Thursday morning news: September 17, 2026

Editor's note: The following text is a transcript of a podcast story. To listen to the story, click on the arrow beneath the headline above.

Fed announcement » The Federal Reserve raised interest rates Wednesday, for the first time in three years. It's trying to push down inflation.

The increase is a quarter of a percentage point, taking the Fed's rate to just under 4%. Several of the biggest banks are already passing it along, raising the base rate that credit cards are built on. Card rates usually rise within a month or two.

Fed Chairman Kevin Warsh:

WARSH: Job gains have kept pace with the workforce and the unemployment rate has changed little, but inflation remains elevated.

The Labor Department says consumer prices were up 3.4 percent in August from a year earlier. The Fed wants that down around two percent.

In forecasts released with the decision, most Fed policymakers expected at least one more increase this year.

WARSH: The plain fact is that inflation is too high and has been for too long. This summer's inflation readings do not tell me that underlying trends have meaningfully improved.

President Trump has been pushing for lower rates for months.

Iran update » The White House says the war with Iran is moving into a new phase.

Vice President JD Vance told the New York Post there are two phases to this, and the first is done. He said that meant destroying Iran's nuclear program and its conventional military. The second—his words—is to ensure that they're not able to rebuild. Vance wouldn’t say what that would take or offer a firm timeline to completion.

But his remarks came after President Trump last week predicted the war would end just after the November election, saying Iran can’t hold out any longer.

Vance’s comments also came hours after this House vote:

AUDIO: On this vote, the yays are 220, the nays are 204. The concurrent resolution is adopted without objection and the motion to reconsider is laid on the table.

The resolution calls for the war to end, unless lawmakers sign off on continuing.

Seven Republicans joined Democrats, with most of the seven saying their vote wasn’t denouncing the war, but calling on Trump to get approval from Congress.

The resolution makes a statement, but nothing more. Two similar House resolutions passed this year, but they weren’t binding. Neither is this one.

Venezuela oil announcement » Another American oil company planning a move into Venezuela.

Oklahoma's Continental Resources announced a handshake deal Wednesday with Venezuela's state oil company to drill in the Orinoco Belt. It won't say how much it's spending, or how much oil it expects to pump. And the deal is not yet final.

Energy Secretary Chris Wright:

WRIGHT: It's a milestone deal in the US-Venezuelan relationship. It's a milestone deal in making the Western Hemisphere the center of the global energy system

Chevron and Italy's Eni signed on this month.

Venezuela has more confirmed oil in the ground than any country on earth, a five-day sail from US Gulf Coast refineries.

And with global oil supplies disrupted by Middle East conflict, Interior Secretary Doug Burgum says this is good news for global energy.

BURGUM: Moving the geopolitical center of energy, uh, away from the Middle East, away from geographic choke points, away from, uh, fifty years of, uh, of, uh, uh, oil-funded, uh, terrorism

Acting President Delcy Rodríguez was not elected to the post, and no elections are yet scheduled. Critics, including opposition leader María Corina Machado, say an illegitimate government shouldn't be selling oil drilling rights in Venezuela.

Retail sales » American consumers are still opening their wallets, even with elevated gas prices. WORLD’s Benjamin Eicher reports:

BENJAMIN EICHER: U.S. retail sales jumped 1.2 percent in August, beating expectations after sales fell in July. Online shopping rebounded sharply, while higher gas prices boosted gas-station sales. But spending was strong elsewhere too.

However, some economists warn consumers may not be able to keep spending at this pace as inflation eats into their buying power. The Labor Department says consumer prices were up 3.4% in August from a year earlier.

For WORLD, I’m Benjamin Eicher

Canada EU associate member push » The European Union took the first steps yesterday toward a new partnership with Canada.

SOUND: [Meeting in Strasbourg]

European Commission President Ursula von der Leyen shook hands and posed for photos with Canadian Prime Minister Mark Carney in Strasbourg, France Wednesday. During her State of the European Union address, she told Carney:

LEYEN: We want to bring the relationship with Canada to the highest level possible...so I would like to work with you on opening the door for Canada to being the first associate member of the European Union.

She said the new partnership would build on their existing free-trade agreement on everything from critical minerals to artificial intelligence and cyber security.

LEYEN: We will work on intelligent manufacturing. We will create a tech alliance. We will integrate defense industrial bases…

This comes amid cooling relations between the United States and Canada. Bilateral trade talks between the two countries broke down last month. President Trump responded by imposing a 50 percent tariff on roughly $20 billion worth of Canadian goods.

And Canada retaliated with dollar-for-dollar tariffs that began last week.

I'm Kent Covington.

Coming up: A medical mystery leads researchers to the connection between body and soul. Plus, making American history fun—one movie, musical, and handstand at a time.

This is The World and Everything in It.

WORLD Radio transcripts are created on a rush deadline. This text may not be in its final form and may be updated or revised in the future. Accuracy and availability may vary. The authoritative record of WORLD Radio programming is the audio record.