Zero Rss

Marvell Soars After Nvidia CEO Says Chipmaker Is Headed For Trillion-Dollar Club

Computex 2026 in Taipei is underway for the second day.

Let's begin with Monday's wrap-up of the event:

• Nvidia CEO Declares AI PC Reinvention A "New Beginning" On Par With Smartphone Shift

• AI, Chips, Humanoid Robots: Top Takeaways From Computex 2025

There was no shortage of fireworks on day two, as Nvidia CEO Jensen Huang took the stage and greeted Marvell Technology CEO Matt Murphy, stating that the fabless semiconductor company that designs chips will be "the next trillion-dollar company."

$NVDA CEO Jensen Huang says $MRVL could 5x and become “the next trillion-dollar company.”

Marvell is one of the few companies with exposure to both custom AI silicon and networking fabric connecting modern AI data centers. https://t.co/5rDcHLa0eJ pic.twitter.com/12C7IYTDWQ

— Shay Boloor (@StockSavvyShay) June 2, 2026

Pumpmaxxing...

» Be Nvidia

» Invest $2 billion in Marvell

» Introduce them as “the next trillion dollar company”

» Stock goes up 40% overnight on remarks

Wild times! https://t.co/h9QXmOE0l3

— Brandon Carl (@brandonjcarl) June 2, 2026

Huang's comments catapulted Marvell shares, sending the stock up 26% in premarket trading and extending what was already a stunning 158% year-to-date rally as of Monday's close.

A move to a $1 trillion market cap would imply more than a fivefold increase from the semiconductor and networking company's current valuation. Huang noted that Marvell's valuation will soar now that the age of "useful AI has arrived."

The stock has 44 "Buy" ratings, 6 "Holds", and zero sells. What could possibly go wrong?

For context, Marvell's business is data infrastructure silicon, meaning the chips and networking tech that help data move, store, process, and connect inside cloud and AI data centers.

Nvidia sells GPUs, but giant AI data center clusters also need ultra-fast networking and interconnects so all those GPUs and servers can function as a single system. Marvell is one of the companies positioned to supply that connective tissue:

• Custom AI chips and ASICs for hyperscalers
• High-speed networking chips that connect servers and GPUs

• Optical and copper interconnects that move data inside and between AI clusters

• Ethernet switches

• Storage and memory-controller chips

• Data-center, telecom, enterprise, auto, and carrier infrastructure silicon

Also notable at Computex 2026 was SK Group Chairman Chey Tae-won, who told reporters that his memory chip company plans to double its wafer capacity over the next five years.

"We are going to double the whole capacity over the next five years ... there are a lot of obstacles and hurdles, but we will get over them and expand," Chey told reporters.

SK Hynix remains one of the top players in the AI memory chip market, holding 58% of the global HBM market in the first quarter, well ahead of Samsung and Micron, which each held 21%, according to Counterpoint Research.

Must Read:

• Will $800 Billion In AI Capex Spending Boost US GDP: The Surprising Math That Leads To Disappointment

The broader takeaway is that AI demand is expanding the club of trillion-dollar market companies, with the latest Bloomberg data showing about 15 companies.

Tyler Durden Tue, 06/02/2026 - 08:15

Britain's White 'George Floyd' Moment?

Update: Vickrum Singh Digwa, 23, received a life sentence with a 21-year minimum on Monday for the murder of 18-year-old Henry Nowak.

Judge William Mousley describes Nowak as a “much-loved, kind, hard-working and ambitious young man, devoted to his family and with a bright future.”

Mousley includes agonizing testimony from Nowak’s family: Nowak’s death has caused his sister’s world to “fall apart,” she said; Nowak’s father describes his son’s death as a “life sentence” for the family.

The judge then details the extensive lies he believes Digwa told to evade responsibility for the murder.

'His murderer was afforded decency. He was believed'

Henry Nowak's father says the 'contrast' in the police's treatment of his son and his murderer is 'unbearable' in a statement after Nowak's killer was sentenced to 21 years in prison. pic.twitter.com/9w8A35hpMp

— GB News (@GBNEWS) June 1, 2026

As Daily Caller noted, Mousley more or less excused the actions of the responding police officers, writing they “honestly believed that there were reasonable grounds for suspecting Henry had committed an offence and arrested him.”

*  *  *

As Bruce Oliver Newsome detailed earlier via American Greatness, this had all the ingredients (except inverted) to become Britain's white 'George Floyd' moment.

If police see racism before they see a man bleeding out, something has gone profoundly wrong with justice.

Police handcuffed and arrested an 18-year-old while he was bleeding out from multiple stabbings because the stabber, a Sikh, accused the victim, a white man, of racism.

The stabber showed no signs of being the victim of violence. He said the man lying in his own blood on the ground had knocked off his turban in a drunken racist attack. And for that, the police arrested and handcuffed the victim.

The victim had been stabbed once in the face, twice in the legs while trying to escape over a fence, and once in the lung. But somehow the police claim not to have been aware of his wounds.

Vickrum Digwa, the 23-year-old stabber, was carrying two blades: an 8-inch “shastar” openly, and a smaller “kirpan” around his neck and under his clothing. During the trial, the prosecutor said that Digwa had “been training with weapons since the age of 12,” slept with weapons, and used “loving terms” when speaking about the murder weapon.

Digwa’s defense barrister claimed religious allowance for openly carrying knives that are illegal for the rest of us to carry. And the judge instructed the jury to consider whether the stabber had a good reason, such as self-defense or religion, to carry his weapons. The national government says that courts should decide what is legal to carry. The police federation says there is no limit on the size of the blade that can be carried with religious allowance.

Police initially arrested and handcuffed the victim without treating his wounds and without detaining the stabber.

On Thursday, May 28, the stabber was convicted of murder. The court found that the stabber had certainly not told the whole truth. He had told arriving officers of racist provocation but denied stabbing anyone.

There is no evidence for any racism other than the retrospective verbal claims of the stabber and his brother, who arrived after the stabbings and who made a call to emergency services claiming his brother was a victim of racism. He too did not mention any stabbing.

The perp’s father and mother also showed up at the scene. The mother helped to conceal the weapons.

The victim did not know his murderer. The victim was walking home around 11:30 p.m. on December 3, 2025, from a night out with his university soccer team in Southampton. He was well-dressed and well-groomed. He had drunk less alcohol than would have put him over the driving limit. But Digwa claimed to be attacked by a racist drunk. And the police believed him.

What will the consequences for the police entail?

The police force (Hampshire) referred itself for independent investigation but is also making excuses.

They claim that the stabbings were not obvious to officers, despite a trail of blood, and despite the victim repeatedly saying he had been stabbed and couldn’t breathe.

The police force maintains that officers could not have known the victim was suffering from internal bleeding. Yet the victim had been stabbed five times, of which one stabbing went 8 cm (more than 3 inches) into his lung. The blade itself is 21 centimeters (8 inches) long.

The police force isn’t publicly pondering whether the police officers should have examined rather than arrested the victim.

The police force says the victim couldn’t have been saved, but the victim didn’t die for another hour.

The police force says it is the victim of the stabber’s lies and that its officers were obliged to act on the stabber’s false accusations of racial provocation. But aren’t officers trained in judgment, to use their freaking eyes, to not make hasty judgments, and to care for even the perps? Wasn’t the victim’s plight obvious and the other party’s rude behavior equally obvious?

Note that the police force didn’t refer itself for investigation until the day of the conviction, almost six months after the murder.

And the police force still hasn’t released bodycam footage, even though one justification for introducing bodycams was to reassure the public of impartiality in racially sensitive cases, following the BLM explosion in 2020. The trial has concluded, so there can be no concerns around contempt of court by releasing footage.

[ZH: police just released the bodycam - its not embeddable]

Note that in other cases, such as the stabbings of girls at Southport in 2024 and the rape of a child in Nuneaton in 2025, local police, courts, and national government fell over each other to cover up the non-white race of the perpetrators, to warn against white racist misinformation, and even to prosecute some of the supposed misinformers for supposedly promoting hate.

I bet the Independent Office for Police Conduct (IOPC) won’t be investigating what journalists and opposition politicians have already identified: the racism of anti-racism.

Matt Goodwin, an academic and candidate for Parliament representing Reform UK, writes that “Henry Nowak now joins a growing list of people that most people in Westminster have probably never heard of—Terence Carney, Thomas Roberts, Victoria Agoglia, Lucy Lowe, Charlene Downes, Wayne Broadhurst, Rhiannon Whyte, among countless more—all of whom happen to belong to the wrong identity group to be considered worthy of serious discussion and attention,” after being murdered or raped by immigrants or the progeny of immigrants.

The Critic’s Tom Jones tweeted that “were the races reversed, this could be a story from the Jim Crow South that became a cause célèbre of the Civil Rights movement.”

The Spectator’s David Shipley wonders whether the police are so primed to posture as anti-racist (that is: anti-white racist) that they were blind to the evidence on and from the victim because he is white and gullible towards the stabber because he is not white.

Ed West, author of the classic The Diversity Illusion, reports that even the prosecutor went out of his way to avoid accusing the perpetrator of racism. “This is not a case about Sikhism. This is not a case about racism. This is a case about murder.” But as Ed West notes, the same defender made this a case of anti-racism.

This is a case with a false accusation of racism and a false justification of anti-racism for homicide, including labeling the victim as racist partly because of his different color.

So isn’t that racist?

You won’t find such questions in the mainstream media. The Guardian does not report the police’s actions at all and was at pains to specify the justifications for carrying a kirpan.

Worst of all, where the BBC reports on the police force’s decision to refer itself for investigation, the BBC goes out of its way to claim that “Digwa . . . had used a blade he said he carried because of his Sikh faith.” In fact, the jury had not formally agreed with that claim from the defense.

Anti-racism is racism, and British police are racist.

The name of the victim is Henry Nowak. Say his name.

And remember his last words: “I can’t breathe.”

But protesters aren’t blockading the streets. Keir Starmer isn’t taking the knee. Politicians aren’t calling on the public to chant his name or his last words, unlike in the case of the career criminal George Floyd, who almost certainly died of a fentanyl overdose.

Tyler Durden Tue, 06/02/2026 - 08:10

Another Hurricane Season Is Underway: What To Know

Authored by T.J.Muscaro via The Epoch Times,

June 1 marked the start of yet another hurricane season for the Atlantic Ocean, Caribbean Sea, and Gulf of America. 

The National Oceanic and Atmospheric Administration (NOAA) is forecasting a lower-than-average number of named storms between now and Nov. 30 thanks to “El Niño.” This is a recurring weather event known to lower the jet stream over the southeastern United States and create an environment in the Gulf and Atlantic less friendly to hurricane development.

But every storm that ultimately manifests will be monitored with the help of a new array of AI and drone technologies.

Commerce Secretary Howard Lutnick praised the adoption of what he called “the most advanced forecast modeling and hurricane tracking technologies,” promising it would allow NOAA to provide “real-time storm forecasts and warnings” with “the most accurate information possible.”

However, the government’s weather experts made clear that advanced forecasting capabilities and a lower storm count do not signal any decrease in potential damages.

