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“WE’D LIKE to share with you that we have a brand-new AZGOP chair, Jeff DeWit,” said the recorded greeting on the voicemail of the Arizona Republican Party. “He is wonderful to work for, and I know you will be happy getting to know him.” But the recording, still playing on January 25th, was doubly outdated. Mr DeWit was hardly “brand-new”: he had taken over as party chair a year before (with Donald Trump’s backing), promising to unite the party’s feuding factions. More important, he had resigned the previous day, after what amounted to a coup orchestrated by the party’s likely candidate for Senate, Kari Lake—amid drama worthy of reality TV.
Arizona will be a critical state in the elections in November. “There’s no path to the White House that doesn’t run through Arizona,” says Caroline Wren, an adviser to Ms Lake. “And Arizona might well be the 51st Senate seat,” determining whether or not Republicans can wrest back control.
Republican bigwigs were keen to field a Senate candidate with the best chance of winning. The lesson from the midterms was that strident Trump-backed candidates tend to lose. Ms Lake’s own defeat in the Arizona governor’s contest was a prime example: the former TV news anchor was a vocal supporter of Mr Trump’s false claim that the 2020 election was stolen. About 11 months ago Mr DeWit approached Ms Lake with a message from “very powerful people” back east and an offer he hoped she would not refuse: an inducement to sit out the coming election cycle.
Unfortunately for Mr DeWit, she not only refused, but recorded the conversation—and last week it was leaked to DailyMail.com, a British news website. In the ten-minute tape Mr DeWit is heard suggesting that Ms Lake “pause” her electoral ambitions for two years. “Is there a number” that would persuade her to do so, he asks? An offended Ms Lake rejects the attempt to buy her off: “They’re going to have to fucking kill me to stop me,” she says.
Mr DeWit claims that the tape was selectively edited. Yet he felt compelled to go.
Why did Ms Lake wait nearly 11 months to release the recording? Some Arizona Republicans had grown frustrated with Mr DeWit (among his sins, apparently, was being seen at several events of Ron DeSantis, the Florida governor who until recently was competing for the Republican presidential nomination) and were preparing to challenge his leadership at a meeting of the state party on January 27th. Ms Lake’s leak was exquisitely timed to bring about Mr DeWit’s resignation and enable that meeting to elect a new leader, Gina Swoboda, a Trump-endorsed conservative praised by her fans for her knowledge of election law.
In a text to a local political journalist, Dennis Welch, Mr DeWit complained about “the total mess that Kari caused”, which had brought “divisiveness and chaos”. Ms Lake now faces a backlash. At the party meeting “she was literally booed off the stage,” says Sandra Dowling, a retired school superintendent who has been a Republican Party member since 1981. “What you hear in these boos was, Kari, we’re really mad at you, and we’re mad at you for taking out someone we loved.” Ms Dowling reckons Ms Lake has a lot of damage control to do even to win the Senate primary.
The coup leaves Arizona’s Republican leadership, which was already MAGA-aligned, looking Trumpier than ever, and that could be a problem come November 5th. Republicans enjoy an advantage of about five percentage points over Democrats among registered voters in Arizona, and should win statewide elections, points out Samara Klar, a political scientist at the University of Arizona. But more than a third of voters here identify as independents, and many seem put off by Mr Trump. The party badly needs to raise money to help woo them. Democrats achieved surprising wins not only in the presidential election (Joe Biden won narrowly in 2020) but also the race for governor and both Senate seats: a trifecta not seen in Arizona for over 70 years.
In office, those Democrats tend to behave like independents—and often to sound like Republicans, notes Professor Klar. In the case of Senator Kyrsten Sinema, that has involved actually leaving the Democratic Party to become an independent. Whether she opts to run for re-election is one of the uncertainties hanging over this year’s contest. Some doubt that she could muster the required number of signatures in time to get on the ballot.
