Tesla Delivers 358,023 Vehicles In Q1, Missing Wall Street Expectations For Second Consecutive Quarter

Tesla reported a disappointing first quarter, delivering 358,023 vehicles worldwide, falling short of Wall Street expectations of about 372,000, according to Bloomberg-compiled estimates and the company’s own release.

The miss marks Tesla’s second consecutive quarter below forecasts, underscoring continued pressure on its core automotive business as it navigates slowing electric-vehicle demand and a more competitive global market.

Despite the shortfall, deliveries were still up 6.3% year over year, benefiting from an easier comparison period when production of the Model Y was temporarily paused across multiple factories and the company faced consumer backlash tied to CEO Elon Musk. Even so, the results highlight the growing challenges Tesla faces in sustaining growth in its main revenue-generating segment, even as investor focus has increasingly shifted toward its longer-term bets on artificial intelligence, autonomous driving, and robotics.

As Bloomberg noted this week, a slower pace of growth may persist. Demand for EVs is cooling globally, US buyers no longer benefit from federal tax credits, and Tesla’s lineup is narrowing as Models S and X are phased out, all while competition intensifies.

“If they can show that there’s stability in the numbers without the tax credit — and they can, at least with the delivery number — I think that that would be a win,” said Gene Munster.

Notably, just days before reporting, Tesla had circulated a company-compiled consensus estimate suggesting deliveries of around 365,645 vehicles for the quarter.

That figure was based on forecasts from a wide range of sell-side firms, including Daiwa, Deutsche Bank, Cowen, Canaccord, Baird, Wolfe, Exane, Goldman Sachs, RBC, Evercore ISI, Barclays, Mizuho, Bank of America, Wells Fargo, Morgan Stanley, Truist, UBS, Jefferies, JPMorgan, Needham, HSBC, Cantor Fitzgerald, and William Blair.

At the time, Tesla emphasized that it does not endorse analysts’ projections, noting that the figures represent aggregated estimates rather than company guidance, with only prior quarters reflecting actual reported results.

Elon Musk said in a post on X on Wednesday that orders for the Model S and Model X have effectively ended, though some remaining inventory is still available. He added that there will be an official event to mark the close of the era, noting that he has a deep appreciation for those vehicles.

 “We will have an official ceremony to mark the ending of an era. I love those cars,” Elon Musk said at the time. 

Tyler Durden Thu, 04/02/2026 - 09:35

Globalstar Soars On Amazon Buyout Report Amid Satellite Constellation Race

Globalstar shares surged 12% in premarket trading in New York...

...marking their biggest jump in nearly five months, after the Financial Times reported overnight that Amazon is in talks to acquire the satellite operator, a move that would certainly intensify the race to build satellite constellations. 

The FT cited people familiar with the Amazon-Globalstar talks and said both sides are still negotiating over "some of the complexities," including the fact that Apple owns a 20% stake in the satellite communications company, which operates 24 satellites in low Earth orbit, arranged in a Walker-24 configuration, and sells services for emergency messaging, asset tracking, remote voice/data links, and IoT connectivity in places where cell coverage is weak or nonexistent.

Globalstar powers Apple's emergency satellite feature on iPhones, but that system is far more limited than the high-speed broadband network offered by SpaceX's Starlink.

Amazon has deployed around 200 internet satellites into orbit as part of its Leo program, formerly called Project Kuiper. This is dwarfed by the more than 10,000 active satellites operated by Starlink, which provides high-speed internet to more than 10 million customers worldwide.

The rationale for Amazon buying Globalstar's older, higher-orbit satellite constellation was not immediately explained in the FT report or by its sources familiar with the deal talks. 

But our view is that a potential buyout of Globalstar could give Amazon a faster path to more infrastructure, customers, and operational know-how to scale its Leo program and become a real competitor to Starlink, which is years ahead of any competition and even nation-states. 

Tyler Durden Thu, 04/02/2026 - 09:15

Democrats Ask Judge To Block Parts Of Trump's Election Order

Authored by Kimberley Hayek and Matthew Vadum via The Epoch Times,

Democrats asked a federal judge Wednesday to block parts of President Donald Trump’s executive order on federal elections.

The lawsuit challenges Trump’s directive, signed a day earlier, that will create a list of eligible voters in every state and prohibit the U.S. Postal Service (USPS) from sending absentee ballots to those not included on the list. The order, titled “Ensuring Citizenship Verification and Integrity in Federal Elections,” directs the Department of Homeland Security and Social Security Administration to conduct voter information collection.

Trump said the executive order was needed because “the cheating on mail-in voting is legendary. It’s horrible what has been going on.”

“The right to vote in Federal elections is reserved exclusively for citizens of the United States under the Constitution and Federal law,” the order reads. “The Federal Government has an unavoidable duty under Article II of the Constitution of the United States to enforce Federal law, which includes preventing violations of Federal criminal law and maintaining public confidence in election outcomes.”

Trump signed the order after Congress recently failed to pass the SAVE America Act, which would have imposed voter ID and election integrity requirements. Administration officials described the order as a necessary step to restore public confidence ahead of the midterm elections in November.

White House staff secretary Will Scharf said the provisions in the order would prevent past problems from being repeated.

“We believe, combined, the measures in this order will help secure elections in the future and ensure the many abuses of our elections in the past are not repeated in future elections,” Scharf said.

Commerce Secretary Howard Lutnick echoed the goal.

“The fundamentals of our democracy are built on voter integrity,” he said during a signing ceremony.

The order reiterates that only U.S. citizens are eligible to vote by mail, and that to enforce the relevant federal statutes, lists of voters are to be verified by the Department of Homeland Security in coordination with the Social Security Administration, “consistent with applicable law, including but not limited to the Privacy Act of 1974.”

The order directs USPS to send ballots only to verified individuals included in the lists, with unique bar codes applied to each envelope—one per voter—to facilitate tracking and audits.

The U.S. attorney general and the heads of various executive departments and agencies were directed to take steps to deter and address noncompliance with federal law by taking steps such as withholding federal funds from noncompliant state and local governments. Evidence that state or local election officials or other individuals of entities have violated existing federal laws is to be referred to the Department of Justice for investigation, the order said.

The Democratic Party campaign organizations that filed the lawsuit contend the order exceeds presidential authority and disrupts state election processes. They seek an immediate injunction to halt enforcement of parts of the order.

The legal complaint states that Trump “has tried again and again to rewrite election rules for his own perceived partisan advantage,” and that he wants to ban mail voting, “a favorite scapegoat for his 2020 electoral defeat,” and impose other restrictions on voting.

The executive order “dramatically restricts the ability of Americans to vote by mail, impinging on traditional state authority,” largely by requiring the USPS “to take actions unrelated to the agency’s statutory mandate that run roughshod over established protections for voters who rely on the mail to exercise their fundamental right to vote.”

This instruction violates the Administrative Procedure Act and the Privacy Act, which require agencies to follow existing law and forbid the use of federal records unless previously authorized under federal law, the complaint says.

The order would unlawfully take steps to create a “national citizenship registry” and require that “state citizenship lists” be shared with states within 60 days of each federal election, the complaint says.

The plaintiffs in this case—the Democratic Senatorial Campaign Committee, the Democratic Congressional Campaign Committee, the Democratic National Committee, the Democratic Governors Association, and the Democratic leaders of the U.S. House and Senate—urged the U.S. District Court in the nation’s capital to act quickly because federal elections are soon approaching.

The plaintiffs asked the court to block the sections of the executive order that mandate the creation of state citizenship lists and require the USPS to establish uniform standards for mail-in or absentee ballots. They also asked the court to block the parts of the order requiring the Department of Homeland Security, the Social Security Administration, and the USPS to coordinate with the Department of Commerce.

Democratic leaders reacted sharply to the executive order. Sen. Alex Padilla (D-Calif.) called the order “a blatant, unconstitutional abuse of power.”

California Gov. Gavin Newsom, a Democrat, vowed to sue over the order.

“The President wants to limit which Americans can participate in our democracy,” Newsom’s press office wrote on Tuesday on X. “California will see him in court.”

When signing the order, Trump said he anticipated legal challenges.

“I don’t know how it could be challenged. It could probably be challenged if you find a rogue judge,” he said. “We will appeal if it is, but I don’t see how anyone else could challenge it.”

Tyler Durden Thu, 04/02/2026 - 08:46

'No Hire, No Fire' Economy Continues As Job Cuts Tumble, Claims Near Record Lows

U.S.-based employers announced 60,620 job cuts in March, up 25% from 48,307 cuts announced in February.

It is down 78% from the 275,240 cuts announced during the same month last year, according to a report released Thursday from global outplacement and executive coaching firm Challenger, Gray & Christmas.

“Removing the wave of federal layoffs announced in February and March of last year, job cut announcements in 2026 are closely following the pattern of 2025. Last year it was Government, Retail, and Technology. This year, it’s Technology, Transportation, and Healthcare,” said Andy Challenger, workplace expert and chief revenue officer for Challenger, Gray & Christmas.

And affirming this relatively low job cuts level, the number of American filing for jobless benefits for the first time tumbled back to just 202k (from 211k) continuing to hover near record lows...

Michigan and Georgia saw the biggest declines in initial jobless claims while Texas and Oregon saw the biggest increases...

At the sector level, Technology dominated, announcing 18,720 job cuts in March for a total of 52,050 in 2026. That is an increase of 40% from the 37,097 cuts in this sector announced in the same period last year. It is the highest year-to-date total for the sector since 2023 when 102,391 Technology cuts were recorded.

More layoffs are likely to come from Technology companies in 2026. Last month’s total was made up primarily on a workforce reduction at Dell Inc., according to their latest annual filing. Oracle reportedly began layoffs late last month, though the company has not released a total figure. Meta, meanwhile, is undergoing layoffs in its Reality Labs division as it focuses on pivoting to artificial intelligence.

“Companies are shifting budgets toward AI investments at the expense of jobs. The actual replacing of roles can be seen in Technology companies, where AI can replace coding functions. Other industries are testing the limits of this new technology, and while it can’t replace jobs completely, it is costing jobs,” said Challenger.

“One thing that is clear is that AI is changing work and the workforce. Workers will need to be more strategic as they lead AI-powered agents that handle increasingly complex tasks. Human workers will need strong decision making and judgment skills in the age of AI,” he added.

Continuing jobless claims ticked up modestly from 1.816mm to 1.841mm Americans, but remains well below the 1.9mm Maginot Line...

The 'no hire, no fire' economy continues to chug along with yesterday's Manufacturing PMIs and Retail Sales signaling the economic pain so many expected has been delayed... for now.

Tyler Durden Thu, 04/02/2026 - 08:35

Futures, Bonds Tumble, Oil Soars After Trump Dashes Hopes For Early End To Iran War

Global risk assets, including US equity futures and global markets, as well as Treasuries and precious metals, tumbled as oil soared with Brent hitting $110 this morning after Trump's late Wednesday speech refused to pivot and dashed hopes that the Hormuz Strait would reopen soon and the war in the Middle East is nearing a swift resolution. As of 8:00am ET, S&P 500 futures dropped 1.7%, reversing yesterday's short squeeze as investors refuse to add to risk positions ahead of the long weekend when many speculate a ground invasion of Iran may begin. Nasdaq 100 contracts slumped 2% amid a premarket selloff in big tech stocks and chipmakers. Tech is getting hit hard with Mag7 and Semis lagging while Cyclicals ex-Energy are underperforming Defensives with both Staples and Healthcare down in absolute terms pointing to broad-based de-risking into the holiday weekend. Energy should have a good day as investors re-gross in the sector and Integrateds are trading up ~3% pre-mkt. Brent soared 8.2% to more than $109 a barrel after Trump pledged more aggressive action against Iran and offered no concrete plans to reopen the Strait of Hormuz. European diesel futures hit $200 a barrel. Bonds tumbled as expectations that oil prices will stay higher for longer prompted traders to initiate fresh bets on tighter monetary policy. The dollar advance the most in a week while gold snapped a four-day streak of gains. US economic data calendar includes March Challenger job cuts (7:30am New York time), February trade balance and weekly jobless claims (8:30am). Fed speaker slate includes Logan (10:15am) and Bowman (12:45pm)

In premarket trading,  Mag 7 stocks are all sharply lower (Nvidia -2.7%, Tesla -2.4%, Meta -2.4%, Alphabet -2.3%, Amazon -2.2%, Microsoft -1.3%, Apple -1%

• Oil and gas companies rebound after Trump’s prime-time address. Movers include Chevron (CVX) +2.9% and Exxon (XOM) +3.2%.
• Travel, mining and semiconductor stocks fall as the conflict and higher energy prices weigh on investor sentiment. Among movers: United Airlines (UAL) -4%, Newmont (NEM) -4.9%.
• Globalstar (GSAT) rises 15% after a Financial Times report that Amazon.com Inc. is in talks to acquire the satellite provider.
• Immunovant (IMVT) falls 7% after the drug developer said two late-stage studies of its experimental treatment for thyroid eye disease failed to meet their main goals.
• Penguin Solutions (PENG) rises 9% after the semiconductor device company raised its full-year forecast for adjusted earnings.
• Wingstop (WING) rises 1% as Piper Sandler and Raymond James upgrade the restaurant operator’s stock following a steep selloff.

