☕ The Pentagon Leaks, Explained

Good morning!

It’s not often I get totally fixated on a news story - my job here is to brief you on what’s going on as fast as I can, so I make sure to get across as much as possible.

But this morning was different, after I read that scientists have discovered “the strongest evidence to date” of possible life beyond our solar system. Yep, read that again.

Alright, so it’s not quite as dramatic as the headlines infer (the media, huh!) - scientists have discovered a ‘possible biosignature’, not an actual living organism. As premature as it may be to declare we aren’t alone in the galaxy, something tells me I’ll be doing a bit more of a deep dive into this piece later today.

Now, here’s the news from earth.

I’ve got 30 seconds

Some headlines from this morning:

• Chinese retail giants Temu and Shein have announced price increases for U.S. customers after President Trump closed a legal loophole that enabled the companies to import most of their goods tax-free. The retailers were exploiting the "de minimis" loophole, which previously exempted goods purchased for less than $800 from import taxes. President Trump closed the exemption via executive order, prompting Temu and Shein to announce price increases from April 25.

• Jerome Powell, the chair of the U.S. central bank, has said recent White House tariffs were "significantly larger than anticipated" and predicted this would likely cause "higher inflation and slower economic growth." The comments mark Powell's first public statement since President Trump's "Liberation Day" tariffs were imposed. The remarks have sent U.S. stocks plummeting, with the top 500 U.S. companies falling 2.2% and tech stocks dropping by 3%. Powell added that the unpredictability of policy, not just the policy itself, contributed to economic uncertainty.

• U.S. Health Secretary Robert Kennedy Jr. has announced an investigation into an increase in autism cases after a Centers for Disease Control report found that 1 in 31 children had been diagnosed with the condition. Kennedy plans to investigate environmental factors he suspects cause autism, describing it as a "preventable disease." Autism experts have praised efforts to further understand the condition but pointed to existing evidence that indicates genetic factors, not environmental conditions, are the primary cause of autism.

• President Trump has asked the U.S. tax office to remove Harvard University's tax-exempt status, following through on a threat he posted on social media earlier this week. The move is part of an ongoing conflict between Harvard and the White House, which began when the university refused to meet demands from the Trump administration. The President is not allowed to direct the IRS, which is meant to operate independently from political influence. Critics have said Trump's actions are an inappropriate attempt to use the tax system against political opponents.

I’ve got 1 minute

Governor of California Gavin Newsom has sued the federal government over President Trump's tariffs.

Newsom, who may run for president in 2028, says California has the most to lose from these tariffs because the state relies heavily on international trade.

This is the first time any US state has taken legal action against presidential tariffs.

What is the lawsuit?

The lawsuit challenges tariffs Trump imposed using emergency powers, including 25% tariffs on some Canadian and Mexican goods, 145% tariffs on Chinese products, and 10% tariffs on all other imports.

Trump used the International Emergency Economic Powers Act, which gives presidents special authority during national security threats.

Trump justified these tariffs by pointing to America's trade imbalance, drug trafficking, and the need to boost U.S. manufacturing.

Newsom's lawsuit claims the president can freeze foreign transactions under this law but cannot impose tariffs – arguing that power belongs to Congress alone.

Why California?

California launched the lawsuit because it's America's largest importing state and the world's fifth-largest economy.

The tariffs could add billions in extra costs for California businesses and consumers.

California also exports many agricultural products, including 80% of the world's almonds, and claims the tariffs will create harmful economic uncertainty.

Response

The White House dismissed the lawsuit, saying they remain focused on the "national emergency that’s decimating America's industries."

A White House spokesperson criticized Newsom, suggesting he should concentrate on California's problems like "crime, homelessness, and unaffordability" instead.

This legal challenge continues Newsom's pattern of opposing White House policies. He recently asked other nations not to apply retaliatory tariffs to California and launched tourism campaigns targeting Mexico and Canada.

I’ve got 2 minutes

A Department of Defense investigation into recent Pentagon leaks has led to the suspension of three top officials.

On Tuesday, two senior advisors to Defense Secretary Pete Hegseth were placed on leave. A third official, the chief of staff to the deputy Defense Secretary, was escorted from the Pentagon on Wednesday.

The leaks and suspensions have intensified Democrats’ calls for Hegseth to resign, following his sharing of military plans in a group chat on the public app Signal last month.

Investigation

The Pentagon launched an investigation on March 21 into “unauthorized disclosures of national security information” involving senior defense officials.

A memo said polygraph tests may be used to find those responsible for the leaks.

The Pentagon hasn’t confirmed which specific leaks are under review, reports suggest they include an abandoned plan for Elon Musk to join a national security meeting on China and a pause in intelligence sharing with Ukraine.

Other leaks reportedly under investigation include Pentagon plans for Panama Canal military operations and the deployment of a second aircraft carrier to the Red Sea.

The investigation memo requires findings to be reported directly to Hegseth, and states that anyone found leaking information will face law enforcement action.

Who is getting suspended?

Dan Caldwell, a senior advisor to Hegseth and military veteran previously working for a conservative think tank, was the first to be placed on administrative leave.

Caldwell played a key role in Hegseth's team and was identified in last month's Signal chat leak as the primary contact for planning US strikes on Houthi targets in Yemen.

Darin Selnick and Colin Carroll were placed on leave Tuesday and Wednesday. Selnick, an Air Force veteran, serves as chief of staff to the deputy Defense Secretary, while Carroll, a Marine veteran advising Hegseth, previously worked for AI defense tech firm Anduril Industries.

Investigators say more suspensions may follow, though the suspended officials’ roles in the leaks remain unclear.

Will Hegseth resign?

Neither the White House nor the Department of Defence has commented on the suspensions, first reported by Reuters and Politico.

A New York Democrat has called for Hegseth’s resignation, describing the suspensions as “the second major breach of classified information by the most senior political appointees” during Hegseth’s two-month leadership at the Pentagon.