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Rishi Sunak Reveals Conservative Manifesto Amid Election Challenges

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Amidst a challenging period for the Conservatives, British Prime Minister Rishi Sunak revealed the Conservative Party’s election manifesto. The manifesto pledges support for first-time homebuyers and additional tax cuts.

This announcement comes as the Conservatives confront the possibility of defeat by the Labour Party in the forthcoming July 4 general election. Sunak’s leadership has also faced criticism during the campaign, adding to the party’s difficulties.

Sunak addressed controversies, including apologizing for departing early from D-Day commemorations and facing accusations of misleading the public regarding Labour’s tax plans. Despite these challenges, he reiterated pledges to reduce National Insurance by 2 pence and revive the national service program, requiring 18-year-olds to engage in community service or military training for a year.

Rishi Sunak
Sunak reveals Conservative manifesto, pledging support for first-time homebuyers and additional tax cuts amid challenges.

Migration reduction and support for first-time property buyers were highlighted in Sunak’s announcements, addressing critical issues like the housing crisis. Economic growth, cost of living, and tax policies have become central themes for both Sunak and Labour leader Keir Starmer in their campaign narratives, with polls favoring Labour to secure its first parliamentary majority in over a decade.

The Conservative manifesto proposes significant tax cuts, projected to reach £17.2 billion annually by 2029-30. However, critics, including the Institute for Fiscal Studies (IFS), question the funding mechanisms, citing uncertain savings and lack of specificity in cost reduction strategies, particularly in welfare spending and tax enforcement.

Reaction to the manifesto has been mixed. While some commend the commitment to addressing issues like retail crime, others express concerns over unresolved matters such as business rates and apprenticeships. Helen Dickinson, Chief Executive of the British Retail Consortium, acknowledges certain positives but criticizes the manifesto’s failure to decisively tackle key challenges, calling for more comprehensive solutions.

Tragic Fire at Bangkok’s Chatuchak Market: Hundreds of Caged Animals Perish, Prompting Calls for Reform

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A devastating fire at Chatuchak Weekend Market in Bangkok, Thailand, resulted in the deaths of hundreds of caged animals early Tuesday morning. The blaze, reportedly caused by an electrical short circuit, rapidly engulfed more than 100 shops in the pet section of the market.

Despite the quick response by authorities who managed to control the fire within an hour, the fire claimed the lives of numerous animals, including puppies, fish, snakes, birds, and rabbits. Fortunately, no human casualties were reported.

Bangkok Governor Chadchart Sittipunt visited the scene following the containment of the fire. He encouraged the public to support the affected shop owners by offering temporary homes for the surviving animals.

Throughout the morning, officials were seen examining the burnt shops and rescuing animals that had survived the ordeal. The authorities are currently assessing the financial impact of the fire and have advised affected shop owners to register for compensation.

Devastating Fire at Bangkok's Chatuchak Market Kills Hundreds of Caged Animals
Devastating Fire at Bangkok’s Chatuchak Market Kills Hundreds of Caged Animals.

Chatuchak Weekend Market is a significant tourist attraction, drawing almost 200,000 visitors every weekend who come to explore its diverse array of goods, including food, clothing, furniture, plants, books, and pets.

However, the market has long been under scrutiny for allegations of wildlife trafficking. In 2013, Thai police discovered numerous protected animals, including 14 white lions imported from Africa, linked to an exotic pet shop owner at the market.

In response to the fire, People for the Ethical Treatment of Animals (PETA) emphasized the need for urgent reforms. PETA’s senior vice president, Jason Baker, condemned the use of animals for entertainment and called on the Thai government to prevent the market from reopening under its current conditions. The organization highlighted the suffering of captive animals and advocated for their protection.

The Wildlife Friends Foundation in Thailand echoed these sentiments, criticizing the market as a disgrace to Bangkok. The foundation’s director, Edwin Wiek, condemned the illegal smuggling and mistreatment of animals, pointing out the ethical, health, and safety concerns associated with such practices. The incident has intensified calls for stricter regulations and better enforcement to prevent further cruelty and ensure animal welfare.

