On Tuesday a UN Security Council resolution on opening the Strait of Hormuz failed due to Russia and China vetoing it. It was drafted by Bahrain and authorized countries to use military force if necessary to open the strait for the free flow of shipping and commerce.

The resolution garnered 11 votes in favor, but permanent veto-wielding members China and Russia blocked it by registering no votes. This comes after days of pressure from Gulf countries to restore free passage in the strait, amid Trump’s Operation Epic Fury.

UN image

Secretary General of the Gulf Cooperation Council (GCC), Jasem Mohamed Al-Budaiwi earlier in the week lamented, “Our countries are subjected to a sinful Iranian aggression, and GCC countries have a legitimate right to self-defense. The Security Council must take measures to ensure the protection of waterways, and we demand that the Security Council issue a resolution securing freedom of navigation in the Strait of Hormuz.”

And Bahrain’s Foreign Minister, Abdullatif bin Rashid Al Zayani, stated “Iranian attacks on neighboring countries cannot be justified. The draft resolution is consistent with international law and looks forward to a unified position.”

From Moscow and Beijing’s point of view, the resolution could be used to escalate US-Israeli aggression against the Islamic Republic:

It appears that China and Russia expressed concerns about the invocation of Chapter VII, arguing that such authorization could be interpreted as legitimizing the use of force by member states without clearly defined limits. They also raised concerns about the potential imposition of sanctions and maintained that the draft failed to address the root causes of the current crisis in the Middle East. In their view, the text risked exacerbating tensions rather than promoting de-escalation, and they urged Bahrain not to advance the initiative. These reservations led China and Russia to break silence twice.

Also, Russian Foreign Minister Sergei Lavrov has stated that if resolution passed it would disrupt “very fragile chances for negotiations.”

So essentially Russia and China viewed it as a ‘pro-war’ mandate which is too sympathetic to Washington’s aims in Iran.

President Trump has meanwhile been busy venting his frustration at the ongoing closure of the strait, warning Iran that its “whole civilization will die tonight” if it doesn’t agree to Washington’s ceasefire terms. Tehran has said it is only interested in a permanent truce which ensures it never gets attacked again.

Ahead of Friday’s CPI report, inflation fears are already rising, with the NY Fed’s latest monthly survey of consumer expectations reporting that Inflation expectations at the one-year horizon were higher at 3.42% in March from the previous month’s 3.00%, matching the highest since April ’25. Inflation expectations also increased by 0.1% to 3.1% at the three-year-ahead horizon, and were unchanged at 3.0% at the five-year-ahead horizon in March.

The jump in year-ahead expectations was driven by a surge in gas inflation which rose 5.3% to 9.4%, the highest reading since March 2022.

Other commodity price change expectations also rose, but to a more limited degree: food prices are now expected to rise 6%; medical costs to rise 9.7%; the price of a college education to rise 9%; rent prices to rise 7.1%.

Turning to the labor market, sentiment is deteriorating fast with respondents saying that the mean probability the US unemployment rate will be higher next year rose 3.6% to 43.5%; highest reading since April 2025

On the other end, median one-year-ahead earnings growth expectations decreased by 0.1% point to 2.4% in March, remaining below its 12-month trailing average of 2.6% and at the low end of its range seen since May 2021 of 2.4% to 3.0%.

More bad news: the mean perceived probability of losing one’s job in the next 12 months increased by 0.6 percentage point to 14.4%. The reading remains below the series’ 12-month trailing average of 14.6%. The mean probability of leaving one’s job voluntarily, or the expected quit rate, in the next 12 months also increased by 2.4 percentage points to 18.3%.

The mean perceived probability of finding a job if one’s current job was lost increased by 1.9 percentage points to 45.9%, while remaining below its 12-month trailing average of 47.5%. The increase was broad-based across age, education, and income groups.

Perceptions about households’ current financial situations also deteriorated compared to a year ago, with a larger share of households reporting a worse financial situation and a smaller share reporting a better financial situation.  Year-ahead expectations about households’ financial situations also worsened, with the share of households expecting a worse financial situation at its highest level since April 2025, and a smaller share of households expecting a better financial situation in one year from now.

Perceptions of credit access compared to a year ago improved, with a smaller share of households reporting it is harder to get credit and a larger share of households reporting it is easier to get credit. Expectations for future credit availability slightly deteriorated, with the net share of respondents expecting it will be harder to obtain credit in the year ahead increasing.

The average perceived probability of missing a minimum debt payment over the next three months increased by 0.7 percentage point to 12.3%, remaining below its 12-month trailing average of 13.2%. The increase was most pronounced for respondents above age 60, those with some college education, and those with annual household incomes below $50,000.

