Running for cover

Good morning. Traders are on edge after Wall Street’s latest rout. Apple is said to plan a major software overhaul. And where MrBeast really makes his money. Listen to the day’s top stories.

Wall Street is divided whether the Monday market meltdown represents something more than the short-term pain as flagged up increasingly by President Donald Trump’s team. The difference this time is that it’s hammering the broader market rather than just the megacaps. His allies are using this worrying backdrop to push for a sweeping tax bill as soon as the summer.

Tesla was hit more than most on Monday but got a nice vote of confidence from the commander-in-chief. Trump said he’s going to buy a new Tesla this morning to support Musk, who confessed to struggling a bit running his business at the same time as doing his DOGE work. His next target: entitlement spending, including Social Security and Medicare.

In geopolitics, top US diplomat Marco Rubio downplayed the possibility of a breakthrough in today’s meeting in Saudi Arabia between US and Ukrainian officials, saying talks will instead focus on potential concessions. Trump is said to be sending envoy and real estate bud Steve Witkoff to Moscow this week to meet with Vladimir Putin. Read our explainer on why the US military aid pause is ominous for Ukraine.

In the world of high finance, Citadel Securities hired Scott Rubner from Goldman Sachs to cater to hedge funds and other big traders. Watch him closely—he has turned heads on Wall Street with prescient calls. Rubner correctly predicted a late-summer slump in equities last year. His latest bearish call was last month, when he said buyers were running out of steam.

Expect a message from Apple. The company is preparing one of the most dramatic software overhauls in its history, aiming to transform the interface of your iPhone, iPad and Mac, and spur demand after a sluggish stretch. Oracle could also do with a revival after posting lackluster quarterly results and giving a forecast that fell short of estimates.

Get the inside scoop on all things Apple and consumer tech with the Power On newsletter with Mark Gurman.

Deep Dive: Prices Are on the Rise

Low-income Americans were already struggling with inflation. Now Trump’s tariffs are pushing them to closer to the cliff-edge.

The Big Take

Prospect Capital CEO John F. Barry III’s combative style and indecision have alienated partners as ex-employees describe a toxic culture that’s dragged down the $7.2 billion private credit fund.

Opinion

The Trump administration’s decision to cancel $400 million in grants and contracts with Columbia University fits a pattern of taking unlawful actions without regard for the consequences, Noah Feldman writes. Legal challenges will become almost inevitable, but the threat to academic freedom is real and serious.

Before You Go

Chocolate beats YouTube. MrBeast is making more money from Feastables than from his viral videos. The business generated $250 million in sales last year with a profit of more than $20 million. Over the same stretch, his media business, which includes an Amazon Prime reality show, lost almost $80 million.

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