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US stocks drift lower as oil prices return to rising

SUMMARY:

NEW YORK (AP) — U.S. stock indexes are drifting lower on Tuesday, while oil prices rise again.

The S&P 500 was down 0.3% in midday trading following signals that one of the ‘s main engines, spending by households, is weakening while Israel’s conflict with Iran may be worsening. The Dow Jones Industrial Average dipped by 39 points, or 0.1%, as of 11:20 a.m. Eastern time, and the Nasdaq composite was 0.3% lower.

Treasury yields also edged lower in the bond market after a report said shoppers spent less last month at U.S. retailers than the month before and than economists expected. Solid such spending has been one of the linchpins keeping the economy out of a recession, but part of May’s drop may have simply been a return to more normal trends.

In April, some shoppers had rushed to buy automobiles to get ahead of President ‘s .

“Today’s data suggests consumers are downshifting, but they haven’t yet slammed the brakes,” according to Ellen Zentner, chief economic strategist for Morgan Stanley Wealth Management

Trump, meanwhile, left a Group of Seven summit early and warned that people in Iran’s capital should evacuate immediately. It took only about eight hours for Trump to go from suggesting a nuclear deal with Iran remained “achievable” to urging Tehran’s 9.5 million residents to flee for their lives.

Israel’s continuing fight with Iran has the potential to drive up prices for and gasoline because Iran is a major producer of oil, and it sits on the narrow Strait of Hormuz, through which much of the world’s crude passes.

Crude prices climbed in their latest see-saw move after leaping roughly 7% on Friday and then calming on Monday with hopes that the fighting could remain relatively contained. A barrel of benchmark U.S. crude rose 2.8% to $72.19. Brent crude, the international standard, added 3% to $75.40 per barrel.

Often, higher oil prices can help stocks of companies in the solar industry because they increase the incentive to switch to alternative energy sources. But solar stocks tumbled amid the possibility that Congress may phase out tax credits for solar, wind and other energy sources that produce fewer emissions that change the Earth’s climate.

Enphase Energy dropped 25%, and First Solar fell 18,1%.

On the winning side of was Jabil, which jumped 11.9% after reporting a stronger profit for the latest quarter than analysts expected. CEO Mike Dastoor credited strength from accelerated demand related to artificial-intelligence technology, among other things.

Verve Therapeutics soared 76.4% after Eli Lilly said it would buy the company developing genetic medicines for cardiovascular disease in a $1 billion deal that could be worth up to $1.3 billion if certain conditions are met. Lilly’s stock slipped 1.2%.

All of the action was taking place as the Federal Reserve got set to begin a two-day meeting on interest rates. The nearly unanimous expectation among traders and economists is that the Fed will make no move.

The Fed has been hesitant to lower interest rates, and it’s been on hold this year after cutting at the end of last year, because it’s waiting to see how much Trump’s tariffs will hurt the economy and raise inflation. Inflation has remained relatively tame recently, and it’s near the Fed’s target of 2%.

More important for financial markets on Wednesday will likely be the latest set of forecasts that Fed officials will publish for where they see the economy and interest rates heading in upcoming years.

In the bond market, the yield on the 10-year Treasury fell to 4.42% from 4.46% late Monday. The two-year yield, which more closely tracks expectations for what the Fed will do with its overnight interest rate, edged down to 3.95% from 3.97%.

In stock markets abroad, indexes fell across much of Europe after finishing mixed in Asia.

Tokyo’s Nikkei 225 index rose 0.6% after the Bank of Japan opted to keep its key interest rate unchanged. It’s been gradually raising its rate from near zero and cutting back on its purchases of Japanese government bonds to help counter inflation.

Smithfield Foods to move 115 jobs to Virginia

Smithfield Foods — the nation’s largest producer — announced Tuesday that it’s bringing about 115 to Virginia’s region over the coming months.

The -based company is relocating the positions from regional offices in the Midwest to the company’s headquarters in Smithfield. Positions include finance, procurement, human resources, IT and other support functions.

“ is committed to investing and growing the local communities where we live, work and call home,” said Jim Monroe, vice president of affairs for Smithfield Foods, in a statement. “We’re proud of our roots in Smithfield, Virginia, since 1936, and look forward to bringing these positions to the Tidewater area to help strengthen the local economy.”

