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Trump says peace deal marks 'a new Middle East'

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Trump says peace deal marks ‘a new Middle East’

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September 23, 2025

Sept. 22, 2025, 6:29 AM EDT / Updated Sept. 22, 2025, 9:53 PM EDTBy Chantal Da SilvaA Palestinian state is getting a powerful new push.Dozens of world leaders gathered Monday to rally support for a two-state solution, with the United States and Israel set to boycott the summit as they find themselves increasingly isolated by a rising tide of traditional allies responding to Israel’s assault on the Gaza Strip. French President Emmanuel Macron announced at the meeting at the United Nations on Monday that France is formally recognizing a Palestinian state.“The time has come. This is why, true to the historic, historic commitment of my country to the Middle East, to peace between the Israelis and the Palestinians. This is why I declare that today, France recognizes the state of Palestine,” he said.The summit, convened by France and Saudi Arabia, comes after the United Kingdom, Canada, Australia and Portugal all announced their formal recognition of the state of Palestine on Sunday, with several other nations expected to follow suit at the United Nations General Assembly this week.These Western powers may be hoping to breathe new life into the idea as a way to resolve the conflict, but Israel’s hard-line government has instead vowed to retaliate while pressing ahead with its deadly assault on Gaza City that has forcibly displaced hundreds of thousands of Palestinians. Displaced Palestinians move with their belongings southward on a road in the Nuseirat refugee camp area in the central Gaza Strip on Saturday.Eyad Baba / AFP via Getty ImagesIsraeli Ambassador to the United Nations Danny Danon said both Israel and the U.S. would boycott Monday’s summit, branding it a “circus.” Prime Minister Benjamin Netanyahu decried the moves as a “huge reward to terrorism” and vowed there “will be no Palestinian state.” A source briefed on the Israeli Cabinet’s discussions said Israel would not respond before Netanyahu met with Trump. “He’s not going to do anything without the backing of the U.S., they said. The Trump administration has also warned of possible repercussions for countries taking measures against Israel, including France.U.N. Secretary-General Antonio Guterres said at the meeting on Monday that Palestinians have a right to their own state.”Statehood for the Palestinians is a right, not a reward, and denying statehood would be a gift to extremists everywhere,” he said.Hopes for a two-state solution have dwindled in the midst of Israel’s nearly two-year offensive in Gaza — and as efforts to negotiate a ceasefire to end the war and free the remaining hostages have repeatedly failed.A child trapped under rubble after an Israeli strike hit a residential area in Sheva Square was rescued by civil defense teams in Gaza City on Tuesday.Khames Alrefi / Anadolu via Getty ImagesPalestinian statehood, which would see an internationally recognized state in territories seized by Israel in the 1967 Mideast War, is now formally recognized by around 75% of U.N. member countries. But that recognition remains largely symbolic. Gershon Baskin, an Israeli who has acted as a mediator with Hamas for decades and a staunch advocate of a two-state solution, said that he welcomed the growing recognition. But without further action, including sanctions against Israel, he said the move will do little to “change the lives of Palestinians” on the ground.”It’s really a step in the right direction,” Baskin said in a phone interview Monday of the summit at the General Assembly. But, calling Israel’s offensive in Gaza “a genocide,” he said, “the most important thing now … is to end the war in Gaza and that comes before everything else.”It is unclear how effective Monday’s summit will be in advancing efforts to end the war in the face of furious opposition from Israel and the U.S., which blocked Palestinian officials from even attending the U.N. gathering.Baskin noted the possibility of retaliation from Israel in response to the diplomatic moves by France, the U.K. and others, with far-right members of Netanyahu’s government pushing for the annexation of part of the occupied West Bank.Speaking with the BBC ahead of Monday’s summit, British Foreign Secretary Yvette Cooper said she had directly warned her Israeli counterpart against such a move. Baskin warned that any “annexation steps by Israel, which would be illegal against international law” would only result in further isolation of the country on the international stage.“This conflict has to be resolved — and the only way to resolve it is through the two-state solution,” he said.Palestinians in the West Bank also welcomed the growing international recognition, but said more must be done. The Palestinian Ministry of Foreign Affairs and Expatriates said it “welcomes and thanks the countries that have recognized the State of Palestine,” calling their decisions “courageous and consistent with international law and international legitimacy resolutions.”“Certainly, these successive recognitions raise the morale of the Palestinian people, as they confirm that the blood of our Palestinian people has not been shed in vain,” one resident of Ramallah, Hussam Abu Nasr, told The Associated Press.Fellow Ramallah resident Abdullah Fayad called the latest round of announcements “belated,” but agreed it was a “step in the right direction.”Chantal Da SilvaChantal Da Silva reports on world news for NBC News Digital and is based in London.Matt Bradley and Abigail Williams contributed.

