The Federal Reserve voted to hold its key interest rate steady, pushing US government borrowing costs to their highest level since 2007 and sending stocks tumbling. Chair Kevin Warsh said the central bank would 'not waver' in its commitment to tackling rising prices.
Stocks fall as inflation fears persist
The decision spooked investors worried about the US economy's ability to absorb a rise in inflation caused by Donald Trump’s war in Iran. US inflation cooled to an annual rate of 3.5% in June after a brief ceasefire between Washington and Tehran, but that ceasefire has since ended. The S&P 500 fell 1.5%, the Dow Jones industrial average dropped 2.2%, and the Nasdaq declined 1.7%.
US launches fresh strikes on Iran
The US military struck Iranian targets hours after President Donald Trump vowed to hit Iran 'very hard' following an attack on a base in Jordan that hosts US troops. The strikes came after a days-long pause in violence. US Central Command said it struck 'dozens' of targets belonging to Iran’s Revolutionary Guards Corps over two hours. The US also partnered with Saudi Arabia to strike Iran-backed militias in Iraq, killing at least 20 fighters and six Iranian advisers. Oil prices soared, with Brent crude jumping 7.3% to more than $88 a barrel.
Fauci invokes Fifth Amendment in Senate hearing
Dr Anthony Fauci refused to answer questions at a Senate committee hearing on the origins of Covid-19, accusing Republican Senator Rand Paul of having an 'unhinged obsession' with him. Fauci said Paul’s goal was 'embarrassing and intimidating me' and ultimately landing him 'behind bars'. Democratic Senator Gary Peters called the hearing damaging to science, saying, 'It’s attempting to turn one person into a scapegoat for a crisis that hundreds of officials across the Biden and Trump administrations were responsible for handling.'
UK reviews police handling of US military cases
The UK government and police chiefs are reviewing why police forces have been ceding jurisdiction to US military investigators in cases where US personnel commit serious crimes on UK soil. Survivors of sexual attacks that would meet a common definition of rape are finding perpetrators prosecuted for lesser offences.
Other news
Japan earthquake death toll rises to 30 as rescue efforts continue. The US Senate judiciary committee postponed a vote on Trump’s pick for attorney general. Russian airstrikes killed at least 13 in Ukraine, with a missile landing in Poland. Elon Musk’s xAI sued Minnesota over its law banning 'nudification' technology. European football authorities called an emergency meeting over Fifa’s plan to sell World Cup stakes.
Hollywood producer charged with fraud
Jason Cloth, a Hollywood producer behind films including Joker and The Green Knight, has been charged with seven counts of wire fraud for allegedly defrauding investors of $100m, according to a federal grand jury in Chicago.
Soundbar recommendations
Ryan Waniata advises on affordable soundbars starting at $130 to improve TV audio and reduce reliance on subtitles.
Michael Thomas memoir
Author Michael Thomas releases The Broken King, a memoir covering poverty, parental abandonment, racism, alcoholism, sexual violence, and mental illness, two decades after his debut novel Man Gone Down.
Wildfires in Greece and Europe
Three firefighters died battling wildfires on the Greek island of Crete. Temperatures reached 100F in Bordeaux, where French firefighters stopped a blaze in pine forests from reaching suburbs.
Coca-Cola precursor found?
An Italian friar discovered a document in a Florentine convent describing a medicinal potion made from Bolivian coca leaves and kola nuts, potentially a precursor to Coca-Cola.
