Top Overnight News China has exempted some U.S. imports from its 125% tariffs and is asking firms to identify critical goods they need levy-free, according to businesses notified, in the clearest sign yet of Beijing's concerns about the trade war's economic fallout. BBG Apple plans to import most of the iPhones it sells in the US from India by the end of next year, accelerating a shift beyond China, people familiar said. The goal will require Apple to double its India capacity. BBG President Trump signed an executive order boosting the deep-sea mining industry, while the order instructs the Commerce Secretary to expedite permits under the Deep Seabed Hard Mineral Resource Act, as well as instructs the Commerce and Interior Departments to issue a report on opportunities for seabed mineral exploration on the US outer continental shelf. China aims to implement more growth-supporting measures amid rising challenges from hefty U.S. tariffs. The government will seek to coordinate policy measures to support domestic economic aims amid external economic and trade struggles. the government intends to cut interest rates and the amount of cash banks are required to set aside at the central bank, while making full and effective use of existing fiscal and monetary policies, the Politburo said. WSJ Bessent says South Korea trade negotiations are moving along at a faster pace than anticipated. Nikkei US Republicans in Congress are to unveil a $150bln defense spending package including $27bln for Trump’s Golden Dome missile defense and $29bln for shipbuilding. Japan is considering a proposal that would see it boost purchases of US soybeans to compensate for a drop in China demand. Nikkei Tokyo inflation picked up to 3.4% in April, its fastest in two years and supporting the BOJ’s rate-hike stance. BBG A US-India trade agreement under discussion will cover 19 categories, including greater market access for farm goods, e-commerce, data storage and critical minerals, people familiar with the matter said, the first step toward a deal that may help the South Asian nation evade higher tariffs on its goods. BBG UK retail sales unexpectedly rose for a third straight month in March, helped by record-breaking sunshine. But GfK data showed consumer confidence slid to the weakest level in 17 months in April. BBG Russia’s oil producers are drilling at the fastest pace in at least five years, preparing for potential OPEC+ output hikes and possible sanction relief. Activity is more than a third above pre-war levels. BBG Fed's Kashkari (2026 voter) said a resolution of trade frictions would relieve uncertainty and would be optimistic, while he is worried that businesses will resort to layoffs amid uncertainties and noted some businesses say they are scenario planning for potential layoffs if uncertainty lasts although he is not seeing an uptick in layoffs yet. Furthermore, Kashkari said the frequency of announcements out of Washington has created a challenge for policymakers and for everybody.