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  • US, Iran agree deal but need Trump approval: sources

    US, Iran agree deal but need Trump approval: sources

    Diplomatic negotiations between U.S. and Iranian representatives have produced a tentative framework for a 60-day extension of the current fragile ceasefire between the two nations, though the draft agreement still requires final sign-off from President Donald Trump, multiple anonymous U.S. sources confirmed to AFP on Thursday.

    The framework, first reported by Axios and later corroborated by the U.S. sources, outlines a three-pronged memorandum of understanding that not only extends the existing truce but also mandates the full reopening of the strategic Strait of Hormuz and launches formal long-term negotiations over Iran’s nuclear program. As of Thursday evening, neither President Trump nor Iranian officials had issued an official confirmation of the tentative deal.

    U.S. Treasury Secretary Scott Bessent, who was filling in for on-leave White House Press Secretary Karoline Leavitt during Thursday’s briefing, stopped short of confirming the finalized agreement but acknowledged that exploratory talks have laid groundwork for a potential breakthrough. “We perhaps have the makings of a deal here,” Bessent told reporters, noting that Trump has maintained clear non-negotiable red lines that any final agreement must meet to win his approval.

    Those hard lines include three core demands: Iran must surrender its existing stockpiles of enriched uranium, formally commit to abandoning all programs aimed at developing a nuclear weapon, and guarantee unimpeded, free transit for all commercial and military vessels through the Strait of Hormuz, a critical global chokepoint for 20% of the world’s daily oil supply. “He’s not going to take a bad deal. He’s going to make a great deal for the American people,” Bessent added.

    Just one day before, during a Wednesday cabinet meeting, Trump struck a firmer tone, telling reporters he remained “not satisfied” with the concessions Iran had put on the table and did not rule out resorting to full military action to achieve U.S. goals. “I could finish the job militarily,” he warned.

    Per Axios’ reporting on the draft terms, the 60-day ceasefire extension would lock in binding requirements for Iran: all commercial shipping through the Strait of Hormuz must operate without restrictions, tolls, or harassment by Iranian forces, and Iran must clear all naval mines from the waterway within 30 days of the deal taking effect. In exchange, the U.S. would gradually lift its ongoing naval blockade of Iranian ports, with the loosening of restrictions tied directly to verifiable progress on restoring commercial shipping access.

    The draft memorandum also includes a formal Iranian commitment to forgo any development of nuclear weapons, with the disposition of Iran’s existing enriched uranium stockpiles marked as one of the first priority topics for upcoming long-term negotiations. Trump has repeatedly stated that no final deal to end the conflict, which the U.S. and Israel launched on February 28, will allow Iran to retain a nuclear weapons program. A fragile, temporary ceasefire has been in place across the region since April 7.

    Tensions flared between the two sides even as news of the tentative framework broke Thursday, with Washington and Tehran trading accusations of ceasefire violations following a brief exchange of fire in regional waters. Despite the escalation, Bessent reaffirmed that the overall truce remained intact, emphasizing that the Trump administration prioritizes a diplomatic resolution over further conflict. “President Trump always prefers a peace deal, so everything we have done thus far has been defensive, and at present that’s what we’ll continue doing,” he said.

    Bessent also addressed growing public concern over the economic fallout of the conflict, which pushed global oil prices higher after Iran closed the Strait of Hormuz earlier in the conflict, contributing to rising cost of living pressures. Downplaying long-term risks, he predicted that oil prices would fall below pre-conflict levels once a deal is reached, a trend already reflected in current futures market trading, while acknowledging that the U.S. economy faces near-term headwinds. “I believe, and the futures market is showing us, oil will be lower than pre-conflict levels,” he said, while admitting that the economy is “challenging now.”

  • US, Iran agree deal framework but need Trump sign-off: sources

    US, Iran agree deal framework but need Trump sign-off: sources

    Just days after the most intense exchange of fire between the United States and Iran since an April truce took effect, negotiators from both sides have reached a preliminary framework for a 60-day extension of the ceasefire, multiple anonymous U.S. sources confirmed to Agence France-Presse on Thursday. The deal, which also paves the way for formal negotiations over Iran’s nuclear program, still requires final sign-off from U.S. President Donald Trump to move forward.

    The breakthrough comes amid heightened tensions that have put wider diplomatic efforts to end the three-month conflict to the test. The war began in late February when U.S. and Israeli forces launched joint strikes on Iranian targets, and the April truce had largely held until this week’s flare-up.

