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US stocks advanced at open on Thursday following strong earnings from major technology firms, which helped ease concerns that economic headwinds could derail momentum.

The S&P 500 rose nearly 1%, the Nasdaq Composite added almost 2%, and the Dow Jones Industrial Average gained 233 points, or 0.6%.

Investor sentiment improved after Meta Platforms reported better-than-expected revenue for the first quarter.

Meta posted first-quarter revenue of $42.31 billion, topping the average analyst estimate of $41.40 billion, according to LSEG data.

Earnings came in at $6.43 per share, ahead of expectations for $5.28 per share.

On its earnings call, CEO Mark Zuckerberg said the company is “performing very well” and is “well-positioned to navigate the macroeconomic uncertainty.”

Microsoft also delivered strong results, with both revenue and profit exceeding expectations in its fiscal third quarter.

Microsoft reported revenue of $70.07 billion and earnings of $3.46 per share for the quarter, surpassing analyst expectations.

Forecasts had called for revenue of $68.42 billion and earnings of $3.22 per share.

Its Azure cloud business posted solid growth, and the company issued optimistic guidance.

Microsoft shares rose around 10%, while Meta climbed around 6%. Nvidia and other AI-related stocks also moved higher, with Nvidia gaining more than 4%.

US jobless claims came spike

Initial jobless claims rose more than expected last week, signaling potential strain in the US labor market as broader economic indicators weaken.

The Labor Department reported Thursday that seasonally adjusted initial claims totaled 241,000 for the week ended April 26, an increase of 18,000 from the prior week and above the 225,000 estimate from economists surveyed by Dow Jones.

This marked the highest reading since February 22.

Continuing claims, which are reported with a one-week lag and offer a broader view of unemployment trends, climbed to 1.92 million, up 83,000 from the previous week and the highest level since November 13, 2021.

A significant portion of the increase came from New York, where unadjusted claims more than doubled to 30,043. The report did not provide a specific explanation for the surge.

The District of Columbia, which had experienced a notable rise in claims earlier this year amid efforts by President Donald Trump to reduce the federal workforce, recorded a modest uptick last week.

The data follows Wednesday’s GDP report showing a 0.3% annualized contraction in the first quarter, the first decline in three years.

That drop was driven largely by a spike in imports ahead of new tariffs, alongside softer consumer spending and reduced government expenditures.

The post Meta, Microsoft Q1 results drive US stocks higher: Nasdaq surges 2%, S&P up 1% appeared first on Invezz

Shares of Tesla were flat in early trading Thursday after the electric vehicle maker denied a Wall Street Journal report claiming its board was actively searching for a successor to CEO Elon Musk.

The stock had initially dropped as much as 3% in overnight trading following the story, before recovering most of those losses.

Despite the modest rebound, Tesla shares remain under significant pressure.

Year to date, the stock has lost more than 25% of its value, extending a period of pronounced volatility.

Tesla’s shares surged from around $250 ahead of the US election to a post-election high of $480, fueled by investor optimism over a second Trump term and Musk’s perceived influence in the new administration.

That rally quickly reversed. Disappointing first-quarter delivery figures and increasing scrutiny over Musk’s political involvement triggered a sharp selloff, sending the stock down to just above $220 by April 8.

Together with operational headwinds, these factors have weighed on investor sentiment and added pressure to Tesla’s valuation.

Is Tesla replacing Elon Musk?

Tesla has denied a report by The Wall Street Journal claiming that its board is searching for a successor to CEO Elon Musk.

The report, citing unnamed sources, said board members had contacted executive search firms to begin a formal process to identify a new chief executive.

In response, Tesla chair Robyn Denholm dismissed the claims as “absolutely false” in a post on X.

Earlier today, there was a media report erroneously claiming that the Tesla Board had contacted recruitment firms to initiate a CEO search at the company.

This is absolutely false (and this was communicated to the media before the report was published).

The CEO of Tesla is

0

Reply

“Earlier today, there was a media report erroneously claiming that the Tesla Board had contacted recruitment firms to initiate a CEO search at the company,” she wrote.

The denial comes amid a period of weaker performance for the electric vehicle maker. Tesla recently reported lower-than-expected sales and profits for the first quarter.

