prepared retaliatory tariffs on hundreds of American products, including beef, auto parts, beer and Boeing airplanes, which could have sent shock waves through global economies. President Donald Trump and European Commission President Ursula von der Leyen after reaching a trade deal between the U.S. and the EU at the Trump Turnberry golf course in Turnberry, Scotland, on July 27. President Donald Trump and European Commission President Ursula von der Leyen after reaching a trade deal between the U.S. and the EU at the Trump Turnberry golf course in Turnberry, Scotland, on July 27. Jacquelyn Martin/AP What To Know The deal provides clarity for companies after months of uncertainty, and global markets breathed a sigh of relief as they opened on Monday, with stocks rising and the euro firmer. S&P 500 futures rose 0.4 percent, and the Nasdaq futures gained 0.5 percent while the euro firmed against the dollar, sterling and yen. European futures surged almost 1 percent. Under the deal, the EU seeks to invest some $600 billion in the U.S. and ramp up its purchases of U.S. military equipment and buy $750 billion worth of U.S. energy. "I think this is the biggest deal ever made," Trump told reporters in Scotland on Sunday. Von der Leyen described Trump as a tough negotiator. She told reporters that the 15 percent tariff, which applied "across the board," was "the best we could get." In Asia, MSCI's broadest index of Asia-Pacific shares outside Japan was up 0.27 percent early on Monday, just shy of the almost four-year high it touched last week. Japan's Nikkei index fell 0.8 percent after hitting a one-year high last week when Japan struck its own trade deal with the U.S., which also included a 15 percent U.S. tariff on Japanese goods. China's blue-chip stocks rose 0.3 percent on Monday morning, and Hong Kong's Hang Seng index put on 0.75 percent. The Australian dollar, often seen as a proxy for risk appetite, was at $0.657 to the U.S. dollar, near an eight-month high set last week. What People Are Saying European Commission President Ursula Von der Leyen told reporters: "We should not forget where we would have been on the first of August. We would have been at 30 percent, and it would have been much more difficult to get down now to the 15 percent. Fifteen percent is certainly a challenge for some, but we should not forget that it keeps us the access to the American market, and what we are also doing intensively is diversifying to other regions of the world." Prashant Newnaha, a senior Asia-Pacific rates strategist at TD Securities, told Reuters: "A 15 percent tariff on European goods, forced purchases of U.S. energy and military equipment and zero tariff retaliation by Europe, that's not negotiation, that's the art of the deal. A big win for the U.S." Marc Velan, the head of investments at Lucerne Asset Management in Singapore, told Reuters: "A major tail-risk has now been defused. … Markets are interpreting this as a sign of stability and predictability returning to trade policy." What Happens Next Trade negotiators from the U.S. and China—the world's two largest economies—are due to meet in Stockholm on Monday. China is facing an August 12 deadline to reach an agreement with the Trump administration. Many other countries are racing to finalize deals before an August 1 deadline.
