Hey Capitalists:

A lot happened over the the long weekend. Trump is losing patience with Putin and sanctions are on the table. The EU negotiated a pause on Trump’s tariffs after’s Friday’s bombshell (and the markets liked that) and Dave Ramsey is really mad at Congress. Let’s break it down for you:

And by the way: PolitiBrawl Newstand has evolved into The Capitalist! Financial news and politics for the Golden Age of America

Trump loses patience with Putin for dragging his feet on Ukraine peace deal. Sanctions could be incoming

President Trump is reportedly considering new sanctions on Russia as his frustration with Vladimir Putin grows over the ongoing war in Ukraine. This shift is a big deal because it shows Trump, who once talked about bridging the divide with Putin, is now taking a tougher stance, which could impact everything from peace talks to international relations.

• Trump’s Frustration with Putin: Trump is increasingly irritated by Putin’s refusal to make concessions in peace talks over Ukraine, especially after Russia rejected a 30-day cease-fire proposal supported by Ukraine.

• Sanctions on the Table: Trump is eyeing new sanctions against Moscow this week to pressure Putin, though major financial sanctions, like those targeting banks, are likely off the table for now.

• Shift in Tone: Trump’s rhetoric has turned sharp, calling Putin “crazy” and expressing anger over Russian missile and drone attacks on Ukrainian cities, a stark contrast to his earlier claims of a good relationship with Putin.

• Peace Talks at Risk: Frustrated by the lack of progress, Trump is considering abandoning peace negotiations altogether if a final push fails, a big pivot from his campaign promise to end the Ukraine conflict quickly.

• Broader Implications: The U.S. Senate is also pushing for tougher measures, like sanctions and tariffs on Russian energy, while allies like Germany are loosening restrictions on Ukraine’s use of Western weapons, signaling a potential escalation in the conflict.

The European Union scrambles, negotiates a pause on Trump tariffs to make a deal

The European Union and the U.S. are hitting the gas on trade negotiations after a weekend call between President Donald Trump and EU President Ursula von der Leyen. This is a big deal because it could shape everything from prices at the store to the strength of transatlantic economic ties, especially with Trump’s tariff threats looming.

• Trump’s Tariff Threat: Trump had warned of a 50% tariff on EU imports starting June 1, but after a call with von der Leyen, he’s pushed the deadline to July 9 to allow more time for talks.

• Fast-Tracked Talks: The EU agreed to speed up trade negotiations with the U.S., aiming to avoid a potential trade war that could jack up costs for consumers.

• Weekend Call Sparks Progress: A “very nice” phone call between Trump and von der Leyen got things moving, with both sides promising to stay in close contact and work quickly.

• Complex Negotiations: The talks are tricky, involving 27 EU countries, and the EU’s trade chief is focusing on key sectors like chips, cars, and pharmaceuticals.

• Business Concerns: European businesses, like Mercedes-Benz and Volkswagen, are worried about the uncertainty, with CEOs pushing for a deal to avoid economic fallout.

• Bigger Picture: This comes as Trump’s already sealed a trade deal with the UK and is negotiating with countries like China and India, signaling a global trade shake-up.

The Markets open strong on the back of EU tariff pause announcement

After a tense time over the Memorial Day weekend, Tuesday’s trading opened with the news that the U.S. and Europe are hitting the brakes on a potential trade war, and markets are reacting favorably

• Trade Tensions Ease (For Now): President Trump backed off his threat of 50% tariffs on the EU after a call with European Commission President Ursula von der Leyen, delaying new tariffs until July 9 to allow for trade talks.

• Stocks Bounce Back: U.S. stocks, especially the tech-heavy Nasdaq (up 1.3%), and the S&P 500 (up 1%) climbed, while European markets like Germany’s DAX hit record highs.

• Bonds Rally, Dollar Rises: Treasury yields dipped as global bond prices rose, with Japan’s bond market seeing sharp moves, and the U.S. dollar strengthened after hitting a low last week.

• Trump’s Tariff Threats: Before the weekend, Trump’s plan to slap big tariffs on the EU and foreign-made iPhones spooked markets, pushing stocks down on Friday.

• Mixed Signals in Commodities: Gold prices fell about 2%, but Bitcoin held strong near its record high of $110,000.

House Republicans take aim at taxing wealthy colleges endowments

House Republicans could shake things up for some of the wealthiest schools in the U.S. With endowment taxes potentially jumping from 1.4% to as high as 20%, universities are rethinking how they invest their billions. This matters because it could affect everything from tuition costs to financial aid, and even how these schools operate.

• Tax Hike Proposal: House Republicans are pushing to increase the tax on university endowments from 1.4% to possibly 5-20%, targeting schools with endowments over $2.5 billion per student.

• Affected Schools: About 30-40 elite universities, like Harvard and Yale, face this tax, which could siphon off millions from their endowments annually.

• Investment Shifts: Universities are exploring new strategies, like moving investments to private markets (e.g., private equity or real estate) to dodge higher taxes on public securities.

• Tax Loophole Concerns: Some schools might exploit a loophole allowing tax exemptions for endowment funds tied to “educational purposes,” like real estate for campus use, but the IRS could crack down on this.

Dave Ramsey is fed up with the “absolute BS” coming out of Congress

Dave Ramsey, the no-nonsense financial guru, is calling out Washington, D.C., for dropping the ball on supporting small businesses. His fiery message on Fox Business is a wake-up call about how political gridlock and unpredictable policies are hitting entrepreneurs hard. This matters because small businesses are the backbone of our economy, and Ramsey’s blunt take sheds light on what’s at stake if lawmakers don’t get their act together.

• Ramsey’s Core Message: He’s fed up with D.C.’s “absolute BS” political infighting and demands Congress pass laws that let small businesses keep more money to grow and hire.

• Economic Predictability: Ramsey stresses that small businesses need a stable environment to thrive, not uncertainty from shifting policies like tariffs or taxes.

• Tariff Troubles: He argues that unclear tariff policies make it tough for businesses to plan costs and pricing, which can cripple their operations.

• Trump’s Big Bill: Ramsey references a new House-passed bill tied to Trump’s agenda, which still needs Senate approval, but he’s skeptical it fully addresses small business needs.

• Small Business Struggles: He highlights how entrepreneurs spend too much time and money dodging regulatory hurdles from Washington, which stifles growth.

• Call for Action: Ramsey, a Trump supporter, urges lawmakers to focus on “just governing” to create a predictable economic climate for businesses to pivot and succeed.