Inflation rises to 4.2 percent in May, highest level in 3 years

The annual inflation rate increased to its highest point in three years as the cost of energy and other goods rose due to the Iran war, according to data released by the Department of Labor on Wednesday.

The consumer price index (CPI), a popular gauge of inflation, rose 4.2 percent over the past 12 months and 0.5 percent in May alone.

The CPI increase matched the Wall Street consensus and marks the first time that it has surpassed 4 percent since May, 2023, making it the highest rate since April of that year.

Energy prices rose 3.9 percent in May after having risen 3.8 percent in April and 10.9 percent in March, accounting for over 60 percent of the monthly all-items increase.

The Energy Information Administration reported that the average price for gas reached $4.49 in mid-May, compared to $4.09 in mid-April. In June, the national average has so far dropped to $4.15, according to AAA. 

The price of fuel has kept increasing as peace talks between the U.S. and Iran drag out, likely threatened by the latest exchanges, which could threaten an already fragile two-month ceasefire.

The food index also saw an increase of 3.1 percent over the past year, with a 0.2 percent rise in May. All other items saw a nearly 3-percent increase in the last year after also rising by 0.2 percent in May. 

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‘The Cause Is Doomed’: New Anti-EU Bulgarian Government Stops Sending Military Aid to Ukraine

Radev is not toeing the Brussels’ line.

The new Bulgarian government that was sworn in on 8 May 2026 under Prime Minister Rumen Radev is already showing it means business.

Radev’s ‘Progressive Bulgaria’ party won a landslide victory in April with 45 % of the vote and 135 seats in the 240-seat parliament – the first majority government in Bulgaria since 1997.

The government is Pro-EU membership but markedly pro-Russian and Euroskeptic in terms of foreign policy, defending national sovereignty.

So, there you have it: a NATO and EU country bucking Brussels’ war dogma.

Radev has long opposed sanctions on Russia and military aid to Ukraine, and with one month in office, his government has already stopped sending weapons to Ukraine.

This was announced today (9) by the country’s Defense Minister Dimitar Stoyanov.

Politico reported:

“The move cements the new Bulgarian government’s opposition to EU support for Ukraine after Russia-aligned Prime Minister Rumen Radev won a parliamentary election in a landslide in April. Bulgaria has sent 13 aid packages to Kyiv since Russia’s 2022 full-scale invasion, but Radev has described the Ukrainian cause as ‘doomed’.

‘We have already made it clear that the war in Ukraine will not be resolved on the battlefield. We are witnessing a war of attrition, and no matter how much weaponry is amassed, the only result is the loss of human lives. It is time to sit down at the negotiating table’, Stoyanov said at a press conference on Tuesday.”

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Pentagon Bans EV Giant BYD from Defense Contracts, Citing Chinese Military Ties

The Pentagon has added Chinese tech giant Alibaba, electric vehicle (EV) titan BYD, and search engine Baidu to its list of companies that cannot secure U.S. defense contracts because they are linked to the Chinese military.

The Department of War began maintaining a list of “Chinese military companies” in 2021 known as the 1260H list, named after the section of the defense authorization act that created it. Companies on the list are known to provide services to the People’s Liberation Army (PLA), although they are not explicitly state-owned firms.

The list is supposed to map out the extensive coordination between China’s military complex and private companies, and caution American companies that doing business with named companies could risk their physical or intellectual property to end up in the hands of the PLA.

The new additions, made on Monday, brought the 1260H list up to 188 companies, from 130 last year. Although companies on the list are not automatically subjected to punitive sanctions, the Chinese government considers the 1260H list to be anti-competitive and unfair – more of an effort to “contain” China’s growing industrial sector than to address real security threats.

On Monday the Chinese Embassy to the United States accused the Pentagon of “overstretching the concept of national security and making discriminatory lists to go after Chinese companies.”

“The U.S. should stop its wrong practice and create a fair, just and non-discriminatory environment for Chinese companies,” the embassy said.

Alibaba released its own statement insisting that it is “not a Chinese military company, nor part of any military-civil fusion strategy.”

“We will take all available legal action against attempts to misrepresent our company,” an Alibaba spokesman said.

The Pentagon noted that Alibaba, BYD, and Baidu are all affiliated with the Chinese Communist government’s Ministry of Industry and Information Technology. Another firm, robotics company Unitree, made the list because it “knowingly received assistance” from the Chinese state.

Fortune noted on Monday that all three of China’s top artificial intelligence (A.I.) companies – Alibaba, Baidu, and Tencent Holdings – are now 1260H listed entities.

Two chipmakers that were seemingly removed from the list this year, ChangXin Memory Technologies and Yangtze Memory Technologies, have been restored. When they vanished from the list in February, some critics said the Trump administration was attempting to placate China ahead of President Donald Trump’s meeting with dictator Xi Jinping.

