Today in one sentence: Markets fell sharply after Trump escalated his attack on Federal Reserve Chair Jerome Powell, calling him a “major loser” and threatening to fire him unless interest rates are cut immediately; the Supreme Court blocked the Trump administration from deporting a group of Venezuelan migrants under the Alien Enemies Act, stopping what lawyers called a rushed effort to remove migrants without court hearings; Defense Secretary Pete Hegseth shared sensitive details of a Yemen airstrike in a second private Signal chat – this time with his wife, brother, and personal lawyer; a federal judge blocked the Trump administration’s plan to lay off nearly 1,500 employees at the Consumer Financial Protection Bureau; a leaked draft executive order shows the Trump administration is considering a major overhaul of the State Department, including cutting bureaus focused on climate, refugees, and human rights, and shutting down many U.S. embassies in sub-Saharan Africa; and the Trump administration removed federal COVID-19 resource sites and replaced them with a White House webpage promoting the lab leak theory as the “true origins” of the pandemic.

1/ Markets fell sharply after Trump escalated his attack on Federal Reserve Chair Jerome Powell, calling him a “major loser” and threatening to fire him unless interest rates are cut immediately. The S&P 500 dropped 2.4%, the Nasdaq fell 2.5%, the Dow lost nearly 1,000 points, and the dollar hit a three-year low. “Unless Mr. Too Late, a major loser, lowers interest rates, NOW,” Trump said, adding, “If I want him out, he’ll be out of there real fast, believe me.” Economic adviser Kevin Hassett confirmed the White House is studying “whether Powell can be removed,” despite legal limits and Powell’s repeated assertion that “we’re not removable except for cause.” The law doesn’t clearly allow a president to remove a Fed chair over policy disputes, and legal scholars say any attempt would likely trigger a constitutional challenge. The Fed last cut rates in December, but Powell has warned last week Trump’s trade war is “highly likely” to raise inflation and slow growth, undermining the case for new rate cuts. “Preemptive cuts are being called for by many,” Trump claimed, without evidence. Nevertheless, Hassett said the Trump administration will “continue to study” Powell’s removal, while investors and analysts warned that the “risk to Fed independence is negative for all major U.S. asset classes.” (NBC News / New York Times / Washington Post / Bloomberg / Bloomberg / Bloomberg / The Hill / CNBC / Wall Street Journal)

2/ The Supreme Court blocked the Trump administration from deporting a group of Venezuelan migrants under the Alien Enemies Act, stopping what lawyers called a rushed effort to remove migrants without court hearings. The Saturday night emergency order came after detainees were reportedly “already being loaded on to buses, presumably headed to the airport,” according to the ACLU. “These men were close to spending their lives in a horrific foreign prison without ever having had any due process,” attorney Lee Gelernt said. Justices Thomas and Alito dissented, with Alito saying he would explain his position later. The Trump administration, which has denied doing anything wrong, asked the Court to lift the pause and claimed the filings were “premature.” (Washington Post / New York Times / Wall Street Journal / Slate / Associated Press / NBC News / Politico / NPR)

3/ Defense Secretary Pete Hegseth shared sensitive details of a Yemen airstrike in a second private Signal chat – this time with his wife, brother, and personal lawyer. Trump, however, dismissed the issue of Hegseth disclosing war planning and combat operations to civilians as “a waste of time,” adding: “Pete’s doing a great job. Ask the Houthis how he’s doing.” Hegseth, meanwhile, didn’t deny the leak but instead called reporters “hoaxsters” and blamed “anonymous smears” from aides he recently fired. The White House called reports that it is searching for Hegseth’s replacement “fake news.” Elsewhere, former officials described the Pentagon as “in meltdown,” while lawmakers have called for Hegseth’s removal. (New York Times / NPR / CNN / NBC News / Wall Street Journal / Associated Press / Politico / Washington Post / ABC News / The Hill / New York Times)

  • 📌 Day 1525: Top Trump administration officials planned military strikes on Yemen in an unclassified Signal group chat that accidentally included The Atlantic’s editor-in-chief. The group, which included Defense Secretary Pete Hegseth, National Security Adviser Mike Waltz, and JD Vance, exchanged detailed plans including “targets, weapons, and attack sequencing.” Hours before the attack, Hegseth claimed “We are currently clean on OPSEC.” Vance appeared to question the decision, writing, “I am not sure the president is aware how inconsistent this is with his message on Europe right now,” before backing down. Stephen Miller responded: “The president was clear: green light.” The White House confirmed the messages were real, but downplayed the breach, calling the episode “a demonstration of […] deep and thoughtful policy coordination.” National security lawyers, meanwhile, called the use of Signal for classified discussion a likely violation of the Espionage Act and federal records law. Despite that, Trump claimed ignorance: “I don’t know anything about it.”