A company spokesperson said the relocation of employees is expected to occur by the end of next year.

Founded in 1936 and headquartered in Smithfield, Smithfield Foods provides packaged meats and fresh pork products throughout the U.S. and various countries worldwide. The company says the vast majority of its products are consumed in the U.S. and it employs about 33,000 people nationwide.

In Virginia, the company employs 1,800 people. The company says it generates $3.9 million in annual tax revenue for the state, and provides $2.5 million in cash and in-kind donations.

In January, Smithfield launched its IPO of 26 million stock shares at $20 per share on the Global Select Market, raising $522 million. Its former parent company, Hong Kong-based WH Group, remains its majority shareholder, holding approximately 92.7% of Smithfield Foods’ outstanding shares of common stock as of late March.

In September 2024, Smithfield’s European operations were carved into an independent subsidiary now known as Morliny Foods, part of a streamlining effort before going public.

Smithfield Foods also said it would transfer some of its hog farming operations to a venture controlled by Murphy Family Ventures in North Carolina, Bloomberg reported earlier in December 2024.

According to SEC filings, Smithfield paid Murphy $3 million in cash in exchange for a 25% minority interest in the enterprise, which will supply approximately 3.2 million hogs to Smithfield annually.

In December 2024, Smithfield sold its hog production assets in Utah for $58 million, resulting in a gain of $32 million, and in November 2024, the company sold some of its Missouri hog farms for $32 million at a loss of $4 million.

Americans turn cautious and retail sales slide after a spring spending surge to beat tariffs

SUMMARY:

  • declined 0.9% in May, Commerce Dept. reports
  • Consumers pulled back after March’s pre-tariff spending surge
  • dropped sharply due to Trump’s 25% import duty
  • Excluding autos, overall retail sales fell 0.3%

 

WASHINGTON (AP) — Retail sales fell sharply in May as consumers pulled back from a spending surge early this year to get ahead of President ‘s sweeping  on nearly all imports.

Sales at retail stores and restaurants dropped 0.9% in May, the  said Tuesday, after a decline of 0.1% in April. The figure was pulled down by a steep drop in auto sales, after Americans ramped up their car-buying in March to get ahead of Trump’s 25% duty on imported cars and car parts. Excluding autos, sales fell 0.3%.

The sales drop is hitting after sharp declines in  this year. Still, inflation has cooled steadily and unemployment remains low, which could fuel steady spending in the coming months, as the economy has remained mostly solid.

A category of sales that excludes volatile sectors such as gas, cars, and restaurants rose last month by 0.4%, a sign that consumers are still spending on some discretionary items.

Overall, the report suggests consumers have pulled back a bit but not dramatically so. The retail sales report covers about one-third of , with the other two-thirds consisting of spending on services. Economists expect overall consumer spending to grow in the April-June quarter.

“Today’s data suggests consumers are downshifting, but they haven’t yet slammed the brakes,” Ellen Zentner, chief economic strategist for Morgan Stanley wealth management, said in an email. “Like the economy as a whole, consumer spending has been resilient in the face of tariff uncertainty.”

Yet many categories saw sharp declines. Car sales plunged 3.5%, while sales at home and garden centers dropped 2.7%. They fell 0.6% at electronics and appliance stores and 0.7% at grocery stores. There were some bright spots: Sales rose 0.9% at online retailers, 0.8% at clothing stores, and 1.2% at stores.

Sales at restaurants and bars, a closely watched indicator of discretionary spending, fell 0.9% in May, though that followed a solid gain of 0.8% in April.

It is a difficult time for retailers, many of whom built up large inventories this spring after Trump warned that he would impose widespread import taxes. Traffic at the port in Los Angeles has fallen sharply in recent weeks, suggesting fewer goods are entering the United States.

Some consumer products companies say they are seeing the impact of tariffs on their own costs and sales.

Paul Cosaro, CEO of Picnic Time, Inc, which makes picnic accessories like baskets, coolers, and folding chairs, said that orders from retailers are down as much as 40% this summer compared with a year ago. His company sells to a variety of stores like Target and Williams-Sonoma.

Cosaro noted that some stores have been cautious because they’re not sure how shoppers will react to higher prices. Some cancelled orders because Cosaro couldn’t tell them how much the new prices would be due to all the uncertainty. Roughly 80% of the company’s goods are made in China, with the rest in India and .