    On Wednesday, the U.S. carried out airstrikes on the southern Iranian port city of Bandar Abbas. In response, Iran’s Islamic Revolutionary Guard Corps (IRGC) announced it had targeted the U.S. airbase that launched the attack, though it did not specify the base’s location. Kuwait, which hosts U.S. military personnel on its territory, said its air defense systems intercepted incoming projectiles, drawing the U.S. ally directly into the clash. Kuwait’s foreign ministry quickly condemned what it called “criminal Iranian attacks” on its territory, labeling the incident a dangerous escalation.

    U.S. Central Command denounced Iran’s response as an “egregious violation” of the existing ceasefire. Separately, Iranian state media reported Thursday that Iranian forces had opened fire on four commercial ships that attempted to transit the Strait of Hormuz without authorization. Iran has blocked all commercial traffic through the strategic waterway, a critical chokepoint for global energy supplies, since the start of the war. U.S. forces confirmed they intercepted five attack drones in and around the strait, and disabled a sixth drone before it could launch from a ground control station near Bandar Abbas.

    For its part, Iran has pushed back against U.S. accusations of truce violations. Foreign ministry spokesman Esmaeil Baqaei said Iran would “take all necessary measures to defend its national sovereignty,” and called the U.S. airstrikes themselves a clear breach of the truce. A senior U.S. official countered that American actions were “measured” and carried out with the goal of preserving the existing ceasefire agreement. The IRGC issued a fresh threat Thursday, promising a “firm response” if the U.S. carries out any new attacks against Iranian territory.

    Beyond the immediate ceasefire extension, a core sticking point in the proposed deal is the reopening of the Strait of Hormuz. The closure has disrupted global oil and gas supplies, roiling international energy markets. On Thursday, oil prices rose sharply following news of the fresh clashes, erasing most of the gains from the previous day’s drop driven by growing optimism over a potential diplomatic breakthrough.

    The Trump administration has taken a hard line on any arrangement that would keep the strait restricted. When asked about a proposal that would let Oman and Iran jointly manage transit through the waterway, Trump issued an explicit threat to the U.S. ally, saying “No, the strait is going to be open to everybody. It’s international waters and Oman will behave just like everybody else or we’ll have to blow them up.” U.S. Treasury Secretary Scott Bessent echoed the threat, saying the U.S. would “aggressively target” Oman if it moved forward with plans to implement a tolling system for ships transiting the strait. Oman, which previously mediated U.S.-Iran talks in Geneva before the war broke out, has already come under attack from Tehran. Pakistan has since taken over the lead mediation role in ongoing peace efforts. Baqaei called the U.S. threats against Oman “a worrying sign of the normalisation of anarchy and intimidation in international relations.”

    The conflict also remains unresolved in neighboring Lebanon, where a separate ceasefire between Israel and Iran-backed Hezbollah has failed to stop escalating violence. Iran has insisted that any comprehensive deal to end the wider war must include a cessation of hostilities in Lebanon. On Thursday, the Israeli military carried out a targeted strike in southern Beirut, a known Hezbollah stronghold, hitting a residential apartment. Lebanese authorities reported that 14 people, including three children and one soldier, were killed in Israeli attacks across southern Lebanon on Thursday. A day earlier, Israel declared most of southern Lebanon a combat zone and ordered all civilian residents to evacuate. As of Wednesday, Lebanon’s health ministry reported that 3,269 people have been killed since fighting escalated in the country. On the Israeli side, one soldier was killed in a Hezbollah drone attack near the Lebanese border Wednesday, bringing the total Israeli death toll to 23 troops and one civilian contractor since the fighting began.

    For ordinary Iranians, uncertainty over the future remains a constant, even amid hopes for a ceasefire deal. “I feel like nothing is certain yet,” said Amir, a 27-year-old software developer based in Tehran. “The daily question is: Will there be missile strikes tonight?”

  • ‘Terrorist’ knife attack wounds 3 at Swiss train station: official

    ‘Terrorist’ knife attack wounds 3 at Swiss train station: official

    A chilling morning rush-hour stabbing at Switzerland’s Winterthur main railway station left three people injured on Thursday, with regional officials quickly classifying the assault as a confirmed terrorist act. The 31-year-old attacker, identified as Swiss-Turkish national Nesip Dedeler, was taken into custody by police within five minutes of the first emergency call, bringing a swift end to the incident that sparked widespread panic among commuters.

