Donald Trump

One of the biggest trade deals in history has been struck by India and the European Union, months after United States President Donald Trump hit both with tariffs.

What’s in the agreement – and how much is driven by Washington’s unpredictable measures?

Presenter: Tom McRae

Guests:

Brahma Chellaney – Professor emeritus of strategic studies at the Centre for Policy Research in New Delhi

Remi Bourgeot – Associate fellow at the French Institute for International and Strategic Affairs in Paris

Dhananjay Tripathi – Senior associate professor in the Department of International Relations at South Asian University in New Delhi

Protesters in Baghdad burned photos of Donald Trump and waved the Iraqi flag, rejecting the US president’s demand that former Prime Minister Nouri al-Maliki not return to the premiership.

FBI searches Fulton County election office in Georgia over 2020 election concerns linked to Trump-Biden contest.

The US Federal Bureau of Investigation (FBI) is executing a search warrant at a Fulton County election office in Georgia related to the 2020 United States election, an agency spokesperson said.

An FBI spokesperson said agents were “executing a court-authorised law enforcement action” at the county’s main election office in Union City, just south of Atlanta. The spokesperson declined to provide any further information, citing an ongoing matter.

FBI agents were spotted entering the Fulton County Election Hub and Operation Center, said Fox News, which first reported the search of a new facility that state officials opened in 2023.

The probe concerns the 2020 election, in which Republican Donald Trump, the current US president, lost to the former US president, Democrat Joe Biden, the official said.

The search comes as the FBI, under the leadership of Director Kash Patel, has moved quickly to pursue the political grievances of Trump, including by working with the Justice Department to investigate multiple perceived adversaries of the commander-in-chief.

The Justice Department had no immediate comment.

Find the votes

Trump has long insisted that the 2020 election was stolen even though judges across the country and his own attorney general said they found no evidence of widespread fraud that tipped the contest in Biden’s favour.

Representatives for Fulton County’s election office referred queries to the county’s external affairs office, which did not immediately return a call seeking comment.

The Democratic-leaning county, home to Atlanta, backed Biden by a wide margin in the 2020 election, helping him win the state and the presidency.

Trump unsuccessfully sought to overturn the result, pressuring the state’s top election official to “find” him enough votes to claim victory.

Earlier this month, Trump asked a state court for $6.2m in legal fees, saying he spent it fighting criminal charges of election interference filed by Fulton County District Attorney Fani Willis.

In August 2023, Willis obtained an indictment against Trump and 18 others, accusing them of participating in a wide-ranging scheme to illegally try to overturn the results of the 2020 presidential election.

That case was dismissed in November after courts barred Willis and her office from pursuing it because of an “appearance of impropriety” stemming from a romantic relationship she had with a prosecutor she had appointed to lead the case.

The United States Federal Reserve is holding interest rates steady in its first rate decision of 2026.

Rates will remain at 3.5 to 3.75 percent, the Fed said on Wednesday, defying US President Donald Trump’s calls for more aggressive interest rate cuts.

“The Committee seeks to achieve maximum employment and inflation at the rate of 2 percent over the longer run. Uncertainty about the economic outlook remains elevated,” the central bank said in its release announcing the decision.

Wednesday’s decision was widely expected. CME FedWatch, a tool that tracks expectations for monetary policy, forecast a more than 97 percent chance that the central bank would hold rates steady.

The tracker also expects two rate cuts in 2026, with the highest probability for the first cut occurring in June at the earliest.

“Available indicators suggest that economic activity has been expanding at a solid pace. Job gains have remained low, and the unemployment rate has shown some signs of stabilization,” the central bank said.

The decision comes amid signs of stabilisation in the US labour market. The US economy added 584,000 jobs in 2025, marking the lowest annual job growth since 2003. Payrolls rose by 64,000 jobs in October and 50,000 in December. While job growth remains weak, December’s figure represents a modest rebound from October, when the economy lost 105,000 jobs, according to the Bureau of Labor Statistics.

There are indications that the labour market may cool further in the months ahead. This week, both Amazon and UPS announced tens of thousands of job cuts, some of which were driven by a push towards increasing the use of artificial intelligence in the workplace.

Another threat to the US economy and the job market comes in the form of a looming government shutdown. That can happen as early as Saturday, and depending on its duration, it could slow spending as federal workers are temporarily left without paycheques.

Political tensions

The decision to hold interest rates steady comes despite Trump’s increased pressure on the central bank to cut rates. Fed Chairman Jerome Powell has long stressed the Federal Reserve’s independence, and Wednesday’s decision is the first since Powell’s rebuke of a criminal Department of Justice investigation into him. The central bank chair, whose term expires in May, called the inquiry a “pretext” to pressure him.

“The threat of criminal charges is a consequence of the Federal Reserve setting interest rates based on our best assessment of what will serve the public, rather than following the preferences of the president,” Powell said in remarks in early January in response to a subpoena.

Last week, the Supreme Court heard arguments in a case examining whether Trump has the legal authority to remove Fed Governor Lisa Cook amid allegations of mortgage fraud.

Meanwhile, Fed Governor Stephan Miran’s term is set to expire this week. Trump picked Miran to temporarily fill the seat vacated by Adriana Kugler in August while seeking a more permanent replacement.

Miran was one of two central bank governors who voted to lower interest rates alongside Christopher Waller.

The developments come as Trump searches for a new Fed chair. He has explicitly called for further interest rate cuts and for a chairman who shares his views.

“Anybody that disagrees with me will never be the Fed Chairman!” Trump said in a post on Truth Social in December.

The political pressure has caught the attention of global central banks as well.

“The Federal Reserve is the biggest, most important central bank in the world, and we all need it to work well. A loss of independence of the Fed would affect us all,” Bank of Canada Governor Tiff Macklem said on Wednesday. Canada’s central bank held rates steady ahead of the US central bank’s decision.

Macklem was one of the central bank heads who earlier this month issued a joint statement backing Powell. Last September, Macklem said Trump’s attempts to pressure the Fed were starting to hit markets.

The Dow Jones Industrial Average is flat, as is the Nasdaq, and the S&P 500 is down 0.1 in midday trading.

Fears of a US attack on Iran are again heightened after Donald Trump demanded Tehran submit to his demands or face an attack “like with Venezuela.”

Thousands of Cubans marched in a procession to honour national hero, Jose Marti, who helped liberate the country from Spain. Some protesters disavowed any interference in Cuba from US President Donald Trump, saying Latin America will not become ‘his backyard’.

China is showcasing itself as a solid business and trading partner to traditional allies of the United States and others who have been alienated by President Donald Trump’s politics, and some of them appear ready for a reset.

Since the start of 2026, Chinese President Xi Jinping has received South Korean President Lee Jae Myung, Canadian Prime Minister Mark Carney, Finnish Prime Minister Petteri Orpo and Irish leader Micheal Martin.

This week, United Kingdom Prime Minister Keir Starmer is on a three-day visit to Beijing, while German Chancellor Friedrich Merz is expected to visit China for the first time in late February.

Among these visitors, five are treaty allies of the US, but all have been hit over the past year by the Trump administration’s “reciprocal” trade tariffs, as well as additional duties on key exports like steel, aluminium, autos and auto parts.

Canada, Finland, Germany and the UK found themselves in a NATO standoff with Trump this month over his desire to annex Greenland and threats that he would impose additional tariffs on eight European countries he said were standing in his way, including the UK and Finland. Trump has since backed down from this threat.

China’s renewed sales pitch

While China has long sought to present itself as a viable alternative to the post-war US-led international order, its sales pitch took on renewed energy at the World Economic Forum‘s (WEF) annual summit in Davos, Switzerland, earlier this month.

As Trump told world leaders that the US had become “the hottest country, anywhere in the world” thanks to surging investment and tariff revenues, and Europe would “do much better” to follow the US lead, Chinese Vice Premier Li Hefeng’s speech emphasised China’s ongoing support for multilateralism and free trade.

“While economic globalisation is not perfect and may cause some problems, we cannot completely reject it and retreat to self-imposed isolation,” Li said.

“The right approach should be, and can only be, to find solutions together through dialogue.”

Li also criticised the “unilateral acts and trade deals of certain countries” – a reference to Trump’s trade war – that “clearly violate the fundamental principles and principles of the [World Trade Organization] and severely impact the global economic and trade order”.

Li also told the WEF that “every country is entitled to defend its legitimate rights and interests”, a point that could be understood to apply as much to China’s claims over places like Taiwan as to Denmark’s dominion over Greenland.

“In many ways, China has chosen to cast itself in the role of a stable and responsible global actor in the midst of the disruption that we are seeing from the US. Reiterating its support for the United Nations system and global rules has often been quite enough to bolster China’s standing, especially among countries of the Global South,” Bjorn Cappelin, an analyst at the Swedish National China Centre, told Al Jazeera.

The West is listening

John Gong, a professor of economics at the University of International Business and Economics in Beijing, told Al Jazeera that the recent series of trips by European leaders to China shows that the Global North is listening, too. Other notable signs include the UK’s approval of a Chinese “mega embassy” in London, Gong said, and progress in a years-long trade dispute over Chinese exports of electric vehicles (EVs) to Europe.

Starmer is also expected to pursue more trade and investment deals with Beijing this week, according to UK media.

“A series of events happening in Europe seems to suggest an adjustment of Europe’s China policy – for the better, of course – against the backdrop of what is emanating from Washington against Europe,” Gong told Al Jazeera.

