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  • Israel vows to ‘exact a price’ after Iran’s attack. Here’s what analysts expect could happen

    Israel vows to ‘exact a price’ after Iran’s attack. Here’s what analysts expect could happen

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    Israel’s Iron Dome anti-missile system intercepts rockets launched from the Gaza Strip, as seen from the city of Ashkelon, Israel October 9, 2023.

    Amir Cohen | Reuters

    Israel has vowed to “exact a price” from Iran in retaliation for the large-scale aerial assault on the Jewish state this weekend — while some analysts expect Israel to respond, the timing and extent of that retaliation remains in question.

    Iran launched more than 300 drones and missiles against military targets inside Israel on Saturday, in what President Joe Biden described as “unprecedented.”

    “Right now, they certainly are seriously considering direct strikes on Iran, because that is a clearest path back to deterrence,” according to Ryan Bohl, senior Middle East and North Africa analyst at risk intelligence platform Rane Network.

    But Israel will need to strike a delicate balance, he noted, highlighting that “they don’t want an overt conflict with Iran.”

    The less risky tactic is a “covert escalation,” where the Israelis will be “looking for ways where they can get their shadow war back into the shadows with greater intensity,” Bohl told CNBC’s “Squawk Box Asia” on Monday.

    While Biden has pledged an “ironclad” commitment to Israel’s security against Iranian threats, he has also made clear to Israeli Prime Minister Benjamin Netanyahu the U.S. will not participate in any offensive operations against Iran, a senior administration official told NBC News.

    Ahead of a war cabinet meeting on Sunday, Israel’s centrist minister Benny Gantz vowed to “build a regional coalition and exact the price from Iran in the fashion and timing that is right for us.”

    Iran has said the attack on Israel was in response to an Israeli strike on its embassy compound in Damascus, Syria earlier this month. The Islamic regime has accused Israel of the April 1 attack which killed seven Iranian military personnel, including senior commanders.

    Iran’s envoy to the United Nations cited self-defense for the country’s actions.

    “This action was in the exercise of Iran’s inherent right to self-defense as outlined in Article 51 of the Charter of the United Nations, and in response to the Israeli recurring military aggressions, particularly its armed attack on 1st April 2024 against Iranian diplomatic premises,” Iran’s UN Ambassador Amir Saeid Iravani said.

    ‘Extreme retaliation’ later?

    Israel and Iran have been at odds for decades, with Iran funding and supporting groups opposing Israel including Palestinian militant group Hamas, with the ongoing conflict in Gaza often referred to as a proxy war between Israel and Iran

    Tehran has also been supporting Lebanon’s Hezbollah, Yemeni Houthis as well as the Syrian regime under President Bashar al-Assad.

    “Strategically, I think you will get a movement from Israel within a week,” said David Roche, president and global strategist at Independent Strategy, who does not expect Israeli forces to attack Iranian oil facilities as it would “displease all of their supporters” like the United States.

    Roche said Israel’s immediate response may be moderate, but he did not rule out that an “extreme retaliation” may still be on the cards in about a year or more from now.

    “If you got the most extreme form of retaliation — which I don’t think you will get now — but you will get inevitably within a year or 18 months, against Iran’s nuclear capacity, then I think you’re into a market meltdown,” he told CNBC on Monday.

    In any case, what the U.S. wants is de-escalation, said Roche. “But I stress you’re de-escalating within a higher level of escalation, which is here to stay, which I think due to the nuclear threat from Iran, is destined to move higher over the next 18 months by a big jump.”

    What’s next for Iran?

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  • Israel says 300 Iranian drones and missiles downed in ‘unprecedented’ overnight attack

    Israel says 300 Iranian drones and missiles downed in ‘unprecedented’ overnight attack

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    Iranians are waving Iranian flags and a Palestinian flag as they celebrate Iran’s IRGC UAV and missile attack against Israel on April 14, 2024.

    Nurphoto | Nurphoto | Getty Images

    Iran rained a deluge of drones and missiles on Israel on Saturday night in response to a suspected Israeli strike that killed top Iranian officials in Syria, in a deep escalation of Middle East tensions.

    Israel said it identified 300 “threats of various types” and eliminated “99%” of those bound for Israeli soil, according to an update from an Israel Defense Forces spokesperson, Rear Admiral Daniel Hagari. He said a 10-year-old girl was “severely injured by shrapnel” but reported no additional casualties, adding that “several launches” were also made toward Israel from Iraq, Yemen and Lebanon.  

    Last night marked the first instance of a direct attack on Israel from Iranian territory. Iran-backed factions – such as Palestinian militant group Hamas, Lebanon’s Hezbollah, Yemeni Houthi and Bashar al-Assad’s Syrian administration – have engaged militarily with the Jewish state.  

    Earlier on Saturday, Iran’s Revolutionary Guards had seized a cargo ship in the Strait of Hormuz, claiming a connection to Israel.

    Iran’s chief of staff of the armed forces, Major General Mohammad Bagheri, said that Tehran’s operation had now concluded and would involve no further actions, in comments carried by Iran’s state-owned Islamic Republic News Agency.

    Israel and Iran have been on the cusp of direct conflict since the start of Israel’s military campaign in the Gaza Strip, which came in response to Hamas’ terror attack of Oct. 7. Iran vowed revenge after a suspected Israeli strike on an Iranian consulate in Damascus, Syria, on April 1, which killed several top Iranian military commanders.

    “We will not be able to comment on the claims regarding a strike in Damascus,” an Israeli foreign ministry spokesperson told CNBC by email, adding, “Iran’s attack on Israel on the night of April 14th is a direct attack on a sovereign nation, its use of proxies for the last decades and the destabilizing effect of the Ayatollah regime in the region and beyond must end.”

    Israel’s Ambassador to the U.N., Gilad Erdan, has also called an emergency meeting of the U.N. Security Council and “demanded that they condemn Iran’s attack on Israel and designate the Iranian Revolutionary Guard Corps as a terror organization.”

    The European Union has blasted Tehran’s offensive: “The EU strongly condemns the unacceptable Iranian attack against Israel,” EU High Representative Josep Borrell said late Saturday on social media. “This is an unprecedented escalation and a grave threat to regional security.”

    U.S. President Joe Biden also denounced the Iranian strike on Saturday as “unprecedented” and convened G7 leaders to “coordinate a united diplomatic response to Iran’s brazen attack,” according to a White House statement.  

    “While we have not seen attacks on our forces or facilities today, we will remain vigilant to all threats and will not hesitate to take all necessary action to protect our people,” he added.

    Relations between stalwart allies Washington and Israel had appeared to slightly chill in recent weeks, with Biden warning further support would hinge on Israel taking steps to protect civilians and humanitarian aid workers in the Gaza enclave.

    But the U.S. – alongside the U.K. and France, according to Israeli military – intervened to mitigate last night’s Iranian attack and the assault could reignite urgency to pass a key $95 billion bill including funding for Israel and Ukraine, which has passed the Senate but stagnated on Republican opposition in the U.S. House of Representatives.

    “In light of Iran’s unjustified attack on Israel, the House will move from its previously announced legislative schedule next week to instead consider legislation that supports our ally Israel and holds Iran and its terrorist proxies accountable,” said House leader Steve Scalise on social media.

    “Congress must also do its part. The national security supplemental that has waited months for action will provide critical resources to Israel and our own military forces in the region,” Mitch McConnell, Senate Republican leader, said in a statement. “We cannot hope to deter conflict without demonstrating resolve and investing seriously in American strength.”

    Ramifications

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  • Trump says going to jail for gag order violation would be a ‘great honor,’ compares himself to Mandela

    Trump says going to jail for gag order violation would be a ‘great honor,’ compares himself to Mandela

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    Former U.S. President Donald Trump speaks at a campaign event on April 02, 2024 in Grand Rapids, Michigan.

    Spencer Platt | Getty Images

    Donald Trump on Saturday said he welcomed the prospect of going to jail for violating a gag order in his upcoming New York hush money trial.

    “I will gladly become a Modern Day Nelson Mandela — It will be my GREAT HONOR,” the former president wrote in a lengthy Truth Social post attacking New York State Supreme Court Judge Juan Merchan, who is presiding over Trump’s case.