    Witnesses recount the attacker shouting the phrase “Allahu akbar” as he launched his stabbing spree in the busy transit hub, located just 25 kilometers northeast of Zurich in Switzerland’s sixth-largest city. Officials confirmed the attacker had a well-documented history of psychological instability, alongside previous connections to extremist ideology. More than a decade ago, Dedeler faced formal charges for violating Swiss laws banning the spread of Islamic State propaganda. Just two days before the attack, he had been admitted to a local psychiatric hospital after showing up at a nearby police station speaking incoherently. However, psychiatric staff cleared him for discharge on Wednesday, assessing he posed no threat to himself or the public – an assessment now confirmed to be fatally incorrect. “Why that decision was made is beyond our knowledge, but the assessment was obviously wrong,” stated Mario Fehr, the security chief for the canton of Zurich, during an immediate press briefing.

    Fehr made an explicit public designation of the incident as a terrorist attack, a position echoed by regional police commander Marius Weyermann. Weyermann told reporters that “it was clear from the scene that the motive for this act must be sought in the realm of radicalisation and extremism.”

    First responders received the initial emergency call at 8:28 a.m. local time (06:28 GMT), and officers had apprehended Dedeler by 8:33 a.m. All three of the attacker’s victims were men: aged 28, 43, and 52. The oldest victim suffered life-threatening stab wounds to the thigh and required urgent emergency surgery, while the 28-year-old sustained a leg wound and the 43-year-old was stabbed in the neck. Both younger victims have already been released from hospital, Weyermann confirmed.

    Mobile phone footage and witness accounts captured the chaotic scene that unfolded as commuters scattered for safety. The attacker, captured in distant footage wearing a black T-shirt and shorts, ran past a group of young schoolchildren on a group trip without stopping, adding to the shock of the incident. 65-year-old taxi driver Turhan Muslu, one of the first witnesses to the attack, told local Swiss daily Blick that he saw Dedeler rush down a station ramp and attempt to stab a commuter, who fought back aggressively until station security officers arrived to subdue the attacker. “It all happened so fast. If those security guards hadn’t arrived so quickly, I don’t know what would have happened,” Muslu said. Another anonymous witness told the outlet that the attacker shouted “Allahu akbar” five or six times in a visibly agitated state, sending children and bystanders fleeing across the main road in panic. “I still have goosebumps,” the witness added.

    Random targeted attacks on civilian passersby remain extremely rare in Switzerland, a fact that has amplified public shock across the small Alpine nation. Local residents and workers in Winterthur expressed widespread dismay at the violence that upended a routine Thursday morning. “This is not OK. We want peace,” Basharat Iqbal, a taxi driver who arrived at the station shortly after the attack, told AFP. “I was shocked.”

  • Israeli strike near Beirut as Lebanon says raids kill 14

    Israeli strike near Beirut as Lebanon says raids kill 14

    A new wave of Israeli airstrikes targeting areas near Beirut has sent tensions soaring between Israel and Lebanon’s Hezbollah movement Thursday, marking the second Israeli strike on the Lebanese capital’s vicinity since a shaky April ceasefire that has failed to hold on either side.

    The escalation comes at a particularly sensitive diplomatic moment: military delegations from both Lebanon and Israel are set to meet at the Pentagon Friday for preparatory discussions, ahead of the fourth round of US-brokered negotiations early next week. The diplomatic process was launched after the latest round of full-scale conflict between Israel and Hezbollah erupted on March 2.

    Lebanese security sources, speaking on condition of anonymity to Agence France-Presse (AFP), confirmed that the Thursday strike hit a residential apartment in the Choueifat district, located on the edge of Beirut’s southern suburbs—a longstanding Hezbollah stronghold. The Israel Defense Forces (IDF) only confirmed it carried out a “precise strike in Beirut” and declined to publicly name the target. Footage captured by AFPTV showed thick plumes of smoke rising from the strike site, and an AFP on-the-ground correspondent reported extensive damage to the first two floors of the residential building. Local residents were seen hastily loading belongings into vehicles and fleeing the area ahead of potential further strikes.

    This strike is the second Israeli attack on south Beirut since the April 17 ceasefire between Israel and the Iran-backed Hezbollah, a truce that was never fully implemented or respected by either faction. Both sides regularly accuse the other of violating the agreement, and frame their own retaliatory strikes as a justified response to opposing truce breaches. Just hours before the Beirut-area strike Thursday, Hezbollah claimed responsibility for multiple rocket and drone attacks targeting Israeli troops deployed in southern Lebanon.

