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Trump Mulls Drone Strikes on Cartels

The Trump administration is exploring the possibility of using drone strikes against drug cartels in Mexico, according to multiple US officials familiar with the discussions. These deliberations, which remain in early stages, are part of a broader strategy to combat narcotics trafficking across the southern border.

This isn’t the first time President Trump has considered military action against cartels. According to former Defense Secretary Mark Esper’s 2022 memoir, Trump proposed launching missiles into Mexico to “destroy the drug labs” during his first term in 2020. Esper recounts Trump suggesting they could “shoot some Patriot missiles and take out the labs, quietly,” and deny US involvement. The Trump administration denied this account at the time.

Intelligence gathering has already intensified, with US surveillance flights over Mexico collecting data to potentially develop target lists of cartel operatives, vehicles, and infrastructure. These flights are occurring with Mexico’s approval, as confirmed by Mexican President Claudia Sheinbaum.

You can read more on the matter here.

What’s going on?

• Trump Tariffs Put Pharmaceuticals Next In The Crosshairs (theDeepDive)

• Japan, Canada agree to cooperate on market stability (Reuters)

• If Liberals Win, Nearly 1 in 3 Albertans Are Ready To Leave Canada (theDeepDive)

• If Canada wants closer European ties, we need European privacy standards, not American (Globe)

• US Launches 104% Tariffs As China Indicates It Will Raise Tariffs To 84% (theDeepDive)

• ‘Buy Canadian’ movement could add $10 billion annually to Canada’s economy, says BMO economist (TS)

• Trump Reopens Door for Japanese Takeover of US Steel (theDeepDive)

• US government debt sell-off eases after $39bn Treasury auction (FT)

• Kimbal, Elon Musk’s Brother, Calls Out Trump For “Permanent Tax” On US Consumer (theDeepDive)

• GOP Lawmakers Resist Trump’s Pressure on Tax Plan (WSJ)

• China Denies Role in WeChat Campaign Targeting Canada’s Carney (theDeepDive)

• Carney says he was at the table managing crises during Harper years, not Poilievre (Globe)

• India Scraps Gold Deposit Program After Underwhelming Results (theDeepDive)

What’s the latest?

• Layoffs: Several Canadian companies are reporting layoffs and production halts due to uncertainty around U.S. trade policy and new tariffs under President Donald Trump. Stellantis temporarily halted production at its Windsor, Ontario plant, affecting 3,200 Canadian employees and 900 U.S. workers at five supporting facilities. Prepac Manufacturing laid off over 170 workers in Delta, B.C., shifting operations to North Carolina, while Eascan Automation in Winnipeg cut one-third of its staff due to client delays and rising costs — including a 50% spike in aluminum prices. The disruptions highlight the cross-border economic impact of escalating tariffs.

• Keystone Pipeline: The Keystone pipeline was shut down after a leak in North Dakota spilled approximately 3,500 barrels of oil, prompting a force majeure notice from its owner, South Bow Corp. The pipeline, which moves over 620,000 barrels per day and handles up to 15% of Canada’s crude exports to the U.S., may not meet its delivery obligations. The disruption could lead to higher gasoline prices in the near term.

• Economics: Japan and Canada, this year’s G7 chair, agreed to cooperate on stabilizing financial markets amid rising global volatility triggered by U.S. tariffs. U.S. President Donald Trump’s 104% tariff on Chinese imports took effect at midnight, prompting China to retaliate with 84% tariffs on U.S. goods. The result was a market rout, with global stocks dropping, bond prices tumbling, and U.S. Treasuries facing selling pressure. Japan pledged to work with G7 nations and the IMF to help stabilize markets.

• Commodities: Oil prices fell to a four-year low Wednesday, with U.S. crude dropping 4.3% to US$56.98 per barrel, down over 34% from a year ago and more than $20 since January. Brent crude also declined $2.36 to $60.46. The drop followed the implementation of 104% U.S. tariffs on Chinese imports, triggering 84% Chinese retaliatory tariffs and further duties from the EU on $23 billion in U.S. goods. The collapse in oil prices, alongside Delta Airlines pulling its 2025 forecast, signals growing fears of a global recession.

• Business: Alberta raised €1.25 billion (US$1.4 billion) in a euro-denominated bond sale on March 26, excluding Bank of America from the deal for the first time since 2019. Instead, the province used Barclays, RBC, TD, and Germany’s NordLB. The move aligns with Alberta’s new procurement policy favoring Canadian or free-trade-compliant countries, following U.S. President Trump’s tariffs. Bank of America previously underwrote €3.85 billion in Alberta bonds across 2019, 2020, and 2024.

The Alaska Silver Play That Raised $10M Instead of $3M

The stock market and stuff

• Osisko Gold Royalties Sees Attributable Production Fall To 19,014 Ounces In Q1 (theDeepDive)

• Prada cuts Versace purchase price by $200mn after Trump tariffs (FT)

• ‘5 Planes Full of iPhones’: Apple Rushes Shipments to US Ahead of Trump Tariffs (theDeepDive)

• Trump administration backs off Nvidia's H20 chip crackdown after Mar-a-Lago dinner, NPR reports (Reuters)

• Sandstorm Gold Reports Prelim Cash Operating Margin Of $2,507 An Ounce In Q1 (theDeepDive)

In the juniors

• Endeavour Silver Reports Q1 Production Decline With 1.9 Million Silver Equivalent Ounces Produced (theDeepDive)

• Aris Mining Posts Q1 Production of 54,763 Gold Ounces (theDeepDive)

• Freeman Gold Sees Lemhi Project NPV Improve To $648 Million Under Revised PEA Pricing (theDeepDive)

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