Musk has acknowledged that his role in the Trump administration may be weighing on the company’s stock.

On last week’s earnings call, Musk said he expects to dedicate only “a day or two per week” starting in May to his new government position, the Department of Government Efficiency.

Tesla’s key man risk

While Tesla has denied the Wall Street Journal report, the story highlights how “perhaps no other company has as large a key man risk,” UBS analysts led by Joseph Spak told clients in a note Wednesday.

Tesla is at a critical juncture right now, Spak wrote.

The core business is still focused on cars, but “the bull case narrative is that Tesla is an AI company, with Musk himself indicating in various ways that the value of Tesla is tied to autonomous vehicles and humanoid robots,” Spak said.

Whether another executive can fill Musk’s shoes is uncertain.

“Finding a CEO who can captivate the market and investors as much as Musk is a tall task,” Spak said.

UBS rates Tesla a sell with a $190 price target, 33% below where the stock closed Wednesday. 

The post Tesla shares trade flat as company denies Musk replacement reports appeared first on Invezz

President Donald Trump said public entitlements, such as Social Security and Medicaid, will not be touched in the GOP’s contentious new budget bill currently working its way through Congress, during a town hall Tuesday night hosted by NewsNation.

Earlier this month, the Republican-led House of Representatives approved $2 trillion in spending cuts. Those cuts did not include any slashes to Social Security, but it did pave the way for cuts to Medicaid. 

However, in the Senate, Republicans have proposed implementing just $4 billion in cuts, a fraction of what House Republicans have called for. Meanwhile, a number of GOP senators have also expressed hesitancy over making cuts to Medicaid, setting up a potential intra-party battle over the matter.

‘We’re not doing anything with entitlements,’ Trump told NewsNation’s Chris Cuomo, who was moderating the event alongside Bill O’Reilly and sports commentator Stephen A. Smith.

‘If you look at Social Security – and by the way – I think I’m better to say this than anybody, because I did nothing with entitlements that would hurt people for four years. I could have done that. If I was going to do that, I would have done it, five years ago, six years ago or seven years ago. I’m not doing anything.’ 

However, Trump did say that he is undeterred from reforming public entitlements, like Medicaid, to ensure they are free of waste, fraud and abuse. 

‘There are a lot of illegal aliens that are getting Medicaid that shouldn’t be getting it. And nobody objects to taking people off Medicaid that aren’t allowed to be there,’ Trump added. ‘But we are doing absolutely nothing to hurt Medicare, Medicaid or Social Security. Nothing at all.’

Republicans, who are using a process known as reconciliation to bypass a senate filibuster, are hoping to finalize their plans for a new budget by Memorial Day, according to media reports. However, the GOP must come to a deal on where to cut funding to pay for many of the tax cuts they want to provide. 

‘Guess what, boys? It’s game time. We’re here, and you’ve got mandatory spending sitting in front of you, and it’s Medicaid,’ Rep. Chip Roy, R-Texas, told NBC News this week. ‘If they’re not going to vote for Medicaid reform, which is very much possible, and frankly, it’s our duty, then I want them to explain to me why they are for allowing the tax cuts to snap back in place. Because it’s the only math that will actually work. So anyone who is against Medicaid reform is for a tax increase.’

Meanwhile, centrist Republicans like Reps. Jeff Van Drew, R-N.J., and Don Bacon, R-Neb., have indicated to Speaker Mike Johnson that they will not vote for any GOP budget bill that proposes deep cuts to Medicaid.

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NEWYou can now listen to Fox News articles!

Congress passed the REAL ID Act in 2005, a few years after the 9/11 attacks. The subsequent 9/11 Commission Report revealed many weaknesses in our national security, including the fact that hijackers Khalid Al-Mihdhar and Nawaf Al-Hazmi got California drivers’ licenses through a facilitator in San Diego. They probably used those to board the American Airlines plane they crashed into the Pentagon, killing 189 people.

International and domestic criminals and terrorists love ‘breeder documents’ (papers issued based on low evidence), which they can use to get better identification documents (IDs) like a passport, birth certificate, and Social Security card. That’s why for air travel and other serious business, all passengers should have identification based on information that has been verified, so we know who they really are.

