President Donald Trump has revised tariffs on imported steel, aluminum, and copper, adjusting trade policy that affects global metal markets and international trade relations.

The Institute for Supply Management's manufacturing PMI rose to 54 in May, the highest reading in four years, indicating expansion for a fifth straight month. New orders, production, and backlogs strengthened, and S&P Global's U.S. manufacturing PMI also climbed to a four-year high. However, the recovery is clouded by energy shocks from the Iran war, tariffs, and supply chain chaos. Analysts warn that stockpiling may be inflating the data, and factory payrolls have fallen in 12 of the past 15 months, complicating the administration's promise to revive blue-collar jobs. Input costs remained stubbornly high, with ISM's prices-paid gauge near its highest levels since the inflation surge of 2021-2022.

Background: Taiwan's opposition-dominated parliament passed a record special defense budget of nearly €21 billion, significantly lower than President Lai Ching-te's original proposal, funding US weapons purchases and a new 'T-Dome' missile defense shield. On May 8, 2026, Taiwan's Legislative Yuan passed a $25 billion special defense budget, ending a six-month stalemate. The budget is $15 billion less than Lai's original $40 billion proposal and includes strict earmarks for U.S. hardware, sidelining domestic innovation. The compromise undermines Taiwan's 'porcupine' strategy by cutting domestic programs like the Strong Bow air defense system and drone initiatives. The passage followed a six-month legislative deadlock, with the Kuomintang-led opposition eventually passing a 'middle ground' version after internal fractures. Kuomintang Chairwoman Cheng Li-wun's controversial 'peace' mission to Beijing and the opposition's initial refusal to pass the budget had fueled U.S. frustration. The budget's passage reflects complex domestic political dynamics, including public pressure for increased defense spending and the opposition's desire to avoid being seen as anti-defense.

An Iranian court sentenced Massud Piyaho to 10 years in prison for posting a video of the December 2025 bazaar protests in Tehran, which activists compared to the iconic 'Tank Man' image. Separately, Israel warned residents of Beirut's southern suburbs to evacuate and threatened to attack the capital if Hezbollah strikes continue. Iran suspended indirect talks with the US over Israeli operations in Lebanon and warned of a blockade of the Strait of Hormuz. US President Donald Trump claimed to have brokered a de-escalation, but Israeli PM Netanyahu insisted on a hard line. The UN Security Council held an emergency session. Oil prices spiked on the Iran news.

Six people were killed in a series of shootings in Muscatine, Iowa, on Monday, stemming from a domestic dispute. The suspected shooter, Ryan Willis McFarland, 52, was found dead from a self-inflicted gunshot wound. All victims are believed to be family members. Police responded to multiple locations, including a residence and a business. The investigation is ongoing.

The artificial intelligence sector shows no signs of slowing, with major developments including Anthropic's confidential IPO filing, SoftBank's €75 billion ($87 billion) AI infrastructure investment in France, and Nvidia's new RTX Spark superchip for PCs. Asian chipmakers Samsung, SK hynix, and Micron each reached a $1 trillion valuation amid an AI-driven rally. Samsung averted a strike by agreeing to pay bonuses of up to $370,000 per worker from semiconductor profits, setting a potential precedent for profit-sharing.

California held its gubernatorial and congressional primaries on Tuesday, with a crowded field of about 60 candidates vying to replace term-limited Governor Gavin Newsom. The race, focused on the high cost of living, saw top Democratic contenders Xavier Becerra, Tom Steyer, Matt Mahan, and Katie Porter, and Republicans Steve Hilton and Chad Bianco. Proposals included gas tax suspensions and tuition subsidies. Early fears of a Republican lockout due to the open-primary system diminished as momentum shifted toward Becerra, who gained endorsements from labor groups and Latino leaders after Representative Eric Swalwell's withdrawal. Concurrent congressional primaries, shaped by a redistricting battle following a GOP gerrymandering push, will test Democratic strategies ahead of November's midterms.

Anthropic filed for an IPO as corporate America shows signs of AI cost fatigue. A Bain survey found 40% of companies saw AI cost savings below 10%, and an early investor warned that enterprise spending on Claude is a risk. OpenAI CEO Sam Altman acknowledged cost concerns, and analysts note that open-source alternatives could threaten Anthropic's revenue, which is heavily reliant on business customers. Separately, Anthropic is in a legal battle with the US Department of Defense over contractual terms that could allow AI use in mass surveillance or autonomous weapons, leading to a ban on Claude use by US agencies.

Iran's water crisis, already critical due to drought, mismanagement, and sanctions, has been exacerbated by the US-Israel war which damaged desalination plants and water infrastructure. US and Israeli attacks included the bombing of a freshwater desalination plant on Qeshm Island on March 7, impacting water supply for 30 villages. The conflict diverts resources from reconstruction and causes environmental damage, including air pollution from burning oil and gas facilities and the release of nearly 5.6 million tonnes of CO2 between February 28 and March 14. Iran is pursuing cloud seeding and penalizing excessive water use, but faces long-term challenges.

