Weekend Papers Summary
FINANCIAL TIMES
-At least 60 people died and over 100 were injured in a terrorist attack on a concert venue in Moscow, where a band called Picnic was due to perform. The attack, which took place at the Crocus City Hall, was the largest loss of life in a terrorist attack in Russia in at least a decade and recalled the Islamist insurgencies that marked the first decade of President Vladimir Putin's rule. Russia's Investigative Committee reported that over 60 people died in the attack, and a search is ongoing for the attackers. The Kremlin has heard reports from the heads of four Russian security agencies on the investigation.
-Microsoft has hired two founders of Inflection, a US-based AI start-up, and many of its 70 employees to oversee Microsoft AI. The move follows Microsoft's $13B investment in OpenAI and a partnership with France's Mistral. Microsoft's hiring spree demonstrates its intent to ally with ambitious AI start-ups and command the market. The company's hyperactivity and investor hype about AI have helped it re-emerge as the world's most valuable public company, with a market value of $3.1T, more than all companies listed on London's FTSE 100 index combined.
-Donald Trump's social media business, Trump Media & Technology Group, will be publicly listed on the NASDAQ exchange next week, potentially generating a $3B windfall for him. The decision comes as Trump faces mounting legal bills ahead of the most expensive election campaign in US history. He has been struggling to raise nearly $500M to prevent assets from being seized. Trump is subject to a lock-up agreement that prevents him from selling his shares for six months, but may use his stake as collateral to borrow money.
-US senators reached a late agreement to avoid a partial government shutdown over a $1.2T spending bill, preventing a budget stand-off that could lead to the closure of non-essential federal agencies. The Senate majority leader, Chuck Schumer, announced the deal before midnight. The White House welcomed the progress, stating it had stopped shutdown preparations due to confidence in Congress passing the necessary appropriations. However, the House approved the spending bill with broad bipartisan support, triggering backlash from Republican allies who objected to the compromise.
-Iceland is aiming to prioritize food security over financial gain, planting corn, and curbing bitcoin miners as the country seeks self-sufficiency in a hostile world. Prime Minister Katrín Jakobsdóttir believes recent protests by European farmers and disruptions in trade have led to a need to reduce reliance on imports. She also plans to reallocate precious renewable electricity from data centers to housing and other industries, prioritizing the energy needs of Iceland's 375,000 citizens.
-Russia and China vetoed a US resolution calling for an immediate ceasefire in Gaza at the UN Security Council, blocking Washington's attempt to distance itself from Israel's Hamas war. Moscow and Beijing's decision reveals the US's diplomatic difficulties at the UN, where it traditionally uses its Security Council veto rights to protect Israel. Moscow's ambassador to the UN, Vassilily Nebenzia, criticized the initiative as "hypocritical" and an instrument for Washington's Middle East policy.
-Germany and France have reached a "breakthrough" on plans for a joint tank, marking a sign of mending Franco-German ties. The talks took place in Berlin, amid tensions between French President Emmanuel Macron and German chancellor Olaf Scholz over weapons deliveries to Kyiv and funding for European defense. Scholz has opposed Macron's idea of issuing euro bonds to fund arms makers in Europe and the French president's suggestion to send ground troops to fight in Ukraine. The talks showed that both countries are in the same boat and know their desired direction. The breakthrough is seen as an expression of the significance, strength, and opportunities of Franco-German co-operation and friendship.
-Marjorie Taylor Greene, a hardline Republican congresswoman and close ally of Donald Trump, has launched a bid to remove Mike Johnson as Speaker of the House of Representatives amid chaos in the party's slim majority. Greene said Johnson had filed a motion to vacate as a warning about her push to remove him from office. Greene's move was triggered by a House vote to approve a budget for the federal government until the end of the fiscal year in September. Greene and other Republicans have criticized the compromise with Democrats, arguing it would entrench high spending levels.
-UN secretary-general António Guterres confirmed that all seven members of Haiti's transitional presidential council have been nominated, announcing the appointment of a temporary government to replace Prime Minister Ariel Henry and arranging elections. Meanwhile, police have claimed a rare success in their war against gangs, killing Ernst Julme, head of the Delmas 95 gang. Haiti, the poorest nation in the Americas, has been grappling with worsening violence and poverty since the assassination of President Jovenel Moïse in 2021.
