US House sends Senate must-pass bill to avert govt shutdown

The US House of Representatives approved a stopgap plan Tuesday to avert a government shutdown that would pile more pain on the economic chaos marring President Donald Trump’s early weeks in office.The Republican-led chamber agreed in a largely party-line vote to keep the government funded through September 30 — giving Trump the summer months to steer his agenda of tax cuts, mass deportations and boosted energy production through Congress.The drama now moves to the Senate, which will still need to provide its own rubber stamp before Friday night’s midnight shutdown deadline, but the bill’s prospects in the upper chamber are on a knife edge.Republicans were nevertheless jubilant, praising Speaker Mike Johnson, who had to sell the package to backbenchers skeptical of stopgaps — known as continuing resolutions (CRs) — which mostly freeze spending rather than making cuts.The threat of a weekend shutdown comes with Wall Street reeling under Trump’s trade war and radical cuts to federal spending that have seen tens of thousands of layoffs.Traders had initially reacted with optimism to the Republican billionaire’s election, but growing fears that his tariffs will reignite inflation and spark a recession have led to a three-week market sell-off. If the Senate fails to follow the House, there will be more economic misery as the government grinds to a halt, potentially leading to tens of thousands of public employees being sent home without pay as federal agencies shutter.Democrats are mostly opposed to the 99-page CR, which would drop domestic spending by about $13 billion while increasing defense spending by about $6 billion.Republicans call it a “clean” CR but Democrats counter that it is full of partisan ideological add-ons that make it a non-starter.Among the most contentious is a provision surrendering congressional authority to block Trump’s tariffs, which were imposed under emergency economic powers, meaning any member can force a vote to terminate them.- ‘Mad king’ -There are cuts totaling billions of dollars from a program for veterans exposed to Agent Orange and toxic burn pits, as well as from research into medical conditions from cancer and Alzheimer’s to heart disease. There are also economies running to hundreds of millions of dollars in nuclear non-proliferation programs, rural broadband, food inspections, rent subsidies and election security funding.Illinois Democrat Sean Casten accused Republicans of “strapping on the ball gag (and) climbing into Trump’s dungeon.””This is what you do to cower before a mad king,” he posted on X. “It is not what you do if you are defending a constitutional democracy.”The latest funding fight comes with Trump pushing unprecedented federal firings as he begins unilaterally shrinking or shuttering agencies from USAID to the Department of Education.   The drive is being spearheaded by Trump aide Elon Musk, the world’s richest person, who has enraged much of the country and Congress — including Republican lawmakers — with his seemingly haphazard approach.While Musk enjoys Trump’s confidence, polling shows he is deeply unpopular with voters, and his cuts have sparked angry confrontations between Republicans and their constituents at town halls.The White House marshalled its big guns — from Chief of Staff Susie Wiles and Vice President JD Vance to Trump himself — to work the phones and meet would-be dissidents ahead of the House vote. Congress needs a CR because it is so evenly split that it has been unable to approve the 12 separate bills that allocate full 2025 budgets for various federal agencies.In the Senate, Democrats are under pressure to offer strong opposition to Trump’s agenda but are wary of blocking the CR, fearing that they would be blamed for the resulting shutdown.Republicans have to clear anything the House passes by a 60-vote threshold, and one conservative has indicated he will be a no, meaning Majority Leader John Thune needs the support of at least eight Democrats.

