⚡ Today in History

On September 2, 1945, Japan signed its unconditional surrender aboard the USS Missouri, ending World War II. In 1789, Congress created the U.S. Treasury Department. Today? The Treasury oversees a national debt that just crossed $40 trillion, days after Congress passed a stopgap bill to keep the government funded through December.

Top News

Iran Strikes Jordan and Bahrain as War Widens +5.9%

Tension between Washington and Tehran flared again hours after Tuesday's U.S. strikes on Iranian targets near the Strait of Hormuz. Iran launched new attacks against sites in Jordan and Bahrain overnight, expanding the fight beyond the weekend's exchanges. Neither government has confirmed casualties from the strikes, which mark the widest spread of fighting in the six-month war. Crude oil, already up nearly 6% since Tuesday, extended its climb as traders weighed the risk of broader disruption.

Congress Averts Shutdown Through December 370-48

With federal funding due to expire October 1, the House needed a deal before lawmakers left for the midterm campaign trail. The House voted 370-48 Tuesday to pass a stopgap bill funding the government through December 11. The bill now heads to President Trump's desk in Washington for his signature. The measure buys Congress more time to write full-year spending bills but leaves the nation's $40 trillion debt unaddressed.

Kirk's Accused Killer Ordered to Stand Trial

Defense attorneys argued prosecutors lacked enough evidence to justify the death penalty against Tyler Robinson, the man accused of killing Charlie Kirk. Utah Judge Tony Graf rejected that argument Tuesday, ruling Robinson must stand trial for aggravated murder. The hearing took place in a Provo, Utah, courtroom filled with Kirk's family and Robinson's father. Robinson, 23, pleaded not guilty and now faces a possible death sentence if convicted.

Tropical Storm Edouard Floods Texas Coast

Tropical Storm Edouard strengthened quickly over the Gulf of Mexico before making landfall Tuesday afternoon. The storm came ashore near Johnson Bayou, Louisiana, with winds of 60 mph and gusts up to 71 mph. Heavy bands soaked southeast Texas, including Houston, and southwestern Louisiana into Wednesday morning. Flood watches remain in effect, and several Houston-area school districts canceled classes Wednesday.

Nepal-Tibet Flood Toll Passes 1,000, Thousands Missing 3,916 MISSING

A glacier collapse in Tibet last week sent a wall of water down a river flowing into Nepal, wiping out communities along its banks. Nepal's disaster agency says at least 1,010 people have died and nearly 3,916 remain missing across the country. The worst damage struck Himalayan districts near the Nepal-Tibet border, some still cut off from rescue crews. China has reported 16 deaths and hundreds more missing on its side of the border in Tibet.

World

U.S. Strike Reportedly Hits Iranian Wedding Party

Iranian officials accused the U.S. of striking a wedding celebration in southern Iran, killing an unspecified number of civilians. A person briefed on preliminary intelligence told CBS News the strike may have relied on outdated information about the target. The reported strike hit Kuhestak, a town in Iran's Sirik area, on Tuesday. Iran's foreign ministry spokesperson said Tehran would respond to what he called "savage crimes," adding to concern over civilian casualties in the war.

Iran Threatens Response 'Many Times Greater' 6 MONTHS

Tuesday's U.S. strikes on Islamic Revolutionary Guard Corps targets followed weeks of relative calm in the six-month conflict over the Strait of Hormuz. A senior Iranian military source told Reuters that Tehran's next response would be far larger than its past retaliation. The warning came as Iranian officials said regional U.S. bases could face fire. The threat raises the risk of a broader war just as oil markets were stabilizing.

Nepal-Tibet Flood Toll Passes 1,000, Thousands Missing

A glacier collapse in Tibet last week sent floodwater surging down a river into Nepal, sweeping away riverside communities. Nepal's disaster agency says at least 1,010 people have died and nearly 3,916 remain missing across the country. The worst-hit districts sit in the Himalayas along the Nepal-Tibet border, some still cut off from rescue teams. China's state broadcaster has reported 16 deaths and hundreds more missing on its side of the border.

Oil Tankers Struck Leaving the Strait of Hormuz

The Strait of Hormuz carries about a quarter of the world's seaborne oil and a fifth of its liquefied natural gas exports. Two supertankers, one carrying Saudi crude and the other South Korean-owned, were struck by projectiles late Monday as they exited the strait. Shipping trackers confirmed the attacks occurred within minutes of each other in the waterway. The strikes pushed Brent crude up nearly 5% and renewed fears of a wider shipping crisis.

Jordan, UAE Intercept Iranian Missiles and Drone

Iran fired missiles and drones at U.S. military sites after Washington struck Iranian rocket launchers on Larak Island over the weekend. Jordan said it intercepted eight Iranian missiles in its airspace, while the United Arab Emirates downed a drone over its territorial waters near Dubai. No casualties were reported, though the exchange marked the largest regional escalation in over a month at the time.

Politics

House Passes Funding Bill, Sends It to Trump 370-48

Congress needed a deal before current funding expires October 1, at the start of the new fiscal year. The House voted 370-48 Tuesday to pass a continuing resolution funding the government through December 11. The bill, already approved by the Senate in July, now awaits President Trump's signature in Washington. It gives federal employees and troops certainty over their paychecks through the November 3 midterm elections.

National Debt Crosses $40 Trillion Threshold

Years of deficit spending under both parties have pushed U.S. borrowing to record levels. The national debt surpassed $40 trillion for the first time last month, according to Treasury figures. The milestone comes as Washington continues to spend beyond its annual revenue. Neither the new stopgap bill nor ongoing budget talks address the shortfall, leaving the debt on track to keep growing.

