ZeroHedge News

Massachusetts Sues UnitedHealthcare Over Alleged $100 Million Fraud

Tyler Durden — Mon, 01 Jun 2026 21:00:00 +0000

Massachusetts Sues UnitedHealthcare Over Alleged $100 Million Fraud

Authored by Sylvia Xu via The Epoch Times,

Massachusetts sued UnitedHealthcare on May 29, alleging the company defrauded the state’s Medicaid program by making seniors appear sicker than they were to secure higher payments.

The company contracted with MassHealth to provide a Senior Care Options—which combines Medicare and Medicaid benefits into one plan—for seniors aged 65 and older.

UnitedHealthcare allegedly received more than $100 million in fraudulent payments from MassHealth between 2015 and 2025, Massachusetts Attorney General Andrea Joy Campbell stated in the complaint.

UnitedHealthcare, a subsidiary of UnitedHealth Group, said the complaint is “meritless and doesn’t accurately describe our Senior Care Options program” in ‌a statement emailed to The Epoch Times.

The legal complaint alleged UnitedHealthcare inflated payment rates in three ways.

Upcoding

Massachusetts paid UnitedHealthcare a per-member, per-month rate for each senior enrolled in the plan based on UnitedHealthcare’s assessments of the member’s health conditions.

UnitedHealthcare allegedly labeled members as having behavioral health disorders such as depression or anxiety, or substance use disorders to gain higher reimbursement rates, according to the complaint, when the members had no diagnosis or treatment on record for such conditions.

An analysis by the attorney general’s office revealed that nearly 30 percent of UnitedHealthcare’s 2014 through 2024 behavioral health assessments lacked any matching medical claims to support the mental health diagnoses reported to the state.

Keeping Overpayments

The insurer’s internal reviews identified that many members were incorrectly placed in the highest and most expensive level of care despite not qualifying for it, according to the lawsuit.

While the company eventually downgraded these members to lower-paying levels, it allegedly failed to inform the state of the prior errors or return the extra money it had already collected.

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Unneeded or Nonexistent Nursing Services

The insurer was paid $1.4 billion for members who did not qualify for the most expensive status, but the insurer justified the rate by submitting assessments claiming members required daily or frequent skilled nursing care, the complaint alleged.

However, an investigation revealed that most of these members neither received nor actually needed the specialized nursing services, according to the complaint.

Out of more than 88,000 assessments for the highest payment level, UnitedHealthcare asserted that 99.3 percent of those members were receiving nursing visits seven days a week. However, the complaint alleged that almost 90 percent of those members had not received a single nursing visit in the week before UnitedHealthcare filed the assessment.

Arguments

A January Senate report accused UnitedHealth Group of using high-tech scanners and a team of specialists to capture profitable, extra diagnoses in beneficiaries to maximize federal payments from the Medicare Advantage program.

The corporation issued a statement that same day, citing studies that it had commissioned to argue that Medicare Advantage saves money for both the government and beneficiaries.

The Attorney General’s Office alleged that these were intentional failures, the result of a “growth at all costs” strategy employed by UnitedHealthcare that incentivized and encouraged field nurses to code MassHealth members as sicker or less able than they were.

Bernadette Di Re, the CEO of UnitedHealthcare’s plan in Massachusetts from 2011 through 2020, allegedly attributed pressure to “cut staff,” “[g]et more numbers,” and “[g]et more money from the state” as the reason she resigned and left the company, the lawsuit stated.

“The state’s managed care plans need to act in good faith on behalf of their members and the financial resources of our state’s Medicaid program. Our investigation found that UnitedHealthcare knowingly violated these obligations by manipulating health assessments to increase its profits,” said Campbell in a statement.

The company responded in a statement: “The Attorney General is simply wrong that Massachusetts seniors with complex care needs should not be receiving the support and services UnitedHealthcare is helping to provide. We remain focused on working with our state partner to help our members live healthier lives.”

Tyler Durden Mon, 06/01/2026 - 17:00

Shaky Lebanon Ceasefire Reached As Trump Says Iran Talks Back On; Tehran Claims Attack On US Container Ship

Tyler Durden — Mon, 01 Jun 2026 20:50:00 +0000

Shaky Lebanon Ceasefire Reached As Trump Says Iran Talks Back On; Tehran Claims Attack On US Container Ship

Summary

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

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

* * *

Reports of Ongoing Fighting in South Lebanon

Fresh reports of fighting, amid shaky truce declaration:

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

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

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

Lebanon Truce Affirmed

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

Per a regional Arab correspondent:

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

Iran Talks Back On?

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

Trump Suggests He is Forging Lebanon Ceasefire

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

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

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

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

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

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

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

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

Trump Reacts

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

We'll keep the blockade in Hormuz.

I think I can wait as long as they want. They're losing a fortune.

His comments to NBC:

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

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

State Media: Iran Stops Exchanging Messages with US

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

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

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

Below is the full translated statement:

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

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

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

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

Oil jumps on the headline of halted talks...

Futures slide...

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

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

For more, read our:

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

CENTCOM: Intercepted Pair of Ballistic Missiles on Base

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

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

Fresh Missiles on Kuwait

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

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

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

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

READ MORE: https://t.co/yRpPilUQ9S pic.twitter.com/f1Q2l5OnMu
— Rudaw English (@RudawEnglish) June 1, 2026

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

Kuwait, GCC Condemnation

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

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

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

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

IRGC fast boats running 24/7 patrols in the Strait of Hormuz, per new footage from Iran's navy. The boats are steering commercial vessels through the waterway and intercepting any that don't follow orders. pic.twitter.com/tG5Vh71DMK
— Open Source Intel (@Osint613) June 1, 2026

Iran Latest Warnings: "The Bill Comes Due"; Ceasefire Breached

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

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

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

For immediate attention:

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

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

The US and Israel are responsible for the consequences of any violation.
— Seyed Abbas Araghchi (@araghchi) June 1, 2026

More...

Iran's FM Spokesperson Baghaei: The other side keeps shifting its demands and sending contradictory messages, which is dragging out negotiations. Israel's escalation in Lebanon is aimed at destroying any chance diplomacy could work. The U.S. and Israel cannot be seen as separate.… pic.twitter.com/VFbOUwX9V2
— Open Source Intel (@Osint613) June 1, 2026

Trump: "Sit Back & Relax"

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

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

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

Iran Touts More Breaches of US Blockade

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

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

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

More Latest Developments

via Newsquawk...

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

Tyler Durden Mon, 06/01/2026 - 16:50

The Latest Graham Platner Scandal Could Be His Undoing

Tyler Durden — Mon, 01 Jun 2026 20:40:00 +0000

The Latest Graham Platner Scandal Could Be His Undoing

Graham Platner built his Senate campaign on a carefully curated image: the decorated veteran, the Maine oyster farmer, the working-class progressive who talks straight and fights for the little guy.

Despite a slew of scandals, including a Nazi-linked tattoo and many extremely problematic Reddit posts, Maine Democrats handed him the keys to one of their most coveted 2026 targets: the Senate seat held by incumbent Republican Sen. Susan Collins.

Gov. Janet Mills, who ran against Platner in the Democratic primary, launched attack ads targeting his Reddit comments before suspending her campaign ahead of the June 9 primary and clearing the field for him. That left Platner as the consensus Democratic standard-bearer in a race the party views as essential to reclaiming the Senate majority.

Now, a cascade of new revelations about his past is forcing an uncomfortable reckoning for the Democratic Party, as some Democrats are now asking, in public and in private, whether the party rushed to embrace a candidate who was never fully vetted.

A new report from the Wall Street Journal revealed that days after Platner formally announced his Maine Senate bid last year, his wife, Amy Gertner, quietly pulled a campaign aide aside to disclose that she had previously discovered sexually explicit text messages between her husband and multiple women on a private messaging app called Kik. She had found them in the spring of 2025, early in their marriage. She raised them again with campaign staff in late August as part of the campaign’s internal opposition research on him, out of concern that the messages could blindside the operation as momentum was building.

Campaign aides weighed the disclosure, then decided the texts were a private marital matter. In a statement released through the campaign, Gertner framed the episode as a test the marriage passed. "We did the hard work that marriage requires. We went to counseling. We were honest with each other in ways that weren't easy," she said. "And we came through it, not in spite of how much we've been through, but because of how much we love each other and the life we've built. Our marriage today is stronger than ever before."

However, the text messages are more problematic than just a mere marital issue, because the platform itself carries serious baggage. Anti-exploitation groups have described Kik as a haven for online predators.

The app has appeared in multiple prosecutions in Maine alone in recent years, and the Center on Sexual Exploitation called it a "predator's paradise" and warned that it has a "huge child exploitation problem."

One law enforcement professional told The Maine Wire, "only pedos use Kik."

Following these latest allegations, we learned on Sunday that Platner’s campaign manager, Morris Katz, attempted to prevent Genevieve McDonald from publicly discussing information she had about Platner’s alleged infidelities.

From @bangordailynews, Platner’s campaign manager Morris Katz tried to stop Genevieve McDonald from sharing information about Platner’s infidelities (which he had since the beginning of the campaign) with threats of defaming her. pic.twitter.com/LTUbROD0Ja
— Shannon Watts (@shannonrwatts) May 31, 2026

According to McDonald, the campaign offered her $15,000 to sign a nondisclosure agreement, which she refused. She claims that after declining the offer, the campaign worked to discredit her through local media outlets.

That story. Genevieve McDonald said the campaign offered to pay her $15,000 to sign an NDA. She declined. Platner's campaign then smeared her in local outlets https://t.co/lMk8ryylqk pic.twitter.com/Al5VisaOC9
— Chuck Ross (@ChuckRossDC) May 31, 2026

McDonald also shared a message from Katz warning that if the story became public, the campaign would state “on the record, and by name” that she had “violated the personal trust of Amy and Graham” and spread “explicit falsehoods to sabotage the campaign.”

Platner campaign advisor Morris Katz to Genevieve McDonald: “If the story goes in its current iteration, we’ll communicate directly on the record, and by name, that Genevieve violated the personal trust of Amy and Graham and shared explicit falsehoods to sabotage the campaign.” pic.twitter.com/O1F1FlBOZz
— Jerry Dunleavy IV 🇺🇸 (@JerryDunleavy) May 31, 2026

Platner’s use of the app comes on top of a growing pile of damaging information that has been accumulating for weeks, but the sexting revelations and the NDA threats are structurally different from every prior scandal: they don’t just describe a flawed man; they describe an active cover-up by his own campaign.

Every scandal that surfaces makes the carefully curated version of Graham Platner harder to believe, and harder to see how his campaign can survive.

Tyler Durden Mon, 06/01/2026 - 16:40

'The Mad & The Free': Can American Society Debate Its Way Out Of Psychosis?

Tyler Durden — Mon, 01 Jun 2026 20:20:00 +0000

'The Mad & The Free': Can American Society Debate Its Way Out Of Psychosis?

Authored by James Howard Kunstler,

Psychodrama

“A sane society cannot debate its way out of psychosis. It must diagnose the patient with lethal precision and restore the ancient boundary between the mad and the free.”

- LHGrey on X

When you watch video of the shenanigans at the Delaney Hall ICE building in Newark, NJ, you must suspect you’re seeing a hopped-up political vaudeville act. Freaky as the “protesters” may be — with their tatts and piercings, gummi bear hair color, rolls of blubber, perpetually hoisted cell phones, drums, whistles, and pitiful umbrellas — they are no less actors than Jacob Elordi and Sydney Sweeney out in Hollywood.

New Jersey State Police Cavalry to the Rescue!

The Delaney Hall mobbers are allegedly paid by someone or some entity. You’d think the authorities and the news media would be racing to find out who that is. But, so far, no official announcements and, wouldn’t you know, The New York Times did not even report on doings over there in its Monday morning edition.

Independent reporter Nick Sortor, undercover in Antifi garb, discovered their “craft services” tent adjacent to the action in the industrial wasteland where Delaney Hall stands next to the reeking Passaic River.

The tent was full of riot gear, tactical supplies, snacks, energy drinks, hot meals (lasagna!) delivered on the hour, first aid supplies, and other “protester necessities,” as if the siege of Delaney Hall was a major Hollywood production shoot.

Anyway, after days of freaks and geeks playacting “oppression” at Delaney Hall, the New Jersey riot cops showed up, including the mounted cavalry, and stuffed several busloads with arrested “protesters,” many of them from out-of-state. Did they bother to interview the folks manning the craft services tent to inquire what organization was paying for all the merch? Isn’t it about time for whoever is signing those checks to get indicted for fomenting and abetting insurrection?

The Democratic Party is reduced to psychodrama, and the nature of psychodrama is that it’s about nothing — nothing real, at least. It’s all concocted sound-and-fury to give the (false) impression that some injustice is occurring. In the case of Delaney Hall, a holding facility for illegal border-jumpers awaiting deportation, the alleged injustice is “unsanitary conditions, inadequate food, poor medical care, and physical and psychological torture.” In reality, conditions there are arguably better than the average Motel 8. Many of the inmates are murderers and rapists, of course, the worst of the worst.

You might suppose that the objective of the melodrama at Delaney Hall was to create another martyr a la Renée Nicole Good and Alex Pretti out in Minneapolis this past winter.

Those two unfortunate dupes were induced by the party script to FAFO, leading to their tragic and pointless deaths. Alas, the incidents failed to incite the sort of national uprising that the Lefty-left will not stop seeking.