Stock markets extend losses over US tariffs, recession fears

Global stock markets extended losses on Tuesday as US President Donald Trump waffled on the size of tariffs he will levy on Canadian steel, aggravating concerns his trade policies could push the United States toward recession.In New York, the Dow index of blue-chip stocks closed down 1.1 percent while the broad-based S&P 500 shed 0.8 percent.The tech-heavy Nasdaq dipped 0.2 percent, though Tesla and Amazon staged rebounds a day after the index closed four percent lower in its worst session since 2022.Europe’s main indices ended the day in the red, as did most in Asia.”Markets are jittery and volatility seems like the only certainty while the White House pushes hard to usher in a new era, seemingly happy for stock markets to be collateral damage,” said Matt Britzman, senior equity analyst at Hargreaves Lansdown.Traders had initially welcomed Trump’s election win in late 2024, optimistic that his promised tax cuts and deregulation would boost the world’s biggest economy and help equities push to further record highs.But there is growing concern that tariffs against key trading partners will reignite inflation, forcing the Federal Reserve to again start raising interest rates and triggering a recession.Since taking office in January, Trump has announced sweeping tariffs on imports from Canada, Mexico and China, though he had allowed a partial and temporary rollback for the two US neighbors.Tariffs on steel and aluminum are due to take effect on Wednesday, affecting a wide range of producers from Brazil to South Korea and the European Union.Trump announced earlier in the day that he was doubling the tariffs on Canadian steel and aluminum to 50 percent, in response to the Canadian province of Ontario imposing of a 25 percent surcharge on electricity exports to three US states.But by the afternoon, the plan had been binned, with Canada facing only a 25 percent tariff after midnight as originally planned.Analysts said investors were also concerned that Trump appears more willing to see stock markets fall than during his first term in office, after he said the economy was facing “a period of transition” and refused to rule out the risk of recession.”The problem for markets is that this is a man-made crisis,” said Kathleen Brooks, research director at the trading platform XTB.Trump’s “‘bull in a china shop’ approach to economic policy has spooked investors. The question is, will it continue to spook consumers, the life blood of the US economy,” she said.- Oil sees slight rebound -Investors will also keep a close eye on US consumer inflation data on Wednesday, as it could influence the Fed’s next move.Oil prices began a slight rebound after dropping more than one percent Monday on worries about demand as US recession speculation builds. However, both main contracts remain down around eight percent for the year so far.In company news, shares in Volkswagen dipped 0.1 percent as the German auto giant geared up for another tricky year after posting a sharp loss in annual profits for 2024.Tesla was up 3.8 percent and Amazon gained 1.1 percent after plunging the previous day, but tech heavyweight Apple extended its losses as it fell 2.9 percent.- Key figures around 2100 GMT -New York – Dow: DOWN 1.1 percent at 41,433.48 points (close)New York – S&P 500: DOWN 0.8 percent at 5,572.07 (close)New York – Nasdaq: DOWN 0.2 percent at 17,436.10 (close)London – FTSE 100: DOWN 1.2 percent at 8,495.99 (close)Paris – CAC 40: DOWN 1.3 percent at 7,941.91 (close)Frankfurt – DAX: DOWN 1.3 percent at 22,328.77 (close)Tokyo – Nikkei 225: DOWN 0.6 percent at 36,793.11 (close)Hong Kong – Hang Seng Index: FLAT at 23,782.14 (close)Shanghai – Composite: UP 0.4 percent at 3,379.83 (close)Euro/dollar: UP at $1.0915 from $1.0836 on MondayPound/dollar: UP at $1.2954 from $1.2878Dollar/yen: UP at 147.70 yen from 147.26 yenEuro/pound: UP at 84.26 pence from 84.13 penceWest Texas Intermediate: UP 0.3 percent at $66.25 per barrelBrent North Sea Crude: UP 0.4 percent at $69.56 per barrelburs-rl-bfm/st

