Today in one sentence: The Federal Reserve held interest rates steady at 4.25% to 4.5%, warning that Trump’s tariffs risk both higher unemployment and higher inflation; House Republicans pushed through a late-night amendment to sell more than 11,000 acres of federal land in Utah and Nevada as part of Trump’s $4.5 trillion tax cut package; House Speaker Mike Johnson dropped two Republican proposals to cut Medicaid after a government report showed they would push up to 10 million people off health insurance; 32 House Republicans warned Republican leaders they will block Trump’s legislative package unless it includes at least $2 trillion in concrete spending cuts; the Trump administration plans to deport undocumented migrants to Libya, a country the State Department describes as plagued by “crime, terrorism, kidnapping and armed conflict; and Trump teased an “earth-shattering” announcement ahead of his Middle East trip next week, but refused to provide details.

1/ The Federal Reserve held interest rates steady at 4.25% to 4.5%, warning that Trump’s tariffs risk both higher unemployment and higher inflation. “It’s really not at all clear what it is we should do,” Chair Jerome Powell said, calling the economic outlook “extremely elevated” in uncertainty. Trump’s 145% tariff on Chinese imports and a universal 10% duty have disrupted trade flows, rattled markets, and complicated the Fed’s efforts to balance price stability with job growth. The U.S. economy contracted last quarter, prompting fears of stagflation. Despite pressure from Trump to cut rates, the Fed signaled no immediate move. Powell said the cost of waiting was “fairly low,” adding that political pressure “doesn’t affect doing our job at all.” (Wall Street Journal / Associated Press / Washington Post / New York Times / CNN / CNBC / Bloomberg / NBC News / Politico / Axios)

  • Trump rejected the idea of lowering tariffs on Chinese imports to jump-start trade talks. “No,” Trump said when asked about pulling back the 145% levies – just before U.S. trade officials traveled to Switzerland for the first in-person talks with China since the tariff hikes. China’s Commerce Ministry previously said the U.S. initiated the outreach, which Trump denied, claiming those saying so should “go back and study their files.” Despite saying he might lower tariffs “at some point,” Trump insisted the U.S. is no longer “losing anything” to China. (Bloomberg / CNN)

2/ House Republicans pushed through a late-night amendment to sell more than 11,000 acres of federal land in Utah and Nevada as part of Trump’s $4.5 trillion tax cut package. The House Natural Resources Committee approved the measure 26–17, with one Democrat voting with Republicans. Meanwhile, Republican Rep. Ryan Zinke called the plan a red line: “It’s a no now. It will be a no later. It will be a no forever.” Zinke, Trump’s first Interior Secretary, said he would urge leadership to drop the provision from the final package. The bill would also expand fossil fuel leasing, cut royalty rates for oil, gas, and coal, and clear the way for faster approvals of mining and drilling projects. Environmental groups accused Republicans of gutting oversight to benefit industry donors. (Associated Press / Politico / Bloomberg / Politico)

3/ House Speaker Mike Johnson dropped two Republican proposals to cut Medicaid after a government report showed they would push up to 10 million people off health insurance. Between the Congressional Budget Office report and swing-district Republicans warning that the cuts would hurt them politically, Johnson said the ideas were likely dead. Rep. Don Bacon, who threatened to oppose the bill, called Republican leaders’ reassurances “a tactic” and accused them of pushing moderates “to the edge of the cliff.” Some Republicans accused Johnson of backing down and warned that without big spending cuts, Trump’s tax plan could fall apart. (New York Times / Politico / Wall Street Journal / Associated Press / Washington Post / The Hill / New York Times)

4/ Thirty-two House Republicans warned Republican leaders they will block Trump’s legislative package unless it includes at least $2 trillion in concrete spending cuts. In a letter to Speaker Mike Johnson and Majority Leader Steve Scalise, the group insisted that “the reconciliation bill must not add to the deficit,” and that any tax cuts beyond projected economic gains “must be offset.” Trump’s allies want $4.5 trillion in tax breaks, but the group said those cuts must shrink unless lawmakers find matching savings. The dispute threatens efforts to renew Trump’s 2017 tax law and finalize a bill before July. (Politico / The Hill / Politico)

5/ The Trump administration plans to deport undocumented migrants to Libya, a country the State Department describes as plagued by “crime, terrorism, kidnapping and armed conflict.” U.S. officials said a military aircraft could carry the first group as soon as this week, but Libya’s two rival governments both denied authorizing the move. The Tripoli-based government called it a violation of sovereignty, and Haftar’s eastern forces said it “violates the sovereignty of the homeland.” The Trump administration has not explained how it would carry out deportations to a country with no functioning agreement in place, while rights groups called the plan dangerous and unlawful. Amnesty International previously described Libyan detention centers as a “hellscape,” citing “widespread practices of arbitrary detention, torture, rape and slavery.” (NPR / New York Times / Reuters / NBC News / The Guardian / CNN)

  • The Trump administration asked Ukraine in January to accept deportees from the U.S. who are not Ukrainian citizens, despite Ukraine being under active attack by Russia and lacking a functioning airport. Kyiv didn’t accept the proposal and there is no sign its government ever seriously considered it. The U.S. also made similar deportation requests to other countries, including Rwanda, Panama, and Uzbekistan, often using incentives or pressure. (Washington Post)

6/ Trump teased an “earth-shattering” announcement ahead of his Middle East trip next week, but refused to provide details. During an Oval Office meeting, Trump said it would not involve trade, characterizing it as “one of the most important announcements in many years.” The timing, however, coincides with the administration’s plan to rename the Persian Gulf to the “Arabian Gulf,” and talks between U.S. and Israeli officials over a temporary U.S.-led administration in Gaza after the war. The proposed transitional government would exclude Hamas and the Palestinian Authority, operate until Gaza is demilitarized, and include other countries and Palestinian technocrats. Iran condemned the potential name change, and Hamas rejected any foreign-led rule in Gaza. (Reuters / CNN / CNBC / New York Post)

The midterm elections are in 545 days.

✏️ Notables.

  1. Voice of America air content from One America News, a far-right network known for promoting false claims about the 2020 election. Kari Lake, a senior Trump adviser overseeing VOA’s parent agency, called the move a “win” for taxpayers and praised OAN as “reliable and credible.” VOA journalists and former officials, meanwhile, condemned the decision, saying it violates the network’s legal mandate for independent, nonpartisan reporting, and “makes a mockery of the agency’s history.” (NPR / Washington Post / The Guardian / The Hill)

  2. The Trump administration shut down a key CDC advisory panel that developed national standards for infection prevention in hospitals. The Healthcare Infection Control Practices Advisory Committee ended on March 31, though CDC members only received notice Friday. The CDC hasn’t said how it will update infection control policies going forward. (NBC News)

  3. The Trump administration ordered U.S. intelligence agencies to increase spying on Greenland. A classified directive issued last week instructed agencies to collect information on Greenland’s independence movement and identify locals who might support U.S. interests. (Wall Street Journal)

Last year today: Day 1204: "Blacked out."
Four years ago today: Day 108: "We have a long way to go."
Five years ago today: Day 1204: "Overly prescriptive."
Six years ago today: Day 838: Privilege.
Seven years ago today: Day 473: Fighting back.