The shifting diplomatic calculations are also clear in Canada, which has shown a renewed willingness to deepen economic ties with China after several spats with Trump over the past year.

Carney’s is the first visit to Beijing by a Canadian prime minister since Justin Trudeau went in 2017, and he came away with a deal that saw Beijing agree to ease tariffs on Canadian agricultural exports and Ottawa to ease tariffs on Chinese EVs.

Trump lashed out at news of the deal, threatening 100 percent trade tariffs on Canada if the deal goes ahead.

In a statement last weekend on his Truth Social platform, Trump wrote that Carney was “sorely mistaken” if he thought Canada could become a “‘Drop Off Port’ for China to send goods and products into the United States”.

The meeting between Carney and Xi this month also thawed years of frosty relations after Canada arrested Huawei executive Meng Wanzhou in late 2018 at the behest of the US. Beijing subsequently arrested two Canadians in a move that was widely seen as retaliation. They were released in 2021 after Meng reached a deferred agreement with prosecutors in New York.

In Davos, Carney told world leaders that there had been a “rupture in the world order” in a clear reference to Trump, followed by remarks this week to the Canadian House of Commons that “almost nothing was normal now” in the US, according to the CBC.

Carney also said this week in a call with Trump that Ottawa should continue to diversify its trade deals with countries beyond the US, although it had no plans in place yet for a free-trade agreement with China.

Filling the void

Hanscom Smith, a former US diplomat and senior fellow at Yale’s Jackson School of International Affairs, told Al Jazeera that Beijing’s appeal could be tempered by other factors, however.

“When the United States becomes more transactional, that creates a vacuum, and it’s not clear the extent to which China or Russia, or any other power, is going to be able to fill the void. It’s not necessarily a zero-sum game,” he told Al Jazeera. “Many countries want to have a good relationship with both the United States and China, and don’t want to choose.”

One glaring concern with China, despite its offer of more reliable business dealings, is its massive global trade surplus, which surged to $1.2 trillion last year.

Much of this was gained in the fallout from Trump’s trade war as China’s manufacturers – facing a slew of tariffs from the US and declining demand at home – expanded their supply chains into places like Southeast Asia and found new markets beyond the US.

China’s record trade surplus has alarmed some European leaders, such as French President Emmanuel Macron, who, in Davos, called for more foreign direct investment from China but not its “massive excess capacities and distortive practices” in the form of export dumping.

Li tried to address such concerns head-on in his Davos speech. “We never seek trade surplus; on top of being the world’s factory, we hope to be the world’s market too. However, in many cases, when China wants to buy, others don’t want to sell. Trade issues often become security hurdles,” he said.

SAN FRANCISCO — Katie Porter’s still standing, which is saying something.

The last time a significant number of people tuned into California‘s low-frequency race for governor was in October, when Porter’s political obituary was being written in bold type.

Immediately after a snappish and off-putting TV interview, Porter showed up in a years-old video profanely reaming a staff member for — the humanity! — straying into the video frame during her meeting with a Biden Cabinet member.

Not a good look for a candidate already facing questions about her temperament and emotional regulation. (Hang on, gentle reader, we’ll get to that whole gendered double-standard thing in a moment.)

The former Orange County congresswoman had played to the worst stereotypes and that was that. Her campaign was supposedly kaput.

But, lo, these several months later, Porter remains positioned exactly where she’d been before, as one of the handful of top contenders in a race that remains stubbornly formless and utterly wide open.

Did she ever think of exiting the contest, as some urged, and others plainly hoped to see? (The surfacing of that surly 2021 video, with the timing and intentionality of a one-two punch, was clearly not a coincidence.)

No, she said, not for a moment.

“Anyone who thinks that you can just push over Katie Porter has never tried to do it,” she said.

Porter apologized and expressed remorse for her tetchy behavior. She promised to do better.

“You definitely learn from your mistakes,” the Democrat said this week over a cup of chai in San Francisco’s Financial District. “I really have and I’ve spent a lot of time thinking about how do I show Californians who I am and that I really care about people who work for me. I need to earn back their trust and that’s what campaigns are literally about.”

She makes no excuse for acting churlish and wouldn’t bite when asked about that double standard — though she did allow as how Democratic leader John Burton, who died not long before people got busy digging Porter’s grave, was celebrated for his gruff manner and lavish detonation of f-bombs.

“It was a reminder,” she said, pivoting to the governor’s race, “that there have been other politicians who come on hot, come on strong and fight for what’s right and righteous and California has embraced them.”

Voters, she said, “want someone who will not back down.”

Porter warmed to the subject.

“If you are never gonna hurt anyone’s feelings, you are never gonna take [JPMorgan Chase Chief Executive] Jamie Dimon to task for not thinking about how his workers can’t afford to make ends meet. If you want everyone to love you, you are never gonna say to a big pharma CEO, ‘You didn’t make this cancer drug anymore. You just got richer, right?’ That is a feistiness that I’m proud of.”

At the same, Porter suggested, she wants to show there’s more to her persona than the whiteboard-wielding avenger that turned her into a viral sensation. The inquisitorial stance was, she said, her role as a congressional overseer charged with holding people accountable. Being governor is different. More collaborative. Less confrontational.

Her campaign approach has been to “call everyone, go everywhere” — even places Porter may not be welcomed — to listen and learn, build relationships and show “my ability to craft a compromise, my ability to learn and to change my mind.”

“All of that is really hard to convey,” she said, “in those whiteboard moments.”

The rap on this year’s pack of gubernatorial hopefuls is they’re a collective bore, as though the lack of A-list sizzle and failure to throw off sparks is some kind of mortal sin.

Porter doesn’t buy that.

“When we say boring, I think what we’re really saying is ‘I’m not 100% sure how all this is going to work out.’ People are waiting for some thing to happen, some coronation of our next governor. We’re not gonna have that.”

Gavin Newsom, she noted, was a high-profile former San Francisco mayor who spent eight years as lieutenant governor before winning the state’s top job. His predecessor was the dynastic Jerry Brown.

None of those running this time have that political pedigree, or the Sacramento backgrounds of Newsom or Brown, which, Porter suggested, is not a bad thing.

“I actually think this race has the potential to be really, really exciting for California,” she said. “… I think everyone in this race comes in with a little bit of a fresh energy, and I think that’s really good and healthy.”

Crowding into the conversation was, inevitably, Donald Trump, the sun around which today’s entire political universe turns.

Of course, Porter said, as governor she would stand up to the president. His administration’s actions in Minneapolis have been awful. His stalling on disaster relief for California is grotesque.

But, she said, Trump didn’t cause last year’s firestorm. He didn’t make housing in California obscenely expensive for the last many decades.

“When my children say ‘I don’t know if I want to go to college in California because we don’t have enough dorm housing,’ Trump has done plenty of horrible attacks on higher ed,” Porter said. “But that’s a homegrown problem that we need to tackle.”

Indeed, she’s “very leery of anyone who does not acknowledge that we had problems and policy challenges long before Donald Trump ever raised his orange head on the political horizon.”

Although California needs “someone who’s going to [buffer] us against Trump,” Porter said, “you can’t make that an excuse for why you are not tackling these policy changes that need to be.”

She hadn’t finished her tea, but it was time to go. Porter gathered her things.

She’d just spoken at an Urban League forum in San Francisco and was heading across the Bay Bridge to address union workers in Oakland.

The June 2 primary is some ways off. But Porter remains in the fight.

Reporting from New York, NY — Media outlets are reporting that federal prosecutors have granted immunity to the executive in charge of the National Enquirer amid an investigation into hush-money payments made on behalf of President Trump.

Vanity Fair and the Wall Street Journal, citing anonymous sources, were first to report Wednesday’s development involving David Pecker, CEO of the tabloid’s publisher, American Media Inc., and a longtime friend of the president.

Court papers connected to ex-Trump lawyer Michael Cohen’s guilty plea Tuesday say Pecker offered to help Trump squash negative stories during the 2016 campaign.

The Journal said Pecker shared details with prosecutors about payments Cohen says Trump directed to buy the silence of two women alleging affairs with him.

Trump’s account has shifted. He said recently he knew about payments “later on.”

US president says he still has confidence in Homeland Security Secretary Kristi Noem amid calls for her resignation.

US President Donald Trump said his administration intends to “de-escalate” the spiralling crisis in the state of Minnesota after federal agents killed two United States citizens, including intensive care nurse Alex Pretti, who was shot by two Border Patrol officers over the weekend.

“I don’t think it’s a pullback. It’s a little bit of a change,” President Trump told Fox News on Tuesday.

“We’re going to de-escalate a little bit,” Trump said, referring to a sweeping federal immigration crackdown in Minneapolis that has led to weeks of protests, the killing of Pretti and Renee Good, and a standoff between state and federal officials.

Top Trump officials, including Department of Homeland Security Secretary Kristi Noem, are under fire from Democrats and a growing number of Republicans over how they responded to Pretti’s shooting.

Pretti was filming Border Patrol officers with his phone when he was shot and killed on Saturday.

He was also a licensed gun owner with a permit to carry a weapon in public, which he was wearing at the time of the shooting and which appears to have been confiscated by officers before he was killed.

Trump told Fox News that he still had confidence in Noem despite calls for her resignation.