“Although El Niño’s impact in the Atlantic Basin can often suppress hurricane development, there is still uncertainty in how each season will unfold,” said NOAA’s National Weather Service Director Ken Graham. “That is why it’s essential to review your hurricane preparedness plan now. It only takes one storm to make for a very bad season.”

Forecast: 8-14 Named Storms 

Between June 1 and Nov. 30, NOAA predicted that eight to 14 named storms—well-formed cyclones with sustained winds of 39 mph or higher—will form in the Atlantic Basin. Of that total, three to six are forecast to reach hurricane status (cyclones with sustained winds of 74 mph or greater), with one to three expected to become major hurricanes (storms labeled Category 3-5 with sustained winds reaching 111 mph or more). 

An “average” hurricane season produces 14 named storms, with seven of those being hurricanes and three reaching major hurricane status. 

Hurricane season probabilities from NOAA's 2026 Atlantic Hurricane Season Outlook. Courtesy of NOAA

The forecast reflects the return of El Niño, but NOAA also noted that warmer-than-average waters and weaker-than-average trade winds are anticipated. This is a combination favorable for storm development.

The 2025 hurricane season produced 13 named storms: four tropical storms, five hurricanes, and four major hurricanes. It was also the first time in 10 years that no hurricane made landfall in the United States.

But the annual devastation still made its mark as Hurricane Melissa ripped across Jamaica with maximum sustained winds of 185 mph. It was one of the most powerful hurricanes on record to make landfall, leaving as much as 70 percent of the western half of the island uninhabitable.

NOAA advises all citizens living in hurricane-vulnerable areas to consult its online safety and preparation guides. 

AI, Drone Forecasting Tools

NOAA and its National Hurricane Center will unleash a swath of new data-collecting technologies this hurricane season. 

Drones built for air and sea by industry partners such as Saildrone and Black Swift will venture into corners of an active hurricane that are too dangerous for crewed missions. 

Two Saildrone Explorers launched during the 2021 hurricane season from Jacksonville, Fla. Courtesy of Saildrone

More than two dozen surface vehicles will collect data on wind speeds, wave heights, air temperature and pressure, as well as ocean temperature and salinity as a storm passes overhead. Other data-collecting tools will be used to study subsurface ocean temperatures and salinity and their relation to hurricane development.

Meanwhile, aerial drones will work side by side with the crewed Hurricane Hunter flights. They will collect data from corners of the cyclone too dangerous for people to fly through, including ultra-low altitudes where the storms meet the sea. NOAA said the drones were expected to improve the accuracy of its Hurricane Analysis and Forecast System by as much as 10 percent.

NOAA’s Atlantic Oceanic and Meteorological Laboratory is also using machine learning to improve data collection capabilities of the Hurricane Hunter planes’ tail doppler radar by 25 percent. 

Upgraded forecast prediction models will also be unveiled this season. By using AI tools, these new models will better indicate a storm’s predicted intensity. 

“Instead of replacing traditional models, AI is helping them to become smarter, faster and more effective,” said Hiro Murakami, a scientist at NOAA’s Geophysical Fluid Dynamics Lab. “Early results show this approach can improve forecasts of how active a hurricane season will be.” 

As of June 1, the National Hurricane Center announced that no tropical cyclone activity was expected in the Atlantic for the next seven days.

Tyler Durden Tue, 06/02/2026 - 08:05

Abivax Crashes Most On Record After Cancer Cases In Trial Data Spooks Wall Street

French biotech Abivax suffered its largest intraday decline on record after reporting new data on its lead experimental inflammatory bowel disease drug, which showed cancer cases among patients in the clinical trial. The new data certainly point to regulatory headwinds and raise the risk profile for approval.

Abivax's ABTECT maintenance data showed strong efficacy readout, with both once-daily obefazimod doses meeting the primary endpoint at week 44. Clinical remission rates were 50.8% for the 25 mg dose and 51.3% for the 50 mg dose, versus 10.4% for placebo, implying placebo-adjusted remission rates of about 39% to 40% and highly statistically significant results.

The problem for the stock was not efficacy, but safety optics...

Goldman analyst Esah Hayat pointed out that the market was focused not on efficacy but on cancer cases among patients taking the higher doses of obefazimod:

ABTECT maintenance trial out yday (press release) – "at week 44, both the 25 mg and 50 mg once-daily obefazimod doses met the primary endpoint, demonstrating placebo-adjusted clinical remission rates of ∆39.3% and ∆40.3%, respectively (25 mg: 50.8%, 50 mg: 51.3% vs placebo 10.4%; p<0.0001)."

Though no new safety signals were observed per the press release, the safety results summary table (below) indicated 8 cases of malignancy, which spooked the market. Note, a number of investors are in this name for the M&A takeout story which could be muddied on this update. Mgmt did host a call on the results in which they did suggest the malignancies observed do align with background rates in UC (e.g. here for basal cell carcinoma), and weren't considered a new safety signal by monitoring committees. Wonder if this becomes a Fenebrutinib-like situation where market goes negative on headline safety imbalance, those are explained away as non-treatment linked at a detailed presentation and docs come out in support of the drug, and we see a re-rating.

The pushback this morning is that pharma BD teams are now unlikely to take on the risk here – and that this is now a solid solo story with fair value likely still in the $100+ region, and so there is upside out of today's levels but in fairness, not many (visible) catalysts to realise it – CD data in mid-27. And we are in a challenging biotech tape as it is, with SMMT -10% yday on myopic focus around >65 age subgroup, despite mgmt assuring this was due to baseline imbalances (which had been addressed at 2025 ESMO too, no less) and after adjusting for these, PFS HR would've been an in-line 0.69, not 0.88 (note).    

In a separate note, Jefferies analysts stated, "The cancer signal complicates matters. Even if it is unrelated noise, we think the overhang will be real, especially considering the absence of other value-inflecting data events over the next year."

They noted that "a reasonable explanation" for the cancer cases was plausible, but "it doesn't seem like an easily dismissed overhang." This prompted the analysts to downgrade the stock from a "Buy" rating to "Hold."

Abivax shares in Paris crashed 31.4%, exceeding the 31.03% drop on June 6, 2016.

All gains for 2026 were wiped out.

Analysts tracked by Bloomberg were overwhelmingly bullish, with 4 "Buy" ratings, 1 "Hold," and 0 "Sells."

"While the malignancy signal cannot be ignored, we view it as a potential labeling overhang rather than evidence of a clear causal safety risk," Stifel analyst Damien Choplain told clients.

CNBC noted, "Abivax has been positioned as a prime takeover target, with unconfirmed rumors that big pharma has its eyes on the clinical-stage biotech led by CEO Marc de Garidel." 

The key question now is whether Abivax remains a "prime" takeover target after the cancer overhang complicated what had been a clean M&A story in the rumor mill. 

Tyler Durden Tue, 06/02/2026 - 07:45

Trump Slashes Tractor Tariffs In Bid To Revive Ag Belt Optimism

The Trump administration appears to be trying to inject new optimism across the nation's farm belt following the China meeting last month, during which Beijing committed to making billions of dollars of new purchases of U.S. agricultural goods. The White House's latest move is to reduce tariffs on tractors and combines, a policy shift aimed at easing cost pressures on farmers already squeezed by diesel, fertilizer, and machinery costs.

Late Monday, President Trump signed a proclamation slashing tariffs on imported agricultural equipment, including combines and harvesters, from 25% to 15% to lower costs for US farmers and manufacturers.

More color from the White House:

• The Proclamation adjusts the tariffs on agricultural equipment, like combines and harvesters, as well as certain other equipment, from 25% to 15%.  

• The Proclamation also expands the existing category of industrial equipment subject to a 15% tariff to include mobile industrial equipment, like bulldozers and forklifts, when imported from trade deal countries that are entitled to such treatment.

• The Proclamation encourages foreign companies to use more U.S. steel and aluminum by allowing them to qualify for a 10% duty rate, if their capital equipment include at least 85% U.S. melted and poured or smelted and cast steel or aluminum by weight.

• These tariff changes are temporary, lasting until December 31, 2027, to spur near–term investments that will rebuild the Nation's industrial base.

The move is a clear attempt by the Trump administration to spur optimism across the nation's farm belt following China's commitments last month to purchase $17 billion annually in additional U.S. agricultural goods.

The latest reading of the US ag economy via the Purdue University/CME Group Ag Economy Barometer has been fading from a summer 2025 peak as trade wars and, now, the Gulf-related energy shock hurt farmers' incomes.

Trump's directive sent shares of the Japanese agricultural and industrial machinery company Kubota up 5% in Tokyo trading.

Efforts to boost farmer sentiment come ahead of the midterm election cycle, which is gearing up and is only 154 days away.

Tyler Durden Tue, 06/02/2026 - 06:55

Net Zero & Statism Deliver Stagnation: How Interventionism Undermined Growth In The UK & Canada

Authored by Daniel Lacalle,

Governments are terrible at picking winners and even worse at choosing losers. Net zero and interventionist “Keynesian” policies in Canada and the UK have proven that government intervention has created a worse outcome than anyone would have expected. The result is higher costs, distorted incentives, and weakened productivity growth, with increased dependency on fossil fuels to attend to peak demand, exactly what Austrian economists predicted.

What has been sold as a recipe for prosperity and “green growth” has in practice eroded affordability while failing to deliver stronger, sustainable expansion.

It is not surprising to see that the world’s examples of green interventionism, the UK and Canada, have become economic failures. Years ago, some argued that these policies needed time to prove their success. Now, it is not even debatable that the stagnation and recession in the UK and Canada are self-inflicted.

Net zero in Canada and the UK is not a single policy but an entire regime of targets, regulations, limits, subsidies, and new bureaucratic requirements.

The Canadian federal plan to reach net-zero emissions by 2050 combines rising carbon taxes, prescriptive regulations, technology mandates, and public investment schemes intended to steer capital away from fossil fuels and into politically selected “green” projects.

In the UK, the government’s “Net Zero Growth Plan” is also built on regulatory limits, spending commitments, and industrial policy designed to phase out conventional energy and reshape entire sectors through top-down planning.

This is a classic example of interventionism. The state attempts to override market price signals and entrepreneurial judgment to engineer a politically preferred energy and industrial structure and achieves the opposite of what it wants to deliver. Rather than relying on decentralized knowledge, competition, technology, and creative destruction, dispersed among millions of consumers and firms, net zero regimes assume that politicians and regulators know exactly which technologies should win, what the “right” energy mix ought to be, and how fast the transition should occur.

In an open market, prices and profits coordinate production across time, and entrepreneurs interpret prices as signals about real scarcities and consumer preferences. However, net-zero policies deliberately tamper with these signals. Carbon taxes, subsidies, and regulatory mandates change relative prices not because underlying preferences or scarcities changed but because policymakers decided that certain activities should be penalized and others subsidized. All this is justified by a completely ideological and unreliable assumption of externality costs, where governments present themselves as the ones that know precisely what those alleged externality costs are and try to push a pricing signal imposed through ideology, creating enormous distortions that, ultimately, end benefiting the “old” and “loser” industries.