And now summer is nearly here and (the old song goes) “the time is right for dancing in the streets.” Or, rather, fighting in the streets.

The time is also right for the FBI and the DOJ to shut down the funny money supply line for it, and it’s hard to figure now how they might fail to do that.

The Delaney Hall arrests give them a vast opportunity to debrief the players, find out exactly how these stunts are being organized.

To see exactly how much nothing the Democratic Party stands for, you need only get a load of the California primary campaigns, with the election to be held tomorrow (Tuesday June 2).

For instance, Tom Steyer, the hedge funder running for governor, staged an event Friday to support transgender track star AB Hernandez, who has been dominating in the 2025 and 2026 California state women’s track championships by notable margins.

AB Hernandez is a biological male subject to extreme cosmetic and hormonal procedures to impersonate a female, but it does not alter the fact that he is a biological male and he is engaged in impersonation.

Men in women’s sports is increasingly a losing issue in American politics.

Twenty-seven states have enacted laws against it.

The International Olympic Committee has banned biological men competing in women’s events (and the Olympics are coming to LA in 2028). Yet, there is candidate Tom Steyer on-screen trying to sell himself on the most nakedly reality-optional issue-of-the-day.

Sheer psychodrama.

Steyer’s rival, Xavier Bacerra, is arguably more pathetic and idiotic. As California Attorney General from 2017 to 2021 he allowed massive public services and campaign finance fraud to blossom across the state. Then, as HHS Secretary under “Joe Biden,” he presided over the Covid-19 fraud and let hundreds of thousands of illegal immigrant children to go missing during the four-year-long open border operation. We’re talking world-class incompetence.

Down in Los Angeles, the current mayor, Karen Bass, is so devoid of accomplishment that she’s reduced to merely smiling like a Cheshire Cat as she goes through the final motions of the contest. Her campaign slogan is “Let’s Do This Together.” Do what? Run Los Angeles further off a cliff? Outsider Spencer Pratt has crept up to about even with Mayor Bass in the polls. His prospects remain pretty dim, though hopes are high for him. Similarly, outsider Steve Hilton in the race for governor. The question to be answered Tuesday: has reality-optional politics finally run out of mojo in California? And will that be “roll credits” for the Democratic Party?

Tyler Durden Mon, 06/01/2026 - 16:20

May Auto Demand "Stronger Than Expectations", Deutsche Says

Tyler Durden — Mon, 01 Jun 2026 19:40:00 +0000

May Auto Demand "Stronger Than Expectations", Deutsche Says

In a preview of May U.S. auto sales, Deutsche Bank analyst Edison Yu and his team said industry demand appears to be holding up better than expected. They estimate the seasonally adjusted annual selling rate (SAAR) reached 15.9 million units during the month, modestly above last year's pace of roughly 15.7 million. While total vehicle sales are projected to be slightly lower than a year ago, the comparison is skewed by one fewer selling day in May 2026.

After adjusting for that calendar effect, daily sales rates improved by more than 2%, suggesting underlying consumer demand remains relatively healthy.

We expect May US light vehicle SAAR to come in at 15.9m units. This compares to ~15.7m last year. Absolute sales are expected to be up MoM at ~1.453m units (vs. April at ~1.380m), but down YoY from ~1.475m in 2025. The absolute YoY change doesn't necessarily indicate a significant downgrade in consumers health but is reflective of one less selling day in 2026 resulting in a daily sales rate that actually rose ~2.3%.

The firm's dealer and channel checks indicate that automakers largely maintained pricing discipline throughout the month. Average transaction prices continued to edge higher both sequentially and year over year, reflecting a relatively stable pricing environment. Incentive activity was mixed, however.

Ford increased promotional spending through its employee pricing program, a strategy similar to one used last year, contributing to a notable rise in incentives. Industry-wide incentive levels remained significantly above year-ago levels, driven primarily by Ford and Stellantis, although incentives declined modestly compared with April.

According to Deutsche Bank's conversations with industry participants, geopolitical developments in the Middle East have not yet had a meaningful impact on vehicle demand:

This month, thus far, is stronger than our coming in expectations. Based on our conversations, the Middle East conflict appears to have little impact yet on light vehicle sales. Powertrain mix also appears relatively unchanged despite elevated oil prices. Overall we maintain our full year at 15.9m, still somewhat more conservative than the automaker's latest forecasts.

Higher fuel prices also do not appear to be changing consumer purchasing behavior, as the mix of vehicle powertrains sold has remained largely unchanged.

Looking ahead, Yu and his team left their full-year U.S. light vehicle sales forecast unchanged at 15.9 million units. That outlook remains somewhat below the forecasts recently provided by several automakers, reflecting Deutsche Bank's more cautious stance on the industry's trajectory through the remainder of the year.

On the company level, Ford's aggressive incentive activity continues to stand out, particularly in the full-size pickup segment, where incentives on the F-150 increased materially during the month. General Motors maintained relatively stable pricing and incentive levels, while Stellantis continued to offer some of the highest incentives in the industry despite modest sequential moderation.

Overall, Deutsche Bank views the May sales environment as constructive, with demand trends remaining resilient and pricing conditions generally supportive.

Tyler Durden Mon, 06/01/2026 - 15:40

10 Examples That Show That The Chaos & Lawlessness In The Streets Of America Is Totally Out Of Control

Tyler Durden — Mon, 01 Jun 2026 19:05:00 +0000

10 Examples That Show That The Chaos & Lawlessness In The Streets Of America Is Totally Out Of Control

Authored by Michael Snyder via TheMostImportantNews.com,

We aren’t supposed to talk about the social decay that is running rampant all around us. Instead, we are supposed to just shut our mouths and pretend that everything is just fine. But that isn’t the truth. Homelessness is the worst that it has ever been, more Americans are addicted to drugs than ever before, gang members outnumber the police, women are being sexually assaulted in staggering numbers, thieves are having a field day and street violence is seemingly everywhere.

Of course if crimes never get reported they never show up in the official numbers, do they?

We know that there have been instances where the crime numbers have been purposely manipulated in order to make local politicians look better.

But no matter how much corrupt officials monkey with the numbers, nobody can deny the reality of what is going on in our neighborhoods.

The following are 10 examples that show that the chaos and lawlessness in the streets of America is totally out of control…

#1 In Seattle, people living near Aurora Avenue have put up “large homemade barricades” in a desperate attempt to keep the rising tide of lawlessness away from their homes…

Residents in a troubled Seattle neighborhood have begun erecting large homemade barricades across residential streets after a surge of gun violence left many fearing for their safety.

Neighbors living near Aurora Avenue say repeated shootings, alleged prostitution activity and late-night chaos have pushed the community to a breaking point.

Following another burst of gunfire over the weekend, frustrated residents took matters into their own hands by physically blocking off nearby roads in an effort to keep traffic and suspected criminal activity out of the area, Fox 13 reported.

If I was living in that area of Seattle, I would probably take even more drastic actions.

Personally, I don’t understand how anyone can possibly feel safe now that the entire area has turned into a war zone…

The latest escalation occurred around 4 a.m. Saturday near Aurora Avenue North and North 98th Street. Seattle Police responded to the scene after neighbors reported hearing more than 30 gunshots.

Surveillance video from a nearby property captured the encounter, where several men can be seen ducking behind cars and returning fire.

Rudy Pantoja, who works for the property owner, said they spent the weekend patching bullet holes in the side of the building.

#2 Conditions have gotten so much worse in New York City in recent months. For example, a running gun battle in the Bronx resulted in a 5-year-old girl getting grazed by a stray bullet…

Terrifying video captured a reckless gang gun battle on a Bronx street on Wednesday that left a 5-year-old girl grazed by a stray slug to the head.

Footage released by the NYPD shows three suspected ganbangers firing off several rounds as they run from the scene on Southern Avenue in Longwood — with at least two shooting blindly over their shoulders.

The broad-daylight shooting between two warring gangs unfolded along Southern Boulevard in Longwood around 5:40 p.m. Wednesday, sending innocent bystanders scattering for cover, sources said.

#3 Portland was once one of the most beautiful cities in the entire world, but now it has become a rotting, decaying, drug-infested hellhole. One homeless woman that is apparently deeply addicted to drugs is regularly dragged away by a group of unknown men and brutally sexually assaulted…

Citizen journalist Kevin Dahlgren and other locals told the Daily Mail that the middle-aged woman is regularly accosted by a group of unknown men.

They said she is usually taken to a nearby motel or apartment, where she is forced to shower, before being subjected to horrific sexual assaults.

Portland residents, specifically those in the Old Town area of the city, who know the woman said the group attacks can go on for days before she is dumped back on the streets.

#4 Over the past few years, chaotic “teen takeovers” during which vast hordes of young people run completely wild have become a regular occurrence in major cities all over the nation…

Have you seen the new social media-generated phenomenon, Teen Takeovers? A Teen Takeover is when a riot of teens, in numbers overwhelming to local police, floods a local prearranged meeting through social media to wreak havoc.

Youth run wild, defying authority, starting fires, ramming police cars, smashing windows, robbing stores, doing anything and everything that comes to their minds that is against the law and societal order. It is a young human explosion of anger, rebellion, organized chaos, destruction of property, breaking laws, theft, and bodily injury.

Those involved say they aren’t looking to really hurt anybody. They only aim at destroying their little part of Western Civilization as a protest against what they have been indoctrinated to believe are rampant injustices.

#5 In Detroit, a couple of “teen takeovers” on Memorial Day weekend started out peacefully but quickly turned violent…

A troubling trend is growing across Detroit and the country— large “teen takeover” gatherings that erupt into violence, and Memorial Day weekend brought two more incidents to the forefront.

Massive crowds flooded Peterson Park on Memorial Day for one of the so-called teen takeovers. Neighbors say it started out peacefully, but fights broke out and police moved in to disperse the crowds.

One neighbor, who did not want to be identified, said the situation has him worried about what comes next.

#6 In Chicago, 5 police officers were hit by a vehicle during a “teen takeover” on Memorial Day weekend…

Mayor Brandon Johnson will face questions on Wednesday following two “teen takeover” incidents that resulted in dozens of arrests and left several officers injured.

Over the holiday weekend, two large gatherings devolved into chaos.

The first occurred early Sunday morning in the 1200 block of South Loomis Street on the Near West Side.

During that incident, five Chicago police officers were hit by a car while trying to disperse the gathering.

#7 We live at a time when advertising what you believe can literally get you killed. Earlier this month, a 69-year-old man in Southern California was literally beaten to death right in front of his home which was brightly adorned with pro-Trump decorations…

A Southern California man known for his patriotic and pro-Trump home decorations died after he was assaulted outside his house, authorities said.

Kerry Sheron, 69, died Sunday night after the assault Wednesday in Escondido, north of San Diego, the city’s police department said in a statement Monday.

Thomas Caleb Butler, 32, was arrested last week on charges of attempted murder, elder abuse, criminal threats and battery in connection with Sheron’s death. He is being held without bail, jail records show.

#8 Wearing the wrong clothing can also get you attacked. In Los Angeles, a Jewish man was recently viciously assaulted as he was walking home from his local synagogue…

The incident itself occurred shortly before 10 p.m. on April 27, officials said, when James allegedly followed the victim in a van as he walked through an alley in the Pico-Robertson neighborhood, jumped out and suddenly attacked him “without provocation.”

KTLA obtained video surveillance footage of the altercation and learned that the 32-year-old victim was walking home from the Adas Torah synagogue while wearing traditional Jewish clothing when the suspect approached in the van.

“I just didn’t have a good feeling,” the victim, who requested anonymity, recalled. “I make eye contact with [the male driver], try to make a face [that says], ‘Is everything cool?’ And then he just jumped out of his car like a lion.”

As the suspect walked to his car, he allegedly yelled “Free Palestine!” the victim added.

#9 Be very careful when using online marketplaces. One man that advertised two Corvette seats for sale on Facebook Marketplace probably never imagined that the man that he planned to sell them to would end up killing him…

A Michigan man convicted of murder in the case of a Facebook Marketplace sale that went wrong was sentenced to life in prison without the possibility of parole on Monday.

Omar Brogdon, 31, of Detroit, received his sentence from Judge Khary L. Hanible at the Genesee County Circuit Court in Flint, MLive reported. In April, he had been convicted of felony murder, second-degree murder, armed robbery and three counts of using a firearm while committing a felony for a deadly shooting.

#10 Domestic violence has become a raging epidemic in our day and time. An incident that recently occurred in Arizona was particularly shocking…

A crazed Arizona mom gunned down her two children in a shocking murder-suicide after earlier shooting a woman who’d been with her husband at a bar, according to cops.

Andrea Clarice Davis, 38, drove to Tailgaters Sports Bar & Grill in Glendale just after midnight Monday and shot at her husband of 12 years, Nolan Davis, 39, and a 36-year-old woman he was with outside, police told AZFamily.

The other woman, who has not been identified, was shot in the back of the head as she got in her car to flee, according to Glendale police spokesperson Jose Santiago.

Andrea Davis then drove home and texted her husband to say she was going to hurt their two young children — sending him a horrific image of one of them bleeding from the head, police said.

When I was growing up, the crazy people were solidly in the minority.

But now it seems like the crazy people are in the majority.

Perhaps that is because well over 50 percent of the population is hooked on either legal or illegal drugs these days.

Our society is coming apart at the seams all around us, but we keep being told that everything is okay.

Of course the truth is that everything is most certainly not okay.