Stock markets extend losses over US tariffs, recession fears

Global stock markets extended losses on Tuesday as US President Donald Trump waffled on the size of tariffs he will levy on Canadian steel, aggravating concerns his trade policies could push the United States toward recession.In New York, the Dow index of blue-chip stocks closed down 1.1 percent while the broad-based S&P 500 shed 0.8 percent.The tech-heavy Nasdaq dipped 0.2 percent, though Tesla and Amazon staged rebounds a day after the index closed four percent lower in its worst session since 2022.Europe’s main indices ended the day in the red, as did most in Asia.”Markets are jittery and volatility seems like the only certainty while the White House pushes hard to usher in a new era, seemingly happy for stock markets to be collateral damage,” said Matt Britzman, senior equity analyst at Hargreaves Lansdown.Traders had initially welcomed Trump’s election win in late 2024, optimistic that his promised tax cuts and deregulation would boost the world’s biggest economy and help equities push to further record highs.But there is growing concern that tariffs against key trading partners will reignite inflation, forcing the Federal Reserve to again start raising interest rates and triggering a recession.Since taking office in January, Trump has announced sweeping tariffs on imports from Canada, Mexico and China, though he had allowed a partial and temporary rollback for the two US neighbors.Tariffs on steel and aluminum are due to take effect on Wednesday, affecting a wide range of producers from Brazil to South Korea and the European Union.Trump announced earlier in the day that he was doubling the tariffs on Canadian steel and aluminum to 50 percent, in response to the Canadian province of Ontario imposing of a 25 percent surcharge on electricity exports to three US states.But by the afternoon, the plan had been binned, with Canada facing only a 25 percent tariff after midnight as originally planned.Analysts said investors were also concerned that Trump appears more willing to see stock markets fall than during his first term in office, after he said the economy was facing “a period of transition” and refused to rule out the risk of recession.”The problem for markets is that this is a man-made crisis,” said Kathleen Brooks, research director at the trading platform XTB.Trump’s “‘bull in a china shop’ approach to economic policy has spooked investors. The question is, will it continue to spook consumers, the life blood of the US economy,” she said.- Oil sees slight rebound -Investors will also keep a close eye on US consumer inflation data on Wednesday, as it could influence the Fed’s next move.Oil prices began a slight rebound after dropping more than one percent Monday on worries about demand as US recession speculation builds. However, both main contracts remain down around eight percent for the year so far.In company news, shares in Volkswagen dipped 0.1 percent as the German auto giant geared up for another tricky year after posting a sharp loss in annual profits for 2024.Tesla was up 3.8 percent and Amazon gained 1.1 percent after plunging the previous day, but tech heavyweight Apple extended its losses as it fell 2.9 percent.- Key figures around 2100 GMT -New York – Dow: DOWN 1.1 percent at 41,433.48 points (close)New York – S&P 500: DOWN 0.8 percent at 5,572.07 (close)New York – Nasdaq: DOWN 0.2 percent at 17,436.10 (close)London – FTSE 100: DOWN 1.2 percent at 8,495.99 (close)Paris – CAC 40: DOWN 1.3 percent at 7,941.91 (close)Frankfurt – DAX: DOWN 1.3 percent at 22,328.77 (close)Tokyo – Nikkei 225: DOWN 0.6 percent at 36,793.11 (close)Hong Kong – Hang Seng Index: FLAT at 23,782.14 (close)Shanghai – Composite: UP 0.4 percent at 3,379.83 (close)Euro/dollar: UP at $1.0915 from $1.0836 on MondayPound/dollar: UP at $1.2954 from $1.2878Dollar/yen: UP at 147.70 yen from 147.26 yenEuro/pound: UP at 84.26 pence from 84.13 penceWest Texas Intermediate: UP 0.3 percent at $66.25 per barrelBrent North Sea Crude: UP 0.4 percent at $69.56 per barrelburs-rl-bfm/st

Portugal: le gouvernement de centre-droit tombe après le refus des députés de lui accorder la confiance