Governments are not worried about the failure of these policies. Bureaucrats always believe that interventionism did not work because there was not enough of it. Therefore, they impose additional burdens and regulations while portraying themselves as the solution to the inflation and stagnation problems they have caused.

In both Canada and the UK, this has pushed vast amounts of capital into projects that are unprofitable and can only subsist due to policy support rather than genuine market demand. “Green industrial strategies” crowd out investment in other sectors, especially in traditional energy and manufacturing, even when those sectors still deliver higher value at lower cost to consumers. Austrian theory predicts that politicized credit and subsidies will generate malinvestment: projects that look viable under distorted interest rates and prices but which fail to cover their costs once the policy support is withdrawn or the fiscal burden becomes unsustainable.

Canadian long-run productivity growth has fallen from annual rates above 3% in the postwar decades to less than 1% since 2000, despite repeated waves of policy activism and “pro-productivity” rhetoric. Chronic underinvestment in business capital and weak technological progress as key drivers of this decline, suggesting that the policy mix has not created an environment for genuine, bottom-up innovation. The more that investment decisions depend on regulatory favor and subsidy access, the less they depend on entrepreneurial assessment of consumer wants and long-term profitability.

Net zero has also harmed affordability in exactly the way Austrian economists would expect when governments interfere with relative prices. Carbon pricing, renewable mandates, and restrictions on fossil-fuel projects increase energy costs directly by making reliable sources of power more expensive or scarce. These higher input costs then cascade through the economy to transport, food, housing, and manufactured goods, eroding real wages and living standards.

In both Canada and the UK, affordability has become a central political issue. Households face higher utility bills, fuel costs, and housing expenses, while governments insist that the transition is “pro-growth” and “pro-jobs.” From an Austrian viewpoint, this contradiction is unsurprising: when the state deliberately raises the cost of dominant energy sources and limits investment in efficient, market-chosen technologies, the outcome is necessarily higher prices and reduced real income for consumers, especially for low- and middle-income households.

The C.D. Howe Institute has calculated the costs of justifying public “stimulus” projects based on their benefits, showing that a typical public-services stimulus in Canada needs to create at least 73 cents in benefits for every dollar spent, while many infrastructure projects must improve productivity by at least 61 cents per dollar just to be socially acceptable. This illustrates how difficult it is for discretionary fiscal programs to deliver genuine, net productivity gains, especially when they are designed around political objectives like net zero rather than around consumer demand.

Loose money, loose budgets, weak growth

Energy policy is just one aspect of the overall narrative. Canada and the UK have also pursued aggressively expansionary fiscal and monetary policies recently, justified in the language of Keynesian stabilization and “stimulus.” Central banks slashed interest rates and expanded their balance sheets, while governments ran large deficits to finance transfer programs, public investment packages, and targeted subsidies.

Such policies create an artificial boom by pushing interest rates below their market level, encouraging borrowing and investment that are not backed by genuine savings. When combined with interventionist climate and industrial policies, the result is a double distortion: not only is the cost of capital suppressed by central banks, but its allocation is further skewed by political targets and bureaucratic criteria.

The persistent weakness of productivity growth in both countries reflects the outcome. Despite waves of stimulus and intervention, neither Canada nor the UK has returned to the trend growth rates of earlier decades. Research on why productivity is stuck in advanced economies shows that slow business investment, poor use of resources, and uncertain policies are major problems—exactly what Austrian theory warns about when governments try to control demand and manage entire industries.

At the same time, the loose monetary and fiscal stance has fueled asset inflation and housing booms, worsening affordability while doing little to raise real wages in line with living expenses. For Austrians, this pattern is predictable: credit expansion inflates asset prices and encourages leverage, while deficit spending diverts resources from productive private activity toward politically selected uses, without solving underlying structural obstacles to innovation and entrepreneurship.

The “dynamics of interventionism” described by Austrian scholars such as Frank Shostak and Huerta de Soto captures what is now playing out in Canada and the UK. Initial interventions—carbon pricing, subsidies, ultra-loose money—create side effects such as higher energy costs, misallocated capital, and inflationary pressures. Rather than rolling back the original policies, governments respond with further interventions: price caps, windfall taxes, rent controls, targeted transfers, and new stimulus packages.

More layers mean more complexity, uncertainty, and lobbying, which sucks talent and capital out of productive activity and into regulatory arbitrage and rent-seeking. In the end, the private sector becomes less about serving consumers and more about navigating the policy maze, bidding for subsidies, and changing business models based on political risk, not market signals.

This process tends to push mixed economies toward either more radical intervention and taxation, because the accumulating distortions and contradictions become unsustainable. Rising public debt, chronic productivity stagnation, and growing discontent over affordability are all signs that the current policy mix in Canada and the UK is reaching such a breaking point.

An Austrian approach to the problems of growth, productivity, and affordability in Canada and the UK would start from the opposite principle: radically reduce the role of the state in credit allocation, industrial planning, and energy choices. The goal would be to restore genuine price discovery in interest rates, energy markets, and capital allocation, rather than using central banks and fiscal policy to engineer demand and support politically favored sectors.

That would require ending the “permanent emergency” stance in monetary policy and allowing interest rates to reflect real-time preferences and savings, rather than central-bank discretion; rolling back net zero mandates, technology bans, and targeted subsidies allow entrepreneurs and consumers to decide which energy sources and technologies best serve their needs at the lowest cost; and moving from government spending based on political choices to a system with clear rules and less government involvement that safeguards property rights, upholds contracts, and maintains low and steady taxes and regulations.

Under such a regime, capital would no longer be herded into fashionable, subsidy-dependent projects. Instead, entrepreneurs would once again be guided by undistorted profit and loss, discovering the production structures that genuinely align with consumer preferences and technological realities. Over time, such an approach is the only path consistent with higher productivity, faster real wage growth, and true improvements in affordability.

In short, the disappointing growth and deteriorating affordability in Canada and the UK are not market failures; they are the predictable result of layering net zero interventionism on top of already inflationary, deficit-driven macro policy. The solution is not more of the same but a decisive shift back toward sound money, fiscal restraint, and genuine economic freedom.

Tyler Durden Tue, 06/02/2026 - 06:30

Trump Reportedly Ripped Netanyahu In Phone Call, Demanded Lebanon Truce: 'You're F**king Crazy, I'm Saving Your Ass' Summary

• Axios reports angry call between Trump and Netanyahu; Trump is said to have told Netanyahu "you’re fucking crazy’" while demanding Lebanon truce: "I’m saving your ass,"
• Trump has announced the "shooting will stop" in Lebanon, after phone calls with both sides. Says Iran talks back on "at rapid pace"; Lebanese presidency confirms Hezbollah agreed to US ceasefire proposal
• Iran announces halt to all exchanges with US, citing Israeli aggression in Lebanon. Trump says 'haven't heard' this from Tehran, vows to keep US naval blockade in place.
• Iran overnight initiated fresh attacks on neighboring Kuwait and even released video showing footage of a ballistic missile launch.
• The US bombed radar & drone sites in Iran in response to the Iranians having shot down a US drone over the weekend. Reports of foreign jets over Iranian airspace.
• Iran negotiator Ghalibaf charges US with breaking the ceasefire: "the naval blockade and escalation of war crimes in Lebanon" were "clear evidence of US noncompliance with the ceasefire."
• Trump Truth Social: "Just sit back and relax, it will all work out well in the end - it always does!"

//--> //--> US x Iran permanent peace deal by July 31, 2026?
Yes 39% · No 62%
View full market & trade on Polymarket

*  *  *

Trump Steamrolls Netanyahu: Axios

A bizarre and unexpected evening report from Axios says that President Trump ripped into Netanyahu during a phone call, cussing at him and essentially 'steamrolled' him - angry over breaking the Lebanon truce and demanding that Israel's military not attack Beirut.

Trump is said to have told Netanyahu "you’re fucking crazy’" while demanding Lebanon truce: "I’m saving your ass," he also reportedly said. Iran early Monday said it halted talks with Washington because of Israel's escalation in Lebanon. From the report:

One U.S. official said Trump told Netanyahu that following through on his threats to bomb the Lebanese capital would further isolate Israel around the world.

• Two of the sources said Trump claimed he'd helped keep Netanyahu out of jail — a reference to his support during Netanyahu's corruption trial.
• Summarizing Trump's remarks to Netanyahu, the U.S. official said: "You're fucking crazy. You'd be in prison if it weren't for me. I'm saving your ass. Everybody hates you now. Everybody hates Israel because of this."
• A second source briefed on the call said Trump was "pissed" and at one point yelled at Netanyahu: "What the fuck are you doing?"

And more: 

The second U.S. official claimed that, in reality, Trump had "steamrolled" Netanyahu on the call. "Bibi said, 'OK, OK, just make sure everything is taken care of,'" according to the official.

The level of detail in this call 'leak' is remarkable, suggesting it was an 'official leak' or intentional.

Reports of Ongoing Fighting in South Lebanon

Fresh reports of fighting, amid shaky truce declaration:

Sirens sound in the border community of Metula amid an apparent Hezbollah rocket attack from Lebanon.

The rocket fire comes despite US President Donald Trump announcing that Hezbollah would stop carrying out attacks on Israel amid the ceasefire.

Meanwhile, Iran claims it attacked a US container ship in the Sea of Oman (Fars News).

Lebanon Truce Affirmed

The Lebanese presidency has announced that Hezbollah agreed to a US proposal on the mutual cessation of attacks, which will expand to all Lebanese territory.

Per a regional Arab correspondent: 

As we emphasized, the Israeli attack on Lebanon was obstructing the reaching of the agreement. The mediators exerted great effort today, and after the American pressure and the Israeli retreat, the doors are now open to return the negotiations to their natural and positive course, and there is no longer much left.

Iran Talks Back On?

Wishful thinking or already a reality? ...following a proclaimed Lebanon truce, uneasy at best:

Trump Suggests He is Forging Lebanon Ceasefire

Trump has announced the "shooting will stop" in Lebanon, after a flurry of phone calls, including with Netanyahu. This came shoon on the heels of Hezbollah signaling it is ready to agree to an immediate truce. Israel too has reportedly halted plans to begin new airstrikes on Beirut. 

The Lebanon crisis caused Tehran to earlier announced it is halting all contacts with the US. Will the US-Iran talks now be back on?

Trump to CNBC: 'I don't care' if talks are over

Trump has shrugged off the apparent collapse of talks with Iran, after Tehran earlier said it has halted all communications with Washington over Israel's expanded assault on Lebanon and Hezbollah. Trump has freshly told CNBC by phone, "I don’t care if they’re over, honestly."

"I really don’t care. I couldn’t care less," he added, and indicated he was "going to ask" Israeli Prime Minister Benjamin Netanyahu "what’s going on with Lebanon." This suggests Trump could pressure America's ally to lower tensions.

Trump appears to be betting the US can 'outlast' the Islamic Republic, in terms of inflicting economic pain amid the growing global oil supply crisis due to the Hormuz Strait closure. On this, he reacted as follows:

He also said he wasn't worried about oil prices, which spiked following the report in Iranian state media that Tehran is vowing to “completely block” the Strait of Hormuz in addition to halting negotiations.