Chaos and lawlessness are raging all around us, and conditions just continue to get even worse year after year.

Michael’s new book entitled “10 Prophetic Events That Are Coming Next” is available in paperback and for the Kindle on Amazon.com, and you can subscribe to his Substack newsletter at michaeltsnyder.substack.com.

Tyler Durden Mon, 06/01/2026 - 15:05

Russia Bans Jet Fuel Exports As Ukrainian Attacks Cripple Refining

Tyler Durden — Mon, 01 Jun 2026 18:45:00 +0000

Russia Bans Jet Fuel Exports As Ukrainian Attacks Cripple Refining

Russia is banning exports of jet fuel through November 30, 2026, as it seeks to ensure domestic supply amid intensifying Ukrainian drone attacks on the Russian refining infrastructure, OilPrice.com reported.

Russia on Monday announced it is temporarily banning jet fuel exports until the end of November to keep sufficient domestic aviation fuel supplies. Supplies under intergovernmental agreements are exempted from the ban, the Russian government said today.

The decision comes after drone strikes on refineries pushed Russia’s crude-processing rate to the lowest in more than 16 years. In an effort to curb the flow of petrodollars into the Kremlin’s coffers, Ukraine has targeted a wide range of energy assets including sea ports and pipelines.

The ban is not expected to be felt on the tight international jet fuel market as Russia is a small exporter of aviation fuels. Last year, it exported an average of 30,000 barrels a day, or less than 2% of the global supplies, according to data compiled by Bloomberg from analytics firm Vortexa Ltd. Daily average exports slipped to 28,000 barrels in the first four months of 2026, with Turkey being the main buyer, the data show.

But the ban on kerosene exports follows a ban on gasoline exports, in force since April 1, as Russia has seen its refining capacity and capability crippled in recent weeks by intensifying drone attacks from Ukraine.

Kyiv has targeted several major refiners and oil export terminals since the war in Iran began, aiming to cripple Russia's ability to take advantage of the soaring international oil and fuel prices.

Last month, Ukraine targeted the 300,000-barrels per day Yaroslavl oil refinery in Russia, escalating the drone attacks on Russian refining and oil exporting assets, Ukrainian President Volodymyr Zelenskyy said.

“We are bringing the war back home – to Russia – and that’s only fair,” Zelenskyy said in May.

The attack on the Yaroslavl oil refinery, co-owned by Gazprom Neft, was the fourth on the facility in one month, as Ukraine looks to diminish Russia’s refining and export capabilities amid soaring international oil and fuel prices.

Since international crude oil prices surged following the war in the Middle East, Russia has boosted its oil revenues as not only prices have jumped, but Russian oil was made desirable in India again, thanks to U.S. waivers for sales of Russia’s crude already loaded on tankers.

Ukraine is intensifying attacks on Russian refineries and oil export ports as Kyiv looks to limit Russia’s oil exports and revenues.

Tyler Durden Mon, 06/01/2026 - 14:45

Taiwan's Opposition Leader Tours US, Fresh Off Xi Meeting, As Trump Nixes Call With Taiwanese President

Tyler Durden — Mon, 01 Jun 2026 18:10:00 +0000

Taiwan's Opposition Leader Tours US, Fresh Off Xi Meeting, As Trump Nixes Call With Taiwanese President

Just two weeks ago, when fielding questions from reporters about the now paused massive US arms package to Taiwan, President Trump stated: "I have to speak to the person that right now is - you know who he is - that's running Taiwan."

And now, in the wake of Trump's May Bejing visit to meet within Xi Jinping, CBS reports, "President Trump is no longer expected to speak with Taiwanese President Lai Ching-te before Chinese President Xi Jinping's potential trip to the United States this fall, multiple sources familiar with the discussions" stated.

Xi had warned Trump that Taiwan could become a "very dangerous situation" if mishandled - and since then the estimated $14 billion weapons package has been put on pause.

Reuters: Cheng Li-wun, chairwoman of Taiwan’s Kuomintang, with Chinese leader Xi Jinping at the Great Hall of the People in Beijing in April.

That a sitting US president is not speaking to Taiwan's elected leader is actually normal based on Washington's policy of strategic ambiguity, and official acknowledgement of 'One China'. Trump is signaling that this will not change for now:

No sitting U.S. president has spoken directly with a Taiwanese leader since 1979 due to diplomatic sensitivities in managing relations with China, although in December 2016, while Mr. Trump was president-elect, he received a congratulatory call from then-Taiwanese President Tsai Ying-wen.

"I think [Lai], if he has time, would love to tell him our side of the story, the Taiwan story, which is one that — of resiliency, of a state staying up against the Chinese aggression," Alexander Yui, Taiwan's Representative to the U.S., told "Face the Nation with Margaret Brennan" on May 17.

But while the self-ruled island's leader Lai Ching-te is in political limbo and waiting on the sidelines as Washington and Beijing continue to try and heal relations, the head of Taiwan's lead opposition party will be touring around the United States:

In April, Cheng Li-wun became the first leader of Taiwan’s main opposition party to meet Xi Jinping in a decade. On Monday, she is flying to the U.S. with a message Beijing would recognize as its own.

Cheng, the chairwoman of the Kuomintang, is set to begin a two-week U.S. tour that is billed as a peace mission but also carries the weight of U.S.-China geopolitics. It is happening as Beijing is urging Washington to rethink its support for Taiwan, a self-ruled democratic island that doesn’t recognize Beijing’s claim to govern it.

Cheng is a possible contender in Taiwan’s 2028 presidential election, in a party that has traditionally supported reconciliation with China. Her message for an American audience is that Taiwan—formally the Republic of China, not to be confused with the People’s Republic of China—operates under a constitution that already supports the principle that the island and the mainland are part of a single China. Cheng maintains that she, not the current government, is the leader best positioned to guarantee stability across the Taiwan Strait.

Importantly, The Wall Street Journal speculates on the possibility of Cheng meeting with Trump, or possibly other White House officials - though it seems unlikely:

If Cheng returns home having secured high-level American access, she can present herself back home as the one figure capable of managing both Beijing and Washington.

“That,” Sacks said, “would be a fairly formidable proposition.”

The question is whether President Trump will play along. People close to the White House said Cheng shouldn’t expect meetings with top administration officials, pointing to a policy framework in which the administration engages foreign opposition leaders only when they are seen as likely future heads of government—a bar Cheng hasn’t cleared.

Cheng has expressed her willingness to meet Trump, though she has also said that is likely to be hard.

This is all about steering self-ruled Taiwan into China's orbit, and Beijing asserting political power to do so in the face of the Trump administration, after China has long stated its official policy of reunification to the mainland through political means.

Beijing has continued to present itself as the only peace guarantor and as a force for stability and is seeking 'Taiwan's willing participation' - at a moment the Middle East is on fire largely as a result of American policy and quickness to result to force and surprise attacks.

It will be interesting to see who in the Administration will meet with her. At a minimum, it will be the Managing Director of AIT Washington, Ingrid D. Larson.

Taiwan’s main opposition leader, Cheng Li-wun, is set to begin a two-week U.S. tour as Beijing urges Washington to…
— Dennis Wilder偉德寧 (@dennisw5) June 1, 2026

Xi and Cheng, when they met in Beijing back in early April, expressed a desire for a "peaceful" resolution to the many decades-long Taiwan crisis, and posed for photos at the Great Hall of the People. They engaged in public remarks but also held a private, closed-door meeting.

Cheng emphasized in words to reporters that Chinese and Taiwanese officials should work to "transcend political confrontation and mutual hostility." She stated, "Instead, it should become a strait that connects family ties, civilization and hope – a symbol of peace jointly safeguarded by Chinese people on both sides."

Her rhetoric was tinged with familiar Chinese Communist Party talking points as she heralded China's supposed eradicating of absolute poverty while seeking to achieve the "great rejuvenation of the Chinese nation".

Tyler Durden Mon, 06/01/2026 - 14:10

US Coast Guard Eliminates Race-Based Enlistment Preferences

Tyler Durden — Mon, 01 Jun 2026 17:55:00 +0000

US Coast Guard Eliminates Race-Based Enlistment Preferences

Authored by Naveen Athrappully via The Epoch Times,

The U.S. Coast Guard has eliminated race-based preferential enlistment for college students who wish to join the service and commission as officers, the Department of Homeland Security (DHS) said in a May 29 statement.

“The program in question, the College Student Pre-Commissioning Initiative (CSPI), includes a preference for students from educational institutions that meet certain quotas for specifically identified racial groups in their student bodies,” DHS said.

“Such requirements stand in stark contrast to the Trump Administration’s focus on fairness, merit, and eliminating diversity, equity, and inclusion (DEI) policies throughout the federal government. They are also in violation of the equal protection requirements of the U.S. Constitution.”

CSPI is a scholarship program aimed at college juniors and seniors. Students who join the program become active-duty Coast Guard members and are entitled to military benefits. The enrollees remain at the university until they complete their degrees.

During academic breaks, the students work with the Coast Guard. A mentor will be assigned to guide each student as they prepare to begin their career, according to the Coast Guard website.

To apply for CSPI, the student must be a sophomore or junior at a federally designated Minority Serving Institution, according to the website.

Such schools include Historically Black Colleges and Universities, Hispanic-Serving Institutions, Asian American and Native American and Pacific Islander-Serving Institutions, Predominantly Black Institutions, Tribal Colleges and Universities, Native American Non-Tribal Institutions, and Alaska Native and Native Hawaiian-Serving Institutions.

DHS said it has terminated such requirements as of May 28.

With the elimination of racial requirements, CSPI will function as a race-neutral program in which becoming commissioned officers in the Coast Guard will be determined by merit and achievement rather than “immutable characteristics,” the department said.

“The Trump Administration is more focused than ever on eliminating unconstitutional DEI policies like this one,” DHS general counsel James Percival said.

“By getting rid of these unconstitutional diversity quotas, we are returning the Coast Guard’s focus to military readiness, upholding the law, and making America a safer place.”

Crackdown on Military DEI

On Dec. 18 last year, President Donald Trump signed into law the National Defense Authorization Act for fiscal year 2026, which authorized $901 billion in military and national security spending.

Sec. 901 of the bill prohibited DEI programs in the Department of War. The Secretary of War was banned from developing, implementing, or maintaining “an employee resource group or an affinity group based on race, color, ethnicity, religion, national origin, sexual orientation, or gender identity.”

The secretary was also prohibited from developing a training course related to diversity, equity, inclusion, intersectionality, and any critical theory related to race or gender.

Prior to the bill’s signing, the Modern Military Association of America had criticized the anti-DEI measures, calling them “harmful provisions,” according to a Dec. 10, 2025, statement from the association.

“The strength of the U.S. military lies not only in its size, but in its ability to draw on the talents, skills, and lived experiences of Americans from all backgrounds. A diverse force is more agile, innovative, and prepared to meet the complex challenges of modern warfare,” the association said.

“If enacted, they would jeopardize the health and well-being of service members, undermine recruitment and retention, and weaken overall military readiness.”

The Trump administration has steadily moved ahead with dismantling DEI policies and practices in the military despite opposition.

On Jan, 20, 2025, the first day in office of his second term, Trump issued the presidential action “Ending Radical and Wasteful Government DEI Programs and Preferencing.”

On Jan.27, 2025, Trump signed another presidential action, stating that individuals expressing false “gender identity” cannot “satisfy the rigorous standards necessary for military service.”

In a July 20, 2025, announcement on X, Secretary of War Pete Hegseth said that after Trump was sworn into office, the Defense Department moved on three key initiatives—reestablishing deterrence, rebuilding the military, and restoring warrior ethos. This includes reevaluating DEI practices in the military.

“The results so far? Distractions like DEI, [critical race theory], social justice, politically correct stuff—gone,” Hegseth said.

During a May 23 address at the U.S. Military Academy at West Point, New York, Hegseth doubled down on his criticism of DEI in the military. He called the slogan “our diversity is our strength” the “single dumbest phrase” in military history.

“Now, these sorts of silly things can be laughed at when they occur in a civilian lounge or civilian faculty lounge or debated in graduate seminars. But they cannot be tolerated in our formations. These ideas are what get people killed. Diversity is not our strength. Unity is our strength,” Hegseth said.

Tyler Durden Mon, 06/01/2026 - 13:55

Barry Diller Bets Big On Real-World Assets AI Can't Replace With MGM Resorts Bid

Tyler Durden — Mon, 01 Jun 2026 17:40:00 +0000

Barry Diller Bets Big On Real-World Assets AI Can't Replace With MGM Resorts Bid

People Incorporated, formerly IAC and run by Barry Diller, has submitted a non-binding proposal to acquire the remaining MGM Resorts shares it does not already own for $48.30 per share in cash.

The latest Bloomberg data show People Inc. owns 26.1% of MGM Resorts, or about 66.82 million shares. The offer to buy the remainder would cover roughly 73.9% of MGM that is not already owned.

The $48.30-per-share offer represents a 24.1% premium to MGM's 30-day volume-weighted average price, more than a 30% premium to its 90-day VWAP, and a 10.6% premium to the most recent closing price. Such a deal would value MGM Resorts at $18.8 billion, including debt

MGM Resorts shares are up 15% in late morning trade.

"We began investing in MGM nearly six years ago because we believed it represented a rare kind of business: one with real-world assets that AI cannot easily replicate or disintermediate and exceptional digital growth opportunities. That conviction has only strengthened over time," Diller wrote in a statement.

