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The Supreme Court seems divided over Donald Trump’s immunity

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THE PETITIONER in Trump v United States was not present on April 25th when the Supreme Court considered whether he and other ex-presidents should enjoy immunity from criminal liability for their official actions while in office. Rather than being ensconced at One First Street among the Italian marble and red velvet, Donald Trump was seated in a less august courtroom in New York City—where he faces state charges for allegedly covering up hush-money payments to an adult-film star.

A win in Trump v United States would not help him in New York, as those alleged crimes took place on the eve of the 2016 election before he became president. Nor would success at the Supreme Court let him wriggle out of charges in Florida related to classified documents—that alleged mishandling happened after he left office. Yet a dose of immunity would spell the end of the most serious case against Mr Trump: federal charges brought by Jack Smith, the special counsel, that he conspired to overturn the results of the 2020 election.

Two lower courts rejected Mr Trump’s plea for blanket immunity. In February, a three-judge panel at the appeals court wrote that “wholly immunising” presidents who have left office would undercut “the primary constitutional duty of the judicial branch to do justice in criminal prosecutions”. But the nearly three-hour hearing at the Supreme Court—which for long stretches sounded more like a graduate-level seminar on presidential power than a judicial proceeding—made clear that the justices think the legal matter is less than clear.

John Sauer, Mr Trump’s lawyer, warned that a “looming threat” of prosecution after leaving office “will distort the president’s decision-making” and hamstring him while in office. Without blanket immunity, he suggested, Barack Obama could be charged today with murder for errant drone strikes and, down the road, President Joe Biden could be held criminally liable for letting immigrants overrun the border. That’s no way to run an executive branch, Mr Sauer insisted.

But Mr Sauer’s pat plea aroused scepticism across the bench. Chief Justice John Roberts asked whether a president who appoints an ambassador after accepting a bribe could be prosecuted after leaving office. Mr Sauer’s reply—that bribe-taking is outside the scope of official presidential conduct—did not satisfy the chief. “But appointing an ambassador is certainly within the official responsibilities of the president,” he said, demonstrating the difficulty of untangling the act’s two components. This led Justice Sonia Sotomayor to resuscitate a hypothetical scenario from the appeals-court hearing: what about using a Navy SEAL team to assassinate a political rival? When Mr Sauer said that a president could not be held liable for such an “official act”, Justice Sotomayor, with backing from Justice Ketanji Brown Jackson, said America’s founders never envisioned that ex-presidents would be immune from prosecution for criminal acts undertaken for “personal gain”. The constitution’s framers toyed with granting such a cloak to presidents, Justice Sotomayor said, and opted against it.

A pair of questions emerged as the justices’ main concerns. First, which of Mr Trump’s alleged actions count as official (and are thus potentially immunised) and which are private (and thus a legitimate basis for criminal prosecution)? Second, more broadly, which principles should judges use to discern the difference, and through what type of judicial process?

Mr Sauer conceded early on that many of Jack Smith’s allegations against Mr Trump fell in the “private” category. He admitted that spreading knowingly false claims of election fraud and conspiring with a private attorney to file false allegations are both private acts, and therefore prosecutable. By contrast, “meeting with the Department of Justice to deliberate about who’s going to be the acting attorney-general of the United States” is an official act, Mr Sauer said, and should not spur criminal liability.

Justice Elena Kagan also pressed Mr Sauer on how to draw these lines. She was aghast at his claim that Mr Trump was acting officially when he urged legislators in Arizona to hold a hearing on election fraud, and when he worked with Republican Party officials to organise fraudulent slates of presidential electors. And she coaxed Mr Sauer into a corner where he, uncomfortably, conceded that perhaps presidents could not be held liable for spurring coups or sharing nuclear secrets with foreign governments.

Neither these extraordinary admissions nor a meticulous presentation by Michael Dreeben, who argued against Mr Trump’s plea, deterred the conservative justices from standing up for a robust reading of presidential power. Justices Samuel Alito, Neil Gorsuch and Clarence Thomas all seemed to lean heavily in Mr Trump’s direction, even if not towards a grant of absolute immunity. And Justice Brett Kavanaugh advocated an idea—recently floated in conservative legal circles—that only criminal laws with “a clear statement…referencing the president” can limit a president’s conduct. But only two criminal laws fit that bill, Mr Dreeben said, and so, under Justice Kavanaugh’s reading, “the entire corpus of federal criminal law, including bribery offences, sedition, murder, would all be off limits.”

As Justice William Brennan used to say, with “five votes, you can do anything” at the Supreme Court. Four justices seem intent on giving Mr Trump enough of a win that his election-stealing case will be scuttled. (This would happen if delays—stemming from an instruction to the lower courts to sort out which of Mr Trump’s alleged acts count as private—push the trial’s start past the presidential election in November. If he wins, Mr Trump could end the litigation.) Four more, the quartet of women, seem keen to allow the trial to get started, one way or another. Justice Amy Coney Barrett raised the spectre of letting it begin “immediately” and was the only jurist to broach the elephant in the courtroom: Mr Smith’s “concern for speed”.

