By Anne Flaherty

Good morning. I'm Anne Flaherty, the WSJ's National Security editor, filling in for Damian Paletta.

Now what? It's a question Republicans are likely asking themselves after President Trump's latest roller-coaster ride on major national security issues.

Trump started Wednesday by blowing up his own plans to install Jay Clayton, a top federal prosecutor, to lead the U.S. intelligence community.

Clayton's nomination was considered crucial for two reasons. For starters, he was expected to sail through confirmation -- a win for national security-minded Republicans. But secondly, and perhaps most important, Clayton wasn't Bill Pulte, Trump's original pick who faced steep objections in Congress.

Republicans must have thought they dodged the Pulte-bullet when they went to bed Tuesday night only to wake up to Trump's social-media post declaring the hearing was canceled. The Senate Intelligence Committee's Republican chairman, Tom Cotton of Arkansas, initially insisted to reporters the hearing would still move forward, only to call it off minutes later.

Trump then took the mic at the G-7 summit in France to assure the American public -- and Republicans facing voters this fall -- that the war in Iran was winding down. He insisted the deal was solid and much needed to prevent "economic catastrophe."

But would it end the war as Republicans wanted ahead of the midterm elections and curb Iran's nuclear program as promised? Trump acknowledged there were a lot of loose ends. He could always resume bombing, he said. Or blame Vice President JD Vance, he joked.

"If it works out, I'm going to take the credit. If it doesn't work out, I'm blaming JD," he said.

There will be no Politics Newsletter tomorrow on account of the Juneteenth holiday.

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People and Policies I'm Watching

Supreme Court: Justices hand down their latest decisions at 10 a.m. ET.

Barack Obama: All living former presidents are expected to be in Chicago for the opening of the Obama Presidential Center.

Trump's Thursday: The president is set to participate in a pretaped interview at the White House at 2 p.m. ET, receive his daily intelligence briefing at 3 p.m. and take part in a Medal of Honor ceremony at 4 p.m.

What I'm Following

The Fed signaled that rates may be headed higher after Kevin Warsh's first meeting as chairman. Officials indicated Wednesday that the next move may be to raise interest rates rather than cut them, underscoring how sharply the inflation outlook has turned.

Trump said talks with Anthropic over restoring access to the company's latest AI models were "going fine." After a lunch with tech bosses at the G-7, including Anthropic CEO Dario Amodei, Trump and Commerce Secretary Howard Lutnick said negotiations are continuing. The administration's ban on foreign use of two Anthropic AI models last week fueled concerns about access to the technology and coordination over AI risks.

Trump's frustration is growing as Senate GOP Leader John Thune keeps saying "no." The president wants Republicans in Congress to follow his lead, but recently he has been hearing a lot of "no" from Thune. That has led to open conflict as Trump tries to push through a voter-ID bill that he says is crucial to GOP midterm prospects but lacks the votes to pass. The standoff is one of several disputes increasing pressure on Thune as he faces a difficult political position just months before the elections.

A smooth G-7 calms U.S.'s allies. The gentle waters of Lake Geneva, an interim deal with Iran and a friendly meeting with Ukrainian President Volodymyr Zelensky all appeared to have subdued this year's gathering in France. And that is coming as big relief to America's friends.

What Else Is Happening

   -- The Journal explains the crucial points of Trump's memorandum of 
      understanding to reopen the Strait of Hormuz and wind down the war with 
      Iran. 
 
   -- The White House has warned all 50 states that they risk losing federal 
      funding for unemployment insurance benefits if they don't comply with 
      antifraud efforts. 
 
   -- Inside the complicated relationship between Trump and Israeli Prime 
      Minister Benjamin Netanyahu. 

What I'm Reading

   -- An Engineer Marking his Wedding Anniversary, Service Members and Boeing 
      Employees Are Among the Victims of B-52 Bomber Crash (CNN) 
 
   -- AI Is Taking Over Hospitals (The Atlantic) 
 
   -- Cape Verde Star Goalkeeper Vozinha's Mother Gets Visa to Attend Next 
      World Cup Match (The Washington Post) 

About Me

WSJ Politics brings you an expert guide to what's driving D.C., every weekday morning. Send your feedback to politics@wsj.com (if you're reading this in your inbox, you can just hit reply). This edition was curated and edited in collaboration with Alistair Dawber and Dick Streuly. Got a tip for us? Here's how to submit.

(END) Dow Jones Newswires

June 18, 2026 07:27 ET (11:27 GMT)

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