He continued, "We continue to believe the market materially undervalues the power and durability of MGM's assets. We believe MGM's management team is superb, and that there is a compelling opportunity to support MGM's next phase of growth and help unlock its full value."

People Inc. expects MGM to go private if the deal proceeds. It would fund the transaction with cash on hand at both People and MGM, as well as additional debt and equity commitments.

"People Incorporated expects that it will own just over 50.1% of the equity of the company, with other investors (which may include existing shareholders of MGM) holding minority interests. People Incorporated would control the MGM business," Diller's firm stated.

News of the take-MGM-private deal comes days after Tilman Fertitta, the Texas billionaire behind Golden Nugget and Landry's, reportedly prepared a $5.7 billion takeover of Caesars Entertainment.

Is Wall Street's next big trade a rush into assets AI can't easily disrupt?

Tyler Durden Mon, 06/01/2026 - 13:40

Trump: Hezbollah Agrees Shooting Will Stop & Israel Will Avert Attack On Beirut

Tyler Durden — Mon, 01 Jun 2026 17:34:00 +0000

Trump: Hezbollah Agrees Shooting Will Stop & Israel Will Avert Attack On Beirut

Update(1335ET): In a rare development, Iran itself is now issuing warnings for northern Israel. Tehran is saying that if Beirut comes under fresh Israeli attack, then new assaults on northern Israeli settlements will in turn be unleashed:

Iran’s Khatam al-Anbiya Central Headquarters has warned residents of northern Israel to leave the area if Israel carries out threats to expand attacks on Beirut and its southern suburbs.

But at the same time there are reports saying Hezbollah has indicated to Washington that it is ready to agree to a ceasefire if Israel does the same. And more:

HEZBOLLAH SAYS CONSENT WOULD BE WITHOUT PRECONDITION:CHANNEL 12
TRUMP: HEZBOLLAH, ISRAEL AGREE NOT TO ATTACK EACH OTHER

Trump phone call with Netanyahu: Hezbollah agrees shooting will stop; will be no IDF troops going to Beirut:

Regional Asharq news writes that "Lebanon informed the US of Hezbollah's acceptance of Washington's proposal and its readiness to commit to not targeting Israel." But a ground war in southern Lebanon is already well underway - and a truce would likely be determinant on some level of an IDF withdrawal of territory captured in the last days.

* * *

The US-Iran ceasefire is being tested on multiple fronts, with Tehran already having announced Monday the suspension of contact with Washington over the escalation of Israel's ground war in Lebanon, where the IDF keeps pushing further north of the Litani River. Israel looks poised to resume major airstrikes on Beirut, despite that technically it has a US-mediated ceasefire in place with the government of Lebanon. Israeli leaders have vowed to halt Hezbollah's persistent drone strikes on northern Israel, and to establish a security buffer zone.

Also on Monday Israel's defense minister threatened there will be "no calm in Beirut" if Hezbollah's rockets and drones continue raining down on Israeli communities and troop locations. This is a direct threat to resume airstrikes on the capital city. This has direct impact on the US-Iran ceasefire:

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

via EuroNews

"The Dahiyeh in Beirut is no different from the communities in northern Israel – if there is no calm in the north, there will be no calm in Beirut," Israel Katz said in a statement released by his office,

Dahiyeh a Hezbollah stronghold near the country's main international airport, but is densely packed with civilians. Each wave of Israeli attacks has historically resulted in high civilian casualties.

"At the same time, the IDF continues to operate with fire and maneuver against Hezbollah terrorists and infrastructure in Lebanon ... in order to push threats away from IDF forces and from the residents of the State of Israel, and to turn the Litani area into a zone under IDF security control, free of weapons and terrorists," Katz added.

Some pundits have argued that the new Lebanon campaign is aimed at hindering Washington from making a 'bad deal' with Tehran (from Tel Aviv's perspective). Others have said Netanyahu appears "stuck" and doesn't have a clear mission in Lebanon:

Israeli PM Benjamin Netanyahu is “stuck” in terms of military strategy in Lebanon, according to Jad Melki, professor of media studies at the Lebanese American University.

Melki told Al Jazeera that most of Israel’s escalation has been targeting civilian centres in the city of Tyre, villages in south Lebanon, and historical sites like Beaufort Castle.

“Most of these have been built by Netanyahu as major strategic accomplishments, but those have been mostly exaggerated. Even the Beaufort Castle – unless we’re living in the 12th century, it’s not a strategic military location anymore,” he said.

“The problem is that Netanyahu is stuck,” Melki told Al Jazeera. “He cannot advance very quickly, as he will break the Israeli army, and he cannot sit still in the occupied territories of South Lebanon right now because the resistance is basically hunting his soldiers like sitting ducks, so he’s stuck and can only bomb hospitals and kill civilians and medical workers.”

Opinions have remained varied as to what Israel hopes to gain by escalating things in Lebanon at this fragile point where Israeli is at war on multiple fronts (and might the Houthis join next?):

Told @BeckyCNN:

- IRGC media claim suspension of Iran-US exchanges of messages, but we should be cautious pending official announcement.

- Israel may tell Trump that escalation in Lebanon will strengthen his hand vs Iran, but likely aim is to derail Iran-US diplomacy. pic.twitter.com/NWmTQsbIbg
— Mohammad Ali Shabani (@mashabani) June 1, 2026

Local Israeli media outlets have also in some cases questioned the strategic utility of the entire operation in establishing a 'buffer zone', pointing out that Hezbollah’s tactical drone fleet is widely believed to possess an operational range in excess of 30 km.

Hezbollah has been having success especially with fiber-optic cable drones which are not to susceptible to jamming, hacking, or other electronic warfare interception measures. All of these developments mean that the Washington-mediated ceasefire is effectively dead, and as Hezbollah's asymmetric warfare is likely to ramp up in response.

Tyler Durden Mon, 06/01/2026 - 13:34

This Is How Leftists React To Facts...

Tyler Durden — Mon, 01 Jun 2026 17:05:00 +0000

This Is How Leftists React To Facts...

Authored by Steve Watson via Modernity.news,

When presented with uncomfortable irrefutable statistics on migrant crime, those on the left don’t debate—they threaten violence and scream about history as an excuse for chaos today.

That’s exactly what unfolded outside the Delaney Hall ICE detention facility in Newark, New Jersey, Saunday. GB News chief US correspondent Ben Leo was on the ground covering anti-ICE protests—already marked by days of clashes, a hunger strike by detainees, and assaults on officers—when he calmly laid out basic facts about illegal migrant crime patterns in the UK while engaging with the ‘protesters’.

The furious black nationalist got inches from Leo’s face, accused Brits of colonizing the world “through rape, murder and pillaging,” and warned he was “holding everything back not to break your f***ing jaw.”

Me: certain nationalities in UK are more likely to commit sexual offences than Brits

Leftist nutcase: “I’m gonna break your f*****g jaw.”

ICE detention facility in New Jersey.

I’m not surprised Charlie Kirk was murdered. These people are lunatics. pic.twitter.com/ET8GzoJhCM
— Ben Leo (@Benleo) May 31, 2026

Leo stood his ground without flinching. Lurking right behind the seething guy, a spectacled soy leftist pathetically attempted to pile on, weakly joining the intimidation effort by demanding Leo “go back to your country”—the height of irony at an open-borders rally.

The incident, captured on video and shared widely, shows how facts about immigration enforcement trigger outright rage from open-borders activists. While ICE works to secure America’s borders under policies prioritizing law and order, protesters treat any challenge to mass migration as a personal attack worth physical intimidation.

In the clip, Leo began by referencing data showing certain nationalities in the UK are disproportionately involved in sexual offences compared to native Brits. The protester immediately pivoted to colonial history.

“The BRITS that colonised the whole world you mean? That raped and pillaged the WHOLE WORLD to get the power they have THE BRITS,” he shouts.

“YEAH The BRITS who did THAT. And YOU guys have the audacity TO SAY AFGHANS AND SOMALIS DID WHAT?”

Leo responded evenly: “Well it’s not Audacity. It is just a fact.”

The man escalated, demanding: “IS IT NOT A FACT THAT Y’ALL COLONIZED THE WORLD THROUGH RAPE, MURDER AND PILLAGING, RIGHT OR WRONG?”

The guy then repeated insults—“you’re a piece of s,” “you’re a liar”—and got inches from Leo’s face, spitting as he ranted about how he “came out here for violence,” not to talk.

Leo stayed composed, pointing out the obvious: “This doesn’t make your argument look good. That’s the left. That is the degenerate violent left. You give facts. You get data. And they get violent.”

The exchange ended with the soy leftist in the background yelling “go back to your country.” Leo’s deadpan reply: “I live here.” When asked how he got there: “Aeroplane.”

On GB News, Leo later reflected on the moment. He explained he could have countered with historical facts—Britain’s role in abolishing the slave trade, Royal Navy efforts against it—but prioritized de-escalation and safety amid the aggression. “I was more concerned about watching his hands… making sure that he wasn’t about to swing for me.”

‘The clip demonstrates that the left lunatics are exactly that.’@Benleo reacts to the moment when an anti-ICE protester aggressively confronted him after he presented some simple facts on migrants in Britain.

📺 Freeview 236, Sky 512, Virgin 604 pic.twitter.com/00wKP1SxdV
— GB News (@GBNEWS) May 31, 2026

He also addressed the police response, calling it “chilling” and “worrying.” Officers appeared uninterested after the threat, with one suggesting Leo’s questions were “provocative.” Leo noted: “It didn’t really seem like the police were bothered… presenting simple facts and asking what you’re doing here… is somehow provocative.”

‘It didn’t really seem like the police were bothered.’

GB News Presenter @Benleo says the police response at the New Jersey detention centre, as he was being confronted, was ‘chilling’ and a worrying sign that authorities are too sympathetic towards agitators. pic.twitter.com/ixexJlXw1O
— GB News (@GBNEWS) June 1, 2026

This isn’t isolated. Protests at Delaney Hall have turned violent for over a week, with reports of objects thrown, entrances blocked, and even an ICE agent bitten. Detainees allege poor conditions, but federal officials call the strike a political stunt amid efforts to deport serious offenders.

The confrontation exposes a deeper hypocrisy. Leftist activists rage against “colonialism” while ignoring how British institutions—rule of law, abolitionism, and innovation—built much of the modern world migrants flock to. They excuse crime waves from unchecked migration by pointing to the past, yet demand America absorb endless inflows without consequences.

Leo’s calm handling underscores a key truth: facts don’t care about feelings. When open-borders ideology meets reality—rising sexual offences, strained resources, cultural clashes—it produces not debate but threats. This is the same mindset behind attacks on figures like Charlie Kirk and repeated assassination attempts on President Trump.

America First policies, like robust ICE operations, exist precisely because ignoring these patterns endangers citizens. The left’s violent reaction proves they know the data is irrefutable—they just refuse to accept it.

The left’s mask slips when challenged. They’re not tolerant—they’re unhinged when their narrative cracks.

Your support is crucial in helping us defeat mass censorship. Please consider donating via Locals or check out our unique merch. Follow us on X @ModernityNews.

Tyler Durden Mon, 06/01/2026 - 13:05

French Commandos Board & Seize 4th Russian 'Shadow Fleet' Vessel Since September

Tyler Durden — Mon, 01 Jun 2026 16:50:00 +0000

French Commandos Board & Seize 4th Russian 'Shadow Fleet' Vessel Since September

France announced Monday another weekend interdiction of a Russian "shadow fleet" vessel in international waters near its coast. The French Navy boarded and detained a sanctioned oil tanker, President Emmanuel Macron announced Monday, in an operation which had the assistance from the UK Royal Navy and other allies.

This marks the fourth time since September that French commandoes have intercepted a boarded a sanctioned Russian vessel in regional waters.

via AFP/French military

The vessel, identified as the Tagor, originated from Murmansk, Russia, and was taken by French authorities while it traversed around 400 nautical miles (740 km) west of the tip of Brittany.

"It is unacceptable for ships to circumvent international sanctions, violate the law of the sea and fund the war that Russia has been waging against Ukraine for more than 4 years," Macron wrote in a post on X.

The apparent legal justification France's navy has relied on for such actions is the practice of "flag-hopping" - which involves a crew repeatedly changing displayed flags, along with often invalid registrations to thwart international tracking monitors.

At the time of boarding, via soldiers rappelling from helicopter, the ship was falsely flying a Cameroonian flag while reportedly en route to the coastal African city of Limbe, Cameroon.

Macron confirmed further on X: "This operation took place in the Atlantic Ocean, on the high seas, with the support of several partners, including the United Kingdom, in strict compliance with the law of the sea."

The Kremlin again condemned such 'unlawful' seizures in international waters, with spokesman Dmitry Peskov saying, "We consider these acts as illegal, they border on international piracy … Russia is taking measures to ensure the safety of its cargo."

The vessel's captain is a Russian citizen, according to an embassy disclosure from Paris. According to more:

Guillaume Le Rasle, a spokesperson for the prefecture, said the tanker was under EU and US sanctions. “It is a vessel that was known and tracked,” he told AFP.

“The decision to divert it was taken Sunday evening. The objective of the diversion is to verify the validity of its flag,” Le Rasle said, adding that the tanker, which has frequently changed flags, was “almost empty” at the time of boarding.

La Marine nationale a arraisonné hier matin un nouveau pétrolier sous sanctions internationales en provenance de Russie : le Tagor. Notre détermination est constante et totale.

