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Minnesota Gov. Tim Walz, a Democrat, is expected to sign legislation on Tuesday that would legalize recreational marijuana in the state.

The bill is headed to the governor’s desk after passing through the state legislature on May 20. His signature would make Minnesota the 23rd state, plus Washington, D.C., to legalize recreational marijuana.

Starting Aug. 1, the bill would allow those 21 years of age and older to carry up to two ounces of marijuana in public and possess up to two pounds at home.

These adults could also grow home plants, but possessing more than those limits or selling the product without a state license could result in criminal penalties and civil fines.

The bill still does not allow public consumption, so violators could be hit with a misdemeanor. Adults may only consume the product in a personal residence, on private property where the owner has granted permission or in a place licensed for on-site consumption.

The measure would also automatically expunge low-level cannabis convictions and set up a board to consider expungement or re-sentencing of felony crimes. 

People previously convicted of marijuana-related crimes would be given priority when it comes to obtaining a license to sell marijuana, though lawmakers say it will likely take more than a year to issue licenses to retailers for selling marijuana as a new state agency works to set up the legal market.

Former Minnesota Gov. Jesse Ventura will join Walz for Tuesday’s signing, according to FOX 9. Ventura, a vocal advocate of marijuana legalization, advocated for the bill during the legislative session. 

Last year, Ventura said Walz had promised to invite him to the signing after a marijuana legalization bill was passed through the legislature.

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EXCLUSIVE: Sen. Tim Scott is rolling out legislation that would require app stores to display the country where apps are developed and owned before users download them amid worries some of the most popular apps in America were developed in China.

Scott, R-S.C., the top Republican on the Senate Committee on Banking, Housing and Urban Affairs, is introducing the ‘Know Your App Act.’ Sen. Roger Wicker, R-Miss., the top Republican on the Senate Committee on Armed Services, and Sen. James Lankford, R-Okla., are original co-sponsors for the bill.

The bill is aimed at protecting national security and giving parents the information they need to protect their children and help them make ‘informed decisions.’

‘Americans should be able to make informed decisions about the online services they use in order to protect their data and security,’ Scott told Fox News Digital. ‘Requiring app stores to display an app’s country of origin is a common-sense solution that can help them do just that.’

Scott, who announced his 2024 presidential bid last week, said parents ‘shouldn’t fear that their family’s online privacy and security could be compromised when unknowingly using an app owned by a foreign adversary.’

The bill would require the Treasury Department and the Department of Commerce to produce a list of adversarial governments that may have undue control over application content moderation, algorithm design or user data transfers.

Under the bill, app stores would be required to provide users the ability to filter out applications from these adversarial countries and warn users about the risk of downloading one of the foreign apps on the list.

If an app developer failed to provide sufficient information to the app store about its country affiliation, the app store would be required to issue multiple warnings over a designated period. If the developer still refused to comply, the app store would be required to remove the app from its store.

The rollout of the bill comes amid findings that, as of March of this year, four of the five most popular apps in the United States were developed in China. Those apps were Temu, CapCut, TikTok and Shein.

Scott said this is ‘particularly concerning’ because China’s national security laws provide a pathway for the Chinese Communist Party to compel application developers to control an application’s content or user data.

China’s national intelligence law of 2017 compels businesses registered in China, or with operations in China, to turn over information and data to Chinese intelligence agencies. U.S. officials and lawmakers have warned that the Chinese Communist Party could compel the company to turn over American users’ data or expose them to propaganda.

Supporters of the bill say people need more information so they can opt out of supporting these apps.

‘Our adversaries will exploit every available tool, including popular apps that gather huge amounts of data on Americans, to gain an advantage over the United States,’ Wicker told Fox News Digital. ‘It is crucial for users to take steps to limit their exposure and be made aware of the risks associated with using foreign-controlled apps.’ 

Wicker added that the legislation would bring ‘much-needed transparency to app stores, empowering Americans to safeguard their families from exploitation.’