Benny Gantz Resigns from Netanyahu’s Government Over Gaza Strategy Dispute

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Benny Gantz resigned from Benjamin Netanyahu’s government, citing Netanyahu’s hindrance in achieving victory in Gaza. Gantz emphasized the need for a genuine strategy. Despite Netanyahu’s plea for unity, Gantz proceeded with his decision. This leaves the war cabinet with limited representation, raising concerns about decision-making diversity in the conflict.

Gantz, viewed as Netanyahu’s primary political rival, asserted his resignation eight months after the Hamas attacks on October 7, expressing dissatisfaction with the current state of affairs both in the country and within the decision-making processes.

He accused Netanyahu of prioritizing personal political gains over devising a comprehensive post-war plan for Gaza, urging him to call for elections in the near future.

This decision from Gantz fulfills an ultimatum he issued to Netanyahu, demanding a new strategy for the conflict with Hamas by June 8.

Initially expected to resign on Saturday, Gantz postponed the announcement following the successful rescue operation conducted by Israeli forces, which saw the liberation of four hostages but led to significant casualties in Gaza.

Benny Gantz and Netanyahu
Gantz quit because Netanyahu’s plan for Gaza wasn’t working well.

Despite Netanyahu’s plea for Gantz to remain in the emergency government, emphasizing the need for unity, Gantz proceeded with his resignation. Netanyahu urged Gantz to reconsider, stressing the importance of collective efforts in achieving victory in the conflict and ensuring the safety of Israeli citizens.

While Gantz’s departure does not immediately jeopardize Netanyahu’s government, as it still retains a majority in the Knesset, it leaves the war cabinet with only Likud representation. This raises concerns about the diversity of perspectives within the decision-making body, particularly regarding crucial matters related to the conflict with Hamas.

Gantz’s decision to resign comes amidst mounting pressure on Netanyahu from both international allies and families of hostages in Gaza to end the conflict. Despite the prolonged duration of the war, Israel has yet to accomplish its objectives, with key Hamas leaders still at large and a significant number of hostages remaining in captivity.

Haiti’s New PM Garry Conille Discharged from Hospital, Vows to Tackle Security Crisis and Improve Healthcare

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Haiti’s new Prime Minister, Garry Conille, left the hospital after a quick visit for a health problem. In a video on YouTube, he said he’s ready to lead during the country’s security crisis and wants to make healthcare easier to get.

Arriving in Haiti on June 1st, Conille faces the challenging task of tackling widespread gang violence and alleviating deep-rooted poverty, with inflation hitting a record high of 29%. Gangs controlling a significant portion of Port-au-Prince have displaced hundreds of thousands of people in recent years and impeded critical goods transportation.

Conille’s predecessor, Ariel Henry, resigned in April amid escalating gang attacks that targeted police stations, prisons, and even the nation’s main airport during his official trip to Kenya. The Haitian government now awaits the deployment of a UN-backed police force from Kenya and other nations to combat the escalating violence.

Garry Conille
Conille leaves the hospital and pledges to tackle Haiti’s security and healthcare issues.

Reports suggest Conille, who previously served as UNICEF’s regional director for Latin America and the Caribbean, is asthmatic and experienced breathing difficulties prompting his hospitalization. However, he appears optimistic in the released video, expressing determination to form a government swiftly to address the ongoing crisis.

Conille is confronted with a complex array of security challenges, economic instability, and healthcare accessibility issues. His dedication to promptly forming a functional government underscores the urgent nature of the situation and the imperative for decisive action to stabilize Haiti amidst its multifaceted crises.

British TV Host Michael Mosley Missing, Body Found in Greece

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British TV presenter Michael Mosley, known for his health advice, went missing after taking a solo walk on the Greek island of Symi. His wife, Dr. Claire Bailey, expressed devastation over losing her husband, describing him as wonderful, funny, kind, and brilliant. Efforts to recover his body for identification and a post-mortem examination are underway, involving multiple authorities and volunteers.

Despite extensive search operations involving the police, fire brigade, coast guard, and volunteers, Mosley’s whereabouts remained unknown until a body was discovered.

The focus of the search was concentrated around the Pedi area of the island, where a witness reported seeing him. The location where the body was found is near this area, suggesting a tragic end to his disappearance.

Michael Mosley
Michael Mosley is missing after the walk-in Symi.

Dr. Bailey explained that her husband likely veered off course during a climb, leading to his collapse in a location not easily visible to search teams.

