Business

Elon Musk stunned markets when he tweeted Tuesday that he would seek to take his electric-auto company private in a deal worth billions of dollars, announcing he had “funding secured.” The move underscored the unpredictability of America’s most valuable car company — and Musk’s unconventional leadership style. The announcement sent Tesla’s stock soaring but also raised questions from securities experts about whether Musk’s tweet complied with regulations governing public company disclosures.

Tribune Media withdrew from its proposed merger with Sinclair Broadcast Group, ending an effort that would have created the biggest U.S. television company. Tribune also said it would sue Sinclair for $1 billion on grounds that the conservative television giant engaged in “misconduct” and precluded the U.S. government approving the deal. Tribune said it would terminate the $3.9 billion deal and accused Sinclair in a lawsuit of engaging in “belligerent and unnecessarily protracted negotiations” with the Federal Communications Commission as well as the Justice Department, which reviewed the merger over its potential effects on competition. Sinclair denied the charges.

Washington

China and the United States exchanged the latest round of tariffs, with the Trump administration moving forward on Tuesday with additional tariffs on $16 billion of Chinese products and China retaliating the next day with an equivalent amount of tariffs. The moves underscored how five months after President Trump first confronted China with tariffs over its trade practices, the two countries are further than ever from resolving their differences and appear to be digging in for what is likely to be a long and bruising conflict.

Rep. Chris Collins (R-N.Y.) on Wednesday was arrested and charged in New York in connection with allegations of insider trading. Collins, President Trump’s first congressional supporter, is alleged to have schemed with his son to avoid significant losses on an Australian biotechnology investment. Collins pleaded not guilty and vowed to fight the charges and run for reelection.

Vice President Pence laid out an ambitious plan that would begin creating a military command dedicated to space and establish a “Space Force” as the sixth branch of the U.S. military as soon as 2020. But the monumental task of setting up a new military department, which would require approval by a Congress that shelved the idea last year, may require significant new spending and a reorganization of the largest bureaucracy in the world.

Transitions

Indra Nooyi, PepsiCo’s first female chief executive, is stepping down after 12 years of leading the food-and-beverage giant. Nooyi, who will remain chairman until early 2019, was Pepsi’s first foreign-born CEO and is also one of the few minority female leaders of a major corporation. She’ll be succeeded as chief executive on Oct. 3 by Ramon Laguarta, who has been Pepsi’s president since last year and has been with the company 22 years.