    It was not the first time Trump has likened himself to a martyr as he faces a flurry of criminal charges.

    In an October rant against his various lawsuits, the presumptive Republican nominee also compared himself to Mandela, the former president of South Africa who spent 27 years in prison for his anti-apartheid activism.

    And last week, Trump took to Truth Social to share a message that likened his legal troubles to the persecution of Jesus Christ.

    Saturday’s tirade occurred just over a week before the trial is scheduled to begin on April 15.

    That day, jury selection will get underway in the state’s criminal prosecution of the former president on 34 counts of falsifying business documents, allegedly in order to hide a hush money payment made to porn star Stormy Daniels weeks before the 2016 presidential election.

    Trump has accused Merchan of being compromised because of his daughter’s role at a progressive consulting firm that has worked for Democrats.

    Trump’s social media rant on Saturday was the latest of several that he has posted about the judge’s daughter since Merchan first imposed an initial gag order at the end of March.

    That order prohibited Trump from making public statements about the case’s witnesses, jurors and lawyers. He was also banned from publicly speaking about court staff, employees in the Manhattan District Attorney’s office and their family members. That first gag order came in response to Trump’s repeated calls for the judge to recuse himself.

    One day after the first gag order was imposed on March 26, Trump went after Merchan’s daughter on social media.

    Soon after that, Merchan granted prosecutors a request to expand the scope of the order to prohibit direct attacks on Merchan’s family members and the family of Manhattan District Attorney Alvin Bragg.

    Under the expanded order, Trump can still criticize Merchan and Bragg individually. But he is not allowed to target their families publicly.

    Playing with the fire of his gag orders is becoming routine for Trump.

    In October, Judge Arthur Engoron threatened Trump with jail time for violating a similar order in a civil case and ultimately issued him $10,000 in fines.

    President Joe Biden’s reelection campaign seized on Saturday’s Mandela comments.

    “Imagine being so self-centered that you compare yourself to Jesus Christ and Nelson Mandela all within the span of little more than a week: that’s Donald Trump for you,” Biden campaign spokesperson Jasmine Harris said on Saturday.

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  • Turkey’s inflation climbs to 68.5% despite continued rate hikes

    Turkey’s inflation climbs to 68.5% despite continued rate hikes

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    A money changer holds Turkish lira and U.S. dollar banknotes at a currency exchange office in Ankara, Turkey December 16, 2021.

    Cagla Gurdogan | Reuters

    Turkey’s annual inflation rose to 68.5% for the month of March, an increase on February’s 67.1% inflation read, according to the Turkish Statistical Institute’s report released Wednesday.

    The monthly rise in consumer prices came out at 3.16%, led by education, communication, and hotels, restaurants and cafes, which saw month-on-month rises of 13%, 5.6%, and 3.9%, respectively.

    On an annual basis, education again saw the highest cost inflation at 104% year-on-year, followed by hotels, restaurants and cafes at 95% and health at 80%.

    Turkey has launched a concerted effort to tackle soaring inflation with interest rate hikes, most recently raising the country’s key rate from 45% to 50% in late March.

    Much of the inflation in recent months stems from a significant increase to the minimum wage that Turkey’s government mandated for 2024. The minimum wage for the year rose to 17,002 Turkish lira (around $530) per month in January, a 100% hike from the same period a year prior.

    Economists expect further rate hikes from the central bank will be necessary.

    While the March inflation count represents “the smallest monthly increase in three months and suggests that the impact of the large minimum wage hike in January may now have largely passed, it is still far from consistent with the single-digit inflation that policymakers are trying to achieve,” Nicholas Farr, an Emerging Europe economist at London-based Capital Economics, wrote in an analyst note Wednesday.

    “The latest inflation figures do little to change our view that further monetary tightening lies in store and that a more concerted effort to tighten fiscal policy will be needed too,” he said.

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  • Turkey’s opposition stuns in sweeping local elections victory over Erdogan’s party

    Turkey’s opposition stuns in sweeping local elections victory over Erdogan’s party

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    Istanbul Municipality Mayor Ekrem İmamoğlu speaks at the 19 May Commemoration of Atatürk, Youth and Sports Day celebrations held at the Maltepe Event Area on May 19, 2023 on Istanbul, Turkey. 

    Hakan Akgun | Getty Images

    Turkey’s opposition won a stunning victory across several major cities in the country’s local elections Sunday, dealing a severe blow to President Recep Tayyip Erdogan’s ruling party and handing it its largest defeat in more than two decades.

    “Those who do not understand the nation’s message will eventually lose,” Istanbul Mayor Ekrem Imamoglu told thousands of supporters after vote counts revealed that his center-left Republican People’s Party (CHP) had won the megacity of Istanbul by more than 1 million votes, Reuters reported.

    “Tonight, 16 million Istanbul citizens sent a message to both our rivals and the president,” he said.

    Erdogan’s conservative Justice and Development Party, abbreviated locally as AKP, dominates the country at the national level.

    In a speech Sunday night, Erdogan admitted his party had “lost altitude” and would work to rectify its errors.

    “We will correct our mistakes and redress our shortcomings,” he said from the balcony of the presidential palace. Erdogan, 70, has governed Turkey since 2003.

    The sweeping opposition win municipal elections across major Turkish cities like Istanbul, Izmir, and the capital Ankara could set the country in a new direction. Erdogan himself rose to prominence as Istanbul mayor in the 1990s before later going on to win the presidency; now, analysts are speculating that Imamoglu’s win in Istanbul could make him a front-runner for the Turkish presidency in 2028.

    Erdogan himself once said that whoever wins Istanbul wins Turkey. Imamoglu, a 52-year-old former businessman, has been Istanbul’s mayor since 2019. He attempted to run for president in Turkey’s 2023 general election, but was banned by Erdogan’s government from running, in a move CHP supporters say was purely political. In those elections, Erdogan’s party won big, leaving AKP on top at the national level.

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  • Israeli Prime Minister Netanyahu is set to undergo hernia surgery

    Israeli Prime Minister Netanyahu is set to undergo hernia surgery

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    Israeli Prime Minister Benjamin Netanyahu addresses the Conference of Presidents of Major American Jewish Organizations, amid the ongoing conflict between Israel and the Palestinian Islamist group Hamas, in Jerusalem, February 18, 2024. 

    Ronen Zvulun | Reuters

    Prime Minister Benjamin Netanyahu’s office says the Israeli leader will undergo surgery on Sunday for a hernia.

    Netanyahu’s office said the hernia was discovered during a routine checkup, and that the prime minister will be under full anesthesia and unsconcious for the procedure.

    Justice Minister Yariv Levin, a close confidant who also holds the title of deputy prime minister, will serve as acting prime minister during the operation, the office said.

    Netanyahu, 74, has kept a full schedule throughout Israel’s nearly six-month-long war against Hamas, and his doctors have said he is in good health.

    Last year, however, doctors acknowledged he had concealed a long-known heart problem after they implanted a pacemaker.

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  • TikTok makes $2.1 million TV ad buy as Senate reviews bill that could ban app

    TikTok makes $2.1 million TV ad buy as Senate reviews bill that could ban app

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    C

    Michael M. Santiago | Getty Images

    TikTok has launched a $2.1 million advertising campaign with a clear message for senators in tough reelection fights this year: Block the House bill that could effectively ban the app in the United States.

    “Think about the 5 million small business owners that rely on TikTok to provide for their families,” one purported TikTok user says in the ad. “To see all of that disappear would be so sad,” says another apparent user.

    The company has reserved television ad space in the battleground states of Nevada, Montana, Wisconsin, Pennsylvania and Ohio, according to data from AdImpact.

    All five states are represented by vulnerable Senate Democrats, each of whom is running for another six-year term.

    Other states that will see the new TikTok ads include New York, Massachusetts and Minnesota, according to the ad buy data.

    The Big Apple and Beantown are key ad markets for reaching young people and journalists. Minnesota is the home state of Democratic Sen. Amy Klobuchar, one of TikTok’s fiercest critics in Congress. Klobuchar is also up for reelection this year.

    The ads started running on Wednesday, with the buy set to end end either April 14 or April 28, depending on where the spots are airing, according to the data.