In other corporate news, Amazon is said to be in talks to acquire satellite provider Globalstar, according to the FT, in a potential deal to bolster Amazon’s effort to build out its low-orbit satellite network to compete with SpaceX’s Starlink. In AI, Alibaba released its third proprietary AI model, Qwen3.6-Plus, in as many days to focus on profiting off its flagship AI services. 

Global risk sentiment was crushed after Trump talked again about leaving Iran quickly, but warned of escalation as the US continues to amass military assets in the Middle East. Understandably, global headlines continue to be dominated by the Middle East conflict, geopolitics, oil and the Strait of Hormuz. Australia is weighing using powers amid a possible gas shortfall, oil inventory stockpiles are dropping and the UAE has called on the UN to approve measures, including force, to reopen the Strait of Hormuz. 

“The speech didn’t bring forward an off-ramp, it pushed the timeline out and reintroduced escalation,” said Billy Leung, an investment strategist at Global X Management. While it is not a full big bear event, “the direction of travel has clearly worsened, and that’s what markets are reacting to."

The US stock market has settled into a predictable weekly pattern since the Middle East war began. It starts the week on a strong note, drifts sideways toward the middle of the week and then collapses every Thursday and Friday, reflecting likely de-risking into a “trading blackout with unknowable risks.”  

“This market just isn’t manageable,” said Laurent Lamagnere, deputy chief executive officer at Alphavalue in Paris. “We’re really concerned about second-round effects, not only on oil prices but also on oil supply, for example, airlines trimming destinations with harsh consequences for tourism.”

While markets are shut Friday, key economic data is still scheduled to be released. Bloomberg Economics expect March nonfarm payrolls rose 80k, reflecting a rebound in strike-affected payrolls, sluggish private-sector hiring and a continued drag from federal payrolls. Recent changes to the BLS’ birth-death model of business formations may continue to inject volatility into the monthly figures. As a net exporter of light, sweet crude, geopolitical risk is less concerning to US-levered energy operators relative to international peers and WTI oil-price inflation will likely be transitory, according to Bloomberg economists. 

Elsewhere, the Trump administration is said to be close to announcing tariffs on drugmakers that haven’t struck deals guaranteeing low prices in the US. The US is set to roll out tiered tariffs on steel and aluminum products to simplify a process that has dogged American companies for months.

A KKR private credit fund for retail investors curbed redemptions after receiving an increase in such requests, according to a shareholder letter. Private equity sales have fallen by more than a third this year, with buyout firms selling deals valued at about $103 billion in the first quarter, roughly 36% lower than the same period a year ago. The SEC and Elon Musk said they are heading toward a trial over the regulator’s allegations that the billionaire cheated Twitter investors before his 2022 buyout.

Europe's Stoxx 600 is down 1.2% with technology and mining stocks leading the decliners, while energy and food and beverage shares are the biggest outperformers. Here are the biggest movers Thursday:

• European oil stocks gain after President Donald Trump dented hopes of a swift end to the war in Iran, sending crude prices higher. BP and Galp also benefited from analyst upgrades. Mining shares underperformed as metals prices eased
• SSE shares gain as much as 0.7% after the utility firm upgraded the lower end of its guidance range for adjusted earnings per share this year
• Fortum gains as much as 4% after Citi upgrades the Finnish utility to neutral and says its 2026 earnings may positively surprise the market on the back of higher spot power prices
• Amplifon falls as much as 4% after the stock was downgraded to neutral from outperform at BNP Paribas, which called the Italian company’s plan to acquire GN Store Nord’s hearing-aid business a “discordant deal”
• Mutares shares fell as much as 13%, the most in four months, on Germany’s Xetra exchange after the private equity firm sold shares via a private placement

Asian stocks fell after President Donald Trump’s threat to launch fresh attacks on Iran disappointed investors who were hoping for clearer signs of an end to the war. The MSCI Asia Pacific Index dropped as much as 2.6%, reversing small gains prior to Trump’s comments. South Korea, Japan and Taiwan led losses in the region. The Philippines market was closed for a holiday.  The sudden downturn in sentiment came after Trump said that military operations could escalate over the next two to three weeks. Although he said the war in Iran was “very close” to completion, the US would hit electric plants in the country if no deal was reached, dampening hopes for a quick resolution to the conflict. 

In FX, the Bloomberg Dollar Spot Index gains 0.5%. The Swedish krona is the weakest of the G-10 currencies, falling 1% against the greenback. The pound and Aussie dollar also underperform. Precious metals sink with spot silver down over 5%. Bitcoin falls 2.6%.

In rates, Treasury futures are off session lows with yields higher by 4bp to 6bp across the curve. Most losses occurred during Asia session following Trump’s prime-time address pledging more aggressive action against Iran and lacking a plan to reopen the Strait of Hormuz. 10-year Treasury yield near 4.36% is about 4bp cheaper on the day after peaking at 4.384%. Curve spreads remain within a basis point of Wednesday’s close. European government bonds fall as traders boost bets on rate hikes by the Bank of England and European Central Bank this year. UK and German 10-year yields rise 7 bps and 4 bps respectively. Gilts underperform, with 2-year yields are cheaper by around 10bp on the day. IG dollar issuance slate empty so far. Three offerings were priced Wednesday, with borrowers paying about 4bps in new issue concessions on deals that were 4.1 times oversubscribed. Dealers project about $115b of April supply vs about $105b a year earlier and about half of March’s $236.5b volume

In commodities, energy prices jump with Brent crude futures for June up around 7% and above $108 a barrel as investors weigh prolonged disruptions to energy flows through the vital Strait of Hormuz. European natural gas futures climb 4.5% while European diesel futures hit $200 a barrel.

US economic data calendar includes March Challenger job cuts (7:30am New York time), February trade balance and weekly jobless claims (8:30am). Fed speaker slate includes Logan (10:15am) and Bowman (12:45pm)

Market Snapshot

• S&P 500 mini -1.6%
• Nasdaq 100 mini -2.0%,
• Russell 2000 mini -2.0%
• Stoxx Europe 600 -1%,
• DAX -1.6%,
• CAC 40 -0.9%
• 10-year Treasury yield +5 basis points at 4.37%
• VIX +2 points at 26.51
• Bloomberg Dollar Index +0.4% at 1217.6,
• euro -0.6% at $1.1524
• WTI crude +7.2% at $107.31/barrel

Top Overnight News

• Oil rose after President Trump’s prime-time address disappointed investors hoping for a quick end to the Iran war. In an address late Wednesday, Trump said he was still seeking a diplomatic agreement to end the conflict and that U.S. military aims would be completed “very shortly.” But he also vowed to hit Iran “extremely hard” in the coming weeks and pummel the country “back to the Stone Ages.” WSJ
• Trump rattled markets and heightened political tensions with an address that offered no clear timeline for ending the Iran war, while pledging more aggressive action over the next two to three weeks. Iran and Israel continued to trade strikes and the US president renewed threats against Iranian electric plants. BBG
• The Trump administration is preparing to impose tariffs of 100% on certain medicines as it pushes drugmakers to manufacture more in the US. The levies – set to be announced as soon as Thursday – would be applied to companies that have not struck deals with the White House. FT
• Congressional Democrats sued to block Trump’s executive order that would prohibit mail-in voting for anyone not on a pre-approved list compiled by the DHS. BBG              
• China’s central bank withdrew cash from its financial system in March for the first time in a year, amid signs of an economic rebound. BBG
• Former BOJ chief economist Toshitaka Sekine said the central bank may raise rates as soon as April, due to the risk of supply shocks. BBG
• Swiss inflation accelerated 0.3% in March, the quickest pace in a year, as the energy supply crunch stoked the cost of heating oil. BBG
• Global private equity sales have fallen by 36% this year, as developments in AI and the war in Iran heap pressure on a subdued exit market. FT
• The US is set to outline a tiered regime for steel and aluminum, maintaining 50% duties on many products but applying lower rates to others. BBG
• Oil’s near-term outlook turned more bullish after Trump’s speech, with June futures rising more than $8.5 a barrel above July as Hormuz disruptions cut about 11 million b/d. Traders expect continued supply strain and higher prices. BBG
• Canadian PM said he spoke with US President Trump this evening to discuss Artemis II and the Middle East conflict.
• US President Trump discussed firing Attorney General Pam Bondi and replacing Bondi with EPA Chief Zeldin, although he has not yet made a decision whether to fire Bondi, according to NYT.
• US Senate may vote on DHS funding bill on Thursday, while the bill would fund DHS without ICE and CBP, according to NBC.

A more detailed look at global markets courtesy of Newsquawk

APAC stocks failed to sustain initial gains after US President Trump's primetime address disappointed those hoping for an immediate de-escalation in the Iran conflict, in which he said they will hit Iran very hard over the next 2-3 weeks and will 'bring Iran back to the stone age, where they belong', while he also threatened to hit Iran's electric plants if there is no deal and could hit their oil. ASX 200 reversed early gains as Trump's remarks soured the broad risk sentiment, and with the declines led by weakness in the tech, mining, materials and resources industries, while the latest trade data from Australia had very little influence on price action. Nikkei 225 wiped out the initial spoils and slumped beneath the 53,000 level as US President Trump's remarks triggered a broad risk-off mood and lifted oil prices. Hang Seng and Shanghai Comp were subdued amid notable weakness in the Hong Kong-listed blue chip tech stocks, and with the mainland also dampened following another paltry liquidity operation by the PBoC.

Top Asian News

• South Korean Vice Finance Minister said they are closely monitoring FX market as speculative trading is being seen; to respond sternly to excessive herd-like behaviour FX markets.
• Magnitude 7.8 earthquake strikes 119km WNW of Ternate, Indonesia, according to the USGS.
• EMSC announces a tsunami alert after earthquake in Indonesia region.

European bourses (STOXX 600 -1.1%) began the session with decent losses after US President Trump's nationwide address reignited tensions. He said that the mission in Iran will be finished very fast and the US will hit Iran very hard over the next 2–3 weeks, while warning of strikes on electric plants if there is no deal and could also target its oil facilities. Since the start of cash trade, losses have pared back slightly but indices are holding around the -1% mark. European sectors are broadly in the red. Energy is the outperformer while Food, Beverage and Tobacco follow closely behind. Technology sits at the bottom of the pile, after performing well over the past 3 sessions, while Basic Resources also suffers as precious metals slip.

Top European News

• Swiss Inflation Rate YoY (Mar) Y/Y 0.3% vs. Exp. 0.6% (Prev. 0.1%, Low. 0.1%, High. 1.0%); Core 0.4% (prev. 0.4%).
• Swiss Inflation Rate MoM (Mar) M/M 0.2% vs. Exp. 0.5% (Prev. 0.6%, Low. 0.2%, High. 0.9%).

