With a significant portion of the global trade depending on the safety of the Red Sea route, can the Houthi attacks force Israel and its allies into a ceasefire with Gaza?

Sana'a

Israel and Iran have agreed a ceasefire after a twelve day conflict. Meanwhile, Israel strikes in Gaza continue with the humanitarian crisis deepening.

Middle East Conflict

Houthi attacks threatening global trade 

Israeli ports seem calmer than ever, as the blockade in the Red Sea has caused serious disruptions. 99% of Israel's imports depend on sea routes. Additionally, 25% of Israel's trade is conducted with Far Eastern countries, indicating that 30% of its imports are routed through the Red Sea. This underscores the indispensability of the Red Sea route for the Israeli economy. Since the onset of Houthi attacks, Israel's Eliyat and Ashkelon ports have ceased to receive ship and operations at the Ashdod port have nearly ground to a halt. Is the Red Sea crisis only Israel's problem? Apparently, no. The Red Sea route is indeed vital for global trade. Ships are required to navigate through Bermelmanda, proceed to the Red Sea, and enter the Suez Canal. This crucial route manages 12% of global trade and a significant 40% of trade between Europe and Asia. However, within a month, Red Sea traffic experienced a 40% decline, prompting many major shipping companies to announce rerouting plans to Africa, resulting in the addition of 6,000 nautical miles to the usual route. As a result, oil prices witnessed 4% surge and natural gas prices rose by 13%. The shipping cost from Asia to the Mediterranean Sea through the Suez Canal has reached 2,450 tons. For a 40-foot container, indicating a 62% increase since the end of November. Insurance, freight, and container costs increased dramatically as well. Who are the Houthis and why are they taking such a risk to disrupt global trade? The Houthis are a rebel group from northern Yemen. They seized the capital, Sanaa, in 2014 to 2015. They do control the country's capital and all of the territory that they control contains about 70 to 80% of Yemen's entire population. So they are a very influential group at the moment. They have proven themselves to be fairly diplomatically and militarily savvy. They do have the opportunity to do this because of their control of the port of al-Hodeidah along the Red Sea on Yemen's coast. Their actions in the Red Sea will lead to Israel ceasing their assault on Gaza. That will probably not be a major factor that plays into Israel's decision-making. However, the Houthis say that they believe and I think do genuinely hope that their actions, such as targeting Red Sea vessels, will lead to that outcome, especially if that means that the Houthis would get even partial credit for Israel ceasing their bombardment of Gaza. In return, the U.S. formed a joint task force, Operation Prosperity Guardian. So in the Red Sea, we're leading a multinational maritime task force to uphold the bedrock principle of freedom of navigation. Initially, OPG consisted of 10 nations, but Spain, Italy and France withdrew immediately. Can the United States defeat Houthis? Obviously, Houthi military capabilities in the face of the U.S. military is nothing. It's very, very simple. But the lesson that should be the takeaway from the past eight to nine years of war in Yemen is that a stronger military force does not translate to victory. So it's unlikely that further U.S. military action in Yemen would have that outcome. As the verbal exchange escalates into deadly skirmishes between the Houthis' militias and the U.S. Navy in the Red Sea, this crisis is likely to amplify the impacts of the war on Gaza and cast shadows on global economy.

Catastrophic flooding in Texas has killed at least 32 people, Fourteen of them children. Another 27 are missing from a girls' sleep-away camp. Texas Gov. Greg Abbott said more than 850 people have been rescued as crews search 30 miles of river for survivors.

Hunt

Dozens of children among missing from Texas flood waters

The unemployment rate for new college graduates has recently surged. Economists say businesses are now replacing entry-level jobs with artificial intelligence. Ali Bauman has the story.

Cambridge

Unemployment surges as employers replace new hires with AI

Israeli Prime Minister Benjamin Netanyahu said he is sending a delegation to Qatar on Sunday for talks on a possible ceasefire deal. Hamas calls the latest response "positive." Meanwhile, Israeli strikes on Saturday killed at least 14 in Gaza.

Tel Aviv-Yafo

Renewed momentum for Israel-Hamas ceasefire in Gaza

The deadline is fast approaching for countries to make new tariff agreements with the U.S. or face a higher rate. The Trump administration is putting them on notice.

Washington

Global Tariffs

Trump turns attention to trade after major legislative win

The funeral proceedings of the late football players Diogo Jota and his brother Andre Silva took place in the church of Gondomar in their hometown in the east of Porto. Family members, teammates and coaches joined thousands of mourners to pay their final respects.

Gondomar

Thousands gather to bid farewell to Liverpool's Diogo Jota

McMahon's most recent projects included Netflix's whodunit "The Residence" and the Nicolas Cage drama "The Surfer," which premiered earlier in the year at SXSW.

Melbourne

Australian-American actor Julian McMahon dies, 56

Diplomatic efforts are ongoing as U.S President Donald Trump looks to secure a ceasefire deal between Israel and Hamas. Israel has previously accepted the US proposal, meanwile Hamas has "submitted a positive response" to the mediators.

Doha

Israeli hostage negotiation team to fly to Doha to hold talks with Hamas

A forestry worker injured in a wildfire in the western Turkish province of Izmir has died from his injuries, raising the death toll in recent days from the fires to three, as emergency crews also continued to battle a blaze in a province bordering Syria.

Hatay

Turkiye’s wildfires declared national emergency

Search and rescue operations continued overnight after flash floods slammed central Texas, killing dozens, officials said. More than 20 children are still missing from Camp Mystic, an all-girls camp hit by the floods, the Kerr County sheriff said.