    One of the new ads obtained by CNBC purports to show TikTok users warning their target audiences of how much would be lost if TikTok were banned.

    “It’s gonna affect a lot of people’s livelihoods,” says a sad-looking woman.

    Senate path

    Senator Maria Cantwell, a Democrat from Washington, speaks during a Senate Finance Committee hearing in Washington, D.C., on Tuesday, June 8, 2021.

    Evelyn Hockstein | Bloomberg | Getty Images

    Senate Majority Leader Chuck Schumer, D-N.Y., recently said senators would need time to “review the legislation” before he could share any timelines for potential passage.

    President Joe Biden has said he would sign the bill if if passes the Senate. Intelligence community officials recently delivered a classified briefing on TikTok to senators.

    Following the briefing, Commerce Committee chair Sen. Maria Cantwell, D-Wash., said her panel might need to hold a public hearing on the bill.

    High-pressure lobbying

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  • Biden signs $1.2 trillion spending package for government funding until October

    Biden signs $1.2 trillion spending package for government funding until October

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    U.S. President Joe Biden and Vice President Kamala Harris meet with (L-R) Senate Minority Leader Mitch McConnell (R-KY), House Speaker Mike Johnson (R-LA), Senate Majority Leader Chuck Schumer (D-NY), House Minority Leader Hakeem Jeffries (D-NY), on February 27, 2024 at the White House in Washington, DC.

    Roberto Schmidt | Getty Images

    President Joe Biden on Saturday signed Congress‘ $1.2 trillion spending package, finalizing the remaining batch of bills in a long-awaited budget to keep the government funded until Oct. 1.

    Almost halfway into the fiscal year, the president’s signature ends a months-long saga of Congress struggling to secure a permanent budget resolution and instead passing stopgap measures, nearly averting government shutdowns.

    “The bipartisan funding bill I just signed keeps the government open, invests in the American people, and strengthens our economy and national security,” Biden said in a Saturday statement. “This agreement represents a compromise, which means neither side got everything it wanted.”

    The weekend budget deal slid in just under the wire before the Friday midnight funding deadline, as has been typical this fiscal year with eleventh-hour disagreements derailing near-complete deals.

    The Senate passed the budget in a 74-24 vote at roughly 2 a.m. ET Saturday morning, technically two hours after the deadline due to last-minute disagreements. However, the White House said that it would not begin official shutdown operations since a deal had ultimately been secured and only procedural actions remained.

    The House passed its own vote Friday morning after a week of scrambling to reconcile a lingering sticking point: funding for the Department of Homeland Security, which the White House took issue with last weekend. The White House’s qualms delayed the negotiation process further, just as lawmakers were preparing to release the legislative text of the budget proposal.

    This trillion-dollar tranche of six appropriation bills will fund agencies related to defense, financial services, homeland security, health and human services and more. Congress approved $459 billion for the first six appropriations bills earlier in March, which related to agencies that were less partisan and easier to negotiate.

    With the government finally funded for the rest of the fiscal year, House Speaker Mike Johnson, R-La., has cleared his plate of at least one looming issue.

    But in so doing, he may have created another.

    Hours before the House passed the spending package Friday morning, hardline House Republicans held a press conference to lambast the bill. Moments after the House narrowly passed the bill, far-right Georgia Republican Rep. Marjorie Taylor Greene filed a motion to oust Johnson.

    If ousting a House speaker for budget disagreements feels like a familiar story, that’s because it is.

    In October, after former Speaker Kevin McCarthy struck a deal with Democrats to avert a government shutdown, the House voted to remove him, making him the first Speaker in history to be removed from that position. Johnson has been trying to appease the hardline Republican wing of the House, called the Freedom Caucus, to avoid meeting a similar fate.

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  • Trump-backed candidate Bernie Moreno wins Ohio Republican Senate primary, NBC News projects

    Trump-backed candidate Bernie Moreno wins Ohio Republican Senate primary, NBC News projects

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    US Senate candidate Bernie Moreno, Republican of Ohio, speaks before former US President and Republican presidential candidate Donald Trump takes the stage during a Buckeye Values PAC Rally in Vandalia, Ohio, on March 16, 2024. 

    Kamil Krzaczynski | Afp | Getty Images

    Donald Trump-backed businessman Bernie Moreno will win Ohio’s Republican Senate primary, NBC News projects, teeing up a high stakes November contest against incumbent Democratic Sen. Sherrod Brown.

    “What we have to do now is, as a fully united party, understand we have one mission, which is to get rid of Sherrod Brown,” Moreno said in a victory speech in a Cleveland suburb Tuesday night.

    Moreno’s main opponent was State Sen. Matt Dolan, who secured the endorsement of Ohio’s popular Republican Gov. Mike DeWine early last week. Secretary of State Frank LaRose was also on the ballot, but held a steady third place, out-funded by his wealthier competitors. 

    Moreno’s victory sends an early message for this election year: Trump’s MAGA seal of approval may hold a power in 2024 that it did not several years ago.

    “I wear with honor. My endorsement of President but from President Trump, I wear that with a badge of honor,” Moreno said.

    In 2020, Trump lost the White House to President Joe Biden and the GOP lost both chambers of Congress. In 2022, many Trump-backed candidates underperformed in key races, though Republicans were able to narrowly take back the House. 

    With memories of that spotty track record still fresh, Ohio’s race was positioned as a test for whether the former president’s backing had renewed sway over the GOP establishment this election year. 

    The success of Moreno, 57, a politically inexperienced entrepreneur who made his living as a luxury car dealer and blockchain investor, over career politician Dolan boosts Trump’s comeback thesis.

    “It’s evident that Donald Trump’s endorsement for Bernie Moreno was a key factor,” Dolan told reporters after conceding the race to Moreno.

    Republican presidential candidate former President Donald Trump greets Ohio Republican candidate for US Senate Bernie Moreno during a rally at the Dayton International Airport on March 16, 2024 in Vandalia, Ohio. 

    Scott Olson | Getty Images

    With Tuesday’s primary battle in rearview, Moreno’s campaign now shifts to general election mode as the Republican party counts on him to unseat Sen. Brown and help regain Senate control.

    There has already been GOP head-scratching over Moreno’s ability to flip the Democratic seat. Especially after he faced backlash following an Associated Press report that linked his email address to a 2008 account on a casual sex website seeking “Men for 1-on-1 sex.”

    Moreno’s lawyer later released a statement saying that a former intern for Moreno had created the account as a prank.

    In the days leading up to the Senate race, a Democratic PAC spent millions on ads that were intended to boost Moreno, reflecting Democrats’ belief that it would be easier for Brown to beat Moreno in November than Dolan.

    Ohio has turned redder over the past few election cycles, and Trump won the state in 2016 and 2020. The Republican Party has been looking to capitalize on the Buckeye State’s red wave in order to help the party take back control of the Senate. 

    “Ohio is maybe one of the states that decides who controls the United States Senate,” Gov. Mike DeWine said on Sunday. “So there’s a lot at stake in this election.”

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  • Creditors demand Rudy Giuliani sell his $3.5 million Florida condo to pay debts

    Creditors demand Rudy Giuliani sell his $3.5 million Florida condo to pay debts

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    Rudy Giuliani, the former personal lawyer for former U.S. President Donald Trump, arrives at the E. Barrett Prettyman U.S. District Courthouse in Washington, D.C., on Dec. 15, 2023.

    Anna Moneymaker | Getty Images

    Creditors want to force Rudy Giuliani to sell his $3.5 million Florida condo to help pay his significant debts, according to a court document filed on Friday.

    The former New York City mayor filed for bankruptcy protection in December, citing myriad unpaid debts including a $148 million payment to two Georgia election poll workers who he falsely claimed had tampered with the 2020 election ballots while he was serving as a lawyer for former President Donald Trump.

    In response to Friday’s filing, Giuliani’s counsel said the request to sell the Florida condo is “extremely premature.”

    “The case is still in its infancy,” said Heath Berger, partner at Berger, Fischoff, Shumer, Wexler & Goodman, LLP, who is representing Giuliani in his bankruptcy litigation.

    Giuliani has argued that he does not have the funds to pay his debts, the Friday court filing said: “According to the Debtor’s counsel, ‘there’s no pot of gold at the end of the rainbow.’”