FX

• DXY is stronger this morning, with traders flocking back to the USD after US President Trump’s address dampened hopes of de-escalation with Iran. Overnight, he stated that he will hit Iran very hard over the next two to three weeks, adding that the US could also target Iran’s oil facilities. Trump's rhetoric has seemingly shifted from a focus on the timeline for wind-down to a more aggressive military escalation within that same window. DXY jumped back above the 100 mark, to currently trade at the upper end of a 99.44-100.17 range; recent levels above this include 100.64 (high from 31 Mar).
• Focus for today remains on any geopolitical updates, but that aside, there are a few important domestic data points to keep an eye on. Weekly initial jobless claims (212k expected from 210k) and continuing claims (1.84mln expected from 1.819mln), Revelio’s public labour statistics report, Challenger job cuts (90k expected in March from 48.3k) and international trade data are due. This all precedes the March NFP report on Good Friday, which is expected at 65k.
• G10s are all losing against the stronger USD; Antipodeans underperform, given the risk tone, whilst the Loonie fares a little better than peers, given it does not rely on external energy. GBP also sits right towards the foot of the G10 pile and is underperforming vs the EUR. A Wednesday rally in Gilts and traders believing the BoE may be slower vs the ECB in containing the energy shock may explain the slight underperformance between the two. This also comes after BoE Governor Bailey suggested earlier in the week that markets were getting ahead of themselves by pricing in rate hikes. Cable currently sits at the bottom end of a 1.3195-1.3320 range.
• CHF is also amongst the worst performers against the USD, but is incrementally losing against the EUR. Earlier, a cooler-than-expected (but stronger-than-prior) Swiss inflation report spurred some modest pressure in the Franc, before then reversing soon after. In a bit more detail, headline Y/Y printed at 0.3% (exp. 0.6%, prev. 0.1%); M/M 0.2% (exp. 0.5%). Much of the upside was facilitated by stronger energy prices, leading inflation to the strongest in over a year, and back away from the lower end of the SNB’s 0-2% target. For the time being, this will help alleviate fears at the Bank of bringing back negative interest rates, though policymakers have long reiterated that there is a high bar for such a move.

Central Banks

• ECB's Panetta said leading indicators are pointing towards a slowdown in the economy; tensions in energy markets are a cause for concern not only for the immediate impact, but also on growth. Non-bank financial intermediaries in some sectors show levels of leverage and liquidity which could prove inadequate during periods of acute stress.
• ECB Economic Bulletin Issue 2, 2026: The risks to the growth outlook are tilted to the downside, especially in the near term.
• ECB's Simkus said caution is needed on rates and it is too early to say what is needed at the April meeting.
• BoE DMP (Mar): 1yr ahead CPI expectation 3.5% (prev. 3.00%), 3yr ahead CPI expectation 2.7% (prev. 2.8%).

Fixed Income

• A bearish start to the day as US President Trump's primetime address reignited geopolitical tensions (recap on the feed, 07:35BST), lifting energy and in turn fanning the inflationary flame.
• Specifically, USTs dropped from 111-02 pre-Trump to a 110-24 knee-jerk low and have since hit a 110-16 trough. Lifting yields across the curve, 10yr to a 4.38% peak, though shy of Monday's 4.42% WTD peak. Similarly, the 2yr to a 3.86% peak, but shy of Monday's 3.89% WTD best. Action that has seen the implied magnitude of near-term tightening tick up by just under a bp worth. Geopols aside, Challenge Jobs, claims and import/export data; Fed speak is also due.
• EGBs and Gilts, in line with the above bearishness, Bunds hit a 125.19 trough with losses of 51 ticks at most, while Gilts got to a 87.85 low, with downside of 75 ticks. Since, they have bounced by around 20 ticks from extremes, but remain firmly in the red.
• The European docket is a light one; action will continue to be dictated by energy movements and associated inflation/central bank expectations from it. For the ECB and BoE, markets continue to price in 60bps and 41bps of 2026 tightening, respectively. Despite the recent inflation print from the EZ not yet showing second round effects, and despite Bailey pushing back on market pricing this week.
• France sold EUR 12.5bln vs exp. EUR 10.5-12.5bln 3.00% 2034, 3.50% 2035, 0.50% 2044 and 2.00% 2048 OAT.
• Japan sold JPY 1.97tln 10yr JGBs, b/c 2.57x (prev. 3.30x), average yield 2.350% (prev. 2.122%).

Commodities

• In geopolitics, President Trump’s address largely repeated recent messaging on the Middle East, offering little fresh clarity on a path to de-escalation. That being said, Trump's rhetoric has seemingly shifted from a focus on the timeline for wind-down to a more aggressive military escalation within that same window. On March 31st, Trump claimed the US could "leave" Iran within "two or three weeks" because the mission to prevent a nuclear weapon had been "attained." He framed the upcoming period as "finishing the job," asserting that the US would exit regardless of whether a formal deal was reached. On April 1st, in his televised address, he paired the same timeframe with a promise of violence, stating the US would hit Iran "extremely hard" over the next two to three weeks and bring them back to the "Stone Ages".
• WTI and Brent futures have surged after US President Trump’s televised address, which dampened hopes of a near-term end to the conflict. Brent Jun’26 currently eyes USD 109/bbl to the upside (USD 99.08-108.97/bbl range) while WTI May’26 sits around USD 107/bbl (USD 97.50-107.38/bbl range). Meanwhile, European diesel futures hit USD 200/bbl as the Iranian war curbs supply. Dutch TTF is +3.5% at the time of writing, but off its best levels, with some citing forecasts of milder weather as a drag on prices despite the ongoing geopolitics. Analysts at ING suggest that “even if shipping through the Strait of Hormuz resumes, a return to pre‑war market conditions is likely to be slow, as upstream production restarts, logistics normalisation and inventory rebuilding will take time.”
• Spot gold reversed an earlier gain after Trump’s speech offered little clarity on how the war might end. The bullion entered the European day around USD 4,600/oz after trading above USD 4,800/oz earlier in the APAC session. Spot silver briefly dipped under USD 70/oz before recovering to around USD 71.50/oz, but well off its earlier high of USD 76.42/oz.
• Industrial metals also fell after Trump repeated that the US could strike Iran “extremely hard” and target its power plants if talks fail. 3M LME copper fell under USD 12,500/t but found support at USD 12,250/t. Elsewhere, the WSJ reported Trump is expected to overhaul US steel and aluminium tariffs, with finished goods made from imported metals potentially facing a 25% duty, while the administration is also preparing tariffs on drugmakers, possibly from Thursday, that have not agreed to guarantee low US prices.
• South Korea's Blue House denies the report regarding considering fees on passing through Hormuz. This comes following earlier reports that South Korea is reportedly considering whether to pay Iran to bring in Middle Eastern oil and gas.
• The 8 members of the OPEC+ group still plan to hold their virtual meeting on the 5th of April, according to Kpler's Bakr.
• China has reportedly asked private refiners to maintain fuel output at all costs.
• Russia imposes ban on gasoline exports for producers until the end of July, IFX reported.
• Kpler's Bakr posted "At this point and under the most optimistic scenario Hormuz will remain shut till May. Now brace for impact."
• Iraq's oil ministry said it has began exporting oil through Syria.
• Reconstructing Iran's Khuzestan steel factory will take between 6-12 months, Mizan news reported.
• New Zealand associate energy minister said will enter into an agreement to support an additional 90mln litres of storage for diesel at Marsden Point in Northland.
• Colonial pipeline is reportedly down due to damage in Georgia.
• Venezuela's oil exports in March surpassed 1mln bpd for the first time n six months, according to shipping data.

Trade/tariffs

• US President Trump's administration is readying to impose tariffs of 100% on certain medicines as it pushes pharmaceutical companies to manufacture more in the US, according to FT.
• US President Trump is expected to overhaul steel and aluminium tariffs, while altered rates on finished products would simplify compliance, but could increase costs for many imports, according to WSJ. Plans to alter tariff duties to 25% on the entire value of finished products. 50% tariff will remain for commodity-grade steel and aluminium products. Executive order could come as early as this week.
• China's MOFCOM said they are to enhance communications with the US on trade.
• The EU is discussing setting up digital tech dialogue with the US and reiterates that digital legislation is not up for negotiation.

Geopolitics

• US President Trump said in his primetime address that Iran's navy is gone and its air force is in ruins, while he noted most of Iran’s leaders are dead, and its ability to launch missiles and drones has been curtailed. Trump stated they will never allow Iran to have a nuclear weapon and that US strategic objectives are nearing completion, as well as stated that the mission in Iran will be finished very fast and the US will hit Iran very hard over the next 2–3 weeks, and will bring Iran back to the stone ages, where they belong. Furthermore, he said countries reliant on Hormuz oil should take the lead and that Hormuz will reopen once the conflict ends, while he warned the US will strike Iran’s electric plants if there is no deal and could also target its oil facilities.
• US President Trump said strategic objectives are nearing completion, must complete mission in Iran and will finish the job very fast, adds Iran can never be trusted with nuclear weapons. US has plenty of gas. Countries that get oil via Hormuz must cherish it and must take the lead and suggests countries buy oil from the US. Hormuz will naturally open when conflict is over.
• US intelligence agencies assessed that Tehran is not currently willing to engage in substantial negotiations to end the conflict, while US intelligence agencies believe Iran's government thinks Trump is not serious about negotiations, according to NYT.
• US VP Vance is engaging with Pakistan mediators over Iran deal and passed a message to Iran via Pakistan on Tuesday, while US and Iran are discussing ceasefire for Hormuz reopening and Vance warned of increasing pressure without a deal, according to ABC.
• UAE reportedly preparing to help the US fight Iran and open the Strait of Hormuz by force after being repeatedly struck by Iranian drones and missiles since the war began, NY Post reported citing Arab officials.
• Senior Iran source said Tehran demands a guaranteed ceasefire to end war permanently and no talks have taken place via mediators for a temporary ceasefire, while intermediaries contacted Iran on Tuesday and discussions were about continuing diplomacy.
• Iran's military spokesperson said bigger, wider and more damaging attacks are coming soon, Tasnim reported.
• Iranian President Pezeshkian said attacking Iran’s vital infrastructure shows an inability to achieve a sustainable solution, IRNA reported.
• Faytuks Network posted on X citing Fox News that "Trump’s speech tonight will inform the public that we may require the use of ground troops to round up uranium in Iran" - UNCONFIRMED. This was later deleted.
• Israeli sources say they have not been given the green light from the US yet for Israel to target infrastructure in Lebanon, Al Hadath reported.
• US Embassy in Baghdad has told US citizens to leave Iraq with expectations of Iran-aligned militia to carry out attacks in central Baghdad within 24-48 hours.
• Iran Supreme Leader's advisor, Kamal Kharazi, was reportedly injured in US-Israeli attack on Tehran.
• Iran's atomic energy agency said US-Israeli attacks against facilities under IAEA supervision are a 'war crime'.
• Reports of strong explosions in proximity to US bases in Kuwait, N12 reported.
• Pakistan foreign ministry spokesperson said there is no confirmation so far of any US delegation arriving for talks.
• Explosion reported in Kuwait; explosions are caused by an attack on American positions, Mehr and Fars News report.

US Event Calendar

• 8:30 am: United States Feb Trade Balance, est. -60.55b, prior -54.5b
• 8:30 am: United States Mar 28 Initial Jobless Claims, est. 212k, prior 210k
• 8:30 am: United States Mar 21 Continuing Claims, est. 1836.5k, prior 1819k
• 10:15 am: United States Fed’s Logan Speaks at Dallas Fed Banking Conference
• 12:45 pm: United States Fed’s Bowman Speaks at Banking Conference (Closed event)

DB's Jim Reid concludes the overnight wrap

After rallying sharply over the previous two sessions, market sentiment has deteriorated overnight after Trump’s much anticipated address last night delivered little to nothing new on potential timelines or conditions for ending hostilities against Iran. The US President claimed that the operation against Iran was “very close” to completion but also said the US “will hit Iran extremely hard over the next 2-3 weeks”. Trump again raised the threat to hit Iran’s power plants if there is no negotiated deal and reiterated the view that shipping via the Strait of Hormuz was other countries’ problem. So while Trump sounded flexible on remaining war aims, for instance claiming that Iran is “no longer a threat”, there was no signal of the US seeking an imminent offramp out of the war.