Empêtré dans une polémique sur un possible conflit d’intérêts, le Premier ministre portugais de droite modérée Luis Montenegro est démissionnaire après le refus des députés mardi de lui accorder la confiance, un vote qui pourrait ouvrir la voie à des élections anticipées.Le gouvernement a “tout tenté jusqu’à la dernière minute pour éviter des élections anticipées”, a déclaré M. Montenegro à la sortie du Parlement.Mardi soir, après plus de 3h30 de débats houleux, la séance avait été suspendue pour une heure au Parlement, le temps pour le PSD (parti social-démocrate, centre-droit) du Premier ministre et le Parti socialiste de tenter des négociations de la dernière chance.Mais l’interruption n’a pas permis d’aplanir le différend entre les deux formations, et les socialistes, comme ils l’avaient annoncé, ont voté contre la confiance au gouvernement, au côté notamment de la formation d’extrême droite Chega.En jeu: la participation éventuelle de Luis Montenegro à une commission d’enquête parlementaire formellement demandée lundi par les socialistes.Le PSD s’était engagé pendant le débat à ce qu’il y prenne part, réclamant en retour qu’elle ne dure que 15 jours, puis jusqu’à fin mai — ce qu’a refusé fermement le leader du Parti socialiste Pedro Nuno Santos, fustigeant des “arrangements” et estimant que ce n’était pas au gouvernement d’en fixer les règles.”Le PS est resté intransigeant dans sa proposition de prolonger la durée de la commission d’enquête, souhaitant ainsi que la dégradation politique (…) dure le plus longtemps possible”, a regretté M. Montenegro qui se défend d’avoir commis des irrégularités.Au cœur de la polémique: une entreprise de prestation de services détenue par sa femme et ses enfants ayant des contrats avec plusieurs sociétés privées, parmi lesquelles un groupe dont l’activité est soumise à des concessions accordées par l’État.- “Approfondir mes réponses” -Luis Montenegro a déjà annoncé que cette entreprise serait désormais strictement détenue par ses enfants. Mais l’opposition continue d’insister pour qu’il apporte davantage d’explications.”Il est normal de continuer d’avoir des doutes”, a insisté le leader du PS, sommant M. Montenegro de s’expliquer dans le cadre de la “commission d’enquête parlementaire” que son parti a proposée.”Je suis prêt à approfondir mes réponses”, a affirmé pour sa part le chef du gouvernement.”Je sais que les Portugais ne veulent pas d’élections”, a-t-il reconnu, “mais je sais aussi qu’ils ne me pardonneront pas si nous entraînons le pays vers le bas”, s’est justifié M. Montenegro pour qui le vote de confiance était nécessaire “dans un souci de vérité et de transparence”.Le rejet de la confiance par le Parlement, où le gouvernement ne disposait pas de la majorité absolue, pourrait ouvrir la voie à des élections législatives anticipées, les troisièmes depuis début 2022.Il revient au président, le conservateur Marcelo Rebelo de Sousa, de décider de dissoudre ou non le Parlement.Le chef de l’Etat doit recevoir les partis représentés au Parlement mercredi en commençant par le PSD, puis l’opposition socialiste. Jeudi, il a convoqué le conseil d’État, un organe consultatif composé des plus hautes personnalités de l’Etat.Il se prononcera ensuite sur l’issue qu’il souhaite donner à la crise.Si elles sont convoquées, des élections législatives anticipées pourraient se tenir le 11 ou le 18 mai, a déjà indiqué M. Rebelo de Sousa.Arrivé au pouvoir il y a à peine un an,M. Montenegro, qui a déjà surmonté deux motions de censure, a fait savoir qu’il serait candidat à sa succession en cas d’élections anticipées.

Portugal: le gouvernement de centre-droit tombe après le refus des députés de lui accorder la confiance