“I think the oil will be dropping like a rock in the very near, you know, the very near distance,” Trump said.

Trump Reacts

President Trump tells NBC News that he's not heard from Iran on reports they're suspending talks, and on Iran, "I think we've been talking too much if you want to know the truth, going silent would be very good"

• We'll keep the blockade in Hormuz.
• I think I can wait as long as they want. They're losing a fortune.

His comments to NBC:

“It’s an appropriate thing to say, because they’re better negotiators than they are fighters,” he said in a brief phone call. “But they haven’t informed us of that.”

“It doesn’t mean we’re going to go and start dropping bombs all over there,” added Trump, who said Friday he would soon decide on a proposed deal to extend an ostensible ceasefire agreed to in early April. “We’ll keep the blockade.”

State Media: Iran Stops Exchanging Messages with US

Merely last week, Western MSM press reports were touting the usual 'close to a deal' headlines, but this morning demonstrates how illusory such claims were and are, as Iranian state media now suggests a total halt in communications between the sides.

Per state Tasnim, "Iran stops exchanging messages with the US in protest against Zionist crimes." This as the IDF has sent ground forces deep into Lebanon, past the Litani River - in the deepest operation in decades. Tehran has insisted on linking up any US-Iran deal with a Israel-Lebanon peace. Tehran is now warning to "completely block the Strait of Hormuz, including the Bab al-Mandab Strait" - the latter with the cooperation of Yemen's Houthis. All of this has direct impact on the US-Iran ceasefire:

IRAN'S STATE TV SAYS PROBABILITY OF CEASEFIRE BETWEEN IRAN AND U.S. ENDING IS HIGH IF ATTACKS ON LEBANON DO NOT STOP

Below is the full translated statement:

• "The determination of the Iranian armed forces and all axes of the resistance front to respond to Zionist crimes and open new fronts".

• "Tasnim has obtained information indicating that, given the continuation of the Zionist regime's crimes in Lebanon and considering that Lebanon was one of the preconditions for the ceasefire and that this ceasefire has now been violated on all fronts, including Lebanon, the Iranian negotiating team is stopping "talks and exchange of texts through a mediator"."

• "The immediate cessation of the Zionist regime's aggressive and brutal army operations in Gaza and Lebanon and the necessity of the regime's complete withdrawal from the occupied areas in Lebanon have been emphasized by Iranian officials and negotiators, and there will be no talks until Iran and the resistance's views on this matter are met".

• "Also, the Resistance Front and Iran have set their agenda to completely block the Strait of Hormuz, and activate other fronts, including the Bab al-Mandab Strait, in order to punish the Zionists and their supporters".

Oil jumps on the headline of halted talks...

Futures slide...

Author and University of Chicago professor of the 'realist' school Robert Pape says the following on Monday published report: "We will run out of our cushion of oil inventories in July, whether it's the middle or end of July," he said. "And Iran knows that. So what Iran is doing is just stringing out the clock to get a better deal."

"What that tells me is they're not interested in returning the price of oil back to where it was before the war," he said. "I think what we need to understand is Iran's goal is to continue instability, continue elevated price of the world's oil because it gains from that."

For more, read our:

"Approaching Unheard Of Inventory Levels": Exxon, Chevron Issue Apocalyptic Warning About What Happens Next To Oil

CENTCOM: Intercepted Pair of Ballistic Missiles on Base

On Monday morning US Central Command issued its official statement and explanation over the earlier tit-for-tat brief flare-up in fighting, which appears to have ended...

"Last night at 11 p.m. ET, U.S. forces successfully intercepted two Iranian ballistic missiles targeting American forces based in Kuwait. These missiles were immediately defeated and no American personnel were harmed," it said. "U.S. Central Command remains vigilant and will continue to protect our forces from Iranian aggression while supporting the ongoing ceasefire."

Fresh Missiles on Kuwait

The extended US-Iran ceasefire is once again being severely tested, after Iran earlier in the daylight hours of Monday initiated fresh attacks on neighboring Kuwait and even released video showing footage of a ballistic missile launch. Kuwait in turn confirmed that has been intercepting inbound drone and missile fire.

It hosts a major American base, which is again being targeted, though it's unclear if anything has been hit. The IRGC subsequently identified that it targeted the US base in response to weekend US strikes on Iranian sites. According to a description of the released propaganda video:

The start of the video includes a close-up of what looks to be a sticker on the body of a missile depicting a bruised US president Donald Trump, on the phone asking for help, and overlaid on a “closed” Strait of Hormuz. The caption reads: “Until the last American soldier leaves the region.”

Iran's IRGC released footage showing the moment it launched missile attacks on what it claimed to be US airbases in Kuwait early Monday.

READ MORE: https://t.co/yRpPilUQ9S pic.twitter.com/f1Q2l5OnMu

— Rudaw English (@RudawEnglish) June 1, 2026

All sides, including the Iranians and Kuwaitis, are saying they have a right to defend themselves. The United States, for its part, has said that it bombed radar and drone sites in Iran in response to the Iranians having shot down a US drone over the weekend.

Kuwait, GCC Condemnation

After the US base in Kuwait was freshly targeted, Kuwait's Ministry of Foreign Affairs issued the following: “The Ministry of Foreign Affairs reiterates the State of Kuwait’s condemnation and denunciation, in the strongest terms, of the heinous and repeated Iranian attacks, which represent a dangerous escalation and a direct assault on the security and stability of the State of Kuwait, as well as a flagrant violation of the rules of international law, the United Nations Charter, and Security Council Resolution 2817 of 2026, not to mention the grave threat they pose to the safety of civilians and vital facilities in the country," it said in a post on X.

"The continuation and repetition of these aggressions undermine efforts aimed at de-escalating tensions and threaten security and stability in the region, emphasizing the State of Kuwait’s categorical rejection of these aggressive practices," it added.

Also, a swift reaction was issued by the Gulf Cooperation Council (GCC). It expressed its "strongest condemnation" of Iran for its attack on Kuwait, blasting it as a "dangerous and irresponsible escalation". Saying Kuwait remains a crucial part of the GCC, the bloc stated it stands "united and firm" and they fully support "all the measures and procedures it [Kuwait] takes to protect its security, preserve its sovereignty and territorial integrity, and maintain the security of its citizens and residents."

IRGC Navy seeks to flex with increasing fast boat patrols of Strait of Hormuz:

IRGC fast boats running 24/7 patrols in the Strait of Hormuz, per new footage from Iran's navy. The boats are steering commercial vessels through the waterway and intercepting any that don't follow orders. pic.twitter.com/tG5Vh71DMK

— Open Source Intel (@Osint613) June 1, 2026 Iran Latest Warnings: "The Bill Comes Due"; Ceasefire Breached

Top Iranian negotiator and parliament speaker Mohammad Bagher Ghalibaf has said that the continued American naval blockade of Iran's ports and Israel's intensifying offensive against Hezbollah in Lebanon illustrate that the US is not truly complying with the ceasefire.

He wrote on X that "the naval blockade and escalation of war crimes in Lebanon" were "clear evidence of US noncompliance with the ceasefire." He stressed by way of warning: "Every choice has a price, and the bill comes due. It will all fall into place."

As things in Lebanon intensify, given the IDF has plunged past the Litani River and plans to expand its ground force occupation. Yemen's Houthis say they are ready to join Hezbollah's efforts against Israel, per Tasnim. Iran's Foreign Ministry has also freshly addressed the Lebanon crisis:

For immediate attention:

The ceasefire between Iran and the US is unequivocally a ceasefire on all fronts, including in Lebanon.

Its violation on one front is a violation of the ceasefire on all fronts.

The US and Israel are responsible for the consequences of any violation.

— Seyed Abbas Araghchi (@araghchi) June 1, 2026

More...

Iran's FM Spokesperson Baghaei: The other side keeps shifting its demands and sending contradictory messages, which is dragging out negotiations. Israel's escalation in Lebanon is aimed at destroying any chance diplomacy could work. The U.S. and Israel cannot be seen as separate.… pic.twitter.com/VFbOUwX9V2

— Open Source Intel (@Osint613) June 1, 2026 Trump: "Sit Back & Relax"

Trump's latest Truth Social: "Just sit back and relax, it will all work out well in the end - it always does!"

And here's pushback from Stephen Walt in Foreign Policy magazine:

Although we don’t know the details of the rumored agreement between the United States and Iran—or even if one will eventually be reached—anyone with a triple-digit IQ understands that Israel and the United States made a colossal blunder when they started the war. None of their stated goals have been achieved: The Iranian regime did not collapse, it did not surrender its nuclear stockpile, and its missile and drone capabilities are intact. It has demonstrated that it can shut down the Strait of Hormuz anytime it wants to inflict significant damage on its neighbors. All of U.S. President Donald Trump’s and U.S. Defense Secretary Pete Hegseth’s bragging and bluster over the past three months has been exposed as a lot of hot air.

Iran Touts More Breaches of US Blockade

A total of 15 vessels, including four oil tankers, have successfully transited the Strait of Hormuz over the last 24 hours, according to the Islamic Revolutionary Guards Corps (IRGC).

The IRGC navy confirmed that the ships only completed their passage after receiving explicit permission and coordinating directly with its command structure. Washington and its Gulf allies (with the exception of Oman) have repeatedly condemned any attempt to impose an 'Iranian protocol' involving the extraction of tolls.

In an official statement carried by Fars News, the IRGC issued a stark warning to the region, declaring that any cooperation with "hostile forces" would be viewed by Tehran as an "imminent security threat" that will be "dealt with accordingly". This is tantamount to warning foreign vessels they could come under direct attack if they don't comply.

More Latest Developments

via Newsquawk...

