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Welcome to the Brussels Edition, Bloomberg’s daily briefing on what matters most in the heart of the European Union.

European foreign ministers gathering in Brussels today to discuss the febrile situation in the Middle East find themselves largely sidelined, watching events unfold with little power to influence the outcome. They used to be players in the on-again-off-again nuclear negotiations with Tehran, but have been marginalized under the Trump administration. They were not brought into the US president’s thinking at the G-7 and their last-ditch efforts at diplomacy proved futile in Geneva last week.  All that is left for European NATO allies with a stake in the Middle East is for to Trump decide to show up at the alliance's summit in The Hague tomorrow.

Flavia Krause-Jackson and Max Ramsay

What’s Happening

Spain’s Exemption | Spain obtained an exemption from NATO’s ambitious defense spending target of 5% of GDP, Prime Minister Pedro Sanchez said. In a letter we saw to NATO’s Mark Rutte, the Spanish premier committed to meeting the alliance’s new weapons and troop targets, but without agreeing to the price tag NATO had attached.

Israel Reprimand | EU foreign ministers will discuss a report commissioned by the EU which found Israel may have broken the humanitarian terms of the accord that dictates their bilateral relations, we’ve learned. They’re set to discuss their next steps today in Brussels. 

Deadline Approaches | The US is making demands in trade talks that the EU sees as unbalanced, unilateral concessions, we’re told. It sets up a tough decision over whether to move ahead with countermeasures if terms of any deal don’t improve. 

Stimulus Support | The European Central Bank needs to provide the economy with “further stimulus,” Governing Council member Mario Centeno told La Stampa. The Portuguese central bank chief’s term is due to end before the next rate decision and the government has yet to make a decision on his reappointment. 

Around Europe

Belarus Diplomacy |  Trump envoy General Keith Kellogg visited Belarus and met with President Alexander Lukashenko over the weekend. It’s the highest-level contact between the countries in years. Lukashenko released 14 imprisoned opposition activists following the meeting. 

Ceasefire Doubts| Ukraine’s commander-in-chief sees no signs Russia plans to wind down its war on the country. Ukraine and its Western partners have been trying to push Russia toward a ceasefire since March.

Romanian Coalition | Romania is heading toward a broad coalition government after the largest pro-European party voted to join the cabinet of Prime Minister-designate Ilie Bolojan. The new government’s to-do list will include tackling the EU’s biggest budget shortfall. 

Venice Nuptials | Amazon founder Jeff Bezos and former TV presenter Lauren Sanchez are set to have some unwelcome guests at their wedding in Venice this week. Anti-tourism activists are determined to disrupt the $10 million bash. 

Chart of the Day

US airstrikes on Iranian nuclear facilities are sharpening the focus on one option Iran is yet to really deploy in the conflict: disrupting the global oil trade, particularly through the Strait of Hormuz. Greece’s shipping ministry has already advised the country’s vessel owners to review the use of the waterway. 

Today’s Agenda

All times CET

  • 7:30 a.m. EU foreign ministers arrive ahead of meeting in Brussels, with press conference at 3 p.m. 
  • 10 a.m. Commission President Ursula von der Leyen hosts New Zealand Prime Minister Christopher Luxon
  • 3 p.m. ECB President Christine Lagarde appears before European Parliament finance committee
  • 3 p.m. NATO Secretary General Mark Rutte holds press conference in The Hague ahead of the NATO leaders’ summit
  • 5 p.m. Canadian prime minister Mark Carney arrives for EU-Canada Summit in Brussels, with press conference at 7:20 p.m. 
  • 5:15 p.m. EU trade commissioner Maros Sefcovic speaks in panel on trade policy at the Federation of German Industries’ 'Day of Industry' (livestream here) in Berlin

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