Noem, who oversees both Immigration and Customs Enforcement (ICE) and Customs and Border Protection (CBP), responded to the killing by accusing Pretti of engaging in “domestic terrorism” and suggested the ICU nurse had brandished his weapon at Border Patrol agents during an altercation.

Noem’s remarks preceded any investigation findings and broke with the longstanding protocols of how US officials discuss a civilian shooting by law enforcement. Her characterisation of events also conflicted with preliminary video evidence showing that Pretti did not take out his weapon at any time while he was tackled and later shot and killed by officers.

A CBP official informed Congress on Tuesday that two federal officers fired shots during the killing of Pretti.

According to a notice sent to Congress, officers tried to take Pretti into custody and he resisted, leading to a struggle. During the struggle, a Border Patrol agent yelled, “He’s got a gun!” multiple times, the official said in the notice, according to The Associated Press news agency.

A Border Patrol officer and a CBP officer each fired Glock pistols, the notice said.

Investigators from CBP’s Office of Professional Responsibility conducted the analysis based on a review of body-worn camera footage and agency documentation, the notice said. US law requires the agency to inform relevant congressional committees about deaths in CBP custody within 72 hours.

Most European countries have either turned down their invitations to join United States President Donald Trump’s “Board of Peace” for overseeing the reconstruction of Gaza – or politely suggested they are “considering” it, citing concerns.

From within the European Union, only Hungary and Bulgaria have accepted. That is a better track record of unity than the one displayed in 2003, when then-US President George W Bush called on member states to join his invasion of Iraq.

Spain, Britain, Poland, Hungary, Czechia and Slovakia said “yes”.

France turned the invitation down on the grounds that Trump’s board “goes beyond the framework of Gaza and raises serious questions, in particular with respect to the principles and structure of the United Nations, which cannot be called into question”.

Trump pointedly did not invite Denmark, a close US ally, following a diplomatic fracas in which he had threatened to seize Greenland, a Danish territory, by force.

The US leader signed the charter for his Board of Peace on January 22 at the World Economic Forum in Davos, Switzerland, calling it “one of the most consequential bodies ever created”.

It has come across to many of the countries invited to join it as perhaps too consequential – an attempt to supplant the United Nations, whose mandate the board is meant to be fulfilling.

Although Trump said he believed the UN should continue to exist, his recent threats suggest that he would not respect the UN Charter, which forbids the violation of borders.

That impression was strengthened by the fact that he invited Russia to the board, amid its full-scale invasion of Ukraine.

‘Trump needs a big win ahead of midterms’

“Trump is thinking about the interior of the US. Things aren’t going well. He needs a big win ahead of the November midterms,” said Angelos Syrigos, a professor of international law at Panteion University in Athens.

The US president has spent his first year in office looking for foreign policy triumphs he can sell at home, said Syrigos, citing the abduction of Venezuelan President Nicolas Maduro, the bombing of Iran and his efforts to end the Ukraine war.

Trump has invited board members to contribute $1bn each for a lifetime membership, but has not spelled out how the money will be spent.

His son-in-law, Jared Kushner, is a member of the executive board.

“How will this thing function? Will Trump and his son-in-law administer it?” asked Syrigos.

Catherine Fieschi, a political scientist and fellow at the European University Institute, believed there was a more ambitious geopolitical goal as well.

“It’s as though Trump were gathering very deliberately middle powers … to defang the potential that these powers have of working independently and making deals,” she said.

Much like Bush’s 2003 “coalition of the willing” against Iraq, Trump’s initiative has cobbled together an ensemble of countries whose common traits are difficult to discern, ranging from Vietnam and Mongolia to Turkiye and Belarus.

Fieschi believed Trump was trying to corral middle powers in order to forestall other forms of multilateralism, a pathway to power that Canadian Prime Minister Mark Carney outlined in his speech at Davos, which so offended Trump.

“In a world of great power rivalry, the countries in between have a choice: [to] compete with each other for favour, or to combine to create a third path with impact,” Carney had said, encouraging countries to build “different coalitions for different issues” and to draw on “the power of legitimacy, integrity and rules”.

He decried the “rupture in the world order … and the beginning of a brutal reality where geopolitics among the great powers is not subject to any constraints”.

After the speech, Trump soon rescinded Canada’s invitation.

Countering agglomerations of power and legitimacy was Trump’s goal, Fieschi believed.

“Here you bind them into an organisation that in some ways offers a framework with Trump in it and the US in it, and implies constraints,” said Fieschi. “It’s not so much benign multilateralism as stopping the middle powers getting on with their hedging and with their capacity to have any kind of autonomy, strategic and otherwise.”

At the same time, she said, Trump was suggesting that the Board of Peace “might give them more power than they have right now in the UN”.

“Trump thinks this is like a golf club and therefore he’s going to charge a membership fee,” Fieschi said.

“If it was a reconstruction fee [for Gaza], I don’t think people would necessarily baulk at that,” she noted, adding that the fee smacked of “crass oligarchic motivation”.

The Board of Peace is called into existence by last November’s UN Security Council Resolution 2803 to oversee the reconstruction of Gaza.

It is defined as “a transitional administration” meant to exist only “until such time as the Palestinian Authority (PA) has satisfactorily completed its reform program … and [can] effectively take back control of Gaza.”

Trump’s charter for the board makes no mention of Gaza, nor of the board’s limited lifespan. Instead, it broadens the board’s mandate to “areas affected or threatened by conflict”, and says it “shall dissolve at such time as the Chairman considers necessary or appropriate”.

China, which has presented itself as a harbinger of multipolarity and a challenger of the US-led world order, rejected the invitation.

“No matter how the international landscape may evolve, China will stay firmly committed to safeguarding the international system with the UN at its core,” said Chinese Foreign Ministry spokesman Guo Jiakun last week.

The UN itself appears to be offended by Trump’s scheme.

“The UN Security Council stands alone in its Charter-mandated authority to act on behalf of all Member States on matters of peace and security,” wrote UN Secretary-General Antonio Guterres on social media on Monday, January 26.

“No other body or ad-hoc coalition can legally require all Member States to comply with decisions on peace and security,” he wrote.

Guterres was calling for a reform that would strengthen the legitimacy of the UN Security Council by better reflecting the balance of power in the world as it is, 81 years after the body was formed. But his statement can also be read as a veiled criticism of Trump’s version of the Board of Peace.

Transparency and governance are problematic, too.

Trump is appointing himself chairman of the board, with power to overrule all members. He gets to appoint the board’s executive, and makes financial transparency optional, saying the board “may authorise the establishment of accounts as necessary.”

Al-Maliki has been nominated by the largest Shia bloc in parliament as its candidate for PM.

President Donald Trump has threatened that the United States will end support for Iraq if Nouri al-Maliki, a former prime minister with ties to the US’s longstanding foe Iran, is reinstated to the post.

Trump, in his latest intervention in another country’s politics, said on Tuesday that Iraq would be making a “very bad choice” with al-Maliki, who just days previously was nominated by the Coordination Framework, the largest Shia bloc in parliament, as its candidate.

“Last time Maliki was in power, the Country descended into poverty and total chaos. That should not be allowed to happen again,” Trump wrote on his Truth Social platform.

“Because of his insane policies and ideologies, if elected, the United States of America will no longer help Iraq,” he said.

“If we are not there to help, Iraq has ZERO chance of Success, Prosperity, or Freedom. MAKE IRAQ GREAT AGAIN!”

Trump’s comments are the starkest example yet of the Republican president’s campaign to curb Iran-linked groups’ influence in Iraq, which has long walked a tightrope between its two closest allies, Washington and Tehran.

In a letter, US representatives said that while the selection of the prime minister is an Iraqi decision, “the United States will make its own sovereign decisions regarding the next government in line with American interests”.

As part of Trump’s pressure campaign, Washington has also threatened senior Iraqi politicians with sanctions on the country should armed groups backed by Iran be included in the next government, the Reuters news agency reported last week.

Al-Maliki, 75, is a senior figure in the Shia Islamist Dawa Party. His tenure as prime minister from 2006 to 2014 was a period marked by a power struggle with Sunni and Kurdish rivals and growing tensions with the US.

He stepped down after ISIL (ISIS) seized large parts of the country in 2014, but has remained an influential political player, leading the State of Law coalition and maintaining close ties with Iran-backed factions.

The US wields key leverage over Iraq, as the country’s oil export revenue is largely held at the Federal Reserve Bank in New York in an arrangement reached after the 2003 US invasion that toppled Iraqi leader Saddam Hussein.

Jan. 27 (UPI) — Minnesota Gov. Tim Walz met with President Donald Trump‘s border czar Tuesday to discuss the situation on the ground as immigration enforcement personnel operate in the state.

“Governor Walz met with Tom Homan this morning and reiterated Minnesota’s priorities: impartial investigations into the Minneapolis shootings involving federal agents, a swift, significant reduction in the number of federal forces in Minnesota, and an end to the campaign of retribution against Minnesota,” the governor’s office said in a statement to the media.

The two agreed to continue talks on the matter.

“The Governor and Homan agreed on the need for an ongoing dialogue and will continue working toward those goals, which the President also agreed to yesterday. The Governor tasked the Minnesota Department of Public Safety as the primary liaison to Homan to ensure these goals are met.”

Homan was sent to the state by Trump after he recalled Immigrations and Customs Enforcement commander Greg Bovino. Trump said that Homan will manage ICE operations in the state and will report directly to him.

