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  • Former Vice President Mike Pence will not endorse Trump in 2024

    Former Vice President Mike Pence will not endorse Trump in 2024

    Former U.S. Vice President Mike Pence arrives to speak at the Republican Jewish Coalition Annual Leadership Summit in Las Vegas on Oct. 28, 2023.

    Steve Marcus | Reuters

    WASHINGTON — Former Vice President Mike Pence said Friday that he would not endorse his former boss for president in the 2024 election.

    Pence revealed the decision during an interview on Fox News. “I will not be endorsing Donald Trump this year,” the Republican said.

    Pence’s announcement came as Trump secured enough Republican delegates this week to clinch the party’s nomination.

    Trump “is pursuing and articulating an agenda that is at odds with the conservative agenda that we governed on during our four years,” said Pence.

    “As I have watched his candidacy unfold, I’ve seen him walking away from our commitment to confronting the national debt,” Pence said. “I’ve seen him starting to shy away from a commitment to the sanctity of human life.”

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    Pence also noted Trump’s “reversal on getting tough on China and supporting our administration’s effort to force a sale of [ByteDance’s] TikTok.”

    Trump recently reversed his long-held position on whether TikTok should be permitted to continue operating in the U.S. under the ownership of China-based ByteDance.

    Pence mounted his own run for president against Trump and a crowded field of Republican hopefuls, but dropped out in October 2023 after his campaign failed to gain traction with GOP primary voters.

    Pence added Friday that he would “never vote” for Democratic President Joe Biden, who also secured his party’s nomination in March 12 primary contests.

    “I’m going to keep my vote to myself,” said Pence.

    Pence served as Trump’s vice president for their single term in office, from January 2017 through January 2021.

    On Jan. 6, 2021, Pence and congressional lawmakers were forced to flee Senate and House chambers when a mob of Trump supporters stormed the U.S. Capitol complex.

    Trump had urged his followers that morning to march to the Capitol and protest the certification of Biden’s victory in the 2020 election over him.

    As the mob breached the Capitol security fence and attacked law enforcement, Pence was inside presiding over a joint session of Congress meeting to ratify Electoral College votes.

    — CNBC’s Dan Mangan contributed reporting to this story.

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  • Russians vote in an election that Putin will win, but the Kremlin is looking for a landslide victory

    Russians vote in an election that Putin will win, but the Kremlin is looking for a landslide victory

    Vladimir Putin at a rally at Manezhnaya Square near the Kremlin on March 18, 2018.

    Mikhail Svetlov/Getty Images

    There are no surprises over who will win Russia’s presidential election this coming weekend with incumbent, Vladimir Putin, set to win a fifth term in office, keeping him in power until at least 2030.

    The heavily stage-managed vote taking place from Friday to Sunday is not expected to throw up any nasty surprises for the Kremlin which told CNBC months ago that it was confident Putin would win the vote comfortably.

    That’s particularly the case in a country where Russian opposition figures are not represented on the ballot paper or in mainstream politics, with most activists having fled the country. Those that have stayed have found themselves arrested or imprisoned or have died in mysterious circumstances, as was the case with jailed opposition leader Alexei Navalny. The Kremlin denied it had any hand in his death.

    In the 2024 election, there’s no doubt who will win the vote; Putin’s name is on the ballot paper along with only three other candidates who are part of Russia’s “systemic opposition”: Vladislav Davankov of the New People party, Leonid Slutsky from the Liberal Democratic Party (LDPR) and Communist Party candidate Nikolay Kharitonov.

    Seen as token political opponents whose parties are generally supportive of the government, their inclusion on the ballot paper is designed to lend a degree of respectability to the vote, and a semblance of plurality to Russia’s effectively autocratic political system.

    Putin has been in power either as president or prime minister since late 1999 and shows no sign of being ready to relinquish control of the country. He’s backed by a loyal inner circle and retains the support of Russia’s security services.

    Reflecting the Kremlin’s nervousness over any potential for an electoral upset, however, even candidates who were only marginally representative of the “non-systemic opposition,” such as anti-war hopefuls Yekaterina Duntsova and Boris Nadezhdin, were barred from participating in the election by Russia’s Central Election Commission. The ban was widely seen as politically-motivated.

    Looking for a landslide

    Over 110 million Russian citizens are eligible to vote in the election, as well as an estimated 6 million people living in four partially Russian-occupied territories in the south and east of Ukraine, much to Kyiv’s disdain.

    Putin’s approval rating in Russia stands at the highest level since 2016, at 86% in February, according to the independent Levada Center, although analysts like Andrei Kolesnikov, a senior fellow at the Carnegie Russia Eurasia Center, note that Putin’s “power model” is heavily reliant on two unstable mainstays: “passive conformism and fear.”

    Both factors have certainly been amplified since Russia invaded its neighbor Ukraine in February 2022, with any perceived criticism of Russia’s “special military operation” — portrayed as a glorious and patriotic defense of Russia’s homeland — potentially landing citizens in jail. That 315,000 Russian soldiers are estimated to have been wounded or killed in the conflict is not a subject the Kremlin will go near in public; Russia does not release death or casualty figures.

    Ukrainian soldiers fire with D-30 artillery at Russian positions in the direction of Klishchiivka as the Russia-Ukraine war continues in Donetsk Oblast, Ukraine on August 12, 2023. 

    Diego Herrera Carcedo | Anadolu Agency | Getty Images

    The Kremlin will be hoping to see high voter turnout this election — the first time a presidential vote has been held over three days — and is looking for a momentous win for Putin in order to legitimize the war, analysts note.

    “The Kremlin seeks an election result that would demonstrate overwhelming public support for Putin and, by extension, his domestic and foreign policy agenda,” Andreas Tursa, central and eastern Europe advisor at consultancy Teneo, commented Thursday.

    “The Kremlin is using the electoral contest to reaffirm Putin’s legitimacy, mobilize public support for his policies, and showcase unity and determination to its external adversaries,” he added, with the Kremlin looking for a “landslide victory.”

    “According to official data, Putin received 77.5% of valid votes in the 2018 presidential election that saw a turnout of 67.5%. This year, both figures could be even higher,” he said.

    “Putin does not face any real competition in the vote and, if needed, electoral authorities have various tools at their disposal to engineer the desired turnout and result. However, the preference is to generate the result with as little interference as possible,” he noted.

    Widespread criticism

    Rising authoritarianism in Russia, and the erosion of the last vestiges of democracy in the country during Putin’s tenure, have provoked widespread criticism and consternation. As such, it’s no wonder that the 2024 vote has already been condemned by opposition activists, as well as neighboring Ukraine.

    Kyiv has been scathing about voting taking place in Crimea, Zaporizhzhia, Kherson, Donetsk and Luhansk this week. There have already been reports of coercion and illegitimate voting practices including evidence of armed soldiers accompanying pro-Russian officials, holding ballot boxes, as they go door-to-door to gather votes.

    Ukraine’s foreign ministry said in a statement Thursday that Russia’s attempt to “imitate” presidential elections on its territory “demonstrates the Russian Federation’s continued flagrant disregard for international law norms and principles.” It called the votes illegal and urged citizens in occupied regions not to participate.

    Russian opposition activists, most in self-imposed exile in order to evade arrest, imprisonment or attack, have also condemned the election.

    Yulia Navalnaya, the widow of the late opposition leader Alexei Navalny, pleaded with Russian voters to vote for “any candidate except Putin” and called on citizens to vote en masse at midday local time on March 17, with the intention of overwhelming polling stations. She also asked the West to not recognize the election result. Kremlin opponents have also called on supporters abroad to protest outside Russian embassies this coming Sunday.

    Dmitrii Moskovii, an opposition activist and representative of the Russian Democratic Society in London, said the protests offered people a chance to show their opposition to Putin and the war.

    When we’re talking about Russia, we’re always talking about an almost authoritarian regime in which there is no freedom of election, we’re talking about an election that is obviously and for sure going to be faked by the Russian authorities,” he told CNBC Thursday.

    Russian President Vladimir Putin gestures during a meeting with participants of the International Youth Festival, March 6, 2024 in Sirius territory, Sochi, Russia. Putin is visiting the Stavropolsky Krai and Krasnodar Krai regions in the southern part of the country ahead of the presidential elections scheduled March 15-17. 

