07/09/18 08:12 AM EDT

WASHINGTON WEEK AHEAD

DRIVING THE WEEK:

Both the House and Senate are in session this week.

President Trump will use a prime-time television address tonight to announce whom he will nominate as the next Associate Justice of the Supreme Court. Over the weekend, Trump was reported to be giving another look at Judge Thomas Hardiman, a colleague of Mr. Trump’s sister on the Third Circuit Court of Appeals in Philadelphia. Other finalists are said to be Judge Brett Kavanaugh, thought to be the front-runner, and Judge Amy Coney Barrett, a social conservative whose confirmation would give the court its first-ever 5-4 male-female split.

Trump is set to attend the NATO meeting in Brussels this week. The meeting of the 29-member alliance comes ahead of the president's bilateral meeting with Teresa May in London and his first one-on-one summit with Russia's Vladimir Putin in Helsinki on July 16.

American ketchup is likely to be included on the list of U.S. imports subject to E.U. tariffs if Trump decides to impose punitive duties on European cars and car parts, according to officials there. The 18 billion euro ($21.1 billion) retaliation list may also include frozen fish, raisins and suitcases.

In a report, the World Trade Organization said that if the biggest economies continue to escalate their restrictions on imports, it would pose risks to the international system for resolving trade disputes. The report found that from October 2017 to mid-May, members of the Group of 20 economies placed 39 new measures restricting trade, double the number in the report from the previous period.

The Trump Administration is considering imposing another $16 billion worth of Chinese export tariffs after a public comment period and hearing scheduled for July 24. China is likely to respond with tariffs on $16 billion worth of U.S. goods.

The Office of the U.S. Trade Representative announced that firms will have until Oct. 9 to submit requests for exemptions from 25 percent duties on imports from China that the United States implemented late last week. According to USTR, the government will determine whether a product is available from outside of China and if it is part of Chinese economic strategy before granting exemptions, which would last for a year and apply retroactively.

Over the weekend, CMS issued a press release indicating that they would not be able to finalize approximately $10.4 billion in risk adjustment transfer payments due insurers selling plans on the ACA’s individual and small group markets. The obstacle is a New Mexico U.S. District Court’s decision to vacate CMS’s rules for calculating the risk adjustment payments, which are generally finalized in June, thus rendering the associated math invalid. According to our Senior Health Care Analyst Emily Evans, the Trump Administration's decision to delay risk adjustment payments probably won't be long-lived or disruptive. Read her full piece here.

In a remarkable return to "regular order," Congress is moving at the speed of light toward completing the 2019 National Defense Authorization Act and a supportive FY 2019 defense appropriations bill. It actually has a shot at completing both of them on time. There are a few differences among the president's request and the respective House and Senate bills but these are not irreconcilable. Once complete, the Pentagon will realize the second year of the largest budget bump since 9/11. Read General Emo Gardner’s analysis here.

Treasury Secretary Steven Mnuchin is scheduled to testify before the House Financial Services Committee on Thursday on the state of the international financial system.