“He has not been involved in that area but knows and likes many of the people there,” Trump said of Homan on Monday. “Tom is tough but fair and will report directly to me.”

Since ICE began Operation Metro Surge in Minneapolis in December, two people in the state were killed by federal immigration agents, causing a swell of protests throughout the state. Renee Nicole Good and Alex Pretti were both shot by agents. Good was driving away, and Pretty was filming an agent with his cell phone.

Walz said he had a “productive call” with Trump on Monday.

“The President agreed to look into reducing the number of federal agents in Minnesota and to talk to DHS [Department of Homeland Security] about ensuring the Minnesota Bureau of Criminal Apprehension is able to conduct an independent investigation, as would ordinarily be the case,” Walz posted on X.

Jan. 27 (UPI) — Venezuela’s interim president, Delcy Rodríguez, has reiterated comments made over the weekend that her country “does not take orders from any external actor,” saying the government answers only to the Venezuelan people.

Her remarks Monday followed recent statements by U.S. officials about Venezuela’s political and economic direction after the Jan. 3 U.S. military operation that captured former president Nicolás Maduro and his wife.

Rodríguez spoke during a public consultation on a partial reform of Venezuela’s Organic Hydrocarbons Law, according to local newspaper Últimas Noticias. She was responding to comments by U.S. Treasury Secretary Scott Bessent, who suggested Washington could influence decisions by the Venezuelan executive branch and the timing of possible elections.

“The U.S. Treasury secretary has made statements that are inappropriate and offensive, and I have to respond to them,” Rodríguez said. “The people of Venezuela do not accept orders from any external actor. The people of Venezuela have a government and that government obeys the people.”

Her comments came shortly after Bessent said leaders of Venezuela’s executive branch would follow orders from President Donald Trump‘s administration.

“We have left members of the [Venezuelan] government in their positions and they will take charge of administering the country,” he said in an interview with the YouTube channel Derecha Diario TV. Bessent also suggested that other leaders could be placed “under custody,” without naming names, “for the benefit of the Venezuelan people.”

Bessent added that “Everyone says, ‘What if Venezuelan leaders return to their old habits?’ I think when they see the videos of the president being expelled from Caracas and in a cell in New York, they will follow U.S. orders.”

On Sunday, Rodriguez delivered a similar message during a meeting with oil workers in the eastern state of Anzoátegui, where she openly criticized foreign interference in Venezuela’s internal affairs.

“Enough of Washington giving orders to politicians in Venezuela. Let Venezuelan politics resolve our differences and internal conflicts,” she said, according to footage broadcast by state television network Venezolana de Televisión.

In her latest remarks, Rodríguez said Venezuela does not rule out relations with the United States as long as they are based on mutual respect.

“We are not afraid of respectful relations with the United States, but they must respect international law, Venezuela’s dignity and its history,” she said.

At an event Monday with business leaders and officials from the energy sector, Rodríguez also outlined the government’s projections for the oil industry — the country’s main source of revenue.

She said the government expects a 55% increase in oil investment by 2026 as part of a strategy to revive crude production, according to financial outlet Ámbito Financiero.

Investment in the sector totaled nearly $900 million last year and is projected to reach $1.4 billion in 2026. The plan is supported by a legal reform that has already passed a first reading in parliament.

The initiative seeks to loosen regulatory conditions and expand participation by domestic and foreign private companies. A central pillar of the reform using productive participation contracts, enabled under the so-called Anti-Blockade Law, which the executive branch describes as a successful model.

Rodríguez said these contracts have helped attract capital and boost production despite international sanctions, adding that 29 such agreements are in place.

“We have to move from being the country with the largest reserves on the planet to being a giant producer,” she said, defending a framework that keeps state ownership of resources while incorporating new management models.

During the hydrocarbons law consultation, Chevron Venezuela President Mariano Vela highlighted the company’s long-standing presence in the country, noting that Chevron has been a key partner in Venezuela’s oil industry for more than 100 years.

He thanked Chevron’s Venezuelan workers, joint venture employees and state oil company PDVSA for their long-term commitment to building “an even brighter future for the Venezuelan people.”

“We are prepared to continue contributing our operational expertise with technological innovation, hard work and the goal of creating a more competitive oil and gas sector,” Vela said.

United States President Donald Trump’s $5bn lawsuit against JPMorgan Chase resurfaces his accusations of debanking – the act of removing a person or organisation’s access to financial services.

The complaint, filed in a Florida court on Thursday, alleges that the bank singled him out for political reasons and closed several of his accounts following the attack on the US Capitol on January 6, 2021, which was perpetrated by his supporters.

“JPMC does not close accounts for political or religious reasons. We do close accounts because they create legal or regulatory risk for the company. We regret having to do so, but often rules and regulatory expectations lead us to do so,” the bank said in a statement.

While the lawsuit was filed in his personal capacity, the concept of debanking has long been in the crosshairs of the Trump White House.

Late last year, the White House launched a high-profile effort targeting the nation’s largest financial institutions, accusing them of closing accounts based on political bias. Within days, Trump signed an executive order restricting banks from denying accounts on those grounds.

Trump has long framed “debanking” as a systemic effort targeting conservatives. But evidence for this claim is limited.

A Reuters news agency review of more than 8,000 complaints to the Consumer Financial Protection Bureau (CFPB) found only 35 related to political or religious reasons, let alone targeting Christians or conservatives specifically.

The push by banks centres on the use of “reputational risk” as a standard that allows them to weigh the social or political fallout of doing business with a client.

Critics say this practice makes banks arbiters of morality – freezing, withholding, or closing accounts based not on financial considerations but on social and geopolitical concerns. This approach has pulled financial institutions into the middle of cultural and geopolitical debates.

While often cast as a partisan issue, data show that Trump’s core base, evangelical Christians, are not the ones typically targeted by debanking efforts.

A report from the Institute for Social Policy and Understanding (ISPU), a research organisation that looks at the experience of the US Muslim community, found that 27 percent of Muslim Americans and 14 percent of Jewish Americans have faced trouble banking, compared with negligible rates among Christian denominations, especially with Trump’s core base, evangelicals, at 8 percent.

Overall, 93 percent of Muslim Americans reported experiencing trouble with banking access. In one situation involving Citibank, the New York Chapter of the Council on American Islamic Relations (CAIR) accused the financial institution of not opening the account of a Muslim woman because of her husband, whom she wanted to nominate as a beneficiary and who is a Palestinian Muslim. CAIR did not release the name of the woman at the centre of the complaint.

“It [debanking] is a huge barrier for actually Muslims fulfilling philanthropic goals,” Erum Ikramullah, a senior research project manager at the ISPU, told Al Jazeera.

“It’s a huge barrier for the actual Muslim-based, Muslim-led organisations who are managing relief both domestically and overseas.”

Between October 2023 and May 2024, at least 30 US nonprofits providing humanitarian aid to Gaza have had accounts closed.

“Muslim Americans and Armenian Americans have faced de-banking on account of their last names,” Senator Elizabeth Warren, the Democrat from Massachusetts who founded the CFPB in 2013, said in a Senate Banking Committee hearing last year.

But Trump continues to allege that groups like Christians and conservatives are the ones discriminated against.

Among them include the National Committee for Religious Freedom, led by former Republican Senator and Kansas Governor Sam Brownback. Brownback alleges that Chase closed his account on religious grounds, a claim the bank denies.

Regardless, the push to take on the problem of debanking is a rare spot of bipartisanship in Washington, with Trump and Warren both agreeing that banks should change their ways.

Industry turmoil

A US banking regulator said last month that the nine largest US banks put restrictions on industries that it deems risky, but this has been a long-term issue for several industries.

Operation Choke Point, under the administration of former Democratic President Barack Obama, targeted exploitative industries like payday lenders and arms dealers. The initiative pushed banks to consider entire categories of businesses – and the individuals who worked in them – as reputationally risky, even when that view lagged cultural sentiment.

In response, Frank Keating, the then-CEO of the American Banking Association, slammed the move in an op-ed in The Wall Street Journal, saying that the “Justice Department [is] telling bankers to behave like policemen and judges”.

Ultimately, that scrutiny affected people working in several industries over the last decade, most particularly in adult entertainment, cannabis, and cryptocurrency.

Within months of the new guidance from the Obama administration, hundreds of adult performers lost access to banking services from Chase Bank. The ability to keep a bank account persisted for adult performers. In 2022, adult performer Alana Evans penned an op-ed for The Daily Beast describing how Wells Fargo closed her account.

The Free Speech Coalition, an adult industry trade group, found that 63 percent of adult workers have lost access to a bank account because of their work in the legal industry, and nearly 50 percent have been rejected for a loan because of the nature of the profession.

“I think that when I talk to a lot of people about this issue, or when I’ve talked to even legislators about this, they really can’t believe it, because it’s never been anything that they’ve encountered personally. The idea that a bank could shut off your account because they disagreed with the type of work you do is sort of inconceivable to most people,” Mike Stabile, the director of public policy for the Free Speech Coalition, told Al Jazeera.

The cannabis business has faced similar problems. Over the last decade, both laws and public sentiment around marijuana use have drastically changed. Now, more people use marijuana daily than drink alcohol, and recreational use is legal in 24 states as well as Washington, DC.

Yet, legitimate businesses that cater to this growing market share and those who work for them have been subject to debanking.

