Mini ‘Sell America’ Vibe Revived After Moody’s Downgrades US

US Vice President JD Vance and Canadian Prime Minister Mark Carney held a high-level meeting in Rome on Sunday to resolve growing tariff tensions.

The meeting occurs as both economies feel the strain of rising trade barriers and shifting global alliances.

Vance’s office said the two leaders spoke candidly about restoring fair trade between our countries. Canada has groused about new US levies on agricultural goods and metals, and the United States has lashed out at Canada over tech and dairy.

Carney’s office did not comment on whether the leaders spoke and said they discussed efforts to work toward a ‘balanced’ economic relationship and a trading system based on rules. The two sides said they would continue to consult and look for ways to reduce trade friction.

The trade dispute rattling manufacturers and exporters on both sides of the border is merely one element of a broader cross-border pattern of global economic anxiety. Sunday’s meeting was a step toward de-escalation, but no specific policies were released.

Vance and Carney address security and border issues

The Rome meetings were about more than just trade. In a united front response to key regional and world issues, Vance and Carney also addressed border security, the opioid crisis, and military spending.

Among the topics of discussion was the increase in fentanyl trafficking. The two pledged more cooperation in the interception of drug shipments and dismantling smuggling networks. The United States has experienced a surge in fentanyl-related deaths, and there have been urgent appeals for international action.

Defense and security cooperation was also a focus. Carney and Vance reaffirmed their country’s commitment to NATO and discussed boosting defense spending as global tensions have mounted- from Eastern Europe to the Indo-Pacific. Both countries are exploring opportunities to modernize their militaries to help Ukraine and deter aggression from authoritarian states.

Migration and border control were also addressed. Both leaders recognized the need to secure their common border without impacting trade and people’s movement. There are said to be discussions on joint patrols and data sharing.

Leaders use Vatican gatherings to advance talks

The encounter between Vance and Carney occurred on the periphery of a historical religious and diplomatic event: the first mass of Pope Leo XIV celebrated in St Peter’s Basilica. The ceremony attracted heads of state, diplomats, and religious leaders worldwide, offering an ideal environment for hushed side encounters and renewed conversation.

Vance also met in Rome and held talks with Italian Prime Minister Giorgia Meloni, who is trying to mediate between the United States and the European Union. The discussions focused on global trade realignment, sustainable development, and financing climate.

A large dose of multilateral diplomacy has come around this weekend, allowing the leaders to align their positions ahead of the G7 summit in June. The Vance-Carney encounter is part of a North American leader’s push to show a united front on trade, security, and global cooperation.

While no immediate breakthroughs came out of Sunday’s meeting, it underscored the importance of diplomacy and dialogue. Negotiators for both sides said that follow-up talks would occur in the coming weeks and could lead to formal negotiations.

Source: CryptoSlate

U.S. President Donald Trump over the weekend said Walmart (NYSE:WMT) should absorb his import duties, and warned the retail giant against raising the prices of its products, which the company said it will do due to the levies.

Treasury Secretary Scott Bessent parroted Trump’s warning during an NBC interview on Sunday.

Trump said in a social media post that Walmart should “STOP trying to blame Tariffs as the reason for raising prices throughout the chain… Between Walmart and China they should, as is said, “EAT THE TARIFFS,” and not charge valued customers ANYTHING. I’ll be watching, and so will your customers!!!”

Trump’s warning comes just days after Walmart warned during an earnings call that it will be increasing its prices due to the impact of steep U.S. import tariffs, especially against China.

“Given the magnitude of the tariffs, even at the reduced levels announced this week, we aren’t able to absorb all the pressure,” Walmart senior vice president Stephanie Schiller Wissink said during an earnings call last week.

Other retailers, including footwear maker Birkenstock (NYSE:BIRK), also announced price increases due to Trump’s tariffs, while Nintendo Co Ltd (TYO:7974) warned that its upcoming videogame console, the Switch 2, could cost substantially more in the U.S. due to import duties.

The U.S. and China had last week announced a major deescalation in their bitter trade war, which will see the U.S. slash its tariffs on China to 30% from 145%, while Beijing lowered its U.S. tariffs to 10% from 125%, at least for the next 90 days.

