The Situation · Edition 19

Sunday, 19 July 2026

The war between the United States and Iran has entered its eighth night and remains the dominant story of the day. After two US soldiers were killed in an Iranian attack in Jordan, Washington launched fresh retaliatory strikes against southern Iran, while Tehran shelled US-linked targets in Kuwait and, for the first time in months, struck Saudi Arabia again. The number of American dead rose to 16. Western, Iranian and Chinese sources paint the same picture of escalation but read it in opposite ways: for Washington it is punishment, for Tehran self-defence, while the ceasefire agreed in June is effectively dead and buried.

Elsewhere too, the situation is worsening. Russia struck Kiev with ballistic missiles, a day after Ukrainian drones fatally hit logistics warehouses belonging to the Russian online retailer Wildberries. In Kiev, Zelensky is weighing the removal of his army chief following protests. In Gaza, Israeli strikes once again killed civilians. Hungary's President Sulyok, under pressure from head of government Magyar, sealed the end of his own term, a turning point in the dismantling of the Orban era. In Germany, parliamentary group leader Spahn of the CDU/CSU stepped down over a surrogacy debate, while the AfD launched its campaign in Saxony-Anhalt with visible confidence. Britain's new prime minister, Burnham, scrapped a controversial digital ID scheme.

Economically, the war is drawing closer to the markets: the blow against Wildberries lays bare how tightly civilian commerce and armament are interwoven in Russia. The EU will in future bar large fashion companies from destroying unsold clothing. And South Korea's AI-heavy stock market is now setting the pace for the world's exchanges, even as Seoul opens the won to foreign investors.

In technology, the struggle over artificial intelligence is intensifying. In Shanghai, China's world conference showcased humanoid robots as a symbol of catching up, while on the markets doubts about the AI boom pushed Apple back ahead of Nvidia. Finally, a revelation about a CIA agent shows just how closely intelligence services, chips and the Gulf states' AI rise are entangled.

Russia Ukraine War AI Boom Middle East Chip export controls Hormuz-Iran Crisis

Top story of the day

Eighth night of the US-Iran war: fresh retaliatory strikes after two US soldiers killed

Hormuz-Iran Crisis Middle East Oil Market

After two American soldiers were killed in an Iranian attack in Jordan, the US carried out fresh air strikes on southern Iran for the eighth night running. Tehran shelled US-linked targets in Kuwait and, according to the FT, struck Saudi Arabia again for the first time in months. The number of US soldiers killed rose to 16.+ more perspectives

Overnight into Sunday, US forces continued their strikes on Iranian targets, damaging a tunnel and three bridges in Hormozgan province according to the governor's office and hitting drinking-water facilities in the south. The trigger for the latest escalation was the death of two US soldiers in an Iranian missile and drone attack on Jordan, with a third soldier reported missing. President Trump announced retaliation, and US Central Command reported that another round of strikes had been completed. Western outlets such as the Sueddeutsche Zeitung and the New York Times stress the growing fear of the war widening and Trump's baffled search for a strategy. Iranian and Chinese state media emphasise that Tehran is deliberately striking US military bases in Kuwait and adapting to American air defences, while the Serbian paper Politika reports on an alleged order from Trump for CENTCOM to open the „gates of hell“. Turkey's Daily Sabah foregrounds the civilian toll, reporting that the US strikes have left at least 10,000 people in southern Iran without drinking water. The camps agree that the ceasefire agreed in June is effectively dead and that neither side has so far backed down.

Süddeutsche ZeitungNew York TimesFinancial TimesDaily SabahPolitika

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Geopolitics · 9

Massive Russian missile attack on Kiev, a day after a Ukrainian strike inside Russia

Russia has again attacked Kiev with ballistic missiles; at least one person was killed, several were injured and fires broke out. The attack came a day after deadly Ukrainian drone strikes on Russian logistics depots. Since June, Russia has increasingly hit the capital with missiles that are hard to intercept.

Russia Ukraine War

Le MondeHandelsblatt

Zelensky weighs removing army chief Syrsky after protests

After the dismissal of popular defence minister Fedorov and days of street protests, President Zelensky is weighing the removal of commander-in-chief Syrsky, according to the FT and Meduza. Zelensky announced decisions on the army's leadership and is meeting commanders. The government crisis is also alarming the EU.

Russia Ukraine War

Frankfurter Allgemeine ZeitungMeduza

Civilian casualties in Israeli air strikes on the Gaza Strip

Israeli air strikes on the Gaza Strip killed at least ten people, including three children and five members of one family, according to Palestinian sources. One strike hit a funeral gathering, rescue workers said. Israel's military points to a Hamas target.

