Know someone who would like this newsletter? Forward it to them.
The World
The Russian military said it successfully performed the first test of a new intercontinental ballistic missile, a weapon President Putin said would make the West “think twice” before harboring any aggressive intentions against Russia. Putin hailed the Sarmat launch, claiming that the new missile has no foreign analogues and is capable of penetrating any prospective missile defense. “This really unique weapon will strengthen the combat potential of our armed forces, reliably ensure Russia’s security from external threats and make those, who in the heat of frantic aggressive rhetoric try to threaten our country, think twice,” Putin said. (Associated Press)
The Biden administration leveled new sanctions against a Russian commercial bank, a Russian oligarch and Russia’s virtual-currency mining industry. “By operating vast server farms that sell virtual currency mining capacity internationally, these companies help Russia monetize its natural resources,” Under Secretary for Terrorism and Financial Intelligence Brian Nelson said. (Politico, CNBC)
Several finance ministers and central bankers including Treasury Secretary Janet L. Yellen and Ukraine’s finance minister, Serhiy Marchenko, abruptly left a Group of 20 meeting in protest on Wednesday when Russia’s finance minister, Anton Siluanov, started to speak, according to a person familiar with the meeting. (New York Times)
It's planting season in Ukraine, and that means problems for global food supply Russia's invasion of Ukraine sent ripples beyond the immediate conflict zone, breaking supply chains and creating food shortages as two of the world's biggest food exporters went to war. (WBUR)
Emmanuel Macron, France’s president, has accused his far-right rival Marine Le Pen of being beholden to Vladimir Putin and of risking civil war in France with her plans to curb Islamism. But in a combative television debate four days before the final vote of the presidential election, Macron was unable to land the same kind of killer blows that sealed Le Pen’s defeat in 2017. Le Pen, who has her best chance to date of becoming France’s first woman president and its first far-right head of state since the second world war, outlined her plans to drastically reduce “massive, anarchic” immigration, reform the EU and impose law and order. She accused the liberal Macron of having a “very bad economic record” and “an even worse social record” as president. (Financial Times)
French adults are fonder of the EU today than they were the last time they went to the polls. 48% of French adults in 2021 approved of the leadership of the EU, up from 39% shortly after Macron was elected in 2017. Although French adults have warmed to the EU under Macron's leadership, they are still largely divided, which may aid Le Pen. Almost as many French adults (45%) disapproved of the EU's leadership in 2021, which ranks them among the most disapproving in the bloc, along with Greeks (50%) and Italians (46%). (Gallup)
China’s navy has launched a hyper-sonic anti-ship missile from a cruiser, adding to concerns in the US about the country’s successful development of weapons that can travel at more than five times the speed of sound. (The Times)
The UK government is prepared to tear up the post-Brexit deal governing trade in Northern Ireland: Jacob Rees-Mogg, the Brexit opportunities minister, told a committee of MPs that if the EU did not reform the so-called Northern Ireland Protocol then the UK government was within its rights to take unilateral action. (Financial Times)
The DOJ is appealing a court ruling to reinstate the Biden administration’s mask mandate on planes, trains and other public transportation, after the CDC said the facial coverings were still necessary for indoor travel. The CDC asked the DOJ to appeal the ruling in order to protect Americans’ health as well as the CDC’s authority. (Politico)
The FAA said its "zero tolerance policy" toward unruly airline passengers will be made permanent: "Behaving dangerously on a plane will cost you; that’s a promise," acting FAA administrator Billy Nolen said. “Unsafe behavior simply does not fly and keeping our Zero Tolerance policy will help us continue making progress to prevent and punish this behavior.” (Axios)
A judge struck down the federal mask mandate for transit, though most voters were on board with extending it. (Morning Consult)