But the tariffs on China, which is a major source of imports, still remain relatively high. Additionally, Trump’s sectoral tariffs, including duties on automobiles and commodity imports, are also expected to ramp up import costs for businesses, who in turn could pass them on to customers.

While Walmart sources a bulk of its items from the U.S., the retailer still depends on China for the import of several baby products, as well as items such as plastics.

Source: Investing

U.S. stock index futures fell on Sunday evening after Moody’s downgraded its investment grade rating on the U.S., ramping up concerns over slowing economic growth and heightened debt levels.

Comments from President Donald Trump’s administration that some U.S. companies, specifically Walmart, will have to absorb his trade tariffs, also kept investors fretting over the impact of the levies on corporate earnings.

Futures fell after Wall Street clocked a positive session on Friday, as a deescalation in the U.S.-China trade war sparked an extended rally in risk-driven stocks. But this rally was seen slowly petering out by Friday.

S&P 500 Futures fell 0.6% to 5,942.25 points, while Nasdaq 100 Futures fell 0.5% to 21,393.50 points by 19:52 ET (23:52 GMT). Dow Jones Futures fell 0.6% to 42,489.0 points.

Moody’s downgrades US rating, cites debt concerns

Moody’s downgraded the U.S. sovereign credit rating on Friday to Aa1 from Aaa, bringing the rating one notch lower from its highest rating.

The ratings agency cited concerns over the country’s growing $36 trillion debt pile, which could be exacerbated by Trump’s plans to cut taxes.

Moody’s cut was widely criticized by Trump’s administration, which touted several measures to bring down government spending and debt levels. But the measures, especially the Elon Musk-led Department of Government Efficiency- have so far made limited progress.

Trump’s trade tariffs, which he claims are aimed at increasing federal revenue and reducing the deficit- also sparked concerns over the U.S. economy, with turmoil in the bond market spurring Trump into postponing his plans for reciprocal trade tariffs.

Trump says Walmart should ‘eat the tariffs’

Trump over the weekend said that Walmart Inc (NYSE:WMT) should absorb price increases stemming from higher import tariffs, and warned the retail giant against any price increases.

His warning came after Walmart last week said it will not be able to absorb all of the tariff costs, and will need to increase prices on general merchandise coming in from China. Walmart said that even the lower tariffs agreed to by the U.S. and China last week stood to increase prices.

Walmart’s comments highlighted the growing headwinds faced by U.S. companies dependent on imports, as Trump sticks to his tariff agenda.

Walmart is the world’s biggest retailer and is largely seen as a bellwether for U.S. consumer strength.

Trump’s comments also pushed up concerns over the impact of his trade tariffs on other U.S. businesses, and to what extent they planned to pass on costs to consumers.

Still, a deescalation in the U.S.-China trade conflict helped Wall Street clock some gains last week. The S&P 500 rose 0.7% to 5,958.38 points on Friday, while the NASDAQ Composite rose 0.5% to 19,211.0 points. The Dow Jones Industrial Average rose 0.8% to 42.654.74 points.

Source: Investing

Former U.S. President Joe Biden has been diagnosed with an "aggressive form" of prostate cancer that has metastasized to the bone, his office said in a statement on Sunday.

Biden, 82, was diagnosed on Friday after having experienced urinary symptoms, and he and his family are reviewing treatment options with doctors, the statement said.

"While this represents a more aggressive form of the disease, the cancer appears to be hormone-sensitive which allows for effective management," his office said.

Biden, who served as president from 2021 to 2025, abruptly ended his bid for reelection last July, weeks after a halting performance during a debate against Republican candidate Donald Trump prompted panic among his fellow Democrats. Vice President Kamala Harris took over as the party's nominee but lost in November to Trump.

Biden's physical health and mental acuity drew intense media scrutiny even before the debate. At the time of his election, Biden was the oldest person to win the presidency.

Trump, 78, broke that record when he defeated Harris last year.

Reporting by Nandita Bose, Costas Pitas and Joseph Ax; Editing by Paul Simao, Colleen Jenkins and Rod Nickel

Source: Reuters

The Decline of Cash: South Korea’s Payment Habits in Transformation

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From E-Wallets to Stablecoins

But Cash Isn’t Dead Yet

Source: The Korean Times

Banxico Lowers Interest Rates as Growth Slows and Trade Risks Loom

Diverging Views on Monetary Path

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