Mosley, a well-known figure in British television for his documentaries and appearances on various shows, notably promoted intermittent fasting diets like the 5:2 diet and authored books on rapid weight loss through time-restricted eating.

Beyond his television work, Mosley engaged in documentary series delving into scientific subjects and willingly exposed himself to parasite infestation for research. Collaborating often, he and his wife hosted theater tours and participated in literary gatherings like the Hay Festival. The announcement of his passing has evoked condolences from both his admirers and official sources.

Representatives from the UK’s Foreign, Commonwealth, and Development Office have affirmed their assistance for Mosley’s relatives and are coordinating with Greek authorities to ascertain the details surrounding his demise.

The passing of Michael Mosley has created a noticeable absence within British media and health advocacy, as accolades continue to pour in recognizing his significant contributions and enduring influence throughout his professional journey.

UN Halts Gaza Aid from US Pier Due to Safety Concerns After Conflict

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The U.N. World Food Program has temporarily halted its humanitarian aid distribution from an American-built pier in Gaza due to safety concerns following a deadly day of conflict.

This decision came after an Israeli military operation that resulted in casualties on both sides, as well as damage to two WFP warehouses in Gaza and injuries to a staff member. The pause marks a setback for the U.S. sea route initiative aimed at delivering aid to Gaza’s vulnerable population.

The U.S. Agency for International Development (USAID) announced the pause to facilitate a security review by the humanitarian community in Gaza. The pier, operational for a brief period after its completion in mid-May, had just resumed operations on Saturday, bringing in substantial aid before the pause was announced.

However, details regarding the duration of the pause and its implications remain unclear, as WFP spokespeople have not provided further information.

UN Halts Gaza Aid from US Pier Due to Safety Concerns After Conflict
UN halts aid distribution from US-built Gaza pier over safety concerns after deadly conflict.

Cindy McCain, representing the WFP, expressed concerns about the safety of personnel and the need to reassess the situation before resuming operations. She highlighted the rocketing of WFP warehouses and emphasized the importance of ensuring the safety of aid workers and facilities.

USAID echoed these sentiments, stating its commitment to working with humanitarian partners to resume aid movements safely and effectively following the security review.

The establishment of the U.S. pier was part of President Joe Biden’s initiative to address the humanitarian crisis in Gaza, exacerbated by Israeli restrictions on land crossings and ongoing conflict.

Despite the pier’s return to operation coinciding with an Israeli military assault that rescued hostages from Hamas, USAID clarified that the pier was not involved in the operation. Maintaining the independence of humanitarian efforts from military missions is a core principle to safeguard aid operations and personnel in conflict zones.

The events highlight the pressing requirement for a ceasefire to enable the continuous delivery of aid to Gaza’s inhabitants. McCain stressed the importance of ending the conflict to guarantee the substantial flow of aid from multiple organizations.

The humanitarian sector remains committed to lessening the crisis’s effects on civilians and offering crucial support, all while addressing the intricate challenges posed by conflict dynamics and security issues.

Nium Raises $50 Million, Targets IPO in 18 Months Despite Valuation Dip

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Nium, a financial technology startup, has secured $50 million in new funding and is eyeing an initial public offering (IPO) within the next 18 months.

Led by an undisclosed Southeast Asian sovereign wealth fund, the funding round included support from venture capital firms BOND, NewView Capital, and Tribe Capital, valuing Nium at $1.4 billion—a 30% discount from its previous valuation of $2 billion in 2022.

Prajit Nanu, Nium’s CEO, indicated that the fresh capital would be used to pursue mergers and acquisitions, particularly targeting other growth-stage payment firms.

CEO Prajit Nanu optimistic about Nium’s growth, remains unfazed by public market challenges.

Despite the lower valuation, Nanu remains confident in Nium’s growth trajectory and is optimistic about going public in the third or fourth quarter of 2025.

He emphasized that the IPO valuation is not a primary concern, citing examples such as Stripe, which saw fluctuations in its valuation before going public.

Nanu also mentioned that Nium is currently not interested in acquiring companies in the cryptocurrency space, citing a lack of significant merchant demand for crypto payments.

He noted that Nium operates as a layer on top of many banks worldwide and views crypto infrastructure as still in its early stages.

This decision comes despite the recent surge in cryptocurrency prices, including bitcoin, which has seen a 150% increase in the last 12 months following the approval of spot bitcoin exchange-traded funds in the U.S.

