In a surprising Middle East tour, President Trump accepted a plane from Qatar and announced a defense pact with Saudi Arabia, along with lifting US sanctions on Syria. Meanwhile, April’s CPI inflation rose to 2.3%, with core inflation remaining a concern due to rising housing prices and slow declines in non-housing services. Treasury Secretary Bessent urges a debt limit deal by mid-July to avoid a potential default, with market reactions anticipated as the deadline approaches, recalling past near misses in 2011, 2013, and 2023.