Kyle Sherman, the CEO and founder of Flowhub, a cannabis payment processing company, testified in front of the Senate Banking Committee last year that his employees are routinely discriminated against in consumer banking. He alleged that one of his employees was denied a mortgage because of what he does for a living, as well as others who have had their personal accounts closed.

While state laws have shifted on marijuana’s stance, federal laws have not kept up, making it harder for banks to navigate the reputational risk.

Trump recently eased pressure on the marijuana industry by reclassifying the substance as Schedule III, which means it is less harmful, but it does not change the legality of sale and interstate commerce on the federal level.

“In some of the states that have recently gone legal with recreational and medical cannabis, the individual entrepreneurs [there] were previously considered outlaws. It is hard for a banker to get over the perception that yesterday, you were an illegal activity, and today, you’re a legal activity,” said Terry Mendez, the CEO of Safe Harbor Financial, a financial services company for the cannabis industry.

There has been a bigger about-face with regard to the cryptocurrency industry. At first, crypto was seen as a safe haven for illicit transactions because the underlying technology allowed for anonymous transfers, making it difficult for banks to determine which transactions were legitimate and legal and which ones were not.

As the industry began to move into the mainstream, the challenges were amplified. Exchanges and startups faced debanking or sudden account closures, and even major platforms like Coinbase struggled to maintain reliable banking partners.

“Historically, banks were kind of more naturally averse to crypto companies, going back to like 2018, to 2020, 2021. Crypto companies would often, when registering for accounts with banks, say that they were software development companies to try and avoid the mention of crypto because of fear of not being able to open a bank account, which, of course, then means it’s harder to make a payroll. It’s hard to take in funds from investors; you can’t pay vendors,” Sid Powell, the CEO of the asset management firm Maple Finance, told Al Jazeera.

That was not helped by the collapse of FTX, the notorious cryptocurrency exchange, pushing banks to pull back from working with the crypto industry.

Sentiment is shifting now. Under Trump, who has embraced crypto, financial regulators last year withdrew guidance that suggested that banks should be careful when working with the crypto industry. Powell says the executive order could help crypto avoid debanking in the future.

“It [the executive order] kind of signals to the FDIC and the OCC that they should act in a more balanced way when it comes to crypto companies and crypto startups, instead of taking a more hostile approach, or the approach of kind of lumping everyone in with the worst of the industry, which tended to happen post-FTX,” Powell added.

Powell was referring to the The Federal Deposit Insurance Corporation, an independent agency created by Congress to maintain stability in the nation’s financial system, and The Office of the Comptroller of the Currency, an independent bureau of the US Department of the Treasury, which charters, regulates, and supervises all national banks, federal savings associations, and federal branches and agencies of foreign banks.

Trump’s personal gripes

Trump has also accused banks of not doing business with him, the primary driver of his interest in the debanking issue.

Banks can generally refuse to create accounts for potential customers who could be deemed as high risk.

“The president’s companies have filed [for] bankruptcy repeatedly. There have been years of reporting about financial institutions’ concerns with suspicious financial activity, and the president was found civilly liable for inflating the value of his assets that served as collateral for loans from financial institutions,” Graham Steele, an academic fellow at the Rock Center for Corporate Governance at Stanford University, told Al Jazeera.

Reuters reported last year that banks gauged Trump as a financial risk due to his plethora of legal challenges after his first term, including the suit brought by E Jean Caroll, which found Trump liable for sexual abuse. He has declared bankruptcy six times.

He also defaulted on loans totalling hundreds of millions of dollars several times, including a loan to Deutsche Bank. In 2024, a New York court ruled that the president fraudulently inflated his financial worth by more than $2bn.

“Notwithstanding the fact that the president is an inherently political figure, a financial institution could reasonably rely on any of these concerns, grounded in financial and legal risks, not ‘political’ beliefs, as a basis for declining to do business with a customer,” Steele said.

That did not stop the president from pointing fingers at banking giants, including Bank of America CEO Brian Moynihan.

“I hope you start opening your bank to conservatives, because many conservatives complain that the banks are not allowing them to do business within the bank, and that includes a place called Bank of America,” Trump told the executive during a Q&A session at the World Economic Forum in Davos, Switzerland, last year.

The Trump family also sued Capital One last March. The lawsuit alleged that it debanked The Trump Organisation after Trump incited an insurrection at the US Capitol on January 6, 2021, after spreading misinformation alleging that he won the 2020 presidential election even though he had lost by a significant margin.

Trump debanks ‘liberal’ causes

Trump’s rhetoric on debanking is among his latest attempts to punish entities for political bias, while actively pushing actions that punish those who have viewpoints that oppose his own.

Trump has argued that debanking disproportionately targets conservatives and conservative-leaning businesses like firearms manufacturers. His pressure has moved the needle at Citibank. In June, it lifted its ban on banking services to gun sellers and manufacturers, a policy it put in place in 2018 after the shooting in Marjory Stoneman Douglas High School in Parkland, Florida, that left 17 people dead.

In March, his administration announced it would shut down a set of climate grants under the Greenhouse Gas Reduction Fund – known as the “green bank” – a $20bn programme created through the bipartisan Inflation Reduction Act signed by his predecessor, President Joe Biden, in 2022 to channel financing for climate projects into underinvested regions.

Environment and Protection Agency (EPA) administrator Lee Zeldin justified the decision by citing “misconduct, conflicts of interest, and potential fraud”, allegations he offered without evidence, and forced Citibank, which was holding the fund’s money for nonprofit distribution, to return the funds to the EPA.

The decision faced legal hurdles. But earlier this month, a US court of appeals allowed the Trump administration to continue axing the programme. The 2-1 ruling was decided by two judges appointed by Trump.

Last year, the White House also pressured companies seeking federal contracts to abandon diversity, equity and inclusion (DEI) programmes, which it has long portrayed, without evidence, as undermining merit-based hiring.

Citigroup, historically one of the most vocal supporters of DEI in the financial services sector, scrapped its programme. Citibank holds multiple federal contracts with agencies including the Department of Defense and the Consumer Financial Protection Bureau.

Bank of America and Wells Fargo followed suit in February, scaling back their initiatives as well, as did many other companies.

As part of the Trump administration’s immigration crackdowns, the White House has also pressured banks to cut financial services to immigrants. The administration is doing so by trying to cancel the social security numbers of migrants who have legal status in the US, which would essentially cut them off from access to basic financial services, including bank accounts and credit cards, The New York Times reported.

At the time, Leland Dudek, then the Social Security Administration’s acting commissioner and a Trump administration appointee, said the move to cut access would end their “financial lives”.

“There’s a real telling disconnect. They are saying, on the one hand, we wanna put a thumb on the scale and ensure that conservative groups are included in the financial system, while actively working to push out liberal coded groups by either freezing them out of the bank accounts when they get government grants, or trying to investigate and potentially bring criminal charges against the payment platform that serves liberal groups,” Steele said.

Steele questioned if taking on political bias would actually help communities that do not align with the Trump administration’s stated values and conservative viewpoints.

“I think one of the other concerns here is that a lot of this depends on how the executive order is going to be enforced,” Steele said.

These are the key developments from day 1,433 of Russia’s war on Ukraine.

Here is where things stand on Tuesday, January 27:

Fighting

• At least two people were injured after Russian forces launched a drone and missile attack on Kharkiv, Ukraine’s second-largest city, Mayor Ihor Terekhov said. The attack also damaged apartment buildings, a school, and a kindergarten, he added.

• Russian drones also hit a high-rise apartment building in Ukraine’s Kryvyi Rih, President Volodymyr Zelenskyy’s hometown southeast of Kharkiv. The head of the city’s military administration, Oleksandr Vilkul, said the attack triggered a fire, but there were no immediate reports of casualties.
• A Russian drone and missile attack on the Ukrainian capital damaged parts of the Kyiv-Pechersk Lavra, Ukraine’s most famous religious landmark and a UNESCO World Heritage Site, Ukraine’s Ministry of Culture said in a statement.
• In Russia, one person was killed following a Ukrainian drone attack in the border region of Belgorod, Governor Vyacheslav Gladkov said on the Telegram messaging app.
• Ukraine’s military said it struck the Slavyansk Eko oil refinery in Russia’s Krasnodar region overnight. The military said in a statement that parts of the primary oil processing facility were hit. There were no initial reports of casualties.

• One person was injured, and two business enterprises caught fire in the city of Slavyansk-on-Kuban – also in Russia’s Krasnodar – after fragments fell from a destroyed drone, the regional emergencies centre said.

• Russia’s Ministry of Defence said that air defence systems had intercepted and destroyed 40 Ukrainian drones overnight, including 34 in the Krasnodar region.

Military aid

• NATO Secretary-General Mark Rutte said Ukraine’s interception rate of Russian missiles and drones has decreased due to Kyiv having fewer weapons to protect it from incoming attacks. Rutte urged allies to dig into their stockpiles to help defend Ukraine.

Humanitarian aid

• Czechs have collected more than $6m in just five days in a grassroots fundraising effort to buy generators, heaters and batteries to send to Ukraine, where hundreds of thousands of people are freezing in sub-zero temperatures after Russian attacks on power plants, the online fundraising initiative Darek pro Putina (“Gift for Putin”) said.

Ceasefire talks

• Talks between Ukrainian and Russian negotiators are expected to resume on February 1, Zelenskyy said in his regular evening address. He urged Ukraine’s allies not to weaken their pressure on Moscow in advance of the expected talks.

