Everything's burning

Hi Global Recap readers,

It’s not just countries that are on fire - the stock market is also burning down.

If you're currently invested in the US stock market, you've likely woken up to significant (paper) losses. Even large-cap stocks like Nvidia were down more than 14% in pre-market trading, after already shedding hundreds of billions of dollars in the days before.

This chaos started in Japan, where the Nikkei 225 index took a nosedive, plunging 13.4% on Monday before closing with a 12.4% loss - the single biggest drop in its history.

A mix of factors likely fueled this decline, including carry trade margin calls, fears of a potential WW3, and recession signs like a rising US unemployment rate.

Whatever the reason, please exercise caution and stay safe out there.

🇮🇶 IRAQ
US Base Attacked

The Middle East is heating up again, and not in a good way.

• At least five US personnel were injured in an attack on a military base in Iraq.

• Meanwhile, Israel is preparing for an imminent retaliation by Iran following the assassination of Hamas leader Ismail Haniyeh and by Hezbollah following the elimination of its senior commander Fuad Shukr.

The Attack

Two Katyusha rockets were fired at the al Asad airbase in western Iraq.

• The rockets fell inside the base, injuring five US personnel.

• One of the wounded Americans was seriously injured.

• The attack might be linked to Iran’s threats to retaliate over recent killings of militant leaders.

Iran’s Stance

On Wednesday, Iran blamed the US for the assassination of Hamas leader Ismail Haniyeh.

• Iran claims the US is responsible due to its support for Israel.

• The US is monitoring Iran’s potential retaliation closely.

High Alert

Israel is on high alert for a major retaliation.

• Senior Hamas and Hezbollah officials were killed last week.

• US officials suggest an attack could be imminent.

• Prime Minister Netanyahu discussed preparations for counterstrikes with his security cabinet.

Diplomatic Efforts

Diplomatic efforts are underway to defuse tensions.

• Secretary of State Antony Blinken discussed the need for de-escalation with the Group of Seven.

• Jordan’s Foreign Minister visited Tehran to deliver a message about the “dangerous escalation.”

Military Movements

The US is not taking any chances.

• It is repositioning military forces closer to Israel.

• Two American destroyers shifted into the Red Sea.

• The USS Theodore Roosevelt also appears to be moving toward Israel.

🇬🇧 UNITED KINGDOM
Riots Rage

England is experiencing a surge of anti-illegal-immigrant violence, with mobs attacking hotels housing asylum seekers, and mosques, and clashing with police.

What’s more frustrating is the lack of coverage of a mob of Muslims creating havoc in the streets while shouting “Allahu Akhbar,” which only adds to the tension.

Knife Attack Sparks Riots

The protests began after a boy named Axel Rudakubana, born in Cardiff to Rwandan parents, committed a horrific knife attack in Southport triggered the violence. He was 17 years old at the time.

• He brutally stabbed and killed three young girls in a dance class.

• Disinformation spread, falsely claiming the suspect was a Muslim asylum seeker.

• Influencers used the incident to stoke anti-immigrant sentiment.

Rotherham Hotel Attack

On Sunday, a mob of 700 rioters attacked a hotel housing asylum seekers in Rotherham.

• Rioters clashed with police, injuring at least 10 officers.

• The mob attempted to set the hotel on fire, causing significant damage.

• Home Secretary Yvette Cooper condemned the violence as “utterly appalling.”

Islamist Violence

Have you seen these clips in mainstream media? Probably not.

There are clips of people dressed in all black, shouting “Allahu Akhbar,” and wreaking havoc in the streets, supposedly in response to the knife attack riots. There are many more, but here are a few.

Frustration

These protests began with online misinformation, but it seems like protesters are now using it to vent frustration over perceived government gaslighting, silencing, and labeling anyone concerned about illegal immigration as “far-right.”

• This perceived favoritism towards Muslims and dismissal of concerns about illegal immigration has only fueled the anger of the protesters.

Government Response

The government is taking steps to address the violence.

• Keir Starmer announced a new national policing unit.

• Criminal behavior orders may be issued to restrict rioters’ movements.

• Over 300 arrests have been made so far.

🇦🇺 AUSTRALIA
Terror Threat Level Raised

Australia has raised its terror threat level from “possible” to “probable,” citing an increase in extremist views and a more than 50% chance of an onshore attack within the next 12 months.

Prime Minister’s Statement

Prime Minister Anthony Albanese announced the raised threat level based on security advice.

• He emphasized there is no imminent threat of an attack.

• The decision follows an increase in Australians embracing diverse extreme ideologies.

• Albanese stressed the need for vigilance.

Security Agency’s Insight

Mike Burgess, head of the Australian Security Intelligence Organisation, highlighted contributing factors.

• Tensions in the Middle East, particularly the Israel-Hamas conflict, have fueled grievances and protests.

• These tensions have undermined social cohesion and elevated intolerance.

Recent Violent Attacks

Australia has experienced several violent attacks recently, some linked to extremism.

• In April, a knife attack on an Assyrian church bishop in Sydney was deemed a terrorist act.

• The bishop had uploaded a sermon last year criticizing Islam.

🇰🇵 NORTH KOREA
Missile Launchers Deployed

North Korea has sent 250 new tactical ballistic missile launchers to its border with South Korea, but experts are skeptical of their effectiveness.

Kim’s Bold Move

North Korean leader Kim Jong Un oversaw the deployment of these missile launchers in a grand ceremony.

• The event featured dozens of green military trucks lined up in neat rows.

• Fireworks lit up the sky as the vehicles rolled past.

• Kim claimed the launchers were built with North Korean technology.

Expert Analysis

However, experts are skeptical about the functionality of the missiles.

• Experts believe North Korea has likely produced a small stockpile of nuclear warheads. However, it remains unproven whether these warheads are small and light enough to be mounted on a missile.

• Joseph Dempsey noted it’s unlikely the missiles were loaded during the ceremony.

• The launchers are associated with the Hwasong-11D, a short-range ballistic missile.

Strategic Implications

This move is part of North Korea’s broader military strategy.

• Kim emphasized the need for confrontation over dialogue.

• He warned the US of dire consequences if it undermines regional security.

• The border between North and South Korea is already heavily militarized.

🇧🇩 BANGLADESH
Violent Protests Force PM Out

Bangladesh’s Prime Minister Sheikh Hasina resigned on Monday and fled the country. This follows recent deadly anti-government protests in Bangladesh, which have resulted in nearly 100 deaths and hundreds of injuries.

Renewed Protests

Renewed anti-government protests have resulted in significant casualties.

• Nearly 100 people were killed and hundreds were injured.

• This follows last month’s protests which resulted in about 150 people killed.

• Protesters set fire to vehicles and government offices.

• Protesters demanded the Prime Minister’s resignation, but the unrest initially erupted over a government jobs quota system. This system reserves a significant portion of civil service jobs for various groups, including family members of the independence war veterans, women, minorities, and people with disabilities.

Government Response

The government has taken drastic measures to control the situation.

• New curfew imposed indefinitely.

• Mobile internet and social media services cut off.

• Over 11,000 people arrested in recent weeks.

• Police even used bullets and tear gas.