With refiners ablaze, Russia is now importing fuel from India
Yes, you read that correctly: Russia, one of the world’s largest oil exporters and a huge supplier of crude to India, is now buying fuel from its Soviet-era ally. The reason? Ukraine’s widening barrage of drone and missile strikes on Russian petrochemicals facilities has knocked out nearly 30% of domestic refining capacity, forcing the Kremlin to buy fuel from India’s refiners. In a sign that the issue is becoming a political challenge, Russian President Vladimir Putin acknowledged the fuel shortages at a time of year when demand is high – lines have appeared at gas stations across the country. In a possible sign of deepening desperation, Russia pummeled Kyiv with airstrikes last night, killing at least 20 people.
Family drama shakes up Brazil’s presidential race
Brazil’s election season just got its own telenovela starring a very unhappy step‑mom: Michelle Bolsonaro, former first lady and step‑mother to presidential candidate Flávio Bolsonaro. This week she resigned from her post as head of the women’s wing of Bolsonaro’s Liberal Party. The move came just days after she posted a thirty‑minute video blasting him over disagreements on electoral strategy in northern Brazil. Michelle had been a key figure in helping the Liberal Party expand its appeal among women and evangelical voters during her husband Jair Bolsonaro’s stunning 2019 victory. Flávio is currently trailing President Luiz Inácio Lula da Silva in polls, and is 18 points behind among women in a hypothetical runoff vote. Michelle and Flávio claim they have resolved their disagreement, but stay tuned for the next episodes of this drama as the October election approaches.
Germany’s Merz unveils huge reform package
With his popularity in freefall, Germany’s economy in the doldrums, and far-right parties surging ahead in the polls, Chancellor Friedrich Merz has unveiled the country’s most significant economic reform program in years. The package would slash taxes for low- and middle-income families, raise the pension age, trim sick leave, ease companies’ ability to hire and fire, and digitize a huge swathe of the government bureaucracy. The package is meant to boost growth and competitiveness at a time when Europe’s largest economy is struggling with stiff competition from China, rising energy costs due to the wars in Ukraine and Iran, and higher US tariffs. Merz’s unwieldy, constantly-squabbling coalition government is deeply unpopular – not long ago, rumors swirled that Merz could lose his job. Will these reforms, which contain painful measures but promise to deliver longer term growth, right the ship fast enough?