    Contributor | Getty Images News | Getty Images

    The semblance of free and fair elections appears to be something the Kremlin is little concerned about, with analysts noting that the 2024 vote is taking place with far less scrutiny than previous ballots, reflecting Russia’s increasingly indifferent attitude toward international democratic norms.

    “Recent changes to Russia’s electoral laws make it virtually impossible to conduct any meaningful monitoring, and have significantly restricted the role of the media,” Anna Caprile, a policy analyst with the European Parliament, said in analysis Wednesday.

    “The reappointment of Vladimir Putin seems inexorable. The objective of the Kremlin, however, is not just victory, but a landslide result, both in turnout and percentage of votes. This would legitimise Putin’s legacy and his war of aggression, relegating the remaining opposition to an even more marginalised role, and allowing Putin to implement, unchecked, his vision for the next six years,” she noted.

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  • CHIPS, IRA & Infrastructure Acts driving interest in domestic investment: BNP Paribas’ Fillion

    CHIPS, IRA & Infrastructure Acts driving interest in domestic investment: BNP Paribas’ Fillion

    Hosted by Brian Sullivan, “Last Call” is a fast-paced, entertaining business show that explores the intersection of money, culture and policy. Tune in Monday through Friday at 7 p.m. ET on CNBC.

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  • How far does Gulf money go? An Abu Dhabi-backed newspaper buyout attempt is sparking panic in London

    How far does Gulf money go? An Abu Dhabi-backed newspaper buyout attempt is sparking panic in London

    Copies of The Daily Telegraph newspaper on a newsstand in a shop in London, UK, on March 12, 2024 (L), and UAE Vice President Sheikh Mansour bin Zayed al-Nahyan speaking at COP28 on Dec. 1, 2023.

    Getty Images

    DUBAI, United Arab Emirates — Mansions, university facilities, think tanks, sports teams — the U.K. is no stranger to Gulf money and multi-billion dollar investments streaming from Qatar, the United Emirates and Saudi Arabia into British institutions.

    But newspapers? That’s a hard stop, apparently. The latest investment pursuit flowing westward from one of the U.K.’s close Gulf allies, the UAE, has thrown British lawmakers, journalists, and even former intelligence officials into a frenzy.

    Just on Wednesday, Britain’s government announced it would change its laws to stop foreign governments from being able to own the country’s newspapers, potentially throttling a controversial Emirati ownership bid for one of the U.K.’s most influential papers.

    More than 100 members of Parliament have signed a letter opposing the buyout of major British newspaper the Telegraph and news magazine, The Spectator, by UAE government-backed investment fund RedBird IMI. Long a favorite of Britain’s Conservative Party, ownership of the 168-year old daily is not just about profit, but about power.

    The purchase would be backed by UAE Vice President Sheikh Mansour bin Zayed Al Nahyan, and would reportedly entail paying off some £1.2 billion ($1.53 billion) in debts owed by the paper’s current owners, the Barclay family, to Lloyds Bank. The deal would ultimately see the Telegraph, which is valued at a reported £600 million, come under full Emirati ownership.

    For many in the U.K., the takeover presents a dangerous threat to free press in the country. Lawmakers have been scrambling to introduce a new law that would enable Parliament to veto buyouts of news outlets by foreign governments.

    “If major newspaper and media organisations can be purchased by foreign governments, the freedom of the press has the potential to be seriously undermined,” the Parliament members wrote in a letter to the UK’s Secretary of State for Culture, Media and Sport, Lucy Frazer.

    The General view of Abu Dhabi city at Sunset on April 26, 2018 in Abu Dhabi, United Arab Emirates. 

    Rustam Azmi | Getty Images

    “No other democracy in the world has allowed a media outlet to be controlled by a foreign government. This is a dangerous Rubicon we should not cross.”

    Some observers have pointed out that that rubicon has already been crossed, albeit it’s a much more grey area: London’s Evening Standard newspaper is owned by Russian-British businessman Evgeny Lebedev, whose father was a member of Russia’s intelligence service, the KGB. Former Prime Minister Boris Johnson gave Lebedev a seat in Britain’s House of Lords, despite protests and concerns from senior government officials about the Lebedevs’ links to Russia.

    Alexander Lebedev, Evgeny’s father, was put under Canadian sanctions in 2022, accused of “directly enabling” Russia’s war in Ukraine. For his part, Evgeny Lebedev has strongly denied assertions that he is a “security risk,” writing in a March 2022 article: “I am not some agent of Russia.”

    In response to the U.K.’s legal amendments, RedBird IMI said it was extremely disappointed and was evaluating its next steps, Reuters reported Wednesday.

    Rival bids for the Telegraph include Rupert Murdoch’s News UK and Paul Marshall, hedge fund billionaire and co-owner of GB News — both of which are seen to have a clear right-wing leaning.

    A media spending spree

    RedBird IMI, a joint venture between American private equity firm RedBird Capital Partners and Abu Dhabi-based International Media Investments (IMI), was launched in late 2022 and is led by former CNN Chief Executive Jeff Zucker.

    The joint venture’s backers have furnished Zucker with a $1 billion war chest in the hope that the longtime media executive can hunt down profitable investments across the worlds of news, entertainment and sports. Abu Dhabi’s IMI committed 75% to the venture, or $750 billion, with RedBird Capital providing the rest.

    FILE – Jeff Zucker, then Chairman, WarnerMedia News and Sports and President, CNN Worldwide listens in the spin room after the first of two Democratic presidential primary debates hosted by CNN on July 30, 2019, in the Fox Theatre in Detroit.

    Paul Sancya | AP

    The UAE’s Sheikh Mansour is the ultimate backer and beneficiary of the fund, excluding the shares of RedBird Capital founder Gerry Cardinale, Jeff Zucker and other private partners or shareholders. Sheikh Mansour is vice president and deputy prime minister of the UAE, chairman of the country’s mammoth state-owned Mubadala Investment Company, which oversees $276 billion in assets, and owner of English Premier League soccer club Manchester City.

    RedBird IMI has been on a spending spree, most recently inking a £1.45 billion deal to acquire British production house All3Media, the creator of hit shows like “Squid Game: The Challenge” and “Fleabag.”

    But it’s faced regulatory probes and delays in the U.K. over its bid for the Telegraph.

    Soft power and global influence

    To Mazen Hayek, a Dubai-based media consultant and former spokesman at Saudi-owned media company MBC Group, the whole controversy is overblown.

    “The acquisition bid for The Telegraph and The Spectator by RedBird IMI aligned with the UAE’s legitimate soft power and global influence goals. It included a firm commitment to uphold the publications’ managerial independence and editorial integrity,” Hayek told CNBC.

    He cited political probes, protectionism, double standards and “business Islamophobia” as leading to the apparent U.K. ban on foreign media acquisitions.

    “This raises questions about the U.K. government’s consistency and its stance on foreign investments, especially when compared to the ownership, for example, of prominent U.K. sports clubs by foreign investors,” Hayek added.

    The Telegraph purchase is more sensitive, U.K. lawmakers argue, because of its potential impact on press freedom, given that free press and opposition to the government are not permitted in the UAE. The Gulf sheikhdom is ranked 145th in the world out of 180 countries for press freedom, according to Reporters Without Borders.

    “You cannot separate sheikh and state,” Conservative MP Alicia Kearns said of the deal in January.

    CNBC has contacted IMI and RedBird Capital Partners for comment. In a November interview with the Financial Times, Zucker accused the Telegraph’s rival bidders of “slinging mud” and vowed to maintain the newspaper’s editorial independence.

    For Taufiq Rahim, a Dubai-based senior fellow in the Future Security program at the think tank New America, the more pressing issue is print newspapers disappearing altogether.

    “While governments may restrict foreign ownership of the press, the real risk is that newspapers simply go out of business and out of print,” he told CNBC.

    “If the law is passed, the competition of Gulf governments for traditional media will simply move to seeking ownership of new media platforms and social media.”

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  • New York AG questions Trump cash reserves as $464 million judgment looms

    New York AG questions Trump cash reserves as $464 million judgment looms

    Former U.S. President Donald Trump speaks as he arrives at a Manhattan courthouse, for the trial of himself, his adult sons, the Trump Organization and others in a civil fraud case brought by state Attorney General Letitia James, in New York City, U.S., October 2, 2023. 