Arizona will be getting a lot more attention from people “back east”. Mr Trump cancelled an appearance at what was to have been a big fund-raiser for the Arizona Republican Party in Phoenix last week. But he is expected to visit soon. Two other former presidents did make it to Arizona: George W. Bush and Bill Clinton took the stage jointly on January 31st at a conference in Scottsdale organised by TIGER 21, a network of rich people. It was a demonstration of civility in stark contrast to the strife within parties—let alone between them. ■
THERE WAS a time, not long ago, when an important skill for journalists was translating the code in which powerful people spoke about each other. Carefully prepared speeches and other public remarks would be dissected for hints about the arguments happening in private. Among Donald Trump’s many achievements is upending this system. In his administration people seem to say exactly what they think at any given moment. Wild threats are made—to end habeas corpus; to take Greenland by force—without any follow-through. Journalists must now try to guess what is real and what is for show.
THERE WAS a time, not long ago, when an important skill for journalists was translating the code in which powerful people spoke about each other. Carefully prepared speeches and other public remarks would be dissected for hints about the arguments happening in private. Among Donald Trump’s many achievements is upending this system. In his administration people seem to say exactly what they think at any given moment. Wild threats are made—to end habeas corpus; to take Greenland by force—without any follow-through. Journalists must now try to guess what is real and what is for show.
Hiring decreased just slightly in May even as consumers and companies braced against tariffs and a potentially slowing economy, the Bureau of Labor Statistics reported Friday.
Nonfarm payrolls rose 139,000 for the month, above the muted Dow Jones estimate for 125,000 and a bit below the downwardly revised 147,000 that the U.S. economy added in April.
The unemployment rate held steady at 4.2%. A more encompassing measure that includes discouraged workers and the underemployed also was unchanged, holding at 7.8%.
Worker pay grew more than expected, with average hourly earnings up 0.4% during the month and 3.9% from a year ago, compared with respective forecasts for 0.3% and 3.7%.
“Stronger than expected jobs growth and stable unemployment underlines the resilience of the US labor market in the face of recent shocks,” said Lindsay Rosner, head of multi-sector fixed income investing at Goldman Sachs Asset Management.
Nearly half the job growth came from health care, which added 62,000, even higher than its average gain of 44,000 over the past year. Leisure and hospitality contributed 48,000 while social assistance added 16,000.
On the downside, government lost 22,000 jobs as efforts to cull the federal workforce by President Donald Trump and the Elon Musk-led Department of Government Efficiency began to show an impact.
Stock market futures jumped higher after the release as did Treasury yields.
Though the May numbers were better than expected, there were some underlying trouble spots.
The April count was revised lower by 30,000, while March’s total came down by 65,000 to 120,000.
There also were disparities between the establishment survey, which is used to generate the headline payrolls gain, and the household survey, which is used for the unemployment rate. The latter count, generally more volatile than the establishment survey, showed a decrease of 696,000 workers. Full-time workers declined by 623,000, while part-timers rose by 33,000.
“The May jobs report still has everyone waiting for the other shoe to drop,” said Daniel Zhao, lead economist at job rating site Glassdoor. “This report shows the job market standing tall, but as economic headwinds stack up cumulatively, it’s only a matter of time before the job market starts straining against those headwinds.”
The report comes against a teetering economic background, complicated by Trump’s tariffs and an ever-changing variable of how far he will go to try to level the global playing field for American goods.
Most indicators show that the economy is still a good distance from recession. But sentiment surveys indicate high degrees of anxiety from both consumers and business leaders as they brace for the ultimate impact of how much tariffs will slow business activity and increase inflation.
For their part, Federal Reserve officials are viewing the current landscape with caution.
The central bank holds its next policy meeting in less than two weeks, with markets largely expecting the Fed to stay on hold regarding interest rates. In recent speeches, policymakers have indicated greater concern with the potential for tariff-induced inflation.
“With the Fed laser-focused on managing the risks to the inflation side of its mandate, today’s stronger than expected jobs report will do little to alter its patient approach,” said Rosner, the Goldman Sachs strategist.
Friday also marks the final day before Fed officials head into their quiet period before the meeting, when they do not issue policy remarks.