And some more Household Finance observations:

The median expectation regarding a year-ahead change in taxes at current income level decreased by 0.2 percentage point to 3.1%.
Median year-ahead expected growth in government debt increased by 0.6 percentage point to 9.8%, remaining well above the 12-month trailing average of 7.4%.
The mean perceived probability that the average interest rate on saving accounts will be higher in 12 months remained unchanged at 24.9%.
The mean perceived probability that U.S. stock prices will be higher 12 months from now decreased by 1.6 percentage points to 36.3%.

More in the full report from the NY Fed.

Authored by Francisco Rodrigues via CoinDesk.com,

Tokenization could reshape finance by enabling instant settlement and cutting out intermediaries, and introduces new risks that regulators are not yet equipped to manage, the IMF said.

Tokenization could amplify volatility through automated markets and smart contracts, the report said.

The IMF called for clearer legal frameworks and stronger global coordination, warning that tokenized assets moving instantly across jurisdictions could complicate oversight and deepen financial fragmentation in the absence of proper regulation.

Tokenization, the representation of real-life assets on a blockchain, could reshape both crypto markets and traditional finance, while introducing new risks that regulators are not yet equipped to manage, according to the International Monetary Fund (IMF).

In a new report, the IMF described tokenization as more than a technical upgrade to markets. By moving assets like money, bonds and funds onto shared blockchains, transactions can settle instantly, cutting out intermediaries and reducing delays that define today’s markets.

The IMF says the “atomic settlement” that tokenization brings to the financial world could lower counterparty risk and force firms to manage liquidity in real time.

“Stress events are likely to unfold faster, leaving less time for discretionary intervention,” the report reads.

“Therefore, ensuring stability requires that tokenized asset management remains anchored in safe settlement assets, legally recognized finality, and robust governance arrangements.”

The report points to stablecoins — tokens whose value is pegged to a fiat currency — as a key bridge between crypto and traditional finance.

These could become widely used settlement assets across tokenized platforms, the report said.

Still, their reliability depends on reserves and redemption systems, leaving them exposed to runs under stress.

The IMF also warned that faster, automated markets could amplify volatility, while smart contracts that trigger margin calls or liquidations may accelerate selloffs during downturns. Such rapid declines have been seen in crypto markets,

Tokenized assets also can move instantly across jurisdictions, complicating oversight and raising concerns about capital flight and currency substitution in emerging markets, the IMF wrote.

The organization called for clearer legal frameworks and stronger global coordination, arguing that without them, tokenized finance could deepen fragmentation rather than improve efficiency.

Tokenization has been a growing theme in the crypto sector. Real-world assets added to blockchain rails have already topped $23.2 billion according to DeFiLlama data. Excluding stablecoins, the majority of that figure is in the form of tokenized gold or money market funds.

Authored by Kimberley Hayek via The Epoch Times,

U.S Vice President JD Vance arrived in Budapest on April 7 for a two-day visit aimed at bolstering Hungarian Prime Minister Viktor Orban’s campaign, ahead of Hungary’s parliamentary elections on April 12.

Vance and his wife, Usha Vance, were greeted at the Budapest airport by Hungarian Foreign Minister Peter Szijjarto.

The two men greeted one another warmly, and Szijjarto presented Usha Vance with a bouquet of flowers.

“I’m looking forward to seeing my good friend Viktor, and we’ll talk about any number of things related to the U.S.-Hungary relationship,” JD Vance told reporters before leaving Washington on Tuesday.

He said the discussions would also cover broader relations with Europe and Ukraine.

Speaking alongside the Hungarian prime minister during his two-day visit in Budapest, Vance said “the amount of interference that’s come from the bureaucracy in Brussels has been truly disgraceful.” 

“I won’t tell the people in Hungary how to vote,” he said, speaking ahead of this weekend’s election.

“I’d encourage the bureaucrats in Brussels to do the exact same thing.”

The election will decide whether Orban secures a fifth consecutive term as prime minister.

Domestic concerns such as the economy and European Union relations are expected to dominate voter decisions in the parliamentary election.

“The bureaucrats in Brussels have tried to destroy the economy of Hungary,” Vance said on Tuesday.

“They have tried to make Hungary less energy independent. They have tried to drive up costs for Hungarian consumers. And they’ve done it all because they hate this guy.”

On Feb. 15, opposition leader Peter Magyar launched the Tisza party’s election campaign in Budapest. The party has set out plans to draw Hungary closer to EU institutions.