    Giuliani’s primary income comes from Social Security payments and money from his Individual Retirement Account, Berger told CNBC.

    But the court document cited various expenses Giuliani pays now to maintain his lifestyle.

    For example, Giuliani spends tens of thousands of dollars a month to maintain his Florida condo. In January, according to the document, he also racked up more than $26,200 in credit card payments on 60 Amazon transactions, with charges for Netflix, Prime Video, Kindle, Audible, Paramount+, Uber rides and more.

    “Unfortunately, like everybody else, that’s like a debit card for him,” Berger said. “We don’t believe that there’s anything out of the ordinary, outside of normal living expenses.”

    Creditors see his real estate assets as fair game to recoup what is owed. They said his “pre-war co-op” apartment on New York City’s Upper East Side is exempt since it is his primary residence.

    However, the document said, Giuliani spends “approximately 20-30% of his time in Florida” and therefore creditors claimed the $3.5 million condo must be sold.

    “It is merely a matter of when, not if, the Debtor will have to sell the Florida Condo in order to distribute the proceeds thereof to creditors,” the filing said.

    But Giuliani is in the process of selling the Manhattan apartment and is looking to relocate to his Florida residence full-time, Berger said.

    “The Manhattan property is more expensive to maintain. It’s worth more so there’ll be a greater distribution to creditors from the sale of that property,” Berger told CNBC.

    Berger added that payments related to his divorce “will be coming to a conclusion … within the next year or so.”

    Creditors also demanded that Giuliani secure homeowners insurance for his Florida and New York City residences since they are his two most valuable assets and “if anything were to happen to either of them, such loss would be a significant impediment to creditor recoveries.”

    Giuliani has claimed he cannot afford the insurance, the court document said.

    The former Trump adviser has faced a slew of legal woes for his role in trying to overturn the 2020 election results, all of which have helped land him in bankruptcy court. His bankruptcy filing from December estimated that he has between $1 million and $10 million worth of assets and nearly $152 million to pay off, including what is owed to the IRS and law firms.

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  • Former Vice President Mike Pence will not endorse Trump in 2024

    Former Vice President Mike Pence will not endorse Trump in 2024

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    Former U.S. Vice President Mike Pence arrives to speak at the Republican Jewish Coalition Annual Leadership Summit in Las Vegas on Oct. 28, 2023.

    Steve Marcus | Reuters

    WASHINGTON — Former Vice President Mike Pence said Friday that he would not endorse his former boss for president in the 2024 election.

    Pence revealed the decision during an interview on Fox News. “I will not be endorsing Donald Trump this year,” the Republican said.

    Pence’s announcement came as Trump secured enough Republican delegates this week to clinch the party’s nomination.

    Trump “is pursuing and articulating an agenda that is at odds with the conservative agenda that we governed on during our four years,” said Pence.

    “As I have watched his candidacy unfold, I’ve seen him walking away from our commitment to confronting the national debt,” Pence said. “I’ve seen him starting to shy away from a commitment to the sanctity of human life.”

    Read more CNBC politics coverage

    Pence also noted Trump’s “reversal on getting tough on China and supporting our administration’s effort to force a sale of [ByteDance’s] TikTok.”

    Trump recently reversed his long-held position on whether TikTok should be permitted to continue operating in the U.S. under the ownership of China-based ByteDance.

    Pence mounted his own run for president against Trump and a crowded field of Republican hopefuls, but dropped out in October 2023 after his campaign failed to gain traction with GOP primary voters.

    Pence added Friday that he would “never vote” for Democratic President Joe Biden, who also secured his party’s nomination in March 12 primary contests.

    “I’m going to keep my vote to myself,” said Pence.

    Pence served as Trump’s vice president for their single term in office, from January 2017 through January 2021.

    On Jan. 6, 2021, Pence and congressional lawmakers were forced to flee Senate and House chambers when a mob of Trump supporters stormed the U.S. Capitol complex.

    Trump had urged his followers that morning to march to the Capitol and protest the certification of Biden’s victory in the 2020 election over him.

    As the mob breached the Capitol security fence and attacked law enforcement, Pence was inside presiding over a joint session of Congress meeting to ratify Electoral College votes.

    — CNBC’s Dan Mangan contributed reporting to this story.

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  • Russians vote in an election that Putin will win, but the Kremlin is looking for a landslide victory

    Russians vote in an election that Putin will win, but the Kremlin is looking for a landslide victory

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    Vladimir Putin at a rally at Manezhnaya Square near the Kremlin on March 18, 2018.

    Mikhail Svetlov/Getty Images

    There are no surprises over who will win Russia’s presidential election this coming weekend with incumbent, Vladimir Putin, set to win a fifth term in office, keeping him in power until at least 2030.

    The heavily stage-managed vote taking place from Friday to Sunday is not expected to throw up any nasty surprises for the Kremlin which told CNBC months ago that it was confident Putin would win the vote comfortably.

    That’s particularly the case in a country where Russian opposition figures are not represented on the ballot paper or in mainstream politics, with most activists having fled the country. Those that have stayed have found themselves arrested or imprisoned or have died in mysterious circumstances, as was the case with jailed opposition leader Alexei Navalny. The Kremlin denied it had any hand in his death.

    In the 2024 election, there’s no doubt who will win the vote; Putin’s name is on the ballot paper along with only three other candidates who are part of Russia’s “systemic opposition”: Vladislav Davankov of the New People party, Leonid Slutsky from the Liberal Democratic Party (LDPR) and Communist Party candidate Nikolay Kharitonov.

    Seen as token political opponents whose parties are generally supportive of the government, their inclusion on the ballot paper is designed to lend a degree of respectability to the vote, and a semblance of plurality to Russia’s effectively autocratic political system.

    Putin has been in power either as president or prime minister since late 1999 and shows no sign of being ready to relinquish control of the country. He’s backed by a loyal inner circle and retains the support of Russia’s security services.

    Reflecting the Kremlin’s nervousness over any potential for an electoral upset, however, even candidates who were only marginally representative of the “non-systemic opposition,” such as anti-war hopefuls Yekaterina Duntsova and Boris Nadezhdin, were barred from participating in the election by Russia’s Central Election Commission. The ban was widely seen as politically-motivated.

    Looking for a landslide

    Over 110 million Russian citizens are eligible to vote in the election, as well as an estimated 6 million people living in four partially Russian-occupied territories in the south and east of Ukraine, much to Kyiv’s disdain.

    Putin’s approval rating in Russia stands at the highest level since 2016, at 86% in February, according to the independent Levada Center, although analysts like Andrei Kolesnikov, a senior fellow at the Carnegie Russia Eurasia Center, note that Putin’s “power model” is heavily reliant on two unstable mainstays: “passive conformism and fear.”

    Both factors have certainly been amplified since Russia invaded its neighbor Ukraine in February 2022, with any perceived criticism of Russia’s “special military operation” — portrayed as a glorious and patriotic defense of Russia’s homeland — potentially landing citizens in jail. That 315,000 Russian soldiers are estimated to have been wounded or killed in the conflict is not a subject the Kremlin will go near in public; Russia does not release death or casualty figures.

    Ukrainian soldiers fire with D-30 artillery at Russian positions in the direction of Klishchiivka as the Russia-Ukraine war continues in Donetsk Oblast, Ukraine on August 12, 2023. 

    Diego Herrera Carcedo | Anadolu Agency | Getty Images

    The Kremlin will be hoping to see high voter turnout this election — the first time a presidential vote has been held over three days — and is looking for a momentous win for Putin in order to legitimize the war, analysts note.

    “The Kremlin seeks an election result that would demonstrate overwhelming public support for Putin and, by extension, his domestic and foreign policy agenda,” Andreas Tursa, central and eastern Europe advisor at consultancy Teneo, commented Thursday.

    “The Kremlin is using the electoral contest to reaffirm Putin’s legitimacy, mobilize public support for his policies, and showcase unity and determination to its external adversaries,” he added, with the Kremlin looking for a “landslide victory.”

    “According to official data, Putin received 77.5% of valid votes in the 2018 presidential election that saw a turnout of 67.5%. This year, both figures could be even higher,” he said.

