Good morning. It’s getting even pricier to rent a place in Manhattan. The population of New York City grows again, thanks to international arrivals. And why Donald Trump’s plan to end taxes on tips may misfire. Listen to the day’s top stories.

Manhattan apartment rents soared to a record high in February amid intense competition that saw bidding wars in a more than a quarter of all deals. The median cost of a new lease is now $4,500. It probably isn’t helping that New York City’s population is growing again, thanks in part to international arrivals—a trend that’s likely to be tested by Donald Trump’s threatened immigration crackdown.

Brace for a shutdown. Senate Democratic leader Chuck Schumer said his party would block a Republican spending bill to avert a government shutdown on Saturday and urged the GOP to accept a Democratic plan to provide funding through April 11 instead. The move escalates the ongoing high-stakes game of chicken between the two parties. Here’s why last-minute funding fights have become routine in Washington.

The crew en route to launch complex 39A at the Kennedy Space Center in Cape Canaveral, Florida, on March 12. Photographer: Gregg Newton/AFP/Getty Images

SpaceX postponed the launch of a new crew to the International Space Station in a mission that would pave the way for the delayed return of astronauts Suni Williams and Butch Wilmore. They’ve been up there since June after NASA declared that it was too risky to bring them home on a Starliner spacecraft as planned, sparking a political war of words. 

Stocks have already come down to earth, but the worst of the US equity correction may be over, according to JPMorgan. Futures don’t appear to be listening, with S&P 500 contracts pointing to a lower market open as government-shutdown risks added to trade war jitters. Global investors are finding better value in China and Hong Kong than in the US, asset manager Amundi said.

Vehicle and truck crossings at the US-Canadian border in western New York are down 13% this year. It’s the latest evidence that Canadians are cutting back on US shopping trips to load up on cheap milk and shop at retailers like Target and Trader Joe’s since Trump took office and began threatening tariffs and disparaging their country.

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Deep Dive: Unexpected Tax Consequences

Photographer: Mandel Ngan/Getty Images

Trump’s “No Tax on Tips” election pledge risks backfiring for the working class.

• Now he’s back in the White House, Trump faces the challenge of turning his slogan into a section of the Internal Revenue Code. It won’t be easy—nothing can set off a chain of unintended consequences quite like revising tax rules.
• Millions of Americans who expect to benefit from exemptions for tips or overtime could end up sorely disappointed. The breaks would almost certainly apply only to income taxes, leaving high-earning tipped and overtime workers as the biggest potential winners—and even they may be left out.

The Big Take

Donald Trump and Vladimir Putin shake hands before a meeting in Helsinki, on July 16, 2018. Photographer: Brendan Smialowski/AFP/Getty Images

As Trump signals a warmer relationship with Russian President Vladimir Putin and a peace deal comes into focus, optimistic investors and businesses are eyeing opportunities in the Russian market. But the country is still a risky bet.

Opinion

Inflation has long since ceased to be the serious issue that plagued the US in 2022, John Authers writes. But the latest numbers still aren’t good enough to allow the Federal Reserve’s rate cutting cycle to continue—something markets have quickly worked out.