Latest news for 7 May 2026

IRAN

Considering it.

Iran has confirmed it’s reviewing a US peace proposal, though there are conflicting reports on what it says. Meanwhile, Israeli airstrikes have killed another Hezbollah commander in Beirut’s south, as this fragile ceasefire wobbles again. (Bloomberg $)

NORTH KOREA

Separate forever.

The autocratic North has formally dropped its constitutional goal of reunification with the free South, an aspiration that’s been around since the split of 1948. (DW)

Comment: It’s formalising something Kim already did back in 2024 (declaring reunification “impossible”), and it aligns with the majority of South Koreans who tell pollsters unification isn’t necessary anyway. But reframing the South not as lost brothers but permanent enemies helps Kim justify his military buildup, his closer Russia ties, and his continued repression at home.

CHINA

Value me.

Hangzhou-based AI startup DeepSeek could be valued at ~$50B in its first external funding round, a 5x jump from estimates circulating just last month! (WSJ $)

Comment: Why the massive whipsaw? It’s not necessarily performance — DeepSeek’s latest V4 model is solid but still lags behind competitors (including in China). Rather, the spike likely stems from China’s state-backed ‘Big Fund’ entering as lead investor, signalling the kind of Beijing backing that can make or break fortunes, and triggering a feeding frenzy from other local giants like Tencent and Alibaba.

FRANCE

Just airing out the aircraft carrier.

Paris has moved its carrier strike group to the Red Sea amid talks of a potential international mission to secure the Strait of Hormuz post-ceasefire. (Independent)

Comment: Moving your Risk pieces on the board might seem like a big deal, but it’s hard to see France (or anyone else) risking assets in Hormuz until after the war.

NEW ZEALAND

Storage solutions.

Wellington is looking for commercial fuel storage solutions in Singapore and Malaysia to bolster NZ’s energy security and meet its IEA obligations. (IDN)

Comment: The Kiwis already store fuel in Italy, not because the other side of the world is practical, but because it was long a cost-effective way to comply with broader International Energy Agency rules (tapping reserves to smooth markets). But the Hormuz energy squeeze has been a wake-up call, putting a premium not just on collective action, but also on direct and physical access.

GUATEMALA

See ya later.

Halfway through his four-year term, anti-corruption crusader-turned-president Bernardo Arévalo has finally managed to appoint a new attorney-general after a protracted struggle with the old one (Consuelo Porras), who’s long been sanctioned by 40 countries. (Yahoo)

Comment: The old A-G’s exit weakens entrenched elites and opens the door for genuine reform plus more foreign support, though she’s still got powerful friends across the judiciary, security forces, and private sector, so the fight ain’t over yet.

ERITREA

Things change.

The US is preparing to undo Biden-era sanctions on Eritrea in a bid to improve ties with the strategically-located (Red Sea) nation. The original 2021 sanctions related to Eritrea’s role in the Tigray civil war in neighbouring Ethiopia. (Reuters)

Comment: Needless to say (but we’ll say it), Ethiopia is pissed, particularly given this US announcement came barely hours after Tigray rebels restored their own pre-war regional government, further wobbling an entire 2022 peace accord. In this new multipolar world, it seems strategic geography still trumps old war crimes.