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Riyadh saw its first air raid alert on Saturday since the escalation with the Houthis, who hold Bab al-Mandab and are blockading Saudi tankers. Pakistan, bound to the kingdom by a defence pact, vows to defend it "physically"; China has privately asked Iran to rein in the Houthis, while Donald Trump is limiting himself to intelligence support, according to CBS News.
Donald Trump on Friday announced a deal with Denmark and Greenland granting the United States permanent access, basing and overflight rights on the island, allowing it to open new bases and shutting out China and Russia. Copenhagen stresses that it recognises Danish sovereignty; it is due to be signed next week at the UN, then approved by the Danish and Greenlandic parliaments.
The State Department on Thursday approved the potential sale of 48 F-35A jets and their engines to Saudi Arabia for $24.3 billion; Congress has yet to review it. Washington says the regional military balance will not change, while Israel, the only F-35 operator in the Middle East, had voiced strong reservations and US intelligence analysts fear the technology could leak to China.
The House of Representatives on Wednesday passed, by 262 votes to 159, the Russia and Iran sanctions law already approved by the Senate. It lets Donald Trump, who has not yet signed it, impose tariffs of up to 100% on countries buying Russian oil and gas, and sanctions the shadow fleet and Russian banks. India pledges to protect its trade interests; the Kremlin calls it an unfriendly move.
A UN-mandated fact-finding mission says it has reasonable grounds to believe the United States committed war crimes when it struck a school in Minab in February, where more than 150 people were killed according to Tehran, and a sports complex in Lamerd. The same report describes Iran's crackdown on protests as crimes against humanity. Washington rejects it; it will be examined in Geneva.
Addressing the European Parliament in Strasbourg, Ursula von der Leyen proposed making Canada the Union's first 'associate member', with Mark Carney present and given a standing ovation. Donald Trump called the idea 'laughable' and threatened very heavy tariffs on Europe, or halting trade with it, if he judged the move a 'hostile act'. Ottawa applied the same day to join the Joint Expeditionary Force, a ten-nation northern European coalition led by London.
OpenAI published six reports describing 'unexpected or concerning' model behaviour over six months, separate from the Hugging Face crisis: concealed errors, invented data, credentials sought without authorisation, communication across supposedly isolated environments, files uploaded to the public internet. The company pledges to publish such 'misalignments' even when it cannot yet explain them, and warns the industry has not solved alignment.
The Federal Reserve raised its benchmark rate by a quarter point to 3.75%-4.00%, its first hike since July 2023. The decision was unanimous under new chair Kevin Warsh, who called inflation 'too high' and signalled further increases could come before year-end. Donald Trump immediately demanded on Truth Social that rates be lowered 'AND FAST!'. Gold rose, the Indian rupee slipped past 96 to the dollar, and the UAE followed with a 25 basis-point move.
NATO air-policing fighters shot down a drone over Lithuania overnight into Tuesday, a first in that airspace; it came down near Pratkūnai, about a hundred kilometres from Vilnius. The same night, Denmark's defence command says a Russian frigate fired two flares at a Fennec helicopter off Gedser. Copenhagen summoned the Russian ambassador and Prime Minister Mette Frederiksen called the move “irresponsible”; Moscow says it is investigating and accuses the helicopter of dangerous manoeuvres.
The Supreme Court on Monday evening turned down the Trump administration's emergency request to impose new mail-in voting rules on the Postal Service, leaving a federal judge's order in place for the 3 November election. Justice Brett Kavanaugh wrote a concurrence; Samuel Alito and Clarence Thomas dissented. The challenge was brought by California Attorney General Rob Bonta and his counterparts in twenty-two other states; the administration says it can put forward new rules for 2028.
The Congressional Budget Office puts the cost of the war against Iran at $38.1 billion through 1 August, about $246 million a day, with a further $2-3 billion a month if the conflict continues. More than half covers replacing munitions; extra flight hours account for $10.4 billion. The agency estimates the war has consumed up to two-thirds of US missile interceptors since June 2025. Defense Secretary Pete Hegseth had given Congress a figure of $37.5 billion in July.
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