Bay Area Luxury Home Market Soars Amid Tech Boom and Wealth Influx

Luxury home sales in the Bay Area jumped by two-thirds in April compared to last year. This increase is due to a rising stock market and investment in AI companies.

According to Compass Chief Market Analyst Patrick Carlisle, there’s a lot of wealth in the Bay Area, which is home to many billionaires and people with at least $100 million to invest.

This influx of wealthy buyers led to about 450 sales of over $3 million and over 100 sales of homes priced above $5 million, marking a 66 percent rise in both categories from the previous year.

Santa Clara County Tops Luxury Sales Charts

Santa Clara County, home to tech companies like Apple and Google, leads in luxury home sales, especially in the $3 million to $5 million range, with 590 deals from January 1 to May 15.

Luxury home sales in the Bay Area jumped by two-thirds in April compared to last year.
Santa Clara County leads in high-end sales, with 590 deals in the $3-$5 million range.

The county also leads in the $5 million to $10 million category with 113 sales.

San Mateo County, which includes areas like Atherton, Woodside, and Hillsborough, leads the $10 million-plus market with 21 sales. San Francisco, while behind Santa Clara and San Mateo, still saw 200 deals over $3 million, including 40 for condos and co-ops.

Trends in Buyer Activity and Market Behavior

The increase in luxury home sales is due to a strong tech-focused Nasdaq and growing trust in AI technologies, impacting wealthy households more than changing interest rates.

With buyers returning, more sellers are listing homes, resulting in over 200 homes priced above $5 million being listed in April, the highest in three years.

Increased AI investments and stock market gains drive affluent buyers to the Bay Area’s luxury real estate.

However, expensive homes still stay on the market longer and are less likely to sell above the asking price compared to lower-priced homes, due to fewer buyers and varying opinions on luxury features.

Impacts on the Broader Real Estate Market

The surge in Bay Area luxury home sales reflects broader trends in the real estate market, especially in wealthy and tech-centric regions.

The rise in high-end real estate highlights the ongoing demand for luxury properties, fueled by tech company success and stock market gains. This trend is also seen in other affluent areas, showing the strength and appeal of luxury real estate as an investment.

Pfizer’s Drive for Efficiency and Growth Amid Industry Shifts

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In New York City, Pfizer’s headquarters represents innovation and resilience. Facing changes in the pharmaceutical industry, Pfizer has announced a plan to save $1.5 billion by 2027 to recover from falling Covid-related revenues.

This new plan builds on last year’s $4 billion cost-reduction initiative. As demand for its COVID-19 vaccine and Paxlovid has dropped, Pfizer plans further cuts focused on making its operations more efficient. These cuts will include a $1.7 billion expense for severance costs due to layoffs.

Revamping Operations and Stock Performance

Pfizer is also enhancing its product range and adjusting its manufacturing and supply chains to be more agile. These changes are necessary to stay competitive.

Pfizer’s shares fell nearly 50% in 2023
Strategic portfolio enhancements and manufacturing adjustments drive Pfizer’s competitive edge.

A Pfizer spokesperson said the program aims to streamline operations, reduce complexity, and increase productivity. The company acknowledges that manufacturing adjustments will take careful planning and time.

Restoring Investor Confidence

Pfizer’s shares fell nearly 50% in 2023, losing over $100 billion in market value. However, better-than-expected first-quarter financial results have improved investor confidence.

Moving away from its reliance on Covid-related products, Pfizer is focusing on financial prudence and diversifying its portfolio. Despite some challenges, Pfizer aims to regain its footing and continue its legacy of innovation.

This realignment, with significant cost cuts and operational streamlining, shows Pfizer’s proactive approach to the pharmaceutical industry’s challenges. The company is focused on sustainability and growth to stay at the forefront of healthcare innovation.

French Officials Reportedly Raise Questions About Noem’s Claim of Macron Meeting Cancellation

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South Dakota Governor Kristi Noem’s new book hit a roadblock after a French official questioned her story about canceling a meeting with President Emmanuel Macron. Noem said she canceled the meeting because she felt Macron made anti-Israel comments. However, Macron’s office stated there was no record of such a meeting being scheduled or an invitation extended to Noem.

