Daily Digest
Tuesday, May 12, 2026 — the most important stories, distilled to just the facts
Inflation rises amid Iran conflict as Trump visits China and UK Labour faces leadership crisis
Inflation in the United States has reached its highest level in nearly three years, driven largely by rising energy costs linked to the ongoing conflict involving Iran. President Donald Trump traveled to China for talks with President Xi Jinping, downplaying the Iran war's role in the summit. Meanwhile, UK Labour Party leader Keir Starmer faces internal pressure and resignations amid poor local election results.
Key Developments
- U.S. inflation surged to a three-year high in April due to sharp increases in gasoline and energy prices amid the Iran conflict.
- President Trump met with Chinese President Xi Jinping focusing on economic and security issues, minimizing discussion of the Iran war.
- Defense Secretary Pete Hegseth testified before Congress on the Iran conflict and its costs to the United States.
- UK Labour leader Keir Starmer faces calls to resign following significant local election losses and multiple ministerial resignations.
- South Carolina Republicans rejected a plan to redraw congressional districts despite pressure from President Trump.
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