In response, markets have reversed the continued positive momentum they’d seen yesterday amid rising hopes that an end to the conflict might be coming into view. In oil markets, Brent crude is +6.24% higher at $107.47 this morning, a level last seen on Tuesday, even as it had briefly fallen below $100/bbl yesterday evening just before Trump’s address. Equity futures are losing ground overnight, with S&P 500 futures (-1.25%) more than erasing yesterday’s +0.72% regular session gain, while STOXX 50 futures are down -1.75% after posting their best session in almost a year yesterday. In Asia, equity markets have lost ground, with the KOSPI (-4.23%) standing out as the largest underperformer this morning. The Nikkei (-2.42%), Hang Seng (-1.09%), and S&P/ASX 200 (-1.14%) are also seeing significant declines, though in mainland China the CSI (-0.75%) and the Shanghai Composite (-0.50%) are more stable.

In the rates space, 10yr Treasury yields are +5.5bps higher at 4.37% this morning after Wednesday’s stable session, while in FX, the dollar index (+0.39%) has more than reversed yesterday’s -0.31% decline. Gold (-1.89%) is similarly reversing yesterday’s +1.94% gain.
Prior to the overnight news, the continued rally yesterday appeared to be one of hope more than conviction as investors navigated a dizzying influx of competing headlines. Among those was Trump’s post early yesterday that Iran’s “New Regime President” had asked the US for a ceasefire, which Trump said he would only consider when the Strait of Hormuz is “open, free and clear”. Iran’s foreign ministry later responded, calling the ceasefire claim “false and baseless“. That response arrived amidst an Axios report that the US and Iran were negotiating a ceasefire. Meanwhile, Iran’s President Pezeshkian released an open letter, claiming that Iran harboured no enmity towards the people of America.

Another headline-drawing Trump comment yesterday was that he was strongly considering pulling out of NATO, though he then did not directly raise this topic in his overnight address. We also heard that NATO Secretary General Rutte is due to visit Washington next week. Note that the political bar for formal US withdrawal from NATO is high, as this would require a two thirds majority in the Senate or passing an act of Congress. The role of US allies has been a rising topic in its own right, with news that the UK will today convene virtual talks with some 35 countries not including the US to discuss a plan to restore shipping via the Strait of Hormuz.

In terms of yesterday’s other news, 2yr US Treasury yields (+0.9bps) inched higher as the decline in oil prices was outweighed by solid US data. The March ISM manufacturing came in at 52.7 vs 52.3 expected, with the prices paid component rising to 78.3 (vs 74.0 expected), its highest reading since mid-2022. The US ADP private employment figures for March (+62K vs +40K) were also on the stronger side.
US labour market data will remain in focus with the latest weekly claims today and then the March jobs report on Friday, even as most markets are closed for Good Friday. For Friday’s non-farm payrolls our US economists see headline gains of +50k (vs -92k previous) and private payrolls at +60k (vs -86k), reflecting a return closer to the average pace of job gains over the latter half of 2025. 01

In terms of the details of yesterday’s upbeat market moves, the +0.72% gain for the S&P 500 was again led by tech stocks, as the NASDAQ (+1.16%) and the Mag-7 (+1.37%) powered ahead for a second day. Credit also saw a strong rally, with US HY credit spreads (-16bps after -18bps Tuesday) registering their best two-day run since last May. And European equities saw a sharp surge as investors caught up to the US rally that started on Tuesday, with the STOXX 600 (+2.50%), DAX (+2.73%) and the FTSE 100 (+1.85%) all posting their largest jumps since last April.

European bonds also rallied on the prospect of lower oil prices as well as declining natural gas prices, as front month TTF futures fell by -5.49% to €47.51/MWh, their lowest level since March 10. Yields on 10yr bunds fell -1.8bps to 2.98%, while BTPs (-7.8bps) and OATs (-5.2bps) outperformed amid the risk-on mood. Gilt yields saw an even larger pullback, with the 10yr down -8.6bps as the UK manufacturing PMI for March was revised down from 51.4 to 51.0. That was in contrast to a moderate upward revision to the Euro Area manufacturing PMI (51.6 from 51.4), which showed more resilience to the energy shock.

Yesterday, I published a note looking at what the March PMIs tell us about the impact of the Iran war on the global economy.  While we’ve seen a major inflation and supply shock, this has varied across countries and there are some silver linings. For instance, the behaviour of output prices across the G10 has been more akin to the pre-Covid era than the 2021-22 inflationary period, which may offer some breathing room for central banks concerned about inflationary risks. See the note here.

In data out of Asia this morning, South Korea’s consumer inflation picked up from +2.0% to +2.2% in March, though this is below consensus expectations of +2.3%. So providing some tentative relief to policymakers dealing with the spillover effects of curtailed energy supplies out of the Middle East.

To the day ahead now, we will get further US data, with the February trade balance and latest weekly jobless claims. And while we take a break on Good Friday, the US will release the March jobs report.

Tyler Durden Thu, 04/02/2026 - 08:33

New Bill Opens Door For Killer AI Weapons

Authored by Jon Fleetwood,

A newly introduced U.S. Senate bill would allow the military to deploy autonomous lethal artificial intelligence systems by granting the Secretary of Defense the authority to override its own restrictions.

Senate Bill S.4113—the “AI Guardrails Act of 2026,” introduced March 17, 2026 by U.S. Senator Elissa Slotkin (D-MI)—is being presented as a framework to limit how the Department of Defense uses AI.

But the actual text includes a built-in waiver mechanism that enables those same systems to be approved and used under national security justifications.

This means a Pentagon-approved AI system could independently identify and engage targets, making life-and-death decisions without real-time human input.

There is no language in that waiver clause limiting where the system can be used, whether targets are foreign or domestic.

The bill has been read twice in the Senate and referred to the Senate Armed Services Committee, where it now awaits further consideration.

The waiver raises questions about how often “extraordinary circumstances” will be invoked, who ultimately decides when autonomous lethal force is justified, and what meaningful limits—if any—remain once that authority is exercised.

Waiver Authority Built Into the Core Restriction

The bill prohibits the use of AI for:

• Launching or detonating nuclear weapons

• Domestic monitoring or targeting without legal basis

• Using lethal force through autonomous weapon systems without human oversight

Immediately following that restriction, the bill states:

The Secretary of Defense “may waive the prohibitions… for up to one year” and renew that waiver if “extraordinary circumstances affecting the national security of the United States require the waiver”

How It Works

The decision to authorize autonomous lethal systems is placed with the Secretary of Defense.

• Waivers last up to one year

• Waivers can be renewed

• Congress is notified after issuance

• Notifications may include classified components

The bill requires certification that the system’s error rate does not exceed that of human operators performing comparable functions.

Operational Scope

The waiver applies to:

• Development

• Field deployment

• System modifications

It also covers changes to:

• Mission sets

• Target sets

• Operational environments

• Algorithmic behavior

Each of those changes can trigger continued or expanded authorization under the same waiver structure.

Sponsor Background

The bill was introduced by Sen. Elissa Slotkin, whose background includes:

• CIA analyst

• Department of Defense official

• Acting Assistant Secretary of Defense for International Security Affairs

Her professional history is directly tied to the national security institutions governed by the bill.

Campaign Finance Alignment

Slotkin’s donor base includes multiple sectors tied to AI development, autonomous systems, and the broader defense-tech pipeline enabled by this bill.

According to OpenSecrets data, top contributors include:

• Alphabet Inc ($96,669) and Amazon ($53,771)—major AI developers and federal cloud contractors

• General Motors ($57,081) and Ford ($54,020)—advancing autonomous and robotics systems applicable to military use

• University of Michigan, Michigan State, Harvard, Stanford—key hubs for federally funded AI and defense-related research

• Kirkland & Ellis ($52,360) and WilmerHale ($81,463)—heavily involved in structuring large-scale federal and defense contracts

The bill authorizes deployment of autonomous AI systems under a renewable waiver controlled by the Pentagon.

The companies and institutions funding Slotkin are directly tied to building the AI, infrastructure, and legal frameworks required to support that expansion.

The legislation opens the door, and her donor base sits inside the ecosystem that stands to operate and profit within it.

Bottom Line

The legislation places a restriction on autonomous lethal AI systems while granting the Secretary of Defense—currently Pete Hegseth—the authority to waive that restriction under “national security” conditions.

That waiver:

• Is controlled by a single Pentagon official

• Can be renewed indefinitely

• Applies to real-world deployment, targeting, and system evolution

• Contains no language limiting where such systems may be used

Congress is notified after the fact, not required to approve.

The authority to deploy autonomous lethal AI systems sits inside the same section that claims to restrict them.

Tyler Durden Thu, 04/02/2026 - 07:20

New Bill Opens Door For Killer AI Weapons

Authored by Jon Fleetwood,

A newly introduced U.S. Senate bill would allow the military to deploy autonomous lethal artificial intelligence systems by granting the Secretary of Defense the authority to override its own restrictions.

Senate Bill S.4113—the “AI Guardrails Act of 2026,” introduced March 17, 2026 by U.S. Senator Elissa Slotkin (D-MI)—is being presented as a framework to limit how the Department of Defense uses AI.

But the actual text includes a built-in waiver mechanism that enables those same systems to be approved and used under national security justifications.

This means a Pentagon-approved AI system could independently identify and engage targets, making life-and-death decisions without real-time human input.

There is no language in that waiver clause limiting where the system can be used, whether targets are foreign or domestic.

The bill has been read twice in the Senate and referred to the Senate Armed Services Committee, where it now awaits further consideration.

The waiver raises questions about how often “extraordinary circumstances” will be invoked, who ultimately decides when autonomous lethal force is justified, and what meaningful limits—if any—remain once that authority is exercised.

Waiver Authority Built Into the Core Restriction

The bill prohibits the use of AI for:

• Launching or detonating nuclear weapons

• Domestic monitoring or targeting without legal basis

• Using lethal force through autonomous weapon systems without human oversight

Immediately following that restriction, the bill states:

The Secretary of Defense “may waive the prohibitions… for up to one year” and renew that waiver if “extraordinary circumstances affecting the national security of the United States require the waiver”

How It Works

The decision to authorize autonomous lethal systems is placed with the Secretary of Defense.

• Waivers last up to one year

• Waivers can be renewed

• Congress is notified after issuance

• Notifications may include classified components

The bill requires certification that the system’s error rate does not exceed that of human operators performing comparable functions.

Operational Scope

The waiver applies to:

• Development

• Field deployment

• System modifications

It also covers changes to:

• Mission sets

• Target sets

• Operational environments

• Algorithmic behavior

Each of those changes can trigger continued or expanded authorization under the same waiver structure.

Sponsor Background

The bill was introduced by Sen. Elissa Slotkin, whose background includes:

• CIA analyst

• Department of Defense official

• Acting Assistant Secretary of Defense for International Security Affairs

Her professional history is directly tied to the national security institutions governed by the bill.

Campaign Finance Alignment

Slotkin’s donor base includes multiple sectors tied to AI development, autonomous systems, and the broader defense-tech pipeline enabled by this bill.

According to OpenSecrets data, top contributors include:

• Alphabet Inc ($96,669) and Amazon ($53,771)—major AI developers and federal cloud contractors

• General Motors ($57,081) and Ford ($54,020)—advancing autonomous and robotics systems applicable to military use

• University of Michigan, Michigan State, Harvard, Stanford—key hubs for federally funded AI and defense-related research

• Kirkland & Ellis ($52,360) and WilmerHale ($81,463)—heavily involved in structuring large-scale federal and defense contracts

The bill authorizes deployment of autonomous AI systems under a renewable waiver controlled by the Pentagon.

The companies and institutions funding Slotkin are directly tied to building the AI, infrastructure, and legal frameworks required to support that expansion.

The legislation opens the door, and her donor base sits inside the ecosystem that stands to operate and profit within it.

Bottom Line

The legislation places a restriction on autonomous lethal AI systems while granting the Secretary of Defense—currently Pete Hegseth—the authority to waive that restriction under “national security” conditions.

