Geopolitical Risk Tracker>> Americas Fridays

GEOPOLITICAL RISK + GLOBAL MARKETS

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GLOBAL RISK

Challenging' talks expected as Trump, other G7 leaders meet Talks between U.S. President Donald Trump and other leaders of the world's rich nations at the G7 summit on Friday were expected to be "robust" and "challenging" -Reuters

IN SICILIA>> Britain, Canada, France, Germany, Italy, Japan and the United States

The Shrinking of the Presidency The president of the United States – the position, not the person occupying it – is a pillar of the international order. The US presidency gives direction and guidance to the entire system, a kind of rudder that guides the world toward calm waters or, when necessary, through periods of creative disruption. -Project Syndicate

U.S. RISK

Trump chastises fellow NATO members, demands they meet payment obligations -The Washington Post

Trump still hasn't given allied leaders what they want As the president arrives in Sicily, allies are still wondering how to bridge the gap with the new U.S. administration on climate, trade — and Russia. -Politico

Does Trump Care About Human Rights? The president says his foreign policy is based on “principled realism.” Where’s the principle? -Politico

Senate Panel Approves Stiff Iran Sanctions and Says Russia Is Next The Senate Foreign Relations Committee approved on Thursday the most sweeping sanctions against Iran since the United States and five other nations reached an agreement with Tehran in 2015 to sharply limit that nation’s nuclear capability, and the committee warned Russia that it was almost certain to be the next target. -NYT

Senators make new push to rein in Trump's military powers -Politico

James Mattis, a Warrior in Washington The former Marine Corps general spent four decades on the on the front lines. How will he lead the Department of Defense? -The New Yorker [h/t GBI]

Agencies retool their missions to align with the Trump administration The federal government is undergoing a rebranding under President Trump — although not all at his direction. -Washington Post

U.S. visas issued to citizens of Trump travel ban nations continue to decline The United States issued about 50 percent fewer visitor visas in April to citizens of seven countries covered by President Donald Trump's temporary travel bans than it did in an average month last year, according to a Reuters analysis of preliminary government data released on Thursday. -Reuters

The total number of U.S. non-immigrant visas issued to people from all countries was about 15 percent lower in April compared with the 2016 monthly average.

In blow to Trump, U.S. appeals court refuses to reinstate travel ban -Reuters

AMERICAS

U.S. lawmakers reintroduce bill to end restrictions on Cuba travel A bipartisan group of U.S. senators reintroduced legislation on Thursday to repeal all restrictions on travel to Cuba, this time attracting far more co-sponsors in a sign of growing support for U.S.-Cuban detente even as its future looks uncertain. -Reuters

Protesters Torch Government Building in Brazil Demonstrations against embattled Brazilian President Michel Temer exploded into scenes of violence across the capital city of Brasilia on Wednesday, May 24, 2017. Protesters set fire to the Agriculture Ministry, trashed several government buildings and clashed with police. -Bloomberg

U.S.-AMERICAS || GLOBAL MARKETS IMPACT +

OPPORTUNITY

GLOBAL BUSINESS

Big Payoff After Blackstone Courted a Saudi Prince Mr. Schwarzman’s company, the Blackstone Group, already counted Prince bin Salman’s Public Investment Fund as a major client. But the American financier now had a bold new idea: Court Saudi money to invest in projects like tunnels, bridges, airports and other sorely needed infrastructure improvements, predominantly in the United States. -NYT

Trump Blasts German Carmakers’ U.S. Sales, Threatens Barriers -Bloomberg

California says VW clean car spending plan has shortcomings California regulators said Volkswagen AG's (VOWG_p.DE) spending plan on clean vehicle infrastructure had shortcomings and that it lacked details on how it would help disadvantaged as well as promote hydrogen fuel cell technology. -Reuters

Brazil’s Car Wash Scandal Reveals a Country Soaked in Corruption What may be the largest corruption case in modern history runs deep in Latin America’s largest country. -Bloomberg 

GLOBAL MACRO

Buy? Sell? Politics May Move the Market, but Rarely for Long The United States stock market shuddered last week on a report that President Trump had tried to stop an F.B.I. investigation of his former national security adviser, with the Dow Jones industrials falling 373 points in one day and drawing comparisons to the Watergate-era bear market. -NYT

Services, Investment Make U.S. Growth Less Tepid Than Estimated The U.S. economy’s first quarter wasn’t so miserable after all, as consumption contributed more to growth and business investment was even stronger than thought, Commerce Department data showed Friday. -Bloomberg

Japan's big insurers expand their appetites for U.S. Treasuries -Reuters

Venezuela Secretly Plotted to Sell Banned Syrian Oil to the U.S. -Bloomberg