Evening Update: Israel says Gaza war likely to last another seven months as tanks probe Rafah

Good evening, let’s start with today’s top stories:

Israel predicts its war on Hamas in Gaza will continue all year, following an announcement from Washington that the Rafah assault did not amount to a major ground operation that would trigger a change in U.S. policy.

Israel has sent tanks on raids into Rafah, despite an order from the International Court of Justice to end its attacks on the city, where many Palestinians had taken refuge from bombardment elsewhere. The World Court said Israel had not explained how it would keep evacuees from Rafah safe and provide food, water and medicine. Its ruling also called on Hamas to release hostages taken from Israel on Oct. 7 immediately and unconditionally.

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• Police clear intersection of pro-Palestinian protesters on University of B.C. campus

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Bank of Montreal impaired loan provisions mount as U.S. business faces pressure

Bank of Montreal’s provisions for loans that are unlikely to be repaid are mounting, and the lender expects pressure to continue as consumers and businesses wait for central banks to cut interest rates.

The ratio of impaired loans to the bank’s overall lending portfolio has exceeded the expectations BMO set last year, signalling rising risk in its consumer and business debt segments. Meanwhile, waning loan demand and higher costs to hold customer deposits dragged on second-quarter profit in the bank’s U.S. business, which added California-based Bank of the West last year.

Read more:

• National Bank beats quarterly profit estimates, raises dividend
• BMO, National Bank, TD and Scotiabank: A breakdown of the big banks’ second-quarter earnings

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Jury in Donald Trump’s hush money case asks to rehear testimony as deliberations get under way

The outcome of Donald Trump’s history-making hush money trial is now in the hands of a dozen New Yorkers who have vowed to be fair and impartial in the face of their unprecedented task as jury deliberations begin.

Just hours after embarking on their closed-door discussions, the jury returned with separate notes asking to rehear testimony about the alleged hush money scheme at the heart of the case and to rehear legal instructions from the judge that are meant to guide them in their deliberations.

The notes were the sole communication with the court since the jury of seven men and five women was sent to a private room just before 11:30 a.m. to begin weighing a verdict in the historic case. Though the deliberations are secret, notes are used to send questions or messages about the case and to notify the court of a verdict, or if they are unable to reach one.

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ALSO ON OUR RADAR

Anglo American refuses to extend takeover talks with BHP, signalling end of mining megamerger attempt: BHP Group Ltd., the world’s biggest mining company, is seeing its megamerger proposal with Anglo American PLC fall apart, with the smaller company rejecting BHP’s call to extend the takeover talks.

Ag Growth International confirms it rejected unsolicited takeover offer: Ag Growth International Inc. has confirmed it rejected a recent takeover offer, and the farm equipment manufacturer’s share price soared on the prospect of further bids.

Industry group seeks input on national EV strategy: The union representing Canada’s auto workers sees the push to build up the supply chain for electric vehicles as key to a renaissance for its members, as car and truck assembly gets retooled for a new era.

South Africans vote in most competitive election since end of apartheid: South Africans are voting in the most competitive election since the end of apartheid, amid high turnout and with opinion polls suggesting the African National Congress may lose its parliamentary majority after 30 years in government.

National Ballet School may need to rescind offers under study-permit cap: Canada’s National Ballet School says it may be forced to rescind or defer offers for its competitive teacher-training program because its status as a career college has caught it in a tangle of jurisdictional red tape over new student immigration rules.

MARKET WATCH

Canada’s main stock index fell 1.6 per cent Wednesday in a broad-based decline, while U.S. stock markets also fell.

The S&P/TSX composite index closed down 367.07 points at 21,897.98.

In New York, the Dow Jones industrial average was down 411.32 points at 38,441.54. The S&P 500 index was down 39.09 points at 5,266.95, while the Nasdaq composite was down 99.30 points at 16,920.58.

The Canadian dollar traded for 72.99 cents US compared with 73.32 cents US on Tuesday.

The July crude contract was down 60 cents at US$79.23 per barrel and the June natural gas contract was down 10 cents at US$2.49 per 1,000 square feet.

The August gold contract was down US$15.20 at US$2,364.10 an ounce and the July copper contract was down seven cents at US$4.79 a pound.

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TALKING POINTS

The age of the Beer Store is over. The time for a better system has come

“While at one point the Beer Store accounted for about 90 per cent of the ale and lager sold in Ontario, it was never known for its joyful shopping experience. From the days when you would select your brand from an illustrated wall of labels, case sizes and prices, after which your beer was rolled out assembly line-style from the warehouse in back, to the modern walk-in refrigerators stacked with cases of six, 12 and 24, buying beer at the Beer Store has always been a process to be endured rather than enjoyed.” – Stephen Beaumont

Joe Biden has a problem. Her name is Kamala Harris

“To say that Ms. Harris has been a disaster in her position might be an overstatement, but not much of one. Her polling numbers are frightening. A YouGov poll from earlier this month found that 55.2 per cent of Americans had an unfavourable opinion of Ms. Harris, compared with 41.6 per cent favourable. And an NBC voter intention survey last summer found that she had a net minus-17 rating – the lowest NBC has ever measured for a sitting vice-president. Why is she so unpopular?” – Gary Mason

A test for the new Senate awaits

“The Senate has changed dramatically since 2015. Few Canadians likely realize the degree to which it has become a creation of Liberal Prime Minister Justin Trudeau’s policies, and how that might impact a future Conservative government.” – The Editorial Board

LIVING BETTER

Nine wines from British Columbia to buy now

Despite the uncertain future faced by wineries in the Okanagan and Similkameen valleys following a devastating cold snap in January that killed more than 90 per cent of the buds that would have produced this year’s grape crop, they are heading into the summer with stocked shelves. Christopher Waters recommends several wines from British Columbia’s 2022 vintage, which was the source of a solid selection of high-quality red, white and sparkling wines to seek out.

TODAY’S LONG READ

How to spend three days in Barranco, Lima: Eat, eat, eat

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In February, Caora McKenna spent two warm weeks walking and eating her way through Lima’s Barranco neighbourhood. She was eating what Peruvians call lonche, a tradition similar to late-afternoon tea, at 4 or 5 p.m., then dinner a few hours later until someone told her Peruvians only eat one or the other. But McKenna couldn’t help it – every incredible meal left her more excited for the next one. If you’re visiting Lima on your way to Machu Picchu and don’t have two weeks in the city, here are three food-focused and affordable days she suggests in Barranco instead.

Evening Update is written by Emerald Bensadoun. If you’d like to receive this newsletter by e-mail every weekday evening, go here to sign up. If you have any feedback, send us a note.