Noem’s spokesperson explained that she was in Paris for a political conference and was invited to Macron’s private box for the Armistice Day parade.

This controversy adds to other mistakes in the book, including a story about meeting North Korean leader Kim Jong Un, which has no record, and another tale about former U.N. Ambassador Nikki Haley. These stories were removed from the book after criticism.

French Officials Reportedly Raise Questions About Noem's Claim of Macron Meeting Cancellation
South Dakota Governor Kristi Noem

The book, titled “No Going Back: The Truth on What’s Wrong with Politics and How We Move America Forward,” also faced scrutiny over a story about Noem killing her hunting dog. Noem defended her decision, saying it was for safety reasons.

This controversy comes as Noem is reportedly a potential running mate for former President Trump. The backlash led to Noem cutting short her media tour, and some speculate it may have harmed her chances of being on Trump’s ticket.

US Report on Israel’s War Conduct Falls Short, Says Democratic Senator

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Former New York City Mayor Rudy Giuliani’s (R) radio show on WABC Radio has been canceled, and he was suspended by the station over claims he made about the 2020 election, according to a report from The New York Times.

“We’re not going to talk about fallacies of the November 2020 election,” WABC Radio owner and host John Catsimatidis said, according to the Times. “We warned him once. We warned him twice. And I get a text from him last night, and I get a text from him this morning that he refuses not to talk about it.”

“So,” Catsimatidis added, “he left me no option. I suspended him.”

In a thread of his own posts on the social platform X Friday, Giuliani said that Catsimatidis and WABC “fired me for refusing to comply with their overly broad directive stating I’m, ‘prohibited from engaging in conversations relating to the 2020 Presidential Election.’”

US Report on Israel's War Conduct Falls Short, Says Democratic Senator
Former New York City Mayor Rudy Giuliani’s (R) radio show on WABC Radio has been canceled

“This directive is a clear violation of free speech,” Giuliani said in his thread. “WABC’s decision comes at a very suspicious time, just months before the 2024 election, and just as John (@JCats2013) and WABC continue to be pressured by Dominion Voting Systems and the Biden regime’s lawyers.”

Giuliani has been a common spreader of false claims about fraud in the 2020 presidential election, for which he has faced financial consequences. He filed for bankruptcy at the end of last year shortly after a jury ordered him to pay $148 million to former Georgia election workers that he inaccurately alleged had committed fraud in the 2020 election.

In a filing earlier this week, lawyers for the former New York City mayor said that he is struggling with finding someone to assist in accounting duties for his bankruptcy case. He has contacted “a number of accounting firms” for help, however, “no one seems interested in taking the assignment.”

Survey Finds Decline in Expectations for Trump Conviction in Hush Money Trial

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A new survey by YouGov/Economist released Thursday shows that fewer Americans think former President Trump will be convicted in his New York hush money trial.

Compared to a similar poll last month, there’s a decrease in belief from both Democrats and Republicans. In late April, 39 percent of Democrats thought Trump would be convicted; now, it’s 34 percent. Among independents, it dropped from 21 percent to 17 percent, and among GOP voters, it decreased from 17 percent to 14 percent.

Overall, only 22 percent of Americans think Trump will be convicted in the Manhattan case. Trump faces 34 felony counts for falsifying business records related to payments made to his former lawyer, Michael Cohen, who paid $130,000 to Stormy Daniels, a porn actress, to keep quiet about an alleged affair she claimed to have had with the former president in 2006.

Survey Finds Decline in Expectations for Trump Conviction in Hush Money Trial
Former President Trump

In a similar survey released in mid-April, 24 percent of Americans believed Trump would be convicted, while 36 percent said he wouldn’t.

The seriousness of the case has also seen slight shifts since late April. About 90 percent of Democrats see the case as “very” or “somewhat” serious, which is up by 5 points. The increase among independents and GOP voters was small. Now, 50 percent of independents view the case as serious, up 3 percentage points from late April. Among Republicans, it increased from 23 percent to 25 percent.

The survey was conducted from May 5-7 among 1,813 U.S. adults, with a margin of error of 3 percent.

Controversial Election Claims Lead to Giuliani’s Radio Show Cancellation

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Rudy Giuliani, the former Mayor of New York City, had a radio show on WABC Radio. But now, it’s been canceled because of things he said about the 2020 election, according to The New York Times.

