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USA
Dispatch: China Factors in U.S.-South Korean Relations | STRATFOR

EUROPE
NSTR

RUSSIA
Iran, Russia: Ahmadinejad's Message Gets Personal | STRATFOR

Russia: Suspects In Power Plant Attack Killed July 25, 2010

Two individuals suspected of involvement in the July 21 attack at the Baksanskaya power plant in Kabardino-Balkaria, Russia, were killed by Russian security forces July 25 in Dugulubgey, Baksanskiy district, Interfax reported. According to a statement by the Kabardino-Balkaria Interior Ministry, an operation was conducted at 4 p.m. Moscow time against the two members of an “underground bandit group.” The individuals, identified as R. Orshogdugov and R. Seyunov, were on a list of Russia’s most-wanted fugitives, according to the statement.

Dispatch: Reassessing Russia | STRATFOR

IRAN
Iran: To Conduct Nuclear Fusion Research July 24, 2010

Iran seeks to conduct nuclear fusion research in an effort to break into the alternative energy, Press TV reported July 24, citing Ali-Akbar Salehi, the head of the Atomic Energy Organization of Iran (AEOI). Salehi said some 50 scientists have been employed to work on the project. The study phase of the project has been initiated at the AEOI headquarters in Tehran.

Iran: Zahedan Attackers Arrested July 24, 2010

A number of individuals who aided and abetted those who carried out attacks in the Zahedan Grand Mosque have been arrested, Press TV reported July 24, citing Ali Abdollahi, the Iranian Interior Minister’s Security Deputy. Abdollahi said the attackers were linked to the Rigi cell and that U.S. support for the attackers is evident, as the communication systems used in the attack are only used by the world’s most advanced intelligence services. He also said connections between the militants and NATO forces stationed in Afghanistan is clear.

Turkey, Iran, Brazil: Discuss Nuclear Swap Agreement July 24, 2010

The foreign ministers of Iran, Turkey and Brazil are scheduled to meet in Istanbul on July 25 to discuss the nuclear swap deal they signed in May, Reuters reported July 24. Turkish Foreign Minister Ahmet Davutoglu will meet and hold a joint news conference with Brazilian Foreign Minister Celso Amorim before they hold a three-way meeting with Iranian Foreign Minister Manouchehr Mottaki. The fuel swap deal agrees to ship 3.5 percent enriched uranium from Iran to Turkey in return for 20 percent fuel for a medical research reactor in Tehran.

Iran: IRGC Dismisses Likelihood Of U.S. Attack July 24, 2010

Brigadier General Mohammad Ali Jafari, the commander of the Islamic Revolution Guards Corps, has dismissed the likelihood of a U.S. attack against Iran, Press TV reported July 24. IRNA quoted Jafari as saying the United States “will not dare attack Iran” as it is aware of Iran’s determination and military capabilities. He warned Iranian youths against enemies’ soft war plots and called for further preparedness to confront soft threats against Iran and the Islamic Revolution.

Iran: To Halt Trade With Countries That Impose Restrictions July 24, 2010

Iran warned July 24 that it would stop trading with countries that impose restrictions on its assets abroad in light of tightening international sanctions over its disputed nuclear activities, Reuters reported. Hamid Borhani, deputy head of the Central Bank of Iran, said his country would stop trading with countries that create limitations for Iran’s assets.

Iran: To Pursue War Reparations From Iraq July 24, 2010

Iranian Parliament Speaker Ali Larijani said July 24 that Iran would pursue war reparations from Iraq, Mehr news agency reported. He said that while certain paragraphs of UN Resolution 598 have been implemented, the paragraph on getting war reparations from Iraq has not. Larijani also stated that the attacks that took place in Iran’s Sistan-Balochistan province have their roots in security affairs and are not related to political or cultural issues.

Iran: Nuclear Negotiator To Meet With EU Foreign Affairs Chief July 25, 2010

Iranian nuclear negotiator Saeed Jalili will meet with EU foreign affairs chief Catherine Ashton in the near future, Iran’s state-run Mehr news agency reported July 25, citing Turkish Foreign Minister Ahmet Davutoglu. Davutoglu said the meeting would likely take place in Istanbul, but did not specify a date.


IRAQ
Iraq: Second Parliamentary Session Set For July 27 July 25, 2010

The Iraqi parliament will meet July 27 to hold its second session since the March 7 parliamentary elections, according to Parliament Speaker Fouad Massoum, Al-Iraqiya television reported July 25.

Iraq: Al Qaeda Claims Responsibility For Attacks July 24, 2010

Al Qaeda in Iraq has claimed responsibility for two attacks on July 18 against its former Sunni Muslim allies, Reuters reported July 24. In the first attack, a suicide bomber struck members of the government-backed “Sahwa” militia in the southwestern outskirts of Baghdad. In the second attack, a suicide bomber killed four and wounded six during a meeting of local Sunni militia leaders in western Iraq near the Syrian border. Al Qaeda said the attacks were part of an action against “leaders of apostasy.”

ISRAEL
Israel: Lebanese Aid Flotilla 'Unnecessary Provocation July 23, 2010

Israeli Defense Minister Ehud Barak said July 23 that the Lebanese aid flotilla bound for the Gaza Strip is an unnecessary provocation, Haaretz reported. Barak said the Lebanese government is responsible for keeping the flotilla from departing, but should it depart, the Israeli navy will accompany it to the Ashdod port. If the flotilla refuses to go to Ashdod, the Israelis said they will have no choice but to apprehend it.

Israel: Two Qassam Rockets Fired From Gaza Strip July 24, 2010

Palestinians fired two Qassam rockets from the Gaza Strip into Israel on July 24, Voice of Israel Network B reported. The rockets exploded in open fields belonging to the Hof Ashqelon Regional Council. The explosions caused no injuries or damage.

Palestinian Territories: Police Investigate Possible New Rocket July 24, 2010

The rocket fired into Israel in the early morning hours of July 24 was not a Qassam, but could be a more advanced type of projectile smuggled into the Gaza Strip, Haaretz reported, citing police officials. The rocket the officials were referring to failed to explode after being launched by Gaza militants into the western Negev. The rocket, which has been transferred to a police laboratory, may be a new, more precise standard issue projectile as opposed to the local, home-made Qassams.

Palestinian Territories: No Direct Talks Without Framework - Abbas July 25, 2010

Palestinian President Mahmoud Abbas said he will not enter direct peace talks with Israel despite worldwide pressure until a clear framework for the talks is established, AP reported July 25. Abbas told Voice of Palestine radio that he had received phone calls in recent days from the leaders of Germany, the United Kingdom and Italy urging him to open direct talks. Top Palestinian negotiator Saeb Erekat said he would request the Arab world recommend continuing indirect talks until Sept. 8, when they are scheduled to end. Erekat said Palestinians will decide on their course of action at that point.


SOUTH OF THE BORDER
Mexico: Police Investigate Possible New Drug Gang July 26, 2010

Mexican police are investigating the authenticity of a possible new drug gang calling itself the New Cartel of Sierra after six bodies were found in a car in Chilpancingo, Guerrero state with a note from the group claiming credit for the killings, AP reported July 26.

MISC

Iran: China Rejects Currency Switch July 23, 2010

China has rejected an Iranian proposal to switch to the yuan to settle oil transactions, Argus Media reported July 23. Chinese traders said the move would be impractical because the yuan is not freely traded and will likely continue to appreciate in the near future. China’s affirmative vote on UN sanctions against Iran also raises political considerations for such a deal, another trader said.

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Agenda: With George Friedman | STRATFOR