2026, day 237 Good morning from Asia. ‘Bessent Launches ‘Operation Economic Outcast’ to Isolate and Squeeze Iran’ (WSJ); ‘US widens sanctions on Iran but withholds more punishing options’ (Reuters) - “other ‌countries would need to sever business ties with Iran or risk being forced out of the dollar-based financial system.”; ‘What are Iran's options to escalate further in face of US economic threats?’ (Reuters); ‘Iran threatens 46 ships in Strait of Hormuz transit crackdown’ (FT); ‘Houthis claim strike on Saudi tanker in latest Red Sea escalation’ (Euronews); ‘U.S. Says Oil Is Pouring Through Hormuz. Trackers Can't Find It.’ (WSJ); ‘Saudi Arabia holds talks over state-backed war insurance as costs jump’ (FT); ‘Netanyahu says Iran ‘tried to murder one of my sons,’ doesn’t give further details’ (ToI); ‘‘Where to kill Barron Trump?’: Iran said to put $10 million bounty on US president’s son’ (ToI); ‘MBS, Macron urge negotiated solution on Iran, discuss Gaza during state visit’ (Al Arabiya); ‘PLA Air Force elite fleet lands in Egypt for joint drill’ (China Daily); ‘US removes Syria from state sponsor of terrorism list’ (AFP); ‘Greece warns Turkey against violating sovereign rights, vows response from 'position of strength’' (JPost); ‘European leaders rally around Ukraine amid Russian onslaught’ (Euractiv); ‘Ukraine faces €23B defense funding hole as Western cash lags’ (Politico); ‘Ukraine hands UK intelligence ‘goldmine’ to foil Putin’s saboteurs’ (Telegraph); ‘How a country with no army is preparing for war’ (Telegraph); ‘Armenia to start EU bid in 'near future'’ (Euractiv) - “Yerevan will hold a referendum on EU membership”; ‘Burnham: Britain must be bolder about moving closer to EU’ (Telegraph); ‘Trade war could affect defence relationship between Canada and U.S., experts warn’ (Globe & Mail); ‘Australia's woeful ADF spending gaps exposed as Donald Trump targets underspending nations’ (News24); In geoeconomics, ‘Canada's Carney Puts His 'No Deal Is Better Than a Bad Deal' Doctrine to the test’ (WSJ); ‘Trump threatens 50% tariffs on all cars and trucks from Canada amid trade fight’ (Reuters); ‘Why Canada will suffer from Carney trying to ‘out-tough’ Trump’ (Telegraph); ‘Canadian businesses fear ‘vortex of downward pressures’ from Donald Trump’s tariffs’ (FT); ‘'Not viable' to cut off Alberta energy exports to U.S., Danielle Smith says’ (National Post); ‘The Danube is drying up. Europe still has no plan.’ (Politico); ‘Black Sea, drought and Hormuz crises squeeze global food security’ (Euractiv); ‘US Eyes China Overcapacity Tariffs of 7.5% Before Xi Visits’ (BBG); ‘Taiwan Indicts Nvidia Manager Following Chip Smuggling Probe’ (BBG); ‘US plans nuclear-powered merchant fleet to challenge China's shipbuilding dominance’ (FT); ‘S. Korea Denies Report US Proposed It Buy Stake in Westinghouse’ (BBG); ‘US widens Al-driven investment gap with Europe’ (FT); ‘China's Economic Pull Defies Trump's Push for Hemisphere Control’ (BBG); ‘US targets China’s telecoms grip in Venezuela with new sanctions carve-out’ (SCMP); ‘China boosts coal's economic value 700% after turning it to liquids: report’ (SCMP); ‘China Puts Brave Face on Weak Growth in Rare Defense of Economy’ (BBG); In politics, ‘Court Allows Trump to Pursue Mail Voting Limits, for Now’ (NYT); ‘Trump Quietly Asserts Control Over Postal Service Amid Plans to Overhaul Voting’ (NYT); ‘Trump administration proposes $103,000 fee for H-1B visas after legal setback’ (WaPo); ‘Trump administration preparing to revoke visas of up to 200K foreigners in largest mass visa revocation ever’ (The Hill); ‘Germany’s establishment has a plan to contain the far right. Sort of.’ (Politico); In markets, ‘Scott Bessent takes on bond vigilantes in $32tn Treasury market’ (FT); ‘Treasury market interventions are only a band-aid’ (FT) - “Bessent’s moves on the yen and long-dated bonds do little to assuage markets long-term”

ARMY SECRETARY DAN DRISCOLL HAS SUBMITTED HIS RESIGNATION TO TRUMP AFTER MONTHS OF TENSION WITH DEFENSE SECRETARY PETE HEGSETH OVER ARMY LEADERSHIP AND THE REMOVAL OF SENIOR OFFICERS, WITH DRISCOLL EXPECTED TO LEAVE THE PENTAGON WITHIN DAYS - WSJ

Army Secretary Dan Driscoll is considering stepping down from his post by the end of the year, @CBSNews has learned. It comes after months of behind-the-scenes friction between him and Defense Secretary Pete Hegseth.