Here comes Trump's AUKUS shakedown
By hook or by crook, Donald Trump will make the Albanese government splurge even more on defence beyond the planned increase to 2.3 per cent of gross domestic product.
The initial reaction from many quarters to the Pentagon's announcement of a review into plans for Australia to acquire nuclear-powered submarines with the help of the US and UK was to immediately call into question the future of the AUKUS pact.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Perth Now
an hour ago
- Perth Now
Stocks slide, oil and gold jump after Israel hits Iran
Stocks have dived in early Asian trade, led by a sell-off in US futures, while oil prices jumped after Israel conducted a military strike on Iran, sending investors scurrying to safe havens such as gold and the Swiss franc. The Israeli attack on Friday raises the risk of a fresh escalation in tensions in the Middle East, a major oil producing region, and comes at a time of heightened pressure on the global economy and financial markets from US President Donald Trump's shakeup of trade policies. Market reaction was swift, with US S&P E-mini futures slumping 1.5 per cent and Nasdaq futures skidding 1.7 per cent. Japan's Nikkei lost 1.4 per cent and South Korea's KOSPI slipped 1.2 per cent. Brent crude jumped more than six per cent to $US73.56 a barrel. Gold climbed one per cent to about $US3,419 an ounce. Israel said it was declaring a state of emergency in anticipation of a missile and drone strike by Tehran, after what it called a "pre-emptive strike" over Iran's nuclear program. Explosions were heard northeast of Iran's capital Tehran early on Friday, the state-run Nour News said. Two US officials who spoke on condition of anonymity said Israel had begun carrying out strikes on Iran and there was no US assistance or involvement in the operation. CNN reported that Trump was convening a cabinet meeting. "Traders are scurrying for safety as reports of a strike on Iran cross the wires," said Karl Schamotta, chief market strategist at Corpay in Toronto. "But details on the scale and magnitude of the attack remain scarce and moves have been relatively limited thus far." Tensions had been building as Trump's efforts to reach a nuclear deal with Iran appear to be deadlocked. US and Iranian officials were scheduled to hold a sixth round of talks on Tehran's escalating uranium enrichment programme in Oman on Sunday, according to officials from both countries and their Omani mediators. The Swiss franc gained about 0.4 per cent to 0.8072 per US dollar, and fellow safe haven the yen appreciated 0.3 per cent to 143.06 per dollar. The euro eased 0.3 per cent to $US1.1553, giving back a little of its 0.9 per cent overnight jump.
Perth Now
2 hours ago
- Perth Now
‘High price': Grim warning after AUKUS move
Australia will have 'a very high price to pay if AUKUS fails', opposition defence spokesman Angus Taylor says. The warning came after the US Department of Defence launched a review of the pact to ensure it aligned with Donald Trump's 'America First' agenda. The Albanese government has brushed off concerns the move signals waning US support for the alliance with Canberra, with Deputy Prime Minister Richard Marles saying it was 'natural that the (Trump) administration would want to examine this major undertaking'. But with AUKUS the centrepiece of Australia's defence strategy over the first half of this century, it has offered little reassurance. Opposition defence spokesman Angus Taylor says Australia will have 'a very high price to pay if AUKUS fails'. NewsWire / Martin Ollman Credit: News Corp Australia 'This is an incredibly important alliance,' Mr Taylor said on Friday. 'It's an incredibly important capability, both in terms of the submarine capability and the technology capability … and this must be a top priority of the government.' He said the Albanese government had 'many questions to answer'. 'What discussions has Richard Marles already had? To what extent is our lack of defence spending a driver of this review? When will the Prime Minister meet with the President to actually discuss this face-to-face?' he queried. 'These are questions we need answers to, and they're questions that go to the heart of making sure that AUKUS is a success and that we ensure that we have peace through deterrence in our region.' NewsWire understands Anthony Albanese was set to meet the US President on the sidelines of the upcoming G7. But US State Department sources said a time had not been set and the situation was 'fluid'. More to come.
Sydney Morning Herald
2 hours ago
- Sydney Morning Herald
‘Stealing our friends': LA police break up protests as unrest moves across US
Los Angeles: Police acted more aggressively to disperse protesters after the sixth day of demonstrations in Los Angeles, while rallies over immigration raids continued to spread across the United States and the Trump administration warned it could send troops to other American cities. In LA, which has been the focus of unrest, vandalism and looting since Friday's raids, protesters again gathered outside federal government buildings in the city centre, but they were fewer in number and had mostly left the city ahead of the second night of an 8pm curfew. At 6.30pm, crowds outside City Hall were ordered to disperse, and police began firing rubber bullets and making arrests about 7pm. The few remaining were corralled into a city intersection, arrested and loaded onto a police bus, and by 9pm the streets of central Los Angeles were eerily quiet. Protests popped up in other parts of Los Angeles such as Inglewood, and police were preparing to move to 'full mobilisation' on Saturday ahead of what are expected to be resurgent demonstrations across the United States as President Donald Trump holds a major military parade in Washington. The protests have spread to a string of cities including New York, Seattle, Denver, San Antonio and Chicago. Los Angeles demonstrator Karen Haas, 44, said she expected protests to grow in her city and across the country as long as the immigration raids continued. 'I just think what's happening is despicable and disgusting,' she said in between confronting Homeland Security officers outside a federal building. 'I don't know why we have all these armed officers in our community stealing our friends and our neighbours and our family.' About 600 people have been arrested across the country since the weekend, mostly for failing to leave an area when requested. There have also been a handful of more serious charges, including assault against police officers, and possession of a Molotov cocktail and a gun. Los Angeles Mayor Karen Bass said officials would consider lifting the curfew if there were fewer arrests on Wednesday evening (Thursday AEST), saying she hoped that 'Angelenos got the message last night'.