    Brendan Mcdermid | Reuters

    Former President Donald Trump has not shown that he has enough cash to cover the full amount of a $464 million civil fraud judgment if he loses his appeal, New York’s chief law officer warned in a court filing Monday evening.

    New York Attorney General Letitia James raised that concern as she argued that Trump and his co-defendants should be required to post cash or bonds covering the entire fraud judgment, if they want to pause it from coming due while they challenge the ruling.

    “Defendants have never demonstrated that Mr. Trump’s liquid assets—which may fluctuate over time—will be enough to satisfy the full amount of this judgment following appeal,” James told a New York appeals court.

    Trump’s real estate holdings may also decrease in value as the appeal drags on, while post-judgment interest continues to rack up, she wrote.

    His finances could be further strained by his other civil and criminal legal battles, James added, including a January jury verdict ordering him to pay $83.3 million in damages for defaming writer E. Jean Carroll.

    Trump “has substantial liabilities that may reduce his liquid assets further, including other outstanding money judgments against him, and he faces multiple criminal indictments,” she wrote, pointing to that verdict.

    Without a full bond, the civil fraud defendants — Trump, his two adult sons, his company and its top executives — might also try to “evade” or exacerbate enforcement of the judgment if they lose the appeal, James warned.

    She urged the appeals court to reject Trump’s bid to stay the judgment with a $100 million bond, less than a quarter of the total amount awarded by Manhattan Supreme Court Judge Arthur Engoron.

    Attorneys for Trump did not immediately respond to CNBC’s request for comment on James’ filing.

    The defense lawyers had argued that the smaller bond amount was enough to secure the judgment, when coupled with the continuing oversight of the Trump Organization’s assets by a court-appointed financial monitor.

    New York Attorney General Letitia James sits in the courtroom during the civil fraud trial of former President Donald Trump and his children at New York State Supreme Court on November 03, 2023 in New York City.

    David Sanders | Getty Images

    They claimed that it would be “impossible” for them to secure a full appeal bond, which could be set at 120% of the judgment — more than $550 million — since that judgment also barred Trump from applying for loans in New York.

    James challenged that claim, writing that the defendants “fail to provide information about what steps (if any) they have taken to secure an undertaking prior to filing their motion.”

    They have not yet shown that Trump — a professed multi-billionaire who said in a deposition last year that he holds more than $400 million in cash — has tried and failed to obtain a bond, she noted. The ban on borrowing is also no obstacle, because appeal bonds are not loans, she wrote.

    Appeal bonds are intended to ensure that the person awarded damages at trial will be able to collect that money if the verdict is upheld on appeal. The person posting the bond will get their deposit back if they win their appeal.

    Read more CNBC politics coverage

    New York appeals court Judge Anil Singh on Feb. 28 rejected the $100 million bond proposal, but allowed the defendants to continue doing business in New York and lifted the ban on seeking loans.

    That temporary ruling is in effect before a full panel of appeals court judges is set to consider the matter next week.

    Meanwhile, Trump on Friday posted a $91.6 million bond as he appeals a federal civil jury verdict finding him liable for defaming Carroll after she came forward to accuse him of raping her in the mid-1990s.

    That was the second jury to order Trump to pay Carroll damages for defamation. The presumptive Republican presidential nominee has continued to attack Carroll, prompting her lawyers to suggest that they might file another defamation lawsuit.

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  • Live updates: Special Counsel Robert Hur testifies about Biden handling of classified documents

    Live updates: Special Counsel Robert Hur testifies about Biden handling of classified documents

    Special Counsel Robert Hur is testifying to Congress on Tuesday about his investigation into how President Joe Biden handled classified documents after he was vice president.

    Hur is speaking to the House Judiciary Committee about his report, which concluded that Biden “willfully retained and disclosed classified materials” which the special presented “serious risks to national security.”

    But Hur has said he decided not to criminally prosecute Biden for his handling of that material, in part because of the president’s allegedly poor memory, among other things.

    Biden and his lawyers have strongly disputed Hur’s characterization of the president’s memory, and have pointed to details in the the special counsel’s report that undercut the claim that he willfully retained classified documents.

    Former Special Counsel Robert K. Hur testifies before the House Judiciary Committee on March 12, 2024 in Washington, DC. 

    Chip Somodevilla | Getty Images

    This is developing news. Check back for updates.

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  • Biden electrifies Democrats, spars with Republicans in fiery State of the Union address

    Biden electrifies Democrats, spars with Republicans in fiery State of the Union address

    A spirited President Joe Biden delivered a fiery, partisan State of the Union address on Thursday, fit for an election year with enormously high stakes in a divided nation.

    “Not since President Lincoln and the Civil War have freedom and democracy been under assault here at home as they are today,” Biden said early in the speech.

    “What makes our moment rare is that freedom and democracy are under attack, both at home and overseas, at the very same time,” he said.

    “Overseas, [President Vladimir] Putin of Russia is on the march, invading Ukraine and sowing chaos throughout Europe and beyond. If anybody in this room thinks Putin will stop at Ukraine, I assure you, he will not,” the president said to cheers from Democrats and applause from a smattering of Republicans.

    “My message to President Putin is simple. We will not walk away. We will not bow down. I will not bow down,” Biden said.

    The president also celebrated Sweden’s ascension into NATO earlier in the day, as Swedish Prime Minister Ulf Kristersson sat to the left of First Lady Jill Biden in her guest box.

    U.S. first lady Jill Biden sits alongside Swedish Prime Minister Ulf Kristersson during U.S. President Joe Biden’s State of the Union address in the House Chamber of the U.S. Capitol in Washington, March 7, 2024.

    Mandel Ngan | Afp | Getty Images

    On domestic policy, Biden was even more confrontational than he was on foreign affairs, repeatedly calling out Republicans and sparring live on TV with some of the loudest voices in the GOP caucus.

    As a coterie of conservative Supreme Court justices sat just feet away from him, Biden excoriated them for overturning the reproductive rights enshrined in Roe vs. Wade.

    “In its decision to overturn Roe v. Wade, the Supreme Court majority wrote that, ‘women are not without … electoral or political power,’” Biden said.

    Then he paused and said to them, “You’re about to realize just how much.” With that, Democrats in the chamber jumped to their feet and clapped and cheered.

    Biden also went toe to toe with Republicans over a border security bill.

    “In November, my team began serious negotiations with a bipartisan group of senators. The result was a bipartisan bill with the toughest set of border security reforms we’ve ever seen in this country,” said Biden.

    U.S. Rep. Marjorie Taylor Greene, R-Ga., yells at U.S. President Joe Biden as he delivers the State of the Union address at the U.S. Capitol in Washington, March 7, 2024.

    Evelyn Hockstein | Reuters

    As Republicans booed the bill that they agreed to in the Senate, but then sunk in the House, Biden turned to his left, where Republican members were seated.

    “Oh, you don’t think so? You don’t like that bill, huh? Darn, that’s amazing,” he said.

    “Because that bipartisan deal would hire 1,500 more border security agents and officers, 100 more immigration judges to help tackle a backload of 2 million cases.”

    Again and again, Biden met Republican interruptions and boos in real time with quips and jabs that appeared to disarm them.

    Overall, the speech was a clear, and effective, effort to convey to the public and to his party that he is a candidate ready for a fight in November.

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  • The ‘special relationship’ under pressure: Are Biden and Netanyahu on a collision course over Gaza?

    The ‘special relationship’ under pressure: Are Biden and Netanyahu on a collision course over Gaza?

    US President Joe Biden (L) and Prime Minister Benjamin Netanyahu (R) meet in Tel Aviv, Israel on October 18, 2023. (Photo by GPO/ Handout/Anadolu via Getty Images)

    GPO | Anadolu Agency | Getty Images

    Visible tensions are appearing in the historically close relationship between the White House and Israel, as the war in Gaza becomes a worsening humanitarian disaster and Israeli Prime Minister Benjamin Netanyahu resists the Biden administration’s push for a change in course.

    While Biden vocally supports Israel’s stated goals of defeating Hamas and rescuing the hostages that the Palestinian militant group took captive during its Oct. 7 rampage in southern Israel that killed some 1,200 people, he and other administration officials have expressed increasing criticism of the way in which Israel is carrying out its operations in the Gaza Strip. 