    “Putin does not face any real competition in the vote and, if needed, electoral authorities have various tools at their disposal to engineer the desired turnout and result. However, the preference is to generate the result with as little interference as possible,” he noted.

    Widespread criticism

    Rising authoritarianism in Russia, and the erosion of the last vestiges of democracy in the country during Putin’s tenure, have provoked widespread criticism and consternation. As such, it’s no wonder that the 2024 vote has already been condemned by opposition activists, as well as neighboring Ukraine.

    Kyiv has been scathing about voting taking place in Crimea, Zaporizhzhia, Kherson, Donetsk and Luhansk this week. There have already been reports of coercion and illegitimate voting practices including evidence of armed soldiers accompanying pro-Russian officials, holding ballot boxes, as they go door-to-door to gather votes.

    Ukraine’s foreign ministry said in a statement Thursday that Russia’s attempt to “imitate” presidential elections on its territory “demonstrates the Russian Federation’s continued flagrant disregard for international law norms and principles.” It called the votes illegal and urged citizens in occupied regions not to participate.

    Russian opposition activists, most in self-imposed exile in order to evade arrest, imprisonment or attack, have also condemned the election.

    Yulia Navalnaya, the widow of the late opposition leader Alexei Navalny, pleaded with Russian voters to vote for “any candidate except Putin” and called on citizens to vote en masse at midday local time on March 17, with the intention of overwhelming polling stations. She also asked the West to not recognize the election result. Kremlin opponents have also called on supporters abroad to protest outside Russian embassies this coming Sunday.

    Dmitrii Moskovii, an opposition activist and representative of the Russian Democratic Society in London, said the protests offered people a chance to show their opposition to Putin and the war.

    When we’re talking about Russia, we’re always talking about an almost authoritarian regime in which there is no freedom of election, we’re talking about an election that is obviously and for sure going to be faked by the Russian authorities,” he told CNBC Thursday.

    Russian President Vladimir Putin gestures during a meeting with participants of the International Youth Festival, March 6, 2024 in Sirius territory, Sochi, Russia. Putin is visiting the Stavropolsky Krai and Krasnodar Krai regions in the southern part of the country ahead of the presidential elections scheduled March 15-17. 

    Contributor | Getty Images News | Getty Images

    The semblance of free and fair elections appears to be something the Kremlin is little concerned about, with analysts noting that the 2024 vote is taking place with far less scrutiny than previous ballots, reflecting Russia’s increasingly indifferent attitude toward international democratic norms.

    “Recent changes to Russia’s electoral laws make it virtually impossible to conduct any meaningful monitoring, and have significantly restricted the role of the media,” Anna Caprile, a policy analyst with the European Parliament, said in analysis Wednesday.

    “The reappointment of Vladimir Putin seems inexorable. The objective of the Kremlin, however, is not just victory, but a landslide result, both in turnout and percentage of votes. This would legitimise Putin’s legacy and his war of aggression, relegating the remaining opposition to an even more marginalised role, and allowing Putin to implement, unchecked, his vision for the next six years,” she noted.

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  • How far does Gulf money go? An Abu Dhabi-backed newspaper buyout attempt is sparking panic in London

    How far does Gulf money go? An Abu Dhabi-backed newspaper buyout attempt is sparking panic in London

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    Copies of The Daily Telegraph newspaper on a newsstand in a shop in London, UK, on March 12, 2024 (L), and UAE Vice President Sheikh Mansour bin Zayed al-Nahyan speaking at COP28 on Dec. 1, 2023.

    Getty Images

    DUBAI, United Arab Emirates — Mansions, university facilities, think tanks, sports teams — the U.K. is no stranger to Gulf money and multi-billion dollar investments streaming from Qatar, the United Emirates and Saudi Arabia into British institutions.

    But newspapers? That’s a hard stop, apparently. The latest investment pursuit flowing westward from one of the U.K.’s close Gulf allies, the UAE, has thrown British lawmakers, journalists, and even former intelligence officials into a frenzy.

    Just on Wednesday, Britain’s government announced it would change its laws to stop foreign governments from being able to own the country’s newspapers, potentially throttling a controversial Emirati ownership bid for one of the U.K.’s most influential papers.

    More than 100 members of Parliament have signed a letter opposing the buyout of major British newspaper the Telegraph and news magazine, The Spectator, by UAE government-backed investment fund RedBird IMI. Long a favorite of Britain’s Conservative Party, ownership of the 168-year old daily is not just about profit, but about power.

    The purchase would be backed by UAE Vice President Sheikh Mansour bin Zayed Al Nahyan, and would reportedly entail paying off some £1.2 billion ($1.53 billion) in debts owed by the paper’s current owners, the Barclay family, to Lloyds Bank. The deal would ultimately see the Telegraph, which is valued at a reported £600 million, come under full Emirati ownership.

    For many in the U.K., the takeover presents a dangerous threat to free press in the country. Lawmakers have been scrambling to introduce a new law that would enable Parliament to veto buyouts of news outlets by foreign governments.

    “If major newspaper and media organisations can be purchased by foreign governments, the freedom of the press has the potential to be seriously undermined,” the Parliament members wrote in a letter to the UK’s Secretary of State for Culture, Media and Sport, Lucy Frazer.

    The General view of Abu Dhabi city at Sunset on April 26, 2018 in Abu Dhabi, United Arab Emirates. 

    Rustam Azmi | Getty Images

    “No other democracy in the world has allowed a media outlet to be controlled by a foreign government. This is a dangerous Rubicon we should not cross.”

    Some observers have pointed out that that rubicon has already been crossed, albeit it’s a much more grey area: London’s Evening Standard newspaper is owned by Russian-British businessman Evgeny Lebedev, whose father was a member of Russia’s intelligence service, the KGB. Former Prime Minister Boris Johnson gave Lebedev a seat in Britain’s House of Lords, despite protests and concerns from senior government officials about the Lebedevs’ links to Russia.

    Alexander Lebedev, Evgeny’s father, was put under Canadian sanctions in 2022, accused of “directly enabling” Russia’s war in Ukraine. For his part, Evgeny Lebedev has strongly denied assertions that he is a “security risk,” writing in a March 2022 article: “I am not some agent of Russia.”

    In response to the U.K.’s legal amendments, RedBird IMI said it was extremely disappointed and was evaluating its next steps, Reuters reported Wednesday.

    Rival bids for the Telegraph include Rupert Murdoch’s News UK and Paul Marshall, hedge fund billionaire and co-owner of GB News — both of which are seen to have a clear right-wing leaning.

    A media spending spree

    RedBird IMI, a joint venture between American private equity firm RedBird Capital Partners and Abu Dhabi-based International Media Investments (IMI), was launched in late 2022 and is led by former CNN Chief Executive Jeff Zucker.

    The joint venture’s backers have furnished Zucker with a $1 billion war chest in the hope that the longtime media executive can hunt down profitable investments across the worlds of news, entertainment and sports. Abu Dhabi’s IMI committed 75% to the venture, or $750 billion, with RedBird Capital providing the rest.

    FILE – Jeff Zucker, then Chairman, WarnerMedia News and Sports and President, CNN Worldwide listens in the spin room after the first of two Democratic presidential primary debates hosted by CNN on July 30, 2019, in the Fox Theatre in Detroit.

    Paul Sancya | AP

    The UAE’s Sheikh Mansour is the ultimate backer and beneficiary of the fund, excluding the shares of RedBird Capital founder Gerry Cardinale, Jeff Zucker and other private partners or shareholders. Sheikh Mansour is vice president and deputy prime minister of the UAE, chairman of the country’s mammoth state-owned Mubadala Investment Company, which oversees $276 billion in assets, and owner of English Premier League soccer club Manchester City.

    RedBird IMI has been on a spending spree, most recently inking a £1.45 billion deal to acquire British production house All3Media, the creator of hit shows like “Squid Game: The Challenge” and “Fleabag.”

    But it’s faced regulatory probes and delays in the U.K. over its bid for the Telegraph.

    Soft power and global influence

    To Mazen Hayek, a Dubai-based media consultant and former spokesman at Saudi-owned media company MBC Group, the whole controversy is overblown.