    The United Nations Interim Force in Lebanon (UNIFIL), which maintains a peacekeeping presence in the border region, acknowledged that the April truce initially brought a lull in hostilities, but has warned of steady worsening violence in recent weeks. “Last month’s agreement had a positive effect in lessening the violence, but we have seen an escalation in recent weeks, and an intense escalation in recent days,” UNIFIL spokesperson Kandice Ardiel told AFP. The force’s official data confirms that roughly 670 projectiles were fired across the border Wednesday alone—the highest daily volume of fire since the April 17 truce was announced.

    The current escalation began building Wednesday, when the IDF designated all of southern Lebanon south of the Zahrani River—approximately 25 miles from the Israeli border, encompassing the major southern cities of Tyre and Nabatieh—as an official combat zone, ordering all civilian residents to evacuate immediately. Israeli officials reiterated this week that they plan to ramp up military operations across Lebanon and expand ongoing ground incursions into southern Lebanese territory. On Thursday afternoon, the IDF issued a second round of evacuation orders for large swathes of Tyre and its surrounding outskirts.

    Early Thursday, Israeli airstrikes hit both Tyre and the southern Lebanese port city of Sidon, leaving widespread destruction and multiple casualties. In Tyre, one strike hit a building located in the city’s protected archaeological district, with footage capturing a massive fireball erupting before smoke billowed over the historic area. Local resident Ghazouane Halawani told AFP he believes Israeli forces are deliberately targeting the ancient city’s cultural heritage. “Israel wanted to attack the ancient city’s history and its civilisation,” he said. “We’re staying here. This is our country, our land, our life.”

    Lebanese Foreign Minister Youssef Raggi announced via social platform X that he had launched “intensive diplomatic contacts” after the Tyre strikes hit “its historic old neighbourhoods, churches, mosques, and cultural landmarks that have stood resilient for thousands of years.”

    As of Thursday, Lebanon’s health ministry has confirmed mounting civilian casualties from the recent wave of strikes: a strike in Tyre killed two Syrian nationals, one of them a child; a separate raid on Sidon killed five people including two women; and a targeted strike on a vehicle in the southern Lebanese town of Adloun killed an entire family of six—two children, their parents, and two other relatives. Lebanon’s military confirmed one of its soldiers was killed while driving in the Nabatieh region in another strike, and the state-run National News Agency reported additional Israeli strikes across multiple other locations in southern Lebanon. On the Israeli side, the IDF confirmed one Israeli soldier was killed Wednesday by a Hezbollah drone attack near the shared border.

    The conflict between Israel and Hezbollah is part of the broader regional Middle East war that erupted after Hezbollah opened fire on Israel in response to the killing of Iran’s supreme leader in a joint US-Israeli strike, prompting full-scale Israeli air and ground operations across Lebanon. Tehran has repeatedly insisted that any ceasefire agreement to end the broader regional conflict must include a formal end to hostilities in Lebanon. Tensions between the US and Iran also flared Thursday, with both sides trading accusations of violating their own recent bilateral truce following an exchange of cross-border fire.

  • Ailing Sinner crashes out of French Open, Sabalenka waits

    Ailing Sinner crashes out of French Open, Sabalenka waits

    The 2025 French Open delivered one of the most stunning upsets in modern Grand Slam tennis on Thursday, when men’s top seed Jannik Sinner saw his 30-match winning streak and title hopes collapse amid a sudden heat-related health crisis and a dramatic comeback from unseeded Argentinian Juan Manuel Cerundolo. The shocking exit has blown the men’s draw wide open, as the tour’s top competitor exited the tournament earlier than any other major since last year’s Roland Garros.

  • Italy on red alert as heatwave bakes Europe

    Italy on red alert as heatwave bakes Europe

    An unprecedented early-season heatwave, driven by a stationary high-pressure heat dome, has engulfed Western Europe, forcing governments across the continent to activate emergency heat protocols and leaving millions of residents and visitors grappling with sweltering conditions. Italy became the latest nation to roll out urgent safety measures Thursday, when civil protection authorities issued the country’s first red heat alert of 2024 for five major urban centers, including the capital Rome, as well as Florence, Bologna, Brescia and Turin.