After two decades of the government kicking the can down the road with one excuse after another, the deadline for needing a REAL ID to catch a domestic flight is up on May 7. This time, we need to keep it.

Over the past four years, former president Joe Biden and his Secretary of Homeland Security Alejandro Mayorkas released at the border, paroled, or let sneak in over 10 million essentially unidentified aliens. Many had thrown away their ID or didn’t have any, so DHS took their word for who they were.

There was no way to do proper background checks in their home countries. Some of them turned out to be terrorists, rapists, and murderers here – and for all we know, they may have been before at home, if we had only known their real identities and records.

Many Americans were outraged over the last few years to see aliens at our interior airports checking in for domestic flights with only their Notice to Appear (NTA – the document they got at the border that tells them to show up in court for a deportation hearing). Some were flying on the taxpayer dime. Others were flown in the middle of the night to avoid public attention. Meanwhile, all of us had to carry proper documents that take time and money to get.

Most states will issue you a non-REAL ID license with less proof than the REAL ID version. For the real deal, you need some combination of documents such as a birth certificate, passport, Social Security card, and proof of residence. It’s not easy, but once you’ve done it in your home state, you don’t have to repeat the exercise when you renew.

Some of those holding non-REAL ID compliant drivers’ licenses are living in the U.S. illegally. Nineteen states plus Washington, D.C. have allowed people who claim residence there to get some version of a license even if they are illegal, arguing that it improves road safety.

For another two weeks, foreign nationals have a choice of showing a driver’s license, foreign passport, military ID, federal Employment Authorization Card, or even their Notice to Appear to get on a domestic flight. After May 7, they will need a passport or a state-issued drivers’ license that complies with federal REAL ID standards. Or there’s always the Greyhound.

Just as Leftists want men to self-ID into women’s spaces, they seem fine with unidentified foreigners self-declaring who they are before getting on a plane. I’m not. If we’re going to keep handing over our nail clippers thanks to the 9/11 hijackers, and taking off our footwear thanks to shoe-bomber Richard Reid, we can at least ask our fellow travelers to have a secure ID that is based on verified facts and not just their say-so.

The one exception that the Department of Homeland Security will make to the new REAL ID requirement is for foreigners booking a flight out of the country. With the border more secure than ever, that would mean they’d be self-deporting, unless they can qualify for a visa in the future.

DHS spokesperson Tricia McLaughlin told Fox News that ‘81% of air travelers hold REAL ID-compliant or acceptable IDs.’ The other 19% can get with the program.

Some on the American right, and Libertarians, don’t like the REAL ID requirement. But the rest of us will pay that small price to ensure safer skies and so we know that someone has verified the identity of the guy sitting next to us. Basic Economy is already rough enough without having to play human lotto every time you fly.

This post appeared first on FOX NEWS

The parents of the American hostages still held by the Hamas terrorist organization in Gaza have called on President Donald Trump to use his reputation for being ‘tough’ and apply pressure on not only known enemies but one of his closest allies: Israeli Prime Minister Benjamin Netanyahu.

There are 59 hostages still in Gaza, at least 24 of whom are assessed to be alive, including American-Israeli Edan Alexander, now 21 years old after having spent two birthdays in Hamas captivity.

Itay Chen, 19, Omer Neutra, 21, Judy Weinstein Haggai, 70, and her husband, Gadi Weinstein, 73, are all believed to have been killed by Hamas in it’s attack in southern Israel on Oct. 7, 2023, and whose bodies were taken into Gaza.

‘I believe that the president is a very tough person, and he should be tough with the enemies and with friends as well,’ Adi Alexander, who is Edan’s father, told Fox News Digital in a direct reference to Israel.

‘We asked of the president to keep everybody accountable,’ Alexander, who sat next to his wife, Yael, described after the second phase of a ceasefire, which was supposed to begin in March but failed and Israel resumed military operations in the Gaza Strip to the immense frustration of mediators. 

In addition, the families urged Trump to keep Netanyahu ‘on a short leash’ and to ‘get him back to negotiate as soon as possible and stop this thing.’