• In a separate post on X, Zelenskyy said military issues were the primary topic of discussion at trilateral talks with the US and Russia over the weekend in Abu Dhabi, but that political issues were also discussed. He added that preparations are under way for new trilateral meetings.

• The US-brokered trilateral talks in Abu Dhabi between Russian and Ukrainian negotiators were held in a “constructive spirit”, but there was still “significant work ahead”, Kremlin spokesman Dmitry Peskov told journalists in Moscow. The talks should be viewed positively despite these differences, he added.

• The Kremlin also said that the issue of territory remained fundamental to Russia when it came to getting a deal to end the fighting, the Russian state’s TASS news agency reported. Moscow has insisted that for the war to end, Russia must take over all of Ukraine’s eastern Donbas region.

• German Federal Minister for Foreign Affairs Johann Wadephul denounced Russia’s “stubborn insistence on the crucial territorial issue” following the talks in Abu Dhabi.

Politics

• European Union countries have approved a ban on Russian gas imports by late 2027, a move to cut ties with their former top energy supplier nearly four years after Moscow’s full-scale invasion of Ukraine.
• Ukrainian Minister of Energy Denys Shmyhal welcomed the ban, saying in a statement that independence from Russian energy “is, above all, about a safe and strong Europe”.
• Germany’s Wadephul said that Russia is testing European countries’ resilience with hybrid tactics, such as the damaging of undersea cables, the jamming of GPS signals and the deployment of a shadow fleet of vessels to break sanctions, as its deadly war in Ukraine continues.

• Hungarian Prime Minister Viktor Orban said that Budapest would summon Ukraine’s ambassador over what Orban said were attempts by Kyiv to interfere in a Hungarian parliamentary election due on April 12. In recent weeks, Orban has intensified his anti-Ukrainian rhetoric and sought to link opposition leader, Peter Magyar, with Brussels and Ukraine.

Jan. 26 (UPI) — Treasury Secretary Scott Bessent announced Monday that the department canceled all contracts with consulting firm Booz Allen Hamilton because of a data leak that included President Donald Trump‘s tax returns.

The department has 31 contracts with Booz Allen for a total of $4.8 million in annual spending and $21 million in total obligations, a press release said.

“President Trump has entrusted his cabinet to root out waste, fraud, and abuse, and canceling these contracts is an essential step to increasing Americans’ trust in government,” Bessent said in a statement.

Between 2018 and 2020, a Booz Allen employee, Charles Edward Littlejohn, “stole and leaked the confidential tax returns and return information of hundreds of thousands of taxpayers.”

The breach affected about 406,000 taxpayers, including Trump, Amazon founder Jeff Bezos and Tesla CEO Elon Musk.

“Booz Allen failed to implement adequate safeguards to protect sensitive data, including the confidential taxpayer information it had access to through its contracts with the Internal Revenue Service,” Bessent said.

Littlejohn pleaded guilty in October 2023 to one charge of disclosure of tax return information and was sentenced to five years in prison. He admitted to leaking Trump’s tax information to The New York Times and leaking other tax information to ProPublica.

Booz Allen’s stock price dipped by 8% on the news, CNBC reported.

WASHINGTON — Donald Trump’s promises on affordability in 2024 helped propel him to a second term in the White House.

Since then, Trump says, the problem has been solved: He now calls affordability a hoax perpetrated by Democrats. Yet the high cost of living, especially housing, continues to weigh heavily on voters, and has dragged down the president’s approval ratings.

In a poll conducted this month by the New York Times and Siena University, 58% of respondents said they disapprove of the way the president is handling the economy.

How the economy fares in the coming months will play an outsize role in determining whether the Democrats can build on their electoral success in 2025 and seize control of one or both chambers of Congress.

With housing costs so central to voters’ perceptions about the economy, both parties have put forward proposals in recent weeks targeting affordability. Here is a closer look at their competing plans for expanding housing and reining in costs:

How bad is the affordability crisis?

Nationwide, wages have barely crept up over the last decade — rising by 21.24% between 2014 and 2024, according to the Federal Reserve. Over the same period, rent and home sale prices more than doubled, and healthcare and grocery costs rose 71.5% and 37.35%, respectively, according to the Fed.

National home price-to-income ratios are at an all-time high, and coastal states like California and Hawaii are the most extreme examples.

Housing costs in California are about twice the national average, according to the state Legislative Analyst‘s Office, which said prices have increased at “historically rapid rates” in recent years. The median California home sold for $877,285 in 2024, according to the California Assn. of Realtors, compared with about $420,000 nationwide, per Federal Reserve economic data.

California needs to add 180,000 housing units annually to keep up with demand, according to the state Department of Housing. So far, California has fallen short of those goals and has just begun to see success in reducing its homeless population, which sat at 116,000 unsheltered people in 2025.

What do the polls say?

More than two-thirds of Americans surveyed in a Gallup poll last month said they felt the economy was getting worse, and 36% expressed approval for the president — the lowest total since his second term began.

The poll found that 47% of U.S. adults now describe current economic conditions as “poor,” up from 40% just a month prior and the highest since Trump took office. Just 21% said economic conditions were either “excellent” or “good,” while 31% described them as “only fair.”

An Associated Press poll found that only 16% of Republicans think Trump has helped “a lot” in fixing cost of living problems.

What have the Democrats proposed?

The party is pushing measures to expand the supply of housing, and cut down on what they call “restrictive” single-family zoning in favor of denser development.

Senate Minority Leader Chuck Schumer (D-N.Y.) said Democrats plan to “supercharge” construction through bills like California Sen. Adam Schiff’s Housing BOOM Act, which he introduced in December.

Schiff said the bill would lower prices by stimulating the development of “millions of affordable homes.” The proposal would expand low-income housing tax credits, set aside funds for rental assistance and homelessness, and provide $10 billion in housing subsidies for “middle-income” workers such as teachers, police officers and firefighters.

The measure has not been heard in committee, and faces long odds in the Republican-controlled body, though Schiff said inaction on the proposal could be used against opponents.

And the Republicans?

A group of 190 House Republicans this month unveiled a successor proposal to the “Big Beautiful Bill,” the sprawling tax and spending plan approved and signed into law by Trump in July.

The Republican Study Committee described the proposal as an affordability package aimed at lowering down payments, enacting mortgage reforms and creating more tax breaks.

Leaders of the group said it would reduce the budget deficit by $1 trillion and could pass with a simple majority.

“This blueprint … locks in President Trump’s deregulatory agenda through the only process Democrats can’t block: reconciliation,” said Rep. August Pfluger (R-Tex.), who chairs the group. “We have 11 months of guaranteed majorities. We’re not wasting a single day.”

Though the proposal has not yet been introduced as legislation, Republicans said it would include a mechanism to revoke funding from blue states over rent control and immigration policy, which they calculated would save $48 billion.

President Trump has endorsed a $200-billion mortgage bond stimulus, which he said would drive down mortgage rates and monthly payments. And the White House, which oversees Fannie Mae and Freddie Mac — the two enterprises that back most U.S. mortgages — continues to push the idea of portable and assumable mortgages.

Trump said the move would allow buyers to keep their existing mortgage rate or enable new homeowners to assume a previous owner’s mortgage.

The Department of Justice, meanwhile, has launched a criminal investigation into Federal Reserve Chair Jerome Powell over the Fed’s renovation costs, as Trump bashed him over “his never ending quest to keep interest rates high.”

The president also vowed to revoke federal funding to states over a wealth of issues such as childcare and immigration policy.

“This is not about any particular policy that they think is harmful,” Rep. Laura Friedman (D-Burbank) said. “This is about Trump’s always trying to find a way to punish blue states.”

Is there any alignment?

The two parties are cooperating on companion measures in the House and Senate.

The bipartisan ROAD to Housing Act seeks to expand housing supply by easing regulatory barriers. It passed the Senate unanimously and has support from the White House, but House Republicans have balked, and it has yet to receive a floor vote.

A bipartisan proposal — the Housing in the 21st Century Act — was approved by the House Financial Services Committee by a 50-1 vote in December. It also has yet to receive a floor vote.

The bill is similar to its twin in the Senate, with Rep. French Hill (R-Ark.) working across the aisle with Rep. Maxine Waters (D-Los Angeles). If approved, it would cut permitting times, support manufactured-housing development and expand financing tools for low-income housing developers.

There was also a recent moment of unusual alignment between the president and California Gov. Gavin Newsom, who both promised to crack down on corporate home buying.

What do the experts say?

Housing experts recoiled at GOP proposals to bar housing dollars from sanctuary jurisdictions and cities that impose rent control.

“Any conditioning on HUD funding that sets up rules that explicitly carve out blue cities is going to be really catastrophic for California’s larger urban areas,” said David Garcia, deputy director of policy at UC Berkeley’s Terner Center for Housing Innovation.

More than 35 cities in California have rent control policies, according to the California Apartment Assn. The state passed its own rent stabilization law in 2019, and lawmakers approved a California sanctuary law in 2017 that prohibits state resources from aiding federal immigration enforcement.

The agenda comes on the heels of a series of HUD spending cuts, including a 30% cap on permanent housing investments and the end of a federal emergency housing voucher program that local homelessness officials estimate would put 14,500 people on the streets.

In Los Angeles County, HUD dollars make up about 28% of homelessness funding.

“It would undermine a lot of the bipartisan efforts that are happening in the House and the Senate to move evidence-backed policy to increase housing supply and stabilize rents and home prices,” Garcia said.

