Islamic State is calling on its members to carry out jihad in Russia. During a nine-minute video posted to a popular messaging site used by the group, a masked man driving a car in the desert yelled, “Listen Putin, we will come to Russia and will kill you at your homes…Oh Brothers, carry out jihad and kill and fight them.” The video comes after talks between the United States and Russia to ramp up military and intelligence cooperation against Islamic State and al Qaeda in Syria.

This South China Sea business isn’t cooling down, even after arbitration talks at the Hague. China’s government is resisting pressure from voices in the military to get more aggressive in the region. Four sources with strong military and leadership ties say elements within the People’s Liberation Army are pushing for a stronger – potentially armed – response aimed at the United States and its allies in the region.

Rio Olympics

Quick selfie break

U.S. presidential nominee Hillary Clinton accused rival Donald Trump of scapegoating the parents of a Muslim soldier killed in Iraq. After the couple’s speech at the Democratic National Convention last week, Trump questioned why the soldier’s mother, Ghazala Khan, didn’t speak and suggested she might not have been “allowed” to speak. In answer to Trump’s comments, Khan wrote an op-ed in the Washington Post explaining the pain she still feels every day – 12 years after her son’s death – and blasting the Republican as knowing nothing of sacrifice.

Quote of the Day

“I don’t begrudge anyone of any other faith or of no faith at all, but I do tremble before those who would scapegoat other Americans, who would insult people because of their religion, their ethnicity, their disability.”

-Hillary Clinton

They didn’t say Trump’s name, but top Republicans, Senate Majority Leader Mitch McConnell and House Speaker Paul Ryan, also condemned Trump’s remarks.

Around the country

A gunman opened fire at a crowd leaving a nightclub in Austin, Texas Sunday. He killed a woman and seriously wounded three others. Police say they’re looking for a 24-year-old suspect named Endicott McCray in connection with the shooting .

Donald Trump ’s “not thrilled” about the dates of this fall’s presidential debates, mainly because they conflict with NFL games. Trump tweeted that Clinton was trying to rig the debates so fewer people would watch, even though the debate dates were decided a year ago by a non-partisan group. Trump also told ABC that he received a letter from the NFL saying the debate dates were “ridiculous.” Brian McCarthy, a spokesman for the NFL said there was no such letter.

The deadly Soberanes Fire is still raging in southern California. Extremely hot and dry weather conditions aren’t helping firefighters contain the blaze. Officials don’t expect it to be fully contained until the end of August.

Around the world

The release of a video of the abuse of aboriginal boys in prison – which included footage of guards using teargas on six teenage inmates and strapping a half-naked, hooded boy to a chair – prompted Australian Prime Minister Malcolm Turnbull to launch an inquiry. But the man who took the job of leading investigation resigned after four days, citing his lack of support from the country’s indigenous leaders.

Pope Francis said it’s wrong to identify Islam with violence, pointing instead to social injustice and idolatry of money as the prime causes of terrorism.

“I don’t like to talk about Islamic violence because every day when I look at the papers I see violence here in Italy – someone killing his girlfriend, someone killing his mother-in-law. These are baptized Catholics.” More, in a video shot on the papal plane.

Philippines president Rodrigo Duterte unleashed his tough-guy talk on behalf of mother nature. He warned mining companies to strictly follow tighter environmental rules or shut down. “We will survive as a nation without you,” Duterte said in a media briefing. “Either you follow strictly government standards or you close down.” unleashed his tough-guy talk on behalf of mother nature. He warned mining companies to strictly follow tighter environmental rules or shut down. “We will survive as a nation without you,” Duterte said in a media briefing. “Either you follow strictly government standards or you close down.”

Around Wall Street

Digits of the Day

$35 billion

Didi Chuxing is buying Uber’s China operation. It’s a $35 billion deal to end fierce competition between the two ride-hailing services.

Tesla announced it would buy solar panel installer Solar City for $2.6 billion in shares, setting off a campaign to convince the two companies’ shareholders to back the deal. Tesla’s shareholders have gradually warmed up to the deal with SolarCity following initial apprehension after Tesla announced its offer in June. announced it would buy solar panel installer Solar City for $2.6 billion in shares, setting off a campaign to convince the two companies’ shareholders to back the deal. Tesla’s shareholders have gradually warmed up to the deal with SolarCity following initial apprehension after Tesla announced its offer in June.

The Fed’s William Dudley is urging caution on rate hikes citing uncertainty around the U.S. election in November. He suggested the central bank is leaning toward keeping rates unchanged until possibly December, which would mark one year since it raised rates for the first time in nearly a decade.

Today’s reason to live