September 26, 2025

Sept. 25, 2025, 11:52 AM EDT / Updated Sept. 25, 2025, 3:36 PM EDTBy Steve KopackA group of the country’s top economic leaders, including every living former Federal Reserve chair, filed an amicus brief with the Supreme Court on Thursday in support of Fed governor Lisa Cook, who President Donald Trump is seeking to remove.The group, led former central bank chiefs Alan Greenspan, Ben Bernanke and Janet Yellen, said that “allowing the removal of Governor Lisa D. Cook while the challenge to her removal is pending would threaten that independence and erode public confidence in the Fed.” The bipartisan group, which also includes former Treasury Secretaries Robert Rubin, Larry Summers, Hank Paulson, Jack Lew and Timothy Geithner, added that “the independence of the Federal Reserve, within the limited authority granted by Congress to achieve the goals Congress itself has set, is a critical feature of our national monetary system.”As the U.S. central bank, the Federal Reserve is part of the U.S. government and its leaders are put in place by elected officials, but it also retains a considerable amount of independence that is meant to allow it to make decisions purely out of economic concerns rather than political ones. The former economic officials said that an erosion of Fed independence could result “in substantial long-term harm and inferior economic performance overall.”The Supreme Court is considering whether Trump has the authority to fire Cook, who has been a target for the White House for weeks as part of a broader pressure campaign to push the Fed to more aggressively cut interest rates.Cook’s attempted removal stems from allegations of mortgage fraud, made in August by top Trump ally and Federal Housing Finance Authority Director Bill Pulte.Cook has repeatedly denied the allegations and has not been charged with any crime. Documents reviewed by NBC News in mid-September appeared to contradict Pulte’s allegations.Two courts have so far blocked Cook’s removal, leading Trump to ask the Supreme Court a week ago to allow him to fire her. In a court filing, Solicitor General D. John Sauer said a judge’s ruling that blocked the firing constituted “improper judicial interference.”In a filing to the Supreme Court on Thursday, Cook’s lawyers said that “she committed neither ‘fraud’ nor ‘gross negligence’ in relation to her mortgages.”Cook asked the court to deny Trump’s attempt to remove her while the case is argued. The White House has repeatedly maintained that Trump “lawfully removed Lisa Cook for cause.”The brief filed Thursday is a who’s who of the country’s top economic minds. Former Fed governor Dan Tarullo is also listed as a signatory to the brief, as well as the economists Ken Rogoff, Phil Gramm and John Cochrane.Glenn Hubbard, Greg Mankiw, Christina Romer, Cecilia Rouse, Jared Bernstein and Jason Furman, a group who served as top officials on the White House’s council of economic advisers during Republican and Democrat administrations, also signed the brief.None of the officials who signed the filing have served in either of Trump’s administrations.Lisa Cook is sworn in during a Senate Banking hearing in 2023.Drew Angerer / Getty Images fileTrump is the first president in U.S. history to try to remove a sitting Fed official. “There is broad consensus among economists, based on decades of macroeconomic research, that a more independent central bank will lead to lower and more stable inflation without creating higher unemployment — thus helping to achieve the Federal Reserve’s statutory objective of price stability and maximum employment,” the officials said in the brief.”The Federal Reserve walks a careful line in pursuit of its goals.”They noted that “elected officials often favor lowering interest rates to boost employment, particularly leading up to an election.””Although that approach may satisfy voters temporarily, it does not lead to lasting gains for unemployment or growth and can instead lead to persistently higher inflation in the long-term and thus ultimately harm the national economy.”The former Fed chairs and economic officials, in their filing, highlight a notorious case of political pressure on the Fed: “In the early 1970s, President Richard Nixon famously exerted political pressure over then-Chair of the Fed Arthur Burns to lower unemployment by reducing interest rates. During this period ‘the Fed made only limited efforts to maintain policy independence and, for doctrinal as well as political reasons, enabled a decade of high and volatile inflation.’ This contributed to an ‘inflationary boom’ and deep recession that took years to bring back under control.”Steve KopackSteve Kopack is a senior reporter at NBC News covering business and the economy.Lawrence Hurley contributed.

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