    Israel’s relentless aerial bombardment and expanding ground invasion, as well as the cutting of Gaza’s water and power supplies, have killed more than 30,000 Palestinians there, according to Gaza’s health ministry, which is run by Hamas. And Israeli restrictions on the aid that can enter the besieged enclave, which is blockaded on all sides, have pushed more than 500,000 people into famine, according to the United Nations.

    Still, the Biden administration has suggested no pullback in the military aid it is providing for Israel, and consistently provides diplomatic cover for it at the U.N., often being the sole country vetoing international demands for a cease-fire.     

    An aerial view of the heavily damaged buildings, part of which collapsed, after Israeli attacks in Rafah, Gaza on February 12, 2024.

    Yasser Qudih | Anadolu | Getty Images

    Biden has also stressed what his administration says is the need for an independent Palestinian state as part of the path to a durable peace — something Netanyahu ardently opposes. The right-wing Israeli leader has also rejected Biden’s proposals of a leading role for the West Bank-based Palestinian Authority in Gaza’s future once the war ends.  

    “These and other divisions are putting the entire ‘special relationship’ between the U.S. and Israel under pressure I have never seen before in my lifetime,” Hussein Ibish, a senior resident scholar at the Arab Gulf States Institute in Washington, told CNBC. “The relationship [between Biden and Netanyahu] is absolutely terrible.”

    A report by Politico in early February cited unnamed Biden administration officials describing the president calling Netanyahu a “bad f—ng guy.” His spokespeople have denied it, saying that the leaders have “a decades-long relationship that is respectful in public and in private.”

    Israeli war cabinet member Benny Gantz (L) meets US Senate Majority Leader Chuck Schumer, Democrat of New York, at the US Capitol on March 05, 2024.

    Roberto Schmidt | AFP | Getty Images

    The reported rift appeared to worsen as Israeli war cabinet member Benny Gantz, a longtime rival of Netanyahu and considered to be more moderate, paid a visit to Washington this week at the invitation of the White House. According to a report by Axios, the visit “enraged” Netanyahu, “who ordered the Israeli embassy in Washington to not take any part in the visit or assist Gantz in any way.”

    Gantz reportedly faced a barrage of harsh questions and critiques from the administration over Israel’s handling of the Gaza war.

    CNBC has reached out to the White House and the Israeli Prime Minister’s Office for comment.

    Election worries and ‘campaign mode’

    As the U.S. General Election nears, promising a rematch between Biden and former President Donald Trump, Biden is facing a domestic challenge over his support for Israel’s war in Gaza, particularly from many young liberals and Muslim and Arab Americans. 

    This threatens to cost him crucial votes, particularly in swing states. Vice President Kamala Harris issued harsh comments in a speech on Sunday urging a cease-fire, saying “People in Gaza are starving. The conditions are inhumane.”

    A man explains the importance of voting ‘uncommited’ as he hands out fliers outside the Islamic Center of Detroit to ask voters to vote ‘uncommitted’ in Michigan Primary elections on Tuesday, in Michigan, United States on February 26, 2024. 

    Mostafa Bassim | Anadolu | Getty Images

    But Netanyahu is insistent that a cease-fire would threaten the Israeli Defense Force’s momentum, and that “total victory is within reach.” Some observers say his rhetoric is aimed at staying in power as his domestic approval rating sits at its lowest of his more than 16 years at the helm.

    “It seems to me that Netanyahu is in a full campaign mode, and that presently, its main theme is resisting the emerging Biden strategy and the president himself,” Nimrod Novik, a fellow at the Israel Policy Forum, which is dedicated to advancing a two-state outcome to the conflict.

    Particularly telling, Novik said, is “Netanyahu’s decision to preempt the emerging Biden strategy – which offers Israel a way out of Gaza, a hopeful change on the West Bank, as well as Saudi normalization and regional integration – by distorting this unprecedented offer and portraying it as an imposition.”

    “The prime minister is focused on securing and energizing his ever-shrinking base,” he said of Netanyahu. “That base is as hard line as they come and responds best to nationalist machismo as in his promise to defend Israel from the imagined Biden imposition of a Palestinian state.”

    About 200 trucks loaded with humanitarian aid, cooking gas and fuel enter the Gaza Strip during the humanitarian pause between Israel and Hamas in Gaza City, Gaza on November 28, 2023. 

    Ashraf Amra | Anadolu | Getty Images

    “I’ve watched the [Biden] administration express its being fed up with the Netanyahu policy, from haggling over every truck of humanitarian assistance, through announcing West Bank triggering settlement expansion at such an explosive moment, to provocations on Temple Mount on the eve of the holy Muslim month of Ramadan,” Novik said. 

    But this is going largely ignored in the Israeli administration, he noted. “What might sound in Washington as a scream is hardly a whisper in Jerusalem.”

    Ibish had similar observations. 

    “All the American support, especially from Biden personally, is being met with total ingratitude and actually with disdain,” from Netanyahu’s government, he said. 

    “If Biden were getting more cooperation from Netanyahu [and] the Israelis, he would not be pulling away from them, albeit carefully and subtly. This is, after all, an election year, and he will have to be very careful.”

    Unprecedented support

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  • U.S. is ‘desperate’ for new housing supply: Zillow Chief Economist ahead of State of the Union

    U.S. is ‘desperate’ for new housing supply: Zillow Chief Economist ahead of State of the Union

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    Skylar Olsen, Zillow Chief Economist, joins ‘Fast Money’ to talk Pres. Biden’s proposes solution fo the U.S. housing crisis.

    05:53

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  • Rep. Maxine Waters: We must resist big bank mergers right now

    Rep. Maxine Waters: We must resist big bank mergers right now

    Hosted by Brian Sullivan, “Last Call” is a fast-paced, entertaining business show that explores the intersection of money, culture and policy. Tune in Monday through Friday at 7 p.m. ET on CNBC.

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  • New CFPB rule caps banks’ credit card late fees at $8

    New CFPB rule caps banks’ credit card late fees at $8

    Rohit Chopra, director of the CFPB, testifies during the Senate Banking, Housing and Urban Affairs Committee hearing titled “The Consumer Financial Protection Bureau’s Semi-Annual Report to Congress,” in the Dirksen Building on Nov. 30, 2023.

    Tom Williams | Cq-roll Call, Inc. | Getty Images

    The Consumer Financial Protection Bureau unveiled a new rule on Tuesday that it said would cap the typical late fee that banks charge customers at $8 per incident.

    By cutting late fees to $8 from an average of around $32, more than 45 million card users would save an average of $220 annually, the CFPB said in a release.

    The new rule, long expected after an initial proposal was floated early last year, comes after the agency said it reviewed market data related to the 2009 Card Act. Regulations tied to that law granted card issuers the ability to charge ever-increasing amounts of late fees.

    “For over a decade, credit card giants have been exploiting a loophole to harvest billions of dollars in junk fees from American consumers,” CFPB Director Rohit Chopra said in the release. “Today’s rule ends the era of big credit card companies hiding behind the excuse of inflation when they hike fees on borrowers and boost their own bottom lines.”

    The announcement is the latest salvo in President Joe Biden‘s war against so-called junk fees.

    The big banks that issue credit cards have been raising the cost of late penalties since 2010, and the fees exceeded $14 billion in 2022, according to the CFPB. The industry profits from customers with low credit scores, who rack up an average of $138 annually in late fees per card, said Chopra.

    The rule, which applies to card issuers with at least one million open accounts, also ends automatic inflation adjustments on late fees.

    Instead, the agency said it would adjust the fee if needed to cover collection costs, and that card issuers can charge higher fees if they prove they are necessary. The rule doesn’t directly affect interest rates, the CFPB said.

    An industry group criticized the CFPB rule on Tuesday, saying that many card users will see higher interest rates and reduced credit availability. The group also questioned the process by which the rule was issued. The CFPB says Congress granted it the authority to administer the Card Act.

    “The rule’s policy goals are, at best, consumer redistribution, not consumer protection,” Consumer Bankers Association head Lindsey Johnson said in a statement. “Equally concerning is that this rule continues the CFPB’s deeply problematic practice of rushing to prioritize headlines at the expense of legal process.”

    Another industry group, the American Bankers Association, said it is considering options to push back against the CFPB’s rules.

    In a release, Republican Senator Tim Scott of South Carolina said he would lean on the Congressional Review Act to fight implementation of the late fee cap.

    The rule goes into effect 60 days after its publication in the Federal Register, the CFPB said.