‘Seeing ‘Made in China’ on nearly any product nowadays is frustrating to Oklahomans trying their best not to prop up the Chinese Communist Party and Chinese government with their hard-earned money,’ Lankford told Fox News Digital, adding TikTok is a ‘dangerous extension of the CCP.’

‘I want the ‘Made in China’ label and labels for any other countries where apps like TikTok originate to be clearly marked when and where they are downloaded,’ Lankford said. ‘Americans should remain free to buy items from wherever they want, but the least Big Tech can do is label where Americans’ money is going when they download in the app store.’

TikTok, whose parent company ByteDance is based in Beijing, is facing an ongoing security review by the Committee on Foreign Investment in the United States (CFIUS), an interagency group that evaluates threats to U.S. national security posed by foreign investments or transactions.

CFIUS has been looking into TikTok since 2019. In 2020, it unanimously recommended that ByteDance divest from TikTok’s U.S. operations, and it has been threatening to ban TikTok until that happens.

TikTok has created ‘Project Texas,’ an initiative dedicated to addressing concerns about U.S. national security. The initiative creates a stand-alone version of the TikTok platform for the United States isolated in servers in Oracle’s U.S. cloud environment. It was developed with CFIUS and cost the company approximately $1.5 billion to implement.

President Biden signed a $1.7 trillion omnibus spending bill last year that included a measure to ban TikTok from federal government devices.

TikTok has also been banned for use on state-owned electronic devices in more than a dozen states, both Republican- and Democrat-led.

A bipartisan group of senators unveiled a bill in March that would restrict technology — including software, hardware and social media platforms, such as TikTok — developed in adversarial nations like China and Russia from being available to users in the U.S. due to the national security risks.

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California Gov. Gavin Newsom was fact-checked by Florida Gov. Ron DeSantis’ spokesman after he blamed the Memorial Day shooting in Hollywood, Florida, on laws DeSantis signed that are not yet in effect. 

At least nine people, including minors, were hospitalized Monday after an altercation escalated into gunfire at the Hollywood Beach Broadwalk, police said. Police detained one person of interest in the shooting while another remains at large.

Newsom reacted to reports of the shooting on social media, blaming gun violence on a bill DeSantis signed in April that eliminates the requirement for an individual to obtain a permit to carry a concealed firearm.

He claimed the permit-less carry bill DeSantis signed ‘removes requirements’ for background checks, instruction, training and oversight. 

‘Until our leaders have the courage to stop bowing down to the NRA and enact common sense gun safety this kind of senseless violence will continue,’ Newsom tweeted.

However, DeSantis press secretary Jeremy Redfern replied shortly afterward, noting that the bill Newsom referenced is not yet in effect.

‘Hi Gavin,’ Redfern said. ‘How does a law that doesn’t take effect until July 1st change this outcome?’ 

Newsom’s claims about the constitutional carry law removing requirements for background checks are also misleading.

The law allows eligible citizens 21 years of age and up to carry without asking the government for a permit and without paying a fee. The legislation does not change who is eligible to obtain a carry permit, and those who still wish to get a permit may do so under the law. 

Under existing Florida law, people who wish to obtain a license to carry concealed weapons in public must:

Be a citizen or lawful permanent resident of the United StatesBe at least 21 years old’Desire a legal means to carry a concealed weapon’ for lawful self-defensePass a fingerprint-based background checkComplete a firearms training class, among other requirements.

Though the constitutional carry bill makes getting a license — and these requirements — voluntary, the federal government still requires licensed firearms dealers to run a background check on prospective buyers. Neither federal nor state law requires private sellers to conduct background checks.

Monday’s shooting in Hollywood, Florida, happened on the Hollywood Oceanfront Broadwalk near a convenience store, a Ben & Jerry’s ice cream store and a Subway sandwich shop.