The company, founded roughly 40 years ago and based in Moorpark, California, was forced to raise prices on average from 11% to 14% for this summer selling season, Cosaro said.

A folding outdoor chair now costs $137 this month, up from $120 in late 2024, he added. The company’s sales are still down this year, even though some shoppers accelerated their purchases out of concern that prices would rise.

“Shoppers are very price sensitive,” Cosaro said.

The company has implemented a hiring freeze because of all the extra tariff costs, he added. So far this year the company, which employs from 70 to 100 people, has had to pay $1 million in tariffs. A year ago at this time, the bill was a third of that amount.

The retail sales report comes as other evidence indicates shoppers have been pulling back more amid worries about higher prices from Trump’s tariffs.

Naveen Jaggi, president of retail advisory services in the Americas for real-estate firm JLL, said that he’s hearing from malls that sales are slowing down heading into the official summer months. Retailers are pushing up back-to-school promotions to this month from July, he said. They want to get shoppers in early for fear consumers may not want to spend in the later months when prices will likely go up, he said.

So far, Trump’s tariffs haven’t yet boosted inflation. Consumer prices rose just 2.4% in May compared with a year ago, the government said last week.

Many stores and brands, including Walmart, Lululemon, and J.M. Smucker Co., have said they plan to or have raised prices in response to tariffs.

Deckers Outdoor, which is behind such shoe labels as Hoka and Uggs, said late last month that it plans price increases, which will likely hurt sales.

“We expect to absorb a portion of the tariff impact,” Chief Financial Officer Steven Fasching told analysts. “We also believe there is potential to see demand erosion associated with the combination of price increases and general softness in the consumer spending environment.”

Bassett CEO Rob Spilman talks tariff strategy, supply chain resilience

Faced with rising  and increasing global supply chain uncertainty, -based  is taking a measured, solutions-focused approach to protect profitability and support its dealer network.

Sitting down with  Today, CEO Rob Spilman outlined how the company is navigating the current trade environment, breaking down the impact of tariffs and offering insight into the long-term strategies guiding its operations.

While most of Bassett’s finished products are assembled in the United States, Spilman emphasized that the real impact of tariffs hits deeper — at the component level. “We’re very much part of the global economy,” he said. “We rely on components like motors, mechanisms and fabrics — many of which come from overseas.”

Spilman noted that approximately 50% of Bassett’s upholstery fabrics originate in China, with other components sourced from a mix of Asian and international suppliers. For point of reference, Bassett noted that fabric represents roughly 15% of the cost that goes into a sofa.

The new round of tariffs has prompted the company to break down its supply chain segment by segment and country by country. “It’s been complicated,” he said, “but we’ve developed specific strategies for each product category.”

To address rising costs, Bassett introduced selective price increases and added a targeted tariff surcharge, moves that were designed with dealer and consumer sensitivity in mind. “We didn’t take a blanket approach,” said Spilman. “We were strategic about how we applied changes, and the response at market was very positive.”

The company has also expanded sourcing efforts in countries such as  and India, diversifying its supply chain to reduce over-reliance on any one market. This geographic diversification, Spilman said, is critical for long-term resilience.

Internally, Spilman credits a seasoned management team and a culture of transparent communication for guiding the company through volatile conditions. Weekly meetings, daily check-ins and consistent messaging have helped Bassett stay focused on its goals without overreacting to short-term disruptions.

“We’re not making radical changes to our business model,” Spilman said. “We’re staying the course with smart, incremental adjustments. It’s about execution, communication and staying true to our value proposition.”

This article was assisted by an AI engine and reviewed, fact-checked and edited by Furniture Today’s editorial staff.

Sentara, VWU sign letter of intent for health sciences college

Sentara Health and plan to establish a new degree program at the private college, according to a Monday announcement.

The health system and signed a letter of intent to create the of Virginia Wesleyan University. The announcement comes after Sentara said in April it would end its degree programs at the Sentara College of Health Sciences in Chesapeake, instead transitioning those programs to state and regional universities.

“We look forward to working closely with Virginia Wesleyan University to create new opportunities for students, expand access to in-demand programs and help meet the growing health care needs of the communities we serve,” Dennis Matheis, president and CEO of , said in a statement Monday.