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  • ‘Clean’ property, private lenders could be Trump’s best option to get $540 million for legal judgments

    ‘Clean’ property, private lenders could be Trump’s best option to get $540 million for legal judgments

    Republican presidential candidate, former U.S. President Donald Trump speaks during a Fox News town hall at the Greenville Convention Center on February 20, 2024 in Greenville, South Carolina. 

    Justin Sullivan | Getty Images

    Donald Trump is racing to stave off a pair of civil penalties totaling nearly $540 million — without having to first put up the full amounts in cash or bonds.

    The former president’s lawyers claim that he would face “irreparable” harm if required to fully secure his judgments in order to keep them from coming due, and might even have to quickly sell off properties that can’t be re-bought.

    They also say Trump can’t simply post a cash deposit — at least not in his New York civil business fraud case, where he is facing $454 million in fines and interest alone.

    “No one, including Jeff Bezos, Elon Musk and Donald Trump, has five hundred million laying around,” Trump’s attorney Chris Kise told an appeals court judge last week.

    But legal experts say there’s another option that Trump’s lawyers haven’t mentioned in the court filings: Trump could offer up some of his properties as collateral to borrow what he needs — potentially from private equity sources.

    There are “lots of private lenders out there in the debt markets and private equity markets that could lend” to Trump, said Columbia University law professor Eric Talley.

    “In all cases, the loans would probably have to be secured with Trump properties, but if there is enough equity in some of them, he should be able to obtain secured credit, even on a compressed timeline,” Talley said.

    In this courtroom sketch, former U.S. President Donald Trump looks on as his attorney Alina Habba delivers closing arguments during E. Jean Carroll’s second civil trial in which Carroll accused Trump of raping her decades ago, at Manhattan Federal Court in New York City on Jan. 26, 2024.

    Jane Rosenberg | Reuters

    The professor underscored the irony of Trump using his real estate to fight a lawsuit in which he was found liable for fraudulently inflating his property values for financial gain.

    Any loans “would themselves involve making declarations of the value of the property — and that of course is what got him into this mess to begin with,” said Talley.

    But accurately appraising the value of Trump’s assets is not a serious obstacle. As Trump’s lawyers noted during the fraud trial, the institutions that have lent him money already have conducted their own analyses of Trump’s finances, and did not rely solely on the claims at issue in his financial statements.

    A more important factor could be whether Trump’s real estate assets are already mortgaged, said law professor John Coffee.

    “He would have to come up with clean real estate property that is not already securing something that some other bank has a lien on,” Coffee said.

    “Does he have that property? I can’t tell you.”

    What Trump owns

    As of late January, the Trump Organization comprised 415 entities, according to a retired federal judge tasked with monitoring the company’s finances.

    Of those, Jones identified 70 operating entities that generate revenue. That includes long term leases of buildings like 40 Wall Street, commercial office space on 13 floors of the 58 story Trump Tower, and the Trump National Doral Miami resort.

    View leading into Trump National Doral in Miami, Florida on April 3, 2018.

    Michele Eve Sandberg | AFP | Getty Images

    In New York City, the value of Trump’s real estate holdings totals $690 million, according to a September 2023 estimate by Forbes. And some of the most prominent buildings that bear Trump’s name in the city are largely owned by other entities.

    New York Attorney General Letitia James, who brought the fraud case, said she would seize Trump’s real estate assets if he cannot pay his civil penalty.

    “There’s absolutely no reason for the New York attorney general to be kind and gentle to him if he doesn’t post the bond,” Coffee said.

    Trump said in a deposition last year that he had “substantially in excess of $400 million in cash.” But his lawyers claimed last week that, if Trump is forced to secure the full $454 million penalty, “properties would likely need to be sold to raise capital under exigent circumstances.”

    They instead offered to post a $100 million bond, but New York appeals court Judge Anil Singh rejected the proposal.

    Unless a full appeals court reverses Singh’s decision, Trump has until March 25 to post an “undertaking” — cash or bonds — covering the entire penalty in order to stop it from taking effect during his appeal.

    Trump has also asked a federal judge to delay another fast-approaching deadline to pay an $83.3 million penalty in E. Jean Carroll’s civil defamation case.

    Carroll’s attorneys argued that Trump’s request “boils down to nothing more than ‘trust me.’”

    Trump’s next move

    If Trump does attempt to sell assets to meet his undertaking, he won’t have much time to get it done.

    He would have to hire a broker to market his properties, and any deal would have to close in order to free up the cash to use toward a bond, said Neil Pedersen, owner of New York-based bond agency Pedersen & Sons.

    “There could be opportunistic buyers approaching him as well,” Pedersen noted.

    So far, Trump has given no indication that he is moving in that direction.

    “There are no sales planned or contemplated,” Kise told CNBC in an email before Singh’s ruling. “So no appraisers hired, no steps taken, etc.”

    Trump Tower on 5th Avenue is pictured in the Manhattan borough of New York City, New York, U.S., April 18, 2019.

    Caitlin Ochs | Reuters

    After Singh ordered Trump to pay the full penalty, Kise and Trump’s other attorneys did not reply to questions about whether they were now preparing to sell off properties.

    Coffee said that Trump “can very likely” get a loan to help him meet his undertaking. That’s in part because Singh temporarily halted another penalty that would bar Trump from applying for loans from New York registered lenders.

    Moreover, said Coffee, Trump is well known within New York financial circles, so he “not going into a market with strangers.”

    “The real problem is, can he gives the banks enough collateral that they’re satisfied?”

    Talley agreed. “There is a lot of ‘dry powder’ out there, not just with banks but also in non-banks,” he said.

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  • ‘This is for Gaza’: Middle East conflict defines bizarre by-election in northern English town

    ‘This is for Gaza’: Middle East conflict defines bizarre by-election in northern English town

    ROCHDALE, England – Feb 29: Workers Party of Britain candidate George Galloway speaks after being declared the winner in the Rochdale by-election on February 29, 2024.

    Christopher Furlong | Getty Images News | Getty Images

    Staunchly pro-Palestinian left-wing firebrand George Galloway on Thursday won a chaotic by-election in Rochdale, northwestern England that was defined by the Israel-Gaza conflict.

    The controversial former Labour MP, who was standing for the Workers Party of Britain, won 12,335 votes with a majority of 5,697, giving his party its first-ever Member of Parliament in Britain’s House of Commons. It will be Galloway’s fifth constituency in 37 years, having now unseated his former party in three separate elections.

    Galloway ran a campaign heavily focused on the plight of Palestinians, appealing to the Muslim voters that make up around 30% of the local electorate, many of whom voiced anger about the war in Gaza and the failure of the country’s two main parties to push for an immediate ceasefire.

    ROCHDALE, England – Feb. 29, 2023: A man walks past a George Galloway election sign as residents begin to vote in the Rochdale by-election on February 29, 2024 in Rochdale, England. 

    Christopher Furlong | Getty Images News | Getty Images

    Second place in the by-election went to an independent candidate, local businessman Paul Tully, who only began his political career four weeks ago but managed to secure 6,638 votes.

    The election in one of England’s most deprived towns was blown wide open when the main opposition Labour Party, previously a shoo-in for the seat, withdrew its support for its candidate Azhar Ali after recordings surfaced of alleged antisemitic comments.

    As the party’s support was withdrawn so close to the election, it was too late to remove his name from the ballot or for the party — which is the overwhelming favorite to win the country’s general election later this year — to field another candidate.

    Without Labour Party backing, Ali picked up just 2,402 votes, behind Conservative Paul Ellison with 3,371, marking another poor showing for the ruling party that has suffered a string of by-election defeats over the past year.

    ROCHDALE, England – Feb. 19, 2024: People walk past pro-Palestinian graffiti in Rochdale on February 19, 2024 in Rochdale, England.

    Christopher Furlong | Getty Images News | Getty Images

    In his victory speech, Galloway directly attacked Labour leader Keir Starmer and Conservative Prime Minister Rishi Sunak.

    “Keir Starmer, this is for Gaza. You will pay a high price for the role that you have played in enabling, encouraging and covering for the catastrophe presently going on in occupied Palestine, in the Gaza Strip,” he said.

    Starmer has called for a “ceasefire that lasts” after months of pressure from within his own Labour Party and from the Scottish National Party in parliament.