Trump this week marked his 100th day in office, and the families of the five Americans still held hostage urged him to reflect on his strategy and apply pressure on both Israel and Hamas, through both economic and diplomatic means, to secure the release of all 59 hostages.

‘With the election results, we had such high hopes,’ Ruby Chen, father to Itay, told reporters during a press event on Wednesday. ‘We know he cares about the topic, and we saw, even before the inauguration, his comments on the topic with the ‘hell to pay’ and ‘all the hostages need to come out.’’

‘But I think the 100-day mark that we are at this moment, I think it’s a good time to reflect and say that the job’s not done,’ said Chen, sitting next to his wife, Hagit Chen.

Trump sparked international concern in February when he suggested the Gaza Strip should be turned into the ‘Riviera of the Middle East,’ and fears have mounted that as Washington continues to discuss potentially displacing Palestinians and Israel continues aggressive military operations, Hamas may be unwilling to give up its leverage: the hostages. 

Calls within the Gaza Strip are increasing from Palestinians to return all the hostages so a day-after plan can be discussed as Palestinian civilians continue to feel the consequences of the brutal war.

‘It’s easy rhetoric to say that Hamas won’t hold their side of the deal,’ Orna Neutra, mother to Omer, told reporters. ‘If they don’t hold their side of the deal, then [Netanyahu] can return to hostilities. 

‘But let’s allow them to release all hostages and see if that happens or not instead of just saying they won’t do it,’ she added, noting it could be another leveraging point for the Trump administration.

The families of the hostages are careful not to get overly involved in the heated political topics, but instead they have highlighted the importance of and need for a solid strategy to first secure the release of all remaining hostages, and then figure out a day-after plan. 

Special Envoy to the Middle East Steve Witkoff has suggested that Hamas could become politically active in the Gaza Strip, but they need to fully disarm.

‘I think the best approach will be just to call for both parties to rise above politics, although it will be very difficult with Hamas, which is politically struggling to survive in this region, but definitely to call on [the] Israeli government to rise above politics,’ Alexander said. ‘Do not think about politically surviving and prioritize human life.’

The families pointed to polling from Israel that shows nearly 70% of Israelis favor ending military operations against Hamas in order to return all the hostages more than 573 days since they were abducted, including some 48% of Netanyahu’s coalition base. Some 39% of his conservative base apparently oppose the strategy, and another 13% are unsure.

While there is evident frustration among the families of the hostages, who have made clear the Israeli government has not offered anywhere near the same level of support or communication provided by both the Biden and Trump administrations, they said that, ultimately, the adversary is the terrorist organization that captured, in some instances killed, and continues to hold captive their loved ones. 

‘Just to be clear, Hamas is the enemy,’ said Neutra, who sat next to her husband, Ronen. ‘Hamas committed these atrocious crimes. They’re holding on to our family members. We don’t want to see them continue to be a threat to Israel.

‘But it’s about priority, and it’s about being in the situation for 19 months now,’ she added. 

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Hunter Biden on Wednesday dropped the lawsuit he filed against two Internal Revenue Service whistle-blowers in September 2023. 

Biden’s attorneys brought a motion in U.S. District Court for the District of Columbia to dismiss the lawsuit with prejudice, meaning the case cannot be brought again in any court. 

The lawsuit, initially filed by the former first son two years ago, alleged that IRS Special Agent Gary Shapley and IRS Criminal Investigator Joseph Ziegler had ‘targeted and sought to embarrass’ Biden through statements to the media disclosing the details of the tax matters of a ‘private citizen.’ 

Shapley and Zielger had testified before the House Oversight Committee earlier that year, saying they faced various limitations when tasked with investigating former President Joe Biden’s son. 

‘It’s always been clear that the lawsuit was an attempt to intimidate us,’ Shapley and Zielger said in a statement after Hunter Biden dropped the case, according to the New York Post. ‘Intimidation and retaliation were never going to work. We truly wanted our day in court to provide the complete story, but it appears Mr. Biden was afraid to actually fight this case in a court of law after all.’

‘His voluntary dismissal of the case tells you everything you need to know about who was right and who was wrong,’ they added. 

