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Chuck Schumer and Joe Biden pile pressure on Binyamin Netanyahu

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CHUCK SCHUMER, the majority leader of the US Senate and America’s highest-ranking Jewish official, is fond of noting that his surname derives from the Hebrew word shomer, or guardian. Although his primary obligation is to America, he likes to say, he also feels a duty to live up to his name and act as a guardian of the people of Israel. Mr Schumer made this familiar point during a speech on March 14th, but his remarks on the Senate floor about Binyamin Netanyahu were anything but ordinary.

“Prime Minister Netanyahu has lost his way by allowing his political survival to take precedence over the best interests of Israel,” Mr Schumer said during a 44-minute speech. “I believe a new election is the only way to allow for a healthy and open decision-making process about the future of Israel.”

Presidents and secretaries of state have criticised Israel over the course of its 75-year relationship with the United States, typically on discrete issues for limited periods. Yet the de facto political leader of America’s Jews calling for political change in Jerusalem is a watershed moment, even as Mr Schumer stressed that “Israel has the right to choose its own leaders, and we should let the chips fall where they may.” It reflects a crisis of confidence.

Joe Biden, who often goes out of his way to avoid criticising American allies publicly, said the following day that Mr Schumer gave a “good speech”. (The president, however, fell short of fully endorsing it by only allowing that “many Americans” shared the majority leader’s concerns.) Mr Schumer’s Republican counterpart in the Senate, Mitch McConnell, called his remarks grotesque and hypocritical—the starkest example yet of the growing partisan gap on how to manage relations with the Jewish state.

What effect could Mr Schumer’s comments have on Israeli politics? Mr Netanyahu has not yet reacted, though his Likud party shot back in a statement that “Israel is not a banana republic.” Benny Gantz, a member of Mr Netanyahu’s war cabinet but a rival minister likely to replace him if elections were held, said Mr Schumer’s remarks were a mistake. In Washington earlier this month Mr Gantz met senior members of the Biden administration. A Gantz government would no doubt make the relationship easier, though unlike Mr Biden he is not keen on a two-state solution, so relations would still be far from simple.

“Israelis of all political views are coexisting in the same bubble of trauma, insecurity, fear and worry. It makes them all incapable of hearing anybody or anything else,” says Martin Indyk of the Council on Foreign Relations, a think-tank, and a former US ambassador to Israel. “They are largely oblivious to the suffering of the Palestinians and seemingly uncaring about the rift with the United States, Israel’s only reliable friend in this crisis.”

The greater immediate impact of Mr Schumer’s remarks is likely to be on the debate over Israel in America. The Senate leader and the president are among the most pro-Israel Democrats in American history, but many on the party’s left wing are deeply critical of the country’s government. Mr Biden initially kept his criticism of how Israel has conducted this war private. Recently he has been openly critical while refusing to use his leverage, such as by withholding military support, or backing UN resolutions condemning Israel.

Mr Schumer’s comments have given Mr Biden cover to take a tougher stance. But Aaron David Miller, of the Carnegie Endowment for International Peace, another think-tank (and a veteran negotiator of would-be Middle East peace deals), does not expect major changes to Mr Biden’s “passive-aggressive” approach just yet. The only way for Mr Biden to resolve the political, moral and policy conundrums that Israel’s assault on Gaza has produced, Mr Miller reckons, is for the images coming out of Gaza to change. Mr Biden may get tougher, “but I don’t see it happening now, particularly given the fact that for the first time in weeks, there may be some openings on the ground” as Israel permits more humanitarian assistance and sends negotiators to Qatar.

However, if an Israeli assault on Rafah, where some 1.4m Palestinian civilians are sheltering, produces massive casualties, Mr Biden’s tone could become much more critical, much faster. “Whatever happens,” adds Mr Indyk, “pressure is now an overt part of the US-Israel relationship.”

Economics

Andrew Bailey on why UK-U.S. trade deal won’t end uncertainty

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Bank of England Governor Andrew Bailey attends the central bank’s Monetary Policy Report press conference at the Bank of England, in the City of London, on May 8, 2025.

Carlos Jasso | Afp | Getty Images

Bank of England Governor Andrew Bailey told CNBC on Thursday that the U.K. was heading for more economic uncertainty, despite the country being the first to strike a trade agreement with the U.S. under President Donald Trump’s controversial tariff regime.

“The tariff and trade situation has injected more uncertainty into the situation… There’s more uncertainty now than there was in the past,” Bailey told CNBC in an interview.

“A U.K.-U.S. trade agreement is very welcome in that sense, very welcome. But the U.K. is a very open economy,” he continued.

That means that the impact from tariffs on the U.K. economy comes not just from its own trade relationship with Washington, but also from those of the U.S. and the rest of the world, he said.

“I hope that what we’re seeing on the U.K.-U.S. trade side will be the first of many, and it will be repeated by a whole series of trade agreements, but we have to see that happen of course, and where it actually ends up.”

“Because, of course, we are looking at tariff levels that are probably higher than they were beforehand.”

Trump unveils United Kingdom trade deal, first since ‘reciprocal’ tariff pause

In Bank of England’s Monetary Policy Report released Thursday, the word “uncertainty” was used 41 times across its 97 pages, up from 36 times in February, according to a CNBC tally.

The U.K. central bank cut interest rates by a quarter percentage point on Thursday, taking its key rate to 4.25%. The decision was highly divided among the seven members of its Monetary Policy Committee, with five voting for the 25 basis point cut, two voting to hold rates and two voting to reduce by a larger 50 basis points.

Bailey said that while some analysts had perceived the rate decision as more hawkish than expected — in other words, leaning toward holding rates elevated than slashing them rapidly — he was not surprised by the close vote.

“What it reflects is that there are two sides, there are risks on both sides here,” he told CNBC.

“We could get a much more severe weakness of demand than we were expecting, that could then pass through to a weaker outlook for inflation than we were expecting.”

“There’s a risk on the other side that we could get some combination of more persistence in the inflation effects that are gradually working their way through the system,” such as in wages and energy, while “supply capacity in the economy is weaker,” he said.

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Economics

Trump knocks down a controversial pillar of civil-rights law

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IN THE DELUGE of 145 executive orders issued by President Donald Trump (on subjects as disparate as “Restoring American Seafood Competitiveness” and “Maintaining Acceptable Water Pressure in Showerheads”) it can be difficult to discern which are truly consequential. But one of them, signed on April 23rd under the bland headline “Restoring Equality of Opportunity and Meritocracy”, aims to remake civil-rights law. Those primed to distrust Mr Trump on such matters may be surprised to learn that the president’s target is not just important but also well-chosen.

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Economics

Harvard has more problems than Donald Trump

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A Programme at Harvard Divinity School aspired to “deZionize Jewish consciousness”. During “privilege trainings”, working-class Harvard students were instructed that, by being Jewish, they were oppressing wealthier, better prepared classmates. A course in Harvard’s graduate school of public health, “The Settler Colonial Determinants of Health”, sought to “interrogate the relationships between settler colonialism, Zionism, antisemitism, and other forms of racism”: Will these findings by Harvard’s task-force on antisemitism and anti-Israel bias, released on April 29th, shock anyone? Maybe not. Americans may be numb by now to bulletins about the excesses, not to say inanities, of some leftist academics.

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