Sentara College of Health Sciences currently has 238 degree-seeking students enrolled in nursing, cardiovascular technology and surgical technology programs, according to a Sentara spokesperson. It also has 20 students enrolled in a patient care technician summer program and has 100 students admitted to certificate programs that begin in the fall. 

Current students at Sentara’s college in Chesapeake, according to the health system, will be able to complete their programs “either at SCOHS or through a designated partner.” Sentara’s college will continue to offer certificate classes.

Details of the proposed collaboration between Sentara and VWU are still being worked out.

“We are honored to expand our longstanding partnership with Sentara Health through the establishment of the Sentara College of Health Sciences of Virginia Wesleyan University,” Scott D. Miller, VWU’s president, said in a statement. “This bold step reflects our shared commitment to addressing critical health care workforce needs while advancing access to high-quality education. By uniting Sentara’s rich legacy of health care excellence with Virginia Wesleyan’s academic infrastructure and student-centered mission, we are creating a powerful model for the future of health sciences education in Coastal Virginia and beyond.”

In 2025, Virginia has a demand for 82,540 registered nurses, but only 57,720 folks to fill those , according to the U.S. Department of Health and Human Services’ Health Resources and Services Administration. Nursing isn’t the only health field facing a worker shortage. Most health care jobs in Virginia, from medical laboratory technicians to physical therapists, are also in short supply.

Virginia Wesleyan University has 1,674 undergraduate students and 131 graduate students. A not-for-profit health system, Sentara operates 11 hospitals in Virginia and one in northeastern North Carolina. It has 34,000 employees. The Sentara Health Plans insurance division has more than 1 million members in Virginia and Florida.

GDIT secures $396M Special Operations Command contract

General Dynamics won a $396 million contract to support the U.S. Special Operations Command, the federal contractor announced Friday.

Awarded in April, the Information Technology Enterprise contract has a one-year base period and four option years. The subsidiary of Reston-based Fortune 100 aerospace and company will provide enterprise IT services to support Special Operations Forces’ missions worldwide. will use its AI capabilities to improve operational effectiveness and decision-making, migrate SOF to a multicloud environment and implement zero trust solutions to improve cybersecurity.

“Modern warfare is constantly evolving, and enhancing SOF’s digital capabilities is critical to mission success,” Brian Sheridan, GDIT’s senior vice president for defense, said in a statement. “We look forward to delivering a cutting-edge IT network that ensures our elite military units are connected to the intelligence they need to stay ahead in every mission.”

GDIT received a similar contract last year. In February 2024, the company announced it had won a $493 million task order to provide technical and mission services contract to SOCOM and its partners.

General Dynamics has more than 110,000 employees worldwide and reported $47.7 billion in 2024 revenue. It ranked No. 96 on the 2025 Fortune 1000. GDIT has about 30,000 employees and operates across more than 50 countries.

The Trump family’s next venture, a mobile phone company

SUMMARY:

NEW YORK (AP) — The Trump family is licensing its name to a new mobile phone service, the latest in a string of ventures announced while is in the White House despite ethical concerns that the U.S. president could mold public policy for personal gain.

Eric Trump, the president’s son running The Trump Organization in his absence, announced a new venture Monday called Trump Mobile. The plan is to sell phones that will be built in the U.S., and the phone service will maintain a call center in the country as well.

The announcement of the new mobile phone and service, called T1 Mobile, follows several  for towers and resorts in the Middle East, including a golf development in Qatar announced in April. A $1.5 billion partnership to build golf courses, hotels and real estate projects in Vietnam was approved last month, though the deal was in the works before Trump was elected.

Even oversight of such a company, with the Trump name attached, raises ethical concerns.

Trump has already used the federal government to reward his allies and punish his enemies. The Federal Communications Commission, the primary regulatory body overseeing mobile phone companies, has already launched investigations of media outlets Trump dislikes and, in some cases, is personally suing.

Eric Trump said Monday that consumers deserve a phone that aligns with their values.

“Hard-working Americans deserve a wireless service that’s affordable, reflects their values, and delivers reliable quality they can count on,” he said in a statement.

The company would also enter a highly competitive market that includes companies that have been directly attacked by Donald Trump.

The president criticized Apple last month because it planned to make most of its U.S. iPhones in India, and threatened to slap a 25% tariff on the devices unless the tech giant starts building the phones domestically.