    “The acquisition bid for The Telegraph and The Spectator by RedBird IMI aligned with the UAE’s legitimate soft power and global influence goals. It included a firm commitment to uphold the publications’ managerial independence and editorial integrity,” Hayek told CNBC.

    He cited political probes, protectionism, double standards and “business Islamophobia” as leading to the apparent U.K. ban on foreign media acquisitions.

    “This raises questions about the U.K. government’s consistency and its stance on foreign investments, especially when compared to the ownership, for example, of prominent U.K. sports clubs by foreign investors,” Hayek added.

    The Telegraph purchase is more sensitive, U.K. lawmakers argue, because of its potential impact on press freedom, given that free press and opposition to the government are not permitted in the UAE. The Gulf sheikhdom is ranked 145th in the world out of 180 countries for press freedom, according to Reporters Without Borders.

    “You cannot separate sheikh and state,” Conservative MP Alicia Kearns said of the deal in January.

    CNBC has contacted IMI and RedBird Capital Partners for comment. In a November interview with the Financial Times, Zucker accused the Telegraph’s rival bidders of “slinging mud” and vowed to maintain the newspaper’s editorial independence.

    For Taufiq Rahim, a Dubai-based senior fellow in the Future Security program at the think tank New America, the more pressing issue is print newspapers disappearing altogether.

    “While governments may restrict foreign ownership of the press, the real risk is that newspapers simply go out of business and out of print,” he told CNBC.

    “If the law is passed, the competition of Gulf governments for traditional media will simply move to seeking ownership of new media platforms and social media.”

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  • Live updates: Special Counsel Robert Hur testifies about Biden handling of classified documents

    Live updates: Special Counsel Robert Hur testifies about Biden handling of classified documents

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    Special Counsel Robert Hur is testifying to Congress on Tuesday about his investigation into how President Joe Biden handled classified documents after he was vice president.

    Hur is speaking to the House Judiciary Committee about his report, which concluded that Biden “willfully retained and disclosed classified materials” which the special presented “serious risks to national security.”

    But Hur has said he decided not to criminally prosecute Biden for his handling of that material, in part because of the president’s allegedly poor memory, among other things.

    Biden and his lawyers have strongly disputed Hur’s characterization of the president’s memory, and have pointed to details in the the special counsel’s report that undercut the claim that he willfully retained classified documents.

    Former Special Counsel Robert K. Hur testifies before the House Judiciary Committee on March 12, 2024 in Washington, DC. 

    Chip Somodevilla | Getty Images

    This is developing news. Check back for updates.

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  • China’s annual parliamentary meeting has ended. Here are the key takeaways

    China’s annual parliamentary meeting has ended. Here are the key takeaways

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    A soldier in front of the Great Hall of the People on March 11, 2024, the closing day of the National People’s Congress in Beijing, China.

    Yin Hon Chow | CNBC

    BEIJING — China’s weeklong annual parliamentary meetings ended on Monday and for the first time in decades, the Chinese premier did not host a press conference.

    In a break with tradition, the premier will no longer hold a press conference following this year’s parliamentary meetings — at least for the rest of the term, according to an official announcement last week.

    Such press conferences were a rare instance of press interaction with the highest levels of China’s government.

    President Xi Jinping did not speak at the closing ceremony. He typically speaks only at the closing ceremonies of the first session of each National People’s Congress, the nation’s highest authority which is elected every five years. This year is the second session of the 14th National People’s Congress.

    To be clear, the annual gathering of the top leadership is typically ceremonial in nature. The real power lies with the ruling Communist Party, which is headed by Xi, who is general secretary of the party and president of China.

    Still, announcements made during the Congress can shed some light on government policy.

    Here are some highlights of what was announced at this year’s week-long parliamentary meeting, which started Tuesday last week and ended Monday.

    Environment

    “Along with the extensive discussions on environmental protection, the Government Work Report (GWR) explicitly pledged to lower energy consumption per unit of GDP by around -2.5% in 2024,” Citi analysts pointed out in a report Sunday.

    The report “didn’t set such numeric targets in 2022-23, after the -3.0% target and ‘campaign-style’ execution led to the power outages in 2021,” the analysts said.

    But they warned that investors “need to be mindful of the growth risks arising again from potential environmental policy tightening.”

    Economic focus on manufacturing

    China has set a 2024 growth target of around 5%, Premier Li Qiang at the start of the meetings on Tuesday when he released the much-anticipated government work report.

    Industrial support clearly ranked first on Beijing’s priority list for the year ahead, according to three major plans released as part of the parliamentary meetings.

    The top economic planner also noted how a push to upgrade equipment would generate a market of more than 5 trillion yuan (about $694.5 billion).

    Real estate, in contrast, received less emphasis.

    However, the Minister of Housing and Urban-Rural Development said property developers “that must go bankrupt should go bankrupt.” In a press conference on Saturday, Ni Hong warned that those who “harm the interests of the masses” will be probed and punished.

    State Council changes

    The Chinese Communist Party has increased its oversight of the government under Xi.

    At the 2023 parliamentary meeting, Beijing announced an overhaul of finance and tech regulation by establishing party-led commissions to oversee the two sectors. Xi also gained an unprecedented third term as president at last year’s meeting.

    This year, the National People’s Congress rubber stamped changes to revise the structure of the State Council, which has been the government’s top executive body led by the premier. At the ceremonial closing on Monday, the amended State Council Organic Law passed with 2,883 delegate votes — with eight rejecting the amendments and nine abstentions.

    The changes include vice premiers and the head of the People’s Bank of China among the council’s top leadership group.

    It was not immediately clear what impact such changes would have.

    — CNBC’s Clement Tan contributed to this story.

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  • Biden electrifies Democrats, spars with Republicans in fiery State of the Union address

    Biden electrifies Democrats, spars with Republicans in fiery State of the Union address

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    A spirited President Joe Biden delivered a fiery, partisan State of the Union address on Thursday, fit for an election year with enormously high stakes in a divided nation.

    “Not since President Lincoln and the Civil War have freedom and democracy been under assault here at home as they are today,” Biden said early in the speech.

    “What makes our moment rare is that freedom and democracy are under attack, both at home and overseas, at the very same time,” he said.

    “Overseas, [President Vladimir] Putin of Russia is on the march, invading Ukraine and sowing chaos throughout Europe and beyond. If anybody in this room thinks Putin will stop at Ukraine, I assure you, he will not,” the president said to cheers from Democrats and applause from a smattering of Republicans.

    “My message to President Putin is simple. We will not walk away. We will not bow down. I will not bow down,” Biden said.

    The president also celebrated Sweden’s ascension into NATO earlier in the day, as Swedish Prime Minister Ulf Kristersson sat to the left of First Lady Jill Biden in her guest box.

    U.S. first lady Jill Biden sits alongside Swedish Prime Minister Ulf Kristersson during U.S. President Joe Biden’s State of the Union address in the House Chamber of the U.S. Capitol in Washington, March 7, 2024.

    Mandel Ngan | Afp | Getty Images

    On domestic policy, Biden was even more confrontational than he was on foreign affairs, repeatedly calling out Republicans and sparring live on TV with some of the loudest voices in the GOP caucus.

    As a coterie of conservative Supreme Court justices sat just feet away from him, Biden excoriated them for overturning the reproductive rights enshrined in Roe vs. Wade.

    “In its decision to overturn Roe v. Wade, the Supreme Court majority wrote that, ‘women are not without … electoral or political power,’” Biden said.

    Then he paused and said to them, “You’re about to realize just how much.” With that, Democrats in the chamber jumped to their feet and clapped and cheered.

    Biden also went toe to toe with Republicans over a border security bill.

    “In November, my team began serious negotiations with a bipartisan group of senators. The result was a bipartisan bill with the toughest set of border security reforms we’ve ever seen in this country,” said Biden.

    U.S. Rep. Marjorie Taylor Greene, R-Ga., yells at U.S. President Joe Biden as he delivers the State of the Union address at the U.S. Capitol in Washington, March 7, 2024.

    Evelyn Hockstein | Reuters

    As Republicans booed the bill that they agreed to in the Senate, but then sunk in the House, Biden turned to his left, where Republican members were seated.