• Iran may propose changes to the US peace draft memorandum of understanding, according to Tasnim. This follows a report that President Trump proposed further changes to the existing text, while a source stated that text exchanges continue and that Iran may submit its own edits.
• Iranian Foreign Minister Araghchi told state media that talks and message exchanges with the US are ongoing, and that the talks cannot be judged until a clear result is reached.
• Iranian Foreign Ministry Spokesperson said the negotiation team's visit to Qatar was positive.
• Iranian Foreign Ministry spokesperson said that they have a legal obligation to prevent aggressors from using their territory and facilities to attack another country.
• Iran’s Presidential Office denied reports that Iranian President Pezeshkian submitted his resignation to the Supreme Leader, and stated that the stories were spread by some foreign media.
• Iranian Supreme Leader’s military adviser Mohsen Rezaei said Iran has no intention of yielding or compromising with the US and will not place itself in a weak position, while he also stated that US President Trump is betraying diplomacy for the third time by continuing a naval blockade on Iran and making excessive demands.
• IRGC said following aggression of US Army on a communication tower on Sirik Island, located in the Homozgan province an hour ago, fighters of the IRGC Aerospace Force targeted airbase where aggression originated and predicted targets were destroyed.
• Iran's top negotiator said "The naval blockade and escalation of war crimes in Lebanon by the genocidal Zionist regime are clear evidence of US noncompliance with the ceasefire".
• Iranian Foreign Ministry Spokesperson said at this moment they do not believe that the US has good intentions towards Iran.
• Iran's FM Baghaei said "No negotiations have taken place on the details of the nuclear issue at this stage". One point being discussed is the allocation of funds for reconstruction. We are considering options for responding to the escalation of Israeli attacks in Lebanon.
• Iran's Baghaei said a ceasefire in Lebanon is an integral part of any agreement and end to the war; lack of trust and constant change in US and Israeli positions in Lebanon are causing a delay on the diplomatic process. The continuation of maritime piracy and attacks on Iranian shipping is an example of a violation of the ceasefire. The diplomatic apparatus is closely following developments and we will take every measure to defend Iran's sovereignty. The exchange of messages is still ongoing.
• Iran's Deputy Foreign Minister Gharibabadi said Iran's goal is not to hold ships in the Strait, but to declare a procedure that is not contrary to international law; these arrangements are not temporary and Iran will not back down. Stopping ships behind the Strait of Hormuz incurs storage and delay costs, and war insurance has increased by up to 500%. Accompanying Iranian forces costs less than war insurance and eliminates the risk of stoppage, inspection, and seizure. Iran's goal is not to hold the ships, but to declare a procedure that is not contrary to international law; these arrangements are not temporary and Iran will not back down.
• "Three consecutive explosions were heard in Bandar Abbas", Iran International reported.
• US President Trump reportedly sent tougher terms to Iran regarding the peace framework, according to officials cited by The New York Times.
• US President Trump posted "Iran really wants to make a deal, and it will be a good one for the U.S.A. and those that are with us". Full post "Iran really wants to make a deal, and it will be a good one for the U.S.A. and those that are with us. But don’t the Dumocrats, and various seemingly unpatriotic Republicans, understand that it is MUCH tougher for me to properly do my job and negotiate, when political hacks keep negatively “chirping,” at levels never seen before, over and over again, that I should move faster, or move slower, or go to war, or not go to war, or whatever. Just sit back and relax, it will all work out well in the end - It always does! President DJT".
• US President Trump posted "Fake News CNN said today, routinely, that my Iran Nuclear Deal doesn’t talk about Nuclear, when actually it states, very clearly, that Iran will not have a Nuclear Weapon". Full post "ScraperFake News CNN said today, routinely, that my Iran Nuclear Deal doesn’t talk about Nuclear, when actually it states, very clearly, that Iran will not have a Nuclear Weapon. It then goes on, in very strong and lengthy detail, to discuss various other aspects of Nuclear. In fact, that’s what most of the agreement is about. CNN, and so many others in the Fake News Media, is a Low Ratings disaster. Even with new ownership, it is unlikely to ever get better!!! President DJT".
• US Secretary of State Rubio spoke in the last 48 hours with Lebanon's President and Israel's PM to try and promote a new ceasefire initiative, according to a senior US official cited by Axios's Ravid. said:. US senior official said that the new initiative was proposed as part of the negotiations taking place between Israel and Lebanon, as another round of talks between diplomats from both sides is scheduled to take place this week in Washington. In order to advance the talks, US proposed that as a first step, Hezbollah stop all attacks on Israel, and in return, Israel will refrain from escalation in Beirut.
• US Central Command confirmed military forces conducted strikes against Iranian radar at command and control sites located in Goruk and Qeshm Island over the weekend.
• Kuwait Army said air defences are intercepting hostile missile and drone attacks.

Tyler Durden Tue, 06/02/2026 - 06:01

Tesla Posts Strong Registration Growth Across Europe In May

Tesla showed signs of regaining momentum in Europe during May, posting strong registration growth across several major markets, according to Reuters. New registrations climbed to 1,750 vehicles in Denmark (+136%), 1,690 in Spain (+113%), and 858 in Sweden (+71%), based on data released by local industry groups.

Reuters writes that the trend extended across the region. Norway recorded 3,345 Tesla registrations, up 29% from a year earlier, while France saw registrations rise to 5,446 vehicles—more than seven times last year's level.

The gains come as demand for electrified vehicles continues to strengthen across Europe. Battery-electric, plug-in hybrid, and hybrid vehicles represented more than two-thirds of all new registrations in April, with total electrified vehicle registrations increasing roughly 21%, according to ACEA.

Industry observers note that Tesla is benefiting from the overall expansion of the EV market, particularly in Scandinavia, while countries such as Spain are beginning to catch up in adoption. Consumer incentives, emissions-focused policies, and elevated fuel prices are also helping accelerate the shift toward electric mobility.

The recent improvement follows a difficult period for Tesla in Europe. The company lost a significant share of the regional market in 2025 as competition intensified—especially from Chinese manufacturers—while a limited refresh cycle and controversy surrounding CEO Elon Musk also weighed on demand. Registration figures from Germany and the UK, Europe's largest auto markets, are still to come.

Tyler Durden Tue, 06/02/2026 - 05:45

The Cost Of The Grain That Feeds Half The World Just Posted Biggest Monthly Surge Since 2008

Asian rice prices logged their biggest monthly gain in nearly two decades in May, as a Gulf energy shock collides with an expected El Niño event later this year. The spike adds to the mounting risks of a broader food price shock that could emerge as soon as six months from now.

Any time rice prices spike, it is a major concern because the grain feeds more than half the world's population, estimated at 3.5 to 4 billion people.

Thailand white rice, a regional Asian benchmark, surged 20% in May, the largest monthly increase in data going back to 2008, according to Bloomberg. Chicago rice futures rose 15% last month.

Seasonality:

BMI analyst Bin Hui Ong warned that an expected El Niño event later this year will unleash adverse weather conditions across major rice-growing belts in Asia, including hotter, drier conditions. She noted this adds further upside to rice prices in the months ahead.

It is not just the threat of a severe El Niño event on analysts' radars. There are also continued elevated diesel and fertilizer costs tied to disruptions around the Strait of Hormuz. This will further weigh on rice production yields across import-reliant Asia.

Rice farming is already highly fertilizer-intensive, while irrigation systems often depend on diesel-powered pumps.

In Vietnam's Vinh Long province, a farmer told Bloomberg that he plans to skip one of his usual three annual crops due to rising input costs and extreme heat.

Fertilizer prices in Thailand, Cambodia, and the Philippines have soared by nearly 50% since late February, according to the International Rice Research Institute.

The Philippines has warned that a strong El Niño could cut rice production by up to 700,000 tons, or 3.5% of its annual production target.

Already, the United Nations Food and Agriculture Organization's FAO Food Price Index, which tracks monthly changes in the international prices of a basket of globally traded food commodities, is trending upward and risks a further leg higher.

Alexandra Prokopenko, a fellow at the Carnegie Russia Eurasia Center, warned in mid-March that disruptions to the Strait of Hormuz would spark shortages of energy and fertilizers, translating into higher food prices in "six to nine months from now."

Related:

• We Are 6 Months From Global Food Shortages Because Farmers Are Facing A Quadruple Whammy Crisis

• Everyone Talks About The Cost Of Gasoline... Soon Everyone Will Be Talking About The Cost Of Food

Last month, ZeroHedge Debates held a roundtable to ask: How bad will the food inflation mess get?

View here:

Visual Capitalist's Dorothy Neufeld outlined where food inflation is expected to hit the hardest, on a country-by-country level, this year (see report)

Tyler Durden Tue, 06/02/2026 - 04:15

Potential Offshore Strike In Norway Could Add Fresh Uncertainty To Global Energy Markets As Wage Talks Collapse

By Michael Kern of OilPrice.com

A potential strike over wages could threaten smooth operations offshore Norway, Western Europe's top oil and gas producer, at a time when the world is scrambling for oil and gas supply amid the Middle East crisis.

Almost 8% of oil and gas workers offshore Norway could go on a strike from June 5 if trade union negotiations with industry fail to reach an agreement in a government-brokered mediation process, according to data from the labor unions on Monday.

More than 600 workers out of about 8,100 in total offshore Norway could begin a strike later this week, Reuters reported on Monday, citing the office of the government-appointed mediator.

Negotiations between the offshore industry and the workers organized in the Styrke, Lederne, and Safe trade unions continue.

At the end of last week, talks between Offshore Norway, which represents the oil industry in the wage talks, and the unions broke down.

Offshore Norway and the trade union Styrke held negotiations on May 27 on the onshore base agreements, which cover approximately 875 employees at supply bases along the Norwegian coast. But they failed to reach agreement on a new collective agreement for supply base employees.

“By evening, the parties remained too far apart, and the negotiations ended in a breakdown,” Offshore Norway said last Thursday, citing disagreements over advance payment of sickness benefits, parental benefits, and care benefits.

While talks continue, the possibility of a strike is looming over the oil and gas operations offshore Norway. It’s not clear how a strike would affect Norway’s oil and gas output, if at all.

Norway produces more than 4 million barrels of oil equivalent per day, with oil and gas nearly equally divided at 2 million boepd each. Norway is shipping crude as far as Asia, which struggles without a large part of the Middle Eastern supply. Norway is also Europe’s single biggest gas supplier, having replaced Russia in 2022 when Putin invaded Ukraine.

Tyler Durden Tue, 06/02/2026 - 03:30

How Contagious Is Ebola?

More than 200 people are suspected to have died in Ebola outbreaks in the Democratic Republic of the Congo and Uganda, according to the latest figures published by the Centers for Disease Control and Prevention on May 29.

The vast majority of these are in the DRC.

With no vaccine available for this strain, the World Health Organization declared a public health emergency of international concern on May 17.

As Statista's Anna Fleck details below, Ebola is a severe and often fatal disease which is spread through direct contact with blood, secretions or other bodily fluids of infected individuals or through contact with contaminated surfaces.

There are six strains of Ebola, four of which are known to cause disease in humans, with varying fatality rates.

The Zaire ebolavirus, commonly known as just the Ebola disease, is the most lethal strain, with historical case fatality rates reaching up to 90 percent among those who have not been treated.

The Bundibugyo strain of the ebolavirus is currently causing outbreaks in the Democratic Republic of the Congo and Uganda.

While the Zaire ebolavirus' basic R₀ value, which is the measure for counting how easily disease spreads, is lower than several other diseases, transmission through close contact makes it highly dangerous in healthcare settings.

According to data published by Encyclopædia Britannica, the average number of people infected by an individual with the Ebola disease is 1.5 to 2.5.

You will find more infographics at Statista

By contrast, the Omicron variant of Covid-19 had a basic R₀ value of spreading to eight to 10 people from every infected individual.

Measles is even more contagious, with a value ranging from 12 to 18.

It is spread by droplets released into the air by coughing and sneezing, with the virus able to remain in the air for up to two hours.

Tyler Durden Tue, 06/02/2026 - 02:45

Britain's Nuclear Renaissance Faces Mounting Cost Pressures

Authored by Felicity Bradstock via OilPrice.com,

• Sizewell C and Hinkley Point C are expected to play a major role in expanding Britain’s nuclear generation capacity and reducing dependence on fossil fuels.

• Both projects have faced concerns over delays and rising costs, with Hinkley Point C’s estimated price nearly doubling from its original forecast.

• The U.K. aims to increase nuclear capacity to 24 GW by 2050, supported by large-scale reactors and emerging small modular reactor technologies.

