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Trump’s plan to enlist Elon Musk began at Lubavitcher Rebbe’s grave

Trump wth Howard Luttnick at the Lubavitcher Rebbe's grave on October 7, 2024

In podcast interview, Commerce Secretary Howard Lutnick recalled the visit, which occurred on the anniversary of the Oct. 7 Hamas attack on Israel

By Jacob Kornbluh “This story was originally published in the Forward (Click here to get the Forward’s free email newsletters delivered to your inbox.”)


President Donald Trump first discussed the idea to enlist Elon Musk to lead the Department of Government Efficiency, also known as DOGE, after a visit to the Lubavitcher Rebbe’s grave on Oct. 7, 2024, the anniversary of the Hamas attack on Israel.
Trump drove to and from the New York City gravesite, known as the Ohel, with Howard Lutnick, the eventual pick for commerce secretary. During the car ride, the two discussed ways to balance the U.S. budget. “I’m going to go recruit Elon,” Lutnick told Trump. “I don’t know Elon, but he’s perfect for this.”
A week later, Lutnick flew to Texas, where he met with Musk for two hours. Musk told Lutnick he wanted to cut 80% of the federal workforce, similar to what he had done at Twitter when he acquired the social media platform.
We’re going to name it DOGE,” said Lutnick, who said he already registered the name. Lutnick recalled the story on a recent episode of the All-In podcast.
Musk told Fox News last week that he intends to cut $1 trillion from the U.S. deficit and wrap up his work with DOGE by the end of May.

Pretty cool’ way to get Orthodox votes
In the interview, Lutnick also said that Trump believed he’d secure tens of thousands of Orthodox votes in New York by visiting the gravesite.
“You know, the people who wear black hats think he’s the Messiah,” Lutnick said, referring to a movement that believes Rabbi Menachem Mendel Schneerson, who died in 1994, is the messiah. The Chabad-Lubavitch leadership has long rejected such claims.
“They have a crypt for him where you write a note and you put a note in,” Lutnick said. “And so we agreed we’d go out to that grave site, and we would probably win 60,000 of those kinds of voters, which is pretty cool.”
Post-election polls showed Trump and Republican candidates increased their support in New York’s key swing districts with sizable Jewish populations. In Crown Heights, the worldwide headquarters of Chabad-Lubavitch, Trump received 65% of the vote.
The gravesite in Queens has become a popular pilgrimage point for followers of the Chabad-Lubavitch movement and the broader Jewish community, as well as politicians from all sides of the political spectrum.
Wearing a yarmulke and standing beside the grave alongside Chabad representatives, relatives of American hostages and Lutnick, Trump recited a chapter of Psalms, placed a note on the grave and laid a small stone on the headstone. He also lit a memorial candle to honor the Oct. 7 victims.
In 2016, Trump’s daughter Ivanka and her husband, Jared Kushner, prayed at the Ohel on the weekend before the election.

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Federal Funding for Trump’s Ballroom in Jeopardy After Senate Ruling

Aerial view from the top of the Washington Monument shows construction crews as they continue site preparation for a planned White House ballroom in the area of the former East Wing in Washington, D.C., U.S., May 2, 2026. Photo: REUTERS/Ken Cedeno

A US Senate official on Saturday removed security funding that could be used for President Donald Trump’s planned White House ballroom from a massive spending package, Democratic lawmakers said, imperiling Republican efforts to devote taxpayer money to the contentious project.

The decision by the Senate’s parliamentarian, Elizabeth MacDonough, deals a blow to Trump and his administration, which has sought the money for security purposes related to the ballroom.

Trump has said the construction of the ballroom would be funded by $400 million in private donations. But Senate Republicans are seeking $1 billion in taxpayer funding to the Secret Service for security upgrades to the ballroom and other structures being built beneath it.

FRIVOLOUS DIVERSION OR NECESSARY MODERNIZATION?

Democrats have criticized the ballroom as an expensive and frivolous diversion by Trump at a time when Americans face rising costs such as higher fuel prices. Trump, a real estate developer-turned-politician, has written on social media that it will be “the finest Building of its kind anywhere in the World.”

