Crypto News: Iran conflict spreads across Middle East

Good morning. The Iran conflict escalates across the Middle East. Todd Blanche hits an unexpected roadblock. And FIFA’s pursuit of money and power entwines sport and politics. Listen to the day’s top stories.

— Angela Cullen

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The Iran conflict showed new signs of spreading across the Middle East as the US retaliated against attacks on its forces, hitting a number of targets in a two-hour operation. Drones struck two LNG tankers on Egypt’s Mediterranean coast, the first incident in Egyptian waters since the war began in February. Saudi Arabia and Iraq have also been drawn into the latest flareup.

Kevin Warsh is having a baptism of fire at the Fed. His barebones communication style has already earned him a rebuke from investors doubting his commitment to curbing inflation, piling pressure on him to back up his words with interest-rate hikes. The message from the bond market was clear, as some investors looked to shift toward markets like Australia and Europe, depressing Treasuries. But metals traders were happy.

Last summer, a money-losing digital-payments firm with a history of legal troubles seized what its leaders thought was a big opportunity: a deal with the Trump family’s crypto platform. While the Trumps earned more than half a billion dollars, others who bought shares in the firm — ALT5 — have lost more than 90% of their value. But that hasn’t put some investors off.

Big Tech earnings turn today to Apple, where investors are looking for sales growth in Tim Cook’s final full quarter as CEO, and Amazon, which is expected to show steady growth in its cloud-computing unit after the market close. Yesterday’s offerings gave a mixed picture: Microsoft shares soared pre-market on accelerating growth at its cloud unit, but Meta’s stock slid as investors became concerned about ballooning AI costs.

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Todd Blanche’s path to becoming attorney general hit an unexpected roadblock when a Senate committee abruptly postponed a key vote after two Republican senators withheld their support. It comes as the White House and Justice Department have engaged in an intense lobbying effort to clear the way for his nomination, which could now be stalled and potentially require re-nomination in January. Democrats, meanwhile, are focusing on November’s midterms with a new research initiative aimed at boosting the party’s numbers and appeal.

Deep Dive: FIFA’s Trophy Pursuits

The dust had barely settled on a World Cup singed by FIFA’s pursuit of money and power when football’s governing body ignited another controversy on Wednesday with plans to sell a stake in its newly created media division. The effort began in secret last year, when FIFA boss Gianni Infantino met venture capitalist Joshua Kushner — whose family has close ties to Donald Trump.

The move incensed UEFA, organizer of European football, to the point that it’s considering a boycott of FIFA competitions, underscoring a widening rift between the sport’s two most powerful institutions. If completed, the plan would — for the first time — give outside investors a direct stake in FIFA’s commercial operations.
For many football purists, it’s the latest example of a governing body that’s prioritized commercial interests over the beautiful game. They point to a history of corruption scandals and Infantino’s embrace of Trump and his administration.
It’s hard to separate sports from politics, and FIFA has long abandoned any pretense of trying to do so. Yet, even by its own standards, Infantino’s award of a newly created FIFA Peace Prize to Trump in December trod a new line.

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