The Trump phone deal comes as a mandatory financial disclosure report just filed with the government shows the president has moved fast in the last year to profit off his celebrity, taking in $3 million in revenue from selling “Save America” coffee table books, $2.8 million from Trump watches and $2.5 million from Trump branded sneakers and fragrances.

The Trump Organization on Monday said the new, gold-colored phone available for $499 in August, called the T1 Phone, won’t be designed or made by Trump Mobile, but by another company.

The Trump Organization did not respond immediately to a request for more details.

In the first term, Trump was blasted by conservative and liberal government ethics experts alike for opening his Washington hotel to lobbyists and diplomats and violating his company’s pledge to avoid even the appearance of a conflict between his private profit and the public interest.

The company is feeling more emboldened now in the second term.

The mobile service is partnering with existing cellular carriers with access to a 5G network, raising questions of how they will be treated by federal regulators now that they have partnered with his company. The Trump Organization said those companies are America’s three biggest mobile network providers, an apparent reference to Verizon, AT&T and T-Mobile, the latter with a trademarked name that is very similar to Trump’s T1 Mobile.

The name given to the monthly service offer, The 47 Plan, and the monthly fee of $47.45 make reference to Trump’s two terms, the 45th and the 47th. The service will include unlimited calls, texts and data and free roadside assistance and telehealth services.

A mock-up of the planned phone on the company’s website shows Trump’s slogan “Make America Great” on the front and an etched American flag on the back.

By sticking to licensing, the Trump family is limiting its risk. Still, the new service faces big challenges if it hopes to sell beyond the president’s loyal MAGA fans.

The Trump company tried to tap into support among the middle class in the first term with two mid-priced hotel chains. Called American Idea and Scion, and unveiled like the phone service Monday under a giant U.S. flag in the Trump Tower atrium, they flopped.

Despite taking in millions of dollars each year in various licensing deals and a string of new ventures, the Trump brand has taken a series of hits to its brand over the years.

During his first term, the Trump name was stripped off residential buildings and hotels in Toronto, Panama and Manhattan.

The Trump International Hotel in Washington, since sold, lost money even though the family opened its doors to businesses and governments trying to shape U.S. policy.

The average condo in 11 Trump-branded residential towers around the country underperformed the broader market during and immediately after Trump’s first term. More recently, the value of Trump condos in New York City fell in the past two years as similar properties rise in value, according to brokerage CityRealty.

The Trump Organization has had more success with some ventures launched in the first few months of his second term.

Trump Media & Technology Group, a Florida company that operates the Truth Social media platform, filed plans with security regulators Monday to launch an exchange-traded fund tied to the prices of two popular cryptocurrencies.

The ETF is part of the Trump family’s rapidly growing crypto empire, which includes a new stablecoin and launching and promoting memecoins.

The president’s most recent financial disclosure report reveals he made more than $57 million last year from World Liberty Financial, a crypto company he and his sons helped launch in September.

States’ $7.4B settlement with Purdue Pharma nears closure

Fifty-five attorneys general have agreed to sign on to a $7.4 billion nationwide with and its owners, the family, the Virginia attorney general’s office announced Monday. If the settlement is approved by the federal bankruptcy court, Virginia would receive up to $103.8 million over the next 15 years.

According to state ‘ statement, the Sackler family has “indicated its plan to proceed with the settlement,” allowing them to resolve litigation for Purdue’s alleged role in causing widespread .

Although the sign-off by attorneys general from all eligible states and U.S. territories is a significant benchmark in reaching the settlement, which was announced in January, a federal bankruptcy judge must approve the deal before it goes into effect. A hearing is expected to be held in coming days, Miyares said.

In 2024, the U.S. Supreme Court overturned an earlier settlement agreement for $4.3 billion, in part because that agreement would have protected the Sackler family from future civil liability claims, which the new settlement does not include.

Virginia plans to invest the $103.8 million in settlement funding into local prevention, treatment and recovery for opioid addiction, Miyares said in the statement.

“The Sacklers spent years fueling an epidemic that shattered families, wrecked communities and cost hundreds of thousands of American lives,” Miyares said. “Though no amount of money will ever bring back those we’ve lost or undo the incomprehensible level of harm caused, these settlement funds will be invested in treatment, prevention and recovery efforts across Virginia, helping our communities heal and saving lives.”