Cette intervention a été effectuée en Atlantique, en haute mer,… pic.twitter.com/zxEslYjbUE
— Emmanuel Macron (@EmmanuelMacron) June 1, 2026

The last several seized tankers were also flying flags of African nations, and these interdictions have stretched back through last year. In some instances, Russia has been sending military escorts - which of course has seen French and European militaries hold off executing any action.

Tyler Durden Mon, 06/01/2026 - 12:50

Anthropic Confidentially Files For IPO As Frontier AI Labs Race To Go Public

Tyler Durden — Mon, 01 Jun 2026 16:40:00 +0000

Anthropic Confidentially Files For IPO As Frontier AI Labs Race To Go Public

Four days after releasing its latest Claude Opus 4.8 model and raising $65 billion at a $900 billion valuation, Anthropic confidentially filed a draft Form S-1 with the SEC late Monday morning for a proposed IPO of its common stock.

"This gives us the option to go public after the SEC completes its review. The proposed initial public offering will depend on market conditions and other factors," the maker of the Claude chatbot wrote in a press release.

The move puts Anthropic and OpenAI in a race to become the first major frontier AI lab to tap public markets, as investor appetite for AI infrastructure and all things SpaceX remains hot into early June.

It's "worth noting: filing first ≠ pricing first a confidential draft S-1 starts the SEC clock but sets no date," CNBC reporter Deirdre Bosa pointed out on X.

worth noting: filing first ≠ pricing first

a confidential draft S-1 starts the SEC clock but sets no date https://t.co/EY8X4Q4y8N
— Deirdre Bosa (@dee_bosa) June 1, 2026

The Polymarket bet "Will Anthropic or OpenAI IPO first?" shows that the confidential S-1 filing was a surprise to prediction markets.

Anthropic's confidential S-1 filing was a surprise to prediction markets https://t.co/08PxrLSOXG pic.twitter.com/TivykIBSZb
— zerohedge (@zerohedge) June 1, 2026

The surprise news comes four days after Anthropic raised $65 billion at a $900 billion valuation, nearly tripling its prior valuation and potentially surpassing OpenAI as the most valuable frontier AI lab.

That round was led by Altimeter Capital, Dragoneer, Greenoaks, and Sequoia, with additional participation from major investors including Baillie Gifford, Blackstone, Brookfield, Abu Dhabi’s MGX, and Singapore’s Temasek.

The funding comes shortly after Anthropic released Claude Opus 4.8 and follows a prior $30 billion raise at a $350 billion valuation just three months earlier.

The Anthropic-OpenAI race to IPO comes as SpaceX is targeting an IPO for June 12, or next Friday, with shares expected to trade on the Nasdaq under the ticker symbol SPCX.

Just last month.

OpenAI plans to file for IPO confidentially as soon as Friday: CNBC pic.twitter.com/mlSdYl05XG
— zerohedge (@zerohedge) May 21, 2026

With the flurry of mega IPOs on deck, Goldman has the answer to whether markets can absorb all the incoming supply (read report).

Tyler Durden Mon, 06/01/2026 - 12:40

US Moves To Further Restrict China's Access To Advanced AI Chips

Tyler Durden — Mon, 01 Jun 2026 16:30:00 +0000

US Moves To Further Restrict China's Access To Advanced AI Chips

Authored by Evgenia Filiaminova via The Epoch Times,

The U.S. Department of Commerce has issued new guidance to prevent Chinese companies from obtaining advanced U.S. artificial intelligence (AI) chips, such as Nvidia’s most sophisticated Blackwell processors, through overseas subsidiaries.

The May 31 guidance clarifies that export licenses are required for entities headquartered in China or Macau, regardless of where their affiliates are located.

The U.S. Commerce Department’s Bureau of Industry and Security (BIS) said that licensing requirements for advanced computing items destined for China- or Macau-headquartered entities were first established in November 2023 and remain in effect.

The agency said the requirement applies even when those entities are located outside China or Macau.

The clarification follows confusion over a May 2025 announcement by the BIS that it would not enforce certain parts of the Biden-era AI diffusion rule.

The rule was designed to restrict sales of advanced AI chips to strategic rivals while allowing broader access for U.S. allies.

The BIS said the policy change did not remove existing licensing requirements for exports involving Chinese or Macau-based customers, meaning companies must still obtain licenses unless an exemption applies.

The guidance also states that legitimate data center operators can continue to use, maintain, store, or replace advanced AI chips and equipment they already own.

The clarification does not require companies to shut down or remove existing systems.

Nvidia’s sales of advanced AI chips to China remain subject to U.S. export controls.

The Trump administration created a framework in 2025 allowing certain chips, including the H200, to be sold to approved Chinese customers under Commerce Department oversight.

Trump said in a Dec. 8, 2025, post on Truth Social that sales would be permitted subject to a 25 percent fee benefiting the U.S. government and limited to approved Chinese customers.

President Donald Trump (L) shakes hands with Nvidia CEO Jensen Huang as they discuss investing in America, at the White House on April 30, 2025. Jim Watson/AFP via Getty Images

An Nvidia spokesperson told The Epoch Times that the BIS guidance doesn’t impact its business.

It “simply reaffirms that NVIDIA’s current sales and vetting process is correct — licenses are required to ship controlled products to [China] headquartered companies,” the spokesperson said.

The Epoch Times reached out to AMD, another major supplier of AI chips, for comment, but did not receive a response by publication time.

Analysts Warn of Potential Gap

Former U.S. State Department official Chris McGuire, who focuses on technology and national security issues, said in a May 31 post on X that the ambiguity surrounding BIS enforcement may have enabled overseas subsidiaries of Chinese firms to legally acquire advanced U.S. AI chips without export licenses.

“Chinese companies have been buying these chips, very likely at scale,” McGuire wrote in the social media post.

He argued that the lack of clarity about which export controls remained in effect created an opening that may have allowed subsidiaries of Chinese firms operating in countries such as Malaysia to purchase Nvidia’s Blackwell processors.

McGuire said the new BIS guidance appears to close that pathway by making clear that exports to China-headquartered companies outside China still require licenses.

Nvidia CEO Jensen Huang eats a bowl of noodles on a street in Beijing on May 15, 2026. Jiang Panpan via AP/Screenshot via The Epoch Times

He said that BIS has not clarified whether it will enforce due diligence requirements that apply to semiconductor foundries such as Taiwan Semiconductor Manufacturing Co. (TSMC) when assessing whether advanced AI chips could ultimately benefit Chinese companies.

“This is a massive loophole that still needs to be closed,” McGuire said.

The Epoch Times reached out to TSMC for comment but did not receive a response by publication time.

Michael Sobolik, a senior fellow at Hudson Institute specializing in U.S.–China relations, raised enforcement concerns.

“This looks like an apparently MASSIVE loophole at the Department of Commerce,” Sobolik said in a May 31 post on X.

Quoting McGuire’s analysis, he questioned the effectiveness of export controls if they are not consistently enforced.

Tyler Durden Mon, 06/01/2026 - 12:30

The Prince Of Darkness's Shadow Phone: Mandelson's Refusal Exposes Starmer's Transparency Farce

Tyler Durden — Mon, 01 Jun 2026 16:15:00 +0000

The Prince Of Darkness's Shadow Phone: Mandelson's Refusal Exposes Starmer's Transparency Farce

Peter Mandelson spent much of the past four decades at the center of British power: New Labour architect, Blair-era fixer, former cabinet minister, lobbyist, peer, and one of Westminster's most notorious survivors. Oh, and he was sliding Jeffrey Epstein actionable inside info.

His old nickname, the "Prince of Darkness," was never subtle. It captured both his political skill and the suspicion that Mandelson was most comfortable operating where influence, money, and private access overlap.

Today, Ministers released more than 1,500 pages - three bulging volumes of emails, handwritten notes, and more than 160 pages of WhatsApps - in what they billed as "unprecedented transparency" over Mandelson's disastrous stint as Britain's ambassador to Washington. And of course, guess what: Mandelson flat-out refused to hand over his personal phone, and that's pretty much that. Cabinet Office solicitors formally requested access on March 31; he declined to comply. The government admitted it had "no further recourse."

MP David Davis called this a "National Security Issue."

So the twice disgraced, Epstein-tainted, and forever scheming – was handed one of Britain's most sensitive diplomatic jobs despite flashing red lights. Now, even as Keir Starmer's government tries to publish its way out of scandal, the most important communications may remain exactly where Mandelson wants them: out of sight.

Vetting Catastrophe

In January of 2025, UK Security recommended denying Mandelson high-level clearance given concerns over his web of contacts in China, Russia, and Israel, a £1m loan linked to an Israeli startup, and his lobbying firm Global Counsel's sticky client list. Epstein ties added "general reputational risk." Foreign Office officials overruled the recommendation the next day with scant written mitigations. Starmer claims he was never properly briefed – calling it "unforgivable." Top FCDO mandarin Olly Robbins soon departed.

Yet, Starmer gave Mandelson the job anyway. A handwritten note to then-Foreign Secretary David Lammy oozed confidence: the government would "never regret" appointing him. MI6's former chief warned him about email hacking risks. He dangled a Peter Thiel meeting for Starmer. And embassy officials noted Donald Trump coveting a personalized red ministerial box.

The Epstein Nexus: Money, "Best Pal," and Police Heat

US DOJ releases earlier in 2026 supercharged the scandal: roughly $75,000 in payments from Epstein to Mandelson and his partner around 2003-04, continued contact after Epstein's 2008 conviction, including stays at his properties, and allegations of sharing market-sensitive UK information during the financial crisis. Mandelson called Epstein his "best pal" in old correspondence. He denies wrongdoing, but the revelations triggered his sacking, a Met Police misconduct probe, his February 2026 arrest, and searches. The full 9-page UKSV report remains withheld at police request.

BREAKING: Peter Mandelson has been arrested on suspicion of misconduct in public office, the Metropolitan Police has saidhttps://t.co/CAU6JMk4vg

📺 Sky 501, Virgin 602, Freeview 233 and YouTube pic.twitter.com/Hgl7kPXEpa
— Sky News (@SkyNews) February 23, 2026

As the Guardian noted in February, emails forwarded to Epstein from the very top of the UK government include:

A confidential UK government document outlining £20bn in asset sales.
Mandelson claiming he was “trying hard” to change government policy on bankers’ bonuses.
An imminent bailout package for the euro the day before it was announced in 2010.
A suggestion that the JPMorgan boss “mildly threaten” the chancellor.
Epstein asked Mandelson to confirm a €500bn bailout – which the then business secretary said would be announced that evening. The following day, Mandelson also appeared to give Epstein an early tipoff about Gordon Brown’s resignation.

"he was a great FX trader" https://t.co/1U0adiK71z
— zerohedge (@zerohedge) February 2, 2026

The real fireworks are in the texts. Mandelson, ever the insider-outsider, talked extensive shit about the people he served:

Starmer's leadership: "advance / buckle / advance / buckle." No 10 was "beleaguered and bereft," not "leading from the front."
To Pat McFadden: Labour MPs were in a "mutinous state." Government priorities boiled down to "who can we tax in order to pay benefits to others." The "big picture is messy."
Pensions minister Torsten Bell echoed the chaos: everyone treating policy as "someone else's job."

Ministers curried favor. Mandelson dispensed unsolicited advice. The documents paint a dysfunctional WhatsApp government where spin, access, and personal networks trumped discipline.

The fallout has already claimed Morgan McSweeney, the chief of staff who backed the appointment, and communications director Tim Allan. May's local election drubbing saw more than 90 Labour MPs demand Starmer's head. Greater Manchester mayor Andy Burnham – running in the Makerfield by-election on June 18, 2026 – lurks as the obvious challenger if Starmer falters further.

Opposition parties smell weakness. The saga encapsulates elite impunity: a veteran operator with a rap sheet of past resignations handed a plum post despite every warning light flashing. Mandelson's refusal to surrender his personal phone only fuels the suspicion that the official record is not the full record.

Tyler Durden Mon, 06/01/2026 - 12:15

U.S. Oil Reserves To Dry Up Before August?

Tyler Durden — Mon, 01 Jun 2026 16:00:00 +0000

U.S. Oil Reserves To Dry Up Before August?

As oilprice.com asked earlier this week, why hasn’t oil hit $150 (yet)?

Tonight at 7 PM ET, ZeroHedge will host two former Goldman heavyweights to answer the question: is the recent oil price surge merely a temporary geopolitical shock, or are we entering a period of structurally higher energy prices?

Joining the discussion are former colleagues Jeff Currie, now chief strategy officer for energy pathways at the Carlyle Group, and Arjun Murti, Partner at Veriten. The conversation will be hosted by Real Vision's Ash Bennington.

After five potential deals to re-open the Strait of Hormuz and none resulting in a full resumption of traffic, Currie’s betting that it won’t be different this time:

On @cnbcAsiaTV this morning, @CommodMkt said, "Sell The Tweet, Buy The Molcule." Currie detailed that Trump tweeted five times that the war was effectively over, but it has not happened.

The chart shows my guess of the five times. Currie is correct. If you bought the crude oil… https://t.co/XosPN03Nm4 pic.twitter.com/ipdgaNXYqE
— Jim Bianco (@biancoresearch) May 25, 2026

Interesting highlight by Jim Bianco: “If you bought the crude oil collapse every time Trump said the war is over, you made $58, even though the price is only up $27 since the war started.“

Even if it is different this time, Currie has argued that global oil markets were already facing structural supply shortages before tensions with Iran escalated, with years of underinvestment leaving the system increasingly vulnerable to disruptions. In his view, the current conflict has simply accelerated a trend that was already underway, bringing forward a period of sustained higher oil prices that many investors have yet to fully appreciate.

