Israel Today: Ongoing War Report - Update from 2026-07-07 at 03:02

HEADLINES
Iran missiles strike two ships in Hormuz
Iran-linked Cavern Manticore targets Israeli government networks
Trump seeks 350B defense funding package

The time is now 3:01 AM in New York, I'm Noa Levi and this is the latest Israel Today: Ongoing War Report.

In Iranian Retaliation, Iran's Foreign Minister Abbas Araghchi warned in a post on X that negotiations on a final deal will not commence if threats by the United States continue. He cited Paragraph 13 of the Memorandum of Understanding, saying negotiations on the final deal would begin only on the other paragraphs if threats persist, and urged the United States to honor its signature. Paragraph 13 outlines that signatories are committed to implementing a ceasefire, lifting the blockade of the Strait of Hormuz, waiving sanctions, and unfreezing restricted assets, with negotiations on the final package focused on the remaining paragraphs. Araghchi also noted that millions of Iranians rallied in unity to honor Grand Ayatollah Khamenei and that neither they nor Iran’s armed forces are moved by threats. In a separate development, reports indicate that the Iranian regime fired missiles at two commercial ships in the Strait of Hormuz, causing significant damage; one vessel appears to be a Qatari gas tanker, with crew reporting an engine room fire after being struck, underscoring the ongoing risk to global shipping and energy supplies.

In US Military Role, President Donald Trump called on Congress to pass Reconciliation 3.0, a defense funding package totaling $350 billion, in a Truth Social post. He said, “The United States Military has never been stronger, or more powerful,” citing historic recruiting, high morale, and a display of power during the celebrations of 250 years of American independence. He urged that Reconciliation 3.0 be the House and Senate’s top priority and suggested pairing it with the full funding of the War Department to keep the United States free for generations. The report noted that in June, some members of the House Budget Committee indicated they would not vote for Reconciliation 3.0 unless it was fully paid for on a yearly basis, with House Budget Chair Jodey Arrington stating the legislation could be fully covered by existing funding.

In the Conflict with Iran and its Regional Proxies, an Iran-linked hacking group identified as Cavern Manticore has launched a new framework to attack Israeli government and IT organizations while evading traditional detection. Check Point Research said the group, tied to the Iranian Ministry of Intelligence and Security, has been monitored since early 2026 and can tailor attacks to new environments, limit defenders’ recovery, and extend access through specialized modules for expansion and data access. The group reportedly began by targeting trusted IT providers to spread the tool, gaining access to files, downloading additional programs, scanning networks, testing passwords, and moving deeper into targets. Once installed, the tool can infiltrate programs used to access other computers, and malware is described as being disguised as legitimate updates from the IT provider to customers.

In Israeli Domestic Politics, the High Court of Justice issued a warning to the government regarding the Second Authority for Television and Radio, stating that elected officials must comply with court rulings or risk civil lawsuits. The decision by Supreme Court President Isaac Amit and Justices Alex Stein and Ruth Ronnen did not grant new interim relief or decide the petitions; instead, the panel emphasized returning to basic first principles. The court cited a 2008 ruling on the duty to comply with judicial decisions, underscoring that compliance with court judgments is a fundamental condition for the rule of law. The ruling distinguished between a private citizen who disregards a court order and a state authority that does so, warning that noncompliance by either undermines legal order and social stability.

In Israeli Economy and Business, Verstill, a northern Israeli start-up near the Lebanese border, is developing systems to accelerate maturation in the spirits industry. The company’s technology replicates the chemical changes of long-term barrel aging, allowing producers to craft custom flavors in weeks rather than years. Verstill uses controlled thermal environments, molecular analysis, and automated maturation tools to give distillers precise control over flavor development. Yinon Tamir, head of product, said the team “look[s] at the traditional way but innovates,” and described the liquid as being designed hand-in-hand with clients, with customer satisfaction described as high.

Also in Israeli Economy and Business, an opinion piece argues that Israeli start-ups could help ships navigate a contested Strait of Hormuz amid threats from drones and GPS jamming. The piece notes incidents where the Ever Lovely, a Singapore-flagged container ship, was struck by an Iranian one-way attack drone, and the Kiku, a Panamanian-flagged crude tanker, was hit near the Omani coast, according to UKMTO. It suggests that free passage through the strait is no longer guaranteed and highlights potential private-sector tech solutions to improve resilience for maritime navigation as negotiations continue.

Thank you for tuning in to this Israel Today: Ongoing War Report update.
I'm Noa Levi. Stay safe and informed.
Keep in mind that this AI-generated report may contain occasional inaccuracies, so consult multiple sources for a comprehensive view. Find the code and more details in the podcast description.

SOURCES
https://www.jpost.com/middle-east/iran-news/article-901679
https://t.me/StandWithUsBreakingNews/8335
https://www.jpost.com/american-politics/article-901677
https://www.jpost.com/middle-east/article-901667
https://www.jpost.com/israel-news/politics-and-diplomacy/article-901682
https://www.jpost.com/business-and-innovation/article-901683
https://www.jpost.com/defense-and-tech/article-901674