That makes Chief Justice Roberts, whose sceptical questions for Mr Dreeben balanced his worries about Mr Sauer’s position, the probable deciding vote. The nuances and divisions revealed in the hearing may make speedy resolution of the case difficult. The ruling could come in a matter of weeks—or might not arrive until the end of June.

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Why the president must not be lexicographer-in-chief

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Who decides what legal terms mean? If it is Donald Trump, God help America

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Inflation rate slipped to 2.1% in April, lower than expected, Fed’s preferred gauge shows

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Inflation rate slipped to 2.1% in April, lower than expected, Fed’s preferred gauge shows

Inflation barely budged in April as tariffs President Donald Trump implemented in the early part of the month had yet to show up in consumer prices, the Commerce Department reported Friday.

The personal consumption expenditures price index, the Federal Reserve’s key inflation measure, increased just 0.1% for the month, putting the annual inflation rate at 2.1%. The monthly reading was in line with the Dow Jones consensus forecast while the annual level was 0.1 percentage point lower.

Excluding food and energy, the core reading that tends to get even greater focus from Fed policymakers showed readings of 0.1% and 2.5%, against respective estimates of 0.1% and 2.6%.

Consumer spending, though, slowed sharply for the month, posting just a 0.2% increase, in line with the consensus but slower than the 0.7% rate in March. A more cautious consumer mood also was reflected in the personal savings rate, which jumped to 4.9%, up from 0.6 percentage point in March to the highest level in nearly a year.

Personal income surged 0.8%, a slight increase from the prior month but well ahead of the forecast for 0.3%.

Markets showed little reaction to the news, with stock futures continuing to point lower and Treasury yields mixed.

People shop at a grocery store in Brooklyn on May 13, 2025 in New York City.

Spencer Platt | Getty Images

Trump has been pushing the Fed to lower its key interest rate as inflation has continued to gravitate back to the central bank’s 2% target. However, policymakers have been hesitant to move as they await the longer-term impacts of the president’s trade policy.

On Thursday, Trump and Fed Chair Jerome Powell held their first face-to-face meeting since the president started his second term. However, a Fed statement indicated the future path of monetary policy was not discussed and stressed that decisions would be made free of political considerations.

Trump slapped across-the-board 10% duties on all U.S. imports, part of an effort to even out a trading landscape in which the U.S. ran a record $140.5 billion deficit in March. In addition to the general tariffs, Trump launched selective reciprocal tariffs much higher than the 10% general charge.

Since then, though, Trump has backed off the more severe tariffs in favor of a 90-day negotiating period with the affected countries. Earlier this week, an international court struck down the tariffs, saying Trump exceeded his authority and didn’t prove that national security was threatened by the trade issues.

Then in the latest installment of the drama, an appeals court allowed a White House effort for a temporary stay of the order from the U.S. Court of International Trade.

Economists worry that tariffs could spark another round of inflation, though the historical record shows that their impact is often minimal.

At their policy meeting earlier this month, Fed officials also expressed worry about potential tariff inflation, particularly at a time when concerns are rising about the labor market. Higher prices and slower economic growth can yield stagflation, a phenomenon the U.S. hasn’t seen since the early 1980s.

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German inflation May 2025

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19 May 2025, Berlin: Apricots are sold at a greengrocer for 7.98 euros per kilogram. Grapes and papaya are also on offer.

Photo by Jens Kalaene/picture alliance via Getty Images

Germany’s annual inflation hit 2.1% in May approaching the European Central Bank’s 2% target but coming in slightly hotter than analyst estimates, preliminary data from statistics office Destatis showed Friday.

The print compares with a 2.2% reading in April and with a Reuters projection of 2%.

The print is harmonized across the euro zone for comparability.

So-called core inflation, which strips out more volatile food and energy prices, dipped slightly from April’s 2.8% to 2.9% in May. The closely watched services print meanwhile eased sharply, coming in at 3.4% compared to 3.9% in the previous month.

Energy prices fell markedly for the second month in a row, tumbling by 4.6% in May.

Germany’s consumer price index has been closing in on the European Central Bank’s 2% target over recent months, in a positive signal amid ongoing uncertainty about the economic outlook for Europe’s largest economy.

Domestic and global issues have mired expectations for Germany’s financial future.

One the one hand, U.S. President Donald Trump’s tariffs could damage economic growth, given Germany’s status as an export-reliant country, though the potential impact of such duties on inflation remains unclear. But frequent policy shifts and developments have been muddying the picture.

On the other hand, Germany’s newly minted government is starting to get to work and has made the economy a top priority. Questions linger about when and to what extent the new Berlin administration’s policy plans might be realized.

The ECB is set to make its next interest rate decision on June 5, with traders last pricing in an over 96% chance of a quarter point interest rate reduction, according to LSEG data. Back in April, the central bank had cut its deposit facility rate by 25 basis points to 2.25%.

This is a breaking news story, please check back for updates.

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