That waiver:

• Is controlled by a single Pentagon official

• Can be renewed indefinitely

• Applies to real-world deployment, targeting, and system evolution

• Contains no language limiting where such systems may be used

Congress is notified after the fact, not required to approve.

The authority to deploy autonomous lethal AI systems sits inside the same section that claims to restrict them.

Tyler Durden Thu, 04/02/2026 - 07:20

New Warning Sign: 1 In 4 Workers Have Cut 401k Contribution Rate

Another light on America's economic dashboard is blinking red, as money-pinched workers are cutting their 401k contribution rates. The news follows our earlier report on hardship withdrawals from the cornerstone retirement savings accounts hitting a record high. Critically, these numbers don't reflect what workers are doing right now -- amid war-driven gas price-hikes and worries about the economy. 

According to new data from Dayforce's State of Retirement Savings 2026 report, in 2025, Americans trimmed their contribution rates to 401k and similar plans from 9.2% to 8.9%. While the decline was relatively modest, it was a widespread phenomenon, with more than one in four workers reducing their contributions. Employees earning between $50,000 and $150,000 were most likely to have eased back. The participation rate slipped from 78.6% in 2024 to 77.5%. The decreases come despite wider use of automatic enrollment in retirement plans, and increasingly-common auto-escalation features that ratchet up contributions each year.  

Want an even better-proportioned one for yourself -- the mug, that is? Get yours at the ZeroHedge Store today and support our work

"When you are struggling day to day, it's hard to focus on your long-term goals," Matt Bahl, vice president at the Financial Health Network, told CBS News. "We're really seeing the crunch for those middle-income earners — it speaks to the affordability crisis."

Dayforce cautioned that employers' concern about the trend should go beyond future retirement security, and include their workers' present-day financial stress. "[It] can influence engagement, productivity, and retention," said the company, which offers a cloud-based "Global Human Capital Management" platform. As 2025 ended, roughly half of Americans in an Allianz Life survey said they had more financial stress than they did a year ago.   

via Dayforce's "The State of Retirement Savings 2026"

Reinforcing that picture of growing financial stress, loan use increased more than 20% since 2022. The Dayforce study didn't cover hardship withdrawals, but Vanguard's How America Saves 2025 study found that hardship withdrawal activity "increased to a new high" of 6% in 2025, up from 4.8% in 2024 and about 2% before the pandemic. In part, that trend was facilitated by a regulatory change -- in 2018, Congress nixed a requirement that participants first take a 401(k) loan before they could take a hardship withdrawal. 

Men's 2025 savings rate topped women's -- 9.6% to 8.2% -- though that gap was wider a few years ago. Asians had the top savings rate (10.4%), with whites close behind (10.1%), followed by blacks (6.0%) and then Latinos (4.7%). Conversely, 28.7% of blacks and Latinos collectively had an active loan from their retirement accounts, compared to 15.9% of whites. No loan data was given for Asians.  

Watch for all these indicators to keep trending down: Cost-of-living effects of the US-Israeli war on Iran are poised to grow stronger as the global oil shockwave steadily moves closer to America's shores.  

Tyler Durden Thu, 04/02/2026 - 06:55

New Warning Sign: 1 In 4 Workers Have Cut 401k Contribution Rate

Another light on America's economic dashboard is blinking red, as money-pinched workers are cutting their 401k contribution rates. The news follows our earlier report on hardship withdrawals from the cornerstone retirement savings accounts hitting a record high. Critically, these numbers don't reflect what workers are doing right now -- amid war-driven gas price-hikes and worries about the economy. 

According to new data from Dayforce's State of Retirement Savings 2026 report, in 2025, Americans trimmed their contribution rates to 401k and similar plans from 9.2% to 8.9%. While the decline was relatively modest, it was a widespread phenomenon, with more than one in four workers reducing their contributions. Employees earning between $50,000 and $150,000 were most likely to have eased back. The participation rate slipped from 78.6% in 2024 to 77.5%. The decreases come despite wider use of automatic enrollment in retirement plans, and increasingly-common auto-escalation features that ratchet up contributions each year.  

Want an even better-proportioned one for yourself -- the mug, that is? Get yours at the ZeroHedge Store today and support our work

"When you are struggling day to day, it's hard to focus on your long-term goals," Matt Bahl, vice president at the Financial Health Network, told CBS News. "We're really seeing the crunch for those middle-income earners — it speaks to the affordability crisis."

Dayforce cautioned that employers' concern about the trend should go beyond future retirement security, and include their workers' present-day financial stress. "[It] can influence engagement, productivity, and retention," said the company, which offers a cloud-based "Global Human Capital Management" platform. As 2025 ended, roughly half of Americans in an Allianz Life survey said they had more financial stress than they did a year ago.   

via Dayforce's "The State of Retirement Savings 2026"

Reinforcing that picture of growing financial stress, loan use increased more than 20% since 2022. The Dayforce study didn't cover hardship withdrawals, but Vanguard's How America Saves 2025 study found that hardship withdrawal activity "increased to a new high" of 6% in 2025, up from 4.8% in 2024 and about 2% before the pandemic. In part, that trend was facilitated by a regulatory change -- in 2018, Congress nixed a requirement that participants first take a 401(k) loan before they could take a hardship withdrawal. 

Men's 2025 savings rate topped women's -- 9.6% to 8.2% -- though that gap was wider a few years ago. Asians had the top savings rate (10.4%), with whites close behind (10.1%), followed by blacks (6.0%) and then Latinos (4.7%). Conversely, 28.7% of blacks and Latinos collectively had an active loan from their retirement accounts, compared to 15.9% of whites. No loan data was given for Asians.  

Watch for all these indicators to keep trending down: Cost-of-living effects of the US-Israeli war on Iran are poised to grow stronger as the global oil shockwave steadily moves closer to America's shores.  

Tyler Durden Thu, 04/02/2026 - 06:55

France Approves Record Number Of Asylum Applications In 2025, Up 12% YoY

Via Remix News,

The latest data released by the National Court of Asylum reveals a historic statistical milestone: asylum grants in France have reached an unprecedented peak.

In 2025, a record 78,782 individuals were granted asylum, marking a 12 percent increase over the previous year. The recognition rate has also climbed to an all-time high of 52.1 percent – or 47.1 percent when excluding unaccompanied minors.

The initial stage of the asylum process is managed by the French Office for the Protection of Refugees and Stateless Persons (OFPRA). If a claim is denied, applicants may appeal to the National Court of Asylum. While various forms of protection exist, the ultimate goal for many is the status of “refugee,” as it opens rights similar to those of the French in most areas, including social welfare, education, and housing.

The asylum system remains highly accessible, despite President Emmanuel Macron saying year after year that France needs to reduce immigration, just as he did in 2023.

“Are we flooded with immigration? No. You cannot say that. But the current situation is not sustainable, and we need to reduce immigration significantly, starting with illegal immigration. We have a duty to deliver,” the French president said at the time.

Polling shows the vast majority of French want a reduction in immigration, and even a majority of women want zero immigration, both legal and illegal.

France already has the largest Muslim population in Europe, leading to serious cultural, societal, and even security problems. Unlike policies debated or implemented in nations like Italy or Denmark, which seek to reduce the ability for individuals to apply for asylum, France has very generous laws, including allowing those already present on French soil to apply for asylum directly. This creates a significant challenge for the state, as even when applications are denied, authorities have an extremely difficult time removing people. Macron, for instance, stated his goal was a 100 percent deportation rate. France’s actual deportation rate has remained in the teens since then, averaging around 15 percent.

In fact, France has gone from record to record in terms of overall immigration every single year. Last year, Remix News reported that a record 6 million foreigners live in France, after a record 400,000 migrants arrived in the country in 2024. Earlier this year, Remix News reported that a record number of first-time residency permits were issued in 2025.

Nevertheless, despite soaring public pressure, more asylum applications are being approved than ever. Even during the peak of the 2015 migration crisis, France did not grant asylum at these levels. Wars continue to be a major factor. For the second consecutive year, Ukrainians represent the largest group of asylum seekers, followed closely by nationals from the Democratic Republic of the Congo and Afghanistan.

Beyond geopolitics, the increasingly broad jurisprudence of the National Court of Asylum plays a pivotal role.

In 2025, the court recognized automatic refugee status for all people from the Gaza Strip, then from the West Bank.

In other words, Palestinians have almost virtually unlimited access to French territory.

The court also recognized an automatic right to women from Iran and Somalia, which are deemed unfriendly states for women.

Similar protections were extended to homosexual individuals from Egypt, Guatemala, and, as of late 2024, Sri Lanka.

Once again, this liberal attitude towards asylum is not backed by the French public, with polling showing that 61 percent of the French want the right of asylum restricted in the country.

According to the BVoltaire publication, there is an “urgent call to reform. Proponents argue that France must consider renegotiating international conventions and amending the Constitution, asserting that both the efficiency of the State and the preservation of French identity are currently at risk.”

Read more here...

Tyler Durden Thu, 04/02/2026 - 03:30

Ayatollah Breaks Silence, In Written Message Praises Hezbollah & Shia Leaders Of Iraq

The new, younger Ayatollah Khamenei - who may have been wounded in the early days of US-Israeli strikes, hasn't been seen in any public way, not even on TV, throughout the war. There have not so much as been any official recent images of him circulated.

But Mojtaba Khamenei has apparently been issuing some limited written statements, mainly encouraging foreign proxies in their joining the war against US and Israeli forces in the region. State media has indicated he's not making public appearances given the ongoing relentless bombing campaign and the Islamic Republic's wartime footing.

via PressTV

After a long period of relative silence, a message from Khamenei was publicized on Monday. In the message attributed to him, he "expressed his appreciation to the supreme religious authority (in Iraq) and the people of Iraq for their clear stance against aggression against Iran and their support for our country," Iran’s ISNA news agency said, referring to the Iraq-based Grand Ayatollah Ali Sistani. Sistani is based in Iraq and has long been a highly revered Shia cleric in the region.

The 56-year old Khamenei has on Wednesday apparently broken his silence again, this time praising Hezbollah for joining the war against Israel. Hezbollah has been launching hundreds of rockets on northern and central Israel, amid an emerging ground campaign in southern Lebanon, also as Israel bombs Beirut from the air.

In the new words carried by Iranian state media, he praised Hezbollah for its "perseverance, steadfastness and patience" against "the most ruthless enemies of the Islamic world."

Meanwhile, the CIA and Mossad are said to be trying to uncover Mojtaba Khamenei's whereabouts and status. His 86-year old father did not appear to have been in hiding at all when he was slain by airstrike on the very first day of Operation Epic Fury.

The most likely explanation could be that the younger Khamenei is directing the war from a much more secure and hidden setting, for example a deep underground bunker - or in a remote part of the country. 

Iran's Parliament Speaker Mohammad Bagher Ghalibaf, via AFP

But some analysts have questioned why he wouldn't make a video address, even if pre-recorded, offering to the world proof that he is a alive and is running the country and war. As for the most visible day-to-day leader, this is parliament speaker Mohammad Bagher Ghalibaf.

Tyler Durden Thu, 04/02/2026 - 02:45

Indians Are Online Bragging About Scamming Europe's Education System

Authored by Steve Watson via Modernity.news,

Europe is literally paying Indians hundreds of euros a month to “study” while its own students can’t afford rent and are drowning in debt.

In a now-viral video, an Indian student in Europe boasts about the arrangement. He explains how the EU provides him with 1400 euros every single month that covers rent, travel, and meals, with zero student debt, while he still saves 600 euros every single month. 

He walks through what he calls “elite scholarship secrets,” noting that a simple bachelor’s degree, a valid passport, and basic English proficiency suffice — adding that “IELTS is not always mandatory” and a certificate from some random school abroad will do.

europe literally paying Indians 1400 euro a month to "study" here while our own students can't afford rent and are drowning in debt.

this guy is literally bragging about scamming the system with a degree that’s worth less than a high school diploma in the west.

total subversion… pic.twitter.com/IA0yxdlaaY

— pallasmaxxer (@pallasmaxxer) March 30, 2026

The poster highlighted the post with clear frustration: “literally bragging about scamming the system with a degree that’s worth less than a high school diploma in the west… total subversion of our education system and you are the one footing the bill. Peak comedy.”