    However, Labour’s official position has been to focus on a sustainable negotiated ceasefire agreed by both sides of the conflict, rather than to issue demands for an immediate ceasefire to Israel without the same guarantee from Hamas.

    The by-election was called following the death in January of the town’s Labour MP Tony Lloyd from leukaemia.

    The party on Friday apologised to the people of Rochdale for not fielding a candidate, and its deputy national campaign co-ordinator Ellie Reeves told Sky News that Galloway “stokes up division and fear.”

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  • Biden faces anger from key Arab-American voters in Michigan primary over Israel support in Gaza war

    Biden faces anger from key Arab-American voters in Michigan primary over Israel support in Gaza war

    A man explains the importance of voting ‘uncommited’ as he hands out fliers outside the Islamic Center of Detroit to ask voters to vote ‘uncommitted’ in Michigan Primary elections on Tuesday, in Michigan, United States on February 26, 2024. 

    Mostafa Bassim | Anadolu | Getty Images

    Palestinian keffiyehs and signs that read “Abandon Biden”: Arab-American demonstrators in Warren, Michigan made no secret of their anger at the president in early February as he visited the key swing state that helped carry him to victory in 2020.

    As voters head to the polls for Michigan’s Democratic primary on Tuesday, there is a local campaign urging Democrats to choose “uncommitted” on the ballot as a form of protest vote again the administration’s support for Israel in its war in Gaza.

    In January, Biden’s reelection campaign manager Julie Chavez Rodriguez canceled a meeting with Arab-American activists in Dearborn because of backlash over the administration’s policies. The U.S. has sent billions of dollars in advanced weapons to supply Israel before and since the terror attack led by Palestinian militant group Hamas on Oct. 7. The attack killed some 1,200 people there and took a further 240 hostage, according to Israeli authorities.

    The Israeli military’s response, which has been sharply criticized by numerous world leaders and aid organizations, has displaced some 1.9 million people in Gaza, according to the United Nations, and killed nearly 30,000, according to Gaza’s health ministry, which is run by Hamas. The U.N. says that half a million people in the besieged enclave face starvation.

    Dearborn, Michigan is home to the largest Arab-American population in the U.S. At the time Rodriguez’ Dearborn meeting was canceled, the city’s mayor, Abdullah H. Hammoud, tweeted: “Little bit of advice – if you’re planning on sending campaign officials to convince the Arab American community on why they should vote for your candidate, don’t do it on the same day you announce selling fighter jets to the tyrants murdering our family members.”

    A spokesperson for the White House wasn’t immediately available when contacted by CNBC.

    The primary vote on Tuesday will essentially be a referendum on what many of the state’s Democratic voters feel about Biden, and will be a harbinger of just how worried the Biden campaign should be about its level of support in Michigan when it comes time for the General Election.

    Michigan’s Arab-American community voted overwhelmingly for Biden in 2020, helping him carry the state and defeat then-incumbent Donald Trump. But its population could be the determining factor in whether Biden takes the state this year, and its crucial 15 electoral college votes with it.

    “The U.S. election for President Biden could swing on two or three states,” Fred Kempe, CEO of the Atlantic Council, told CNBC. “Take one of those states, Michigan, [which] Biden won by fewer votes in the last election than there are Arab American votes that could go against him, because of what’s going on in the Middle East. So it’s an international situation for Biden, it’s also a deeply domestic political situation.”

    U.S. President Joe Biden is welcomed by Israeli Prime Minster Benjamin Netanyahu, as he visits Israel amid the ongoing conflict between Israel and Hamas, in Tel Aviv, Israel, October 18, 2023.

    Evelyn Hockstein | Reuters

    Biden has voiced support for the creation of an independent Palestinian state, and has asked Israel to do more to protect civilian life in Gaza — but critics say the words are meaningless if the administration refuses to use its leverage to force the government of Israeli Prime Minister Benjamin Netanyahu to change course. The U.S. has consistently voted against every cease-fire measure put forward at the U.N. since the war began.

    Senior White House officials met with community leaders in Michigan on Feb. 8, during which U.S. deputy national security advisor Jon Finer vocally acknowledged the administration’s actions and “missteps” with regard to the Israeli-Palestinian conflict and the war in Gaza.

    “We are very well aware that we have missteps in the course of responding to this crisis since October 7,” Finer said in recordings of the closed-door meeting published by The New York Times. “We have left a very damaging impression based on what has been a wholly inadequate public accounting for how much the president, the administration and the country values the lives of Palestinians,” he continued.

    “And that began, frankly, pretty early in the conflict.”

    Finer added that he did not “have any confidence in this current government of Israel.”

    A view of destruction with destroyed buildings and roads after Israeli Forces withdrawn from the areas in Khan Yunis, Gaza on February 02, 2024. 

    Abdulqader Sabbah | Anadolu | Getty Images

    Michigan Governor Gretchen Whitmer has warned voters against the “uncommitted” campaign, stressing that “any vote that’s not cast for Joe Biden supports a second Trump term,” which she said would be “devastating” for the Muslim community.

    Within the primary election, Biden doesn’t have any realistic Democratic competitors. But for Arab-Americans organizing across the country, the message is clear: No cease-fire, no vote.

    Khalid Turaani, the co-organizer of the Abandon Biden campaign, handed out pamphlets outside the Islamic Center of Detroit telling people to vote “uncommitted” on their ballots, and told the BBC in an interview published Tuesday that his group had made more than 30,000 calls with the same message.

    “We’re doing all that we can to ensure that Biden is a one-term president,” Turaani said, according to the U.K. broadcaster. “In November, we will remember. When you stand against the will of the people, you’re going to lose.”

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  • House China committee demands Elon Musk open SpaceX Starshield internet to U.S. troops in Taiwan

    House China committee demands Elon Musk open SpaceX Starshield internet to U.S. troops in Taiwan

    Elon Musk, CEO of Tesla and X, speaks at the Atreju political convention organized by Fratelli d’Italia (Brothers of Italy), in Rome, Dec. 15, 2023.

    Antonio Masiello | Getty Images

    The House Select Committee on the Chinese Communist Party sent a letter on Saturday to Elon Musk demanding that U.S. troops stationed in Taiwan get access to SpaceX’s Starshield, a satellite communication network designed specifically for the military.

    The letter, obtained by CNBC and first reported by Forbes, claimed that by not making Starshield available to U.S. military forces in Taiwan, SpaceX could violate its Pentagon contract, which requires “global access” to Starshield technology.

    “I understand, however, that SpaceX is possibly withholding broadband internet services in and around Taiwan — possibly in breach of SpaceX’s contractual obligations with the U.S. government,” read the letter, which was signed by Rep. Mike Gallagher, R-Wi., who chairs the House CCP committee.

    The Pentagon awarded SpaceX a one-year contract for Starshield in September, after commissioning SpaceX’s Starlink network months earlier for Ukraine’s war against Russia, which hit the two-year mark on Saturday.

    The letter comes after Gallagher led a visit to Taiwan where he and a delegation of other lawmakers met with Taiwan officials like President Tsai Ing-wen and President-Elect Lai Ching-te.

    The letter said that the lawmakers learned that U.S. troops stationed in Taiwan were not able to use Starshield despite the Pentagon’s stipulation of global access: “Multiple sources have disclosed to the Committee that Starshield is inactive in and around Taiwan.”

    The letter requests that Musk provide the House committee with a briefing on its Taiwan operations by March 8.

    Taiwan has been governing itself independently of China since the island split from the mainland during the 1949 civil war. China has said it still lays claim to Taiwan and has repeatedly made clear its intention to reunify the sovereign island with the mainland.

    “In the event of CCP military aggression against Taiwan, American servicemembers in the Western Pacific would be put at severe risk,” read the letter. “Ensuring robust communication networks for U.S. military personnel on and around Taiwan is paramount for safeguarding U.S. interests in the Indo-Pacific region.”

    Tesla’s success hinges on favorable business relations with China, which has led Musk, its CEO, to cultivate cozy relations with the country, despite its broader tensions with the U.S. Tesla operates its own factory in Shanghai while other foreign automakers in China had been required to establish joint ventures.

    Musk came under fire from Taiwanese officials last September for seemingly siding with China’s reunification doctrine toward Taiwan, stating that the self-governing island was an essential part of China.

    “I think I’ve got a pretty good understanding as an outsider of China,” Musk said on the All-In Podcast. “From their standpoint, maybe it is analogous to Hawaii or something like that, like an integral part of China that is arbitrarily not part of China.”

