Bonds & Stocks
US stocks, longer-dated Treasuries, and the dollar fell as traders reacted to President Donald Trump's threats to remove Federal Reserve Chairman Jerome Powell. The S&P 500 sank over 1%, the dollar index weakened to a 15-month low, and Treasuries fell, pushing the 10-year yield close to 4.4%, while haven assets like gold and the Swiss franc rallied.
Economy
Global central banks will mostly stand ready for interest-rate cuts in coming months to cushion their economies from US President Donald Trump’s trade war. Despite flux in implementation, his tariffs have so far depressed growth prospects everywhere and raised the risk of an American recession. The World Trade Organization has already predicted a decline in international commerce this year, and the International Monetary Fund is set to lower its outlook this week.
World
Pope Francis, who encouraged Catholics to embrace a more compassionate view on many issues but found it difficult to close the book on past abuses by clergy, has died. He was 88.