Israel's settlement policy Middle East

Frankfurter Allgemeine ZeitungLe Monde

Hungary's President Sulyok seals the end of his own term under pressure from Magyar

Tamas Sulyok, the president close to Orban, signed a constitutional amendment ending his term at midnight on Sunday. Head of government Peter Magyar had threatened him with impeachment. The move is seen as a turning point in the dismantling of the Orban era.

Hungary power struggle

BloombergLe Monde

Serbia: Pride caravan in Pirot cancelled, journalists attacked

In the southern Serbian town of Pirot, a Pride caravan was called off after opponents gathered on the central square and the safety of participants was at risk. Journalists, including an N1 reporter, were attacked. Activists and the opposition accuse the police of failing.

Pride in Serbia Western Balkans

N1 (Da se zna!)N1 (UNS)

Canadian wildfires shroud US cities in smoke, Trump threatens tariffs

Smoke from hundreds of Canadian wildfires settled over a dozen US states; millions of Americans were told to stay indoors. President Trump threatened Canada with higher tariffs to offset the economic cost of the smoke. In Ontario alone almost 200 fires are burning.

Canada's wildfires USA US Trade Conflict

PoliticoNew York Times

CDU/CSU parliamentary group leader Spahn resigns over surrogacy debate

Jens Spahn has resigned as chairman of the CDU/CSU parliamentary group after his fatherhood via a surrogacy arrangement banned in Germany triggered a credibility debate. Chancellor Merz called the resignation unavoidable and is pressing for a swift succession. CSU regional group leader Hoffmann takes over on an interim basis.

Spahn's Resignation

tazCicero

AfD launches its Saxony-Anhalt campaign with confidence

The AfD opened its campaign for the Saxony-Anhalt state election in Magdeburg; lead candidate Ulrich Siegmund was already talking about a term as state premier. In the polls the party widened its lead over the CDU/CSU again. Hundreds demonstrated against the event.

AfD

Die WeltSüddeutsche Zeitung

Britain's new prime minister Burnham scraps the digital ID scheme

Andy Burnham, who takes over as prime minister as the new Labour leader, wants to scrap the digital ID system planned by his predecessor Starmer. The scheme, budgeted at around 1.8 billion pounds, was to control access to the labour market by 2029. The money saved is to go towards the cost of living.

United Kingdom

The GuardianFinancial Times

Economy · 3

EU bans large companies from destroying unsold clothing

Under an EU rule, large companies may no longer destroy unsold or returned clothing and shoes. The rule is part of the Ecodesign Regulation and is meant to conserve resources. Environmentalists warn, however, that the ban is easy to circumvent.

EU circular economy

Frankfurter Allgemeine ZeitungDie Zeit

South Korea's AI-heavy stock market sets the pace, Seoul opens the won

South Korea's AI-driven stock market has become a leading indicator for global fund managers, according to Bloomberg. At the same time, Seoul put forward a plan to make the won freely tradable for foreign investors. Observers also warn of the risks of leveraged funds.

South Korea's central bank

BloombergTaipei Times

Ukrainian drone attack on Wildberries depot kills eight in Russia

Ukrainian drones hit two logistics centres of the Russian online retailer Wildberries in the Moscow and Tambov regions; eight night-shift workers were killed and more than 50 injured. Kiev described the depots as major logistics facilities holding sanctioned components. The damage is estimated at 50 billion roubles.

Russia Ukraine War

MeduzaBBC News

Technology · 3

China's world AI conference shows humanoid robots in Shanghai

At the World Artificial Intelligence Conference (WAIC) in Shanghai, humanoid and four-legged robots took centre stage. Chinese state media are celebrating a new phase of human-machine cooperation. The show underlines China's claim to be catching up in applied AI and robotics.

China's Economy AI Boom

Global TimesAFP

Revelation: CIA agent and the Emirates' AI rise

The Wall Street Journal describes how a CIA agent spied on the United Arab Emirates while also playing a role in the Gulf state's AI rise. The report sheds light on the close interweaving of intelligence services, chips and the Gulf's AI strategy. The evidence rests on a single piece of reporting.

Chip export controls AI Boom

Wall Street JournalWall Street Journal (Teil 2)

Semiconductor stocks swing: Apple overtakes Nvidia amid AI scepticism

After a sell-off in semiconductor stocks, Apple briefly displaced AI giant Nvidia on Friday from its throne as the world's most valuable company. Chip stocks swing almost five times as much as the overall market, according to the FT. Growing doubts about the AI boom are fuelling the nervousness.

Chip export controls AI Boom

Financial TimesDaily Sabah