Key Financial News for Today: Biden Tariffs, Volkswagen Union Vote, United Airlines Earnings, ASML Orders, Tesla CEO Pay Package

President Joe Biden is making waves with his proposal to significantly increase tariffs on steel and aluminum imports from China. The move, which would see tariffs rise from 7.5% to 25%, is aimed at boosting domestic production and attracting workers ahead of the upcoming presidential election. This decision comes as Chinese exports continue to surge, prompting accusations from U.S. Treasury Secretary Janet Yellen of unfair trade practices.

In Tennessee, Volkswagen workers are facing a pivotal decision as they begin voting on whether to join the United Auto Workers union. A victory for the union at Volkswagen’s Chattanooga plant would mark a significant milestone, as it would be the first contract at a foreign-owned auto-manufacturing facility in the U.S. The outcome of this vote will be closely watched, especially given the strong anti-union sentiment in the state.

On the corporate front, United Airlines is soaring in premarket trading after reporting better-than-expected earnings for the first quarter. Despite challenges with Boeing, including a temporary grounding of Max 9 jets, the airline managed to exceed Wall Street’s expectations and issue upbeat guidance for the current quarter. This positive performance has driven a 5% increase in United Airlines shares.

However, not all companies are experiencing such success. Dutch chip-gear maker ASML is facing a downturn as its orders disappoint, raising concerns about demand for artificial intelligence (AI) chips. The company reported lower-than-expected orders for the first quarter, leading to a nearly 5% drop in its shares in premarket trading. This news has cast a shadow on the outlook for AI chip demand and raised questions about the future of the industry.

Meanwhile, Tesla shareholders are gearing up for another vote on CEO Elon Musk’s $56 billion compensation package. This comes after a Delaware court challenged the package earlier this year. In addition to the compensation vote, Tesla will also be calling a vote on moving the company’s state of incorporation from Delaware to Texas. Despite these developments, Tesla shares remained relatively unchanged in premarket trading.

Overall, U.S. stock futures are on the rise as investors focus on corporate earnings and brush off comments from Federal Reserve Chair Jerome Powell about higher interest rates. The news of Biden’s tariff proposal, the union vote at Volkswagen, the strong performance of United Airlines, the struggles of ASML, and the upcoming Tesla shareholder votes are all key developments that investors need to keep an eye on today.