    “Oh, you don’t think so? You don’t like that bill, huh? Darn, that’s amazing,” he said.

    “Because that bipartisan deal would hire 1,500 more border security agents and officers, 100 more immigration judges to help tackle a backload of 2 million cases.”

    Again and again, Biden met Republican interruptions and boos in real time with quips and jabs that appeared to disarm them.

    Overall, the speech was a clear, and effective, effort to convey to the public and to his party that he is a candidate ready for a fight in November.

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  • The ‘special relationship’ under pressure: Are Biden and Netanyahu on a collision course over Gaza?

    The ‘special relationship’ under pressure: Are Biden and Netanyahu on a collision course over Gaza?

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    US President Joe Biden (L) and Prime Minister Benjamin Netanyahu (R) meet in Tel Aviv, Israel on October 18, 2023. (Photo by GPO/ Handout/Anadolu via Getty Images)

    GPO | Anadolu Agency | Getty Images

    Visible tensions are appearing in the historically close relationship between the White House and Israel, as the war in Gaza becomes a worsening humanitarian disaster and Israeli Prime Minister Benjamin Netanyahu resists the Biden administration’s push for a change in course.

    While Biden vocally supports Israel’s stated goals of defeating Hamas and rescuing the hostages that the Palestinian militant group took captive during its Oct. 7 rampage in southern Israel that killed some 1,200 people, he and other administration officials have expressed increasing criticism of the way in which Israel is carrying out its operations in the Gaza Strip. 

    Israel’s relentless aerial bombardment and expanding ground invasion, as well as the cutting of Gaza’s water and power supplies, have killed more than 30,000 Palestinians there, according to Gaza’s health ministry, which is run by Hamas. And Israeli restrictions on the aid that can enter the besieged enclave, which is blockaded on all sides, have pushed more than 500,000 people into famine, according to the United Nations.

    Still, the Biden administration has suggested no pullback in the military aid it is providing for Israel, and consistently provides diplomatic cover for it at the U.N., often being the sole country vetoing international demands for a cease-fire.     

    An aerial view of the heavily damaged buildings, part of which collapsed, after Israeli attacks in Rafah, Gaza on February 12, 2024.

    Yasser Qudih | Anadolu | Getty Images

    Biden has also stressed what his administration says is the need for an independent Palestinian state as part of the path to a durable peace — something Netanyahu ardently opposes. The right-wing Israeli leader has also rejected Biden’s proposals of a leading role for the West Bank-based Palestinian Authority in Gaza’s future once the war ends.  

    “These and other divisions are putting the entire ‘special relationship’ between the U.S. and Israel under pressure I have never seen before in my lifetime,” Hussein Ibish, a senior resident scholar at the Arab Gulf States Institute in Washington, told CNBC. “The relationship [between Biden and Netanyahu] is absolutely terrible.”

    A report by Politico in early February cited unnamed Biden administration officials describing the president calling Netanyahu a “bad f—ng guy.” His spokespeople have denied it, saying that the leaders have “a decades-long relationship that is respectful in public and in private.”

    Israeli war cabinet member Benny Gantz (L) meets US Senate Majority Leader Chuck Schumer, Democrat of New York, at the US Capitol on March 05, 2024.

    Roberto Schmidt | AFP | Getty Images

    The reported rift appeared to worsen as Israeli war cabinet member Benny Gantz, a longtime rival of Netanyahu and considered to be more moderate, paid a visit to Washington this week at the invitation of the White House. According to a report by Axios, the visit “enraged” Netanyahu, “who ordered the Israeli embassy in Washington to not take any part in the visit or assist Gantz in any way.”

    Gantz reportedly faced a barrage of harsh questions and critiques from the administration over Israel’s handling of the Gaza war.

    CNBC has reached out to the White House and the Israeli Prime Minister’s Office for comment.

    Election worries and ‘campaign mode’

    As the U.S. General Election nears, promising a rematch between Biden and former President Donald Trump, Biden is facing a domestic challenge over his support for Israel’s war in Gaza, particularly from many young liberals and Muslim and Arab Americans. 

    This threatens to cost him crucial votes, particularly in swing states. Vice President Kamala Harris issued harsh comments in a speech on Sunday urging a cease-fire, saying “People in Gaza are starving. The conditions are inhumane.”

    A man explains the importance of voting ‘uncommited’ as he hands out fliers outside the Islamic Center of Detroit to ask voters to vote ‘uncommitted’ in Michigan Primary elections on Tuesday, in Michigan, United States on February 26, 2024. 

    Mostafa Bassim | Anadolu | Getty Images

    But Netanyahu is insistent that a cease-fire would threaten the Israeli Defense Force’s momentum, and that “total victory is within reach.” Some observers say his rhetoric is aimed at staying in power as his domestic approval rating sits at its lowest of his more than 16 years at the helm.

    “It seems to me that Netanyahu is in a full campaign mode, and that presently, its main theme is resisting the emerging Biden strategy and the president himself,” Nimrod Novik, a fellow at the Israel Policy Forum, which is dedicated to advancing a two-state outcome to the conflict.

    Particularly telling, Novik said, is “Netanyahu’s decision to preempt the emerging Biden strategy – which offers Israel a way out of Gaza, a hopeful change on the West Bank, as well as Saudi normalization and regional integration – by distorting this unprecedented offer and portraying it as an imposition.”

    “The prime minister is focused on securing and energizing his ever-shrinking base,” he said of Netanyahu. “That base is as hard line as they come and responds best to nationalist machismo as in his promise to defend Israel from the imagined Biden imposition of a Palestinian state.”

    About 200 trucks loaded with humanitarian aid, cooking gas and fuel enter the Gaza Strip during the humanitarian pause between Israel and Hamas in Gaza City, Gaza on November 28, 2023. 

    Ashraf Amra | Anadolu | Getty Images

    “I’ve watched the [Biden] administration express its being fed up with the Netanyahu policy, from haggling over every truck of humanitarian assistance, through announcing West Bank triggering settlement expansion at such an explosive moment, to provocations on Temple Mount on the eve of the holy Muslim month of Ramadan,” Novik said. 

    But this is going largely ignored in the Israeli administration, he noted. “What might sound in Washington as a scream is hardly a whisper in Jerusalem.”

    Ibish had similar observations. 

    “All the American support, especially from Biden personally, is being met with total ingratitude and actually with disdain,” from Netanyahu’s government, he said. 

    “If Biden were getting more cooperation from Netanyahu [and] the Israelis, he would not be pulling away from them, albeit carefully and subtly. This is, after all, an election year, and he will have to be very careful.”

    Unprecedented support

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  • China’s central bank governor says there’s room to cut banks’ reserve requirements

    China’s central bank governor says there’s room to cut banks’ reserve requirements

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    China’s central bank governor said there was room to further cut banks’ reserve requirements, and pledged to utilize monetary policy to prop up consumer prices.

    Bloomberg | Bloomberg | Getty Images

    BEIJING — China’s central bank governor said there was room to further cut banks’ reserve requirements, and pledged to utilize monetary policy to “mildly” prop up consumer prices.

    This is part of Beijing’s broader economic policy “adjustments” so the economy can hit its growth target of around 5% for the year, while adhering to a 3% fiscal deficit. Plans to issue “ultra-long” special bonds for major projects will also help meet that target.

    Pan Gongsheng, governor of the People’s Bank of China, made these comments on Wednesday as part of a joint press conference with other key leaders of the country’s economy and financial sector on the sidelines of this year’s annual parliamentary meetings.

    China’s growth target and economic plans for the year, released Tuesday in an annual government work report, fell short of many analysts’ expectations for further stimulus and raised questions about how China would be able to achieve another year of growth that’s around 5%. National GDP rose by 5.2% in 2023, up from a low base in 2022.

    For investors in the near term, the primary concern remains how much China’s policymakers are focused on ensuring growth.

    “In order to achieve this [target of around 5%], the government work report proposed many major policies,” Huang Shouhong, head of the report’s drafting team and director of the State Council’s research office, told reporters on Tuesday in Mandarin, translated by CNBC.

    This is a developing story. Please check back for more updates.