Rep. John Moolenaar (R-MI), chair of the House Select Committee on China, said Monday that not only was the 1260H list necessary and appropriate, but even stronger action should be taken against companies that appear on it.

“These Chinese companies are working with the Chinese military against our national interests,” he said. “Any of them that are publicly traded on U.S. exchanges should be immediately delisted and their products should be removed from supply chains our country depends on.” 

Moolenaar added, “American companies must stop doing business with these threats to our national security; otherwise they are enabling China’s military ascendance.” 

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Catholic Nuncio Visits Lebanese Christians Defying Israel Evacuation Orders

Apostolic Nuncio Paolo Borgia on Monday visited several villages in southeastern Lebanon whose residents have refused to leave, despite the ongoing battle between Israeli forces and the Iran-backed terrorists of Hezbollah.

Borgia has visited the region several times during the current conflict, which Hezbollah launched by attacking Israel from Lebanese soil in March. The nuncio does not limit his visits to majority-Christian communities.

“The war has severe consequences for villages — whether Christian, mixed, or Muslim. Many people have been forced to leave their homes,” the archbishop noted when visiting the conflict zone in March.

“There is much suffering in the Beirut area with all the displaced people, especially Shiites, who are in a very difficult situation. Many Christians are also displaced in Beirut or in the north,” he said after another tour in April. 

“It is certainly hard because they leave everything behind, and there is also a major economic problem, as activities cease when villages in the south are abandoned,” he observed.

“They feel they are carrying a burden alone. That is why we go to visit them: they must feel the presence of the universal and Lebanese Church, especially the presence of the Holy Father, as well as many people of goodwill who help and support those living through these tragedies,” he stressed.

As with his previous visits, Borgia brought humanitarian supplies to the villages he visited, provided by relief organizations such as Caritas-Lebanon, whose president Father Samir Ghaoui traveled with the nuncio.

Community leaders said these humanitarian deliveries were crucial because the conflict has cut them off from the rest of Lebanon. Local farmers said they were worried about the security situation preventing them from working their fields in the upcoming harvest season, which could lead to a devastating loss of income for already impoverished communities.

The Israeli military continues to issue evacuation orders for areas across Lebanon, which some villagers refuse to obey. Civilians and members of the Lebanese army have reportedly been hit by Israeli strikes against Hezbollah.

On Tuesday, the Israeli army published photos of a large Hezbollah weapons stockpile seized from a nominally civilian residence in the village of Zawtar Sharqieh, located north of the Litani River, the boundary between north and south Lebanon.

“The combat weapons found in the buildings include Kalashnikov-type rifles, missiles and anti-tank rocket launchers, magazines, grenades, communication devices, drones and other combat equipment,” the Israeli statement said, citing the raid as the latest evidence that Hezbollah deliberately uses “civilian infrastructure” in its operations.

The Israel Defense Forces (IDF) said several more Hezbollah weapons depots have been found in civilian structures in Zawtar Sharqieh and other towns over the past few days.

On Monday night, a suspected Hezbollah fighter slipped into northern Israel from Lebanon and fired on Israeli troops, who returned fire and killed him. Local community leader David Azoulay said the incident was “further proof that there is no security even after almost three years of war in the north, even when the IDF created a sort of security zone.”

Azoulay said Israel should “charge Hezbollah a price for its audacity and attempt to penetrate Israeli territory and make it clear that these events will not pass as if nothing had happened.”

Israel launched airstrikes on the major Lebanese city of Tyre on Tuesday and warned the entire city to evacuate, including the Christian quarter of the Old City, which has previously been exempted from evacuation warnings. The IDF said last week that it has reason to believe Hezbollah fighters are operating out of the Christian quarter in Tyre because they thought it was safe from attack.

The Lebanese health ministry said the strikes conducted before the evacuation warning killed at least eight people and wounded 32.

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CENTCOM: U.S. launches military strikes on Iran in response to downing of helicopter

U.S. Central Command (CENTCOM) has announced that the U.S. military has launched “self-defense strikes against Iran” in retaliation for the downing of an American helicopter on the orders of President Donald Trump.

On Tuesday, CENTCOM released a statement on social medi confirming the strikes.

“This is a response to what they did…with our helicopter last night, and I believe the response should be very strong, very powerful, and that’s what this one is,” Trump told ABC News.

Both crew members of the downed helicopter were safely rescued hours after the crash, the president and CENTCOM confirmed.

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Mystery Car Bombing Near Moscow May Have Taken Out A Top General

In what appears the latest targeted killing in a string of high profile assassinations of top Russian military brass since the Ukraine war began, an unidentified man – possibly a high-ranking military officer, was reportedly blown up Tuesday morning after a bomb detonated in his car.

The incident happened very early in the morning Tuesday in a suburb called Balashikha, just outside the Russian capital. While Russian authorities have yet to release the identity of the deceased man, it happened very near an area known to host residences of military and government officials.

