DEBBIE ELLIOTT, HOST:
And now to politics. It just took a few months for the bromance between President Trump and Elon Musk to go south. Musk left the White House just 10 days ago in what seemed like a relatively amenable exit. But by Friday, the world's most powerful man and one of its wealthiest were in an all-out flame war. NPR's Ron Elving joins us now. Ron, good morning.
RON ELVING, BYLINE: Good to be with you, Debbie.
ELLIOTT: So what does this extremely public rift mean for things that Musk and the president had promised Americans, and what might be the fallout when the dust has settled?
ELVING: The promises you mentioned were always to be taken with a grain of salt, or maybe a shaker of salt. The $2 trillion in immediate cuts in spending turned into less than 10% of that, if it's even that much. Independent reporting by NPR and others has shown some of the cuts that have been claimed either did not happen or have been offset by other costs. We were also promised the elimination of untold billions in fraud and abuse. But it's hard to see much evidence of that happening either. And as for the personal consequences for these two men, they lose the synergy between Trump's power and Musk's money and those high-tech connections.
Still, at least so far, Musk would seem to be the bigger loser. Even if he keeps all his government contracts and subsidies, he's lost Trump and all that implies. So maybe it was less a relationship than what people call a situationship. But Musk has also been exposed in ways he may not have expected. The reporting on his drug use, for example. That's changed the way many people perceive him, his energy and his behavior.
ELLIOTT: Ron, might any of what we're seeing be theater? Because it seems this split could benefit both men. The president will likely hear less from those in his own party and certainly less from Democrats who were troubled by Musk's involvement in policy. And then Musk, whose company, Tesla, has lost billions in stock value because of his role in the White House, can return possibly now to just running his business, right?
ELVING: Yes. And that's where we were a week ago. Even though Musk had been critical of Trump's big agenda bill already, they at least made it look like an amicable split. There was a gold key to the White House that was given to Musk, and all of that. Now, that does seem to have been theater, but Musk couldn't leave it there. He went on X, saying the mega bill was, quote, "a disgusting abomination," and that Trump should be impeached. That was raising a lot of eyebrows, Debbie, including those of people who suddenly heard Musk saying things they agreed with. But look, in the end, Musk is the bigger loser here. Trump may be bruised, but he'll still get his big agenda bill, the one he calls beautiful. The Senate will be a struggle for him. But in the end, Republicans will do what they do best - circle the wagons around Trump.
ELLIOTT: OK. Let's move on to the economy. President Trump on Friday, once again, pushed for Federal Reserve Chairman Jerome Powell to cut interest rates. Go for a full point is what the president posted on Truth Social. He then followed that up with, quote, "rocket fuel." This was right after another post boasting of great jobs numbers and billions pouring in from tariffs. Why is he pushing so hard for the rate cut?
ELVING: First and foremost, a rate cut of any size would be popular and a huge win for Trump, a win over Powell and the Fed, who he's been pounding on since January. Beyond that, Trump seems more willing to risk an uptick in inflation than a weaker economy. And you can read this jobs report in different ways. Manufacturing jobs were down, for instance. And while the tariffs bring revenue for the government, it's not magic money. It's coming from American importers and consumers. And the CBO says - the Congressional Budget Office says that means more inflation pressure and slower growth.
ELLIOTT: Finally, Ron, President Trump has heard back from both Russia and Iran on what he was hoping to negotiate with them, namely the end of the war with Ukraine and the delivery of a new nuclear deal. Where do things stand there?
ELVING: He is still hoping. And there's every reason for him and the rest of the world to want both, but Trump made some phone calls, and now he's hoping Russian President Putin will agree to a ceasefire with Ukraine and also hoping that Putin will lean on Iran to give up its nuclear weapon ambitions. But so far, it seems the answers are all still no.
We should note that the U.S. was part of a multinational nuclear treaty with Iran before Trump's first term. Trump condemned that deal and pulled the U.S. out of it, even though the U.N. inspectors had said Iran was holding up its end of the bargain. So Trump has a lot invested in this diplomatic effort. No doubt he would appreciate getting a Nobel Peace Prize in his first year back in office. No one really expected him to resolve these crises on Day 1 the way he said he would, but it may be proving even more difficult than he may have imagined.
ELLIOTT: That's NPR's Ron Elving. Thank you so much.
ELVING: Thank you, Debbie. Transcript provided by NPR, Copyright NPR.
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