The Republican-led Florida Senate passed a bill that would eliminate a special tax district that allows Walt Disney Co. to govern the land where its theme parks sit, as lawmakers target the company for opposing legislation restricting classroom instruction on gender and sexuality. The GOP-led House will likely vote to approve the measure Thursday. Republican Gov. Ron DeSantis, who called for lawmakers to consider such a bill in a special session he convened this week, has made clear he would sign it. Losing the nearly 40-square-mile district near Orlando could be a major blow to Disney’s Florida operations. The special district, created in 1967 and known as the Reedy Creek Improvement District, exempts Disney from a host of regulations and certain taxes and fees. It has allowed the entertainment company to manage its theme parks and resorts in the state with little red tape for more than 50 years. (Wall Street Journal)
What is DeSantis doing? Why is he doing it? And what is a FL special tax district? (Politico)
NASA’s next destination for a flagship mission should be Uranus, says an influential advisory panel. The planet hasn't been visited since Voyager 2 whizzed by the ice-cold body in 1986. A mission could illuminate why it rotates nearly on its side and how it developed a complex magnetic field. Observations would provide insights into exoplanets, many of which appear to be Uranus-sized. Plus, the trip is doable with existing launch vehicles (if the agency can scrape up US$4.2 billion). (Nature)
Economy
U.S. home prices soared to a new record in March while mortgage rates continued to rise rapidly, slowing home sales in what has been the hottest housing market in more than 15 years. Existing-home sales fell 2.7% last month from February; March sales fell 4.5% from a year earlier. (Wall Street Journal)
Tesla posted a greater than sevenfold increase in 1Q22 profit to reach a record as Elon Musk said the company could boost vehicle production more than expected this year despite supply-chain bottlenecks and disruptions in China. Musk said Tesla likely would produce more than 1.5 million vehicles in 2022, up some 60% over last year. The company’s long-term goal is to increase vehicle deliveries by an average of 50% annually. Production in China would recover strongly, he said. (Wall Street Journal)
Foreign investors ditch Chinese debt at record pace as US yields soar. The outflow of onshore bonds hits $18bn on concerns about Beijing’s economic outlook. (Financial Times)
The dollar is reaching fresh nearly two-year highs, lifted by looming interest-rate increases from the Federal Reserve, strong U.S. growth and geopolitical jitters overseas. The Wall Street Journal Dollar Index, which measures the U.S. currency against a group of 16 others, has climbed in 13 of 15 sessions to its highest levels since May 2020. The dollar has gained more than 10% versus the Japanese yen this year and more than 5% against the euro. The index slipped 0.6% Wednesday. (Wall Street Journal)
Technology
Netflix shares fell 35.1%, recording their worst day since 2004, after the streaming giant reported that it lost subscribers in 1Q22. William Ackman, the billionaire investor whose fund bought more than three million shares of Netflix in January, said that the fund had sold its stake at a loss. In a letter to investors, Mr. Ackman said Netflix would reduce returns at the fund, Pershing Square, by four percentage points. That implies a loss of around $400 million. (Wall Street Journal)
Netflix's Q1 earnings show that Disney, Paramount, and other companies that reorganized around streaming video must deal with consistent subscriber volatility. (Hollywood Reporter)
70% of employees at an Atlanta Apple Store agree to hold a union election, making the Apple Store the first to file for a union election with the CWA. (New York Times)
The European Parliament's consumer protection committee votes 43 to 2 for a USB-C consumer electronics charging standard, ahead of a full parliament vote in May. (TechCrunch)
The tech bubble that never burst: The venture capitalists are sounding the alarm. At posh conferences, they buzz about falling valuations for start-ups. On CNBC, they bemoan the sudden lack of initial public offerings. Yet every time, more money has flooded into start-ups. Instead of a collapse, things got bubblier. (New York Times)
Smart Links
United forecasts a 2022 profit as passengers return and pay more to fly. (CNBC)
Your iOS app may still be covertly tracking you, despite what Apple says. (Ars Technica)
The big promise of brain-reading implants: Implants are becoming more sophisticated — and are attracting commercial interest. (Nature)
Crypto millionaires are pouring money into Central America to build their own cities. (MIT Technology Review)
Water conflicts are on the rise. (Statista)