The Democratic Party's internal battle between progressive and moderate factions continues in Tuesday's primaries across Iowa, California, New Jersey, and other states. Key races include Iowa's Senate primary where moderate Josh Turek faces progressive Zach Wahls, California's gubernatorial jungle primary featuring Tom Steyer and former HHS Secretary Xavier Becerra, and several House primaries. In New Jersey's 12th District, progressive Adam Hamawy leads a crowded field. The DCCC backs state Assembly Member Jasmeet Bains in California's 22nd District. Former Speaker Nancy Pelosi endorses Connie Chan in California's 11th District against leftist Saikat Chakrabarti and moderate Scott Wiener. The outcomes will influence the party's strategy for the 2026 midterms and 2028 presidential election.

Hackers tricked Instagram's AI support chatbot into changing account passwords and emails, enabling account takeovers. The exploit was used to hijack the verified account of former US President Barack Obama, which posted pro-Iran content before being recovered. Meta has resolved the vulnerability and is securing impacted accounts. The incident highlights security risks of AI in customer support.

The Pentagon has redesignated its press office as a Sensitive Compartmented Information Facility (SCIF), barring journalists from entering. Acting press secretary Jose Valdez cited the presence of speechwriters handling classified material as the reason. This is the latest in a series of restrictions on press access during the second Trump administration, following a federal judge's ruling that earlier restrictions were unlawful. The New York Times has filed multiple lawsuits challenging the policies, arguing they impede independent reporting on military affairs.

A Guardian analysis reveals that the American Israel Education Foundation (AIEF), an affiliate of Aipac, spent over $4.2 million on trips to Israel for at least 78 US lawmakers and staff since October 7, 2023. The trips included meetings with Israeli officials, visits to West Bank settlements, and luxury accommodations, continuing despite declining US public support for Israel and the ongoing war in Gaza. This practice underscores the enduring influence of pro-Israel lobbying on US foreign policy.

The United States and NATO allies began the annual BALTOPS naval exercise in the Baltic Sea on June 4, with around 20 vessels and 6,000 personnel from 15 nations—roughly half the size of last year's drills—due to ships deployed to the Middle East and Arctic. Led by the USS Mount Whitney, the exercise runs through June 20 and focuses on securing sea routes around the Swedish island of Gotland. German Rear Admiral Stephan Haisch, commander of the multinational Baltic Sea headquarters established in Rostock in 2024, stated the drills demonstrate alliance unity and strength amid heightened tensions with Russia, though he does not expect Moscow to trigger NATO's Article 5.

The Quad (Australia, India, Japan, US) has been losing momentum due to structural flaws and US-India tensions. The grouping's recent summit in New Delhi was dominated by the Iran conflict, shifting focus from countering China to maritime security, energy stability, and supply chain resilience. India raised concerns over free maritime movement and energy chokepoints, while the US called for deeper cooperation on energy security. No leaders' summit was held in 2025, and the proposed 2026 summit in Australia remains uncertain. A joint port infrastructure project in Fiji was announced but remains in early planning with no detailed timelines or funding. The Quad's cohesion is increasingly strained by diverging national priorities, US transactional foreign policy under Trump, and India's balancing of ties with Russia and BRICS.

The US State Department, under Secretary of State Marco Rubio, has approved a directive to reduce the number of embassies and consulates in Africa that process visas from about 50 to 20. This is part of the Trump administration's broader crackdown on immigration, including both immigrant and non-immigrant visas. Citizens of non-hub countries will need to travel to one of the 20 approved sites, incurring travel challenges and costs. Consular sections in non-hub countries will remain open for limited services such as passport renewals and emergency assistance. The move is expected to take effect this month.

A Kenyan High Court had temporarily blocked a US plan to establish an Ebola quarantine facility at Laikipia Air Base for American citizens exposed in the DRC outbreak. On June 1, protests against the facility escalated, with hundreds of demonstrators marching in Nanyuki, blocking roads and burning tires. Police fired tear gas and live ammunition, killing two people. One victim, Charles Mang'aro Mwangi, a 27-year-old shopkeeper, was shot while returning home and was not participating in the protests, according to his family. The second victim died from a gunshot wound to the shoulder. On June 2, the High Court extended the suspension of the facility's operations until at least June 23 and ordered the government to disclose all agreements with the US within seven days. Despite the court order, US military aircraft continued transporting staff and equipment to the airbase. President William Ruto defended the plan, calling it a mutual agreement with the US and urging Kenyans not to politicize the issue.

Arthur Gregg Sulzberger, publisher of The New York Times, delivered a speech at the World News Media Congress in Marseille, accusing AI companies of 'brazen theft' of copyrighted news content, diverting audience and revenue from news sites. He criticized the industry for being too passive and noted that the Times has spent over $20 million in legal fees suing OpenAI and Microsoft. The speech highlights growing tensions between traditional media and AI firms over content use and compensation.