4/ A federal judge blocked the Trump administration’s plan to lay off nearly 1,500 employees at the Consumer Financial Protection Bureau. Judge Amy Berman Jackson said the move could “decimate the agency” and ordered a hearing for April 28 to determine whether the layoffs were legal. Jackson said the CFPB appeared to be “thumbing their nose” at both her court and an appeals court that had required individual evaluations before any firings. (NPR / CNN / Associated Press / ABC News)

5/ A leaked draft executive order shows the Trump administration is considering a major overhaul of the State Department, including cutting bureaus focused on climate, refugees, and human rights, and shutting down many U.S. embassies in sub-Saharan Africa. Secretary of State Marco Rubio, however, called the draft “fake news,” and the State Department said the reporting was “entirely based on a fake document.” (New York Times / NBC News / Bloomberg / The Guardian)

The midterm elections are in 561 days.

✏️ Notables.

  1. Trump replaced acting IRS Commissioner Gary Shapley days after appointing him, following a dispute between Treasury Secretary Scott Bessent and Elon Musk. Bessent said Shapley was installed without his approval, reportedly at Musk’s direction, and named Deputy Treasury Secretary Michael Faulkender as the new acting head. The IRS has now gone through three commissioners in a week. (ABC News / Bloomberg / NBC News / New York Times)

  2. The FDA failed to warn the public about a deadly E. coli outbreak tied to romaine lettuce that sickened at least 89 people across 15 states and killed one. The agency closed the investigation in February without naming the grower or processor, claiming there was no longer “actionable advice” for consumers. Days later, the FDA suspended key food safety quality checks after mass layoffs at the Department of Health and Human Services. Food safety advocates say the agency is now withholding critical information and losing the ability to prevent future outbreaks. (NBC News / Reuters / CBS News)

  3. Health Secretary Robert F. Kennedy Jr. will order U.S. food companies to phase out eight synthetic food dyes by the end of 2026. The dyes, derived from petroleum, are used in products like cereals and sports drinks. Research linking synthetic food dyes to health issues remains limited and inconclusive, but some studies suggest a possible connection to hyperactivity and behavioral problems in children. (New York Times / Bloomberg)

  4. The Trump administration removed federal COVID-19 resource sites and replaced them with a White House webpage promoting the lab leak theory as the “true origins” of the pandemic. Covid.gov and CovidTests.gov now redirect to a page that claims, without evidence, that the virus came from a Wuhan lab and accuses the Biden administration of covering it up. The U.S. intelligence community remains divided on the origins of COVID-19, with the CIA recently backing the lab origin theory with “low confidence” while other agencies continue to lean toward natural transmission from animals. ​The scientific community has also not reached a consensus on the virus’s origins. While the site offers no testing, vaccine, or treatment information, it attacks Anthony Fauci, the World Health Organization, and pandemic safety measures like masking and social distancing – despite the fact that many of these same policies were initiated under Trump’s own administration. In 2020, Trump himself endorsed social distancing and declared a national emergency, while the CDC under his administration recommended mask use in public. (NPR / Associated Press / Axios / New York Times / CBS News)

  5. The White House is weighing cash bonuses, fertility education programs, and other pro-family benefits to raise U.S. birthrates. Proposals pitched to Trump aides include a $5,000 “baby bonus” for married parents, federal funding for menstrual cycle tracking classes, and reserving fellowships for married applicants or parents. But Trump has taken credit for overturning Roe v. Wade, tried to dismantle the Affordable Care Act, and repeatedly proposed cuts to programs that directly support women and families, including Medicaid, the Children’s Health Insurance Program, Head Start, and maternal health services like newborn screenings and data collection. He has also backed efforts to defund reproductive health programs. (New York Times)

⏭️ Notably Next: The Supreme Court appears likely to uphold the Affordable Care Act’s preventive care coverage mandate. (Associated Press)

Three years ago today: Day 457: "A critical window."
Four years ago today: Day 92: "An American achievement."
Five years ago today: Day 1188: "A new way of living."
Eight years ago today: Day 92: Ridiculous standard.