America
US inflation climbs to three-year high as energy prices surge
US inflation accelerated to 4.2% in May, the highest level since April 2023, driven by a surge in energy prices linked to the Iran war.
Inflation rose above 4% for the first time in three years, though the increase was broadly in line with expectations amid concerns over how far higher energy costs would ripple through the economy.
The reading marked the highest level since April 2023 and exceeded April’s 3.8% rate.
On a monthly basis, inflation increased at a slower pace than in April, potentially signaling that the worst of the recent price pressures may have passed.
Another encouraging sign was a slight decline in gasoline prices.
Asked about the Bureau of Labor Statistics report on Wednesday, President Donald Trump said, “I love inflation,” and argued that oil prices had fallen because “we destroyed 22 ships last night.”
According to the report, much of the increase in inflation stemmed from a 3.9% rise in energy prices, which pushed the 12-month increase in that category to 23.5%.
Core CPI, which excludes the more volatile food and energy components and is widely viewed by analysts as a better indicator of future inflation trends, offered some grounds for optimism.
Core prices rose 0.2% in May, down from a 0.4% increase in April and below analysts’ expectations for a 0.3% gain.
Core goods prices fell 0.1% on a monthly basis, suggesting underlying price pressures remained contained.
On an annual basis, CPI increased 2.9%, in line with economists’ expectations.
Ground beef, roast beef and steak prices declined last month, although the parasitic fly outbreak reported in the United States last week could complicate logistics for farmers and contribute to higher prices.
Food prices rose just 0.2%, while shelter costs — a key component for Federal Reserve policy decisions — increased 0.3%, half the pace recorded in April.
Shelter, which accounts for more than one-third of the CPI basket, rose 3.4% from a year earlier.
Government and industry officials stressed that the insect, whose name has attracted widespread attention, does not pose an immediate threat to food supplies.
Meanwhile, transportation services prices fell 0.6%, potentially indicating that higher energy costs have not yet spread broadly across other sectors.
Similarly, services excluding energy services — another measure closely watched for signs of oil-price pass-through effects — rose 0.3% after increasing 0.5% in April.
New vehicle prices fell 0.3%, while used car and truck prices edged up 0.1%.
However, airline fares, a clearer indicator of energy costs feeding through to consumer prices, rose 2.7%, while motor vehicle insurance prices fell 1.7%.
As for interest rates, few observers expect the Federal Reserve to cut rates when it delivers its first policy statement under new Chair Kevin Warsh next Wednesday.
Market expectations point to just one rate move this year: an increase in December.
America
Trump intervention prompts FIFA to lift suspension of US striker Balogun ahead of Belgium clash
US President Donald Trump intervened with FIFA to request a review of a red card suspension handed to US footballer Folarin Balogun, leading the global governing body to unexpectedly lift the ban, it has emerged.
Belgian football authorities have reportedly been granted the right to appeal the FIFA decision, which overturned a one-match suspension given to Balogun, a striker for the US Men’s National Team.
The two teams are scheduled to face each other tonight at 03:00 Turkish time (TRT) in a Round of 16 fixture. The winner of the match will advance to the quarterfinals to play either Portugal or Spain.
Trump welcomed the decision by FIFA, which enables the 25-year-old Balogun to play in tonight’s match against Belgium in Seattle despite receiving a red card during Wednesday’s 2-0 victory over Bosnia and Herzegovina.
“Thank you to FIFA for doing the right thing and correcting a major injustice!” Trump wrote on his Truth Social account.
According to a report by The Athletic, the Royal Belgian Football Association (RBFA) has been granted the right to formally appeal the decision.
Sources told the publication that to avoid any conflict of interest, Belgium’s appeal will be evaluated by a member of the FIFA Appeal Committee who does not represent any federation from Europe or the Americas.
UEFA, the governing body of European football, is expected to issue a statement on the matter later today.
On Wednesday, Balogun received a controversial red card for a foul, resulting in the top US goalscorer being sent off during his team’s 2-0 victory against Bosnia and Herzegovina.
The red card carried an automatic, immediate one-match suspension, which traditionally allowed no right of appeal.
However, for the first time in more than 60 years of World Cup match history, FIFA announced it would allow Balogun to play in the subsequent fixture.
“The automatic match suspension imposed on the US player Folarin Balogun is suspended for a probationary period of one (1) year,” FIFA said in a statement on Sunday.
Citing Article 27 of its disciplinary code, FIFA stated: “The judicial body may decide to suspend the implementation of a disciplinary measure fully or closely.”
The New York Times, citing three people familiar with the conversation, reported that Trump called FIFA President Gianni Infantino on Wednesday to request a review of Balogun’s suspension.
Sports broadcaster Ben Jacobs first reported that the White House had contacted Infantino for this purpose.
MS NOW confirmed that Trump called the FIFA president. Citing a US official, MS NOW reported that during the call, Trump sought to better understand why Balogun was shown the red card and why it resulted in a suspension.
The official said the US government submitted “additional evidence” to FIFA, and the federation’s Disciplinary Committee utilized this information in the process that led to the lifting of Balogun’s suspension.
According to officials, the government focused on the fact that referees reviewed slow-motion replays before the red card was shown.
