Good morning. President Trump played down the possibility of new sanctions on Moscow and said he would know in about two weeks if Russian President Vladimir Putin is committed to ending its war in Ukraine.

“If I think I’m close to getting a deal, I don’t want to screw it up by doing that,” Trump said Wednesday of sanctions, which he has raised in recent days as Russia has waged aggressive attacks on Ukraine.

• The background: Trump has expressed frustration with Putin in recent days, saying he was “playing with fire” as peace talks with Ukraine stalled. Trump over the weekend indicated he was considering sanctions against Moscow. People familiar with the matter said new measures could come as early as this week. 
   
• Talks ongoing: On Wednesday, Foreign Minister Sergei Lavrov said Russia was prepared to meet representatives from Ukraine on June 2 in Istanbul for a second round of direct talks, following a prisoner exchange between the two countries. Trump has been unable to persuade Putin on concessions toward a negotiated peace with Ukraine, and the Russian leader has recently intensified the war, launching its largest-ever drone-and-missile assault on Ukraine earlier this week.
   
• Other geopolitics: Trump pivoted to talking about Iran and Gaza, when pressed for more on the consequences Putin would face for continuing to attack Ukraine. “We’re not happy about that situation,” he said. “I think we’re doing very well with Iran. We’re doing very well with Gaza.”

Also: 

• Germany to Step Up Ukraine Aid as Europe Scrambles to Replace U.S.

Trade court strikes down Trump’s global tariffs.

A federal trade court ruled President Trump didn’t have the authority to impose sweeping tariffs on virtually every nation, voiding the levies that have sparked a global trade war and threatened to upend the world economy.

The decision on Wednesday from the Court of International Trade blocked one of the Trump administration’s most audacious assertions of executive power, under the International Emergency Economic Powers Act of 1977. Shortly after the decision was handed down, lawyers for the Trump administration notified the court they will appeal.

EU aims to cut red tape, boost funding to lure tech startups.

The European Union laid out plans to slash regulation and set up a special fund to attract tech startups as the bloc plays catchup with the U.S. on financing and innovation.

The European Commission, the EU’s executive arm, said regulatory fragmentation across the EU’s 27 countries and inadequate financing were holding back growth for startups. Officials now hope to lower the administrative burden and launch a new fund to make it easier for startups to set up shop in the EU.

• Vice President JD Vance promised a cheering audience of bitcoin enthusiasts on Wednesday that the Trump administration would press ahead with crypto-friendly policies.
   
• President Trump on Wednesday said he would nominate Emil Bove, a top Justice Department official who previously served as his criminal defense attorney, to a seat on a federal appeals court.
   
• A month into negotiations between Paramount Global and President Trump to settle his lawsuit against CBS News, the parties remain far apart on terms.
   
• Federal immigration authorities shouldn’t have revoked the visa of a Russian scientist at Harvard Medical School after she failed to declare frog embryos she was bringing home to her lab, a federal judge in Vermont ruled on Wednesday.
   
• President Trump said he is considering pardoning the men who are serving prison terms for conspiring to kidnap Michigan Gov. Gretchen Whitmer.

From autos to pharma, CEOs navigate tariff impacts.

General Motors Chief Executive Mary Barra said she speaks with the White House regularly, and that tariffs could help U.S. automakers compete with international companies.

In an interview with Editor in Chief Emma Tucker at WSJ’s annual Future of Everything event Wednesday, Barra said that GM — which is facing billions in new tariff costs — is aiming to mitigate the impact on consumers.

Against the backdrop of the rapidly-evolving trade war and tariff-induced economic whiplash, White House Council of Economic Advisors Chairman Stephen Miran joined WSJ’s Nick Timiraos for a conversation about President Trump’s vision for the economy.

• Macy’s to Tackle Tariffs With Some Price Raises, Supply Chain Changes
• General Motors CEO Defends Trump Auto Tariffs
• HP to Raise Prices, Shift More Production Out of China Amid Tariff Pressure

Gazans lining up for food say supplies remain limited.

A new aid system backed by Israel delivered more food in Gaza on Wednesday, but residents who lined up outside the distribution centers complained of limited supplies and disorder, one day after the effort was marred by scenes of chaos and looting.

Thousands of Palestinians desperate for food lined up outside two distribution centers in southern Gaza on Wednesday, despite concerns over security. Large crowds had overwhelmed one of the centers a day earlier and Israeli forces said they fired warning shots outside the compound. As the number of people surged after a slow start, witnesses said there was disorder and crowding as they heard about food running out.

• Israel Says It Destroyed Drones With Lasers
• With Israeli Intel, Lebanon Is Dismantling Hezbollah in the South

• OpenAI led a group of American technology giants that won a deal last week to build one of the world’s largest artificial-intelligence data centers in Abu Dhabi. Behind the scenes, Elon Musk worked hard to try to derail the deal if it didn’t include his own AI startup, according to people familiar with the matter.
   
• Nvidia is facing fresh accusations from U.S. lawmakers that the company is too close to China, criticism that could signal new challenges for the richly valued chip maker.
   
• Tinder, the app that revolutionized online dating for millennials, is falling flat with Gen Z. Its new leader wants to change that. His plan? Shake off Tinder’s reputation as a site to go to mostly for hookups.
   

• E.l.f. Beauty is acquiring Hailey Bieber’s cosmetics and skin-care line, Rhode, for $1 billion. 

• Harvard Business School has revoked the tenure of Francesca Gino, once a star faculty member, after a lengthy university investigation that concluded she engaged in multiple instances of research misconduct.

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