Orban, whose Fidesz party has held power since 2010, is one of the EU’s most vocal supporters of U.S. President Donald Trump.

U.S. Secretary of State Marco Rubio emphasized the close ties between the United States and Hungary during a February trip to Budapest.

He told Orban that Trump is “deeply committed” to Hungary’s success, “because your success is our success.”

Rubio also signed a civil nuclear energy agreement with Hungarian officials to expand decades of cooperation in the sector.

Asli Aydintasbas, visiting fellow at the Brookings Institution think tank, said the vice president’s latest visit is “not routine diplomacy.”

“For the Trump administration, Orban is not just a fellow conservative ​but a central figure in efforts to establish an illiberal bloc inside Europe. If Orban falls, the movement would suffer,” he said.

In 2023, the Hungarian prime minister publicly declared his support for Trump’s return to the White House. The two leaders met privately at Trump’s Mar-a-Lago estate in Florida in March 2024 to discuss issues, including border security.

Trump on Feb. 13 posted an endorsement of Orban on Truth Social, calling him a “truly strong and powerful Leader, with a proven track record of delivering phenomenal results.”

“I was proud to ENDORSE Viktor for Re-Election in 2022, and am honored to do so again,” Trump wrote. “Viktor Orbán is a true friend, fighter, and WINNER, and has my Complete and Total Endorsement for Re-Election as Prime Minister of Hungary — HE WILL NEVER LET THE GREAT PEOPLE OF HUNGARY DOWN!”

Authored by T.J.Muscaro via The Epoch Times,

For the first time in more than 50 years, the president of the United States had a phone call with astronauts around the moon.

President Donald Trump spoke with the crew of Artemis II on April 6, shortly after they completed their historic, record-breaking flight around the moon, saying he wanted to be the first to congratulate them on the occasion.

“Today you made history and made all of America really proud,” Trump said on the call mediated by NASA administrator Jared Isaacman from Johnson Space Center.

“We have a lot of things to be proud of lately, but there is nothing like what you’re doing: circling around the moon for the first time in more than half a century and breaking the all-time record for farthest distance from planet Earth.

“Humans have really never seen anything quite like what you’re doing in a manned spacecraft. It’s really special.”

Trump to the Artemis II crew: I look forward to having you in the Oval Office at the White House, and we will celebrate your incredible achievements and triumphs… I’ve been pretty busy also, as you know, but I will absolutely find the time… pic.twitter.com/2AuhUdo3hd

— Wunderkind (@EngineerNGR) April 7, 2026

Trump praised all the astronauts by name: the three Americans, Reid Wiseman, Victor Glover, and Christina Koch, for kickstarting a return to the stars that will be an international effort led by the United States.

A mini “America 250” banner was raised in their Orion spacecraft Integrity to mark the occasion.

“America will be second to none in space and everything else that we’re doing, and we will continue to lead the whole thing into the stars,” he said.

His fellow Americans expressed their appreciation for the call.

Trump also gave special praise to the first Canadian astronaut to make the trip, Jeremy Hansen.

The president told Hansen that he had spoken to Canadian Prime Minister Mark Carney, professional hockey icon Wayne Gretzky, and other Canadian friends, all of whom are proud of him and his historic flight.

“You have a lot of courage, doing what you’re doing,” Trump told Hansen, “a lot of bravery, a lot of genius. They’re very, very proud of you.”

Hansen also took the opportunity to thank the president for his push to get NASA back to the moon, taking other countries along, and to say that Canadians were proud to be a part of the Artemis program.

“On behalf of Canada, the space leadership you spoke of from America is truly extraordinary,” Hansen told Trump.

“I’ve said this many times before, a nation that leads like that and creates and sets big goals for humanity, that brings other countries along with it, is truly incredible.

“[It’s an] intentional decision to lead by example, and to allow other countries like Canada to share our gifts and help you achieve these mutually beneficial goals like establishing a presence on the moon and eventually going to Mars. And Canadians are so proud to be a part of this program.”

Trump asked them all a few questions about their mission thus far, including how the far side of the moon differed from the near side, and what it was like to be on the far side, cut off from communications with Mission Control.

The call ended with the crew accepting Trump’s invitation to visit the Oval Office upon their return.

“Thank you for that, Mr. President, and when you want us, we will be there,” Glover said. ”And thank you for your leadership. Thank you to Jared for his leadership.”

Apple is about 8 years late to the foldable smartphone space, with Samsung’s Galaxy Fold released in October 2018. Now, Tim Cook’s big launch of Apple’s first foldable smartphone could face “delays in its mass production and product shipment schedule,” according to new Nikkei Asia sources deep within the handset supply chain.