According to the settlement terms, the Sackler family will no longer own Purdue Pharma, the maker of , or be allowed to sell opioid drugs in the United States. The family members will pay $1.5 billion, and Purdue will pay the other $5.9 billion in installments, with most of the settlement funds distributed in the first three years of the deal.

Wall Street is recovering from Friday’s shock with US stocks up and oil prices down

SUMMARY:

  • U.S. rise following Israel’s strike on Iran.
  • up 0.7%, Dow gains 280 points, up 0.9%.
  • follow with gains across Asia and Europe.
  • fall over 1.5% as conflict fears ease.

 

NEW YORK (AP) — Some calm is returning to , and U.S. stocks are rising on Monday, while oil prices are giving back some of their initial spurts following Israel’s attack on Iranian nuclear and military targets at the end of last week.

The S&P 500 was 0.7% higher in early trading and on track to reclaim more than half of its drop from Friday. The Industrial Average was up 280 points, or 0.7%, as of 9:35 a.m. Eastern time, and the Nasdaq composite was 0.9% higher. They joined a worldwide rise in stock prices, stretching from Asia to Europe.

Israel and Iran are continuing to attack each other, and a fear remains that a wider war could constrict the flow of Iran’s oil to its customers. But past conflicts in the region have seen crude prices spike only temporarily. They’ve receded after the fighting showed that it would not damage the flow of oil, either Iran’s or other countries’ through the narrow Strait of Hormuz off Iran’s coast.

Hopes that the fighting could remain similarly contained this time around sent the price of a barrel of benchmark U.S. oil down 1.6% to $71.82 on Monday. Brent crude, the international standard, fell 1.7% to $72.97. Both had jumped roughly 7% on Friday after the initial attacks.

In another signal of calming worries, the price of gold also gave back some of Friday’s knee-jerk climb, when investors were looking for someplace safe to park their cash. An ounce of gold slipped 0.5% to $3,433.90.

Wall Street has plenty of other concerns in addition to the fighting in Iran and Israel. Key among them is President ‘s , which still threaten to slow the economy and raise inflation if trade deals aren’t made with other countries to reduce Trump’s taxes on imports.

The United States is meeting with six of the world’s largest economies in Canada for a Group of Seven meeting, with the specter of tariffs looming over the talks.

Later this week, the Federal Reserve is set to discuss whether to lower or raise interest rates, with the decision due on Wednesday.

The Federal Reserve has been hesitant to lower interest rates, and it’s been on hold this year after cutting at the end of last year, because it’s waiting to see how much Trump’s tariffs will hurt the economy and raise inflation. Inflation has remained relatively tame recently, and it’s near the Fed’s target of 2%.

While lower rates can goose the economy by encouraging businesses and households to borrow, they can also accelerate inflation.

In the bond market, the yield on the 10-year Treasury rose to 4.43% from 4.41% late Friday. The two-year Treasury yield, which more closely tracks expectations for what the Fed will do with its overnight interest rate, was holding steady at 3.96%, where it was late Friday.

In stock markets abroad, indexes rose modestly across Europe and jumped a bit more in much of Asia.

Stocks climbed 0.7% in Hong Kong and 0.3% in Shanghai after data showed stronger Chinese for May but slower growth in factory activity and investment.

South Korea’s Kospi climbed 1.8%, and Japan’s Nikkei 225 rallied 1.3% for two of the world’s bigger gains.

___

AP Writer Jiang Junzhe contributed.

G7 summit begins amid global conflict, trade tensions

SUMMARY:

  • begins Monday in Canada’s Rocky Mountains.
  • U.S. President Trump’s have sparked global concern.
  • Ongoing wars in Ukraine and Gaza overshadow the meeting.
  • Rising Israel-Iran conflict adds urgency to

 

KANANASKIS, Alberta (AP) — When U.S. President last came to Canada for a Group of Seven summit, the enduring image was of him seated with his arms folded defiantly as then-German Chancellor Angela Merkel stared daggers at him.

If there is a shared mission at this year’s G7 summit, which begins Monday in Canada’s Rocky Mountains, it is a desire to minimize any fireworks at a moment of combustible tensions.

The 2018 summit ended with Trump assailing his Canadian hosts on social media as he departed on Air Force One, saying he had instructed the U.S. officials who remained in Quebec to oppose the G7 joint statement endorsed by the leaders of Japan, France, the United Kingdom, Italy, Germany and, of course, Canada.