The president’s mortgage directives also prompted skepticism from some experts.

“Fannie Mae and Freddie Mac were pressed to get into the riskier parts of the mortgage market back in the housing bubble and that was a part of the problem,” said Eric McGhee, a researcher at the Public Policy Institute of California.

Brazil’s President Lula criticises US actions in Venezuela, calling the capture of Maduro an unacceptable line against regional stability.

‍Brazilian ‍President Luiz Inacio Lula da Silva has held a ⁠phone call ​with his US ‍counterpart Donald Trump and agreed ‍to ⁠visit Washington soon, the Brazilian government said in a statement.

The two leaders on Monday discussed several issues during the 50-minute call, including the situation in Venezuela, Trump’s proposed “Board of Peace” for Gaza, and the fight against organised crime.

“Lula and Trump ​exchanged ‌views on the situation in Venezuela, and the ‌Brazilian president stressed ‌the importance of ⁠preserving peace and stability in the region,” ‌the statement said.

Regarding Venezuela, the Brazilian president stressed the importance of “preserving peace and stability in the region”, the statement said.

Lula has criticised the ‍US abduction of ⁠Venezuelan President Nicolas Maduro, who was deposed earlier this month and taken to New York to face drug-trafficking charges. The Brazilian president had condemned the move as crossing “an unacceptable line”.

Lula emphasised to Trump on Monday the need to work for the welfare of ​the Venezuelan people.

The Brazilian government’s statement did not say whether Lula accepted Trump’s ‍invitation to join the initiative.

Board of Peace

Lula also ‌requested that Trump’s new proposal for a Board of Peace “be limited to the issue of Gaza and include a seat for Palestine”, as global powers worry the initiative launched last ‌Thursday could assume a wider role and rival the United Nations.

Lula also urged the “comprehensive reform of the United Nations, including the expansion of the permanent members of the Security Council”.

On Friday, Lula, 80, accused Trump, 79, of trying to create “a new UN where only he is the owner”, with his proposed “Board of Peace” following the October 10 ceasefire in the Israel-Palestine war.

Although originally intended to oversee Gaza’s rebuilding, the board’s charter does not appear to limit its role to the Palestinian territory and seems to aim to rival the United Nations.

Traditional US allies, including France and Britain, have also expressed doubts.

‘Unacceptable line’

Lula and Trump have been in contact several times since their first official meeting in October, which ushered in improved ties after months of animosity between Washington and Brasilia.

As a result, Trump’s administration has exempted key Brazilian exports from 40 percent tariffs that had been imposed on Brazil, and lifted sanctions on a top Brazilian judge.

Earlier this month, Lula said the US attack on Venezuela to abduct President Maduro crossed “an unacceptable line”.

The presidency said the visit would take place after Lula’s trips to India and South Korea in February, and that a date would be set “soon”.

The veteran leftist Lula has held phone calls in recent days with Russian President Vladimir Putin and Chinese President Xi Jinping.

In late 2024, shortly after her husband, Donald Trump, was reelected as the 47th president of the United States, Melania Trump saw an opportunity: a documentary centered on her life.

The film, a follow-up to her eponymous memoir, would offer a window into the first lady’s private, sphinx-like world, in contrast to that of her bombastic, spotlight-seeking husband.

To direct the film, a fly-on-the-wall chronicle of the 20 days leading up to the inauguration, Melania turned to an unlikely choice: Brett Ratner, who only a few years earlier had been all but banished from Hollywood.

The controversial filmmaker had been recommended by her agent and “senior advisor” Marc Beckman, who had a long-standing relationship with Ratner.

“He’s one of the most talented directors of our lifetime,” said Beckman, who negotiated the unusually lucrative $40-million deal with Amazon MGM Studios to distribute the film.

“He actually accounts for like $2 billion in box-office receipts,” Beckman told The Times. “He really understands not just how to create something that’s gorgeous, but also how to reach the passions and emotions of his audience.”

The timing was fortuitous. Ratner was looking for a comeback vehicle from his heady days as one of the industry’s most successful filmmakers. And Beckman was among several prominent figures in Trump’s orbit who could help make that happen.

President-elect Donald Trump kisses his wife, Melania, before his inauguration on Jan. 20, 2025.

(Saul Loeb / Associated Press)

Brash, rich and successful, Ratner, 56, was the director and producer of a string of blockbuster films, the “Rush Hour” franchise and “X-Men: The Last Stand” among them. He was a consummate Hollywood dealmaker and habitué of red carpets who held court at the legendary basement disco inside of his equally storied Beverly Hills estate.

Then, in the fall of 2017, The Times reported on sexual misconduct allegations against Ratner made by multiple women. At the time, Ratner strenuously denied the claims.

It was the height of the #MeToo movement and a range of sexual misconduct allegations toppled the careers of powerful men, from disgraced producer Harvey Weinstein to “Today Show” host Matt Lauer and CBS Chairman Les Moonves. Weinstein was later convicted of rape in Los Angeles and sentenced to 16 years in prison.

Almost immediately, Ratner’s reign as blockbuster king was over.

Beckman, however, viewed Ratner first and foremost as a director. They had a relationship that stretched back to 2007. Beckman’s agency hired Ratner to direct a sultry Jordache jeans campaign, inspired by the iconic photographer Helmut Newton, whose work was edgy, provocative and erotically charged. The campaign, shot at the Chateau Marmont, featured a mostly topless Heidi Klum — in one ad she is brandishing a riding whip.

Beckman declined to say whether he had talked to other potential directors, nor would he address any of the claims made against Ratner. He stressed that it was Ratner’s “massive talent” that put him in the director’s chair. “We focused on Ratner’s capabilities as being a superior director,” he said.

The documentary, “Melania,” is set to premiere at the Kennedy Center for the Performing Arts in Washington — which the president is trying to rename the Trump Kennedy Center — on Thursday, followed the next day by a global theatrical release.

In addition to the “Melania” documentary, a three-part docuseries also filmed during the inauguration run-up about the first lady that Ratner directed and is part of the same Amazon deal, is set to air on the streamer later this year, according to Beckman.

Brett Ratner, center, and the stars of “Rush Hour 3,” Jackie Chan and Chris Tucker, at the film’s Los Angeles premiere party in 2007.

(Matt Sayles / Associated Press)

Then there is the much-buzzed-about fourth installment of “Rush Hour.” It has been widely reported that Ratner will direct the $100-million movie to be distributed by Paramount.

The long-stalled project came about after President Trump was said to have urged his friend Larry Ellison, who bankrolled his son David’s acquisition of Paramount, to revive the franchise.

Not everyone is happy about Ratner’s return.

“It speaks to the larger issue that these men who didn’t take responsibility for their actions are coming back into society as if nothing happened,” said Nancy Erika Smith, a partner at Smith Mullin in Montclair, N.J., who has litigated numerous harassment cases, including that of former Fox anchor Gretchen Carlson.

Reached by phone, Ratner declined to respond to questions, saying, “I don’t talk to or cooperate with the Los Angeles Times.”

He referred questions to his London-based publicist, who did not respond to a detailed list of questions.

An early love of movies

Growing up in Miami, Ratner once said that “I eat, sleep, breathe the movies.” He was raised by a single mother, Marsha, who had him at 16, and his grandparents Mario and Fanita Presman, Jewish Cubans who immigrated to Florida during the 1960s. (His paternal grandfather, Lee Ratner, founded d-Con, the rat poison company.) At 12, he was an extra, appearing as a boy on a raft, during a pool scene at the Fontainebleau Hotel in the 1983 Brian De Palma film “Scarface.”

Early on, Ratner garnered a reputation for his ambition, relentless drive and a preternatural ability to surround himself with famous friends and mentors.

While a student at New York University in the late 1980s, he befriended Def Jam co-founder Russell Simmons, who made him his protégé, tapping Ratner to direct music videos.

At 28, he directed his first film, the 1997 buddy comedy “Money Talks,” starring Charlie Sheen and Chris Tucker. The movie grossed $48 million on a $25-million budget, cementing Ratner’s reputation as a highly bankable director.

In 2012, Ratner and Australian billionaire investor James Packer co-founded RatPac Entertainment. A year later, they merged with the film financing company Dune Entertainment, founded by Steven Mnuchin (Trump’s future Treasury secretary), that had bankrolled massive hits like “Avatar.”

The rebranded RatPac-Dune quickly entered into a $450-million slate financing deal with Warner Bros. to fund up to 75 movies, including Oscar winner “Gravity” and box-office hit “Wonder Woman.”

Ratner himself served as an executive producer on such acclaimed films as the epic western drama “The Revenant.”

“I was not the best student, but I was the hardest-working kid that I know, and it paid off,” said Ratner when the Friar’s Club honored him with a comedy achievement award in 2011.

A self-styled jet-setting playboy, Ratner dated actor Rebecca Gayheart and tennis star Serena Williams. He cocooned himself inside a circle of much older, famous cinema legends that he considered his mentors such as Robert Evans, Roman Polanski and Robert Towne.

The late movie producer Robert Evans was part of a clutch of cinema legends that Ratner considered his mentors.

(Getty Images)

Ratner’s Beverly Hills mansion, Hilhaven Lodge, the estate once owned by “Casablanca” actor Ingrid Bergman, was the scene of numerous raucous parties filled with celebrities and models.