Strait closure + baked in supply constraints, he says, could mean American storage tanks run dry as soon as July 4… just in time for the big 250 celebration.

"I've never seen anything like it before."

Oil storage tanks in the United States will run empty "somewhere in the July 4 period," Carlyle's Jeff Currie tells @flacqua https://t.co/vHoZcNL6ur pic.twitter.com/06RRdr6LqP
— Bloomberg (@business) May 6, 2026

Murti likewise remains bullish oil. Last October, he joined ZeroHedge for a debate on the price outlook and argued that crude prices were headed higher… a peaceful time when WTI crude sat at $60/barrell. The months that followed validated Murti so let’s see if that happens again.

Together, Currie and Murti will examine whether current oil prices fully reflect the underlying supply picture, how much of today's rally is attributable to Iran, what role U.S. foreign policy may play going forward, and whether investors should prepare for a prolonged period of elevated energy prices.

See you tonight at 7pm ET, here on the ZH homepage, X feed, or YouTube channel.

Tyler Durden Mon, 06/01/2026 - 12:00

Foreign Cargo Ship Struck By 'Massive Projectile' Just Off Iraq

Tyler Durden — Mon, 01 Jun 2026 15:45:00 +0000

Foreign Cargo Ship Struck By 'Massive Projectile' Just Off Iraq

A commercial cargo ship navigating the Arabian Gulf was struck by an unidentified projectile, triggering a "large explosion," according to the United Kingdom Maritime Trade Operations (UKMTO).

The maritime strike took place approximately 65 nautical kilometers (40 miles) southeast of Umm Qasr, Iraq. At this time, the UKMTO noted that it is unaware of any environmental damage resulting from the blast.

Source: UKMTO

Initially Iraqi media reported the blast was due to "mechanical failure" - but soon after other regional media said it was the result of being hit by a "massive projectile".

"A cargo ship was hit by a massive projectile explosion off the coast of Umm Qasr in Iraq, according to Al Hadath, a Saudi-owned channel.

According to another maritime industry source:

Most of the attacks on commercial shipping in the Gulf region since the war in Iran started have been in and around the Strait of Hormuz, the Gulf of Oman, extending as far west as Bahrain and Qatar.

Only one other attack reported off Iraq was on the Greek-owned chemical/product tanker Zefyros and the US-owned Safesea Vishnu on 12 March which left one seafarer dead.

There have also been incidents off Kuwait with Suezmax tanker Sonangol Namibe anchored 30nm southeast of Mubarak Al Kabeer was hit with a large explosion on 5 March. Kuwait’s Shuwaikh and Mubarak Al Kabeer Port were struck by drones and missiles on 27 March.

Unverified video is already circulating of what's said to be a Panama-flagged container ship:

🇮🇶🇵🇦 A large Panama-flagged tanker has been hit by an explosion in Iraqi territorial waters, according to Al Arabiya. pic.twitter.com/9ENLHfN7By
— DD Geopolitics (@DD_Geopolitics) June 1, 2026

Some areas in the vicinity have reportedly been subject to mine-laying by Iran's IRGC forces, making these waters already highly dangerous.

All of this has taken place as the US-Iran extended ceasefire is potentially breaking down Monday, following a weekend of limited tit-for-tat strikes between each warring side. Iran launched a pair of ballistic missile on a US base in Kuwait, and the US has struck radar and missile sites in Iran.

Tyler Durden Mon, 06/01/2026 - 11:45

Them's Fightin' Words

Tyler Durden — Mon, 01 Jun 2026 15:30:00 +0000

Them's Fightin' Words

By Benjamin Picton, Rabobank Senior Market Strategist

Resigned

Brent crude front-month futures are inching higher this morning after ending May down almost 20%. The May selloff has been courtesy of Mr Market’s Pavlovian response to fresh peace rumours, though it still remains the case that a deal has not been done and the Strait of Hormuz remains closed.

US equity indices closed higher across the board on Friday, but Asian stocks are mixed in early trade today. The S&P500 has now had nine-consecutive positive weekly closes and is sitting at a fresh all-time-high, with futures pointed at further gains when markets open later today.
While crude futures are lower, spot prices for Malaysian Tapis crude are proving a little more sticky and are still trading around the levels seen through late May and early April. Singapore gasoil (diesel) spot prices are testing support at $135/bbl, but even at those short-term lows prices are way above the $90.41/bbl recorded on February 26th (the last close before the war started) or the January prices in the high $70s, before the market started to price in what two carrier groups in the Middle East might mean.

Gold prices rose by 0.68% last week. This was the first positive weekly close since May 8th, and another example of markets respecting the $4,500/oz support level. Gold is now trading at levels similar to those seen in late December and early January as a number of central banks liquidated holdings in a scramble for Dollar liquidity earlier in the Hormuz crisis.

Sovereign yields are moving higher this morning after falling for much of last week. US 2-year yields are up 2bps to 4.04% in early trade, Aussie 2s are up 4bps to 4.56%, but New Zealand 2s are curiously flat after a hawkish RBNZ last week and a national budget that showed fiscal tightening will be delayed beyond the 2026/27 financial year. Moves at the longer end are even more pronounced, with 10-year Treasury yields up 3bps to 4.47%.

The shift higher in crude and yields could be a sign of markets beginning to resign themselves to the idea that a deal will remain elusive in the short term. The creep from “any minute now” this time last week to “maybe, or maybe not” is underway. Regular readers will know that RaboResearch updated our baseline view on the Hormuz crisis last week to suggest that the Strait is likely to remain mostly closed through to September as the parties to negotiations find that their red lines over Iran’s nuclear program are (still) incompatible, and the Iranians realise that giving up their oil market leverage would be a foolish thing to do.

A bad sign arrived this morning with the news that Iranian President Pezeshkian had offered his resignation to Supreme Leader Khamenei. Pezeshkian has reportedly claimed that he is unable to run the government and carry out his responsibilities, because the civilian government has been sidelined by the hardliners in the IRGC – the guys with the guns. This is a new angle on the view that various factions in Iran are competing with each other, and that there are large disagreements on how negotiations with the US should be handled, or if they should be happening at all.

Donald Trump raised some eyebrows yesterday when he said that the Iranian military (the Artesh) is ‘moderate’ and had been left alone during American strikes. This places Pezeshkian, foreign minister Araghchi, and possibly parliamentary speaker Ghalibaf (newly re-appointed) alongside the Artesh in the ‘moderate’ camp willing to do a deal, while the IRGC resists agreement with the US and insists on Iran’s rights over Hormuz and the progress of its nuclear program. We think that it will take longer yet before the IRGC sees eye-to-eye with the moderates, and that a continued closure with risks of further strikes is more likely than an agreement that is amenable to all and satisfies Donald Trump’s need to sign something that looks better than Barack Obama’s JCPOA. Of course, it may be the case that the much-maligned JCPOA was maligned for a reason. To paraphrase Solon of Athens, the JCPOA might not have contained the best terms, but it might have contained the best terms all parties could be induced to accept.

While the Hormuz issue drags on, the Ukraine war also continues to percolate and threatens to spread into Europe. Ukraine is deepening cooperation with EU states over drone technology, which has been used to great effect against Russian energy targets in recent months. Meanwhile, a Russian drone reportedly struck an apartment building in NATO member country Romania late last week.

Former Russian President and close Putin ally Dmitry Medvedev took to X to warn “Citizens of EU countries, You should realize your authorities have unilaterally entered into a war with Russia. So be vigilant and don't be surprised by anything. The peaceful sleep is over...” To quote Yosemite Sam: “them’s fightin’ words”.

Citizens of EU countries, You should realize your authorities have unilaterally entered into a war with Russia. So be vigilant and don't be surprised by anything. The peaceful sleep is over. But you know who to ask why!
— Dmitry Medvedev (@MedvedevRussiaE) May 29, 2026

Clearly the Kremlin is not happy that Europe is continuing to support Ukraine in a conflict that some analysts are now saying has turned in the latter’s favor.

Tyler Durden Mon, 06/01/2026 - 11:30

'Los Gatos Party Mom' Sentenced To 35 Years For Throwing Drunken Teen Parties

Tyler Durden — Mon, 01 Jun 2026 15:15:00 +0000

'Los Gatos Party Mom' Sentenced To 35 Years For Throwing Drunken Teen Parties

Authored by Dylan Morgan via The Epoch Times,

A Los Gatos, California, woman was sentenced on May 28 to 35 years and 10 months in prison, the maximum allowed, for hosting parties for young teenagers where she brought alcohol and egged on sex acts.

Shannon O’Connor, 52, threw these parties for two years and discouraged teens, who were mostly 14 and 15 years old, from telling their parents or police about the parties or calling for help when one of the victims passed out in their own vomit.

“Many people call this defendant the ‘Los Gatos Party Mom.’ This isn’t some fun parent giving sips of wine spritzers to kids. She facilitated dangerous and drunken sex acts with these children. She risked their lives and damaged their psyches. She is not a party mom. Shannon O’Connor is a convicted felon. Shannon O’Connor is a registered sex offender,” Santa Clara County District Attorney Jeff Rosen said.

O’Connor, also known as Shannon Burga, was convicted of 48 charges, including child abuse charges and two felony sex charges, in March.

Twenty young adults and 41 witnesses testified during the trial.

Thursday’s sentencing followed two days of testimony from the victims on O’Connor’s teen parties she hosted for two years, including one young woman who told the court she became suicidal from trauma induced by the parties.

At one party, O’Connor handed an underage teenager a condom and pushed him into a room with an intoxicated minor.

At a separate New Year’s Eve party with about five 14-year-olds, O’Connor watched and laughed as a drunk teen sexually battered a young girl in bed.

In another incident, O’Connor brought a drunk teen into a bedroom where an intoxicated 14-year-old girl was lying in bed, according to prosecutors.

After the girl was assaulted, she said to O’Connor, “Why did you leave me in there with him? Like you knew, like what he was going to do to me.”

In another case, O’Connor let a minor drive her SUV in the Los Gatos High School parking lot while two other teens held onto the back, and one was knocked unconscious after falling off.

In some cases, she would text teens or message them on Snapchat to leave their homes in the middle of the night and drink at her house, where she would provide alcohol.

“[O’Connor] endangered their safety, coordinated their sexual assaults, and she tried to get them not to tell,” Rosen said. “These brave kids came forward to tell the truth about what happened and to put a stop to it.”

Tyler Durden Mon, 06/01/2026 - 11:15

Inside The Major Bill Poised To Reshape The US Housing Market

Tyler Durden — Mon, 01 Jun 2026 14:30:00 +0000

Inside The Major Bill Poised To Reshape The US Housing Market

Authored by Andrew Moran via The Epoch Times,

The United States may be on track to implement the first comprehensive housing legislation in decades.

For the past several years, housing affordability has been a significant subject across the country, with many young people struggling to achieve the dream of homeownership.

Lawmakers on both sides of the aisle have tried to reverse the trend by advancing the 21st Century Renewing Opportunity in the American Dream (ROAD) to Housing Act of 2025.

Here is a look inside the sweeping housing package and the path to passage.

Inside the Act

Although the current administration has examined strategies to expand access to the housing market, the bipartisan legislative initiative aims to bolster supply for middle-class families.

The bill’s main provision is a limit on institutional investors’ purchases of single-family homes.

Both chambers tweaked the proposal.

The Senate approved language that requires major investors who build single‑family rental homes to sell those properties within seven years.

The House’s version still aims to rein in Wall Street’s footprint in the single‑family market, but its latest draft eases the restrictions.

Lawmakers added wider exemptions for institutional buyers of newly constructed rentals, homes needing substantial renovation, and several other categories.

Other measures aim to facilitate more construction, including incentives to build more homes, convert abandoned buildings into housing, and modernize existing homes.

In addition, Washington bolstered eligible income limits for the HOME Investment Partnerships Program, a federal block grant program that state and local governments use to build, maintain, and support affordable housing for low‑income households.

Officials created a Housing Supply Framework to enable best practices in state and local zoning and land use.

The legislative text also expands banks’ authority to make public welfare investments supporting affordable housing. The bill raises the cap for banks’ public welfare investments to 20 percent from 15 percent.

Lawmakers removed the permanent chassis requirement for manufactured homes. The long-standing federal rule required that manufactured homes be constructed on a permanent steel frame to qualify under the federal construction code.

It also includes the Modular Housing Production Act and other reforms to streamline the production of factory-built housing.

There was also some focus on the demand side of the equation. For example, the bill establishes incentives for mortgage lenders to originate small-dollar mortgages—typically less than $100,000—to address the financing gap for low-cost homes. Additionally, Congress updated rules on appraisal standards and fees for these small-dollar loans.

The 21st Century ROAD to Housing Act includes reforms to Veterans Affairs housing policies. The major changes include expanding access to Veterans Affairs home loans, improving consumer protections for borrowers, and enhancing housing support for disabled and homeless veterans.

Congressional Path

Unlike other pieces of legislation, the housing affordability bill has moved quickly through Congress—something that President Donald Trump had requested.

Rep. French Hill (R-Ark.), chairman of the House Financial Services Committee, introduced legislation in December 2025. Two months later, it passed 390–9 in the lower chamber.