The nine people injured included six adults and three children, a spokesperson for Memorial Healthcare System told the Associated Press.

Police spokesperson Deanna Bettineschi said four children between the ages of 1 and 17 were hit, along with five adults between 25 and 65. One was in surgery late Monday while the others were stable, she said. It was not immediately clear if the hospital was counting a 17-year-old as an adult.

Several of the wounded were taken to a children’s hospital, Bettineschi said.

Police are searching for more suspects. 

The Associated Press contributed to this report.

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This past week, we have written a lot about tech (another AI-generated photo), the discordance between the small caps and large caps, rates, debt ceiling and the Fed.

For this weekend, we want to invite you to have a listen to the live coaching Mish does exclusively for our MarketGauge members.

In this recording, Mish covers:

IndicesEconomic Modern FamilyMetals and Commodities-Reading Futures ChartsInterest RatesThe DollarRisk on/off Big ViewAI and tech-quants and the beauty of mathThe impact of Nvidia-some obvious-some under the hoodSpecific stock picks with parameters

Click here to get the link for the live coaching, plus receive actionable information on key ETF indices and sectors.

For more detailed trading information about our blended models, tools and trader education courses, contact Rob Quinn, our Chief Strategy Consultant, to learn more.

“I grew my money tree and so can you!” – Mish Schneider

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Mish in the Media

Mish and Caroline discuss profits and risks in a time where certain sectors are attractive investments on TD Ameritrade.

Powell eyes a pause, Yellen hints at the need for more rate hikes, and debt ceiling talks face challenges… what a way to end the week, as Mish discusses on Real Vision’s Daily Briefing for May 19th.

Mish provides a roundup of the commodities and currency pairs to watch this week on CMC Markets.

Mish explains how the Retail ETF is at a critical level on Business First AM.

In this video, Mish walks you thru the Dollar, Euro, GBP, Gold, Silver and more.

Mish walks you through the fundamentals and technical analysis legitimizing a meme stock on Business First AM.

Coming Up:

May 31st: Singapore Radio with Kai Ting 6:05pm ET MoneyFM 89.3

June 2nd: Yahoo Finance

ETF Summary

S&P 500 (SPY): 23-month MA, 420 support, 410 held.Russell 2000 (IWM): 170 support-180 resistance.Dow (DIA): Right down to its 200-DMA and a confirmed caution phase.Nasdaq (QQQ): Worst case, a potential reversal top on weekly chart; best case, gets thru the weekly highs.Regional banks (KRE): Did the initial damage, now sidelining.Semiconductors (SMH): No doubt she is showing expansion.Transportation (IYT): Like to see this hold 220 this week.Biotechnology (IBB): 121-135 range.Retail (XRT): 56.00 the 80-month MA while momentum is at least flatlining.

Mish Schneider

MarketGauge.com

Director of Trading Research and Education

There’s an old adage of Wall Street, which says: “never short a dull market.” And while AI is getting all the press these days, the oil market is about as dull as it gets. This, of course, brings the energy sector to the top of my contrarian alert list.

This is not to say that I’m buying oil-related assets with both hands. It just means that, at this point, it makes more sense to look at energy as a value asset, as it is oversold and ripe for a move up whenever the right set of variables required to deliver such a move line up just right.

In the current world, the variables could line up just right as early as today.

There are No Oil Bulls Left

Nobody loves oil.

The level of bearishness expressed by futures traders is at least equal to where it was during the pandemic, and after the Silicon Valley Bank (SIVB) collapse. The International Energy Agency (IEA), forecasts that, of the expected $2.8 trillion in energy investments for 2023, roughly $1.7 trillion will be allocated to low carbon energy sources, including nuclear, solar, and other potential sources. Only $1.1 trillion will be invested in fossil fuels.

And according to the Financial Times, auctioneers in Texas are trying to unload two brand new fracking rigs, which together cost $70 million, for a starting combined bid of just below $17 million.

