This article is the on-site version of Firstft Newsletter. Subscribers can sign up for the Asian, European/Africa and American versions to deliver their newsletter every morning. Explore all our newsletters here
Today’s Agenda: Suicide Bombing in Damascus. Spain’s NATO target opt-out. Revolut CEO lined up for Windfall. Tesla’s Robotaxis
Good morning and go back to firstft. The United States was drawn into another Middle East war and yesterday bombed three nuclear sites in Iran. This is what happened and what to expect.
Current Situation: The US B-2 stealth bomber led an attack on Fordor, Natantz and Isfahan using what Secretary of Defense Pete Hegses called “the wrong direction.” President Donald Trump claimed that the site was “completely and completely gone,” but the extent of the damage is still being assessed. It relies heavily on the location of Iran’s 408kg stockpile of 408kg uranium, and is abundant to levels that range in weapon grades. Israel and Iran traded more airstrikes this morning.
Global fallout: Crude oil prices have reached a five-month high filled with fear of Tehran retaliation by attacking the local energy infrastructure or closing down key straits in Hormuz. Gold prices rose during early trading in Asia, before cutting profits, but the US dollar also recovered. Over 150 airlines have suspended or diverted flights due to the conflict. British Airways and Singapore Airlines cancelled their flight to Dubai yesterday.
What’s next? US officials said there was no plans for further attacks unless Iran returns, but Trump raised the possibility of a “change of administration.” He will chair the National Security Council today. Tehran is considering whether it is a UN call to retaliate or listen to European countries or a diplomatic solution. Iranian Foreign Minister Abbas Araguchi is meeting today with Russian President Vladimir Putin, one of Tehran’s closest allies. Israel shows that it will push it forward with a bombing attack on Iran.
Follow our live blog for the latest updates. There is more analysis of competition.
Gideon Rachman: Tehran’s grand strategy has failed, but it cannot be successful for Israel and the US, our Chief Foreign Affairs Commentator writes.
Trump Gambling: The US strike could backfire the president who vowed not to draw America into a new global conflict.
Transactions are possible. Iran needs to show flexibility and the US must move away from its biggest demands, writes Ellie Guerranmai of the European Council of Foreign Relations.
FT View: Trump’s Step into Darkness makes the world a more dangerous place, our editorial board wrote.
Join FT journalists and guests on Wednesday in a subscriber-only webinar and include any questions about the conflict on the panel. Please register here. And here’s the other thing I’m watching today:
UK: Keir Starmer ir invests £2 billion over four years to cut energy prices for thousands of companies. Read the Prime Minister’s Sales Prime Minister in FT when he announces his long-awaited industrial strategy.
Brussels: EU foreign ministers will meet to discuss sanctions on Russia and Ukraine for the expiration date, and the bloc will hold a summit with Canada. European Central Bank Chief Christine Lagarde is working on the European Parliament.
Macron, Norway: At the start of the two-day state visit, Harald V and Queen Sonja welcome the French president and his wife Bridget.
Five more top stories
1. At least 20 people were killed in a suicide bombing at a church in Damascus yesterday evening. This is the first major security incident in the Syrian capital, which the Assad regime fell into over in December last year. The Syrian government said jihad group ISIS is responsible for the attack.
2. Spain has secured an opt-out from Trump’s demand for NATO defence spending targets, the country’s prime minister said. Pedro Sanchez announced his contract this week ahead of the Military Alliance summit. Allies are expected to agree to spend 5% of their GDP on defense.
3. Exclusive: Revolut’s CEO is lined up with billions of dollars of pimples if he triples its current valuation to about $150 billion. Those familiar with the issue say Nick Stronski, who founded FinTech in 2015, will see his stock increase significantly under the long-standing Elon Musk-style pay trade.
4. European countries are facing more payments for drugs due to Trump’s plan to cut US drug prices, industry experts warn. European countries could resist a significant price rise as their budgets are stretched and many contracts with businesses are long. This could also mean that we will not fire new drugs in these markets.
5. Tesla’s Robotaxi service, launched yesterday in the company’s hometown of Austin city, was boarded with around 10 vehicles and human safety drivers amid scrutiny of regulations on autonomous driving technology. CEO Elon Musk has promoted self-driving taxis as the future of electric car makers who flag him.
Detailed news
Mark Zuckerberg is betting over $14 billion, and is betting that the 28-year-old is the catalyst needed to catch up with rival races to develop and commercialize artificial intelligence. The boss of Meta recently made a deal to buy 49% of the scale AI, but the real award was the data labelling business head Alexandr Wang.
We’re reading too. . .
Back to the office: When top executives work remotely, it becomes more difficult to drag everyone else to the desk, writes Pirita Clark.
Serial CEO: Higher pressure and scrutiny often leads to a “one-on-one” approach, Anilli Laval writes.
Fred Smith: The man who founded FedEx in 1973 and resigned as CEO just three years ago passed away on Saturday. He was 80 years old.
The chart of the day
Germany and Italy are facing calls to move their money out of New York following Trump’s repeated attacks on the Federal Reserve and increased geopolitical turbulence.
Take a break from the news
Is F1 the final hope for the originality of a summer blockbuster? Hollywood relies on sequels and is rebooting more than ever, writes FT film critic Danny Lee. If Apple’s motor racing movie fails, it could be the end of the road for new ideas.