As it arrived in the upper chamber, senators made substitutions rather than take up the House bill. The amended legislation passed 89–10 and was sent back to the House, where it passed 396–13.

It will now be delivered to the Senate for final approval.

Senate Banking Committee Chairman Tim Scott (R-S.C.) and Ranking Member Elizabeth Warren (D-Mass.) said the bipartisan housing bill will provide relief for families nationwide.

“We worked closely with the White House and our colleagues in both chambers on a bill that puts families first and addresses the housing crisis,” they said in a May 20 joint statement.

“There’s still work to be done and we are committed to continuing to work with the White House and our colleagues in the House on a housing bill that can pass the Senate and get to the president’s desk.”

What the Industry Says

The housing industry widely lauded Congress for moving ahead with the legislation.

Shortly after the House passed the bill, the National Association of Home Builders noted that it addresses several problems facing Americans today, mainly housing shortages and affordability challenges.

“The bottom line is that the housing crisis is a supply problem,” Bill Owens, the group’s chairman, said in a statement.

“Congress can help by improving access to capital, strengthening workforce pipelines, expanding the availability of buildable lots and reducing excessive regulatory costs and permitting delays.

“If we want to make housing more attainable, we must make it easier and less expensive to build.”

Emily Cadik, CEO of the Affordable Housing Tax Credit Coalition, stated that increasing the banks’ public welfare investment cap to 20 percent will “unlock billions of dollars in new private investment.”

“Additional changes in the updated House legislation will further strengthen our ability to finance more affordable housing to address our nation’s immense need,” Cadik said in a statement.

The House passing the Senate’s amended version would both enhance housing supply and expand access to affordable mortgage credit, said Bob Broeksmit, president and CEO of the Mortgage Bankers Association.

“[The legislation] will help advance meaningful housing affordability solutions for our nation’s homeowners and renters,” he said.

Tyler Durden Mon, 06/01/2026 - 10:30

SpaceX IPO Update: New Filing Reveals Friends & Family Share Allocation, Anthropic AI Deal, And Water Risk

Tyler Durden — Mon, 01 Jun 2026 14:15:00 +0000

SpaceX IPO Update: New Filing Reveals Friends & Family Share Allocation, Anthropic AI Deal, And Water Risk

SpaceX has provided fresh details in an amended S-1 filing regarding its upcoming initial public offering, including a directed share program for employees and insiders, a major AI computing agreement with Anthropic, and new risk factors.

The company will reserve up to 5% of shares in its IPO for certain employees and friends and family of its executive officers. The company disclosed that participants on its "friends and family" list will not be subject to a lock-up restriction, allowing them to sell shares immediately upon listing.

While directed share programs are common in IPOs, the lack of lock-up for this group stands out. More than 60% of shares outstanding immediately prior to the offering remain subject to an extended lock-up period, including shares held by founder and CEO Elon Musk.

SpaceX stands as the preeminent launch provider globally, delivering unmatched reliability, cost-efficiency, and launch cadence. As of mid-2026, the company maintains a 100% success rate across dozens of Falcon launches this year and conducts the vast majority of U.S. orbital missions - carrying both commercial and government payloads, including NASA crew and cargo to the ISS as well as national security satellites. SpaceX's Falcon family commands over 80% of the U.S. launch market and the bulk of global mass-to-orbit capability thanks to proven reusability.

Jeff Bezos's Blue Origin, meanwhile, suffered a significant setback last week, when its New Glenn rocket exploded during a static fire test at Launch Complex 36 in Cape Canaveral. The incident destroyed the vehicle and caused extensive damage to the launch pad - including collapsed lightning towers and ground infrastructure - forcing months of repairs and further delaying the company's entry into heavy-lift competition.

Here's our video of the explosion at Launch Complex 36. It happened about 9 pm ET (0100 UTC) as Blue Origin was beginning a static fire test of its New Glenn rocket.

Watch live views: https://t.co/tm2wZQmAVD pic.twitter.com/PmbgQC6Qmq
— Spaceflight Now (@SpaceflightNow) May 29, 2026

Blue Origin now faces additional hurdles in catching up to SpaceX, particularly as it seeks NASA Artemis contracts and commercial missions for Amazon's Project Kuiper.

Major AI Computing Deal with Anthropic

The amended filing also discloses that SpaceX has an agreement to provide Anthropic PBC with artificial intelligence computing capacity consisting of approximately 325,000 Nvidia chips. The deal is valued at $1.25 billion per month and runs through May 2029. After an initial three-month period, either party can terminate with 90 days notice.

SpaceX noted in its risk factors that some compute service customers may rely on external capital to meet their payment obligations.

New Risk Factor: Water Scarcity?

SpaceX added water scarcity as a formal risk factor. Drought conditions, increased competition for water sources, and potential regulatory restrictions could raise costs or limit the company's ability to cool its data center infrastructure. This reflects growing scrutiny over the high water and power demands of AI data centers.

Bloomberg last week reported that SpaceX is now targeting a valuation of at least $1.8 trillion for the IPO vs. $2T - which Elon Musk said was "false" in response after we surfaced the claim. Either way, the IPO is more or less a major referendum on the AI-fueled bull market.

The company is targeting pricing on June 11 and a trading debut on June 12 under the ticker SPCX on Nasdaq and Nasdaq Texas.

Tyler Durden Mon, 06/01/2026 - 10:15

"Firing On All Cylinders, But..." US Manufacturing Surveys Send Mixed Signals In May

Tyler Durden — Mon, 01 Jun 2026 14:08:04 +0000

"Firing On All Cylinders, But..." US Manufacturing Surveys Send Mixed Signals In May

With US hard data taking a beating (relative to expectations) last week (red line below), analysts remain hopeful that US Manufacturing will hold up (durable goods orders were solid) with this morning's Manufacturing PMIs set to signal stability.

The final May S&P Global US Manufacturing rose to 55.1 (down from the 55.3 flash print) but the strongest since April 2022
ISM's Manufacturing PMI survey also signaled improvement, up from 52.7 to 54.0 (better than 53.0 expected).

"At first glance, the manufacturing sector seems to be firing on all cylinders but lift the hood and the picture is not so clear," says Chris Williamson, Chief Business Economist at S&P Global Market Intelligence.

The headline PMI has hit a four-year high, with strong factory production growth for a second successive month in response to a further marked upturn in order books, but since the outbreak of war in the Middle East we have seen production and demand buoyed by stock building as companies worry over rising prices and supply difficulties.

This stockpiling was again widely evident in May and makes it hard to take an accurate reading on the underlying health of the manufacturing economy, as growth will cool once this stock build has run its course," Williamson noted.

"The incidence of supply chain delays is the highest since August 2022, with the buying of safety stocks not only adding to the supply squeeze from the closure of the Strait of Hormuz but also pushing prices higher for a wide variety of inputs.

Williamson ends on a more ominous - stagflationary - notes: warning that the resulting steep jump in producer costs sends a worrying signal that broader economy inflation has further to rise in the coming months.

Tyler Durden Mon, 06/01/2026 - 10:08

"Working Better": Saylor Teases BTC Buy After Strategy Sells For First Time Since 2022

Tyler Durden — Mon, 01 Jun 2026 13:50:00 +0000

"Working Better": Saylor Teases BTC Buy After Strategy Sells For First Time Since 2022

Bitcoin is extending its recent weakness overnight (hurt by US-Iran tensions escalating again), trading back below its 100DMA after Strategy (MSTR) sold 32 bitcoin between May 26 and May 31 at an average net price of $77,135 a coin, totaling $2.5 million (disclosed in an 8-K filing on Monday).

Proceeds from the bitcoin sales are expected to be used to fund distributions on preferred stock, the firm said.

This is the first time Strategy has sold bitcoin since December 2022, when the company offloaded 704 BTC, according to onchain analyst Ai Yi.

However, the firm reportedly bought 810 BTC just two days after the sale at a lower price in a tax loss trade.

Strategy now holds a total of 843,706 BTC following the reduction - worth around $61 billion - bought at an average price of $75,699 per bitcoin for a total cost of around $63.9 billion, including fees and expenses.

In addition, for the week, Strategy raised $128.3 million through its at-the-market (ATM) common stock program and allocated a small portion of the proceeds to increase its U.S. dollar cash reserve from $871 million to $900 million.

Anticipated?

The Block.co reports that Strategy's bitcoin sale was anticipated.

Its executives previously said during its first-quarter 2026 earnings call that it may sell some of its holdings to fund dividends for STRC, Strategy's perpetual preferred stock designed to maintain a $100 par value and offer high yields to investors.

Saylor explained then that the sale would eventually help Strategy buy more bitcoin than it would sell to cover STRC's dividends.

He also noted that the firm's current position requires bitcoin to appreciate at 2.3% annually for its existing holdings to cover STRC dividend obligations indefinitely, without selling any common stock.

Today's sale announcement comes shortly after onchain data from Arkham Intelligence showed that Strategy moved roughly 411.6 BTC from its custody account on Coinbase Prime to a cold wallet address on the platform on May 28.

This prompted the odds of Strategy selling bitcoin before the end of 2026 to surge to 84%.

Strategy also noted it has purchased 2.6 times the amount of bitcoin mined in 2026 so far, describing MSTR as a "BitVac."

"Working Better"

But, as CoinTelegraph.com reports, before the 8-K filing was released (but after the actual sales), Strategy chairman Michael Saylor on Sunday signaled the Bitcoin treasury company would be announcing fresh purchases of the cryptocurrency in the coming days.

The social media post comes just days ahead of a proxy vote that depends in large part on retailer shareholders to enable semi-monthly dividend payouts on the company’s STRC perpetual preferred stock.

“Working Better” was Saylor's tweet late Sunday morning to accompany a bubble chart tracking Strategy’s Bitcoin (BTC) purchases over the past nearly six years.

“Working Better” tweet. Source: Michael Saylor

That chart, from Iceland-registered StrategyTracker.com, has been consistently posted by Saylor in the days ahead of news of a purchase by the biggest publicly traded Bitcoin holder.

To be sure, any purchases to be announced will likely reflect the company bought at or below the average cost of previous BTC purchases.

Retail investors pressed to vote on STRC dividend change

Strategy is proposing to pay semi-monthly dividends on STRC, instead of monthly. The company claims that if approved and adopted, it will lead to reduced reinvestment lag, enhanced liquidity, market efficiency and increased price stability.

Just days ahead of the June 7 proxy vote deadline, Saylor and Strategy are pressing retail shareholders to return their proxy votes. On an internal company channel, Strategy’s investor relations team posted a message to all employees concerning the company’s 2026 annual meeting and provided links to the proposals under consideration by shareholders.

Part of message to Strategy employees from internal website. Source: Company filing on Edgar

“The amendment for STRC to pay semi-monthly dividends, needs 50% of all 85M shares outstanding as of April 17, 2026, to pass, which means every single vote counts,” read a May 28 post on Strategy’s verified feed on X.com.

CEO Phong Le posted a video a day earlier thanking STRC shareholders for their trust.

“I wanted to personally walk you through the proposed amendment and what it means for you,” he said as an introduction to the minute-and-a-half video.

Retail investors have shown limited interest in casting proxy votes. A November research note from The Harvard Law School Forum on Corporate Governance revealed data that showed retail investors have consistently voted only about 29% of their owned shares during the past five proxy voting seasons. Institutional holders have voted about 77%.

A Cyclical Bottom?

Bloomberg's Andre de Silva writes that while a steep record daily capital drain in US Bitcoin ETFs exposes immediate fatigue, past precedent suggests that such severe capitulation frequently cleanses short-term positioning and signals a cyclical bottom for the digital asset.

AI infrastructure and semiconductor equities have attracted the most attention, but because Bitcoin typically retains its status as a high-beta proxy for broader risk appetite during macro expansions, this temporary diversion of capital suggests that a classic catch-up rally remains on the table.

The initial euphoria surrounding US Bitcoin ETFs has cooled, giving way to an unprecedented streak of redemptions. Investors pulled $2.96 billion from the funds over 10 consecutive trading sessions to close out May, according ETF providers. That culminated in $2.4 billion in total net outflows for the month. This sharp reversal stands in contrast to the preceding two months of healthy institutional demand, which saw combined inflows of over $3.3 billion across March and April. The late-May selling pressure spared no one, with BlackRock’s usually resilient IBIT hit by a near-record single-day redemption following a massive off-exchange block trade.

This capital flight highlights a stark divergence recently between digital and traditional risk assets.

While global stock benchmarks like the S&P 500, Nasdaq, and Asia’s top indices such as the Kospi scale new heights, Bitcoin has decoupled from the broader market rally.

Even the prospects of supportive regulation have failed to arrest the slide. This includes the Senate Banking Committee recently advancing the landmark Clarity Act to establish a formal crypto market framework, an initiative that Polymarket prices with a 55% chance of being officially signed into law this year. Instead, capital is aggressively migrating toward memory chip and semiconductor companies and, as indicted by David Savage, including Asia, leaving Bitcoin looking sluggish by comparison.

Beneath the surface, this purge of the ETF channel acts as a reliable contrarian indicator.

Historically, when US Bitcoin ETF flows hit these types of extreme negative troughs, they frequently coincided with local market bottoms.

Similar washouts during early 2025 preceded sharp, multi-month recoveries once institutional selling hit exhaustion.

While crypto sentiment has dropped into ‘Fear’ territory according to the Alternative.me Crypto Fear and Greed Index, which is a multi-factor market sentiment tracker, this cleansing of overleveraged or short-term positions might be exactly what the digital asset needs to reset and build a sustainable floor.