The United Kingdom is focused on diversifying its energy mix away from fossil fuels to boost energy security and support decarbonisation aims.

This includes expanding its nuclear power capacity with the development of two large-scale nuclear plants - Sizewell C and Hinkley Point C, as well as developing small modular reactors (SMR).

However, its nuclear ambitions have not quite gone to plan, following years of delays and rising construction costs.

Sizewell C in Suffolk, eastern England, received its planning approval in 2022, was greenlit in 2025, and is expected to be operational by around the late 2030s. Investment for the development comes from the government, EDF Energy, Centrica, La Caisse, and Amber Infrastructure Limited. The project is expected to create 17,000 jobs during peak construction, including 7,900 in Suffolk. Once operational, the nuclear plant will produce up to 3.2 GW of clean electricity to power up to 6 million homes.

The government expects the plant to cost around £38 billion to develop and says it could provide around £2 billion a year in savings from the electricity system, compared to using other low-carbon technologies. However, Sir Geoffrey Clifton-Brown, the chair of the public accounts committee, which oversees the work of the National Audit Office (NAO), warned that “Sizewell C is a project of exceptional scale, complexity and significance for taxpayers… Experience from comparable nuclear projects in the UK and overseas highlights their vulnerability to delays and cost overruns.”

To date, the French nuclear firm EDF has invested £1.1 billion for a 12.5 percent stake in the project, while the U.K. government has invested £14.2 billion as the majority stakeholder. The NAO fears that if not properly managed, construction could run significantly over budget, as seen with other nuclear developments in recent years. This would make the break-even time much longer for consumers footing the construction costs through their taxes. 

The NAO has, therefore, urged the government to mitigate the risk by using “close monitoring, greater transparency to parliament, and by securing value for money from the significant public and private investment”.

Lessons for building Sizewell C come from the construction of EDF’s Hinkley Point C plant, the first nuclear plant to be developed in the U.K. in over a decade. Hinkley Point C was approved by the U.K. government in 2013 and was greenlit in 2016. It is expected to begin operations in 2030, a year later than originally planned.

The project has faced several delays and price increases, the most recent of which was announced by EDF in February, adding a projected £2.16 billion. The plant is now expected to cost around £35 billion in total, almost double the original £18 billion 2016 estimate. EDF’s CEO, Bernard Fontana, said the new forecasts were “more realistic” and said that the 2030 launch of operations was “within a range that has not changed” since 2024, when it said operations would start between 2029 and 2031.

Once operational, Hinkley Point C is expected to provide around 7 percent of Britain’s electricity demand. While EDF’s two U.K. nuclear projects could help diversify the country’s energy mix and reduce reliance on fossil fuels, critics worry that the development of the two plants will face further delays and come in significantly over budget. EDF’s only other nuclear project using the same reactor type, at Flamanville in France, became fully operational in December after a delay of over 12 years; meanwhile, costs soared from an initial estimate of £2.85 billion to over £11.4 billion.

In 2025, the U.K. was deemed the “most expensive place in the world” to build nuclear power plants in a government review.

This was largely owing to “overly complex” bureaucracy around the sector. Nuclear Regulatory Taskforce said that “radical reset” of the rules around nuclear power could save Britain “tens of billions” in costs and reverse the industry’s “decline” in recent years. This suggests that the government must work to streamline bureaucratic processes without compromising safety and consider other cost-cutting options to avoid cost increases in nuclear development.

At the time, the Taskforce chair, John Fingleton, stated, “Our solutions are radical, but necessary. By simplifying regulation, we can maintain or enhance safety standards while finally delivering nuclear capacity safely, quickly, and affordably.”

In 2024, the U.K. government announced a target to increase the country’s nuclear power capacity fourfold, to 24 GW by 2050.

This will be achieved through the development of Sizewell C and Hinkley Point C, as well as through the deployment of innovative small-scale nuclear technologies.

This is an ambitious target, but through the development of a wide range of nuclear technologies, it could be achievable.

Tyler Durden Tue, 06/02/2026 - 02:00

London Bans Israel Critics Hassan Piker, Cenk Uyghur From Entering UK

Via The Cradle

Pro-Palestine streamer and commentator Hassan Piker was banned from visiting the UK by the British Home Office, ahead of his planned meeting with former Labour Party chief Jeremy Corbyn. Piker was also due to meet with Green Party leader Zack Polanski. "The UK has revoked my visa as well. All at the behest of Israel. The west is betraying ‘liberal values’ for a genocidal fascist foreign government. Soon we will all become Israel," Piker said on X on 1 June. 

Cenk Uyghur, Piker’s uncle and host of the “Young Turks” political commentary program, said earlier that he was also denied entry into the UK. The Young Turks show has been highly critical of Israel. 

The British Home Office justified the move by declaring Uyger a "serious risk to the public order" following his claim that “Israel controls the American government through donations to 94% of Congress,” according to an X post made by the Young Turks founder.

“I’ve been banned from the UK. I tried to get on a flight to London to attend SXSW London and give a speech at Oxford. I’ve been banned for criticizing Israel. Are we free anymore? This is oppression of Western citizens by our own governments on behalf of a different country!” Cenk said on social media. 

“It's an honor to have made Israel's enemies list. I'm very proud to have fought against their genocide. The mighty United Kingdom is afraid of speech that shows you who's responsible for those war crimes. But no amount of censorship will get us to stop telling the truth,” Uyghur added. 

Polanski condemned London’s decision to ban both commentators from visiting the UK. 

The British government is saying they're banning me because I am "a serious risk to the public order" due to my criticism of Israel.

They say that my charge that Israel controls the American government through donations to 94% of Congress, while factual, is antisemitic…

— Cenk Uygur (@cenkuygur) May 31, 2026

“People often talk about dangerous road we'd go down under a Reform government – this is another clear warning we're down there already.” He also demanded an immediate explanation from UK Home Secretary Shabana Mahmood. 

Corbyn, who was expelled from the Labour Party years ago over criticism of Israel and allegations of "antisemitism," also strongly criticized the UK decision, saying on Monday that banning Uyghur and Piker was an “attack on the freedom to criticize Israel, as well as the UK government’s own complicity in genocide.”

British authorities have cracked down heavily on pro-Palestine activism in recent years. 

Last year, the UK proscribed activist group Palestine Action as a terror organization. Since then, thousands of people have been detained across the UK in connection with Palestine Action protests.

Corbyn calls the move "authoritarian"... 

Banning Cenk Uyghur and Hasan Piker from entering the UK is an absurd and cowardly decision from an increasingly authoritarian government.

Let us call this what it is: an attack on the freedom to criticise Israel, as well as the UK government’s own complicity in genocide. https://t.co/c6jUrF3prA

— Jeremy Corbyn (@jeremycorbyn) June 1, 2026

The group has, for years, stood against Israeli occupation and UK military support for it. Earlier in 2026, several Palestine Action activists went on hunger strike over a $2.7 billion British military training contract to Israeli arms maker Elbit Systems’ British subsidiary.

The hunger strikers reached a critical phase before ending the strike in January, following the government’s decision to cancel the contract. The UK High Court ruled the July 2025 terrorist proscription on Palestine Action unlawful in February 2026. 

Tyler Durden Mon, 06/01/2026 - 23:25

Iran Has Dug Out More Missile Tunnels Than Previously Thought: Satellite Analysis

During the current but tenuous ceasefire, Iran has successfully managed to excavate multiple key sites tied to its missile program that were previously bombarded by the American-Israeli warplanes during the initial five weeks of Operation Epic Fury.

While the revelation is not exactly new, a fresh CNN report has confirmed through recent satellite imagery that more missile tunnels have been dug out than previously thought.

Tehran utilized basic construction equipment to dig out several missile launchers and reopen subterranean tunnels tied to its missile program. The visual analysis determined that Iran was able to successfully clear the entrances to 50 out of 69 targeted tunnels, alongside 18 distinct missile production sites.

"Iran has repaired other parts of the bases as well, including roads that the US and Israel bombed to prevent missile launchers from using them," CNN wrote. "Satellite images show almost all these craters have now been filled, and at two sites, even repaved."

CNN/Airbus: A satellite image of an underground missile base near Khomeyn, Iran, shows at least 10 construction vehicles working to clear a tunnel entrance on April 15, 2026. 

This assessment heavily mirrors a series of leaked intelligence reports that have surfaced over the past month. CNN underscored that the US intelligence community currently estimates that Iran still has over 75% of its missile launchers fully available, and there's been a constant production of drones ongoing throughout the ceasefire.

Sam Lair, a research associate at the James Martin Center for Nonproliferation Studies who analyzes told the outlet that "There’s nothing to prevent the launchers from being armed with the ample stockpile of missiles that the Iranians still have."

He sought to highlight the limits of American firepower, in terms of damage, and given that it hasn't been sustained:

“The US military is good at delivering tactical successes, and entombing and suppressing the Iranian missile force is a great example of that,” said Lair.

“However, if that isn’t accompanied by a set of reasonable strategic war aims and an achievable theory of victory, it can end up being a strategic failure.”

President Trump has been touting the near annihilation of Iran's arsenal, and has lately said the rest of its launch sites could be taken out in a day if he gave the order. 

Despite that peace talks are not really going anywhere, and Tehran even announced they've halted as of Monday morning, the White House doesn't look in any hurry to start dropping bombs again.

Iran is poised to fire far more long-range missiles at Israel and other Middle Eastern nations after rapidly digging out its buried arsenals – an effort that highlights the limits to US bombing strategy, experts said. https://t.co/Rny1xTfFKl pic.twitter.com/STJFMe6L2O

— CNN (@CNN) May 31, 2026

So far both sides have settled in for a long conflict, centered on blockading the Hormuz Strait, and in anticipating of outlasting the other side in terms of absorbing economic and political pain.

Tyler Durden Mon, 06/01/2026 - 23:00

A Three-Part Story: These Were The Best And Worst Performing Assets In February

The Middle East continued to dominate market attention in May, as constant, daily, recurring hopes and media leaks and trial balloons for some kind of US-Iran deal meant that Brent crude oil fell -19.3%, marking its biggest monthly decline since March 2020 as the pandemic lockdowns began. Those hopes for an end to the conflict meant that fears about stagflation eased dramatically, which pushed yields lower and supported risk assets as well. Indeed, the S&P 500 was up another +5.3% in total return terms to a new record, with chip stocks doing particularly well as excitement around AI returned. For instance, the Philadelphia semiconductor index rose another +22.2% in May, taking its YTD gains to a record +81.5% (in 2000 Semis got there faster but... well, you know the story).

And in South Korea, the KOSPI was up another +28.5% in May, taking its own YTD gains to +102.4%. Admittedly, it wasn’t all good news, and sovereign bond yields briefly hit multi-year highs towards mid-May. But as hopes for a US-Iran deal rose, bonds also recovered into month-end as oil and inflation concerns fell back again.

