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Stock market today: Wall Street hits records despite tariff talk

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Stock market today: Wall Street hits records despite tariff talk

By STAN CHOE

NEW YORK (AP) — U.S. stocks rose to records Tuesday after Donald Trump’s latest talk about tariffs created only some ripples on Wall Street, even if they could roil the global economy were they to take effect.

The S&P 500 climbed 0.6% to top the all-time high it set a couple weeks ago. The Dow Jones Industrial Average added 123 points, or 0.3%, to its own record set the day before, while the Nasdaq composite gained 0.6% as Microsoft and Big Tech led the way.

Stock markets abroad mostly fell after President-elect Trump said he plans to impose sweeping new tariffs on Mexico, Canada and China once he takes office. But the movements were mostly modest. Stock indexes were down 0.1% in Shanghai and nearly flat in Hong Kong, while Canada’s main index edged down by less than 0.1%.

Trump has often praised the use of tariffsbut investors are weighing whether his latest threat will actually become policy or is just an opening point for negotiations. For now, the market seems to be taking it more as the latter.

AP AUDIO: Stock market today: Wall Street hangs near its records despite tariff talk

The AP’s Seth Sutel reports Wall Street hangs near its records despite tariff talk.

The consequences otherwise for markets and the global economy could be painful.

Unless the United States can prepare alternatives for the autos, energy products and other goods that come from Mexico, Canada and China, such tariffs would raise the price of imported items all at once and make households poorer, according to Carl Weinberg and Rubeela Farooqi, economists at High Frequency Economics.

They would also hurt profit margins for U.S. companies, while raising the threat of retaliatory tariffs by other countries. And unlike tariffs in Trump’s first term, his latest proposal would affect products across the board.

General Motors sank 9%, and Ford Motor fell 2.6% because both import automobiles from Mexico. Constellation Brands, which sells Modelo and other Mexican beer brands in the United States, dropped 3.3%. The value of the Mexican peso fell 1.8% against the U.S. dollar.

Beyond the pain such tariffs would cause U.S. households and businesses, they could also push the Federal Reserve to slow or even halt its cuts to interest rates. The Fed had just begun easing its main interest rate from a two-decade high a couple months ago to offer support for the job market. While lower interest rates can boost the economy, they can also offer more fuel for inflation.

“Many” officials at the Fed’s last meeting earlier this month said they should lower rates gradually, according to minutes of the meeting released Tuesday afternoon.

The talk about tariffs overshadowed another mixed set of profit reports from U.S. retailers that answered few questions about how much more shoppers can keep spending. They’ll need to stay resilient after helping the economy avoid a recession, despite the high interest rates imposed by the Fed to get inflation under control.

A report on Tuesday from the Conference Board said confidence among U.S. consumers improved in November, but not by as much as economists expected.

Kohl’s tumbled 17% after its results for the latest quarter fell short of analysts’ expectations. CEO Tom Kingsbury said sales remain soft for apparel and footwear. A day earlier, Kingsbury said he plans to step down as CEO in January. Ashley Buchanan, CEO of Michaels and a retail veteran, will replace him.

Best Buy fell 4.9% after likewise falling short of analysts’ expectations. Dick’s Sporting Goods topped forecasts for the latest quarter thanks to a strong back-to-school season, but its stock lost an early gain to fall 1.4%.

Still, more stocks rose in the S&P 500 than fell. J.M. Smucker had one of the biggest gains and climbed 5.7% after topping analysts’ expectations for the latest quarter. CEO Mark Smucker credited strength for its Uncrustables, Meow Mix, Café Bustelo and Jif brands.

Big Tech stocks also helped prop up U.S. indexes. Gains of 3.2% for Amazon and 2.2% for Microsoft were the two strongest forces lifting the S&P 500.

All told, the S&P 500 rose 34.26 points to 6,021.63. The Dow gained 123.74 to 44,860.31, and the Nasdaq composite climbed 119.46 to 19,174.30.

In the bond market, Treasury yields held relatively steady following their big drop from a day before driven by relief following Trump’s pick for Treasury secretary.

The yield on the 10-year Treasury inched up to 4.29% from 4.28% late Monday, but it’s still well below the 4.41% level where it ended last week.

In the crypto market, bitcoin continued to pull back after topping $99,000 for the first time late last week. It’s since dipped back toward $91,000, according to CoinDesk.

It’s a sharp turnaround from the bonanza that initially took over the crypto market following Trump’s election. That boom had also appeared to have spilled into some corners of the stock market. Strategists at Barclays Capital pointed to stocks of unprofitable companies, along with other areas that can be caught up in bursts of optimism by smaller-pocketed “retail” investors.

___

AP Business Writer Elaine Kurtenbach contributed.

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The Dictatorship

U.S. military carries out new strikes in Iran, says ceasefire continues

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U.S. military carries out new strikes in Iran, says ceasefire continues

The U.S. military on Wednesday carried out new strikes in Iran, shooting down four attack drones and targeting a ground control station. The military stated both the drones and ground facility posed a threat to the Strait of Hormuz, a U.S. official said in a statement to MS NOW.

The official said the ceasefire agreement remains in effect and described the U.S. military actions as intended to maintain the ceasefire.

“Today, U.S. Central Command forces shot down four Iranian one-way attack drones that posed a threat around the Strait of Hormuz. U.S. forces also struck an Iranian ground control station in Bandar Abbas that was about to launch a fifth drone. These actions were measured, purely defensive, and intended to maintain the ceasefire,” the official said in the statement.