In follow-ups, the same account pointed out that the individual admits “you don’t need to be a topper to get 1400 euro a month… a 75% gpa from a third world uni — literally a mediocre 6.5/10 here… you don’t even need a real English test.”

This reflects a broader pattern visible online where some Indians treat European scholarships and student visas as an easy backdoor. 

Other posts have referenced credential issues in India, including claims that one can simply buy degrees and credentials in India and use them to secure educational places in Europe with a visa.

The same dynamic has played out for years in the UK. Former universities minister Jo Johnson previously slammed the high drop-out rates among Indian and Bangladeshi students — the highest among international cohorts — with concerns that “one in four” drop out to take up jobs while remaining on student visas.

? ICYMI

'1 in 4 students from India and Bangladesh drop out of their UK university course. So, come over here, bring your dependents, then just drop out and crack on with your life.'@PatrickChristys asks if we should impose an 'absolute cap' on immigration. pic.twitter.com/aGfgk1xOqU

— GB News (@GBNEWS) December 15, 2023

He called for stricter rules requiring overseas students to prove they can support themselves for the full duration of their course to prevent abuse.

More recently, UK Indo-Pacific Minister Seema Malhotra flagged a surge in student asylum claims as clear “visa abuse.” She stated: “We’ve seen visa abuse in the case of legal routes, where people have gone legally and then sought to overstay when their visas weren’t extended.”

UK universities are shutting out applicants from Pakistan and Bangladesh because of concerns over visa abuse and tougher Home Office rules https://t.co/AbCtu4C4XD pic.twitter.com/JP9PwOosBR

— Financial Times (@FT) December 4, 2025

Official figures showed around 16,000 international students applied for asylum last year after completing courses, with another 14,800 in the first half of 2025. 

Completely agree with @ZiaYusufUK

Shabana Mahmood has suspended student visas for four countries. They made up 3,000 out of the 400,000 student visas last year.

The student visas from Bangladesh are x3 higher, Pakistan and Nigeria x10 higher but they’re not on the list. A sham. pic.twitter.com/MNDKJfxbUA

— Chris Rose (@ArchRose90) March 4, 2026

Indian student numbers to the UK have already fallen amid tighter controls.

UK minister flags visa 'abuse' as student asylum claims surge https://t.co/Wqd1i1E0Ho

— BBC News (UK) (@BBCNews) November 25, 2025

'We should change the law to say if you come in on a student or tourist visa, you cannot seek asylum!'

Former Conservative MP Louise Mensch reacts to new reports into how Britain's visa system is being gamed, with Pakistanis making up a disproportionate number of cases. pic.twitter.com/q5bXTYrF51

— GB News (@GBNEWS) November 23, 2025

Reform leader Nigel Farage has repeatedly called out the absurdity of the student visa route, including how it has allowed foreign students to bring large numbers of dependents.

In one exchange, he put it plainly: “If you come to university in Britain, you can’t just bring your Mum with you.” 

He highlighted the previous policy that saw 460,000 study visas issued in 2023 along with 144,000 dependents, describing it as “absolutely batty” and noting that universities had become “drunk on foreign money.” 

Farage argued this setup does little to benefit British students and contributes heavily to net migration figures.

Farage has repeatedly argued that the economic case for mass migration has collapsed, pointing out how it drags down GDP per capita and leaves average Britons poorer despite headline growth figures.

This fits a wider picture. A report from the Centre for Migration Control revealed that 1.6 million migrants in the UK are unemployed or economically inactive, costing taxpayers £8.5 billion a year — a figure that does not even include asylum accommodation or foreign student subsidies.

The analysis described the situation as “the very definition of a Ponzi scheme.” 

Europe and the UK have spent years importing large numbers of students under the banner of “excellence” and economic benefit. Instead, taxpayers subsidize stipends and visas while native young people struggle with debt and housing costs. 

When the arrivals treat the system as a joke — openly bragging about minimal effort for maximum payout — and even bring extended family on the back of student visas, the subversion becomes impossible to ignore.

The response must be straightforward: close the loopholes, enforce real standards, deport those gaming the rules, and put citizens first. Continuing the current approach only accelerates the burden on working people and erodes trust in institutions.

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Tyler Durden Thu, 04/02/2026 - 02:00

Why The Shield Of The Americas Matters Now: Noem's Latin American Visit Signals A New Security Doctrine

Authored by Duggan Flanakin via The Epoch Times (emphasis ours),

The rapid evolution of U.S. national security strategy in the Western Hemisphere has taken a decisive turn with the launch of the Shield of the Americas—a multinational initiative that is already reshaping diplomatic, military, and law enforcement cooperation across the region.

Soldiers stand guard during a visit of special envoy of the U.S. Shield of the Americas Program Kristi Noem outside the Carondelet Palace in Quito, Ecuador, on March 25, 2026. Rodrigo Buendia/AFP via Getty Images

The importance of this initiative has come into sharper focus in recent weeks, following former Homeland Security Secretary Kristi Noem’s reassignment as special envoy and her engagements with Ecuadorian leadership, as well as meetings with leaders across Latin America.

Far from a symbolic gesture, the Shield of the Americas represents a strategic recalibration grounded in urgent realities: transnational crime, migration pressures at their origin, and in the process, intensifying geopolitical ’soft power' competition.

But at its core, the Shield of the Americas is a coordinated security coalition designed to combat drug cartels, disrupt trafficking networks, and address illegal migration through joint intelligence and military cooperation. Its formation in March 2026 brought together more than a dozen nations from Latin America and the Caribbean, signaling a renewed emphasis on hemispheric alignment, at a time when these threats have become transnational to an unprecedented degree.

The timing is not coincidental. The United States continues to face unprecedented challenges tied to fentanyl and synthetic opioid trafficking—much of it linked to cartel networks operating across borders. These organizations are no longer localized criminal enterprises; they are sophisticated, multi-billion-dollar operations with global reach.

The Shield’s emphasis on intelligence sharing and coordinated enforcement acknowledges a simple truth: no single country can address this threat alone.

This is where Noem’s visit becomes especially significant.

Ecuador, her final stop, has emerged as a frontline state in the fight against narcotrafficking, with its geographic position making it a key transit hub for drugs moving from South America to North American and European markets. Recent joint U.S.-Ecuador operations underscore both the urgency of the challenge and the necessity of partnership.

In turn, the Shield provides the institutional framework to scale such cooperation—transforming ad hoc engagements into sustained, strategic collaboration.

Critically, the initiative also reflects a broader geopolitical imperative. The Western Hemisphere is increasingly contested terrain, with China expanding its economic and political influence through infrastructure investments, telecommunications, and resource extraction. The Shield of the Americas explicitly seeks to counter this influence by strengthening alliances and reinforcing U.S. leadership in the region.

In this sense, the initiative is not only about security—it is about shaping the future alignment of the Americas in a rapidly evolving global order.

Skeptics have raised concerns about the militarized aspects of the Shield, noting that its emphasis on coordinated military action represents a departure from more traditional approaches centered on law enforcement. Yet this critique overlooks the scale and sophistication of the threat landscape.

Cartels today operate with capabilities that rival those of insurgent groups, leveraging advanced technology, financial networks, and paramilitary tactics. Addressing such threats requires a commensurate response.

Moreover, the Shield is not solely a military construct. It is a platform for comprehensive engagement—encompassing intelligence sharing, economic cooperation, and governance initiatives. By aligning participating countries around shared objectives, it creates the conditions for more effective, coordinated action across multiple domains.

Noem’s role as special envoy is central to this effort. Her mandate is not merely diplomatic; it is operational, tasked with translating high-level agreements into actionable partnerships on the ground. Her track record has her primed for success. And this week, her engagement with Ecuadorian leadership exemplified this approach, reinforcing bilateral ties while advancing the broader objectives of the coalition.

Ultimately, the importance of the Shield of the Americas lies in its recognition of interconnected realities. Drug trafficking fuels migration; migration strains border systems; geopolitical competition exploits instability. Addressing these challenges in isolation is no longer viable.

The Shield offers a model rooted in collective action, shared responsibility, and strategic alignment. In doing so, it marks a significant evolution in U.S. foreign policy toward the region, one that acknowledges both the risks and the opportunities of a more integrated hemispheric approach.

As Noem’s visit demonstrates, the success of this initiative will depend not on rhetoric, but on execution.

If the Shield can translate its ambitious vision into tangible results—disrupting cartels, strengthening partnerships, and stabilizing key regions—it may well prove to be one of the most consequential security initiatives in the Americas in decades.

Views expressed in this article are opinions of the author and do not necessarily reflect the views of The Epoch Times or ZeroHedge.

Tyler Durden Wed, 04/01/2026 - 23:25

China Tests World's Heaviest 7-Ton Cargo Drone With 1,850-Mile Range For Recon Ops

Authored by Aamir Khollam via Interesting Engineering,

China has pushed further into heavy unmanned aviation with the first flight of the Changying-8 (CY-8), which it claims is the world’s heaviest cargo drone.

China's Changying-8 (CY-8) cargo drone.

The aircraft combines high payload capacity with short-runway performance, targeting logistics operations across remote, high-altitude, and island regions.

The newly tested Changying-8 (CY-8) blends high payload capacity with short runway performance, signaling a push toward flexible, all-terrain aerial supply systems.

The aircraft completed its first test flight on Tuesday in Zhengzhou, located in central China’s Henan province.

It lifted off after a short ground run of 280 meters and stayed airborne for about 30 minutes.

According to state broadcaster CCTV, engineers used the flight to verify key onboard systems, including avionics, propulsion, and intelligent flight controls.

Built for heavy payloads

The CY-8 stands out for its size and carrying capability. It reaches a maximum take-off weight of 7 tonnes. The drone itself weighs 3.5 tonnes and can carry an equal load.

Its airframe stretches 17 meters long with a wingspan of 25 meters. Engineers designed a fully enclosed cargo bay with a volume of 18 cubic meters.

The aircraft includes both front and rear access doors, allowing faster turnaround during loading and unloading operations.

CCTV described the platform as an “unmanned aerial heavy truck.” The drone relies on twin turboprop engines and supports short take-off and landing operations.

This design allows it to operate on basic runways with limited infrastructure.

“This cargo drone is highly adaptable to its environment, uses twin turboprop engines, and has the ability to take off and land on simple runways in high-altitude areas, as well as perform short take-offs and landings,” said Cai Hangqing, chairman of Beijing Northern Changying UAV Technology, as reported by SCMP.

Developers built the CY-8 to support both civilian and military roles. The drone can switch payload configurations quickly, making it suitable for a wide range of missions.

CCTV reported that operators can deploy it for emergency communications, weather modification, and electronic reconnaissance.

It can also support logistics, disaster relief, and supply delivery in difficult terrain.

The drone’s design focuses heavily on high-altitude performance.

It can operate in regions such as the Tibetan Plateau, where elevations range between 4,000 and 5,000 meters.

Engineers also optimized it for island operations, enabling use on short and simple airstrips.

The CY-8 requires less than 500 meters for take-off and landing.

It also offers a range of more than 1,850 miles, extending its operational reach across remote or strategically sensitive areas.

Expanding global competition

China’s latest drone arrives as competition intensifies in the heavy cargo UAV segment.

Beijing continues to invest in uncrewed systems capable of operating in extreme environments.

Other Chinese projects are already in progress. Air White Whale is developing the W5000, a larger 10-tonne-class cargo drone.

A scaled prototype recently completed its maiden flight.

China has also tested a heavy-lift unmanned helicopter, the Boying T1400. That platform targets operations from mountainous regions to maritime zones.

The United States is advancing similar systems.

California-based Sabrewing developed the RH-1-A Rhaegal cargo drone, which completed its first hover flight in 2022.

A larger variant is expected to reach a maximum take-off weight of 6.25 tonnes.

Unlike the CY-8, Sabrewing’s design uses vertical take-off and landing. This removes the need for runways and enables operations in confined spaces.