    The alert, the highest level of heat warning in Italy’s national system, cautions that even otherwise healthy people engaging in outdoor activity face significant risks of adverse health impacts. For tourists flocking to Rome’s iconic landmarks, the 32-degree Celsius temperatures recorded Thursday have forced drastic adjustments to sightseeing plans. Spanish visitor Nana Martinez Garcia told reporters she and her travel companion have prioritized staying hydrated and sticking to shaded routes whenever possible. “We’re sweating a lot,” Garcia explained outside the Colosseum. “We’re drinking a lot of water so we can cool down.” Her friend Maria Angeles Mellinas Tello added that the pair seek out shade at every opportunity to avoid heat exhaustion. American tourist Josh Ren shared that he restructured his entire itinerary to beat the heat, waking before dawn to explore outdoor sites, then retreating to air-conditioned museums or restaurants during the midday peak when temperatures climb highest.

    Italy had avoided the most extreme temperatures earlier in the week, but the heat dome has shifted south, bringing soaring conditions to the Italian peninsula. The heatwave first shattered long-standing temperature records across Britain and France earlier this week, with both countries logging their hottest May temperatures in recorded history. Tragically, the extreme heat has already claimed lives: authorities have linked multiple fatalities in both Britain and France to the heatwave, most occurring in drowning incidents as people sought relief from sweltering conditions in open water.

    While the most intense heat has begun to ebb in Britain, France remained in the grip of extreme temperatures Thursday. In the southwestern Landes region, extreme heat forced a local school to close early for the week, after corridor temperatures spiked to 53 degrees Celsius on Tuesday, leaving multiple students ill. Landes official Florian Deygas confirmed that several pupils experienced severe heat-related illness, including one case of fainting and vomiting. National meteorological service Meteo France maintained an orange heat alert for Paris, where forecasters predicted temperatures would hit 34 degrees Celsius following the record-breaking heat that baked the country earlier that week.

    The ongoing heat has also disrupted major sporting events underway in the French capital. At the Roland Garros French Open tennis tournament, located on the outskirts of Paris, competing players have struggled to cope with oppressive court conditions, with one athlete collapsing mid-venue after finishing a grueling, multi-hour match. Tournament maintenance staff have adopted extraordinary measures to keep the clay courts manageable, spraying water between every set and fully flooding the surface after daily play concludes to rehydrate the layered clay. “We flood the courts, we soak them, so as to replenish with water the different layers that make up the clay,” explained head maintenance worker Philippe Vaillant.

    Further south, Spain has also rolled out heat alerts for regions in the country’s northeast and north, forecasting temperatures could climb as high as 37 degrees Celsius on Friday. National weather agency Aemet noted in a social media statement that current temperatures are “extraordinarily high” for the month of May, matching the extreme heat levels normally not seen until the height of summer. The agency forecasts a noticeable drop in temperatures across the country next week as the heat dome begins to break down.

    Climate scientists have repeatedly emphasized that human-caused climate change is amplifying the frequency and intensity of extreme weather events globally, including early-season heatwaves, droughts, and catastrophic flooding, a trend that is expected to continue without dramatic reductions in greenhouse gas emissions.

  • One in five NSW public sector workers spending over half their pay on housing, damning report finds

    One in five NSW public sector workers spending over half their pay on housing, damning report finds

    Across Australia’s New South Wales (NSW), a shocking new survey has laid bare the crippling housing affordability crisis that is pushing even full-time public sector workers to the financial edge. The groundbreaking study, conducted by the Public Service Association (PSA) which surveyed more than 5,100 of its members, paints a grim picture of financial precarity for workers who keep the state’s essential public services running every day.

    According to the survey results, 65 percent of respondents qualify as experiencing severe housing stress—defined as spending more than 30 percent of total pre-tax income on rent or mortgage repayments. Most alarmingly, one in five public workers devotes over half of their entire paycheck to covering housing costs, with four respondents confirming they are currently experiencing homelessness. A quarter of all participants reported feeling no security in their current housing, and 94 respondents stated they face imminent risk of eviction or losing their homes.

    The crisis does not discriminate by age, but it hits vulnerable groups particularly hard: more than 1,000 women over the age of 45 surveyed spend more than 30 percent of their income on housing, and many workers across all age groups fear they will be trapped in lifelong renting or retire into poverty. Many workers report making extreme personal and professional sacrifices just to keep a roof over their heads, cutting back on basic needs to cover housing costs. The survey found that many workers have skipped meals, delayed critical medical treatment, and put off major life milestones like marriage and starting a family, all due to skyrocketing housing costs.