After he made a series of vulgar and inappropriate comments while promoting his film “Tower Heist” in 2011, including saying that “rehearsal is for f—,” using an anti-gay slur, he dropped out of producing the Academy Awards broadcast.

Still, Ratner frequently groused that he was misunderstood.

“I don’t drink; I don’t do drugs. Do I like to have fun? Yeah. Do I like to enjoy myself, enjoy my life? Yeah. But I’m not a decadent person. … I’m just a nice Jewish kid from Miami Beach who loves movies and pretty girls,” he said in an interview with the Jewish Journal.

Over the years, Ratner sat on the boards of several charities such as Chrysalis, a group that helps homeless people; and the Ghetto Film School. In 2013, he donated $1 million to the Academy Museum of Motion Pictures and he actively supported the Simon Wiesenthal Center, where he was a trustee, and the Museum of Tolerance.

When Patty Jenkins presented him with the Tree of Life humanitarian award at a Jewish National Fund dinner in 2017, the director of “Wonder Woman” and “Monster” shared that he financed her thesis film.

In 2017, when Ratner received a star on the Hollywood Walk of Fame, he was cheered on by actors Edward Norton, Dwayne Johnson and Eddie Murphy, producer Brian Grazer and Warner Bros. chief Kevin Tsujihara.

(Chris Delmas / AFP via Getty Images)

That year, RatPac-Dune’s co-financing deal with Warner Bros. delivered a series of hits, including “It,” “Wonder Woman” and “Dunkirk.” He received a star on the Hollywood Walk of Fame.

Fallout over allegations of misconduct

Then, in November, The Times published detailed allegations against Ratner made by six women who accused him of harassment, groping and forced oral sex. Actor Olivia Munn claimed that Ratner masturbated in front of her when she delivered a meal to his trailer on the set of the 2004 film “After the Sunset.”

At the time, Ratner’s attorney Martin Singer rejected the women’s claims, saying that his client “vehemently denies the outrageous derogatory allegations that have been reported about him.”

The Times published another report weeks later that included additional sexual misconduct allegations from several other women. The report also named Simmons, the Def Jam co-founder, as a witness and alleged perpetrator in several of the episodes.

Both Ratner and Simmons disputed the women’s accounts and denied their allegations. Simmons subsequently faced several rape accusations, which he has denied.

The professional repercussions were swift. Ratner’s agents at WME dropped him, as did his publicist, and projects were put on hold. Ratner parted ways with Warner Bros.

“I don’t want to have any possible negative impact to the studio until these personal issues are resolved,” he said in a statement.

In April 2018, Warner Bros. officially cut ties with Ratner, declining to renew its massive $450-million co-financing deal with RatPac-Dune.

Two years later, Ratner’s name surfaced amid the tangled Hollywood sex scandals involving British actor Charlotte Kirk, whose allegations brought down two studio chiefs: Warner Bros. CEO Kevin Tsujihara and NBCUniversal Vice Chairman Ron Meyer, with whom she claimed to have had sexual affairs.

British actor Charlotte Kirk accused several Hollywood power players including Ratner of “victimizing her.”

(Paul Archuleta / FilmMagic)

In a sworn court declaration, Kirk said she was victimized by Tsujihara, Ratner, Packer and Millennium Films CEO Avi Lerner, stating that the men “coerced me into engaging in ‘commercial sex’ for them and their business associates.”

She further accused Packer, whom she had dated for a period, and Ratner of having “sexually exploited me,” with Ratner sending her “crude sexual text messages, and offering me as an inducement to his business partners,” according to her declaration.

Attorney Singer, who represented the men, “categorically and vehemently” denied any wrongdoing on the part of his clients.

Cast out of Hollywood, Ratner appeared to escape the piercing scrutiny by living large. He was spotted variously at the five-star Faena Hotel in Miami and sunning on a yacht off Saint-Barthélemy in the Caribbean.

Ratner’s initial attempts to get back behind the camera went nowhere. In 2021, he announced plans to direct a long-stalled Milli Vanilli biopic with Millennium Media, but soon after, Millennium Media stated that it was no longer involved with the film.

In Trump’s orbit

Despite the setbacks, the seeds for Ratner’s eventual comeback had been sown. Known as a world-class schmoozer, Ratner cultivated numerous ties to people affiliated with Trump.

For several years, he was partners with Mnuchin, who served as Treasury secretary during Trump’s first term, through their production and financing company RatPac-Dune.

Billionaire Len Blavatnik, owner of Warner Music Group, bought Packer’s stake in RatPac-Dune through his Access Entertainment in 2017, making him Ratner’s partner for a time. Blavatnik, through his company, contributed $1 million to Trump’s first inauguration.

Then there’s Arthur Sarkissian, the producer of the original “Rush Hour” movie. He also produced the 2024 Trump-friendly documentary, “The Man You Don’t Know.”

Steven Mnuchin, who was Treasury secretary during Trump’s first term, was a partner with Ratner through their company RatPac-Dune Entertainment.

(Alex Brandon / Associated Press)

Ratner also developed a friendship with Israeli Prime Minister Benjamin Netanyahu, who has a long-standing relationship with Trump. Ratner was the prime minister’s guest at the United Nations General Assembly in September 2023. He posted a picture on his Instagram standing behind a seated Netanyahu and his wife, and next to attorney Alan Dershowitz, himself a longtime advisor and friend of Trump’s.

That year, several Israeli media outlets reported that Ratner had obtained Israeli citizenship after he posted the passbook Israel issues to new immigrants on his Instagram story with his name “Brett Shai Ratner” captioned in Hebrew.

“There’s a strong community in south Florida that is close to Trump,” said someone who worked with the family but was not authorized to speak publicly. “Brett has relationships with a bunch of them; it was just a matter of connecting the dots.”

Ratner no longer appears to live at his Hillhaven estate (which is currently listed for lease at $82,500 a month), while there have been sightings of him at Mar-a-Lago.

Not long after the presidential election, Ratner was given unprecedented entrée to Melania Trump and became a part of her trusted inner circle.

Beckman said Ratner was given “remarkable” access to her life. “There were behind-the-scenes meetings,” he said. “She’s a very private person and for the first time she was allowing the cameras to cover her, her family, her philanthropy and of course her business endeavors.”

Many of the women who came forward in 2017 to level their accusations against Ratner declined to speak about him now or to comment on his return to directing.

In the 2017 Times article, actor Jaime Ray Newman alleged that during a flight Ratner made sexually inappropriate comments and showed her nude photos of his then-girlfriend.

“I said my piece a couple of years ago and have moved on,” Newman, who stars in the Netflix hit “The Hunting Wives,” told The Times. “I feel really good and brave in what I did.”

The “Melania” trailer is in heavy rotation online and was shown during the NFL playoffs. Billboards loom over cities and on buses.

Talking to reporters on Air Force One earlier this month, the president praised the upcoming film.

“I’ve seen pieces of it, it’s incredible,” Trump said. “Everybody wants tickets to the premiere. I think it’s going to be great.”

Jan. 26 (UPI) — Critical minerals startup USA Rare Earth announced Monday that the Department of Commerce will give the company a $1.3 billion loan and $277 million in federal funding.

USA Rare Earth will issue Commerce 16.1 million shares of common stock and 17.6 million in warrants. The federal government will have an 8% to 16% stake in the company, depending on whether it uses the warrants, a filing with the Securities and Exchange Commission said.

USA Rare Earth shares rose more than 20% Monday after the announcement, CNBC reported.

The injection of funds will help the company build a magnet manufacturing plant in Stillwater, Okla., and a mine at the Round Top mineral deposit in Sierra Blanca, Texas.

CEO Barbara Humpton said the government deal will turn USA Rare Earth into an industry leader.

“This is a watershed moment in our work to secure and grow a resilient and independent rare earth value chain based in this country,” CNBC reported that Humpton told analysts Monday.

“We have long said that meeting the urgent call to reassure the rare earth and critical minerals industry will require a multiplayer solution, and this establishes our company as one of the leaders,” she said.

Commerce will allocate the funding from 2026 through 2028 based on milestones in USA Rare Earth’s business plan, Chief Financial Officer Rob Steele told analysts.

The company needs about $4.1 billion for its plan, he said. It still needs to raise about $600 million more capital.

“We believe we can raise the remaining capital from attractive sources, and you should assume that’s equity capital but that can come from strategic investments as well as institutional investors,” Steele said.

China dominates the global supply chain of rare earth materials. During trade disputes with President Donald Trump, Beijing tried to cut off rare earth exports.

“USA Rare Earth’s heavy critical minerals project is essential to restoring U.S. critical mineral independence,” Commerce Secretary Howard Lutnick said in a statement. “This investment ensures our supply chains are resilient and no longer reliant on foreign nations.”

“The Department of Energy is ending America’s reliance on foreign nations for the critical materials essential to our economy and national security,” said U.S. Energy Secretary Chris Wright in a statement. “The DOE is partnering with USAR to rebuild the critical minerals supply chain. By expanding domestic mining, processing and manufacturing capabilities, we are creating good-paying American jobs and safeguarding our national security.”

“Accelerating the onshoring of rare earth minerals, metals, and magnets is paramount to national and economic security,” U.S. Investment Accelerator Executive Director Michael Grimes said in a statement. “With the Department of Commerce’s funding for USA Rare Earth’s vertically integrated mine-to-magnet operations, we will significantly increase the domestic supply of crucial components for semiconductors, defense and numerous other industries strategic to the United States.”