“Ultimately, a correct and appropriate result was achieved,” the official told MS NOW.
The Royal Belgian Football Association stated it was “astonished” by FIFA’s change of stance regarding Balogun’s suspension and argued that the move violated FIFA’s written regulations.
The federation said it was “exploring all possible options.”
Trump has been heavily involved in the tournament, which the US is co-hosting alongside Mexico and Canada. The president maintains a close relationship with FIFA President Infantino.
Trump’s 2025 financial disclosure, made public last week, revealed that Infantino gifted Trump 10 tickets worth $15,000 for the FIFA Club World Cup final held last July at MetLife Stadium in New Jersey.
Trump attended the match, in which Chelsea defeated Paris Saint-Germain 3-0, and appeared on the pitch alongside Infantino to present the trophy.
America
US military takes delivery of radar-less F-35 fighter jets
The US military has begun taking delivery of F-35 fighter jets without radar systems after Northrop Grumman was unable to manufacture the aircraft’s new AN/APG-85 radar quickly enough for installation on upgraded Lockheed Martin jets leaving the production line.
The aircraft are being delivered without the radars, each valued at about $9 million, which are considered essential for combat operations and battlefield effectiveness.
According to The Bunker, six US Marine Corps F-35s have already been delivered without radar systems.
An unspecified number of F-35s destined for the US Air Force and US Navy will also be delivered without radars. The new radar systems are not expected to be available before 2028.
The current radar cannot be fitted into the upgraded F-35 configuration.
One reason the approximately $196 million F-35 carries such a high price tag is its complex shape, stealth coating and integrated electronic architecture, all designed to reduce its radar signature.
According to The Bunker, the situation is comparable to “carbines without bullets, tanks without armor, ships without oceans, or nuclear weapons without the nuclear.”
The issue has become emblematic of the broader F-35 program. The $2 trillion project continues to struggle with readiness problems, in part because the Pentagon has not purchased enough spare parts to keep its fleet operational.
The radar shortfall is particularly notable because it marks a second instance in which perceived future threats have contributed to procurement complications.
A decade after the program began, then-Pentagon acquisition chief Frank Kendall said in 2012 that the initial rush to put the F-35 into production while its design was still evolving had been “acquisition malpractice.”
This time, the Pentagon says it deliberately accepted the risks of a “highly concurrent development and production program” to upgrade the F-35 so it could “maintain air superiority against future threats.”
In simple terms, “highly concurrent” means manufacturing components before the aircraft’s design has been finalized.
That approach ultimately left the aircraft without their new radar systems, repeating the same practice that Kendall criticized 14 years ago.
The radar-less F-35s will not remain grounded while awaiting the new electronic equipment.
Instead, the Pentagon now possesses a growing fleet of what has effectively become some of the world’s most expensive jet trainers.
America
Poll finds 29% of Americans open to voting for a democratic socialist candidate
A new public opinion survey in the United States suggests that nearly one-third of voters would be willing to support a democratic socialist candidate in an election.
According to the joint Economist/YouGov poll, 29% of respondents said they would be willing to vote for a democratic socialist candidate, while 45% said they would not support such a candidate. Another 26% said they were undecided.
The survey comes after democratic socialist candidates posted recent electoral successes in New York, Washington, DC, Los Angeles and the state of Colorado.
The democratic socialist movement in the US has gained significantly greater visibility, particularly since the election of New York Mayor Zohran Mamdani last year.
Independent Vermont Senator Bernie Sanders brought the modern democratic socialist movement into the mainstream of US politics during his 2016 presidential campaign, a process that was followed several years later by the election of Democratic New York Representative Alexandria Ocasio-Cortez.
The two politicians are widely regarded as the most prominent figures of democratic socialism in contemporary American politics.
In a post on social media platform X, Senator Bernie Sanders said: “When I look at the recent progressive victories in Colorado and elsewhere, and at the successful organizing campaigns taking root across the country, I believe we may be on the verge of the political revolution we have been fighting for.”
The Economist/YouGov survey also examined broader public attitudes toward the concept of socialism. It found that 32% of respondents viewed socialism “very favorably” or “somewhat favorably,” while 39% said they viewed it “somewhat unfavorably” or “very unfavorably.” Another 29% said they were undecided on the issue.
The Economist/YouGov survey was conducted between June 26 and June 29 among 1,606 respondents. The poll’s margin of error was 3.2%.
-
Diplomacy2 weeks agoEU, US and China intensify competition over Africa’s strategic minerals through Lobito Corridor
-
Europe2 weeks agoFour European countries move to make citizenship harder to obtain
-
America2 weeks agoVenezuela prepares record $240 billion sovereign debt restructuring
-
Middle East1 week agoQatar and Saudi Arabia acquire hundreds of millions of dollars in Israeli defense technology, report says
-
Asia2 weeks agoAnthropic accuses China’s Alibaba of systematic data theft targeting Claude AI model
-
Europe1 week agoBuckingham Palace updates King’s official role to focus on securing faith in multi-faith Britain
-
Diplomacy2 weeks agoDefense tech startups raise $12.3 billion as investors bet on next-generation warfare
-
America2 weeks agoIsrael looks to Latin America as Isaac Accords seek to expand regional partnerships