MacDonough ruled that the security funding provision falls under chamber rules that require 60 votes to pass most legislation, according to the office of Senator Jeff Merkley, the top Democrat on the Senate Budget Committee.

Republicans hold a 53-47 majority in the Senate.

The parliamentarian interprets Senate rules, including whether legislative provisions are permitted. Republican senators still could revise the legislation to try to gain the parliamentarian’s approval.

Ryan Wrasse, spokesman for Senate Majority Leader John Thune, said in a social media post that Republicans would keep trying. “Redraft. Refine. Resubmit,” Wrasse wrote on X.

If Republicans do not succeed, they may be unable to include the ballroom-related funding in a $72 billion spending package they plan to bring to a vote on the Senate floor, with passage expected on a party-line vote with Democrats opposed. The bulk of the legislation is devoted to immigration enforcement.

Republicans have been invoking complex budget rules to try to secure passage without any Democratic support.

“While we expect Republicans to change this bill to appease Trump, Democrats are prepared to challenge any change to this bill,” Merkley said in a statement.

Democrats have opposed funding for Trump’s signature immigration crackdown absent reforms they have sought since federal immigration agents killed US citizens in separate incidents in Minnesota in January.

Republicans have said federal funding for ballroom security is needed to ensure presidential safety, citing an April incident in which an alleged gunman is accused of storming a black-tie media gala in Washington that Trump attended.

The administration has said the ballroom will modernize infrastructure, bolster security and ease strain on the White House, which often relies on temporary outdoor structures to host large events. Trump has said the ballroom will be completed around September 2028, near the end of his second term in office.

Democrats, hoping to win control of Congress in November’s midterm elections, are seizing on Republican support of the ballroom to portray Trump’s party as out of touch with the cost-of-living concerns of Americans at a time of rising energy costs driven by the Iran war he and Israel launched in February.

Trump last year ordered the demolition of the White House’s East Wing – constructed in 1902 during Theodore Roosevelt’s presidency and expanded four decades later during Franklin Roosevelt’s presidency – to ‌make way ⁠for his ballroom.

The National Trust for Historic Preservation, a nonprofit organization, filed a lawsuit challenging the project, arguing that neither the president nor the National Park Service, which manages the White House grounds, possessed the authority to tear down the historic structure or erect a major new facility without explicit congressional approval.

A US appeals court in April allowed construction to continue after the judge handling the National Trust lawsuit issued an order halting the project.

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Bulgaria Wins Eurovision Song Contest, Israel Comes Second Again

Noam Bettan, representing Israel, performs “Michelle” during the Grand Final of the 2026 Eurovision Song Contest in Vienna, Austria, May 16, 2026. REUTERS/Lisa Leutner

Bulgaria won the Eurovision Song Contest for the first time on Saturday in a final overshadowed by five countries’ boycott over Gaza, claiming a dramatic victory despite another big public vote for Israel that again secured it second place.

The garish and usually good-natured competition involving pop acts from countries across Europe and beyond, now in its 70th year, was plunged into crisis by a dispute over Israel’s military offensive in Gaza, a response to the Hamas-led attack on October 7, 2023.

The public broadcasters of heavyweights Spain, the Netherlands and Ireland, as well as Iceland and Slovenia, chose not to take part in protest at Israel’s participation.

Israel has alleged a global smear campaign against it. Its performance at the final was not, however, marred by any obvious protests, unlike Tuesday’s semi-final.

“This is unbelievable. I don’t even know what’s going on right now,” Bulgaria’s entrant Dara told a press conference after winning with her thumping, crowd-pleasing dance track “Bangaranga” that avoided politics altogether.

The song touches on themes of empowerment and surrendering to the night. It also left many puzzled as to its meaning.

“Bangaranga is a feeling that everybody gets in themselves. It’s the moment that you choose to be in love and not fear,” Dara said when asked to explain the song in the “green room” where artists await the results.

“This is a special energy… Once you feel (at) one with nature and your universe, you feel the harmony that you can be whatever you want to be and that everything is possible,” she said.

