White House opens new front of attack on Fed chief Jay Powell

This text is an on-site model of our FirstFT e-newsletter. Subscribers can signal as much as our Asia, Europe/Africa or Americas version to get the e-newsletter delivered each weekday morning. Discover all of our newsletters hereGood morning and welcome to this week’s ultimate version of FirstFT. At the moment’s agenda consists of: Powell below assault over redevelopment projectTrump guarantees “main assertion” on RussiaWPP’s “Kodak second”And the rise and rise of air-con The White Home has accused Jay Powell of “grossly” mismanaging an “ostentatious” refurbishment of the Federal Reserve’s headquarters, opening a brand new entrance in its assault in opposition to the US central financial institution.What are the main points? Russell Vought, director of the Workplace of Administration and Funds, mentioned in a put up on X that the Fed chair, had “grossly mismanaged the Fed”. Vought, a Trump ally, accused Powell of presiding over a renovation of its headquarters that was $700mn over price range. He claimed the $2.5bn refurbishment of Washington’s Marriner Eccles Constructing price virtually as a lot because the Palace of Versailles in present {dollars}.Why it issues: Vought’s criticism marks a recent tactic within the Trump administration’s battle with the financial institution and its chair. The president steadily assaults Powell over the central financial institution’s refusal to chop rates of interest, calling him “a cussed mule” and “a numbskull” however Vought’s feedback mark the primary direct assault from an in depth ally of Trump. Powell has described media studies relating to the excesses of the rebuild as “inaccurate”. Learn the complete story.Right here’s what else we’re protecting tabs on right now and over the weekend:Air India crash: Authorities are right now anticipated to launch a preliminary report into India’s worst airline crash in many years. US-China relations: US secretary of state Marco Rubio will meet Chinese language international minister Wang Yi in Kuala Lumpur right now.Texas floods: Donald Trump and his spouse Melania are anticipated to journey to the scene of final weekend’s devastating floods and meet a number of the households affected. Ovidio Guzmán trial: The son of infamous Sinaloa cartel founder Joaquín “El Chapo” Guzmán is predicted to plead responsible in a Chicago federal court docket later right now.Firms: American pharmacy chain Walgreens Boots Alliance holds a particular shareholders’ assembly to vote on the proposed acquisition of the corporate by personal fairness group Sycamore Companions. Wimbledon tennis: The lads’s semi-finals happen right now to find out the line-up for Sunday’s ultimate, in the meantime within the girls’s draw, American Amanda Anisimova faces off in opposition to Poland’s Iga Świątek in tomorrow’s ultimate.How properly did you retain up with the information this week? Take our quiz.Be part of the FT’s books editors Frederick Studemann and Maria Crawford right now at 1pm BST for a digital Q&A that will help you discover the right summer season books. Depart a remark right here to obtain knowledgeable suggestions.5 extra prime stories1. Donald Trump mentioned he plans to make a “main assertion” on Russia subsequent week, as he signalled the US would promote extra weapons to allies to ship to Ukraine, together with Patriot missile methods. The US president mentioned he had reached what he referred to as a brand new deal for sending weapons to Ukraine, by means of purchases made by Nato allies. 2. Trump additionally mentioned the US would impose a 35 per cent tariff on Canada firstly of August as he launched a recent salvo in opposition to one of many nation’s largest buying and selling companions. The US president despatched a letter to Canada late yesterday, heaping stress on prime minister Mark Carney. Go deeper: Trump’s risk to Canada comes on the finish of per week Donald Trump revived his international commerce battle after a three-month pause. Q&A: Canada correspondent Ilya Gridneff might be answering readers’ questions on US-Canada relations in a particular version of FirstFT. E-mail your inquiries to firstft@ft.com or hit reply on this electronic mail.3. Unique: Google will closely low cost cloud computing providers for the US authorities, because the Trump administration pressures expertise teams to slash costs on long-standing, profitable contracts. The settlement comes after Oracle final week lower a cope with the federal government, together with a 75 per cent low cost on some software program contracts. Discover out which different corporations are anticipated to observe quickly.4. Two of Boston Consulting Group’s senior executives will go away their management roles within the wake of revelations in regards to the agency’s work in Gaza, in line with folks conversant in the matter. The 2 males have been named final week by the Monetary Occasions as having been concerned in discussions about BCG’s increasing work associated to Gaza. Learn the complete story.5. JPMorgan Chase chief govt Jamie Dimon warned European leaders yesterday that they’ve a competitiveness downside and that they’re at the moment “dropping” the battle to rival the US and China. The feedback from Dimon, one of the influential voices in international finance, underscore the challenges dealing with the EU because it battles to invigorate its financial system.At the moment’s massive readChair Philip Jansen, left, appointed new chief Cindy Rose to interchange Mark Learn after a serious revenue warning © FT montage/Bloomberg/Europa Press by way of Getty ImagesCindy Rose, a prime Microsoft govt, agreed this week agreed to take the reins at British promoting group WPP because it scraps with stronger international rivals for a shrinking pool of mandates. Past the day-to-day difficulties, the existential risk of AI — expertise that threatens to chop businesses out of the inventive course of totally — is looming ever nearer into view. “That is WPP’s ‘Kodak second’,” mentioned one observer.​​We’re additionally studying . . . Chart of the dayThis month marks a decade for the reason that turning level within the Greek monetary disaster, a drama that gripped international monetary markets for years and threatened to blow aside the financial and financial union that’s the EU’s singular achievement. Within the 10 years since, Greece has staged a exceptional rebound.Take a break from the newsOn February 12 2022, the Odesa Philharmonic Orchestra performed its final live performance earlier than Putin’s full-scale invasion, with an encore that was “probably the most Ukrainian, patriotic factor you may get”. The overture to Mykola Lysenko’s opera Taras Bulba was met with a roar of applause because the viewers rose to their toes. Greater than three years on, the orchestra’s chief conductor speaks to the FT about how they withstood Russian missiles to deliver music to town. ‘Ode to Invincibility’ charity live performance on the Odesa Regional Philharmonic © Viacheslav Onyshchenko / SOPA Im/Sipa USA/Alamy