John Catsimatidis, who owns WABC Radio, said, “We’re not going to talk about fallacies of the November 2020 election. We warned him once. We warned him twice. And I get a text from him last night, and I got a text from him this morning that he refuses not to talk about it.”

“So,” Catsimatidis added, “he left me no option. I suspended him.”

On the social platform X, Giuliani said that WABC “fired me for refusing to comply with their overly broad directive stating I’m, ‘prohibited from engaging in conversations relating to the 2020 Presidential Election.’”

Controversial Election Claims Lead to Giuliani's Radio Show Cancellation
Rudy Giuliani, the former Mayor of New York City

“This directive is a clear violation of free speech,” Giuliani said. “WABC’s decision comes at a very suspicious time, just months before the 2024 election, and just as John (@JCats2013) and WABC continue to be pressured by Dominion Voting Systems and the Biden regime’s lawyers.”

Giuliani has spread false claims about fraud in the 2020 presidential election. He had to pay $148 million to former Georgia election workers after falsely accusing them of fraud. This led him to file for bankruptcy at the end of last year.

Giuliani’s lawyers recently said that he’s having trouble finding someone to help with his bankruptcy case. He reached out to several accounting firms, but none of them wanted to help.

Consistency Key to Restoring Trust in Judicial System, Says Kavanaugh

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Supreme Court Justice Brett Kavanaugh talked about trust in the U.S. judicial system during a judicial conference on Friday, according to The Washington Post.

Kavanaugh said, “Individual decisions don’t have to be popular. … The losing party has to respect the decision.”

He added, “Consistency builds respect. It’s showing up every day in the courtroom and trying to be respectful to the parties, to write your opinion in a way that’s clear and understandable, to get out when you’re speaking and try to explain, to the bar, the judicial process, to try to be transparent and to be impartial as a judge.”

According to a CNN poll from February, most Americans don’t trust the Supreme Court to make the “right decisions” regarding legal cases related to the 2024 election.

Consistency Key to Restoring Trust in Judicial System, Says Kavanaugh
Supreme Court Justice Brett Kavanaugh

Fifty-eight percent of the respondents said they didn’t trust the court much or at all on this issue. Eleven percent said they trusted the court “a great deal,” and 35 percent said they trusted it “a moderate amount.”

Kavanaugh also mentioned unpopular decisions made by previous Supreme Court versions, saying, “and a lot of them are landmarks now that we accept as parts of the fabric of America, and the fabric of American constitutional law,” according to The Associated Press.

He also said that federal judges “stay as far away from politics as possible.”

“It’s an everyday thing. I don’t think it’s a ‘flip the switch.’ It’s showing up every day in the courtroom and trying to be respectful of the parties in a way that is clear and understandable,” Kavanaugh continued.

Netanyahu Opens Up About Israel’s Missteps in Dr. Phil Conversation

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Israeli Prime Minister Benjamin Netanyahu spoke in an interview with “Dr. Phil” McGraw on Thursday. He admitted that there were “failures” by Israel on October 7 when Hamas attacked Israel.

Netanyahu said, “There were failures, obviously. First of all, government. The government’s first responsibility is to protect the people. That’s the ultimate enveloping responsibility. And the people weren’t protected. We have to admit that.”

The attack on October 7 resulted in nearly 1,200 deaths, and Israel’s ongoing war in Gaza since then has led to more than 34,000 Palestinian deaths.

Netanyahu also mentioned the need for a “thorough explanation” of what happened in Israel in October 2023. He said, “I think we’re gonna have to have a thorough examination, once the war ends, of exactly what happened, how it happened, and who… you know, who made it happen?”

Netanyahu Opens Up About Israel's Missteps in Dr. Phil Conversation
Israeli Prime Minister Benjamin Netanyahu

This interview with Netanyahu came after President Biden warned that he would stop providing offensive weapons like bombs and artillery shells to Israel if its forces invaded Rafah.

Biden stated, “Civilians have been killed in Gaza as a consequence of those bombs and other ways in which they go after population centers.” He added, “I made it clear that if they go into Rafah — they haven’t gone in Rafah yet — if they go into Rafah, I’m not supplying the weapons that have been used historically to deal with Rafah, to deal with the cities — that deal with that problem.”