Tyler Durden Mon, 06/01/2026 - 09:50

Key Events This Week: Jobs Report, JOLTS, ADP, ISMs And Fed Speakers

Tyler Durden — Mon, 01 Jun 2026 13:41:12 +0000

Key Events This Week: Jobs Report, JOLTS, ADP, ISMs And Fed Speakers

The key event for markets outside of Iran (which is once again front and center following news that Iran is halting all exchange of messages with the US in protest of Israeli crimes in Lebanon) will be Friday’s US May employment report. Economists forecast a notable moderation in payroll growth compared with the relatively strong pace seen earlier in the spring. Headline nonfarm payrolls are expected to rise by around consensus 89k, down from 115k in April, while private payrolls are forecast at roughly 89k after 123k previously. This slowing partly reflects expectations that hiring in sectors that have been particularly strong in recent months – notably transportation and warehousing, as well as retail trade – begins to cool. Unemployment is expected to remain steady at 4.3% (consensus also 4.3%).

Ahead of Friday’s jobs report, the rest of the US labor market data flow should reinforce the Federal Reserve’s growing confidence that labor market conditions are stabilizing. Tomorrow, the April JOLTS report will shed light on the gross hiring and separation flows that underpinned last month’s solid net job gains. On Wednesday, the ADP private payrolls report is forecast to show a gain of around 118k, up from 109k previously, consistent with the strength seen in ADP’s high-frequency indicators. On Thursday, weekly initial jobless claims are expected to remain relatively low, although there is scope for a temporary uptick to around 220k, partly reflecting seasonal distortions associated with the Memorial Day holiday period.

Beyond the labor market, the focus will also be on whether recent resilience in US economic activity is sustained. Today, the May manufacturing ISM survey is forecast to rise to around 53.0 from 52.7 in April, supported by encouraging signals from regional Fed surveys. Later in the week, Thursday’s services ISM is expected to edge higher to roughly 53.9 from 53.6. That said, the backdrop for consumer spending remains mixed. Elevated petrol prices and tariff-related increases in core goods inflation are emerging headwinds, and economists therefore expect tomorrow’s unit motor vehicle sales to remain broadly flat at around 16.0 million annualized.

Alongside the data, Federal Reserve communication will be closely watched. On Wednesday, the Fed will publish its Beige Book, offering anecdotal evidence on economic conditions across districts. Fed speak is scattered through the week but it's mostly from officials who have spoken recently so it shouldn't break new ground.

Outside the US, Europe will see several important inflation releases. Today, the ECB publishes its consumer expectations survey, providing an update on household inflation views. Tomorrow, the Eurozone releases its flash CPI estimate for May, following national releases over recent days and today. Further inflation data are due on Thursday from Switzerland and Sweden, adding to the regional picture ahead of upcoming central bank meetings.

Central bank speakers are also in focus outside of the Fed. ECB President Lagarde is scheduled to speak on Thursday, while Bank of England Governor Bailey appears multiple times through the week, including tomorrow, Thursday and Friday. In Asia, Bank of Japan Governor Ueda is due to speak on Wednesday.

In China we've already had most of the PMIs over the weekend and this morning (see more above) but the private sector services PMI is out on Wednesday. In Japan, Friday brings labour cash earnings data. Our Chief Japan economist expects wage growth to slow to around 2.5% year on year, from 2.8% previously. Elsewhere in the region, Australia releases its Q1 GDP figures on Wednesday.

Finally, the corporate earnings calendar is also busy, with several high-profile releases. In the technology sector, results are due from Broadcom, Palo Alto Networks and CrowdStrike during the week, while consumer-focused names reporting include Inditex, Dollar General and Lululemon Athletica. See the day-by-day calendar at the end as usual for a fuller week ahead preview.

Source: Earnings Whispers

Courtesy of DB, here is a day-by-day calendar of events

Monday June 1

Data: US May ISM index, April construction spending, China RatingDog manufacturing PMI, Japan Q1 Ministry of Finance’s financial statements statistics of corporations, Italy May manufacturing PMI, new car registrations, budget balance, Eurozone April M3, unemployment rate, Canada May manufacturing PMI, Switzerland Q1 GDP
Central banks: ECB’s consumer expectations survey, ECB’s Schnabel speaks, BoC’s Rogers speaks
Earnings: Meituan, HPE

Tuesday June 2

Data: US April JOLTS report, May total vehicle sales, UK April net consumer credit, M4, Japan May monetary base, France April budget balance, Eurozone May CPI
Central banks: Fed's Kashkari and Hammack speak, BoE's Bailey and Greene speak
Earnings: Palo Alto Networks, Dollar General

Wednesday June 3

Data: US May ADP report, ISM services, April factory orders, China RatingDog services PMI, UK May official reserves changes, Italy May services PMI, Eurozone April PPI, Canada Q1 labor productivity, May services PMI, Australia Q1 GDP
Central banks: Fed’s Beige Book, Fed’s Barr and Logan speak, ECB's Elderson and Cipollone speak, BoJ's Ueda speaks
Earnings: Broadcom, Inditex, Crowdstrike, Medtronic
Other: OECD economic outlook

Thursday June 4

Data: US initial jobless claims, UK May new car registrations, construction PMI, Eurozone April retail sales, Switzerland May CPI, Sweden May CPI
Central banks: Fed's Daly speaks, ECB's Lagarde speaks, BoE's Bailey speaks
Earnings: Ciena, Lululemon Athletica

Friday June 5

Data: US May jobs report, April consumer credit, Japan April labor cash earnings, household spending, leading index, coincident index, France April current account balance, trade balance, industrial production, Italy April retail sales, Canada May labour force survey
Central banks: BoE's Bailey and Dhingra speak, BoE’s DMP survey

Looking at just the US, Goldman writes that the key economic data release this week is the employment report on Friday. There are several speaking engagements with Fed officials this week, including events with Governor Barr and Presidents Kashkari, Hammack, Logan, Barkin, and Daly.

Monday, June 1

09:45 AM S&P Global US manufacturing PMI, May final (consensus 55.3, last 55.3)
10:00 AM ISM manufacturing index, May (GS 53.5, consensus 53.0, last 52.7): We estimate that the ISM manufacturing index increased by 0.8pt to 53.5 in May, reflecting convergence to the level implied by regional manufacturing surveys—our manufacturing survey tracker increased by 0.2pt to 54.9 in May.
10:00 AM Construction spending, April (GS +0.3%, consensus +0.3%, last +0.6%)

Tuesday, June 2

01:50 AM Minneapolis Fed President Kashkari (FOMC voter) speaks: Minneapolis Fed President Neel Kashkari will participate in a panel discussion at the 2026 Bank of Korea International Conference. On May 29, President Kashkari—who dissented from the implicit easing bias in the April FOMC’s post-meeting statement along with Presidents Hammack and Logan—said that “it’s premature to conclude we need to be raising rates right away,” adding that “we need to keep watching the data and how the conflict in the Middle East unfolds before I want to make any adjustments.”
08:30 AM Cleveland Fed President Hammack (FOMC voter) speaks: Cleveland Fed President Beth Hammack will speak on monetary policy in a moderated Q&A at the City Club of Cleveland. Speech text and audience Q&A are expected. On May 7, President Hammack said that “the statement we put out [at the April FOMC meeting] is that interest rates were on hold, but we have the signal in there that it’s more likely that the next move will be a move down,” adding that she thought “that was a little bit misleading given my view of where the economy is.” She also noted that in her baseline outlook, “interest rates will be on hold for quite some time.”
10:00 AM JOLTS job openings, April (GS 7,000k, consensus 6,857k, last 6,866k): We estimate that JOLTS job openings edged up to 7.0mn in April based on the signal from online measures of job postings from Indeed and LinkUp.
10:00 AM BLS releases 2025Q4 QCEW data: The Bureau of Labor Statistics will publish the 2025Q4 release of the Quarterly Census of Employment and Wages (QCEW). In the April release for personal income, the Bureau of Economic Analysis noted that downward revisions to compensation through the end of 2025 reflected the incorporation of wage and salary data from the 2025Q4 QCEW, suggesting that the employment numbers from the QCEW are likely to again suggest downward revisions to nonfarm payrolls in the next annual benchmarking.
05:00 PM Lightweight motor vehicle sales, May (GS 16.3mn, consensus 16.0mn, last 15.9mn)

Wednesday, June 3

08:15 AM ADP employment change, May (GS +125k, consensus +118k, last +109k)
09:00 AM Fed Governor Barr speaks: Fed Governor Michael Barr will participate in a moderated discussion at the Community Developers Bankers Association 2026 Peer Forum in Washington, DC. On May 5, Governor Barr said that “the longer [the war in Iran] goes on, the greater the risk that the inflation we are seeing in these prices becomes embedded in the economy, and then we have to worry more.” He also noted that “we are in a situation right now where we really need to wait and see to understand what direction [the conflict] is going.”
09:45 AM S&P Global US services PMI, May final (consensus 50.9, last 50.9)
10:00 AM ISM services index, May (GS 54.0, consensus 53.9, last 53.6): We estimate that the ISM services index edged up to 54.0 in May. Our non-manufacturing survey tracker increased slightly in May but remained below the latest ISM services reading (+0.5pt to 52.8).
10:00 AM Factory orders, April (GS +5.3%, consensus +4.5%, last +1.5%)
02:00 PM Fed releases Beige book, June meeting period: The Fed’s Beige Book is a summary of regional economic anecdotes from the 12 Federal Reserve districts. The Beige Book for the April FOMC meeting period noted that overall economic activity increased at a slight to modest pace in eight of the twelve Federal Reserve Districts, with two Districts reporting little change and two reporting slight to modest declines. In this month’s Beige Book, we will mainly look for anecdotes related to how consumers and firms are responding to the increase in energy prices from the conflict in the Middle East.
04:00 PM Dallas Fed President Logan (FOMC voter) speaks: Dallas Fed President Lorie Logan will participate in a moderated conversation at the University of Texas at El Paso. Moderated Q&A is expected. On May 1, in a statement explaining her dissent from the implicit easing bias in the April FOMC’s post-meeting statement, President Logan said that she was “increasingly concerned about how long it will take inflation to return all the way to the FOMC’s 2% target.” She also noted that “the conflict in the Middle East raises the prospect of prolonged or repeated supply disruptions that could create further inflationary pressures.”

Thursday, June 4

08:30 AM Initial jobless claims, week ended May 30 (GS 220k, consensus 211k, last 215k); Continuing jobless claims, week ended May 23 (consensus 1,778k, last 1,786k)
08:30 AM Nonfarm productivity, Q1 final (GS +0.6%, consensus +0.5%, last +0.8%): Unit labor costs, Q1 final (GS +1.7%, consensus +2.5%, last +2.3%): We estimate that nonfarm productivity growth will be revised down by 0.2pp to +0.6% quarterly annualized in the second release for 2026Q1. Since 2019Q4, labor productivity has grown at an annualized rate of 2.1%, a much stronger pace than the 1.5% average pace in the pre-pandemic cycle. We estimate that unit labor costs—compensation divided by output—will be revised down by 0.6pp to +1.7%.
08:30 AM Richmond Fed President Barkin (FOMC non-voter) speaks: Richmond Fed President Tom Barkin will speak in a fireside chat at the Belmont Country Club in Ashburn, Virginia. Moderated Q&A with audience is expected. On May 21, President Barkin noted that “with inflation above our 2% target for five years now, it’s worth asking whether the cumulative impact of so many waves risks loosening the anchor [for inflation expectations].” He added that he sees policy as “well positioned” to manage risks to both the labor market and inflation.
01:10 PM San Francisco Fed President Daly (FOMC non-voter) speaks: San Francisco Fed President Mary Daly will speak in a conversation at the Bloomberg Technology Summit in San Francisco. Moderated Q&A is expected. On May 29, President Daly said that “there is no urgency to make a [policy] adjustment,” as “policy is in a good place.” She added that “we need to know when the war ends and how oil prices behave afterwards” before considering further policy changes.

Friday, June 5

08:30 AM Nonfarm payroll employment, May (GS +60k, consensus +89k, last +115k); Private payroll employment, May (GS +65k, consensus +89k, last +123k); Average hourly earnings (MoM), May (GS +0.4%, consensus +0.3%, last +0.2%); Unemployment rate, May (GS 4.3%, consensus 4.3%, last 4.3%): We estimate nonfarm payrolls increased 60k in May. On the positive side, layoffs remained low between survey weeks. On the negative side, the big data indicators of job growth we track slowed and we expect a 5k decline in government payrolls—reflecting a 10k decline in federal government payrolls that is partly offset by a 5k increase in state and local government payrolls. We estimate that the unemployment rate was unchanged on a rounded basis at 4.3% in May. On one hand, continuing claims declined further between survey weeks. But on the other hand, the May unemployment rate appears to suffer from modest positive residual seasonality (the unrounded unemployment rate has increased in each of the last three Mays by an average of 0.12pp) and the bar for rounding up to 4.4% is not high from an unrounded 4.34% in April. We estimate average hourly earnings rose 0.4% month-over-month in May, reflecting positive calendar effects.
12:00 PM Fed Governor Barr speaks: Fed Governor Michael Barr will speak on supervision and regulation at the Kogod School of Business in Washington, DC. Speech text and moderated Q&A with audience are expected.

Source: DB, Goldman

Tyler Durden Mon, 06/01/2026 - 09:41