Good morning. On Fortune’ s radar today:
- Exclusive: Citadel’s Ken Griffin on Trump, Miami, and American politics.
- The markets see signs of hope.
- Is Trump tiring of the war?
- The "mouse jiggler" insider-trading plot.
- Where Fed rate expectations lead, stocks follow.
- Caltech quantum team claims it can break standard encryption.
THE MARKETS
Help us Jerome Powell, you’re our only hope!
Oil prices retreated to $106. The S&P 500 index closed down 0.34% yesterday, but futures were up 0.95% this morning after traders digested Fed chair Jerome Powell’s remarks yesterday in which he asserted that it was premature to draw conclusions regarding the impact of rising oil prices on the economy. This suggests that the Federal Reserve may not feel compelled to raise interest rates to combat inflation spurred by oil prices—an outcome that generally appeals to stock investors. Bonds experienced an uptrend for the same rationale. Asian markets largely declined this morning, while Europe and the U.K. showed positive movement in early trading.
Recommended Video
- Stocks just had their worst quarter in four years, as reported by the Wall Street Journal.
- Crypto is safer than gold? A notable chart from Goldman Sachs illustrates the decline in various assets since the onset of the war through March 27. The highest performing asset? Surprisingly, crypto. That statement might appear erroneous, but it's accurate. Bitcoin prices have remained stable over the past month, while gold—the worst performer—dropped 15% in value following an unsustainable surge.
ONE BIG THING
Exclusive: Citadel’s Ken Griffin won’t bend the knee to Trump
The CEO of Citadel (managing $70 billion in assets) is currently developing a striking 54-story tower designed by Norman Foster on the waterfront in Miami, with an investment of $2.5 billion. This project symbolizes his increasing political clout—Griffin has contributed nearly a quarter of a billion dollars to candidates including Florida Governor Ron DeSantis, and Senators Tim Sheehy (R-Mont.) and Dave McCormick (R-Pa.).
However, one Republican candidate has not benefitted from his generosity: President Trump. In fact, Griffin (whose net worth is $50 billion) has emerged as a distinctive business figure, becoming more vocal and critical of what he perceives as the president’s missteps. Although he endorses certain policies of Trump, the necessity for many executives to seek favor from the White House frustrates him. He views the tariff regime as a catalyst for “crony capitalism,” stating to Fortune’s Shawn Tully that “CEOs have to stomach going to D.C. and sucking up to one administration after another.”
- Nordstrom’s $6.25 billion deal to go private is paying off—and don’t expect an IPO anytime soon —Phil Wahba.
Iran
Trump wants out. Iran says, what talks?
President Trump appears willing to conclude his conflict with Iran even if U.S. forces are unable to reopen the Strait of Hormuz, as reported by the Wall Street Journal. The oil price dipped to $106 per barrel this morning, down from the previous day's peak of just under $116. The president is keen on adhering to his preferred timeline, aiming for the conflict's resolution within six weeks, according to White House insiders. ( Fortune highlighted this six-week timeframe yesterday.
On social media, Trump reiterated threats against Tehran, while simultaneously suggesting a swift end to the conflict. He stated, “The United States of America is in serious discussions with A NEW, AND MORE REASONABLE, REGIME to end our Military Operations in Iran,” on Truth Social yesterday. He emphasized, “Great progress has been made but, if for any reason a deal is not shortly reached, which it probably will be, and if the Hormuz Strait is not immediately ‘Open for Business,’ we will conclude our lovely ‘stay’ in Iran by blowing up and completely obliterating all of their Electric Generating Plants, Oil Wells and Kharg Island (and possibly all desalinization plants!), which we have purposefully not yet ‘touched.’”
- Reality check: Trump has declared the war’s imminent conclusion on 12 different occasions, according to Axios, while Iranian officials have steadfastly maintained that there have been no discussions with the U.S. since the onset of the war. Strikes continue to occur across the region today, which include an Iranian attack on a Kuwaiti oil tanker docked in Dubai.
- War Secretary Pete Hegseth denied a report in the Financial Times alleging that his broker at Morgan Stanley had made contact with BlackRock regarding a multimillion-dollar investment in a defense stock fund before the war. The investment was never executed, according to the FT.
- Energy ‘vulnerable’ India seeks U.S. assistance to enhance oil production and diminish reliance on Russia and the Middle East in light of ongoing geopolitical tensions, as reported by Fortune’s Jordan Blum.
Share this story