Trump Won't Rule Out 'Mother of All Bombs' on Iran as Taiwan Tightens Chip Curbs

Federal Reserve Chairman Kevin Warsh did nothing to dispel market expectations that the US central bank will hold interest rates steady at its meeting at the end of the month. Speaking in Bangkok at the International Monetary Fund's annual meetings, Warsh made no remarks on monetary policy or his outlook for the US economy, apart from reiterating that the Fed will deliver price stability. His silence on policy left traders with little new information to trade on. On the geopolitical front, President Donald Trump declined to rule out using a weapon known as the "Mother of all Bombs" on Iran, a remark that raises the stakes in an already tense standoff. The comment adds uncertainty to global markets already grappling with multiple flashpoints. Meanwhile, Taiwan is tightening its chip curbs, a move that further restricts the flow of advanced semiconductors and aligns more closely with US export controls. The combination of monetary caution, military rhetoric, and technology supply-chain restrictions creates a complex environment for investors to navigate.