Canada's recognition of Palestinian statehood will make it tougher for the U.S. to agree to a trade deal with its northern neighbor, President Donald Trump warned overnight, with just a day to go until the deadline the White House has set for tariffs to snap higher.

Just hours earlier, the U.S. Senate rejected two resolutions introduced by Vermont Senator Bernie Sanders to block arms sales to Israel. While the measures failed, more than half of Senate Democrats supported them, signaling a growing shift in Washington’s stance toward the war in Gaza.

U.S. President Donald Trump says Canada's intent to recognize a Palestinian state will make it "very hard" for the two countries to negotiate a trade deal. "Wow! Canada has just announced that it is backing statehood for Palestine.