Trump is now describing the Iran war as effectively over and says the U.S. does not 'need' a deal, even as Gulf allies ask him to pause further strikes and Israel's Benjamin Netanyahu presses daily for renewed attacks. Trump pulled JD Vance off Iran negotiations to focus on a domestic fraud campaign, deepening questions about whether Washington has any coherent endgame. Iran says the Strait of Hormuz will stay shut until its demands are met, warns it could hit U.S. bases in Europe, and claimed it destroyed a U.S. early-warning radar in Bahrain in retaliation for a U.S. strike, a claim the U.S. denies. Treasury Secretary Scott Bessent warned against rate hikes during the war's energy shock, even as Fed officials signal December tightening and wholesale inflation hits its fastest pace since 2022. Oil markets have swung to surplus as Gulf shipments rebound, though the IEA warns it will take months to rebuild depleted stockpiles. Trump also falsely claimed 'nobody's been killed' in the war in the last five months despite July deaths. Democrats are weighing whether to use the December 11 funding deadline to force an end to the war, and Israel's caretaker government is debating whether Netanyahu can strike Iran before leaving office. Four Senate Democrats have vowed to oppose any funding package that enables the war, while the Pentagon's cost estimate has risen to $47.1 billion. Hegseth survived the House impeachment effort after 11 Democrats missed the vote, but Democrats are expected to try again in January.
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