Decline in Mortgage Loans to Low-Income Americans Highlights Housing Market Shift

Recent data from Redfin shows that fewer low-income Americans got mortgage loans last year compared to 2020. The U.S. Federal Reserve raised interest rates a lot, making it harder for people to buy homes.

The usual 30-year mortgage rates went up over 7%. People who already own homes are sticking to their low rates from the pandemic time, which makes fewer homes available for sale and pushes prices up.

Because of this, the percentage of new mortgages going to low-income Americans dropped from 23.2% in 2020 to 20.6% last year, going back to how things were in 2018.

Is This Like the 1970s Housing Market?

The current housing market reminds some people of the 1970s. Back then, there was high inflation and a big drop in stock prices. But today’s market is different because jobs are growing and the economy is strong.

Mortgage Loans to Low-Income Americans Highlights Housing Market Shift
Homeownership dreams dashed as pandemic-era low rates maintained by existing homeowners.

The big problem now is that there aren’t enough homes for sale. This was a problem even before the pandemic, but the pandemic made it worse.

Even though more new homes are being built, there still aren’t enough, mainly because people don’t want to give up their low interest rates and because there haven’t been enough smaller, cheaper homes built over the years.

The Struggle for Low-Income Homebuyers

It’s harder than ever for low-income Americans to buy homes. The progress they made during the pandemic is gone. Homes cost a lot more now, and mortgage rates are higher, so it’s tough for low-income people to buy them.

Also, home prices have gone up much faster than wages, so it’s even harder for people with low incomes to afford homes.

The housing market reshaped as low-income mortgage share dropped, returning to 2018 levels.

It’s kind of ironic because the strong economy should help everyone, but it’s making it harder for less wealthy people to own homes, which makes the gap between rich and poor even bigger.

Looking Closer at Different Areas

The impact of these changes isn’t the same everywhere. Low-income people have better chances of buying homes in places like the Midwest and some parts of the East Coast, where homes are more affordable.

Cities like Minneapolis and Detroit have more low-income people getting mortgages, but in places like Anaheim and Los Angeles in California, fewer low-income people are getting them.

This shows that where you live in the U.S. makes a big difference in whether you can buy a home or not.

Biden’s Labor Chief Faces Subpoena from House Panel on Return-to-Work Plan

The House Education and Workforce Committee has ordered acting Secretary of Labor Julie Su to hand over documents about the department’s plan for people to return to work.

Committee Chair Virginia Foxx said, “Under Acting Secretary Su, the Department of Labor has not been cooperating with our requests. They give vague answers and don’t provide what we ask for.”

This comes after Foxx warned Su during a committee meeting last week.

Foxx wrote to Su on March 6 asking for the department’s plan for people to return to the office. She wanted it by March 20, but she says Su didn’t give enough information. Foxx said if more information wasn’t given by May 6, she would force Su to give it by using a legal order called a subpoena.

Su did give some information on April 18, but Foxx said it wasn’t enough.

Biden's Labor Chief Faces Subpoena from House Panel on Return-to-Work Plan
Acting Secretary of Labor Julie Su

Foxx referred to a report from the Government Accountability Office that found the Department of Labor and five other government agencies only used about 23% of their office space. Foxx said this was not good, especially after guidance from the Office of Management and Budget in April 2023 said federal workers should go back to the office full-time.

Foxx said knowing how many people are in the office is important for making sure the Department of Labor is doing its job properly. She also said if workers don’t go back to the office, it could waste taxpayer money.

Media asked the Department of Labor for more comments but didn’t get a response.

Julie Su was picked by President Biden to replace former Labor Secretary Marty Walsh last March. But she faced problems getting approved by the Senate, especially from Republicans. Although she was nominated again in January, the Senate hasn’t voted on it yet.

Trump Ready to Face Jail Time for Breaking Gag Order

Former President Trump said he might go to jail because he keeps breaking a rule made by a judge in New York.

The judge told him to be quiet or face jail time. Trump spoke to reporters after his trial about this rule. He said the Constitution is more important than going to jail. He thinks it’s a big sacrifice.

Trump thinks what’s happening is unfair. He wants higher courts to look into it.

The judge, Juan Merchan, said Trump broke the rule for the 10th time. He told Trump to pay $1,000 for saying bad things about the people involved in his trial. Merchan warned Trump that if he keeps breaking the rule, he might end up in jail.