BOOS WERE HEARD AT ISRAEL’S RESULT

Israel’s effort, trilingual love song “Michelle,” stirred less controversy than its entry last year, which was sung by a survivor of the October 7 attack.

Some booing from the audience was audible when Israel’s massive points haul from the public vote sent it surging up the table from eighth place, similarly to 2025, when it also finished second but much closer to the winner than this year.

Israeli public broadcaster KAN received a formal warning from organizers a week ago over videos posted online in which Bettan courted votes too aggressively, after a similar controversy involving Israel last year.

KAN said it plays by the rules and the videos were immediately taken down.

Finland’s entry, “Liekinheitin,” or Flamethrower, a love song in Finnish featuring violinist Linda Lampenius and pop singer Pete Parkkonen on a burning set, was the favorite this year, followed by Australia’s “Eclipse,” a celestially themed love ballad sung by national pop star Delta Goodrem.

In the end, Australia came fourth and Finland sixth.

ONLY MINOR PROTESTS IN VIENNA

The boycotts cut the number of contest entries to 35, the fewest since 2003, which will almost certainly have reduced the global television viewership of an event that last year was estimated at 166 million people, more than the Super Bowl’s 128 million.

The mood in the Austrian capital has been subdued, with protests over Israel’s participation drawing only small crowds. Police anticipated “blockades and disruption attempts” on Saturday that did not materialize.

There was a brief disruption during Tuesday’s semi-final, when one protester chanted “Stop, stop the genocide” and “Free, free Palestine” within range of a television microphone and was ejected along with three others for disrupting the show.

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Israel’s Economy Shrinks in First Quarter but Seen Rebounding After Iran War

People sit at an outdoor restaurant where Israeli flags are displayed, amid the ongoing conflict between Hamas and Israel, in Tel Aviv, Israel, July 12, 2024. REUTERS/Eloisa Lopez

Israel’s economy began 2026 with a slowdown, hit by war with Iran, but growth is expected to recover as long as the conflict does not reignite.

Gross domestic product contracted at an annualized rate of 3.3 percent in the first three months of 2026, the Central Bureau of Statistics said on Sunday, less severe than a 4 percent drop forecast in a Reuters poll of economists.

Israel’s economy grew 2.9 percent in 2025 and was expected to bounce back in 2026 to more than 5 percent growth after a ceasefire in October ended major fighting in the two-year Gaza war.

But growth took a hit after the US and Israel launched strikes against Iran on February 28, resulting in weeks of ballistic missile fire from Iran that closed schools and dampened business activity along with consumer spending.

“The Israeli economy began the year with strong momentum, with rapid growth in the first two months,” said Ofer Klein, head of economics and research at Harel Insurance and Finance.

“The lifting of most restrictions in April and the improvement in economic activity since then… indicate a relatively quick return to positive growth in the current quarter,” said Klein, who raised his growth estimate for this year to 3.5 percent from 3.2 percent.

The Bank of Israel sees 3.8 percent growth this year, down from a 5.2 percent estimate before the Iran war, depending on whether a ceasefire with Iran holds.

Jonathan Katz, chief economist at Leader Capital Markets, said he expected 4 percent growth.

“This is a modest GDP contraction compared to the second quarter of 2025 – the last Iran confrontation in June of 2025 – when GDP contracted by over 10 percent,” he said, adding that industrial exports bounced back in April.

The statistics bureau reported on Friday that the annual inflation rate held steady at 1.9 percent in April. Some economists believe interest rate reductions could resume as early as May 25, the Bank of Israel’s next rate decision meeting.

Israeli financial markets do not trade on Sunday. The shekel has appreciated 20 percent in the past year to 2.91 per dollar, a 33-year high. Tel Aviv share indices are close to all-time highs reached earlier in May.

In the first quarter, consumer spending fell 4.7 percent, exports declined 3.7 percent and government spending shed 4.8 percent. Investment in fixed assets rose 12.6 percent.

On a per capita basis, the economy shrank 4.5 percent in the quarter.

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