Empêtré dans une polémique sur un possible conflit d’intérêts, le Premier ministre portugais de droite modérée Luis Montenegro est démissionnaire après le refus des députés mardi de lui accorder la confiance, un vote qui pourrait ouvrir la voie à des élections anticipées.Le gouvernement a “tout tenté jusqu’à la dernière minute pour éviter des élections anticipées”, a déclaré M. Montenegro à la sortie du Parlement.Mardi soir, après plus de 3h30 de débats houleux, la séance avait été suspendue pour une heure au Parlement, le temps pour le PSD (parti social-démocrate, centre-droit) du Premier ministre et le Parti socialiste de tenter des négociations de la dernière chance.Mais l’interruption n’a pas permis d’aplanir le différend entre les deux formations, et les socialistes, comme ils l’avaient annoncé, ont voté contre la confiance au gouvernement, au côté notamment de la formation d’extrême droite Chega.En jeu: la participation éventuelle de Luis Montenegro à une commission d’enquête parlementaire formellement demandée lundi par les socialistes.Le PSD s’était engagé pendant le débat à ce qu’il y prenne part, réclamant en retour qu’elle ne dure que 15 jours, puis jusqu’à fin mai — ce qu’a refusé fermement le leader du Parti socialiste Pedro Nuno Santos, fustigeant des “arrangements” et estimant que ce n’était pas au gouvernement d’en fixer les règles.”Le PS est resté intransigeant dans sa proposition de prolonger la durée de la commission d’enquête, souhaitant ainsi que la dégradation politique (…) dure le plus longtemps possible”, a regretté M. Montenegro qui se défend d’avoir commis des irrégularités.Au cœur de la polémique: une entreprise de prestation de services détenue par sa femme et ses enfants ayant des contrats avec plusieurs sociétés privées, parmi lesquelles un groupe dont l’activité est soumise à des concessions accordées par l’État.- “Approfondir mes réponses” -Luis Montenegro a déjà annoncé que cette entreprise serait désormais strictement détenue par ses enfants. Mais l’opposition continue d’insister pour qu’il apporte davantage d’explications.”Il est normal de continuer d’avoir des doutes”, a insisté le leader du PS, sommant M. Montenegro de s’expliquer dans le cadre de la “commission d’enquête parlementaire” que son parti a proposée.”Je suis prêt à approfondir mes réponses”, a affirmé pour sa part le chef du gouvernement.”Je sais que les Portugais ne veulent pas d’élections”, a-t-il reconnu, “mais je sais aussi qu’ils ne me pardonneront pas si nous entraînons le pays vers le bas”, s’est justifié M. Montenegro pour qui le vote de confiance était nécessaire “dans un souci de vérité et de transparence”.Le rejet de la confiance par le Parlement, où le gouvernement ne disposait pas de la majorité absolue, pourrait ouvrir la voie à des élections législatives anticipées, les troisièmes depuis début 2022.Il revient au président, le conservateur Marcelo Rebelo de Sousa, de décider de dissoudre ou non le Parlement.Le chef de l’Etat doit recevoir les partis représentés au Parlement mercredi en commençant par le PSD, puis l’opposition socialiste. Jeudi, il a convoqué le conseil d’État, un organe consultatif composé des plus hautes personnalités de l’Etat.Il se prononcera ensuite sur l’issue qu’il souhaite donner à la crise.Si elles sont convoquées, des élections législatives anticipées pourraient se tenir le 11 ou le 18 mai, a déjà indiqué M. Rebelo de Sousa.Arrivé au pouvoir il y a à peine un an,M. Montenegro, qui a déjà surmonté deux motions de censure, a fait savoir qu’il serait candidat à sa succession en cas d’élections anticipées.

Train hostage survivors in Pakistan recount ‘panic’ amid blasts

Hostages freed from a train siege in southwestern Pakistan on Tuesday said they walked for hours through mountainous terrain to reach safety, forced to leave behind relatives from whom they were separated.Militants waging a war of independence against the Pakistani state set off explosions on the railway track in a remote area of Balochistan, forcing the train to a halt and taking more than 450 passengers hostage.”I can’t find the words to describe how we managed to escape. It was terrifying,” Muhammad Bilal told AFP.Bilal had been traveling with his mother on the Jafar Express train when it was caught in the explosive crossfire, leaving at least three dead, according to a railway official.More than 100 hostages have been freed from the train, which remains held up by rebel forces.”I heard an explosion followed by gunfire as militants boarded the train,” passenger Allahditta told AFP at the train station in Mach, where the waiting area has been transformed into a makeshift hospital to treat the wounded. “People began hiding under the seats in panic. The militants separated the men from the women. They allowed me and my family to go because I told them I’m a heart patient,” the 49-year-old said.- ID checks -“We walked for a long time through the mountains to reach the nearest station. I haven’t eaten since I began fasting this morning, but I still can’t bring myself to eat,” Allahditta added, in reference to the Muslim holy month of Ramadan.One passenger described gunmen sorting through identity cards to confirm who was from outside of the province, similar to a spate of recent attacks carried out by the Baloch Liberation Army, which has claimed credit for the seige. “They came and checked IDs and service cards and shot two soldiers in front of me and took the other four to, I don’t know where,” said one passenger who asked not to be named, after walking four hours to the nearest train station.”They checked IDs and those who were Punjabis were taken away by the terrorists,” he added. The BLA claim the region’s natural resources are being exploited by outsiders and has increased attacks targeting Pakistanis from other regions.Late on Tuesday, survivors walked through rugged terrain to the nearest train station and travelled to Mach, about 200 kilometres (124 miles) from the Iran border. The first trains carrying survivors arrived late on Tuesday evening to be met by paramilitary forces and doctors. “I am treating two (police) officers, one was shot five times, while the other was wounded in his knee,” said paramedic Qazim Farooq.