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Trump Faces Emboldened Xi in China | Balance of Power: Early Edition 5/12/2026, Sonic AI
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Trump Faces Emboldened Xi in China | Balance of Power: Early Edition 5/12/2026
Balance of Power
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May 12, 2026
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43:01
Interview
Trump Faces Emboldened Xi in China | Balance of Power: Early Edition 5/12/2026
From
Balance of Power
Joe Matthew, Kayleigh Lines
(host)
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Executive Summary
President Trump is traveling to Beijing for a summit with Chinese President Xi Jinping, with discussions on trade, tariffs, and Taiwan overshadowed by an ongoing war with Iran.
The conflict with Iran is a primary driver of surging energy costs (WTI crude >$101/barrel), which contributed to a hot 3.8% CPI print, complicating the Federal Reserve's policy outlook.
is perceived to have weakened diplomatic leverage with China due to its preoccupation with the Iran conflict, potentially emboldening Xi Jinping in negotiations.
Domestically, the administration is navigating significant regulatory shifts, including the confirmation of Kevin Warsh to the Federal Reserve Board and the expected resignation of the FDA Commissioner.
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