The company has already secured collaborative orders from the US Air Force.

China plans to continue flight testing of the CY-8. The developer aims to move toward full-scale production before the end of the year.

Tyler Durden Wed, 04/01/2026 - 23:00

Senators Plan Taiwan Trip Ahead Of Trump's Summit With Xi Jinping

Authored by Jacob Burg via The Epoch Times,

Four U.S. senators from both sides of the aisle are planning to visit Taiwan, Japan, and South Korea within the coming days to strengthen U.S. alliances that they see as critical to challenging China’s sphere of influence.

Sen. Jeanne Shaheen (D-N.H.), who serves as the ranking Democrat member of the Senate Foreign Relations Committee, announced the trip on March 28.

Sens. John Curtis (R-Utah), Thom Tillis (R-N.C.), and Jacky Rosen (D-Nev.) will join her on a trip to Taipei, Taiwan; Tokyo; and Seoul, South Korea, ahead of U.S. President Donald Trump’s May summit with Chinese leader Xi Jinping in Beijing.

The trip could cause friction with Chinese leadership, which opposes other countries having relations with Taiwan and sees such activities as a challenge to Beijing’s claim of sovereignty over the independent island.

While Taiwan is backed by the United States for its democracy, Trump’s recent floating of potential arms sales to Taiwan in discussions with Xi has highlighted implications about the future of U.S. policy toward the island.

“This bipartisan delegation demonstrates Congress’s commitment to these alliances and partnerships is unwavering and will endure well beyond any one administration,” Shaheen said in a statement.

The U.S. lawmakers are planning to meet with both political leaders and defense officials during their trip as a display of reassurance to the United States’s Asian allies.

“Our alliance with Taiwan is one of the most strategically and morally significant partnerships America has in the Indo-Pacific,” Curtis said in a statement.

Taiwan’s economic relationship with the United States has been a key concern for the Trump administration, as Washington relies on the island for computer chip production.

Taiwan’s semiconductor production drove a trade imbalance of nearly $127 billion during the first 11 months of 2025. In February, the Trump administration reached a deal with the island that removed 99 percent of its trade barriers with the United States.

A bipartisan group of U.S. lawmakers during a visit to Taiwan last year called for the United States to partner more closely with the self-governing island.

That trip resulted in conversations that were “optimistic and forward-looking,” Sen. Chris Coons (D-Del.) said at the time. Coons visited Taipei last April with Sens. Pete Ricketts (R-Neb.) and Ted Budd (R-N.C.).

There were also discussions about potential military action against Taiwan by China.

“Of course, there is the possibility that Xi Jinping would decide that this is the right time for the Chinese Communist Party to take aggressive action,” Coons said.

“I think it’s exactly the wrong thing for them to do. I think they would find a forceful and united response.”

Tyler Durden Wed, 04/01/2026 - 22:10

Activist Mayor Of Boise Forced To Take Down Pride Flag Flown For A Decade

Conservative states across the US have taken action in recent months to begin the arduous process of removing the stain of the woke movement from America's streets and public buildings.  For the last decade, the far-left ideological crusade has left its mark everywhere while using "marginalized" identity groups as a moral shield. 

Though they claim to be acting as a civil rights movement, the reality is that "Pride" and LGBT activist groups are entirely political.  The pride flag is a political, ideological and some would argue religious symbol of cultural dominance planted across the country as a means to claim ownership.

The State of Idaho is no longer tolerating this insurgency. On Tuesday, Mayor Lauren McLean was forced to remove the Progress Pride flag from display in Downtown Boise after Governor Brad Little signed HB 561.  The bill, brought by Rep. Ted Hill, R-Eagle, limits local governments to flying only the American flag, state flags, official military flags, recognized tribal flags, and the official flag of an Idaho university or college. 

The response from Democrats has been dramatic, to say the least, with a somber proclamation of "Transgender Day" to mourn the loss of the pride flag.  Idaho also recently passed one of the strictest laws in the nation against transgenders using incorrect bathrooms and public facilities.    

Initial laws passed by the state in 2025 required that only "official flags" be flown on public land and government buildings.  However, McLean and city officials attempted to bypass the law by making the pride flag an "official" flag of Boise.  Governor Little closed the loophole and instituted fines of $2000 per day for those cities that refuse to cooperate.

Leftist officials held a bizarre ceremony for the removal of the pride flag, which once again shines a light on the cult-like nature of the woke movement. 

BREAKING: Boise mayor forced to take city hall's LGBTQ+ flag down after law passes pic.twitter.com/PUdjgSgETf

— End Wokeness (@EndWokeness) March 31, 2026

Similar reactions have taken place in cities across the US where pride flag have been forced on the populace by city officials and were then removed by the state government.

Boise, Idaho, has flown a Pride flag outside City Hall for more than a decade, primarily during "Pride Month" in June and related events.  However, in the last four years under Democrat Mayor Lauren McClean, the flag has stayed flying year-round, often displayed alongside other flags like the U.S., Idaho, City of Boise, and POW/MIA flags.

The presence of radical left symbolism in the middle of one of the reddest states in the US is a reminder that there are progressive controlled cities and leftist activists everywhere.  They are not relegated to blue states, and unlike conservatives, they are highly aggressive in their efforts to claim territory and maintain power.

This is often expressed in the concept of "visibility", which leftists mention often.  It's the idea that the "rights" of activist groups are not being respected unless they are allowed to shove their political symbols in the faces of everyone on a regular basis. 

It's not enough that the public tolerates these groups.  The public must be forced to see them at all times, until people accept their activist ideology as sacrosanct.  The best possible path forward for Americans is to do the opposite and erase woke visibility as much as possible.  Civil rights are not a free license to impose fringe ideological views on the rest of the population.

Tyler Durden Wed, 04/01/2026 - 21:45

Sharia Law In Texas? Rep Exposes Muslim-Only Enclaves Operating Next To Police HQs

Authored by Steve Watson via Modernity.news,

Texas Congressman Keith Self has dropped a bombshell on the growing reality of Sharia-adherent communities taking root inside the United States. Far from some future hypothetical, these enclaves are here, now, and operating openly in his own district.

Self laid it out plainly: “Sharia is alive, well, and operating in Plano, Texas. Right now, as I speak, there is an existing Sharia-adherent enclave run by the East Plano Islamic Center in my congressional district. It’s been functioning for 12 years right in our midst. This is not a hypothetical or future threat. It is here, now and operational.”

He continued: “It is a parallel society, a de facto Sharia enclave operating in defiance of full assimilation into American law situated immediately adjacent to the very law enforcement facilities meant to protect our communities.”

Texas Congressman Keith Self confirms Muslims are practicing Sharia Law and building ‘Muslim only’ communities

He says Islamic Centers are being strategically planned next to our police training facilities

“Sharia is alive, well, and operating in Plano, Texas. Right now, as I… pic.twitter.com/iPXwPDsVmu

— Wall Street Apes (@WallStreetApes) March 31, 2026

The congressman highlighted a disturbing pattern: “Alarmingly, as a matter of fact, a pattern of Islamic centers being built next to police training facilities is emerging. There’s also one in Irving, Texas. Intimidation, is clearly the intent.”

Mass immigration without any expectation of assimilation has created no-go zones and parallel legal systems on U.S. soil. While open-borders globalists in Washington and blue-city mayors bend over backward to accommodate every cultural demand, everyday Americans are left watching their neighborhoods transform into something unrecognizable.

This Texas development fits the same pattern of demographic replacement and cultural takeover we’ve already highlighted recently in New York City. 

Overflowing mosques force hundreds of Muslim men to spill onto public sidewalks and streets for Friday prayers — blocking roads and turning working-class neighborhoods into scenes straight out of an Islamic nation. 

Back in February, a mass Ramadan prayer took over Times Square, complete with chants of “Allahu Akbar” echoing through one of America’s most iconic landmarks while thousands laid out prayer mats in the middle of the street. 

The message is crystal clear: what starts as “diversity” and “religious freedom” quickly becomes dominance. Public spaces get repurposed, local laws get ignored, and law enforcement finds itself staring down facilities deliberately built to send a message. 

Plano and Irving are not anomalies — they are the logical extension of years of unchecked migration and elite refusal to demand loyalty to American values.

Congressman Self’s exposure comes at a critical moment. With Trump in the White House and America First policies gaining ground, there is finally political will to confront these threats head-on. Mass deportations, strict assimilation requirements, and an end to sanctuary policies aren’t just good ideas — they are national security necessities. Parallel societies have no place in a sovereign republic.

The alternative is the slow erosion of the rule of law, one enclave at a time, until the country is unrecognizable. Texans — and Americans everywhere — are right to demand action before Sharia-adherent zones spread any further. This isn’t about faith; it’s about sovereignty. One nation, one set of laws. Anything less is surrender.

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* * * Stock up 

Tyler Durden Wed, 04/01/2026 - 21:20

Madness At The Grocery Store

Authored by Jeffrey Tucker via The Epoch Times,

Sometimes it is just a mood. Sometimes it’s the store or the product. Regardless, I can hardly go to the grocery store these days without a sense of shock at how much I’m spending even while buying as little as possible.

Money-saving tactics—choosing cheaper venues, substituting products, just eating less—don’t seem to work anymore.

Grocery days used to be happy. Smiles all around. The bounty was all around us. We met people and had quick and charming conversations, even talking about recipes with strangers and making short introductions in line.

The bad mood from shopping started years ago—a year after COVID-19 pandemic lockdowns began, when prices started responding to the flood of newly printed money funding stimulus payments. The checkout line was filled with grumpy people wearing masks. People stopped talking with one another except to register shock. You left feeling like you had been pillaged.

Time healed that wound even though prices kept rising and predictably so. We all started making changes. Less eating out. No more restaurant cocktails, which had oddly doubled in price, because menu items are hard to change. We stopped shopping at the fancy stores and found the grittier venues. We joined wholesale shopper’s clubs and bought in bulk to save money.

This worked for a while to keep the bills down and the budget in check. There are so many money-saving tricks you can use, such as giving up products you never should have bought anyway and buying things such as vinegar and baking soda instead of branded junk. It’s shocking, once you look around the house, how profligate we’ve been during boom times.

All seemed like it was going to be OK after the inauguration in 2025, when price increases stopped and inflation fell dramatically. The prices of 2019 would never come back, of course. The dollar had lost some 30 percent of its valuation in a mere five years. Dealing with that psychologically wasn’t easy, but at least good times were coming. We could make up in income and salary what we’ve lost in purchasing power.

Those times seem to be at an end. Our money-saving tricks are not working anymore. Every once in a while, we like to sample what it was like in the old days and go out to dinner. The bill comes and the shock hits hard. It seems like we are paying twice what we did before all this chaos hit. What were we thinking getting those appetizers anyway, when we could have spent the same amount for 5 pounds of chicken at the store?

I had to check my sense against the empirical data. Sure enough, Truflation, which tracks price increases in real time, reveals that right now goods inflation is running close to 4 percent. Services and resources are on the rise too, having changed course from last year at this time.

Then I decided to check what industry was saying. Over three months, inflation for groceries is up by 2 percent. This is in addition to a 40 percent rise since 2019.

Maybe 2 percent increases since January don’t sound terrible. However, remember that to compare it to the way we usually measure inflation, we have to annualize that number. We also have to compound it because past prices are added to new ones.

The end result of what industry is currently reporting right now is an astounding 8.2 percent inflation rate in grocery prices alone. That’s more in keeping with what I saw. I would swear that I noticed the difference from just two weeks ago. It’s enough to make one’s heart race and wonder about the future.

Who is to blame? When I hear that businesses are gouging people, we should generally dismiss such claims. Of course businesses want to charge more, while the consumer wants to pay less. The price is the point of agreement between supply and demand. That’s just basic economics, something not well understood by media reporters and political activists.

There are a number of factors at work here. The driving force right now is higher gas prices adding dramatically to transportation costs. Groceries are particularly affected by this. Growers are anticipating a very difficult season. Petrol is hard to come by in Australia and Latin America now, and some nations are already rationing. Fertilizer prices have soared to the point at which farmers cannot afford it.

