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US president speaks with Hezbollah, Israel as attacks escalate | Morning News Bulletin 2 June 2026

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In this bulletin, the US president contacts Hezbollah in unprecedented step in negotiations, signs Australian house prices set to fall after a 30-year upswing. And in football, Socceroos coach Tony Popovic backs the youngsters in choosing his World Cup squad.


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Presented by Hannah Hodson

Source: SBS News


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In this bulletin, the US president contacts Hezbollah in unprecedented step in negotiations, signs Australian house prices set to fall after a 30-year upswing. And in football, Socceroos coach Tony Popovic backs the youngsters in choosing his World Cup squad.


Listen to Australian and world news and follow trending topics with SBS News Podcasts.

TRANSCRIPT

US President Donald Trump says Israel and Hezbollah have agree to de-escalate tensions.

In a post on social media, he says he had a call with Israel's prime minister - and then another call with Hezbollah.

Meanwhile, in Lebanon, Israel expanded its ground offensive, after capturing Beaufort Castle in the country's south.

The UN Security Council has convened for an emergency meeting on Lebanon [[Mon 2 June local time]].

The UN Secretary-General Antonio Guterres's spokesman Stephane Dujarric says there is deep alarm over the escalation in military activities across southern Lebanon and beyond.

"We condemn all the loss of civilian lives. There is no alternative to a diplomatic solution to break this cycle of violence and to achieve sustainable stability on both sides of the blue line. The US-sponsored Lebanon-Israel negotiations resuming tomorrow must be given a real chance to succeed.”

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The newly elected Solomon Islands prime minister Matthew Wale has arrived in Australia for his first official overseas trip.

He touched down in Canberra on Monday ahead of bilateral talks with Prime Minister Anthony Albanese on Wednesday.

The pair are expected to discuss a possible new treaty agreement and China's influence in the Solomons.

Mr Wale has been critical of a security pact his predecessor, Manasseh Sogavare signed with Beijing in 2022, which allows China to deploy troops in the Solomons, though the exact terms of the agreement remain undisclosed.

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A senior Ukrainian presidential aide says an end to the war in the northern winter is a realistic goal.

Kyiv says it's preparing for visits by a US delegation to both Ukraine and Russia, as efforts continue to restart stalled peace negotiations.

Ukraine has launched drone attacks on Russian oil facilities and supply routes this week, while Russia continues missile and drone strikes across Ukraine.

In Russian-controlled Crimea, authorities have introduced fuel rationing after attacks disrupted supply lines - as Ukraine President Volodymr Zelenskyy claims 40 per cent of Russian refining capacity is offline.

"Our warriors now have the capability to reach Russian military logistics across virtually the entire depth of the temporarily occupied territory. There are practically no safe roads left for the occupier in the South and East of our state. This is further proof that there will be no calm times for the occupier on our land."

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Government ministers have dismissed the first prominent poll to put Pauline Hanson's minor party as the most popular in Australia.

But the political veteran warns she's not to be underestimated and says she believes she has the ability to be prime minister.

The poll sets the Coalition's primary vote at 20 per cent, Labor at 28 per cent, while support for One Nation is shown to have risen four points to 31 per cent.

David Littleproud's conservative seat of Maranoa - Queensland's largest electorate - is a prime One Nation target.

The Nationals leader says he'd be a fool to take his seat for granted.

"You don't take anything granted these days. It's a fragmented electorate, and in fact, demographics change."

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A leading economist says falling home prices in Sydney and Melbourne might just have signalled the end of Australia's 30-year housing super cycle.

Home values fell 0.9 per cent in Sydney and 0.8 per cent in Melbourne during May, according to Cotality data.

AMP chief economist Shane Oliver warns the decades-long upswing in prices is nearing a close - thanks to rising rates, poor affordability, the tightening of property tax concessions in the budget and a political shift towards lower migration.

But he says an undersupply will maintain upward pressure on prices.

Meanwhile, renters are getting little relief, with a national vacancy rate of just 1.5 per cent expected to keep pushing rents higher in coming months.

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Socceroos coach Tony Popovic has put his faith in fresher faces in choosing his squad for the World Cup.

Whilst skipper Mat Ryan and midfielder Mat Leckie have equalled an Australian record by making a fourth World Cup selection, 17 of the 26 players will be making their World Cup debuts.

It's the Socceroos' sixth World Cup in a row, but only seven of the 26 men chosen have been to one before.

Mr Popovic says he's backing talent where he sees it and is proud to be giving strong young players the opportunity to shine.

"I think we have shown that we are not afraid to play the youngsters. Will they be better in four to eight years? Without a doubt. But that's not to say they are not good enough now, if they weren't I wouldn't play them, and I wouldn't have them in the squad. So, I don't need anyone to dampen the expectation, they should believe, they should love to see these boys play and have the mix of the experience and the youngsters."


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