The Ministry of Finance released its 2026 1H fiscal policy execution report. National general public budget spending was 14.33 tln yuan, up 1.5% YoY. Central-government general public budget outlays totaled 2.12 tln yuan, up 6.5% YoY, maintaining high intensity. Local general public budget spending was 12.21 tln yuan, up 0.6% YoY, reversing prior negative cumulative growth. Major allocations: health 1.22 tln yuan, +10.8% YoY (driven by higher childcare subsidies and increased transfers/subsidies

The New York Times, citing US officials, reports the Pentagon has drawn up options to resume large-scale strikes on Iran, including plans to hit Iranian drone and missile stockpiles, energy infrastructure and other military targets. Three aircraft carriers are due to arrive in the Middle East. Officials said Trump's national security team and the Pentagon presented him with proposals for major action against Iran or Houthi forces five times in recent months; each was vetoed, though Trump has recently ordered a strike plan activated. Vice President Pence led senior national security officials at a Camp David meeting last Friday. Sources said the core option envisages a short, high‑intensity operation of roughly three days, with potential targets including missile and drone arsenals, energy facilities and IRGC command centers and headquarters. Trump has said talks with Iran are productive and he would not attack before the midterm elections.

Ukrainian President ZELENSKIY agreed to meet European Commission President VON DER LEYEN and European Council President COSTA as soon as possible.