    Elena, one public sector worker who shared her story with reporters, is one of thousands making extreme trade-offs to access home ownership. To save for a down payment on her first home, Elena and her partner moved back into her parents’ home in Newcastle, more than three hours from her workplace in central Sydney. The arrangement meant a grueling seven-hour round-trip commute every single working day, a burden that forced her to accept long-term career sacrifices to keep her public service role. Even after following all the conventional advice—lowering their expectations, buying a smaller starter home outside the city rather than a permanent home in Sydney—Elena said the struggle remained overwhelming. The home they were finally able to purchase in Lake Macquarie needed urgent repairs including a full kitchen replacement and fixing major water leaks, but the couple had no money left to cover the work after the down payment and closing costs. Despite achieving the milestone of home ownership, Elena said the system feels fundamentally unfair. She added that she is far from alone: the early morning 5.55am train from Newcastle to Sydney is consistently packed with other workers making the same sacrifice to afford housing. “It is still such a struggle, it felt like we did everything that people said to me,” Elena explained. “I feel like it’s just reached a point that’s so unfair for everyone, and it’s not even a generational thing anymore, people of all different age groups going through similar things.”

    PSA General Secretary Stewart Little emphasized that the survey confirms what many have suspected for months: the housing affordability crisis is no longer limited to low-income earners, and is now impacting even stable, full-time public sector employees. “Public sector workers are doing everything society asks of them, they are working hard, serving their communities and keeping essential services running, yet thousands are being pushed to the financial brink,” Little said. He added that state and federal governments cannot continue to ignore the far-reaching impact of this crisis on the public workforce and the communities that depend on their services. Little is calling for urgent government intervention: increased investment in public and affordable housing, and targeted housing assistance programs specifically for essential public sector workers. “No worker serving the public should be wondering whether they can afford dinner, a doctor’s appointment or a roof over their head,” he said.

  • Young Australians back themselves to beat cost-of-living crunch

    Young Australians back themselves to beat cost-of-living crunch

    Against a backdrop of persistent cost-of-living strains, slowing wage growth and ongoing global economic uncertainty, a surprising new trend has emerged in Australia: the nation overall, and its youngest generations in particular, remain far more optimistic about their 12-month financial outlook than many experts would have predicted. This finding comes from new proprietary research conducted by ING, which surveyed more than 2,075 Australian adults aged 18 and over to gauge current consumer sentiment.

    The data reveals a stark generational divide in optimism levels. A full 82% of Gen Z respondents and 74% of millennials reported feeling optimistic about the year ahead, compared to just 52% of Gen X and 49 per cent of baby boomers. Matt Bowen, head of consumer and market research at ING, explained the key driver behind this generational gap: time. While younger Australians are not immune to the pinch of rising prices and higher interest rates, they have far more room to adjust their financial trajectories over their working lives compared to older cohorts nearing retirement.

    “The younger you are, the more time you have to course correct,” Bowen noted. “Things might feel really tough now, but over the course of a lifetime you can catch up.” For older Australians approaching retirement, by contrast, financial pressures are compounded by tighter time horizons and more complex household financial obligations, leaving less room to recover from unexpected economic setbacks. Today’s economic landscape gives consumers no shortage of causes for concern: inflation remains well above the Reserve Bank of Australia’s 2-3% target range, geopolitical conflicts continue to roil global markets, and wage growth has failed to keep pace with rising living costs for most households. Even as annual headline inflation edged down from 4.6% in March to 4.2% in April, according to Australian Bureau of Statistics data, the RBA’s preferred trimmed mean inflation rate – which strips out volatile price swings to show underlying economic pressure – rose to 3.4% for the 12 months to April, confirming that persistent inflationary pressure remains embedded in the Australian economy.

    Despite these headwinds, Bowen argues that years of navigating economic volatility have taught Australian households critical resilience skills, particularly among younger generations who have come of age during an unprecedented period of overlapping crises. “Younger generations in particular entered adulthood through Covid, a couple of wars, geopolitical tensions, and the shift from low to high interest rates,” Bowen said. “Their experience of the economic cycle has been quite compressed over the last little while, and as a result they’ve learnt these things happen, but what is most important is the choices they make within their individual circumstances to get ahead.” This adaptive approach has given rise to what ING dubs the “small wins economy”: instead of making dramatic overhauls to their finances, Australians are focusing on consistent, incremental adjustments to control their costs and build small gains. For example, while 88% of survey respondents reported a rise in grocery costs over the past year – with average weekly grocery spend climbing just $7 from $162 in 2023 to $169 in 2024 – the 7% jump is far more modest than official inflation rates would suggest, thanks to deliberate spending cuts and cost-saving strategies by consumers.

