Taking it to the skies

Good morning. China tells its carriers to stop taking Boeing jets in the latest trade war salvo. The US economy is set to lose billions as foreign tourists stay away. And just a friendly reminder, it’s tax day! Listen to the day’s top stories.

China ordered its airlines not to take any further deliveries of Boeing jets, people familiar said, as part of the tit-for-tat trade war that’s seen Donald Trump levy tariffs of as high as 145% on Chinese goods. Beijing also asked Chinese carriers to halt purchases of aircraft-related equipment and parts from US companies. For Boeing, the standoff is a fresh setback as it was closing on Airbus, its main rival.

Nothing to see here, folks. Treasury Secretary Scott Bessent played down the recent selloff in the bond market, rejecting speculation that foreign nations were dumping their holdings of US Treasuries, while flagging that his department has the tools to stabilize the market if needed. Bessent also took the opportunity to praise President Javier Milei's policies (he’s on a visit to Argentina).

With just two weeks to go before Canada’s general election (April 28), voters are warming up to Mark Carney, whose demeanor has helped his image as the anti-Trump candidate. Polls suggest Carney’s Liberal Party has a lead of about 5 to 7 percentage points over his main opponent, the Conservatives’ Pierre Poilievre. The next few days will be crucial as they face off in televised debates on Wednesday (in French) and Thursday (in English), surely to be dominated by the trade war.

It’s tax day! (sorry to be a downer). The conclusion of the filing season will provide early clues toward resolving a nagging question hanging over the US Treasury: How honest will Americans be about their income when there are suddenly fewer auditors to check them? The answer is sure to have ramifications. A drop in tax collections would spark even more angst about the county’s fiscal burden.
Sweet vindication. Hermès’s market capitalization surpassed that of rival LVMH, the conglomerate which once tried to buy the maker of the coveted—and hard to get—Birkin bag in a stealth raid that shocked the French corporate world 15 years ago. The reversal in fortunes comes after LVMH's disappointing first-quarter results.
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The Deep Dive: Taking a Hit

The US economy is set to lose billions of dollars this year from a pullback in foreign tourism and boycotts of American products, adding to a growing list of headwinds keeping recession risk elevated.

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The Big Take

Opinion

Tariff turmoil puts fiscal discipline on the table for bubble-era startups—and that’s not a bad thing, Parmy Olson writes. For Silicon Valley, Trump’s tariff shock has delivered a hard truth: The free-money era won’t be back for a while.

Before You Go

Van Cleef & Arpels is creating $10 million automatons covered in gold and diamonds, blending 18th-century technology with modern luxury. The jeweler's 2025 astronomical clock features planets orbiting a gleaming sun, with Saturn taking 29.5 years to complete its journey. It’s an (expensive) appeal to connoisseurs of rare craftsmanship.

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