Supply chain sources told the Japanese business outlet that the complexity of the new foldable iPhone is causing engineering problems during early testing, and these issues could delay mass production and shipments by months.

Some suppliers have already been warned that component production schedules could be pushed back.

“It’s true that more issues than expected have emerged during the early test production phase, and additional time will be needed to resolve them and make necessary adjustments. … The current situation could put the mass production timeline at risk,” one of those sources said.

The source added, “April will mark a crucial stage of the engineering verification test, and this month through early May is extremely critical.”

Nikkei previously reported that Apple adjusted its iPhone launch strategy for 2026, pushing back production of base model iPhones to early 2027 to prioritize production of premium models, including foldable iPhones. This move is intended to allocate constrained supplies of memory chips and other key components more efficiently.

Another person in the handset supply chain said the potential schedule delay has very little to do with memory chips, but rather with “engineering challenges” for Apple’s first foldable iPhone: “Apple and the supply chain are working under a tight timeline, and the current solutions are not enough to completely solve the engineering challenges. More time is needed.”

Will Apple release a foldable iPhone before 2027?
Yes 80% · No 21%
View full market & trade on Polymarket

Nikkei Asia’s supply chain checks suggest Apple will initially produce 7 million to 8 million foldable iPhones.

Israel’s foreign ministry confirmed that on Tuesday there was a “terrorist attack on the Israeli Consulate in Istanbul” and has thanked Turkish security forces for stopping it before the attackers were able to make it into the building.

“We appreciate the Turkish security forces’ swift action in thwarting this attack,” a statement from the ministry on X said. It added “Israeli missions around the world have been subjected to countless threats and terrorist attacks. Terror will not deter us.” This after rapid gunfire rang out outside a building housing the Israeli Consulate in Istanbul.

Three gunmen armed with long-barreled weapons attacked the building, and quickly engaged in a firefight with Turkish police who were guarding the external premises. 

Istanbul Gov. Davut Gul later announced that one attacker was dead, and the other two – said to be wounded are in custody. A couple of police officers suffered light injuries in the clash, however, some reports say one officer incurred a bullet wound.

Interior Minister Mustafa Cifti later revealed on X that the attackers traveled there from the the city of Izmit in a rented vehicle.

Authorities are reportedly eyeing potential ISIS links, as media characterized that one of the attackers was linked to a group described as “exploiting religion” – which Turkish officials have in the past used to point to the Islamic State. The AP writes:

Video from the attack showed one assailant carrying what appeared to be an assault rifle, wearing a brown backpack, and hiding behind a bus when exchanging fire with police. A police officer falls to the ground, apparently having been shot, and then rolls away to get behind a tree for cover.

Footage captured harrowing scenes shots ringing out at the site amid a heavy police response…

Istanbul attack update:

– Target: Reportedly Israeli Consulate
– Three gunmen attacked the police station outside the building
– Gunmen neutralised, two of them dead, one heavily wounded
– Two police officers wounded
– ISIS style, trained attackerspic.twitter.com/PrrvSXA8Ui

— Ragıp Soylu (@ragipsoylu) April 7, 2026

Turkish authorities have stated that “Intensive digital communication has been detected among the three neutralised terrorists, and the interrogation of the injured terrorists continues.”

Israeli embassies and consulates globally have been under emergency alert and are in some cases operating in a limited capacity, given the ongoing Iran war and repeat threats to Israeli assets and diplomatic outposts overseas. There could be more such attempted attacks on these outposts to come as the US-Israeli war on Iran persists.

After recent string ‘soft’ survey data, this morning we get some ‘hard’ data and it’s mixed…ish…

Preliminary headline durable goods orders for February fell 1.4% MoM (worse than the -1.2% MoM exp). That is the third monthly decline in a row (the first 3-month decline since Nov 2019)

Source: Bloomberg

The monthly decline of the headline print largely reflected a decline in orders for aircraft.

Boeing said it received fewer orders for its planes in February than a month earlier.

On the other hand, core durable goods orders (prelim for Feb) rose 0.8% MoM (better than expected)…

Source: Bloomberg

That is the eleventh straight month of gains, pulling core orders up 5.97% YoY – the most since Aug 2022.

Bookings for non-defense capital goods excluding aircraft, a proxy for investment in equipment, increased 0.6% MoM after a downwardly revised 0.4% decline a month earlier.

Finally, shipments figures (which actually plug into GDP) were comfortably stronger than expected (+0.9% in February versus +0.4% forecast), which suggests upside risks to Q1 forecasts.

It remains to be seen, however, how the war impacted demand for capital goods.