    “Listen up, #Taiwan is not part of the #PRC & certainly not for sale,” Taiwan’s Minister of Foreign Affairs Jaushieh Joseph Wu wrote on X in response to Musk’s comment.

    SpaceX and Musk did not immediately respond to a request for comment on the letter.

    This story is developing. Please check back for updates.

    Read the full letter here:

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  • South Carolina GOP voters choose between presidential candidates Nikki Haley and Donald Trump, with immigration and the economy top of mind

    South Carolina GOP voters choose between presidential candidates Nikki Haley and Donald Trump, with immigration and the economy top of mind

    South Carolina voters on Saturday are casting their ballots, deciding between former President Donald Trump or their former governor, Nikki Haley.

    Polls close at 7 p.m. ET after which votes will be counted and the winner announced. Haley intends to speak once the winner is declared. Trump is holding a watch party in South Carolina where he is also likely to speak.

    South Carolina holds an open primary, meaning that voters of any party can vote in the Republican primary as long as they have not already voted in the Democratic primary, which President Joe Biden won on Feb. 3.

    As South Carolinians head to the polls, Trump has a roughly 30-point lead against Haley, according to a February survey from USA Today and Suffolk University, disintegrating any hopes of her home-court advantage.

    Would Haley’s loss end the primary?

    Haley vowed on Tuesday to stay in the race until at least Super Tuesday on March 5, no matter the results in South Carolina. Her campaign confirmed that she does have the funding to keep her afloat after a record fundraising month in January.

    “We have the resources to go the distance,” a spokesperson for Haley’s campaign told CNBC on Tuesday.

    Republican candidates need 1,215 delegates to secure the nomination. Trump currently has 63 to Haley’s 17. As long as Haley does not drop out, the Republican primary will continue to be a two-person race, much to Trump’s dismay.

    But even with her financing and resolve, Haley’s campaign faces a steep path forward.

    Haley’s campaign has been tempering expectations over the past week, arguing that she does not need to win South Carolina to garner momentum for future primaries. The former U.N. ambassador has yet to win a race this primary season, though she managed to pull out a slimmer loss against Trump in New Hampshire due to the state’s wide population of undeclared voters.

    South Carolina is much less undecided. Along with holding a polling lead, Trump has the endorsements of local South Carolina GOP chapters, South Carolina Governor Henry McMaster, South Carolina Rep. Nancy Mace and other lawmakers in the state. Trump also has a healthy track record in the Palmetto State, having won the GOP primary in 2016 and taking 55% of the votes in 2020 against Joe Biden.

    Where are the candidates on South Carolina’s top issues?

    South Carolinians have immigration and the economy top of mind as they cast their ballots, mirroring sentiments nationwide. According to the February USA Today/Suffolk University poll, 42% of likely South Carolina GOP voters view immigration as the most important issue, while 26% prioritize the economy.

    Trump has made immigration a central pillar of his campaign so far, pledging to revive his immigration bans and execute militarized mass deportations that he intends to make far more aggressive than his first term in the White House.

    Despite his hardline approach to border security, Trump simultaneously worked behind the scenes to tank a bipartisan congressional border deal that would have provided $20 billion of border funding.

    Trump reportedly told Republican lawmakers to torpedo the bill so that he could continue lambasting Biden and Haley for their immigration stances on the campaign trail.

    Haley criticized Trump for derailing the bill: “Donald Trump, the last thing he needs to do is tell them to wait to pass the border deal until the election.”

    Haley herself has a hardline immigration record, despite the Trump campaign’s attempts to paint her as weak on the issue. She said she would defund sanctuary cities, close the border and deport unauthorized immigrants.

    Under the Biden administration, South Carolina’s economy has improved.

    Unemployment in the state is at 3%, down from 3.3% a year ago and under the national average of 3.7%. The state also was a major beneficiary of Biden’s Inflation Reduction Act (IRA), which poured investment into electric vehicles that has created more than 12,000 jobs so far. Inflation in the state is slowly cooling at 4.3% compared to the national rate of 3.1%.

    However, both Trump and Haley have repeatedly slammed Biden’s economy. Their economic agendas both tend to include similar rhetoric of cracking down on trade with China and cutting taxes.

    Haley’s economic platform, dubbed the Freedom Plan, is centered around tax breaks for the middle class, boosting small businesses and eliminating Biden’s $500 billion investment in clean energy projects, which South Carolina has benefited from.

    Trump would also roll back Biden’s IRA, reinstate his first-term tax cuts, which for the most part benefited the wealthy, and impose major tax increases on foreign goods, specifically to restrict trade with China. During his first term, Trump’s China tariffs nearly started a trade war, which disrupted the global economy and drove prices higher for consumers.

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  • Former SEC Chairman Jay Clayton: The inability of banks to consolidate has been a negative

    Former SEC Chairman Jay Clayton: The inability of banks to consolidate has been a negative

    Former SEC Chairman Jay Clayton joins 'Squawk Box' to discuss Reddit's IPO decision, Capital One-Discovery deal, potential antitrust hurdles, 2024 race, and more.

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  • Here’s why Capital One is buying Discover in the biggest proposed merger of 2024

    Here’s why Capital One is buying Discover in the biggest proposed merger of 2024

    Capital One CEO and Chairman, Richard Fairbank.

    Marvin Joseph| The Washington Post | Getty Images

    Capital One’s recently announced $35.3 billion acquisition of Discover Financial isn’t just about getting bigger — gaining “scale” in Wall Street-speak — it’s a bid to protect itself against a rising tide of fintech and regulatory threats.

    It’s a chess move by one of the savviest long-term thinkers in American finance, Capital One CEO Richard Fairbank. As a co-founder of a top 10 U.S. bank by assets, his tenure is a rarity in a banking world dominated by institutions like JPMorgan Chase that trace their origins to shortly after the signing of the Declaration of Independence.

    Fairbank, who became a billionaire by building Capital One into a credit card giant since its 1994 IPO, is betting that buying rival card company Discover will better position the company for global payments’ murky future. The industry is a dynamic web where players of all stripes — from traditional banks to fintech players and tech giants — are all seeking to stake out a corner in a market worth trillions of dollars by eating into incumbents’ share amid the rapid growth of e-commerce and digital payments.

    “This deal gives the company a stronger hand to battle other banks, fintechs and big tech companies,” said Sanjay Sakhrani, the veteran KBW retail finance analyst. “The more that they can separate themselves from the pack, the more they can future-proof themselves.”

    The deal, if approved, enables Capital One to leapfrog JPMorgan as the biggest credit card company by loans, and solidifies its position as the third largest by purchase volume. It also adds heft to Capital One’s banking operations with $109 billion in total deposits from Discover’s digital bank and helps the combined entity shave $1.5 billion in expenses by 2027.

    ‘Holy Grail’

    Capital One and Discover credit cards arranged in Germantown, New York, US, on Tuesday, Feb. 20, 2024. 

    Angus Mordant | Bloomberg | Getty Images

    “That network is a very, very rare asset,” Fairbank said. “We have always had a belief that the Holy Grail is to be able to be an issuer with one’s own network so that one can deal directly with merchants.”

    From the time of Capital One’s founding in the late 1980s, Fairbank said, he envisioned creating a global digital payments tech company by owning the payment rails and dealing directly with merchants. In the decades since, Capital One has been ahead of stodgier banks, gaining a reputation in tech circles for being forward-thinking and for its early adoption of cloud computing and agile software development.

    But its growth has relied on Visa and Mastercard, which accounted for the vast majority of payment volumes last year, processing nearly $10 trillion in the U.S. between them.

    Capital One intends to boost the Discover network, which carried $550 billion in transactions last year, by quickly switching all of its debit volume there, as well as a growing share of its credit card flows over time.

    By 2027, the bank expects to add at least $175 billion in payments and 25 million of its cardholders onto the Discover network.

    Owning the toll road

    The true potential of the Discover deal, though, is what it allows Capital One to do in the future if it owns the toll road, according to analysts.

    By creating an end-to-end ecosystem that is more of a closed loop between shoppers and merchants, it could fend off competition from rapidly mutating fintech players like Block and PayPal, as well as buy now, pay later firms like Affirm and Klarna, who have made inroads with both businesses and consumers.