At least three explosions were heard east of Bandar Abbas, a port city in Iran along the Strait of Hormuz, The New York Times and CNN reported, both citing Iranian state media. The explosions briefly activated Bandar Abbas’ air defense systems, Fars News Agency, a media outlet affiliated with Iran’s Islamic Revolutionary Guard Corps, reported early Thursday local time.

The latest strikes come amid an unstable ceasefire agreement between the U.S. and Iran.

Speaking at a Cabinet meeting at the White House earlier Wednesday, President Donald Trump said Iran wants “very much to make a deal” but “they haven’t gotten there,” adding that Iran was “negotiating on fumes.”

“We’re not satisfied with it, but we will be,” Trump said. “Either that or we’ll have to just finish the job. Their navy is gone … their air force is gone, everything’s gone. And they’re negotiating on fumes. But we’ll see what happens. Maybe we have to go back and finish it, maybe we don’t.”

On MondayU.S. Central Command said in a statement that the U.S. carried out “self-defense” strikes on missile launch sites and boats in southern Iran in order “to protect our troops from threats posed by Iranian forces.” That same day, Trump said in a Truth Social post that negotiations with Iran were “proceeding nicely!”

Julia Jester covers politics for MS NOW and is based in Washington, D.C.

Carla Herreria is an editor for MS NOW’s breaking news and liveblog team. She was previously a senior assignment editor at HuffPost.

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Trump’s plan for white South Africans is straight out of the KKK’s playbook

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Trump’s plan for white South Africans is straight out of the KKK’s playbook

President Donald Trump’s racist policy of welcoming white South Africans while excluding refugees from other countries is back in the spotlight after his administration raised its refugee ceiling — to bring in more white people.

According to Reuters:

Trump increased the refugee admissions ceiling by 10,000 for ‌this year to allow more white South Africans to come into the country, a signed presidential determination reviewed by Reuters showed.

The document, dated May 21, said white South Africans of Afrikaner ethnicity face an emergency situation due to the “incitement of racially motivated violence” by the government and political parties in the majority-Black ​country.

The document, found herecites an “unforeseen emergency refugee situation” that doesn’t actually exist. Trump and his allies have pushed false claims that a “white genocide” is occurring, but South Africa’s government — and even advocacy groups representing the country’s white Afrikaner minority — have rejected the claim.

Reuters reported that the increased refugee limit is now 17,500 — and that only three non-South African refugees have been admitted into the U.S. this fiscal year. Reuters previously reported that the administration wanted to bring in 4,500 white South Africans immigrants per montha number that I noted mirrors the number of white German refugees the Ku Klux Klan wanted to welcome to the United States a century ago — when its members were popularizing xenophobic slogans like “America First” and launching campaigns of racist terror against people of color.

It’s noteworthy here that white supremacists have latched on to racist conspiracy theories, such as the “replacement theory,” saying that there is some kind of plot to replace white Americans with nonwhite people, particularly foreigners. In reality, what’s actually underway is the exact opposite: a government effort to deport nonwhite people in America — including people who have lived in the U.S. for years — while Trump’s regime takes steps to import white people, and as some conservatives fret over white birth rates.

It’s hard to imagine the klan itself wouldn’t approve of this policy.

Ja’han Jones is an MS NOW opinion blogger. He previously wrote The ReidOut Blog.

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Democrats warn companies against aligning with Trump’s Jim Crow resurgence

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Democrats warn companies against aligning with Trump’s Jim Crow resurgence

Amid the Republican Party’s ongoing assault on Black peopleDemocrats are borrowing a tactic from 20th-century civil rights activists and putting corporate America on notice.

On Tuesday, the Congressional Black Caucus said it sent a letter to more than 200 companies and business organizations, urging them to oppose the GOP’s push to eliminate majority-Black districts after the Supreme Court’s Callais v. Louisiana decision, which effectively permitted racist gerrymandering.

In 2021, the companies sent a letter to Congress in support of the John Lewis Voting Rights Advancement Act, saying the legislation was needed to guard against racial discrimination and voter suppression. Signees on that letter included AppleDell and Googlewhose executives have since aligned themselves with President Donald Trump’s regime.

“Many corporations spoke clearly during that moment about the importance of protecting democratic participation, defending civil rights, and advancing racial equity,” the CBC’s letter reads. “Today, those commitments are being tested.”

The letter presses the companies to issue statements condemning the GOP’s push to dilute Black voters’ power, as well as information on corporate political spending. The pressure campaign follows the CBC’s public call for student-athletes to boycott public universities in states where Republicans have taken action against majority-Black voting districts.

Meanwhile, 16 Democratic state attorneys general sent a letter last week to three donor-advised funds urging them to lift restrictions on donations to the Southern Poverty Law Centeran anti-racist organization known for helping law enforcement officials take down white supremacist extremist groups. The charity-based arms of Fidelity and Vanguard, as well as a company called Donor Advised Charitable Giving, imposed the restrictions after the Trump administration’s baseless indictment of the SPLC. I recently wrote about how Trump allies have used these charges to downplay and outright deny the existence of racist extremismas well as spread lies about liberals being responsible for groups like the Ku Klux Klan.

This scrutiny of corporate America and its acquiescence to the MAGA movement has me thinking of a conversation I had with the Rev. Al Sharpton and the “Morning Joe” crew last week. During our chat, Sharpton warned that companies that align themselves with Trump’s war on diversity do so at their own risk, because Democrats could take steps in the future to hold these companies to account.

These letters show a strong interest among Democrats in pressuring companies that appear to be propping up, or placating, the rise of what many people see as Jim Crow 2.0.

Ja’han Jones is an MS NOW opinion blogger. He previously wrote The ReidOut Blog.

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