Xi’s good week

US leaks and visits by Lula and Macron have made a good week for Xi [View in browser]( [Bloomberg]( Whatever else the Pentagon leaks may eventually turn up, they expose two realities about US intelligence gathering that China must be relishing. The first is that Washington has no qualms about the targets of its spying, whether it be adversaries or allies. The second, painfully demonstrated by the dump of classified documents on a gaming site, is that the proceeds of that surveillance, even after the WikiLeaks and Edward Snowden revelations, are still incredibly badly guarded. While neither takeaway should surprise cynical onlookers, the drip-feed of embarrassing revelations still represents a very public own-goal by the US in the eyes of the world. Key reading: - [Xi Hosts Brazil’s Lula in Diplomatic Push for Ukraine Cease-Fire]( - [France’s Macron Defends Stance on US, China After Backlash]( - [All We Know About the Leak of Classified US Military Documents: Q&A]( - [Lula to Visit Huawei Site in Shanghai, Potentially Irking US]( - [China Exports Unexpectedly Rise in Positive Sign for Economy]( The disclosures were just the start of a strong seven days for Chinese President Xi Jinping. The weekend brought Emmanuel Macron’s comments on the need for Europe to forge its own path independent of the US, while casting doubt on aiding Taiwan in the event of conflict with Beijing. Even leaving aside the merits of his argument, the French president’s remarks revealed fresh European divisions over attitudes to both the US and China. Today it’s Brazilian President Luiz Inacio Lula da Silva’s turn to thumb his nose at Washington, as he visits US-sanctioned Huawei Technologies before a meeting with Xi in Beijing tomorrow, when the two will discuss a proposal to achieve a cease-fire in Ukraine — an effort dismissed by the US. Unlike Macron’s pretensions to speak for Europe, Lula does have a claim to represent Latin America as the leader of its biggest economy, and by extension, the Global South. He’s made clear that he won’t meekly follow the US line on Russia or China. That’s a win for China’s president. As he basks in new figures showing the economic outlook improving, Xi can reflect on a pretty good week in his standoff with Washington. — [Alan Crawford]( Xi and Macron in Beijing on April 6. Photographer: Ludovic Marin/Getty Images Click [here]( to listen to our Twitter Space discussion on President Joe Biden’s trip to Ireland, what it means for the “special relationship” with the UK and for Northern Ireland’s troubled politics. Coming Soon: Understand power in Washington through the lens of business, government and the economy. [Sign up now]( for the new Bloomberg Washington Edition newsletter delivered weekdays. And if you are enjoying this newsletter, sign up [here](. Global Headlines Putin’s advantage | The decision by an empowered OPEC+ led by Saudi Arabia and Russia to cut crude output this month has the potential to cause all [kinds of trouble]( for the US economy — and Biden’s reelection campaign. The rise in prices it sparked heightens recession risks and gives Russian President Vladimir Putin a bigger war chest to fund his attack on Ukraine. - Putin personally approved the [arrest]( of Evan Gershkovich, sources say, in the first detention of a US reporter on espionage charges since the Cold War. - Get more of our rolling coverage of the war in Ukraine [here](. Abortion fight | A federal appeals court partly granted the Biden administration’s request to put [on hold]( a Texas ruling overturning FDA approval of the abortion pill — the most popular method for terminating a pregnancy in the US. It’s become a prime target for abortion opponents since the Supreme Court overturned Roe v. Wade in June. Americans increasingly see China as an “[enemy](” of the US rather than a competitor, reflecting growing public skepticism over the ability for the world’s two largest economies to cooperate, according to a Pew Research Center survey. The report also highlighted worries about Xi’s relationship with Putin and the war in Ukraine. Decision time | French unions are holding strikes again today against Macron’s pension reform ahead of a [key decision]( tomorrow on the law’s constitutionality. The nine-member Constitutional Council said it will rule on the plan and an opposition-backed request to put the proposal to a referendum. Best of Bloomberg Opinion - [Ukraine’s Spring Offensive Just Got Harder: Andreas Kluth]( - [Biden’s Irish Celebration Has an Unsung Hero: Matthew Brooker]( - [An Epic of Incompetence — and Redemption?: Adrian Wooldridge]( Missile alert | Japan’s alert today to people on the northern island of Hokkaido to evacuate because of an approaching North Korean missile touched off a social media storm, with posts trending on Twitter such as “where in Hokkaido?” and “too broad.” The warning, lifted 20 minutes after it was issued, was [another embarrassment]( for the J-Alert system that’s been plagued by false alarms and messages delivered too late. Explainers You Can Use - [Macron’s ‘Startup Nation’ Becomes a Haven for Battered Crypto]( - [Biden Investment Pledge Is No Fix for Sunak’s N. Ireland Problem]( - [New Zealand Government Revamps Planned Water Reforms]( Milk trouble | Milk is ubiquitous in India — from the morning glassful that most middle class school kids drink to its use in Hindu religious rituals. Now it could become a [headache]( for Prime Minister Narendra Modi’s government as prices soar. A mix of factors is at play — a jump in the cost of cereals has made cattle feed more expensive coupled with lower dairy yields as cows were inadequately fed when the pandemic ruptured demand. An man pours milk while making tea at a restaurant in Tamil Nadu. Photographer: Dhiraj Singh/Bloomberg Tune in to Bloomberg TV’s Balance of Power at 5pm to 6pm ET weekdays with Washington correspondents [Annmarie Hordern]( and [Joe Mathieu](. You can watch and listen on Bloomberg channels and online [here](. News to Note - Sudan’s army accused the country’s most powerful militia of [threatening]( national security by deploying troops in the capital, Khartoum, and other cities, ratcheting up fears of all-out conflict between the rivals. - California’s [Dianne Feinstein]( is the longest-serving woman in US Senate history. Now, as the 89-year-old battles health troubles some of her colleagues want her gone. - Prime Minister Giorgia Meloni extended her [revamp]( of Italy’s economic and business elite as her government replaced leaders at some of its biggest state-controlled enterprises. - The World Bank arm that helps the poorest countries plans [more concessional loans]( and grants to nations facing higher risks of debt distress, a move that could end the impasse hindering the restructure of debt held by low-income nations. - Ecuador is in talks with the International Monetary Fund for a [credit line]( of as much as $1 billion after the nation was hit by an earthquake, flooding and a landslide in recent weeks. And finally ... Argentina’s [record drought]( is worsening inflation, undermining economic growth and sending the peso to new lows ahead of October presidential elections that could portend a dramatic swing in the country’s political direction. The dry spell is worsening an economic situation that has spurred inflation past 100%, while failed crops are likely to trigger economic effects across the globe. A farmer holds a dried soybean plant in San Jose de la Esquina, Argentina, on April 6. Photographer: Natalia Favre/Bloomberg Follow Us Like getting this newsletter? [Subscribe to Bloomberg.com]( for unlimited access to trusted, data-driven journalism and subscriber-only insights. Want to sponsor this newsletter? [Get in touch here](. You received this message because you are subscribed to Bloomberg's Bloomberg Politics newsletter. If a friend forwarded you this message, [sign up here]( to get it in your inbox. [Unsubscribe]( [Bloomberg.com]( [Contact Us]( Bloomberg L.P. 731 Lexington Avenue, New York, NY 10022 [Ads Powered By Liveintent]( [Ad Choices](