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Hard Numbers: Kerala reacts to lethal virus outbreak, Brazil insurrectionists on trial U.S. inflation stays stubborn, uranium prices spike,
2: Two people in the southern Indian state of Kerala have died from the rare but highly-lethal Nipah virus, forcing authorities to declare a containment zone over 7 villages and shut down public schools and offices. One more adult and one child are currently hospitalized with confirmed infections, while 130 more have been tested for the disease. There is no cure or treatment for Nipah virus.
4: Today the first four supporters of Jair Bolsonaro go on trial for their actions during Brazil’s January 8th insurrection. Thousands of Bolsonaro’s supporters, outraged over his loss in the October election, stormed the capital city Brasília-- vandalizing the presidential palace, parliament, and the same supreme court where they stand trial today. The court condemned the rioter’s actions as an attack on Brazil’s democracy, and will hear the cases of two hundred more insurrectionists in the coming months.
3.7%: New US inflation data for August showed that U.S. households paid about 3.7% more for goods and services than they did a year ago. That’s up half a percentage point from the July reading and still well above the Federal Reserve’s 2% target. Most of the cost bump was fueled by higher energy prices, as Saudi Arabia and Russia recently cut oil production to boost global crude prices. The good news is that consumers continue to get relief on products besides food and energy, as so-called “core inflation” continued its 6-month downward trend.
30%: The benchmark price for uranium has soared 30% so far this year, as the transition away from fossil fuels continues to spark fresh interest in nuclear power. A pound of the radioactive stuff now costs $62, more than double what it was just five years ago. And you know who is loving the price spike? Russia, home to 40% of the world’s uranium refinement capacity.
What We’re Watching: Zelensky’s Bakhmut message, Rishi’s post-Brexit win, Trudeau’s take on Haiti, Ethiopia’s peace progress
Russia and Ukraine score points where they can
Volodymyr Zelensky visited frontline troops in war-ravaged Bakhmut, located in Ukraine’s eastern province of Donetsk, on Wednesday as Russian drones struck across the country. While planning for the trip was surely well underway before Vladimir Putin’s surprise stop in Russian-occupied Mariupol last weekend, the contrast underlined Zelenksy’s signal of defiance.
By appearing in Bakhmut very near the fighting, Zelensky reminded the world that, six months after Putin mobilized 300,000 new Russian soldiers for a deeper advance into Ukraine, even the small city of Bakhmut remains beyond their grasp.
In other war news, Russia has warned it will respond harshly to shipments from the UK to Ukraine of anti-tank munitions made from depleted uranium. Moscow claims this step adds an escalatory nuclear element to the conflict. In response, the UK insists the Russian position is propaganda, that the use of depleted uranium is common in anti-tank weapons, and that it contains nothing that can be used to make nuclear or radiological weapons. Finally, Russia has announced a plan to raise an additional $8 billion in revenue by changing the way oil profits are taxed.
All these stories underscore the reality that, while little has changed on the battlefield, Russians and Ukrainians are still looking for every small advantage they can gain in what looks increasingly like a war of attrition.
Has Brexit got “done” yet?
In a win for PM Rishi Sunak, the British House of Commons on Wednesday passed a reworked post-Brexit deal for Northern Ireland, which was agreed to last month with the European Commission.
Essentially, the proposal known as the Windsor Framework creates two lanes for trade: a faster-flowing green lane for goods transiting only between Britain and Northern Ireland and a red lane with more rigorous customs checks for goods bound for Ireland and elsewhere in the EU. It is unlikely to come into effect for several months as details are ironed out, officials say.
Still, despite the big margin of victory, more than 20 Tories – including Sunak’s two predecessors Liz Truss and Boris Johnson – voted against the measure, with Johnson saying it would mean that the UK won't be able to fully embrace the benefits of Brexit (what benefits, he didn’t say). It also signals that in the run-up to next year’s general election, Sunak will continue to deal with a vocal Euroskeptic wing within his party.
Meanwhile, six representatives from Northern Ireland’s Democratic Unionist Party also rejected the vote, suggesting that the DUP would not lift its boycott on the Northern Ireland legislature, which began almost a year ago. The lack of resolution on this front will make for awkward optics as President Joe Biden heads to Belfast next month to mark the 25th anniversary of the Good Friday Agreement that ended the Troubles.
Trudeau’s take on Haiti
President Joe Biden heads north on Thursday for his first presidential visit to Canada, where he and PM Justin Trudeau are expected to discuss a variety of issues, from defense and immigration to trade and Ukraine (see our look at likely agenda items here). But Biden is also expected to make some demands about … Haiti.
The situation in the Caribbean nation has deteriorated in recent months. Police have lost control to local gangs, and more than 200 Haitians were killed in the first half of March alone.
The Biden administration is reluctant to get more involved itself but wants Canada to take the lead in addressing the chaos in Haiti. Why Canada? The country has a long track record as a peacekeeper and has had prior involvement (for better or worse) in Haiti, making it an obvious choice from Washington’s perspective. An uptick in Haitian migrants seeking entry to the US and Canada raises that urgency further.
But Trudeau says that “outside intervention” can’t bring long-term stability to the country, and it’s hard to argue with the historical record on that. Meanwhile, many in Haiti worry that outsiders would merely prop up unelected acting PM Ariel Henry. And it didn’t help that Haiti’s largest newspaper ridiculed the recent deployment of two Canadian ships to patrol the coast.
