Newsletter May 26, 2021

Democrats and Republicans don't agree on much, but a major microchip shortage just might bring them together to agree on a $52 billion solution.

3 Things

Chipping in: When the chips are down, Democrats and Republicans do see eye to eye on some issues. In this case, the microchip shortage could lead to bipartisan action to the tune of $52 billion.
House Majority Leader Chuck Schumer, D-N.Y., introduced the U.S. Innovation and Competition Act of 2021 as a substitute amendment to the Endless Frontier Act, attracting input from both sides of the aisle on how to deal with a shortage that threatens the US economy.
The two sides are still hammering out the details, but the 20 bipartisan amendments show that both sides are serious about the bill. If passed, the legislation would provide emergency funding to implement the CHIPS Act that was part of the 2020 National Defense Authorization Act â€“ a program that supports legacy chip production for the auto industry, military, and other critical industries.
â€œThis legislation will allow the United States to out-compete countries like China in critical technologies like semiconductors, create good-paying American jobs and help improve our countryâ€™s economic and national security," Schumer said. "...At its core, the U.S. Innovation and Competition Act is about maintaining Americaâ€™s role as the global economic leader. Few issues could be more important.â€
CAN DEMS AND THE GOP COME TOGETHER OVER CHIPS?

Belligerent Belarus: Belarus is facing mounting pressure from the international community to immediately release dissident journalist Roman Protasevich, whose flight was hijacked under the pretense of a bomb threat so the oppressive regime could take him into custody.
Protasevich was charged with organizing mass unrest related to protests against longtime Belarus President Alexander Lukashenko. State TV aired a video of Protasevich giving a coerced confession while his parents made an impassioned plea for their son's release
The international community sounded off like an echo chamber. The UN called for his immediate release, the EU and private airlines suspended flights to, from and through Belarus air space, and US President Joe Biden said he is weighing "appropriate options to hold accountable those responsible" for the violation of international law.
Belarus is closely aligned with Russia and will likely take its cues from Moscow on how to handle the heat. After all, both countries have endured strict sanctions from the West. But the growing pressure, both political and economic, could force even the eccentric Lukashenko to change his tune today when all the world is watching.
WILL LUKASHENKO FOLD TO INTERNATIONAL DEMANDS?

Summertime summit: Belarus is likely to be one of many sticking points up for discussion when Biden and Russian President Vladimir Putin hold their first summit on June 16 in Geneva, Switzerland.
The two sides announced the meeting Tuesday following a series of long diplomatic dialogues to put the world leaders who have been at odds on a long list of topics in the same room to iron out differences.
However, foreign policy experts and both sides admit the summit is likely to serve more as an ice-breaker than to result in any drastic shifts in policy. The US wants to see action on several fronts -- election meddling, computer hacking, territorial disputes -- while Russia's primary interest is the removal of punitive sanctions.
SEE WHAT BIDEN HOPES WILL COME OUT OF THE SUMMIT

Markets

DJIA	34,312.46	-0.24%
S&P 500	4,188.13	-0.21%
Nasdaq Composite	13,657.17	-0.03%
Japan: Nikkei 225	28,648.57	0.33%
UK: FTSE 100	7,029.79	-0.31%
Crude Oil Futures	66.01	-0.09%
Gold Futures	1,903.40	0.28%
Yen	108.74	-0.03%
Euro	1.22	-0.03%
* As of market close

Bitcoin bailout?

Elon Musk, the man with the Midas touch of Twitter, tried to come to the rescue of bitcoin and other cryptocurrencies that have taken a bath over the past week, and he again managed to turn the tide with just one tweet.

The Tesla CEO and self-titled "Master of Coin" offered a potential reversal of Tesla's decision not to accept bitcoin as payment for his company's electric vehicles due to environmental concerns with mining. He revealed that he is in discussions with the mining industry to find solutions.

"Spoke with North American Bitcoin miners," Musk tweeted Tuesday. "They committed to publish current & planned renewable usage & to ask miners WW (worldwide) to do so. Potentially promising."

The message helped bitcoin rally a bit from last week's losses, approaching the $40,000 mark before settling in at around $38,000. Bitcoin lost 30% last week amid Musk's previous proclamation, as well as bad news about crypto from China and the U.S. Other mainstream cryptocurrencies got a bit of a bounce, but will the turnaround last?

FIND OUT WHAT EXPERTS SAY ABOUT A CRYPTO COMEBACK

Legos go global

The latest Lego set is designed with world travelers in mind. And just like the planet we all love to explore, the new Lego Art World Map is HUGE!

Lego announced the release of its largest set yet -- more than 11,000 pieces to fit on the 40.5 x 25.5 inch map. But how else could the toy company do justice to all the wonderful destinations around the globe?

The new set, which is intended to be fun, educational and serve as a Lego lovers' travel log, encompasses the four corners of the planet and everywhere in between so fans can use the snap-on blocks to chart their future courses for adventure or record their past travel experiences.

â€œWe know that our adult fans love to travel, but many havenâ€™t been able to do so for over a year now,â€ one LEGO executive said. "... We hope the Lego Art World Map will inspire new adventures in some, and help others relive and celebrate wonderful travel memories from the past."

FIND OUT HOW TO GET THE LATEST LEGO ART WORLD MAP SET

Pay-to-play holiday

Counting down the days to your Memorial Day weekend getaway? It's also a good idea to add up your travel budget and set aside a little extra as prices for gas, hotels and airfare are set to spike over the holiday.

After a bummer of a summer when COVID canceled countless vacation plans, Americans are ready to hit the road this year. However, they will likely be greeted at the pumps with the highest gas prices since 2014.

AAA said it "expects 37 million Americans to travel, mostly by car and plane, for the Memorial Day holiday weekend. That is a 60% increase over last yearâ€™s holiday and a strong indication that summer travel is going to be largely popular. With the increase in travel demand, gas prices are going to be expensive no matter where you fill up, so plan ahead."

Airfares and hotel rates are also on the rise as traveler demand returns to the highest level it has been since the pandemic hit back in March 2020. It's a high price to pay for a vacation, but worth every penny to escape the boredom of lockdowns and social distancing for the past 15 months.

SEE WHAT EXPERTS ARE SAYING ABOUT HOLIDAY GAS PRICES