Supply is the Primary Influence on Oil Prices

Meanwhile, oil companies are quietly merging with competitors, and exploration outside the United States is continuing aggressively, with new discoveries being frequently announced. 

Simultaneously, the U.S. active rig count is slowly falling, led by natural gas. The price of gasoline is steadily rising, as the market begins to price in future supply reductions. Just in my neck of the woods, regular unleaded is up some $0.32 in the last week alone.

That doesn’t sound like an industry that’s planning on fading away. It sounds like an industry that’s hunkering down and waiting for better times and preparing to squeeze supply in order to boost prices.

Charting the Oil Sector

The price chart for West Texas Intermediate Crude, the U.S. benchmark (WTIC), shows the depressed price picture which has led investors to walk away. And, until proven otherwise, there are plenty of sellers at the $75-$80 price area, where a sizeable Volume by Price bar highlights the point of resistance.

At first glance, there little difference in the general price behavior for Brent Crude, the European benchmark. (BRENT) where there is a resistance band defined by VBP bars between $80 and $90. A closer look reveals an uptick in Accumulation Distribution (ADI) and the semblance of some nibbling in On Balance Volume (OBV). It’s subtle, but it’s there.

The oil stocks are far from a bull trend. The Energy Select Sector SPDR ETF (XLE) is trading below its 200-day moving average, facing resistance put from $78 to $90 (VBP bars).

So why bother? Simply stated, OPEC has an upcoming meeting on June 3-4. The cartel is not happy about the prices and the way things are evolving. The Saudi oil minister recently warned bearish speculators to “watch out.” And my gut is doing flips when I think about oil, as I see gasoline prices creep up when I drive to work.

But mostly, it’s because there are no oil bulls left. This is what we saw in the technology sector a few months ago before its current rally. In early 2023, the tech sector was pronounced dead. The stories were all about the technology sector shuddering as the economy slowed. How about this one, from March 2023, which breathlessly announced a 5.2% decrease in semiconductor sales on a month to month basis and an 18.5% year to year drop?

Yet, as validated by the recent AI-fueled rally, the bad news first marked a bottom, while preceding a significant move up in tech shares.

Never short a dull market.

I’ve recently recommended several energy sector picks. You can have a look at them with a free trial to my service. In addition, I’ve posted a Special Report on the oil market which you can gain access to here.

Bond and Mortgage Roller Coaster Reverses Course

Expect negative news about the effect of rising mortgage rates on the homebuilder industry. That’s because, as the chart below illustrates, there is a tight and very close correlation between rising bond yields, mortgage rates, and the homebuilder stocks (SPHB).

Moreover, the rise above 3.75% on the U.S. Ten Year Note yield (TNX) has triggered headlines about mortgage rates climbing above 7%. What the news isn’t reporting is that, once bond yields roll over, which they are likely to do at some point in the future when the economy shows more signs of slowing and the Fed finally admits that they must pause, is that mortgage rates will drop and demand for new homes will once again pick up. Thus, we will see the homebuilders pick up where they left off.

As things stood last week, SPHB seems to have made a short term bottom.

For now, expect a continuation of the backing and filling in the homebuilder stocks. But, if I’m right and bond yields reverse course, the homebuilders are likely to rally again.

For an in-depth comprehensive outlook on the homebuilder sector click here.

NYAD Holds Above 200-Day Moving Average. SPX Joins NDX in Breaking Out. Liquidity is Shrinking.

The New York Stock Exchange Advance Decline line (NYAD) tested its 200-day moving average on an intra-week basis but did not break below the key technical level. On the other hand, NYAD remained below its 50-day moving average, which is still an intermediate-term negative.

Moreover, with the major indexes (see below) breaking out to new highs, we remain in a technical divergence as the market’s breadth is lagging the action in the indexes. This is of some concern, given the fade in the market’s liquidity, as I point out below.