Spencer Pratt, a Republican and former reality TV star from 'The Hills', has become a serious contender in the non-partisan Los Angeles mayoral primary. A recent UC Berkeley-LA Times poll shows him at 22% support, trailing incumbent Mayor Karen Bass (26%) and council member Nithya Raman (25%). Pratt has raised $2.7 million in a short period, far outpacing his rivals, and has campaigned on fixing the city's response to wildfires and homelessness. The primary is on Tuesday; if no candidate wins 50%, the top two advance to November.

OpenAI's Codex AI agent is seeing rapid adoption among non-developer knowledge workers, who now make up one-fifth of its users and are growing three times faster than developers. The tool, which connects to email, calendars, and messaging apps, has over 4 million weekly active users. While it automates tasks like data analysis and document creation, power users report mental fatigue from managing multiple AI workstreams, and experts note the tool still requires close oversight to avoid errors.

Background: Alberta Premier Danielle Smith announced a provincial referendum on 19 October asking whether Alberta should remain a province of Canada or begin the legal process for a binding separation vote, following a separatist petition with over 300,000 signatures. The separatist movement has gained mainstream traction, with grassroots support from Albertans who signed the petition. A new article from Al Jazeera, published on 2 June 2026, reports that the referendum is driven by anger over energy policy, conservative politics, and tensions with Ottawa, and questions whether the Trump administration is influencing the separatist movement, framing the US role as a potential factor in the timing and momentum of the referendum.

Background: U.S. Immigration and Customs Enforcement (ICE) agents could be present at World Cup matches in the U.S. as part of President Trump's deportation push. Los Angeles County Sheriff Robert Luna announced that ICE will not conduct civil immigration enforcement at FIFA World Cup games in Los Angeles, following worker protests. Extra security will be deployed for Iran's matches due to heightened US-Iran tensions. Officials also warned of strict drone restrictions and a zero-tolerance policy for violations.

US authorities discovered an underground tunnel running from Tijuana, Mexico, to San Diego, USA, used for smuggling drugs and weapons. The tunnel was hidden beneath a fake discount store, and agents seized $45 million worth of cocaine. The discovery highlights ongoing cross-border smuggling challenges.

The US State Department has reaffirmed the sovereignty and territorial integrity of Somalia, explicitly stating that Somaliland is part of the Federal Republic of Somalia. This effectively closes the door on US recognition of Somaliland, which was recognized by Israel in December 2025. The move comes amid heightened strategic interest in the Red Sea region due to Houthi threats and the war on Iran, and follows secret visits by Somaliland's president to Israel and the establishment of a Somaliland embassy in Jerusalem.

Michel Issa, the US ambassador to Beirut and a political appointee with no prior diplomatic career, is set to participate in new Lebanon-Israel negotiations in Washington. Issa, a Lebanese-born businessman who renounced his Lebanese nationality, was nominated by President Trump. The article highlights the low proportion of career diplomats in Trump's second administration.

Huntington Ingalls Industries (HII) announced that its ROMULUS medium unmanned surface vessel (USV) has been selected by the U.S. Navy to advance to the at-sea testing phase of the Medium Unmanned Surface Vessel (MUSV) program. The ROMULUS USV is equipped with HII's Odyssey Autonomous Control Solutions, which enables multi-vehicle collaboration and sensor fusion. The platform is designed for missions including ISR, counter-UAS, mine countermeasures, and strike. The program aims to support distributed maritime operations and manned-unmanned teaming.

Former West Bengal Chief Minister Mamata Banerjee led a large sit-in protest in Kolkata against alleged post-election attacks on Trinamool Congress leaders and forced eviction of hawkers by the BJP-led state government. Separately, Indian Commerce Minister Piyush Goyal announced that 99% of issues in the first phase of the India-US bilateral trade deal have been settled. Nepal's ruling party chief Rabi Lamichhane visited New Delhi calling for closer ties with India. US Border Patrol arrested 30 Indian nationals for residing illegally while operating commercial vehicles.

Former Australian Environment Minister Peter Garrett is spearheading a crowd-funded independent inquiry into the A$368 billion Aukus submarine deal, Australia's largest defense project. The inquiry, supported by independent MPs and former military officials, will examine the deal's impact on national security, regional peace, nuclear waste storage, sovereignty, and relations with China. A report is due in October.

GDIT and AWS are partnering on Project Celerity, an AI-powered predictive logistics platform, to be tested during the Baja 1000 e-bike race. The system will analyze telemetry from electric bikes to predict optimal pit stops and battery replacements, serving as a proxy for contested military logistics. The project builds on GDIT's DOGMA platform and aims to improve energy management for robotic vehicles and special operations forces in degraded environments.