World

Hezbollah says ‘ready’ to act if Lebanon says Israel violating water rights

Hezbollah is ready to take action “including force” against Israeli gas operations in disputed waters once the Lebanese government adopts a clearer policy, the Iran-backed group’s deputy leader told Reuters on Monday.

Sheikh Naim Qassem’s comments came a day after a vessel operated by London-based Energean arrived off the coast to develop a gas field known as Karish.

For the latest headlines, follow our Google News channel online or via the app.

Israel says the field is part of its exclusive economic zone while Lebanon has begun to claim it lies within its territory.

Lebanon’s president and premier in statements both warned Israel against operations in Karish, prompting fears of a violent escalation over the issue.

Hezbollah, which possesses an arsenal which some experts say rivals that of the Lebanese army, said on Monday it would act only if Lebanon’s government formally accuses Israel of violating maritime rights.

“When the Lebanese state says that the Israelis are assaulting our waters and our oil, then we are ready to do our part in terms of pressure, deterrence and use of appropriate means – including force,” Qassem said.

“The issue requires a decisive decision from the Lebanese state,” he added, saying that Hezbollah “urged the government to hurry up, to set a deadline for itself.”

Qassem said the Iran-backed group would act “no matter the responses” even if it led to a broader conflict.

Lebanon said on Monday it would invite a US mediator to Beirut to resume indirect negotiations with Israel over the disputed maritime boundaries, which have been stalled since last year.

Beirut is hoping to reach an agreement that could then help it unlock valuable gas reserves to ease its worst-ever financial crisis.

In late May, Lebanon’s cabinet passed a long-awaited recovery roadmap, despite objections by Hezbollah ministers.

On Monday, Qassem hinted that a fresh plan would have to be negotiated since Lebanon’s parliamentary elections last month had triggered a new government formation process.

Hezbollah and its allies lost the parliamentary majority in the vote, but have retained control over the roles of parliament speaker and deputy speaker.

“The most important step that we must take as soon as possible is forming a government, because the country without a government will collapse towards an even worse situation,” he said.

He declined to comment on whether Hezbollah would approve a new term for caretaker premier Najib Mikati or if it had suggested names as a successor to President Michel Aoun, a key ally of Hezbollah whose term ends in late October.

Qassem said the next priority would be focusing on financial recovery. While Hezbollah has expressed skepticism about Lebanon’s preliminary relief agreement with the International Monetary Fund, he said such a deal was a “necessary bridge” to access other funding.

World

Goldman cuts Israeli shekel forecasts on politics, intervention

Strategists at Goldman Sachs Group Inc. have revised their forecasts to reflect a weaker shekel on renewed concerns that Prime Minister Benjamin Netanyahu’s judicial plan will increase pressure on the currency and the central bank won’t intervene to support it.

For the latest headlines, follow our Google News channel online or via the app.

Comments by central bank Deputy Governor Andrew Abir last week that interest rates need to be the main tightening tool have downplayed the “potential for FX interventions, the strategists said in a report on Friday. The shekel slumped 2.3 percent last week after parliament passed a new national budget, which granted more funding to the nation’s ultra-Orthodox in order to secure the bloc’s loyalty to his right-wing coalition.

Goldman revised its forecasts of the shekel to 3.70 and 3.60 against the dollar in the next three and 12 months, respectively, compared with 3.50 and 3.40 previously. While that’s still stronger than the current level, the strategists said they expect volatility around their estimates to “remain elevated. The shekel rose 0.3 percent to 3.7178 as of 2:50 p.m. in Jerusalem on Monday.

“With limited policy support, we think domestic political developments will remain in the driver’s seat for the shekel, Goldman’s strategists, including Kamakshya Trivedi, said in the report.

The shekel’s correlation with the performance of global technology stocks began to break down in January amid massive protests against Netanyahu’s plans to give politicians more control over the judiciary and its appointments. His decision in late March to delay the plan had provided some reprieve for the currency, until last week.

The shekel trades at a more than 10 percent discount to Goldman’s estimated fair value of around 3.3 per dollar, the strategists said.

In April, Moody’s Investors Service lowered the outlook on the nation’s A1 rating to stable from positive, citing a “deterioration of Israel’s governance.