The Nasdaq 100 Index (NDX) extended its recent breakout, closing the week well above 14,200. The current move is unsustainable, so some sort of pullback and consolidation are likely over the next few days to weeks. Both ADI and OBV remain encouraging.

What’s more bullish is that the S&P 500 (SPX) finally broke out above the 4100–4200 trading range on 5/24/23. On Balance Volume (OBV) is perking up while the Accumulation Distribution (ADI) indicator is very encouraging.

We may be seeing a shift from a short-covering rally to a fear-of-missing-out buyer’s rally.

VIX Holds Steady

The CBOE Volatility Index (VIX) remained below 20, as it has since March 2023. This remains a positive for the markets, as it shows short sellers are staying away at the moment.

When the VIX rises, stocks tend to fall, as rising put volume is a sign that market makers are selling stock index futures to hedge their put sales to the public. A fall in VIX is bullish, as it means less put option buying, and it eventually leads to call buying, which causes market makers to hedge by buying stock index futures. This raises the odds of higher stock prices.

Liquidity is Getting Squeezed

The market’s liquidity is now in a downtrend. The Eurodollar Index (XED) is now below 94.5, and looks weak. A move above 95 will be a bullish development. Usually, a stable or rising XED is very bullish for stocks.

To get the latest up-to-date information on options trading, check out Options Trading for Dummies, now in its 4th Edition—Get Your Copy Now! Now also available in Audible audiobook format!

#1 New Release on Options Trading!

Good news! I’ve made my NYAD-Complexity – Chaos chart (featured on my YD5 videos) and a few other favorites public. You can find them here.

Joe Duarte

In The Money Options

Joe Duarte is a former money manager, an active trader, and a widely recognized independent stock market analyst since 1987. He is author of eight investment books, including the best-selling Trading Options for Dummies, rated a TOP Options Book for 2018 by Benzinga.com and now in its third edition, plus The Everything Investing in Your 20s and 30s Book and six other trading books.

The Everything Investing in Your 20s and 30s Book is available at Amazon and Barnes and Noble. It has also been recommended as a Washington Post Color of Money Book of the Month.

To receive Joe’s exclusive stock, option and ETF recommendations, in your mailbox every week visit https://joeduarteinthemoneyoptions.com/secure/order_email.asp.

BUD’s stock price has fallen hard, but it may be at a critical buy point. Is the king of beers (or rather, its parent company) a good buy, or is it something to avoid for now? Let’s take a closer look.

What Happened to BUD?

In April of 2023, the Bud Light brand became the center of an online firestorm, particularly on social media, after launching a promotional campaign with a controversial influencer. Within a few months, the reigning king of beers got dethroned, so to speak (at least in the States).

Within those two months, the share price of Bud Light’s parent stock, AB InBev (BUD), plummeted nearly 15%. The word on Wall Street was that the stock price might take a deeper dive yet. Technically, the damage was pretty evident.

But here’s the thing: What if all this hysteria is just an overblown reaction to a marketing ad?

Was the ad enough to dismiss Anheuser-Busch InBev’s diversified beer portfolio, global leadership, dominant market share, and overall potential as a business? If not, does the stock’s decline present a buying opportunity?

A Technical Look at BUD’s Current Scenario

CHART 1: DAILY CHART OF BUD STOCK. The stock price could be close to a critical support level.Chart source: StockCharts.com (click on chart for live version). For illustrative purposes only.

BUD’s buckling in April finally gave way to a plunge in May, toppling the beer king nearly 15% from a high of $66.32 to a low of $56.63. The Relative Strength Index (RSI) and Stochastic Oscillator indicate that the stock’s price has entered oversold territory. Not surprisingly, BUD’s StockCharts Technical Rank (SCTR) also dropped from 96 in April to 39.

Still, BUD’s momentum saw a dramatic shift toward the end of last year, enough to bring the 50-day simple moving average (SMA) well over the 200-day (a Golden Cross event) in a fairly strong, rapid, and definitive gesture.

