President Donald Trump is once again threatening to hit America’s trade partners with steep tariffs, prompting flashbacks to April 2nd. That was the day Mr Trump announced his “Liberation Day” levies, causing stocks to crash and forecasters to predict a recession. But three months on, inflation hasn’t spiked, unemployment is flat and the S&P 500 index is back at all-time highs. We examine how America’s economy has dodged disaster, and what the future might hold. 

Meanwhile, in Washington, the president is about to receive Israel’s prime minister, Binyamin Netanyahu. Mutual back-slapping over their recent attacks on Iran’s nuclear programme may be more whole-hearted if Mr Trump is able to announce a ceasefire in Gaza. But that is not yet a done deal—and it would be only a first step to peace.