Futures markets understand this. Speculations about future prices are discounted to the present.

That’s a major factor, but also there is no more room left in pricing metrics to forestall price increases at the consumer end. Tariffs forced distributors onto the edge of profitability in any case. There is also renewed devaluation of the dollar taking place, as the inflation of the past five years had not entirely been squeezed through the tube.

It all adds up and hits everyone very hard. This is certainly a time for pulling back in every possible way. It is also a time to get a freezer for your home, even if it is a small one. Meat is certain to be rising in price at a dramatic rate in the coming months, even if the war somehow comes to an end, which does not seem likely for a long time. Even small apartments can viably store 50 pounds of meat in the freezer.

I cannot help but feel awful for restaurants. During the good times, people got used to eating out several times per week, even nightly. That is no longer viable except for the very rich. If you can get away with $50 per person you are very lucky. Twice that is more common. Many chains are shutting down, and many more will in the coming months.

When I was a kid, eating out in my family hardly ever happened. There were restaurants, of course, but far fewer. That was during the last great wave, and eating out was first to go. Home cooking was the norm for my generation, at the tail end of the baby boomers. I can easily adapt. It’s much harder for younger people who have never been taught cooking skills and never needed to economize. This is changing by necessity.

I’ve warned many times over several years of a second wave of inflation to match the trajectory of the 1970s. It seems to be unfolding now but with a perfect storm of factors: continued monetary devaluation, tariffs, exploding energy prices, supply chain breakages, and war. One steps back in amazement that the powers that be would have taken such risks with the American (and world) standard of living, but here we are.

Most people in what we once called the middle class have already pulled back dramatically. Homes are out of the question. People who can have dropped medical insurance by necessity and decided to embrace the risks. Travel plans have been canceled not only because of rising prices, but also because of uncertain wait times at airports, plus gas prices. With a new round of pummeling from grocery prices, we are now forced to take that final step into a seriously degraded standard of living, while increases in wages and salaries are out of the question right now.

There are fixes to all these problems, but politicians seem to have other priorities.

What is the outlook for the future? Only a year ago, I was optimistic. These days, not so much. My memories are returning of the values that shaped my grandmother’s life: saving pie pans, canning vegetables, and clipping coupons whenever possible. She was a great and happy woman shaped by the Great Depression, words we hoped would never apply to the times of our lives. And yet here we are.

Tyler Durden Wed, 04/01/2026 - 20:30

Dubai Crackdown Hits Iran's Economic Lifeline, Squeezes IRGC Networks

By Negar Mojtahedi of Iran International

The arrest of dozens of IRGC-linked money changers in the United Arab Emirates is one of the most serious blows yet to Tehran’s sanctions-evasion network, laying bare how heavily the Islamic Republic has depended on Dubai as an economic lifeline.

Sources familiar with the matter told Iran International that UAE authorities detained dozens of money changers tied to financial entities linked to Iran’s Revolutionary Guards, shut down associated companies and closed their offices. The crackdown follows days of mounting regional tensions and comes after other measures targeting Iranian nationals, including visa revocations and tighter travel restrictions through Dubai.

For years, Dubai has served as Iran’s main offshore financial artery, where oil proceeds, petrochemical revenues and rial conversions were turned into dollars, dirhams and euros beyond the reach of the country’s battered domestic banking system.

“This is going to be a real problem for Tehran because Dubai was an economic lung for the Iranian regime,” Jason Brodsky of United Against Nuclear Iran told Iran International.

“That is economic pressure and diplomatic isolation in a way that the UAE is able to employ against the Iranian regime, and it will have a very considerable impact.”

"Most critical hub"

According to Miad Maleki, a former senior US Treasury sanctions strategist and now a senior fellow at FDD, the UAE is not just one sanctions-evasion hub among many.

“The UAE is the single most critical jurisdiction in the Iranian regime’s sanctions-evasion architecture,” Maleki said.

Dubai’s exchange houses have long given the IRGC and the Quds Force access to the hard currency needed to finance proxy groups including Hezbollah, Hamas, the Houthis and militias in Iraq.

The detention of trusted IRGC-linked money changers threatens networks that took years to build.

“These trust-based sarraf (money changer) relationships, bank accounts and corporate structures are not quickly replaceable,” Maleki said.

He added that even exchange houses untouched by the crackdown were now likely to think twice before processing Iran-linked transactions, sharply raising both the cost and the risk of doing business with the Guards.

The pressure comes as Iran’s domestic economy is already under severe strain: Foreign reserves, once estimated at around $120 billion in 2018, had fallen below $9 billion by 2020, leaving Iran increasingly reliant on offshore currency channels.

Dubai as ‘washing machine’

Mohammad Machine-Chian, a senior economic journalist at Iran International, said the UAE remains Iran’s most important economic conduit after China. “The UAE is Iran’s most critical economic lifeline after China,” he said.

He said Dubai’s free zones host hundreds of Iranian-linked shell companies used to mask oil and petrochemical sales, launder proceeds and channel hard currency back to Tehran.

Bilateral trade has hovered between $16 billion and $28 billion in recent years, with Iranian non-oil exports alone reaching roughly $6 billion to $7 billion annually, according to Machine-Chian.

A sustained crackdown could cost Tehran tens of billions of dollars in revenue streams while severing what he described as Iran’s “USD cash lifeline.”

Dubai has also functioned as a transit point for illicit Iranian funds moving onward to North America, including transfers routed to the United States and Canada through correspondent banking and hawala networks.

As Maleki put it, “Dubai is the washing machine: Iranian oil proceeds and rial conversions go in, sanitized dirham and dollar transactions come out.”

From diplomacy to backlash

Beyond the financial damage, analysts say the crackdown reflects a broader political rupture between Tehran and the Persian Gulf states. Brodsky said Iran’s attacks on neighboring countries had transformed the strategic environment in the region.

“The relationship between Iran and the GCC countries is not going to go back to the way it was before Operation Epic Fury,” he said.

Where Persian Gulf states had once pushed for diplomacy, Iran’s retaliation has instead driven them closer to Washington and Israel.

For years, Tehran sought to encircle Israel in what it called a “ring of fire” through regional proxies. 

Now, Brodsky said, the Islamic Republic has reversed that dynamic.

“They wanted to encircle Israel in a ring of fire,” he said. “Now they are basically encircling themselves in a ring of fire because they’ve been angering their neighbors with all of their attacks.”

He said that reversal could carry long-term consequences, including deeper Persian Gulf-Israel security coordination and new openings for the Abraham Accords.

“The missile threat and drone threat have become paramount in this conflict,” Brodsky said. “That could drive these countries even closer to the US and Israel.”

'Collapse within weeks'

The UAE crackdown comes as signs of mounting economic distress are mounting inside Iran. Sources previously told Iran International that President Masoud Pezeshkian had warned senior officials that without a ceasefire, the economy could face collapse within weeks.

Across major cities, ATMs have been running short of cash, banking services have faced intermittent disruptions and government workers have reported months of delayed salary payments. 

With inflation in essential goods already above 100 percent before the war, the loss of Dubai’s financial channels could deepen the regime’s crisis. 

For Tehran, the arrests in the UAE are more than a financial disruption. They may signal that one of Iran’s most dependable external pressure valves is starting to close.

Tyler Durden Wed, 04/01/2026 - 19:40

Dubai Crackdown Hits Iran's Economic Lifeline, Squeezes IRGC Networks

By Negar Mojtahedi of Iran International

The arrest of dozens of IRGC-linked money changers in the United Arab Emirates is one of the most serious blows yet to Tehran’s sanctions-evasion network, laying bare how heavily the Islamic Republic has depended on Dubai as an economic lifeline.

Sources familiar with the matter told Iran International that UAE authorities detained dozens of money changers tied to financial entities linked to Iran’s Revolutionary Guards, shut down associated companies and closed their offices. The crackdown follows days of mounting regional tensions and comes after other measures targeting Iranian nationals, including visa revocations and tighter travel restrictions through Dubai.

For years, Dubai has served as Iran’s main offshore financial artery, where oil proceeds, petrochemical revenues and rial conversions were turned into dollars, dirhams and euros beyond the reach of the country’s battered domestic banking system.

“This is going to be a real problem for Tehran because Dubai was an economic lung for the Iranian regime,” Jason Brodsky of United Against Nuclear Iran told Iran International.

“That is economic pressure and diplomatic isolation in a way that the UAE is able to employ against the Iranian regime, and it will have a very considerable impact.”

"Most critical hub"

According to Miad Maleki, a former senior US Treasury sanctions strategist and now a senior fellow at FDD, the UAE is not just one sanctions-evasion hub among many.

“The UAE is the single most critical jurisdiction in the Iranian regime’s sanctions-evasion architecture,” Maleki said.

Dubai’s exchange houses have long given the IRGC and the Quds Force access to the hard currency needed to finance proxy groups including Hezbollah, Hamas, the Houthis and militias in Iraq.

The detention of trusted IRGC-linked money changers threatens networks that took years to build.

“These trust-based sarraf (money changer) relationships, bank accounts and corporate structures are not quickly replaceable,” Maleki said.

He added that even exchange houses untouched by the crackdown were now likely to think twice before processing Iran-linked transactions, sharply raising both the cost and the risk of doing business with the Guards.

The pressure comes as Iran’s domestic economy is already under severe strain: Foreign reserves, once estimated at around $120 billion in 2018, had fallen below $9 billion by 2020, leaving Iran increasingly reliant on offshore currency channels.

Dubai as ‘washing machine’

Mohammad Machine-Chian, a senior economic journalist at Iran International, said the UAE remains Iran’s most important economic conduit after China. “The UAE is Iran’s most critical economic lifeline after China,” he said.

He said Dubai’s free zones host hundreds of Iranian-linked shell companies used to mask oil and petrochemical sales, launder proceeds and channel hard currency back to Tehran.

Bilateral trade has hovered between $16 billion and $28 billion in recent years, with Iranian non-oil exports alone reaching roughly $6 billion to $7 billion annually, according to Machine-Chian.

A sustained crackdown could cost Tehran tens of billions of dollars in revenue streams while severing what he described as Iran’s “USD cash lifeline.”

Dubai has also functioned as a transit point for illicit Iranian funds moving onward to North America, including transfers routed to the United States and Canada through correspondent banking and hawala networks.

As Maleki put it, “Dubai is the washing machine: Iranian oil proceeds and rial conversions go in, sanitized dirham and dollar transactions come out.”

From diplomacy to backlash

Beyond the financial damage, analysts say the crackdown reflects a broader political rupture between Tehran and the Persian Gulf states. Brodsky said Iran’s attacks on neighboring countries had transformed the strategic environment in the region.

“The relationship between Iran and the GCC countries is not going to go back to the way it was before Operation Epic Fury,” he said.

Where Persian Gulf states had once pushed for diplomacy, Iran’s retaliation has instead driven them closer to Washington and Israel.

For years, Tehran sought to encircle Israel in what it called a “ring of fire” through regional proxies. 

Now, Brodsky said, the Islamic Republic has reversed that dynamic.

“They wanted to encircle Israel in a ring of fire,” he said. “Now they are basically encircling themselves in a ring of fire because they’ve been angering their neighbors with all of their attacks.”

He said that reversal could carry long-term consequences, including deeper Persian Gulf-Israel security coordination and new openings for the Abraham Accords.

“The missile threat and drone threat have become paramount in this conflict,” Brodsky said. “That could drive these countries even closer to the US and Israel.”

'Collapse within weeks'

The UAE crackdown comes as signs of mounting economic distress are mounting inside Iran. Sources previously told Iran International that President Masoud Pezeshkian had warned senior officials that without a ceasefire, the economy could face collapse within weeks.

Across major cities, ATMs have been running short of cash, banking services have faced intermittent disruptions and government workers have reported months of delayed salary payments. 

With inflation in essential goods already above 100 percent before the war, the loss of Dubai’s financial channels could deepen the regime’s crisis. 

For Tehran, the arrests in the UAE are more than a financial disruption. They may signal that one of Iran’s most dependable external pressure valves is starting to close.

Tyler Durden Wed, 04/01/2026 - 19:40