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  • ‘This is for Gaza’: Middle East conflict defines bizarre by-election in northern English town

    ‘This is for Gaza’: Middle East conflict defines bizarre by-election in northern English town

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    ROCHDALE, England – Feb 29: Workers Party of Britain candidate George Galloway speaks after being declared the winner in the Rochdale by-election on February 29, 2024.

    Christopher Furlong | Getty Images News | Getty Images

    Staunchly pro-Palestinian left-wing firebrand George Galloway on Thursday won a chaotic by-election in Rochdale, northwestern England that was defined by the Israel-Gaza conflict.

    The controversial former Labour MP, who was standing for the Workers Party of Britain, won 12,335 votes with a majority of 5,697, giving his party its first-ever Member of Parliament in Britain’s House of Commons. It will be Galloway’s fifth constituency in 37 years, having now unseated his former party in three separate elections.

    Galloway ran a campaign heavily focused on the plight of Palestinians, appealing to the Muslim voters that make up around 30% of the local electorate, many of whom voiced anger about the war in Gaza and the failure of the country’s two main parties to push for an immediate ceasefire.

    ROCHDALE, England – Feb. 29, 2023: A man walks past a George Galloway election sign as residents begin to vote in the Rochdale by-election on February 29, 2024 in Rochdale, England. 

    Christopher Furlong | Getty Images News | Getty Images

    Second place in the by-election went to an independent candidate, local businessman Paul Tully, who only began his political career four weeks ago but managed to secure 6,638 votes.

    The election in one of England’s most deprived towns was blown wide open when the main opposition Labour Party, previously a shoo-in for the seat, withdrew its support for its candidate Azhar Ali after recordings surfaced of alleged antisemitic comments.

    As the party’s support was withdrawn so close to the election, it was too late to remove his name from the ballot or for the party — which is the overwhelming favorite to win the country’s general election later this year — to field another candidate.

    Without Labour Party backing, Ali picked up just 2,402 votes, behind Conservative Paul Ellison with 3,371, marking another poor showing for the ruling party that has suffered a string of by-election defeats over the past year.

    ROCHDALE, England – Feb. 19, 2024: People walk past pro-Palestinian graffiti in Rochdale on February 19, 2024 in Rochdale, England.

    Christopher Furlong | Getty Images News | Getty Images

    In his victory speech, Galloway directly attacked Labour leader Keir Starmer and Conservative Prime Minister Rishi Sunak.

    “Keir Starmer, this is for Gaza. You will pay a high price for the role that you have played in enabling, encouraging and covering for the catastrophe presently going on in occupied Palestine, in the Gaza Strip,” he said.

    Starmer has called for a “ceasefire that lasts” after months of pressure from within his own Labour Party and from the Scottish National Party in parliament.

    However, Labour’s official position has been to focus on a sustainable negotiated ceasefire agreed by both sides of the conflict, rather than to issue demands for an immediate ceasefire to Israel without the same guarantee from Hamas.

    The by-election was called following the death in January of the town’s Labour MP Tony Lloyd from leukaemia.

    The party on Friday apologised to the people of Rochdale for not fielding a candidate, and its deputy national campaign co-ordinator Ellie Reeves told Sky News that Galloway “stokes up division and fear.”

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  • Biden faces anger from key Arab-American voters in Michigan primary over Israel support in Gaza war

    Biden faces anger from key Arab-American voters in Michigan primary over Israel support in Gaza war

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    A man explains the importance of voting ‘uncommited’ as he hands out fliers outside the Islamic Center of Detroit to ask voters to vote ‘uncommitted’ in Michigan Primary elections on Tuesday, in Michigan, United States on February 26, 2024. 

    Mostafa Bassim | Anadolu | Getty Images

    Palestinian keffiyehs and signs that read “Abandon Biden”: Arab-American demonstrators in Warren, Michigan made no secret of their anger at the president in early February as he visited the key swing state that helped carry him to victory in 2020.

    As voters head to the polls for Michigan’s Democratic primary on Tuesday, there is a local campaign urging Democrats to choose “uncommitted” on the ballot as a form of protest vote again the administration’s support for Israel in its war in Gaza.

    In January, Biden’s reelection campaign manager Julie Chavez Rodriguez canceled a meeting with Arab-American activists in Dearborn because of backlash over the administration’s policies. The U.S. has sent billions of dollars in advanced weapons to supply Israel before and since the terror attack led by Palestinian militant group Hamas on Oct. 7. The attack killed some 1,200 people there and took a further 240 hostage, according to Israeli authorities.

    The Israeli military’s response, which has been sharply criticized by numerous world leaders and aid organizations, has displaced some 1.9 million people in Gaza, according to the United Nations, and killed nearly 30,000, according to Gaza’s health ministry, which is run by Hamas. The U.N. says that half a million people in the besieged enclave face starvation.

    Dearborn, Michigan is home to the largest Arab-American population in the U.S. At the time Rodriguez’ Dearborn meeting was canceled, the city’s mayor, Abdullah H. Hammoud, tweeted: “Little bit of advice – if you’re planning on sending campaign officials to convince the Arab American community on why they should vote for your candidate, don’t do it on the same day you announce selling fighter jets to the tyrants murdering our family members.”

    A spokesperson for the White House wasn’t immediately available when contacted by CNBC.

    The primary vote on Tuesday will essentially be a referendum on what many of the state’s Democratic voters feel about Biden, and will be a harbinger of just how worried the Biden campaign should be about its level of support in Michigan when it comes time for the General Election.

    Michigan’s Arab-American community voted overwhelmingly for Biden in 2020, helping him carry the state and defeat then-incumbent Donald Trump. But its population could be the determining factor in whether Biden takes the state this year, and its crucial 15 electoral college votes with it.

    “The U.S. election for President Biden could swing on two or three states,” Fred Kempe, CEO of the Atlantic Council, told CNBC. “Take one of those states, Michigan, [which] Biden won by fewer votes in the last election than there are Arab American votes that could go against him, because of what’s going on in the Middle East. So it’s an international situation for Biden, it’s also a deeply domestic political situation.”

    U.S. President Joe Biden is welcomed by Israeli Prime Minster Benjamin Netanyahu, as he visits Israel amid the ongoing conflict between Israel and Hamas, in Tel Aviv, Israel, October 18, 2023.

    Evelyn Hockstein | Reuters

    Biden has voiced support for the creation of an independent Palestinian state, and has asked Israel to do more to protect civilian life in Gaza — but critics say the words are meaningless if the administration refuses to use its leverage to force the government of Israeli Prime Minister Benjamin Netanyahu to change course. The U.S. has consistently voted against every cease-fire measure put forward at the U.N. since the war began.

    Senior White House officials met with community leaders in Michigan on Feb. 8, during which U.S. deputy national security advisor Jon Finer vocally acknowledged the administration’s actions and “missteps” with regard to the Israeli-Palestinian conflict and the war in Gaza.

    “We are very well aware that we have missteps in the course of responding to this crisis since October 7,” Finer said in recordings of the closed-door meeting published by The New York Times. “We have left a very damaging impression based on what has been a wholly inadequate public accounting for how much the president, the administration and the country values the lives of Palestinians,” he continued.

    “And that began, frankly, pretty early in the conflict.”

    Finer added that he did not “have any confidence in this current government of Israel.”

    A view of destruction with destroyed buildings and roads after Israeli Forces withdrawn from the areas in Khan Yunis, Gaza on February 02, 2024. 

    Abdulqader Sabbah | Anadolu | Getty Images

    Michigan Governor Gretchen Whitmer has warned voters against the “uncommitted” campaign, stressing that “any vote that’s not cast for Joe Biden supports a second Trump term,” which she said would be “devastating” for the Muslim community.

    Within the primary election, Biden doesn’t have any realistic Democratic competitors. But for Arab-Americans organizing across the country, the message is clear: No cease-fire, no vote.

    Khalid Turaani, the co-organizer of the Abandon Biden campaign, handed out pamphlets outside the Islamic Center of Detroit telling people to vote “uncommitted” on their ballots, and told the BBC in an interview published Tuesday that his group had made more than 30,000 calls with the same message.

    “We’re doing all that we can to ensure that Biden is a one-term president,” Turaani said, according to the U.K. broadcaster. “In November, we will remember. When you stand against the will of the people, you’re going to lose.”

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