Hopes for Russia-Ukraine truce falter as Putin shuns Turkey talks

Today’s agenda: UK-EU reset; record “reverse Yankee” deals; Grok’s “white genocide” glitch; Bill Ackman’s Berkshire dream; and England’s driest year this century

Good morning. We start in Turkey, where peace talks between Ukraine and Russia are set to begin today. Here’s what we know.

Vladimir Putin will not attend despite calling for the talks, and is instead sending his adviser Vladimir Medinsky to lead relatively low-level officials. Ukrainian President Volodymyr Zelenskyy had earlier said he was prepared to attend, but only if the Russian leader also showed up. The US is sending secretary of state Marco Rubio and special envoys Steve Witkoff and Keith Kellogg. Donald Trump, currently in the Gulf, had earlier said he might also join but White House officials now say he will skip the talks.

What this means: Putin’s move has thrown doubt on the ceasefire talks. “Moscow is presenting its new initiative as ‘nothing new to see here; after a long break, we are merely proposing to resume the 2022 negotiations that were interrupted by Ukraine at the behest of the west’,” said one expert. Former culture minister Medinsky similarly took the lead in those talks, held just weeks after Moscow launched its full-scale invasion of its neighbour. He will be joined this week by deputy defence minister Alexander Fomin, who was also in the 2022 delegation.

Here are more details ahead of today’s ceasefire negotiations.

• The FT View: Most of Europe has finally confronted the need to spend big on rearmament. Now they need to spend the money wisely, writes our editorial board.

Here’s what else we’re keeping tabs on today:

• Economic data: The EU and UK issue first-quarter GDP estimates, while France reports its consumer price index for April. The International Energy Agency publishes its monthly oil market report.

• Fifa: The legislative arm of international football’s governing body holds its 75th congress in Asunción, Paraguay.

• Results: Allianz, Bertelsmann, Merck, Siemens and more report.

Join us for a subscriber-only webinar on May 28 for insights into the most consequential geopolitical rivalry of our time: the US-China showdown. Register now and put your questions to our panel.

Five more top stories

1. Exclusive: Plans for a post-Brexit “reset” of UK-EU ties were thrown into turmoil yesterday after the bloc’s member states demanded further concessions from London over fishing rights and youth mobility. A draft EU communiqué setting out the terms of an improved relationship will not now be finalised until Sunday, just a day ahead of a key summit in London.

2. US companies are tapping Europe’s debt market at a record pace, attracted by lower borrowing costs on the continent and the chance to diversify their funding sources as uncertainty over Trump’s tariffs triggers big market swings. Strong demand from European debt investors has allowed US non-financial companies to borrow more than €40bn in “reverse Yankee” deals.

3. Qatar has agreed to buy up to 210 aircraft from Boeing in what Trump hailed as the largest order of jets in the planemaker’s history. As the US president toured the oil-rich Gulf in pursuit of headline-grabbing investments, the White House said economic deals worth more than $243bn had been agreed with Qatar.

4. Argentina has said it will tighten its historically loose migration rules, as Javier Milei cuts costs and deepens his political alignment with hard-right leaders in the west. “We have for a while had an immigration regime that invites chaos and abuse,” the president’s spokesperson said. “It’s time to honour our history and make Argentina great again.”

5. X’s artificial intelligence chatbot repeatedly referenced race relations in South Africa to users in response to unrelated questions, raising concerns about the model’s reliability. In dozens of answers yesterday before the apparent glitch was fixed, Elon Musk’s Grok cited the anti-apartheid chant “Kill the Boer” as well as “white genocide” in South Africa.

News in-depth

Within days of Vladimir Putin’s 2022 full-blown invasion of Ukraine, Zara owner Inditex announced “the termination” of its Russian operations in what appeared to be a clean break from its largest market by stores outside Spain. But a Financial Times investigation shows the details of its exit have left the world’s biggest fashion group well placed should it choose to return.

We’re also reading . . . 

• Bill Ackman: Can the hard-charging hedge fund boss really create a “modern-day” Berkshire Hathaway?

• Debt relief: In January, the late Pope Francis called for the debt of the poorest countries to be written down. His call may not be needed, writes Alan Beattie.

• ‘British Isa’: As the chancellor reviews the tax-free accounts, Claer Barrett warns that mandating UK equities would destroy any culture of investing in the country.

• Deep-sea mining: Critics say Trump’s executive order on undersea minerals will damage the environment and struggle to make money.

Chart of the day

England and Wales have recorded their driest start to the year in decades, with river levels well below their historic average and reservoirs depleted, fuelling fears of a summer drought.

Take a break from the news

Corpi moderni (“Modern Bodies”) is a remarkable, original exhibition at Venice’s Accademia, writes the FT’s chief visual arts critic Jackie Wullschläger. It first explores how the body took centre stage in Renaissance art, and then how it was seen, understood and presented according to social forces.