Massie Pushes for Release of Epstein Files

A year after Congress passed a law ordering disclosure of files tied to Jeffrey Epstein, millions of pages remain unreleased. Rep. Thomas Massie of Kentucky took to the House floor Monday, accusing the Trump administration of continued withholding. Massie spoke in Washington as lawmakers returned from summer recess to a packed legislative calendar. He said the government still holds back more than 3 million files despite the law's requirements.

Kirk Case Adds to Election-Year Political Tension

Charlie Kirk was a close ally of President Trump and a prominent conservative organizer before his killing last year. Tyler Robinson pleaded not guilty Tuesday after a Utah judge ruled the case would proceed to trial. Kirk's family attended the Provo hearing and said in a statement it marked an important step toward justice. The case is expected to remain a flashpoint in conservative politics through Robinson's eventual trial.

Midterm Elections Loom Over Fall Legislative Fights

Republicans control both chambers of Congress, and that control is at stake in the November elections. Congress punted its full-year spending fight to December, just weeks after the midterms decide House and Senate control. Lawmakers in Washington now face a compressed window to write all 12 annual spending bills. The outcome of the election will shape which party has the upper hand in that December fight.

Markets

Stocks Fall as Oil Surge Stokes Inflation Fears -0.7%

Renewed U.S.-Iran strikes and a jump in oil prices unsettled investors already worried about interest rates. The S&P 500 fell 0.7% Tuesday to 7,631, while the Dow dropped 419 points and the Nasdaq lost 271 points. Trading was heaviest in New York, where technology shares led the declines. The selloff followed a strong August and reflected growing bets on a Federal Reserve rate hike this month.

Oil Jumps Above $90 for First Time in a Month

Two oil tankers were struck leaving the Strait of Hormuz late Monday, reigniting fears of a wider supply disruption. U.S. crude jumped more than 5% Tuesday to above $90 a barrel, while Brent crude neared $95. The gains extended a rally centered on the Persian Gulf's most important oil chokepoint. Rising fuel costs threaten to push up prices at the pump and add pressure on the Fed to raise rates.

Fed Rate-Hike Odds Jump on Inflation Worries

Fed Chair Kevin Warsh warned last week that the central bank still has "work to do" on inflation. Traders now price in a 66% chance the Federal Reserve raises rates this month, up from about 36% a week ago, according to CME's FedWatch tool. The shift followed Warsh's comments and this week's spike in oil prices. Gold, bitcoin and other rate-sensitive assets all fell on the news.

Bitcoin, Gold Slide as Rate Bets Shift

Bitcoin and gold had both rallied through August on hopes the Fed would hold rates steady. Bitcoin fell to about $77,946 Tuesday morning, while gold dropped nearly 2% to below $4,360 an ounce. The declines came as traders in New York repriced the odds of a September rate increase. Both assets remain well above year-ago levels despite the pullback.

Nike, Travel Stocks Hit Fresh 52-Week Lows

Consumer-facing companies have struggled this year against high oil prices and cautious spending. Nike shares fell to $38.07 Tuesday, a level not seen in more than two decades, while Wynn Resorts, Las Vegas Sands and Carnival also touched 52-week lows. The declines came even as broader indexes only slipped modestly. Energy producers such as Marathon Petroleum and Phillips 66 moved the opposite direction, hitting fresh highs.

Entertainment

Tupac's Convicted Killer Awaits October Sentencing AGE 63

A Las Vegas jury convicted Duane "Keffe D" Davis of first-degree murder Monday, nearly 30 years after Tupac Shakur's killing. Prosecutors said Davis, a former Compton gang leader, handed the murder weapon to a relative who fired the fatal shots. Judge Carli Kierny set sentencing for October 13 in a Las Vegas courtroom, where Shakur's family wept as the verdict was read. Davis, 63, faces up to life in prison and says he plans to appeal.

Kelce Buys Cleveland Mansion Ahead of Wedding

Travis Kelce has spent this year preparing for his wedding to pop star Taylor Swift. The Kansas City Chiefs tight end purchased an eight-bedroom lakefront estate in Bratenahl, Ohio, near Cleveland, for $5.35 million. The property sits on 3.5 acres along Lake Erie and recently underwent a yearlong renovation. Kelce was the sole buyer of the more than 21,000-square-foot home, according to agents involved in the sale.

Disney Sets Release Dates for Two Sequels

Disney has leaned on sequels to established franchises to draw audiences back to theaters this year. The studio announced release dates this week for "Lilo & Stitch 2" and "The Incredibles 3." Both follow-ups continue franchises that have earned billions of dollars worldwide since their original releases. Additional casting and plot details are expected as the release dates approach.

Netflix in Talks for 'KPop Demon Hunters' Tour

"KPop Demon Hunters" won Best Animated Feature and Best Original Song at the 2026 Oscars earlier this year. Netflix is now negotiating with concert promoters to stage a live tour built around the film's songs, according to a Bloomberg report. The proposed tour would play arenas in cities worldwide, with organizers aiming for a 2027 start. Netflix hopes the tour builds momentum ahead of a planned sequel to the film.

Sabalenka Fires Back at Reporter During US Open

Aryna Sabalenka has been favored to defend her US Open title in New York this week. After a recent match, a reporter asked the top-ranked player why she wasn't more focused on tennis. Sabalenka pushed back on the question during her on-court press conference at the tournament. She continues play in the later rounds as the US Open moves toward its finals.