Before we get into the details, a quick summary from Deutsche Bank's Henry Allen how for markets, May played out like a three-part story:

• The first part started strongly, as an Axios report on May 6 said the US and Iran were close to a one-page memo to end the war (it's almost a month later and the two sides still haven't agreed on any memo). Oil prices fell sharply, with Brent crude down from $114/bbl on May 4 to $100/bbl on May 7. So stagflation fears eased considerably, particularly as the US jobs report featured another upside surprise for payrolls.
• The second part was more pessimistic, as Trump posted that Iran’s proposal was “TOTALLY UNACCEPTABLE!” So that raised fears of an escalation, whilst a strong US core CPI print added to concern about more persistent inflation, particularly with the Strait of Hormuz still blocked.
• This period saw bond yields hit multi-year highs in several countries. On May 19, the 30yr Treasury yield closed at a post-2007 high of 5.18%, 10yr bund yields hit a post-2011 high of 3.19%, and Japan’s 10yr yield hit a post-1997 high of 2.78%.
• The third part saw optimism return, as multiple reports suggested a US-Iran deal was again close. In fact, oil prices ended the month at a one-month low, the S&P 500 posted 7 consecutive gains, and the 10yr Treasury yield fell for 7 consecutive sessions for the first time in over a year. So the full numbers pointed to a decent performance overall.
• While events in Iran continued to dominate attention, the other big story in May was the return of AI excitement, with chip stocks massively outperforming. For instance, the Philly semiconductor index was up another +22.2%, and the KOSPI was up +26.2% in USD total return terms. That took their YTD gains to +82% and +94% respectively, after just 5 months of the year. In fact, in local currency terms, the KOSPI is up more than +100% YTD. So, despite all the geopolitical volatility this year, the AI story is still center stage for financial assets.

With that in mind, here is a high-level macro overview of the month that was. 

Markets got May off to a strong start, with oil prices coming down as hopes grew for an end to the conflict. Most notably, Axios reported on May 6 that the US and Iran were close to a one-page memo that would end the war and set a framework for more nuclear negotiations. So that raised hopes that the war might soon be over, and Brent crude oil fell from $114.44/bbl on May 4th, to $100.06/bbl on May 7. Then shortly after on May 8, there was then fresh support from strong US data, as the jobs report for April surprised on the upside. That included a +115k increase in payrolls, which on the current series of revisions is the first time since 2024 that payrolls have been above +100k in consecutive months.

But despite that optimistic start, sentiment began to turn again towards the middle of the month. That was primarily driven by geopolitical developments, as Trump posted on May 10 that the proposal from Iran was “TOTALLY UNACCEPTABLE!” That raised fears of a fresh escalation, and Trump said on May 11 that “the ceasefire is on massive life support”. So with no sign of a peace deal and the Strait of Hormuz still blocked, oil prices began to recover again. Moreover, Trump openly speculated about an escalation, saying on May 19 that “I hope we don’t have to do the war, but we may have to give them another big hit”.

For markets, matters weren’t helped in this period by a strong US core CPI print on May 12, which raised fears about more persistent inflation, particularly as oil prices kept moving higher as well. Indeed, on May 18, the 6-month Brent future closed at $92.76/bbl, which was its highest level since the conflict began. So investors were pricing in a more protracted period of high oil prices that extended to the end of the year.

That backdrop meant that bond yields reached new highs in multiple countries. For instance, there were several records set on May 19, as the 30yr Treasury yield closed at a post-2007 high of 5.18%, the 10yr bund yield closed a post-2011 high of 3.19%, and Japan’s 10yr yield closed at a post-1997 high of 2.78%.

Meanwhile in the UK, a few days earlier on May 15, the 10yr gilt yield had also hit a post-2008 high of 5.17%. That came as speculation mounted around PM Keir Starmer’s position after the governing Labour Party lost seats in the local elections. In turn, that triggered multiple ministerial resignations, including Health Secretary Wes Streeting. Shortly after, a by-election was then called after an MP stood down, and Greater Manchester Mayor Andy Burnham announced he’d be standing for Parliament. That initially saw gilts lose ground, as Burnham had previously said that the UK shouldn’t be “in hock” to the bond markets, and had suggested that defence spending should be considered outside the fiscal rules. However, Burnham later ruled out changing the fiscal rules, which led to a clear rally for gilts. So coupled with easing fears of stagflation, the 10yr gilt yield actually fell -20bps over May as a whole, closing at 4.81%.

But even though sovereign bond yields hit multi-year highs in the middle of the month, more positive sentiment returned towards the end of May. That was driven - again - by multiple reports suggesting that a US-Iran deal might be moving closer. For instance on May 27, Iran’s state TV reported on an unofficial draft for an interim peace deal, raising hopes that the Strait of Hormuz would reopen. Then on May 28, an Axios report said that a deal had been reached on a 60-day memorandum of understanding to extend the ceasefire, with negotiations also starting over Iran’s nuclear program. And a similar message was then reported by other outlets. So that led to a decent fall in oil prices towards month end, meaning Brent crude ultimately closed at $92.05/bbl, its lowest level in over a month. And markets more broadly ended the month very strongly, with the S&P 500 up 7 days in a row, whilst the 10yr Treasury yield also fell for 7 consecutive sessions for the first time in over a year.

Which assets saw the biggest gains in May?

• Equities: It was generally a strong month for equities, as hopes rose for some kind of US-Iran deal. In total return terms, the S&P 500 was up +5.3%, the STOXX 600 rose +3.2%, and Japan’s Nikkei was up +11.9%. Meanwhile, South Korea’s KOSPI surged another +28.5%, taking its YTD gains to +102.4%.
• Sovereign bonds: As fears of stagflation receded, sovereign bonds advanced, particularly in Europe. So Euro sovereigns were up +1.1% in total return terms, and gilts rose +2.0%. US Treasuries saw a smaller advance as investors brought forward expectations for Fed rate hikes, but they were still up +0.1% in total return terms.

Which assets saw the biggest losses in May?

• Oil: The prospect of a US-Iran deal meant Brent crude fell -19.3% in May, marking its biggest monthly decline since March 2020 when the pandemic lockdowns began.
• Gold: With real yields moving higher and fears about inflation receding, gold prices fell back for a third consecutive month, falling -1.7% to $4,540/oz.
• Bitcoin: it was a dismal month for the crypto currency which swung higher in April, defying the initial post-war gloom in gold and other anti-fiat assets, but then erased almost all April gains, to trade down almost 4%.

Finally, here is a visual recap of the best performing assets in May (in domestic and USD terms).

... and YTD.

 

Tyler Durden Mon, 06/01/2026 - 22:35

Florida Becomes First State To Sue "Unsafe" OpenAI And Sam Altman Over AI Harms

OpenAI no longer has to worry about being last in the AI IPO race and lagging ARRs when compared to Anthropic, not to mention a potential Supreme Court showdown against Elon Musk (pending appeal). Earlier today, Florida became the first state to file a lawsuit against OpenAI and its chief executive, Sam Altman, launching a new broadside in a growing rebellion against the alleged safety failings of artificial-intelligence chatbots. 

The lawsuit, filed Monday by Florida Attorney General James Uthmeier, claims OpenAI and Altman knowingly released an unsafe product and ignored warnings that it could harm users, the WSJ reported.

The 83-page suit alleges that OpenAI allowed ChatGPT to aid and abet mass shooters, encourage people to take their own lives, degrade users’ critical thinking skills and addict minors to a tool that feigns human compassion.

“This litany of harms is driven by Defendants’ insatiable quest to win the AI arms race and amass large fortunes, despite knowing the danger of ChatGPT,” the suit said. 

According to the WSJ, lawmakers, legal authorities and public interest groups have increasingly been raising concerns about the personal and societal risks posed by AI, one of the fastest-growing consumer technologies in history. 

The suit says it seeks to protect Floridians from OpenAI’s conduct and mitigate what it describes as a dangerous public nuisance. The suit also seeks to hold Altman personally liable for harm it says he has caused Floridians.

Uthmeier opened a criminal investigation into OpenAI in April over the role its chatbot played in a mass shooting that killed two people at Florida State University last year.

The suit opens with a screenshot of an OpenAI blog post that says ChatGPT was built with safety in mind.

“Not so,” reads the suit’s text under the screenshot.

The suit alleges that OpenAI marketed ChatGPT as reliable despite its tendency to frequently generate dangerous misinformation, which is to be expected from a generative LLM trained on such toxic, liberal cesspools as Reddit and Wikipedia. 

“ChatGPT was designed by the Defendants to keep users hooked into conversations by any means, regardless of the truth, because it leads to more use of the chatbot, more training data for its improvement, and more market value for OpenAI,” the suit alleges.

The suit also claims the company exploits human compassion to collect user data and lacks necessary safeguards for minors.

The suit describes a lack of safeguards in ChatGPT for teens and minors as reckless, and refers to instances of adolescent users being encouraged by AI to take their own lives. 

The suit says OpenAI created some parental controls, but does not require children’s accounts to be linked to a parent’s account.

At FSU, the suspect turned to ChatGPT as a confidant and sounding board to plan the attack. He asked ChatGPT how many classmates he needed to kill to attract national media attention, and also how to use a gun. The chatbot promptly dispensed advice for his questions.

Until now ChatGPT has mostly faced litigation over copyright infringement claims. In November, OpenAI was ordered by a federal judge to turn over 20 million anonymized ChatGPT user logs to the NY Times and other newspapers suing the chat giant over its generative AI model. The newspapers had demanded the user logs to inspect how ChatGPT is used to create outputs they say infringe their copyrighted works. OpenAI pushed back, citing privacy concerns. 

Tyler Durden Mon, 06/01/2026 - 22:10

L.A.'s Choice: More Dysfunction Or Spencer Pratt?

Authored by Victoria Taft via PJ Media,

Spencer Pratt has a "shot" to win the Los Angeles mayor's race, according to the latest polling.

The first thing Angelenos need to begin the biggest turnaround in L.A. history, however, is to admit the city has a problem: self-imposed dysfunction. Then they need to vote for someone who didn't relish in causing it.

The choice going into Tuesday's top two primary election is really that simple.

As we go into the final day of voting in the Los Angeles mayoral race, there are three candidates leading the pack: the worst and most destructive mayor of all time, Karen Bass, Bass's radical, ideological twin and stalking horse, Nithya Raman, and Spencer Pratt.

Bass and Raman have been accused of teaming up to flood the zone with commies to game California's top-two primary system. The top-two system is the Democrat protection act in real time. For normies, to the extent L.A. has them, Pratt is their only hope in this race.

Voters, some of whose ballots were burned up in a "safe" downtown L.A. drop box over the weekend, need to move the needle to the only person in the race who thinks there's a problem.

Pratt believes that the answer to "homelessness" is drug treatment, welcomes the feds' raid of cartel-run open-air drug and human trafficking, and thinks current laws on the books should be enforced to clean up the city. He has made animal abuse by drug addicts on L.A.'s Skid Row a signature issue.

If that addict on your street were your own son, what would you do? That is the defining question that guides my 5 step plan to fix the homelessness problem in LA. We *must* end this evil racket of corrupt politicians and NGOs who profit off the misery of these poor souls. They... pic.twitter.com/9VGwwe6srh

- Spencer Pratt (@spencerpratt) May 21, 2026

An L.A. area Democratic adviser told the Los Angeles Times that "anyone has a shot" in this race.