Lawyers for the two whistle-blowers first emphasized how Hunter Biden ‘dismissed his case with prejudice – meaning he can never bring it again,’ and did so ‘in exchange for nothing at all.’

‘Hunter Biden brought this lawsuit against two honorable federal agents in retaliation for blowing the whistle on the preferential treatment he was given,’ the attorneys said, according to the Post.

Four of Hunter Biden’s attorneys – Abbe David Lowell, Christopher Man, David Kolansky and Isabella Oishi – moved to withdraw as the former first son’s counsel about a month ago. 

The Justice Department had been investigating Hunter Biden for several years for possible tax crimes when Shapley’s lawyers sent a letter to Congress alleging ‘irregularities’ in the DOJ handling of the investigation, and he sat down with CBS News in May 2023 about his decision to blow the whistle. 

Hunter Biden’s plea deal, which would have granted him broad immunity from prosection in exchange for admitting guilt to two misdemeanor tax counts, fell apart during a July 2023 federal court hearing in Delaware. 

Hunter Biden later pleaded guilty in September 2024 to all nine federal tax charges brought against him by special counsel David Weiss. It was determined that Biden failed to pay $1.4 million in taxes from 2016 to 2019. He later paid it back.

In December, former President Biden granted his son a sweeping pardon, granting Hunter clemency from all crimes he ‘has committed or may have committed’ over the past decade. 

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Elon Musk says he saved the U.S. taxpayer more than $160 million during his first three months getting the Department of Government Efficiency (DOGE) off the ground — but he also enjoyed midnight snacks of ice cream from the White House kitchen, a ‘comically tiny office’ and a friendship with President Donald Trump. 

Fox News Digital was invited, along with a small group of reporters, to have an on-the-record discussion with Musk in the White House’s Roosevelt Room on Wednesday evening about his first 100 days as a special government employee.

That status allowed him to work for the federal government for ‘no more than 130 days in a 365-day period,’ according to data from the Office of Government Ethics. Musk said the first 100 days was ‘an intense period’ and said at times, he was in Washington, D.C., working on his DOGE efforts ‘7 days a week, or close to 7 days a week.’ 

Musk said he will cut that down to one or two days a week, or every other week, and will continue working for the Trump administration ‘at the discretion of the president.’ 

‘I’m willing to contribute one to two days a week, coming to D.C. every other week for one to three days—indefinitely, as long as the president wants me to do that,’ Musk said. ‘It’s largely a volunteer organization.’ 

Musk, in response to a question from Fox News Digital, said he has slept in the White House’s Lincoln bedroom multiple times. 

‘I didn’t think I would ever sleep in there,’ Musk said. ‘The president, we’re good friends, and we’ll be on Air Force One, or Marine One, and he’ll be like, ‘do you want to stay over?’ and I’ll be like, ‘sure,’ and he’ll send me to the Lincoln bedroom.’ 

Musk said he did not ever ‘request it,’ but that Trump would always ask ”do you want to stay here?”

‘And he gave me a tour of the Lincoln bedroom, and told me all the history,’ Musk said.

‘And then, he’ll actually call me late night and say, ‘by the way, make sure you get ice cream from the kitchen,’ Musk recalled. ‘I ate a whole tub of ice cream—caramel. Häagen-Dazs.’ 

Musk laughed, ‘Yeah, it’s epic.’ 

‘Don’t tell RFK I ate a whole tub,’ Musk laughed. ‘The president is a very good host, and he said, make sure you have some of the ice cream, and I said OK. I went to the kitchen and got some ice cream.’ 

When asked for the exact number of nights Musk slept in the Lincoln bedroom, he replied, ‘I don’t know if I should say the number—more than once.’ 

Musk was also given a small office in the White House, which he said he intends to keep. 

‘I’m keeping my micro-office,’ Musk said, adding that it is ‘on the top floor it has a view of nothing.’ 

‘It has a window but all you see is an HVAC unit,’ Musk explained. ‘I guess it’s harder to shoot me—there’s not a good line of sight in there.’ 

‘I like my comically tiny office upstairs,’ Musk said, adding that, while it is tiny, he has ‘the biggest monitor,’ where he views ‘important information—secret stuff.’ Musk admitted, though, that he has ‘occasionally played a video game.’ 

