Axios

There's a big shift happening in Big Tech as the AI transition enters a new era.

Why it matters: Investors are changing the way they price these superstar stocks, but judging by what happened in the market Tuesday, they are not totally sure how to do so.

Republicans' massive Medicaid overhaul and rising health costs are forcing state legislatures to begin cutting medical spending for the poor, raise taxes and take other steps to deal with a first-of-its-kind budget squeeze.

Why it matters: State budgets are due to shrink by $664 billion over the next decade because of the cuts in last year's GOP budget law, while medical costs are rising and state tax collections are lagging.

Oil prices could surge to an unprecedented $200 a barrel if the Strait of Hormuz remains closed, analysts warn.

Why it matters: President Trump is weighing ending the U.S. war on Iran without reopening the strait — raising the once-unthinkable prospect that this key energy artery could stay shut indefinitely.

The Supreme Court will hear arguments Wednesday over President Trump's executive order restricting birthright citizenship in a case that could decide who gets to be an American.

Why it matters: A ruling in Trump's favor could reshape America's racial makeup and create a caste system that leaves millions without rights.

JPMorgan Chase chairman and CEO Jamie Dimon told "The Axios Show" that while the ongoing Iran war involves some "short-term risks" for the economy, the country's regime has been a malign actor since its inception.

• "Having those folks, their [grip] on the Strait of Hormuz and funding all these proxy wars — why the Western world put up with these proxy wars for 45 years is kind of beyond me," Dimon told Axios CEO Jim VandeHei.

Why it matters: Those are strikingly hawkish comments from the leader of America's largest bank, making him one of the corporate world's most prominent defenders of a war that currently appears politically unpopular and economically damaging.

President Trump will address the nation on Wednesday evening on the war in Iran, White House press secretary Karoline Leavitt said.

Why it matters: Leavitt's Tuesday evening announcement on X came soon after Trump told reporters at the White House that U.S. forces could leave the Middle East in "two or three weeks."

A group linked to Senate Minority Leader Chuck Schumer is deploying America First-ish rhetoric against Sen. Susan Collins (R-Maine), the GOP's most vulnerable incumbent in 2026, for backing the Iran war.

• "We need that money in Maine, not the Middle East," say a pair of new ads paid for by a 501(c)(4) that's affiliated with the Schumer-linked Senate Majority PAC.

Why it matters: Public support for the Iran war is wavering, and Democrats are trying to turn Collins' support for it into a political liability.

House Speaker Mike Johnson is inching closer to hard red lines on future negotiations over the Department of Homeland Security.

• "They sent us a bill that literally put the number zero in the bill for the funding of border security and customs and immigration enforcement. We can't do that," Johnson (R-La.) said Tuesday on Fox News.
• At the same time, President Trump is weighing whether to use a rare constitutional power to force Congress to return next week, he told the New York Post on Tuesday.

Why it matters: Senate Republicans have already yielded to Dems' shutdown hostage taking on ICE funding, and Trump — who's been all over the place — weakened the GOP's leverage by paying TSA.

Sen. Ed Markey (D-Mass.) is urging federal safety officials to investigate the remote assistance practices of autonomous vehicle companies, accusing them of "a stunning lack of transparency."

Why it matters: Robotaxis and self-driving trucks are beginning to roll out across America, typically with a small army of human overseers working remotely behind the scenes to help them navigate complex scenarios.

A federal judge on Tuesday temporarily blocked President Trump's sprawling plans to build a massive ballroom where the East Wing of the White House once stood.

Why it matters: U.S. District Judge Richard Leon said Trump is the "steward," not the "owner" of the White House, and that the project "must stop until Congress authorizes its completion."