And the latest polling by U.C. Berkeley and the L.A. Times shows that it's a dogfight. Karen Bass has 26% support by those polled, Raman is at 25%, and Spencer Pratt, whose house was destroyed in Bass's Pacific Palisades fire disaster, is at 22%.

Pratt describes this campaign as his destiny. The former reality TV star, whose recent days have been spent touting his wife's music career and taking care of their sons, feeding and loving his Pacific Palisades hummingbirds which he uses as his campaign's logo, and trading in valuable crystals (at one point he believed he'd lost $1 million in crystals in the fire), he has become a man on fire after learning and publicly exposing the incompetence and unpreparedness leading to the January 2025 fires.

Pratt says, "We are going to win."

But don't take his word for it. Watch how his top opponents have attempted to retcon their own public records by suddenly declaring that homelessness and crime are big issues. Bass, the anti-cop, pro-Cuban revolunciónista, has done next to zero to clean up drug and trafficking encampments around businesses and schools, and has fought efforts to do so, but now touts she's "reduced street homelessness by 17.5%." Suddenly, she's the solution to her own problem!

And how bad are things in Bass's L.A.? She's touting a plan to switch street lights to solar power because all the druggies have stolen the copper in the current ones. How brave and visionary is the woman who stops cops from doing their jobs?

Hilariously, the defund the police and fire lady is also taking credit for President Donald Trump and FBI Director Kash Patel's drop in crime that the L.A. Times straight-facedly reports, "includ[es] a homicide rate not seen since the mid-20th century." Do tell, Karen.

Raman, a sitting councilwoman who endorsed Bass until she was convinced that the best way to help her friend was to take up space in the mayor's race, has made similar 59th minute of the 11th hour political conversions.

The only way L.A. can solve its problems is to hire the guy who wants to solve them, not just talk about it.

Go Spencer.

Tyler Durden Mon, 06/01/2026 - 21:45

Jill Biden's Memoir Tour Is Getting Trashed From The Left

Jill Biden has launched a book tour for her new memoir, View from the East Wing, in what appears to be an effort to salvage her husband's political legacy after his 2024 campaign collapsed following his disastrous debate with President Trump.

Instead, she's reopening a wound Democrats spent two years trying to let heal. Now, former aides, party operatives, and even friendly media figures are speaking out.

Last week, the former first lady sat down with CBS News correspondent Rita Braver and claimed that when she watched her husband onstage opposite Donald Trump during last year's debate, she feared the worst. "I was frightened, because I had never ever seen Joe like that before or since, never," she told Braver. "I mean, as I watched it, I thought, 'Oh my god, he's having a stroke. And it scared me to death.'"

NEW: Former First Lady Jill Biden says she thought her husband was having a stroke during his 2024 debate against Donald Trump.

Jill famously boasted on stage with Joe Biden after the debate about how he did "such a great job."

"I thought, 'Oh my God, he's having a stroke,' and... pic.twitter.com/wfYBoIpxWx

- Collin Rugg (@CollinRugg) May 27, 2026

However, many are pointing out that after the debate, she praised his performance. That contradiction now defines her memoir rollout, and virtually nobody on the left is happy about revisiting it.

"It feels unfair, essentially, at this point, to the party, that if you want to cement any piece of your husband's legacy, let people move on from this and win some more elections, and then they can point to things and say, like, we're building on the successes that we saw under the Biden administration," Democratic strategist Jessica Tarlov said on Fox News last week.

🔥NEW: @greggutfeld *TORCHES* Jessica Tarlov after she complains Jill Biden hurting Dems by reminding Americans about Biden's decline

"You guys used him as a Trojan horse - and now you're paying for it. He was an old empty white male you foisted on the American public to trick... pic.twitter.com/hHdsvwm6pE

- Jason Cohen (@JasonJournoDC) May 28, 2026

"I appreciate that we now get to see at least some version of a truth that she's putting out there," CNN's Abby Phillip said last week, "because I think, yeah, the conversation should be had about the deceptiveness that was behind this. Like that's the conversation that I think ought to be had. The autopsy that the Democrats did didn't delve into that, but it should. What kind of political system covers that up? And makes it OK to lie to people about what everybody knows is true?"

CNN's Abby Phillips slams Democrats for lying about Joe Biden's cognitive problems.

"What kind of political system covers that up? And makes it okay to lie to people about what everybody knows is true?" pic.twitter.com/EH5XILtQ9f

- Jeff Charles, Asker of Questions (@jeffcharlesjr) May 28, 2026

On The Today Show on Monday, host Craig Melvin also didn't accept her story at face value. He walked Jill through the gap between her private fear and her public assurances in the days that followed the debate, asking how she squares thinking Joe may have had a stroke with what she was telling the country afterward.

"I'm his wife," she replied. "I'm not going to get out on the stage there and say, Joe, you really screwed that up," she said. "I had to support him. I couldn't come out and, I mean, really, publicly, say, Joe, you did a terrible job in a debate?"

"That's a pretty low bar," Melvin pointed out.

But it's not just media pundits criticizing Jill Biden. Several Biden aides are furious about what Jill Biden has done with her memoir.

One former Biden official told Axios, "I just wish they would give some more time and space and let people move on. It all feels so disingenuous." Another drew a direct line to the broader pattern of the post-election blame tour, telling the outlet, "The throughline between her book and Harris's is that they blame everyone but themselves for the loss."

Another former senior Biden official was even more blunt about the collateral damage.

"President Biden actually has a legacy that is impactful and should be celebrated at some point - getting us through the pandemic and passing life-changing bills," the official said. "Why does he keep stepping on it himself?"

The sharpest indictment came from a former campaign aide who saw the whole thing from the inside. "It's just so selfish," they said. "The Bidens preached selflessness and service above all - and every decision they've made since he decided to run for reelection has been about themselves. It's also ironic - the only people undermining President Biden's legacy are the people closest to him."

On Fox News, Democratic operative Melissa DeRosa recounted how the Democratic Party treated those who raised questions about Biden's cognitive decline. They were accused of disloyalty and of handing the election to Trump. "We were told not to believe our lying eyes," she said. Then came the kicker: "So a lot of Democrats privately are saying, you know what, Lady Macbeth, exit stage right. We don't want to hear it anymore." DeRosa also noted that just days after the debate, Jill Biden appeared on the cover of Vogue with the line "we will decide our future," hardly the posture of a woman privately convinced her husband had just suffered a neurological event.

Former Jill Biden spokesman Michael LaRosa was quite candid about what he thinks Jill's book tour is actually trying to accomplish. "They're trying to change the tape in people's minds about who she is," LaRosa said. "That's why she's sort of changing her tune a little bit about her reaction in real time. She wants to say, 'Oh no, my reaction was just as concerning and was just as severe as everyone at home. I was shocked.'"

Jill Biden set out to rewrite history, but she's only managed to reopen the chapter Democrats most want to forget. Even her own party's operatives, aides, and media allies aren't buying the revised narrative, and the backlash makes clear that her book tour hasn't salvaged Joe Biden's legacy. It's torched what little was left of it.

Tyler Durden Mon, 06/01/2026 - 21:20

BP Sells 5% Stake In Australia's Newest $35 Billion LNG Project

By Tsvetana Paraskova of OilPrice.com

BP will sell 5% in the $35-billion Browse LNG project in Australia, which Australian energy giant Woodside is looking to progress, the UK-based supermajor told Reuters on Monday.

BP is selling the 5% stake, out of its total of its 44% interest, to South Korea's GS Energy.

“The dilution reflects BP’s disciplined approach to portfolio management by bringing in a committed partner,” BP said in a statement emailed to Reuters.

The Browse LNG project in Australia, proposed by Woodside Energy, entails the Browse to North West Shelf (NWS) Project to deliver natural gas from the Calliance, Torosa, and Brecknock fields to the existing Karratha Gas Plant.

The Browse project proposes to connect the natural gas fields via a 900-kilometre pipeline, connected to two floating production storage and offloading facilities, while a CCS solution has been incorporated into the offshore design.

Production capacity at Browse is planned to be 11.4 million tonnes per annum (LNG, LPG, and domestic gas) and a peak condensate production rate of 50,000 barrels per day.

The project is currently in the concept definition phase, and key activities continue in support of progress towards front-end engineering and design entry, Woodside said last month.

Woodside is the operator of the project with a 30.6% stake in the Browse Joint Venture. Before the BP-GS Energy deal, the British major held 44.33%. The sell-down will reduce BP’s interest in the joint venture to 39%.

Japan Australia LNG (MIMI Browse) Pty Ltd and PetroChina International Investment (Australia) Pty Ltd were the other shareholders in the joint venture before GS Energy joins the project with the 5% stake acquired from BP.

The Browse LNG project may have good chances to pass all pre-development and pre-construction stages in the coming years as Australian and Asian energy demand is rising, while the Middle Eastern crisis has created new energy security concerns among buyers.

Tyler Durden Mon, 06/01/2026 - 20:55

How U.S. Retailers Are Absorbing The Fuel-Price Shock

We have diligently tracked the Gulf-related fuel-price shock hitting the American consumer, with prices rising at the fastest rate in three years, personal savings depleted, and spending still running hot, a trend Goldman flags as increasingly troubling for the broader economy. This cocktail has revived uncomfortable memories of the 1970s: higher energy costs, squeezed households, and a consumer still spending into weakness.

But another important area of coverage is how companies are faring as freight, fuel, and supplier costs, along with tariff pressures, bleed through supply chains.

Early read-throughs from Goldman analysts led by Kate McShane indicate that management teams at major retailers are absorbing higher logistics costs today, but the real risk is that a sustained fuel price shock in the back half of the year could begin to deteriorate margins.

McShane and her team spoke with the IR and management teams of AutoZone, Bath & Body Works, Best Buy, Costco Wholesale, Dick's Sporting Goods, Dollar Tree, and Walmart, focusing on commentary on freight and inflation.

The key read-through is that most of these retailers have so far absorbed higher oil prices, domestic trucking surcharges, ocean freight costs, and supplier cost pressures without a major P&L shock.

However, the warning from several management teams is clear: if elevated costs persist into the back half of the year, the ability to offset them through vendor negotiations, logistics efficiencies, or other creative ways becomes increasingly difficult.

At that point, the risk shifts from manageable cost pressure to margin deterioration, and potentially another round of retail price increases.

Here is McShane's cheat sheet on retailer commentary on freight and inflation:

As oil prices continue to rise and the macro environment remains volatile, we are monitoring 1Q26 earnings for any company commentary on freight and inflation.

Specifically, we are watching for commentary on incremental freight costs and its impact on the P&L, and the company's inflation outlook, and its impact on ticket.

Each week, we will update this chart as companies in our coverage continue to report.

The takeaway is that management teams are still largely framing the energy shock as manageable for now. The next big concern is that elevated fuel and logistics costs through the summer would make it increasingly difficult to absorb and offset costs, likely resulting in either margin pressure or another round of price hikes on consumer-facing goods later this year.

Professional subscribers can read the full Americas Retailer note here at our new Marketdesk.ai portal. 

Tyler Durden Mon, 06/01/2026 - 20:30