“The location of Tuesday’s explosion is not far from where Lieutenant General Yaroslav Moskalik — the deputy head of the General Staff’s main operational directorate — was killed in a car bombing last year,” the Amsterdam-based Moscow Times writes.

Investigators said an “explosive device was detonated while a BMW X3 car was driving near a residential apartment building.”  

In this newest case, the speculation on Telegram is that the fatality was a 62-year-old lieutenant general. A formal investigation is underway:

Security camera footage circulated by pro-Kremlin media showed the vehicle bursting into flames from the trunk and back seats before rolling into a parked vehicle. According to the Telegram channel Mash, bystanders rushed to pull the driver out of the burning wreckage, but he died shortly after.

Russia’s internal security service, the FSB, previously said it is making great efforts to tighten around high-ranking military officers of late.

This possibly adds, pending the details, to a growing list of high profile assassinations related to the Ukraine war. To review:

—Darya Dugina was killed in a car bombing in 2022 which was likely meant for her father, prominent political thinker and often dubbed “Putin ally” Aleksandr Dugin.

—Gen Igor Kirillov died in December 2024 outside of his residence when a bomb planted in a nearby scooter detonated.

—Gen Yaroslav Moskalik, who served as deputy head of the Main Operations Directorate of the General Staff of the Russian Armed Forces, was killed in a car bomb attack last April. A “homemade” explosive device detonated under his Volkswagen Golf in a residential neighborhood.

Throughout the course of the war there’s been a string of these high profile assassinations on Russian soil involving car and even cafe bombs.

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Kuwait Turns To Anduril For $2 Billion Counter-Drone Shield After Horrifying Airport Attack

The moment an Iranian Shahed-136 drone struck Kuwait International Airport last week appears to have been a major wake-up call for Kuwaiti officials. The incident likely crystallized a troubling reality: legacy air-defense systems are not enough to counter the Shahed drone threat spreading across the Gulf, and Kuwait needs to supercharge the deployment of layered counter-UAS systems with both electronic and kinetic defeat capabilities.

The State Department revealed shortly after the airport attack last week that it approved a potential $1.98 billion foreign military sale to Kuwait for Anduril-made counter-drone systems.

“The Government of Kuwait has requested to buy counter-unmanned aerial systems platforms,” the State Department wrote in a press release.

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Did Iran Establish a New Equation in the Middle East Through Its Attacks on Israel?

It remains unclear whether Iran’s effort to establish a new equation in the region has truly succeeded — an equation in which, for the first time, Iran would directly strike Israel if Israel attacks Lebanon.

What is clear is that recent events suggest the strategic landscape may be shifting. Israel chose to defy President Trump and carry out strikes against Iran. Yet according to both Iranian and American sources, those Israeli attacks appear to have been deliberately calibrated to inflict limited damage, perhaps reflecting U.S. pressure to avoid a broader escalation.

Iran, for its part, responded by striking Israel once more after the Israeli attacks. The full extent of the damage caused by Iran’s two rounds of attacks remains unknown, however, due to extensive Israeli military censorship. As a result, outside observers still lack a complete picture of the military and strategic consequences of these exchanges.

The real test of whether a new regional equation has emerged may not lie in what has already happened, but in what comes next. Specifically: Will Israel strike Beirut again?

Even if it does, Israeli decision-makers will now have to factor in a cost that did not previously exis t— the likelihood of a direct Iranian response against Israel. For decades, Israel enjoyed near-complete freedom of maneuver in much of the region. It could bomb targets in Lebanon at will without facing meaningful costs imposed by third parties. That assumption may no longer hold.

At the same time, the United States has signaled clearly that it no longer intends to be an active participant in Israel’s confrontation with Iran. The White House has, for instance, stated that it did not partake in Israel’s defense this time around. This would be a first and a very alarming development for Israel, if true. Washington’s desire to avoid direct involvement has become increasingly evident, even as it continues to support Israel in other ways.

Taken together, these developments suggest that a new strategic reality may be in the making. The picture remains murky, and it is far too early to declare that a durable deterrence framework has been established. Much will depend on future Israeli actions, Iranian responses, and the degree to which both sides internalize the risks of escalation.

But if Israel now has to weigh the prospect of direct Iranian retaliation before striking Lebanon, then something important has changed. Whether that change proves temporary or enduring remains to be seen.

The next question is whether this emerging equation can be translated into renewed momentum for U.S.-Iran diplomacy.

The Iranians believe that their action demonstrated to the US that the value of the Memorandum is so low that Iran is willing to risk a complete collapse of diplomacy. The hope is that Trump yields on what appears to be the last sticking point in the talks, which is the release of $12 billion of Iranian frozen assets.