“If market participants and tech investors continue to grow more concerned about domestic political developments and their impact on institutional quality, then risk premium may build further in the currency, the strategists at Goldman said.

For Visa Waiver Program, Israel must not discriminate against Palestinian-Americans

Iran arrests ‘terrorist team’ linked to Israel: Tasnim

World

Elon Musk to visit China this week: Sources

Tesla Chief Executive Elon Musk is expected to visit China this week, three people with knowledge of the matter said, in what would be his first trip to the country in three years.
Musk is expected to meet senior Chinese officials and to visit Tesla’s Shanghai plant, two of the sources said.
For the latest headlines, follow our Google News channel online or via the app.
It was not immediately clear who Musk would meet and what they would discuss. The people with knowledge of the trip declined to be named as the matter is private.
Tesla and China’s State Council Information Office did not immediately respond to requests for comment.
Reuters reported in March that Musk was planning a trip to China and seeking a meeting with Chinese Premier Li Qiang as early as April, with the exact timing subject to Li’s availability.
China is Tesla’s second-largest market after the United States, and its Shanghai plant is the electric carmaker’s largest production hub.
Musk also owns social media platform Twitter, which is banned in China, although some people access it via virtual private networks (VPNs).
The trip would mark Musk’s first in China since he set the internet abuzz by dancing on stage during an event at Tesla’s Shanghai factory in early 2020.
It would also come at a time when Tesla is grappling with multiple issues, including intensifying competition with Chinese automakers that are exporting their China-made electric vehicles as demand in the world’s largest auto market weakens.
Tesla has not yet given any update on its plans to increase output by 450,000 vehicles a year at its Shanghai plant, although it said in April it would build a factory in Shanghai to produce Megapack energy storage products.
The company has submitted plans to local authorities to expand capacity for producing powertrains at the Shanghai plant to 1.75 million units annually.
China’s state planner has been struggling with a capacity glut in its auto industry with more than 100 players and has been cautious about approving new production capacity.
Musk told CNBC earlier this month that “there are some constraints on our ability to expand in China.” He added: “It’s not a demand issue.”
In the same interview, Musk said tensions between the United States and China “should be a concern for everyone.”
Tesla is building a plant in Mexico expected to produce a lower-cost electric car built on its next-generation platform.
Read more:
Elon Musk’s Neuralink gets FDA approval for study of brain implants in humans
Car-maker Tesla offers China-made electric vehicles for sale in Canada
Elon Musk says Tesla will try advertising

World

Iran set to unveil hypersonic missile ‘soon’: IRGC commander

Iran is preparing to unveil a hypersonic missile in the near future, a senior Islamic Revolutionary Guard Corps (IRGC) commander said on Monday.

This comes after Iran last week unveiled a new ballistic missile capable of reaching a range of 2,000 kilometers (1,242 miles) and carrying warheads weighing over a ton.

“The hypersonic missile has passed its tests and will be unveiled soon,” the semi-official Tasnim news agency quoted Amirali Hajizadeh, head of the IRGC’s aerospace unit, as saying.

“This new missile is capable of passing through all missile defense systems. It targets the enemy’s anti-missile systems and is a big leap in the field of missiles,” he added.

“The hypersonic missile has a high speed and can maneuver in and out of the atmosphere.”

In November, Hajizadeh made the initial claim that Iran had developed a hypersonic missile. The claim was met with doubts from Washington, with a Pentagon spokesperson saying that the US was “skeptical” of the assertion.

Hypersonic missiles can fly at speeds at least five times faster than the speed of sound, following intricate trajectories that make interception challenging. Unlike ballistic missiles, hypersonic missiles travel at low altitudes in the atmosphere, potentially enabling them to reach targets more swiftly.

On Thursday, Iran unveiled the Kheibar missile, which is an updated version of the Khorramshahr, the country’s longest-range missile to date.

State news agency IRNA described the Kheibar as “a liquid fuel missile with a range of 2,000 kilometers and a 1,500 kilogram warhead.”

The US described Iran’s missile program as a “serious threat” following the unveiling.

“Iran’s development, and proliferation of, ballistic missiles poses a serious threat to regional and international security and remains a significant non-proliferation challenge,” State Department spokesman Matthew Miller told reporters.