    Capital One aims to deepen relationships with merchants by showing them how to boost sales, helping them prevent fraud and providing data insights, Fairbank said Tuesday, all of which makes them harder to dislodge. It can use some of the network fees to create new loyalty plans, like debit rewards programs, or underwrite merchant incentives or experiences, according to analysts.

    “Owning a network allows us to deal more directly with merchants rather than a network intermediary,” Fairbank told analysts. “We create more value for merchants, small businesses and consumers and capture the additional economics from vertical integration.”

    It’s a capability that technology or fintech companies probably covet. The Discover network alone would be worth up to $6 billion if sold to Alphabet, Apple or Fiserv, Sakhrani wrote Tuesday in a research note.

    Will regulators approve?

    The Capital One-Discover combination could fortify the company against another potential threat — from Washington.

    Proposed legislation from Sen. Dick Durbin, D-Ill., aims to cap the fees charged by Visa and Mastercard, potentially blowing up the economics of credit card rewards programs. If that proposal becomes law, the competitive position of Discover’s network, which is exempt from the limitations, suddenly improves, according to Brian Graham, co-founder of advisory firm Klaros Group. That mirrors what an earlier law known as the Durbin amendment did for debit cards.

    Chairman Dick Durbin (D-IL) speaks during a US Senate Judiciary Committee hearing regarding Supreme Court ethics reform, on Capitol Hill in Washington, DC, on May 2, 2023.

    Mandel Ngan | AFP | Getty Images

    “There are a bunch of things aimed, in one way or another, at the card networks and that ecosystem,” Graham said. “Those pressures might be one of the things that creates an opportunity for Capital One in the future if they have control over this network.”

    The biggest question for Capital One, its customers and investors is whether the merger will ultimately be approved by regulators. While Fairbank said he expects the deal to be closed in late 2024 or early 2025, industry experts said it was impossible to know whether it will be blocked by regulators, like a string of high-profile takeovers among banks, airlines and tech companies.

    On Tuesday, Democratic Sen. Elizabeth Warren of Massachusetts urged regulators to swiftly block the deal, calling it “dangerous.” Sen. Sherrod Brown, D-Ohio, chairman of the Senate Banking Committee, said he would be watching the deal to “ensure that this merger doesn’t enrich shareholders and executives at the expense of consumers and small businesses.”

    The Discover deal’s survival may hinge on whether it’s seen as boosting an also-ran payments network, or allowing an already-dominant card lender to level up in size — another reason Fairbank may have played up the importance of the network.

    “Which thing you are more concerned about will define whether you think this is a good deal or a bad deal from a public policy point of view,” Graham said.

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  • Biden administration to reportedly relax EV rule on tailpipe emissions

    Biden administration to reportedly relax EV rule on tailpipe emissions

    U.S. President Joe Biden answers questions from reporters after driving a Jeep Wrangler Rubicon Xe around the White House driveway following remarks during an event on the South Lawn of the White House August 5, 2021 in Washington, DC. Biden delivered remarks on the administration’s efforts to strengthen American leadership on clean cars and trucks.

    Win Mcnamee | Getty Images News | Getty Images

    U.S. President Joe Biden’s administration intends to relax limits on tailpipe emissions that are designed to get Americans to move from gas-powered cars to electric vehicles, the New York Times reported, citing people familiar with the plan.

    The administration would give car manufacturers more time instead of requiring them to rapidly ramp up sales of electric vehicles over the next few years, the report said, adding that the new rule could be published by early spring.

    The shift would mean that EV sales would not need to rise sharply until after 2030.

    John Bozzella, president and CEO of auto industry trade group the Alliance for Automotive Innovation (AAI), said on Sunday that the next three or four years are critical for the development of the EV market.

    “Give the market and supply chains a chance to catch up, maintain a customer’s ability to choose, let more public charging come online, let the industrial credits and Inflation Reduction Act do their thing and impact the industrial shift,” Bozzella said.

    Reuters previously reported that the White House could enact proposed Environmental Protection Agency regulations as soon as March that would mandate dramatic reductions in tailpipe emissions. The administration proposal would require boosting U.S. EV market share to 67% by 2032 from less than 8% in 2023.

    General Motors, Ford, and Stellantis — the European parent of U.S.-based Ram and Jeep — have warned they cannot profitably transition their truck-heavy U.S. fleets that quickly, according to a Reuters analysis of automakers’ sales data and a review of comments to regulators.

    Automakers and the AAI have urged the Biden administration to slow the proposed ramp-up in EV sales. They have said EV technology is still too costly for many mainstream U.S. consumers, and more time is needed to develop the charging infrastructure.

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  • Trump will quit NATO, Hillary Clinton says, as anxiety mounts over U.S. commitment to the alliance

    Trump will quit NATO, Hillary Clinton says, as anxiety mounts over U.S. commitment to the alliance

    Former U.S. President and current GOP Presidential candidate Donald Trump addresses the press at Mar-a-Lago on February 16, 2024, in West Palm Beach, Florida.

    Joe Raedle | Getty Images News | Getty Images

    MUNICH, Germany — NATO members on Saturday weighed the U.S.’ possible withdrawal from the military alliance if Donald Trump returns to the White House, with Hillary Clinton saying he would waste no time in quitting if re-elected.

    Clinton urged delegates at the Munich Security Conference to take her one-time presidential rival’s tough talk “literally and seriously” as anxiety mounts over the future of the U.S.-led pact.

    “He will pull us out of NATO,” Clinton told attendees during a lunchtime session.

    Trump stoked fresh concerns over the U.S.’ commitment to NATO last weekend when he said he would “encourage” Russia to attack any member that doesn’t meet its spending targets. He has long criticized the alliance’s failure to ensure members make good on their obligation to contribute 2% of gross domestic product to defense.

    Amid such rhetoric, the U.S. Congress passed a bill in December aimed at preventing any U.S. president from unilaterally withdrawing from the alliance without congressional approval.

    U.S. Republican Senator Jim Risch, ranking member of the Senate Committee on Foreign Relations, on Saturday dismissed talk of the U.S. quitting NATO, saying: “We have answered that question.”

    “It would take a two-thirds vote in the United States Senate to get out — that is never going to happen,” he told CNBC in Munich.

    Clinton said, however, that Trump could actually just refuse to fund the alliance. “The U.S. will be there in name only,” she said.

    Trump versus NATO

    Concerns over the U.S. and Europe’s continued military coordination have dominated discussions at this year’s annual defense summit in Germany, as the specter of a second Trump presidency looms large and a contentious aid package for Ukraine hangs in the balance in the U.S. House of Representatives.

    Dutch Prime Minister Mark Rutte earlier Saturday referenced constant “moaning and whining” at the event about the future of NATO under Trump.

    “Stop moaning and whining and nagging about Trump,” he said.

    He was one of many European voices, including that of German Chancellor Olaf Scholz and Danish Prime Minister Mette Frederiksen, who said that Europe needed to become self-sufficient in the face of a more uncertain future with its closest diplomatic ally.

    NATO head says the U.S. won't withdraw from alliance: It makes them 'stronger'

    “No matter what happens in the U.S. … we have to be able to protect ourselves,” Frederiksen said.

    Indeed, Germany’s defense minister said that his country’s commitment to spend 2% of GDP on defense should be just the start, noting that the threshold could rise to 3.5% if necessary.

    NATO Secretary-General Jens Stoltenberg struck a more sanguine tone on transatlantic coordination, however, saying that believes the U.S. will remain “a staunch and committed NATO ally” whatever happens in the upcoming election.

    “I expect that regardless of the outcome of the U.S. elections in November, the U.S. will remain a staunch and committed NATO ally,” he told CNBC’s Silvia Amaro.

    “It is in the security interests of the United States to have a strong NATO,” he added.

    Stoltenberg acknowledged Trump’s frustration with member spending, but said “that is now changing.” On Wednesday, NATO announced that 18 of the alliance’s 31 members will meet the 2% spending target this year.

    NATO member countries first committed to minimum spending targets in 2006, but by 2014 only three had met the threshold.

    The alliance will mark its 75th anniversary this year at an annual summit to be held in Washington in July.

    Senator Risch said he would like to see all members committing to meeting their target by that point.

    “Talk about it happening years in the future isn’t now, and we’re always interested in now,” he said. “That’s helpful to the relationship: everybody keeping the commitments that they made.”

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