    A key cost-saving tool for many households is loyalty programs, which the research found save the average Australian household $255 per year. Beyond grocery savings, Australians are adopting a suite of repeatable, practical financial habits: careful budgeting, prioritizing value when shopping, auditing and cutting unused subscriptions, and comparing financial products across multiple apps. These small steps, Bowen says, add up to a greater sense of control that supports overall optimism, even when big-picture economic conditions remain challenging. Crucially, the research also found that cost-of-living pressures have not shifted Australians’ core long-term financial goals, only changed the timelines and strategies households use to reach them.

    Around 34% of all respondents plan to adjust their living situation over the next 12 to 24 months: 10% plan to move into new rental accommodation, 7% aim to purchase a home independently, another 7% plan to buy a home with family members, and 4% are pursuing rentvesting, a strategy where households rent in their desired location while purchasing an investment property in an affordable area. Bowen notes that while traditional milestones like home ownership still matter to most Australians, they are now balanced with new personal priorities that include flexibility, life experience and individual agency. “We’re making more deliberate trade-offs, balancing financial realities with a clear intent to protect the parts of life they value most,” he explained.

    Investment also remains a core financial priority for many Australians, especially younger cohorts. Overall, 30% of survey respondents said they plan to invest in shares or exchange-traded funds over the next 12 months. That share jumps to 46% for Gen Z and 43% for millennials, many of whom see investment as a strategic tool to offset cost-of-living pressures, build long-term retirement savings, and capitalize on current market conditions.

  • US, Iran trade strikes in most serious clash since truce began

    US, Iran trade strikes in most serious clash since truce began

    Four months after a fragile ceasefire paused open hostilities between the United States and Iran, a new round of mutual strikes has shattered the relative calm, triggering fresh fears of a wider regional conflict and roiling global energy markets already on edge over the future of the Strait of Hormuz.

    The escalation unfolded Thursday, marking the most serious confrontation between the two adversaries since the truce took hold in April, and came as violence surged along the Lebanon-Israel border, where Iran-backed Hezbollah has been locked in continuous low-intensity conflict with Israeli forces. The clash also drew in Kuwait, a key US ally in the Gulf, which activated its air defense systems to intercept incoming fire shortly after the exchange of attacks began.

    According to Iran’s state-run broadcaster IRIB, Iranian forces opened fire on four commercial vessels attempting to transit the Strait of Hormuz, the strategic waterway that Iran has fully blockaded since the war began in late February, when US and Israeli forces launched a coordinated attack on Iranian targets. In response, a US official confirmed that American military forces targeted an Iranian ground control station located in the port district of Bandar Abbas, Iran’s primary Gulf shipping hub.

    Minutes after the US strike, IRIB quoted Iran’s Islamic Revolutionary Guard Corps (IRGC) confirming that it had retaliated against the American air base that launched the original attack. The IRGC declined to publicly disclose the base’s location, but the confirmation of a counterstrike aligned with Kuwait’s announcement that it was responding to an incoming attack on its territory, which hosts large contingents of US military personnel.

    Iranian foreign ministry spokesman Esmaeil Baqaei issued a formal condemnation of the US action, framing the strikes as a clear violation of the April ceasefire and emphasizing that Iran would take “all necessary measures” to protect its territorial integrity and national sovereignty. The US pushed back on this framing, with an unnamed official characterizing the American strike as a purely defensive action taken to preserve the terms of the existing truce.

    The latest escalation has cast deep uncertainty over the stuttering diplomatic negotiations aimed at reaching a permanent peace deal to end the conflict that began on February 28. While neither Washington nor Tehran has signaled a willingness to return to full-scale open war, the clash has reinforced fears that the fragile truce could collapse entirely. For ordinary Iranians, that uncertainty has become a constant part of daily life. “I feel like nothing is certain yet,” said Amir, a 27-year-old software developer based in Tehran, speaking before Thursday’s strikes. “The daily question is: Will there be missile strikes tonight?”

    At the heart of the ongoing diplomatic talks is the future of the Strait of Hormuz, the waterway that carries roughly a fifth of global oil and gas supplies. The Iranian blockade has cut off that key transit route, leaving global energy markets grappling with constrained supplies and volatile pricing. Thursday’s strike news sent oil prices jumping higher, erasing most of the gains from the previous session, which had risen on growing optimism that a peace deal to reopen the strait was close.