But if you’re bullish on BUD, here are a few actionable points to consider:

BUD may have declined significantly over the past month, but it’s about to hit its 200-day SMA, which might serve as a critical support level.Right below the 200-day SMA is the range between the 50% and 61.8% Fibonacci retracement levels—both of which serve as ideal entry points for traders looking to go long.

In short, there are technicals confirming this dramatic negative shift in market sentiment, yet you can also see that BUD is approaching a few actionable levels. So, what now?

The Difference is Drinkability (Bud Light’s 2008 Slogan)

In other words, is BUD’s entire portfolio of beers still “globally” drinkable? Here are a couple of things to ponder:

Anheuser-Busch InBev (BUD) is the largest beer company in the world.It controls a third of the world’s market share in beer products.BUD’s portfolio has a list of more than 100 brands.The Bud Light Rebellion is mainly an American response.

Think about BUD, with its huge variety of drinks and global presence. Now, imagine if Bud Light sales were cut by half. How much do you think that would impact their worldwide sales? Probably not much. So, the real question is, how popular are all their different drinks worldwide?

How Might You Trade BUD?

This depends on how risk-tolerant you might be with regard to an early entry. Opening a fraction of a position at the 200-day SMA might make for a smart early entry, yet you can expect the price, should it continue sinking, to penetrate or bounce anywhere within the 61.8% to 50% Fib retracement (around $52 to $55). Waiting for a lagging indicator, such as the Moving Average Convergence/Divergence (MACD) line crossing the signal line, or waiting for the RSI or Stochastic Oscillator to turn up from their respective oversold levels, might be a good way to confirm the trend reversal, but they may also get you in a little later.

Taking an early position is risky, and it relies more on faith in fundamentals than any technical assurances. Yet, technically, the price action is calling attention to its current (potentially actionable) position.

Final Thoughts

Bud Light’s controversial promo resulted in a lot of trouble for its parent stock. Still, despite the backlash, is it enough to hurt BUD’s entire portfolio of 100 global brands and a third of the world’s beer market share? If you think so, then avoid BUD. If you don’t think it can topple the leader, then BUD might present a great buying opportunity. Consider adding it to one of your ChartLists.

Atlanta’s proposed police and fire training center will cost taxpayers more than double the $31 million previously estimated by Mayor Andre Dickens’ administration.

City officials on Friday confirmed that there is a provision in the city’s lease with the Atlanta Police Foundation that will add about $36 million to the public cost of the $90 million complex, The Atlanta Journal-Constitution reported.

The provision, called a ‘lease back,’ requires the city to pay $1.2 million a year for use of the facility over 30 years. That is in addition to the $31 million city taxpayers are contributing toward construction.

Mayor Keisha Lance Bottoms’ administration in 2021 said the city would pay either $30 million or agree to the lease back. However, the lease approved by Atlanta City Council holds the city responsible for both.

The Atlanta Community Press Collective first reported the additional cost on Wednesday.

Atlanta Police Department spokeswoman Chata Spikes called the lease payments ‘budget neutral’ because it is money the city already set aside to have police and firefighters trained.

‘The City currently pays other entities to use facilities that are not designed for public safety training,’ Spikes told the Atlanta Journal-Constitution. ‘The Atlanta Public Safety Training Center will provide an opportunity for AFRD and APD to conduct joint training, an Emergency Vehicle Operations Course, adequate classrooms and community access to include quality greenspace. At the conclusion of the lease payments, the City of Atlanta will own the facilities.’

The facility will be located on the site of Atlanta’s old prison farm in unincorporated DeKalb County. The site is a flashpoint of ongoing conflict between authorities and left-leaning protesters protesting a variety of issues, including against militarization of the police, in favor of environmental protections and opposition to corporations perceived to be helping fund the project through donations to the police foundation.

DaVinci Development, the project management company hired by the police foundation to build the facility, said a soft opening is scheduled for the end of 2024.