When asked by Fox News Digital which video game, Musk laughed and said, ‘Diablo in the Path of Exile.’ 

As for DOGE, Musk said he is proud of its work so far, and ‘in the grand scheme of things, I think we’ve been effective,’ just ‘not as effective as I’d like.’ 

‘I think we could be more effective, but we’ve made progress —and more progress than I think has happened since Clinton and Gore,’ Musk said. ‘It is ironic to see the Clinton and Gore speeches — they sound like DOGE. If you took a transcript and say who said it? DOGE or Clinton-Gore? You would have a hard time. They sound identical to what we say.’ 

He added, ‘We are just Democrats from the ’90s who got teleported into 2025.’

‘Things have just evolved. There is that classic saying, we didn’t leave the Democratic Party — the Democratic Party left us,’ Musk continued. ‘Just, objectively, from a policy standpoint, that is just objectively true. Our goals are safe cities, secure borders, sensible spending—these used to be Democrat positions and perhaps they will be in the future — but they just seem like common sense.’ 

Meanwhile, Musk reflected on his day-to-day for the first 100 days, saying that things ‘have to be very intense for the first three months, so trying to understand what’s going on and map out the government in general.’ 

‘The federal government is a gigantic beast — very complicated — and so if you’re trying to figure out how to stop waste and fraud, you’ve got to map the territory,’ Musk said. ‘That required three months of intense effort, and you have to build the team as well.’ 

‘A new administration is like a start-up,’ Musk continued. ‘Now, we’re getting more of a rhythm and so the amount of time necessary for me to spend here is much less and I can return to primarily running my companies, which do need me.’ 

Fox News Digital asked Musk if he has had fun during his first three months leading DOGE. 

‘It’s like, 60% fun. 70% fun — depends on the week,’ Musk said. ‘But being attacked relentlessly is not super fun. Seeing cars burning is not fun. But when I feel like we’re doing good for the American taxpayer and stopping wasteful spending and fixing computer systems, I feel like that’s a good thing.’ 

A DOGE official at the meeting on Wednesday said that 1% of the federal workforce, or slightly more than 20,000 people, have been fired. However, that official stressed that the federal government has ‘hired 26,000 people.’ 

‘So we have hired more people than we’ve fired,’ the official said. 

Musk chimed in and said, in America, ‘we actually want to have fewer people in the federal government and more people making things.’ 

Musk also told reporters that DOGE has referred cases of fraud to the Justice Department for criminal prosecution. 

‘The wheels of justice turn slowly but, hopefully, surely,’ Musk said. ‘When we find cases of fraud, we refer those cases to the DOJ — it is not DOGE prosecuting anyone.’ 

Musk said there are ‘hundreds of thousands of cases of what appear to be fraud,’ but a DOGE official said they have referred, at this point, 57 cases of possible voter fraud to the DOJ. 

Musk also said he will meet with the House DOGE caucus next week, and said his work with House and Senate lawmakers has been ‘extremely positive.’

At the end of the conversation, Musk laughed and said, ‘It is funny that we’ve got DOGE.’ 

‘Are we in a simulation here? Or what’s going on? How did we get here?!’ Musk laughed.

‘I’m proud of the incredible work by the DOGE team who have taken a lot of flak and these are people who could easily get high-paying jobs in the private sector, and, in fact, came from high-paying jobs in the private sector,’ Musk said.

DOGE has fewer than 100 employees.

‘Some will stay on, some will not,’ Musk said. ‘It is up to them. This is basically a volunteer organization.’

When asked if DOGE is winding down, Musk said, ‘No.’

‘DOGE is a way of life,’ Musk said. ‘Like Buddhism. You wouldn’t ask who would lead Buddhism.’

When asked who would lead DOGE when Musk is not in Washington, Musk replied, ‘Is Buddha needed for Buddhism?’

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Pfizer CEO Albert Bourla on Tuesday said uncertainty around President Donald Trump’s planned pharmaceutical tariffs is deterring the company from further investing in U.S. manufacturing and research and development. 