    The diplomatic wrangling over Hormuz took a dramatic turn this week when US President Donald Trump issued an unusual threat against Oman, another Gulf nation that has served as a neutral mediator in the conflict and has itself been targeted by Iran in recent months. When asked about a proposed short-term arrangement that would let Oman and Iran jointly manage transit through the strait, Trump rejected the idea outright. “No, the strait is going to be open to everybody,” Trump said. “It’s international waters and Oman will behave just like everybody else or we’ll have to blow them up.”

    Baqaein condemned the threat against Oman, calling it “a worrying sign of the normalisation of anarchy and intimidation in international relations.” The verbal threat came one day after the US Treasury Department announced new sanctions against Iran’s Persian Gulf Strait Authority, the new Tehran-led agency established to collect transit fees from ships passing through the blockaded waterway.

    Beyond the Gulf, the violence has also escalated sharply in Lebanon, where a separate ceasefire between Israel and Hezbollah has failed to stop continuous skirmishes that have intensified over the past week. On Thursday, the Israeli military launched new airstrikes against Hezbollah infrastructure around the southern Lebanese city of Tyre, a day after it issued a sweeping order declaring all territory south of the Zahrani River — roughly 25 miles from the Israeli border — an active combat zone and ordering all civilian residents to evacuate immediately.

    The evacuation order, the first large-scale such warning since the April 17 ceasefire between Israel and Hezbollah went into effect, interrupted Eid al-Adha celebrations for thousands of Lebanese families in the region. Lebanon’s official National News Agency reported multiple airstrikes targeting residential areas in the city of Nabatieh, causing what it described as “huge destruction” to civilian property.

    As of Wednesday, Lebanon’s health ministry reported that the total death toll from the conflict that began on March 2 stands at 3,269 people. On Thursday, the Israeli military confirmed that one additional soldier was killed in a Hezbollah drone attack along the Lebanese border the previous day, bringing the total number of Israeli troops killed in the conflict with the Iran-backed group to 24. Iranian officials have insisted that any final peace deal between Tehran and Washington must also include a permanent ceasefire and resolution for the Lebanese front.

  • Man cops $45,000 fine for distributing anonymous, illegal election pamphlets targeting Allegra Spender

    Man cops $45,000 fine for distributing anonymous, illegal election pamphlets targeting Allegra Spender

    A New South Wales man has received a substantial combined penalty of $45,000 after admitting to distributing tens of thousands of unauthorised, anonymous election pamphlets targeting sitting independent Member of Parliament Allegra Spender, in a case electoral officials have called one of the most blatant violations of Australian federal electoral law in recent memory.

    Jarrod Davis, a resident of the Wentworth electorate where Spender holds office, was ordered to pay $30,000 in civil penalties by the Federal Court on Thursday, following more than six months of legal proceedings initiated by the Australian Electoral Commission (AEC). In addition to the penalty, Davis was also required to cover $15,000 of the AEC’s legal costs associated with the case, bringing the total financial penalty to $45,000.

    The illegal distribution of pamphlets took place in the lead-up to Australia’s upcoming 2025 federal election, across Spender’s Wentworth constituency. Davis disseminated approximately 47,000 anonymous leaflets, all targeted at the independent MP. According to an official statement from the AEC, the pamphlets failed to include the mandatory authorisation attribution required by federal electoral law, making their distribution a direct violation of national election regulations.

    Spender has publicly condemned the campaign, noting that the anonymous materials spread false, misleading, and deeply offensive claims about her record and policy positions. “This anonymous and misleading campaign is designed to undermine me and to benefit my political opponents,” Spender said in an official statement, adding that the lack of transparency around the pamphlets represented an attack on the integrity of local electoral contest.

    Despite the clear anti-Spender messaging in the distributed materials, the AEC has confirmed that it found no evidentiary link connecting Davis to any registered political party or opposing candidate standing for the Wentworth seat in the 2025 election. AEC Electoral Commissioner Jeff Pope emphasized that the court’s ruling sends a strong message about the importance of transparency in federal election campaign material.

    “Australian voters have a right to know the source of campaign material at a federal election, and today’s result reinforces this expectation as a fundamental aspect of electoral law,” Pope said. Legal observers note that the size of the penalty handed down in this case signals a firm stand by the courts against hidden, unregulated campaign activity that seeks to influence election outcomes without public accountability. The ruling also sets a clear precedent for future enforcement of electoral transparency rules ahead of the 2025 federal poll.