Members of the Atlanta Police Department, city officials and others involved in the project on Friday gave media a tour of the site, showing some of the areas where pre-construction has already taken place.

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Sen. Lindsey Graham, R-S.C., is a wanted man in Russia for comments he made while visiting Ukrainian President Volodymyr Zelenskyy on Friday. 

Russia’s Interior Ministry put out a warrant for Graham’s arrest on Monday in response to an edited video released by Zelenskyy’s office in which Graham praised U.S. support for Ukraine’s defense and noted that Russians are dying as Ukraine fights for its freedom. 

In the video, Graham noted that ‘the Russians are dying’ and described the U.S. military assistance to the country as ‘the best money we’ve ever spent.’ 

While Graham appeared to have made the remarks in different parts of the conversation, the short video by Ukraine’s presidential office put them next to each other, causing outrage in Russia.

Kremlin spokesman Dmitry Peskov commented Sunday by saying that ‘it’s hard to imagine a greater shame for the country than having such senators,’ according to the Associated Press. 

Russia’s Investigative Committee moved to open a criminal investigation against Graham and the Interior Ministry followed up with a warrant for his arrest. 

Graham considers the arrest warrant to be a ‘Badge of Honor.’ 

‘To know that my commitment to Ukraine has drawn the ire of Putin’s regime brings me immense joy.  I will continue to stand with and for Ukraine’s freedom until every Russian soldier is expelled from Ukrainian territory,’ Graham said in a statement Monday. 

‘Finally, here’s an offer to my Russian ‘friends’ who want to arrest and try me for calling out the Putin regime as being war criminals: I will submit to jurisdiction of the International Criminal Court if you do,’ he added. ‘Come and make your best case. See you in The Hague!’

Russian forces pummeled the Ukrainian capital of Kyiv with ‘Kamikaze’ drone attacks Saturday night as the city prepared to celebrate the anniversary of its founding Sunday.

Russia launched 54 Iranian-made drones at Kyiv and elsewhere in Ukraine, but air defenses shot down 52 of the drones, according to Ukrainian officials. Two people were killed during Saturday night’s attack, with falling debris landing on one 41-year-old man and another person dying of unspecified causes, Kyiv Mayor Vitali Klitschko said in a statement.

Ukraine has been largely successful in warding off Russian missile and drone attacks in recent weeks thanks to the deployment of U.S.-made Patriot missile systems. The defense system has proven more than a match for Russia’s long-range attacks, with the vast majority of their explosives being shot down mid-flight. 

Fox News’ Anders Hagstrom and the Associated Press contributed to this report.

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President Biden mourned his late son Beau in Memorial Day remarks at Arlington National Ceremony, sharing the pain of loss with those who’ve had family members die in service to the nation.

‘We must never forget the price that was paid to protect our democracy. Must never forget the lives these flags, flowers and marble markers represent. A mother or a father, a son or a daughter, a sister, a spouse, a friend, an American,’ Biden said. Monday. ‘Every year we remember and every year it never gets easier.’

Biden’s eldest son, Beau, died of brain cancer in 2015 at the Walter Reed military hospital in Bethesda, Maryland. Beau Biden was a major in the Delaware Army National Guard and served in the Iraq War. The president has often times said Beau’s death from cancer was caused by ‘burn pits’ in Iraq, for which he signed the PACT Act to expand health care benefits for veterans exposed to deadly toxins. 

The president observed that tomorrow will be the eighth anniversary of his son’s death and he empathized with Gold Star families. 

‘To all those here and across the nation who are grieving, loss of a loved one who wore the uniform, our Gold Star families, for all those with loved ones still missing, unaccounted for: I know how painful it can be, how it can reopen that… rip open that black hole in the center of your chest. You feel like you’re just sinking in,’ Biden said. ‘The hurt is still real. It’s still raw.’  