Bourla’s remarks on the company’s first-quarter earnings call came in response to a question about what Pfizer wants to see from tariff negotiations that would push the company to increase investments in the U.S. It comes as drugmakers brace for Trump’s levies on pharmaceuticals imported into the country — his administration’s bid to boost domestic manufacturing.

“If I know that there will not be tariffs … then there are tremendous investments that can happen in this country, both in R&D and manufacturing,” Bourla said on the call, adding that the company is also hoping for “certainty.”

“In periods of uncertainty, everybody is controlling their cost as we are doing, and then is very frugal with their investment, as we are doing, so that we are prepared for remit. So that’s what I want to see,” Bourla said.

Bourla noted the tax environment, which had previously pushed manufacturing abroad, has “significantly changed now” with the establishment of a global minimum tax of around 15%. He said that shift hasn’t necessarily made the U.S. more attractive, saying “it’s not as good” to invest here without additional incentives or clarity around tariffs.

“Now [Trump] I’m sure — and I know because I talked to him — that he would like to see even a reduction in the current tax regime particularly for locally produced goods,” Bourla said, adding a further decrease would be would be a strong incentive for manufacturing in the U.S.

Unlike other companies grappling with evolving trade policy, Pfizer did not revise its full-year outlook on Tuesday. However, the company noted in its earnings release that the guidance “does not currently include any potential impact related to future tariffs and trade policy changes, which we are unable to predict at this time.”

But on the earnings call on Tuesday, Pfizer executives said the guidance does reflect $150 million in costs from Trump’s existing tariffs.

“Included in our guidance that we didn’t really speak about is there are some tariffs in place today,” Pfizer CFO Dave Denton said on the call.

“We are contemplating that within our guidance range and we continue to again trend to the top end of our guidance range even with those costs to be incurred this year,” he said.

This post appeared first on NBC NEWS

Nvidia CEO Jensen Huang said on Wednesday that China is “not behind” in artificial intelligence, and that Huawei is “one of the most formidable technology companies in the world.”

Speaking to reporters at a tech conference in Washington, D.C., Huang said China may be “right behind” the U.S. for now, but it’s a narrow gap.

“We are very close,” he said. “Remember this is a long-time, infinite race.”

Nvidia has become key to the world economy over the past few years as it makes the chips powering the majority of recent advanced AI applications. The company faces growing hurdles in the U.S., including tariffs and a pending Biden-era regulation that would restrict the shipment of its most advanced AI chips to many countries around the world.

The Trump administration this month restricted the shipment of Nvidia’s H20 chips to China without a license. That technology, which is related to the Hopper chips used in the rest of the world, was developed to comply with previous U.S. export restrictions. Nvidia said it would take a $5.5 billion hit on the restriction.

Huawei, which is on a U.S. trade blacklist, is reportedly working on an AI chip of its own for Chinese customers.

“They’re incredible in computing and network tech, all these central capabilities to advance AI,” Huang said. “They have made enormous progress in the last several years.”

Nvidia has made the case that U.S. policy should focus on making its companies competitive, and that restricting chip sales to China and other countries threatens U.S. technology leadership.

Huang called again for the U.S. government to focus on AI policies that accelerate the technology’s development.

“This is an industry that we will have to compete for,” Huang said.

Trump on Wednesday called Huang “my friend Jensen,” cheering the company’s recent announcement that it planned to build $500 billion in AI infrastructure in the U.S. over the next five years.

Huang said he believes Nvidia will be able to manufacture its AI devices in the U.S. The company said earlier this month that it will assemble AI servers with its manufacturing partner Foxconn near Houston.

“With willpower and the resources of our country, I’m certain we can manufacture onshore,” Huang said.

Nvidia shares are down more than 20% this year, sliding along with the broader market, after almost tripling in value last year. The stock fell almost 3% on Wednesday.

This post appeared first on NBC NEWS

President Donald Trump used to refer to Jeff Bezos as “Jeff Bozo.” Now, after more drama between the two men, Trump is calling the Amazon founder a “good guy.”