Trump, on the other hand, may calculate that the exchange of fire demonstrated both the cost to Iran if full-scale war were to break out again, as well as Trump’s ability to impose certain restraints on the Israelis. As a result, the Iranians should feel confident in Trump’s ability to deliver on his end of the bargain and not insist on the release of the assets at the outset of the MOU.

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Crime Doesn’t Pay, But US Government Grants Do

InSight Crime, a thinktank which claims to fuse “investigative journalism with academic rigor,” accuses Nicaragua’s government of “hiring assassins” to hunt down and kill opponents abroad. This bold accusation is based on no more than “circumstantial” evidence, strongly suggesting political motivation. This fact-impoverished rush to judgment reflects a more general bias of the US-aligned corporate press, which seeks to demonize Nicaragua and its Sandinista political leadership.

The focus of the thinktank’s article is the death of Roberto Samcam, a former Nicaraguan army officer, exiled in Costa Rica. He was assassinated by gunmen in his home in a gated community in the capital, San Jose, on June 19, 2025. InSight Crime says he was killed because he was “fomenting regime change” in Nicaragua. Supposedly linked to this crime are two failed attempts to murder a Nicaraguan associate, Joao Maldonado, also exiled in Costa Rica and – like Samcam – an opponent of Nicaragua’s Sandinista government.

So far, almost a year after Samcam’s murder, the authorities have made four arrests in the case. All the arrested are Costa Ricans and none have been brought to trial. Keny Navarrete, a Nicaraguan criminal incarcerated in Costa Rica, is said to have coordinated the assassination. Navarette, who has no known connection to Nicaragua’s government, has been serving multiple sentences in Costa Rican prisons since 2016: supposedly he was able to orchestrate the crime from his prison cell.

Samcam’s criminal record 

InSight Crime notes in passing that both Samcam and Maldonado were “charged with crimes” in Nicaragua, but nevertheless the author, Steven Dudley, asserts that “Samcam was not a criminal.” Curiously for a prize-winning crime investigator, Dudley completely ignores the real violent crimes carried out by Samcam, Maldonado and the groups they led in the Carazo region of Nicaragua in 2018, during a coup attempt against its Sandinista government. An email to InSight Crime asking why he omitted Samcam’s backstory received no reply.

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U.S. Secretly Deployed Paratroopers to Israel

When the Pentagon announced that the 82nd Airborne was deploying to the Middle East in March, it concealed a key detail: some of the paratroopers were headed to Israel, as revealed in an Army deployment order I obtained.

A military source involved in war planning tells me the deployment is tied to new U.S.-Israeli joint contingency plans, completed since February, for seizing Kharg Island and carving out coastal territory inside Iran.

The 82nd Airborne Division is the Army’s premier quick reaction force, trained to parachute into hostile territory.

By keeping the deployment quiet, the Pentagon headed off public debate over a joint U.S.-Israeli operation inside Iran — a prospect many considered plausible at the time, amid a fever pitch of mainstream reporting on a potential ground invasion. The secrecy also sidestepped what’s euphemistically called “host nation sensitivities.” A joint U.S.-Israeli operation raises thorny questions for America’s Gulf Arab “partners,” especially over logistical support — hence the 82nd, which could launch directly from Israel without any Gulf state’s consent to use its territory.

The Army deployment order, issued April 7, 2026, directs elements of the 2nd Battalion, 501st Infantry Regiment — the storied “Geronimo” battalion — to deploy to Israel on “temporary duty.” The Israel deployment has not been previously reported.

The Pentagon has never acknowledged it; in public it has said only that the 82nd was bound for “CENTCOM,” the military’s term for U.S. Central Command, the combatant command responsible for the entire Middle East. The press echoed the vague terminology, suggesting the unit was headed to existing U.S. bases in Kuwait or Qatar.

Asked about the number of troops deployed to Israel and their mission, the Pentagon referred my request to CENTCOM, which at the time of publication had not yet responded.

In late March, the New York Times reported that senior military officials were “weighing a possible deployment of a combat brigade from the Army’s 82nd Airborne Division … to support U.S. military operations in Iran.” The forces would come from the division’s Immediate Response Force — a brigade of roughly 3,000 soldiers able to deploy anywhere in the world within 18 hours. Those forces, the Times noted, “could be used to seize Kharg Island, Iran’s main oil export hub.”

The groundwork had been laid weeks earlier. The Army abruptly pulled the division’s 300-member headquarters from a planned exercise at the Joint Readiness Training Center in Louisiana, officials told the Times, so the command element wouldn’t be “caught out of place if the balloon went up.” The Aviationist reported that the division’s commander, Maj. Gen. Brandon Tegtmeier, and his command element had been ordered to deploy, and tracked a string of flights leaving Pope Army Airfield, which serves Fort Bragg, for the Middle East.

When the Pentagon finally did talk about the 82nd publicly, it took pains to keep Israel out of it.

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