“I have instructed our U.S. Reps not to endorse the Communique as we look at Tariffs on automobiles flooding the U.S. Market!” Trump posted on the site then known as Twitter.

This time, Trump already has hit several dozen nations with severe tariffs that risk a global economic slowdown. There is little progress on settling the wars in Ukraine and Gaza and now a new and escalating conflict between Israel and Iran over Tehran’s nuclear program.

Add to all of that the problems of climate change, immigration, drug trafficking, new technologies such as artificial intelligence and China’s continued superiority and chokehold on key supply chains.

Asked if he planned to announce any trade agreements at the G7 as he left the White House on Sunday, Trump said: “We have our trade deals. All we have to do is send a letter, ‘This is what you’re going to have to pay.’ But I think we’ll have a few, few new trade deals.”

At stake might be the survival of the G7 itself at a time when the Trump administration has sent mixed signals about whether the president will attend the November Group of 20 summit in South Africa.

What Trump opposed at the 2018 summit in Quebec wasn’t just tariffs, but a focus on having alliances with a shared set of standards seeking to shape policies.

“The big dispute in Quebec were the references to the rules-based international order and that’s where that famous photo comes from,” said Peter Boehm, Canada’s counselor at the 2018 G7 summit in Quebec and a veteran of six G7 summits. “I think it gave everyone the idea that G7s were maybe not business as usual.”

The German, U.K., Japanese and Italian governments have each signaled a belief that a friendly relationship with Trump this year can reduce the likelihood of outbursts.

“Well, I have got a good relationship with President Trump, and that’s important,” U.K. Prime Minister Keir Starmer said Saturday as he flew to Canada.

There is no plan for a joint statement this year from the G7, a sign that the Trump administration sees no need to build a shared consensus with fellow democracies if it views such a statement as contrary to its goals of new tariffs, more fossil fuel production and a Europe that is less dependent on the U.S. military.

“The Trump administration almost certainly believes that no deal is better than a bad deal,” said Caitlin Welsh, a director at the Center for Strategic and International Studies think tank who was part of Trump’s team for the G7 in Trump’s first term.

The White House has stayed decidedly mum about its goals for the G7, which originated as a 1973 finance ministers’ meeting to address the oil crisis and steadily evolved into a yearly summit that is meant to foster personal relationships among and address global problems.

The G7 even briefly expanded to the G8 with Russia as a member, only for Russia to be expelled in 2014 after annexing Crimea and taking a foothold in Ukraine that preceded its aggressive 2022 invasion of that nation.

Trump will have at least three scheduled bilateral meetings during the summit with other world leaders while in Canada, staring on Monday morning with Canadian Prime Minister Mark Carney. The U.S. president is also expected to have bilateral meetings with Mexican President Claudia Sheinbaum and Ukrainian President Volodymyr Zelenskyy, according to an administration official.

The U.S. president has imposed 25% tariffs on steel, aluminum and autos, all of which have disproportionately hit Japan. Trump is also charging a 10% tax on imports from most countries, though he could raise rates on July 9, after the 90-day negotiating period set by him would expire.

The United Kingdom reached a trade framework with the U.S. that included quotas to protect against some tariffs, but the 10% baseline would remain as the Trump administration is banking on tariff revenues to help cover the cost of its income tax cuts.

Canada and Mexico face separate tariffs of as much as 25% that Trump put into place under the auspices of stopping fentanyl smuggling, through some products are still protected under the 2020 U.S.-Mexico-Canada Agreement signed during Trump’s first term.

The Trump administration has insisted that its broad tariffs will produce trade agreements that box out China, though it’s unclear how antagonizing trade partners would make them want to strengthen their reliance on the U.S. Carney, the Canadian leader, has been outspoken in saying his country can no longer look to the U.S. as an enduring friend.

That might leave Trump with the awkward task of wanting to keep his tariffs in place while also trying to convince other countries that they’re better off siding with the U.S. than China.

“Trump will try to coordinate the group against China’s economic coercion,” Josh Lipsky, chair of international economics at the Atlantic Council, wrote in an analysis. “But the rest of the leaders may turn back to Trump and say that this kind of coordination, which is at the heart of why the G7 works, would be easier if he weren’t imposing tariffs on his allies.”