Amazon’s earnings report, scheduled for Thursday, already had investors on edge due to the president’s sweeping tariffs and the potential impact they’ll have across the tech giant’s numerous businesses. With its stock price down 17% this year, Amazon is expected to report its slowest rate of revenue growth for any period since 2022, and that doesn’t reflect the levies announced in early April.

The tension got amped up early this week.

The White House on Tuesday criticized Amazon for reportedly planning to display on its site how much the new tariffs on top U.S. trading partners are driving up prices for consumers. After the story was published by Punchbowl News, Trump called Bezos to complain.

Amazon swiftly responded and said no such change was coming.

“This was never approved and is not going to happen,” Amazon wrote in a blog post that totaled 31 words.

President Trump frequently hurled insults at Bezos during his firm term in the White House, largely because of the Amazon founder’s ownership of the Washington Post. Bezos has recently gone out of his way to try and mend the relationship, traveling to Washington, D.C., for the inauguration in January.

The president said he was pleased with their latest phone call.

“Jeff Bezos was very nice,” Trump told reporters later on Tuesday. “He was terrific. He solved the problem very quickly and he did the right thing. He’s a good guy.”

Amazon clarified that it was only considering displaying the import fees on products sold on its discount storefront, Amazon Haul, which competes with ultra-cheap Chinese retailer Temu. Products on Haul cost $20 or less and many of them are sold direct from China using the de minimis trade exemption. That loophole is set to go away next month after Trump signed an executive order, making it more expensive to ship those products to the U.S.

The clash with Trump highlights the pressure Amazon is under to blunt the impact of Trump’s aggressive tariffs on Chinese imports, which total 145%. The company faces significant exposure to the tariffs, primarily through its retail unit. Amazon sources some products from China, while many sellers on its third-party marketplace rely on the world’s second-largest economy to make or assemble their products.

The topic of tariffs will hover over Amazon’s first-quarter earnings report. Investors will want to know how higher import costs could impact its margins, and whether uncertainty around the tariffs has caused shoppers to be more cautious with their spending.

For the quarter, Amazon is expected to report earnings per share of $1.37 and revenue of $155.04 billion, according to LSEG, which would represent annual growth of just over 8% and would be the slowest rate of expansion since the second quarter of 2022.

Amazon CEO Andy Jassy told CNBC earlier this month that the company hasn’t seen a drop-off in consumer demand. Amazon is “going to try and do everything we can” to keep prices low for shoppers, including renegotiating terms with some of its suppliers, Jassy said. But he acknowledged some third-party sellers will “need to pass that cost” of tariffs on to consumers.

Analysts at UBS said in a note to clients on Tuesday that at least 50% of items sold on Amazon are subject to Trump’s tariffs and could become more expensive as a result.

“Consumers therefore might have to make more difficult choices on where to allocate their dollars,” wrote the analysts, who have a buy rating on Amazon shares.

Amazon has reportedly pressured some of its suppliers to cut prices to shrink the impact of Trump’s tariffs, according to the Financial Times.

Some sellers have already raised prices and cut back on advertising spend as they contend with higher import costs. Others are looking to secure new suppliers in countries like Vietnam, Mexico and India, where tariffs are increasing under Trump, but are mild compared with the levies imposed on goods from China.

Temu and rival discount app Shein implemented price hikes on many items last week. Temu has since added “import charges” ranging between 130% and 150% on some products.

Wall Street will likely be focused on Amazon’s commentary surrounding business conditions going forward. The third quarter will include the results of Amazon’s Prime Day shopping event, typically held in July across two days. Amazon sellers previously told CNBC they may run fewer deals for this year’s Prime Day to conserve inventory or because they can’t afford to mark down products any further.

Bank of America analysts said in a note to clients this week that it sees the potential for Amazon to give a “wider guidance range” in its earnings report on Thursday, “though the impact may be bigger in the third quarter.”

Analysts at Oppenheimer said investors are “highly uncertain” as to the impact of tariffs on Amazon’s e-commerce business. The firm has an outperform rating on Amazon’s stock.

“We are assuming Q3 is the quarter most impacted as sellers should still have pre-tariff inventory through May and therefore don’t need to raise prices yet,” the analysts wrote.

Amazon didn’t provide a comment beyond its short statement on Tuesday.

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