Kerrville

Rescues continue in central Texas after deadly flash floods

Officials in the U.S. state of Texas say at least 13 people have died in overnight flash floods after torrential rains triggered an overflow of the Guadalupe River. Nearly 20 children attending a summer camp in the south-central area are missing.

Kerr County

Deadly Texas floods: Search efforts underway for missing children

Türkiye has been battling wildfires for more than a week, with its western province of Izmir among the hardest hit. Thousands have been forced to flee as flames threaten homes and villages.

Ödemiş

Turkiye wildfires: At least two dead as fires burn for eighth day

It was not clear if Hamas’ statement meant it had accepted the proposal from US President Donald Trump for a 60-day ceasefire.

Jerusalem

Hamas says it is  'positive' about latest ceasefire proposal

President Trump brought pomp and circumstance to his signing of the "big, beautiful bill" on Friday, with an Independence Day ceremony at the White House that included a B-2 bomber flyover.

Trump signs "big, beautiful bill" as tariff deadline looms

Heavy rainfall in central Texas caused the Guadalupe River to overflow and unleash a torrent of water. The bodies of at least 13 children and adults have been recovered and more than 20 girls are missing from a sleepaway camp.

Floods kill at least 13 in Texas, over 20 missing from summer camp

The talk comes a day after President Donald Trump and Russian President Vladimir Putin discussed Ukraine, Iran and other issues in a call the Kremlin described as "frank and constructive."

Kyiv

Ukraine Invasion

Zelenskyy, Trump agree on joint defense efforts in phone call

Russia pummeled Kyiv with the largest drone attack of the war, injuring at least 23 people and damaging buildings across the capital only hours after U.S. President Donald Trump spoke with Russia's Vladimir Putin, officials said.

Russia hits Kyiv with largest drone attack after Trump-Putin call

U.S. President Donald Trump marked the passage of the new spending bill, which includes changes to food assistance, student loan programs, and clean energy credits. Robert Costa joins "CBS Mornings" to break down what's in the legislation.

Trump set to sign "big, beautiful bill"

More than 80 Palestinians were killed in Gaza on Thursday (July 3), according to health officials, as Israel intensified its strikes, hitting a school-turned-displacement facility. CNN’s Paula Hancocks looks at the damage and humanitarian toll.

More than 80 people killed in Gaza in one day

Ukrainian President Volodymyr Zelenskyy said Kyiv will do "anything" to advance EU accession talks. Zelenskyy spoke alongside Danish Prime Minister Mette Frederiksen, President of the European Council António Costa and President of the European Commission Ursula von der Leyen.

Ukraine will do 'anything' to advance EU accession talks: Zelenskyy

President Donald Trump said Washington will start sending letters to countries on Friday specifying what tariff rates they will face on imports to the United States, a clear shift from earlier pledges to strike scores of individual deals.

Trump: Letters telling countries their tariff rate going out Friday

Indonesian rescuers on Thursday (July 3) temporarily halted a search for 30 people still missing after a ferry carrying 65 people sank near the island of Bali with the loss of six lives, the national search and rescue agency said.

Gilimanuk

Indonesia suspends search for 30 missing after ferry sinks near Bali

After marathon debate sessions in the Senate and House, President Donald Trump’s budget bill passed in the House. Republicans secured the biggest win of Trump’s presidency.

Trump’s landmark ‘big, beautiful bill’ narrowly passes U.S. House

Florida says the first group of migrant detainees have arrived at the new immigration detention center known as "Alligator Alcatraz." CBS News correspondent Shanelle Kaul has more.

Ochopee

First group of detainees arrive at "Alligator Alcatraz," Florida says

U.S. President Donald Trump said Thursday (July 3) that he spoke with Russian President Vladimir Putin and that he plans to hold a call with Ukrainian President Volodymyr Zelenskyy. CBS News White House reporter Willie James Inman has more.

Trump speaks with Putin, plans call with Zelenskyy

CNN’s Priscilla Alvarez reports on a lawsuit from lawyers for Kilmar Abrego Garcia alleging he suffered “torture and mistreatment” after he was wrongfully deported and held in El Salvador’s notorious mega prison.

Tecoluca

Kilmar Abrego Garcia claims he was tortured in El Salvadoran prison

The Kremlin welcomed the development, with spokesman Dmitry Peskov claiming it proves Western arsenals are being depleted and predicting that less aid will hasten the end of the conflict.

U.S. pauses military aid to Ukraine over depleted weapons stockpile

Two contractors employed by UG Solutions spoke to the AP on condition of anonymity as they were revealing their employers’ internal operations.

U.S. contractors say live ammo used at Gaza aid distribution site

Democratic leader Hakeem Jeffries spoke for hours on the House floor about potential impacts of President Trump's "big, beautiful bill" that Republicans are looking to pass before July 4. Following debate, the House is set for a final vote on the massive budget bill.

House debates Trump's 'big, beautiful bill' ahead of final vote

CBS News political contributor Caroline Polisi joins "CBS Mornings" to break down the jury's verdict in Sean "Diddy" Combs' federal trial and the judge's decision to deny bail for the music mogul ahead of his sentencing.

Manhattan

Sean "Diddy" Combs denied bail after split verdict

Liverpool soccer player Diogo Jota has died aged 28, just weeks after marrying his childhood sweetheart. The footballer passed away in a car crash in northern Spain.

See The Full Story

Middle East Conflict