Here are the most important news items that investors need to start their trading day:
1. Resilient economy
The monthly jobs report out Friday showed a resilient economy, adding 236,000 nonfarm payrolls in March, roughly in line with the Dow Jones estimate for 238,000 jobs. The report from the Labor Department showed the unemployment rate down to 3.5%, bucking expectations it would hold steady at 3.6%. That March job creation "reflects a considerable buffer in the economy to help cushion the impact of an economic slowdown," according to Yung-Yu Ma, chief investment strategist at BMO. He added: "The report is directionally favorable, but not enough to shift the Fed's thinking. ... It's still probably a toss-up as to whether the Fed hikes by another 25 basis points at its next meeting and stands pat; the next set of inflation data will probably be the deciding factor." This week brings the latest reads on the consumer price index and the producer price index – due Wednesday and Thursday, respectively – as well as the start to earnings season. Follow live market updates.
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2. Intel leak
U.S. officials are scrambling to find the source of leaked classified government documents, detailing aid to Ukraine and apparent spying or pressure campaigns against American allies. The new batch of documents was first reported by The New York Times on Friday. There's been some discussion about the documents' authenticity or the possibility that they could have been doctored, with some inaccuracies raising eyebrows. In a statement Sunday, the Pentagon said it was reviewing the validity of the documents, which appear online in hastily taken photographs, and that "appear to contain sensitive and highly classified material." The Pentagon has referred the issue to the Department of Justice, which has opened a criminal investigation.
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3. Abortion battle
The battle over a common abortion pill could be headed to the Supreme Court after a pair of contradictory rulings Friday. In Texas, a federal judge suspended the Food and Drug Administration's approval of mifepristone nationwide citing safety concerns. In Washington state, however, minutes after that ruling was announced, a federal judge issued a preliminary injunction that barred the FDA from "altering the status quo and rights as it relates to the availability of mifepristone" in 17 states and Washington, D.C. The drug was approved by the FDA more than two decades ago. It's used in combination with another drug — misoprostol — and is the most common method to terminate a pregnancy in the U.S., accounting for about half of all abortions. President Joe Biden said Friday his administration would appeal the Texas ruling.
4. Russia bolsters Finnish border
Russia is bolstering air defenses along its the northwest border with Finland after the country officially joined NATO, a Russian air force commander said. Finland's new NATO membership means the Western military alliance now has an additional 830 miles along Russia's border. "In these conditions, the air defense forces are working out issues of protecting the state border in the north-west of the country in accordance with the increased threat level," Russian Lt. Gen. Andrei Demin told state newspaper Red Star in an interview, according to a Reuters translation. Follow live updates from the war in Ukraine.
5. Shanghai Megafactory
Tesla plans to open a new Megafactory in Shanghai to supplement its battery production out of California, the company said Sunday. The electric auto maker aims to start construction of the factory in the third quarter of this year, with production slated to begin in mid-2024 and reach a capacity of 10,000 Megapacks a year. The batteries store energy, help stabilize the power grid and prevent outages. Elon Musk's company currently operates a Megafactory in Lathrop, California, that is capable of producing 10,000 Megapacks units each year, according to the company's website. The announcement comes as the Biden administration works to prioritize U.S. production of electric vehicles and their components with targeted incentives.
– CNBC's Tanaya Macheel, Spencer Kimball, Michele Luhn, Dan Mangan, Natasha Turak, Ashley Capoot and Reuters contributed to this report.
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