‘Tomorrow marks eight years since we lost our son, Beau. Our loss, we are not the same. He didn’t perish on the battlefield. It was cancer that stole him from us a year after he deployed as a major in the United States Army National Guard in Iraq. As it is for so many of you, the pain of loss is with us every day, but particularly sharp on Memorial Day,’ he continued.

‘Still clear – tomorrow’s his anniversary – so is the pride Jill and I feel in his service. It’s why I can still hear him saying, ‘Dad, it’s my duty, Dad. It’s my duty.’ Duty. That was the code my son lived by and all those you lost live by. It’s the creed that millions of service members have followed.’

In his speech, the president called on Americans to ‘reflect, to remember, but above all to recommit to the future our fallen heroes fought for.’ He said those who live today because of the service of those who died must continue to fight for freedom, democracy, equality and justice. 

‘This is more important than just our system of government,’ Biden said. ‘It’s the very soul of America, a soul that was forged by our nation’s first patriots. A soul that triumphed over trials and testing less than a century later. A soul that endured because of the sacrifice of generations and generations of service members ever since. Together, we’re not just the fortunate inheritors of their legacy. We must be the keeper of their mission, the bearers of the flame of freedom that kept burning bright for nearly 241 years.’ 

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Sen. Lindsey Graham, R-S.C., vowed Monday he would do everything within his power to ‘undo’ the bipartisan debt ceiling bill and the ‘disaster’ he said it would be for America’s defense.

‘I will use all powers available to me in the Senate to have amendment votes to undo this catastrophe for defense,’ Graham wrote on Twitter. ‘I support raising the debt limit for 90 days to give us a chance to correct this disaster for defense.’ 

‘Have total disgust for political leaders’ decision to make it remotely possible to gut our national security apparatus at a time of great peril. Take this absurd idea off the table,’ he added.

Earlier in the afternoon, he repeated criticism he leveled against the defense spending aspects of the deal on Sunday, calling it ‘welcome news to China,’ and suggested it ran counter to Democrats’ and Republicans’ ‘screaming about the rise and growing threat of China.’

‘How far the Party of Ronald Reagan has fallen. The Biden defense budget has been ridiculed by Republicans for over a year,’ he wrote on Twitter. ‘As to the share of GDP spent on defense, the Biden budget matches and eventually dips below the lowest level in modern history. Nothing in this bill provides weapons or technology to help Ukraine defeat Putin and make the world more stable.’

‘To Biden, McConnell, and McCarthy, what are we going to do about our own national defense as well as our support of Ukraine? We need to know,’ he added.

During an appearance on ‘Fox News Sunday,’ Graham warned House Speaker Kevin McCarthy, R-Calif., against slashing the defense budget in order to reach a deal on the debt ceiling. His comments came prior to the release of the full details of the deal.

‘Number one, I respect Kevin McCarthy. I want to raise the debt ceiling. It would be irresponsible not to do it. I want to control spending. I’d like to have a smaller IRS. I’d like to claw back the unused COVID money. I know you can’t get the perfect – but what I will not do is adopt the Biden defense budget and call it a success,’ Graham said. 

‘Kevin said that the defense is fully funded. If we adopt the Biden defense budget, it increases defense spending below inflation – 3.2% increase in defense is below inflation,’ he added.

Biden and McCarthy reached an agreement on the debt ceiling late Sunday, averting a potentially catastrophic U.S. default just days ahead of a June 5 deadline. They released the House version of the bill later in the evening.

The deal includes a 3% rise in defense spending next year, less than the current annual inflation rate of more than 4%. It would also keep nondefense spending roughly flat in the 2024 fiscal year and increase it by 1% the following year, as well as provide for a 2-year debt-limit increase.

The House Rules Committee will meet at 3 p.m. on Tuesday to prepare the debt ceiling bill for a debate on the floor Wednesday.

Fox News’ Danielle Wallace, Bradford Betz and Chad Pergram contributed to this report.

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