Trump Ready to Face Jail Time for Breaking Gag Order
Former President Trump (Credits: Getty Images)

Merchan told Trump he doesn’t want to send him to jail, but he has to follow the rules. He said Trump’s actions are like attacking the law itself.

The rule Trump broke stops him from insulting people like witnesses, jurors, and court workers. But he can still criticize the judge or the Manhattan District Attorney.

Trump doesn’t like this rule. He thinks it goes against his right to speak freely, especially since he’s running for president again.

Concerns Arise Over River Ring Project Viability Amid 485x Tax Uncertainty

In a big change for real estate plans in New York, Two Trees Management is worried about its River Ring project in Williamsburg.

This project got started with the help of a tax break called 421a, but now that it’s over, a new program called 485x is causing problems.

The main issue is that 485x has strict rules about wages and affordable housing that make parts of the project too expensive, according to Two Trees spokesperson David Lombino. Also, borrowing money is more expensive now than when they first planned the River Ring project.

The 485x Challenge

The new 485x program has changed the game for building apartments in New York, especially for big projects like the River Ring.

485x requires higher wages and more affordable housing, making River Ring financially difficult.

Under 485x, projects in the area where River Ring is located have to set aside 25% of the apartments for people who earn less money, with a cap on how much they can make.

This is different from the old 421a, which allowed for more flexibility in who could live there and how much they could earn.

Also, the wages that construction workers have to be paid under 485x are much higher than before, making it harder for River Ring’s second tower to meet the new rules since it doesn’t qualify for the old tax break.

The Ripple Effect

The River Ring project isn’t the only worry for Two Trees; they’re also working on fixing up the Domino Sugar refinery. One part of the Domino project is almost done, and they’re planning another tower with lots of apartments.

The Domino Sugar Refinery project was also affected, raising concerns about meeting the 421a deadline.

The first part of the Domino project got the old 421a tax break, showing how developers have to be smart to deal with changes in New York’s real estate rules.

However because the Domino project is taking longer, Two Trees might not be able to finish River Ring by the deadline in 2031, which makes things even more complicated for them financially.

A Bit of Hope Despite Challenges

Even though 485x and high interest rates are making things tough, there’s still some hope for the River Ring project.

Lombino says that if interest rates change or it becomes easier to get money for building from scratch, the project could still happen.

This feeling is shared by other developers in New York who are trying to figure out how to deal with the new tax break rules and thinking about different ways to lower risks, like selling land to someone else.

New York Fed Forecasts 5.1% Rise in Home Prices, 9.7% Increase in Rent

The latest Survey of Consumer Expectations from the New York Federal Reserve has shown that Americans are worried about housing costs going up soon. The report, which asked people in February about their thoughts, says that they expect home prices to increase by 5.1% in a year.

This is a big jump from the 2.6% increase predicted a year ago. Also, the survey says that rental costs are expected to go up by 9.7% in a year, which is the second-highest prediction ever in the survey’s history. This means it might be tough for people who want to buy a home or rent a place soon.

Looking further ahead, people expect home prices to go up by 2.7% in five years, which is not as much. But they’re worried about mortgage rates going up.

Future homebuyers face high costs, rising rates, limited supply; and complex housing market challenges ahead.

They think the average mortgage rate will be 8.7% in a year and 9.7% in three years, which would be the highest ever. This could make it hard for people to buy homes, making them less affordable and harder to get.

The effects of high mortgage rates reach beyond just people’s ability to afford homes. A report by Redfin says that fewer low-income Americans took out mortgage loans last year because of the high interest rates.

This makes it even harder for people to buy homes. Also, some homeowners are keeping their low-rate mortgages from the pandemic time, which means there are fewer homes for sale. This keeps prices high even though interest rates are going up.

Long-term: 2.7% home price rise expected; mortgage rates predicted at record 8.7%.

So, the situation for future homebuyers is complicated. They have to deal with higher housing costs, rising mortgage rates, and fewer homes for sale.

The survey from the New York Fed, along with reports from Redfin and the Federal Housing Finance Agency, shows that buying a home will be tricky in the coming years.

People, banks, and policymakers need to think carefully about how to deal with these challenges in the housing market, which is being affected by bigger economic changes.