All of this puts Trudeau in a tough spot: Biden wants him to be a reliable security partner beyond Ukraine, but the political fallout from a failed entanglement in Haiti could be disastrous for him. While the Canadian leader will likely make a commitment of some sort for Haiti, will it be enough to satisfy Biden or change the dynamics in Haiti itself?
*From trade and migration to defense, culture, and technology, the US and Canada need each other more than ever. To meet the moment, GZERO Media is launching GZERO North, a new weekly newsletter offering an insider’s guide to the very latest political, economic, and cultural news shaping both countries. Subscribe today!
Ethiopia, TPLF take steps in tenuous peace
The Ethiopian government is removing the Tigray People’s Liberation Front from its list of terrorist organizations, part of a peace deal with the rebel group signed last November. The decision moves the country closer to what observers hope is an enduring peace after a brutal two-year civil war that has claimed an estimated 600,000 lives.
The situation is very delicate. The agreements don’t include all of the various combatants and are vague about who controls certain disputed territories. And while all sides reportedly committed war crimes, many Tigrayans believe the deal doesn’t hold the Ethiopian federal government accountable. PM Abiy Ahmed’s resistance to a UN investigation inspires little hope.
Still, the momentum is towards peace, for now. Economic interests are part of the reason why. Ethiopia is in bad shape, as the country is wracked by famine, drought, and an estimated reconstruction price tag of $20 billion. A lasting peace would enable Ethiopia to reopen two-year-old talks with the IMF on a $26 billion loan restructuring plan, which was interrupted by the war. Still, with so much bad blood – will these incentives be enough to bind the former combatants to a durable peace? All parties must still tread very carefully …
Hard Numbers: Grain deal extension woes, FRB rescued, loose Libyan uranium, global coke binge
120 or 60: Although the Black Sea grain deal will almost certainly get extended before it expires Saturday, Russia and Turkey are tussling over how long that extension should be. Ankara — backed by Ukraine and the UN — wants to prolong the agreement for another 120 days, while Moscow is insisting on 60 days, presumably to pressure the West to lift sanctions against certain Russian payment systems.
30 billion: Asian and European stock markets on Friday saw gains hours after a group of 11 big US banks swooped in to rescue First Republic Bank, an embattled regional lender. The banks injected $30 billion into FRB to shore up confidence in the US banking system following the recent collapses of Silicon Valley Bank and Signature Bank.
2.3: A warlord has recovered an estimated 2.3 metric tons of uranium ore that had gone missing in eastern Libya. The uranium was probably left over from the late dictator Moammar Gadhafi’s defunct nuclear weapons program.
35: Global cocaine production surged by a whopping 35% in 2020-2021, according to a new UN report. One of the main reasons is that drug cartels have taken over coca-cultivating areas of Colombia previously run by the FARC and are competing to churn out more powder for Americans and Europeans to snort.How do we avert nuclear disaster in 2023?
Rafael Grossi has a very tough job as head of the UN's nuclear watchdog. But he's an optimist.
Still, the stakes are very high.
We've got North Korea building even more nukes. Russia turned into a rogue state that controls Europe's largest power plant in Ukraine, which is still at risk of an accident. And Iran getting closer to getting the bomb.
Last but not last, there's the global race to build smaller, faster tactical nukes.
Watch the GZERO World episode: Rogue states gone nuclear and the watchdog working to avert disaster
A new Iran nuclear deal is critical but not a sure thing, says Iran expert Ali Vaez
The Biden administration has worked hard for the US to return to the 2015 Iran nuclear deal, which former President Trump walked away from in 2018. On GZERO World, Ian Bremmer speaks to Ali Vaez, Iran project director at the International Crisis Group, who says the odds of renewing the deal in the short term are about 50/50. Now, reaching an agreement is more urgent than ever because Iran is closer to getting the bomb, Vaez explains, because the breakout time to enrich enough uranium for a single nuclear weapon is reportedly within weeks.
Russia's war in Ukraine has complicated things, and some fear that even if a deal happens, the US may withdraw again with a Republican president in 2025. Still, Vaez thinks the deal has become too big to fail for Iran, crippled by sanctions, and for the US; Biden will pay a political price if the Iranians go nuclear on his watch. Vaez also digs into Israel's strategic interest in a deal the Israelis have long opposed, and Russia's role in the negotiations with Iran.
Watch the GZERO World episode: Iran nuclear deal 2.0, or war?
Can Facebook's algorithm remove hate speech? Meltdown-proof nuclear reactors
Nicholas Thompson, editor-in-chief of WIRED, discusses technology industry news today:
Do some of the Facebook's best features, like the newsfeed algorithm or groups, make removing hate speech from the platform impossible?
No, they do not. But what they do do is make it a lot easier for hate speech to spread. A fundamental problem with Facebook are the incentives in the newsfeed algorithm and the structure of groups make it harder for Facebook to remove hate speech.
In general, have tech companies become more or less wary of the Trump administration in recent months?
Vastly less wary. I think that's partly because they think Trump might lose, so they're less worried about retaliation. Also their employees are very mad.
Do you really believe that a meltdown-proof nuclear reactor is possible?
No, but I am excited about the future of small nuclear reactors that have anti-meltdown technology built into each little grain of uranium.
When are you joining Parler?
Parler is the free speech, social media alternative. And I am already on it. I joined it a few days ago.