U S Economy Slows Amid Mixed Inflation Signals
National economic data show residential construction dropping sharply and manufacturing cooling while a wage inflation gauge improves. An uptick in manufacturing prices raises caution that inflation pressures could push the Fed to raise rates one or two more times even as growth slows to a steadier pace.
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New York faces cutbacks in anti terror funding sparks anger
United States homeland security plans cut anti-terrorism funding for New York by 83 million while other cities gain. Politicians accuse the Bush administration of waging war on New York as locals demand accountability and the firing of Homeland Security chief Michael Chertoff. The report highlights widespread New York outrage and calls for action.
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Six world powers offer Iran incentives and penalties
In Vienna six powers including the United States Britain France Germany Russia and China proposed a package of rewards or punishments for Iran to deter nuclear activity. The plan allows renewed talks with Tehran with possible UN sanctions if Iran refuses enrichments. The package lacks specifics on incentives though may include civilian nuclear power aid and economic benefits.
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Nicholas Burns
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U S troops to get ethics training in Iraq Haditha probe
U S military orders coalition troops in Iraq to undergo 30 day ethics training after allegations of Marines killing 24 civilians in Haditha. Iraq's government opens its own probe into the deaths with Prime Minister Nouri al Maliki denouncing the killings as a horrible crime.
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Space station spacewalk proceeds with maintenance tasks
Two crew members emerged from the Russian segment of the International Space Station for a nearly six hour spacewalk to repair an oxygen generation system, replace a camera, and reposition cables. The planned golf stunt was postponed with Vinogradov and Williams carrying out routine maintenance rather than launching a golf ball.
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Palestinian police protest unpaid wages amid Gaza unrest
Thousands of Palestinian police officers protested unpaid salaries in Gaza, firing into the air and smashing windows during a clash with Hamas led authorities. The demonstrations coincided with Hamas debates over recognizing a Palestinian state beside Israel or facing a national referendum, with Abbas giving a deadline mid next week.
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Quake stricken towns still wait for food
Survivors near aid centers report five days without food after a massive earthquake. Yogyakarta emerged as the main dispersal point as roads and air links were repaired, but many areas still lack relief. Death toll climbs past 6,200 as residents lament delayed help.
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Darfur Rebel Groups Could Face Sanctions
In Khartoum Sudan the AU expressed deep regret that two rebel factions rejected the May 5 Darfur peace accord and warned that those who refuse to sign could face sanctions. The AU mediation in Darfur seeks to push holdout groups to accept the agreement.
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Hunger strike at Guantanamo grows to 89 detainees
AP reports 89 detainees are participating in the Guantanamo hunger strike with six being force-fed. The protest at the Cuba prison, housing about 460 men linked to al Qaida or the Taliban, aims to pressure the U S to release detainees. A human rights attorney calls it a desperate appeal for justice.
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