THE NEW YORK TIMES
-The Islamic State-Khorasan branch claimed responsibility for a Moscow attack that killed at least 60 people and injured 100 others. The US collected intelligence in March that ISIS-K, based in Afghanistan, had been planning an attack on Moscow. The group has been trying to increase its external attacks, but most of these plots in Europe have been thwarted, indicating diminished capabilities. ISIS-K has been fixated on Russia for the past two years, frequently criticizing President Vladimir V. Putin and accusing the Kremlin of having Muslim blood. (Note, Russian and other international sources have vehemently rejected the ISIS link to the attack as fake news).
-The Senate approved a $1.2T spending bill to fund over half of the US government, averting a shutdown by sending the legislation to President Biden just hours after a midnight deadline. The 74-to-24 vote capped an extraordinary day on Capitol Hill, which began with a bipartisan vote to speed the measure through the House. The Senate action came more than 12 hours after the House vote, after intense haggling to arrange politically charged votes on proposed changes to the legislation. The delay underscores the difficulties in spending negotiations and is a fitting coda to an excruciating set of talks to fund the government through the end of the fiscal year, Sept. 30, six months behind schedule.
-Alaska Airlines passengers who made an emergency landing after a fuselage panel blew off this year have received letters from the FBI identifying them as possible victims of a crime. The letters are a sign that a criminal investigation into Boeing, the manufacturer of the 737 Max 9 jet, is ramping up. The panel, carrying 171 passengers and six crew members, blew off at an altitude of 16,000 feet shortly after the plane left Portland, Oregon, airport in early January. The National Transportation Safety Board said the panel, known as a door plug, was missing four bolts meant to secure it in place.
-Narendra Modi, the Indian prime minister, has been attempting to transform India into a monolith dominated by his Hindu nationalist vision. While the media, legislature, and courts have been largely shaped by his will, some of India's richest states remain critical holdouts. The future of the world's largest democracy and its economic trajectory may depend on the power struggle that has ensued. Modi is expected to win a third term in the national election on April 19.
-Senator Sherrod Brown, a Democrat from Ohio, faces a tough campaign in 2024 due to a Republican Party determined to win his seat and a Democratic president hanging off him. Brown, who has won his seat in 2006, 2012, and 2018, has a strong message of fighting for Ohioans and believes he can win in a state that is a little more Republican. He has been elected Ohio's secretary of state in 1982 and has a casual confidence that he can win again in firmly red Ohio, where he is the last Democrat holding statewide office.
-Chicago voters rejected an increase to the city's transfer tax on high-value properties in a referendum, leaving unfulfilled a long-time goal of Mayor Brandon Johnson and progressive Democrats. Real estate groups warned that the new rates would have been catastrophic to the downtown office market, which was already losing value and struggling with vacancies. The vote came at an uncertain political moment in Chicago, a Democrat-dominated city where homelessness has become more visible since the pandemic and an influx of migrants has strained resources.
THE NEW YORK POST
-United Airlines has announced that US safety regulators will increase scrutiny of the airline following a series of safety incidents. The Federal Aviation Administration (FAA) will be more present in the company's operations over the next few weeks as they review work processes, manuals, and facilities. The Chicago-based airline has experienced several emergencies in the past two weeks, including an external panel missing from a United aircraft in Oregon, a fuel leak during takeoff, and a Boeing 777-200 losing a tire after takeoff from San Francisco. The incidents have prompted the airline to pause and evaluate potential changes to make it safer.
-Bentley's (part of VW Group) CEO, Adrian Hallmark, has announced that the luxury carmaker's sales slumped 11% in 2023, the first decline after four consecutive years of growth. Hallmark blamed the emotional sensitivity among wealthy customers for the decline, stating that despite customers being able to afford Bentley cars, demand was slowed down due to emotional sensitivity. Bentley will no longer have Hallmark at the helm and will move on to run rival luxury brand Aston Martin, effective October 1. Bentley also attributed the drop in sales to high-earning customers being worried about the possible gaucheness of being seen in a Bentley if friends, family, or employees are facing increased economic hardship. Customers are also sensitive to changes in interest rates, which raise their payments when they receive a quote to change the car.