FINANCIAL TIMES
-US President Donald Trump has resisted sending Ukraine Tomahawk missiles to Kiev, citing concerns that the "dangerous" weapons could worsen the conflict. Trump had signaled willingness to send the long-range missiles, but changed tack, saying he did not want to escalate the conflict or drain US stockpiles. Trump said Tomahawks are "very dangerous weapons" and hoped to end the war without thinking about them. This change came after months of shuttle diplomacy by European leaders to secure Trump's backing for Kiev amid fears of winding down American aid for Ukrainian forces.
-President Donald Trump said that Venezuelan President Nicolas Maduro, thanks to the recent White House pressure, has backed down, deciding to offer concessions to Washington to counter growing US military pressure. Trump responded to reports that Maduro had offered all natural resources in the Latin American country to resolve the conflict with the US. This comes amid mounting US military escalation aimed at increasing pressure on Maduro, who he considers an illegitimate leader and head of a drug cartel. Trump has also authorized the CIA to launch covert operations in Venezuela. Maduro, a revolutionary socialist, has accused the military build-up of attempted regime change and has sought to rally Venezuelans around the flag with military drills and a faltering recruitment drive for civilian militias.
-US Treasury Secretary Scott Bessent is set to meet with Chinese Vice-President He Lifeng next week, potentially determining if a planned summit between President Donald Trump and China's leader Xi Jinping will proceed. Bessent confirmed the call and meeting took place, and the conversation was about trade between the US and China. The call comes amid escalating tensions between the countries following China's recent announcement of sweeping export controls on rare earths and critical minerals. Bessent criticized the Chinese export controls as an "substantial unprovoked escalation" and emphasized that Trump has threatened to impose an additional 100% tariff on goods from China, raising the average levy to 157%.
-The IMF has shifted its focus from recession risks to optimism, highlighting the US economy's robust performance due to the AI investment boom. The US economy is also facing challenges such as a labor market downturn, immigration clampdowns, and a government shutdown. However, the core of the economy's performance has been consumer spending, driven by the positive wealth effect of soaring stock market valuations. Pierre-Olivier Gourinchas, the IMF's chief economist, believes that high valuations are generating wealth gains for consumers. The question remains about the sustainability of America's expansion, as economists describe a two-speed economy: rich households benefit from soaring equity values, while lower-income individuals face inflation and wage growth.
-Deloitte has agreed to pay $34M to investors who blamed the auditor for losses from the collapse of one of the US's largest nuclear power projects. Former shareholders in South Carolina utility Scana claimed Deloitte failed to spot red flags and allowed management to hide problems with the construction of two nuclear reactors a decade ago. The collapse led to Scana's cut-price sale to a rival utility and jail time for its former chief executive, who pleaded guilty to misleading regulators. Lawyers for Scana's shareholders claimed Deloitte should pay a portion of losses estimated at $800M, as the firm repeatedly signed off on financial statements indicating the project would be finished on time.
-Vestas, Europe's leading wind turbine manufacturer, has halted plans to open its largest factory in Poland due to sluggish demand in its core European market. The Danish company, which was expected to open the plant in 2026, has decided to suspend its investment due to lower than projected demand for offshore wind in Europe. The decision highlights the challenges faced by Europe's offshore wind sector, including higher costs, supply chain bottlenecks, and political opposition in the US. It also sets a setback for Prime Minister Donald Tusk's government's efforts to cut Poland's dependence on polluting coal by expanding in green energy and building domestic manufacturing for renewables.
-Madagascar President Andry Rajoelina, a 51-year-old media mogul and DJ-turned-president, was ousted by a series of protests. The protests began in late September over water and electricity shortages, inspired by similar Gen Z demonstrations in Nepal, Kenya, and Morocco. The protests quickly escalated into calls for an end to corruption and poverty, and Rajoelina's removal. He posted a video claiming he was in a "secure location" but insisting he remained in control. The following day, parliament voted to impeach him, and soldiers dissolved the Senate, constitutional court, and national electoral commission, leaving only the National Assembly in place. Colonel Michael Randrianirina, head of the elite CAPSAT military unit that first ushered Rajoelina into power in 2009, was sworn in as head of state. The uprising marks the fourth coup since the country gained independence from France in 1960. Sara Rajaonarison, a student, criticized Rajoelina for being arrogant and not listening to the people's needs, stating that they wanted a functioning country.
-China has detained over 20 members of the Zion Church, one of the country's largest unregistered Christian networks, including its founder and chief pastor Ezra Jin. The US secretary of state, Marco Rubio, called for their release and criticized the crackdown as demonstrating the Chinese Communist Party's hostility towards Christians who reject interference in their faith. This action is part of a long-standing push to remove large religious networks and limit unregistered worship to smaller private ceremonies. Chinese President Xi Jinping has called for improved policies and stricter law enforcement, while authorities have released guidelines warning against online preaching for all but officially sanctioned churches and temples. The crackdown has sparked tensions between Washington and Beijing.
NEW YORK TIMES
-Health insurance prices for next year under the Affordable Care Act are now available in about a dozen states, revealing the sharp increases many Americans will pay for coverage if Congress does not extend subsidies that have made some plans more affordable. The annual enrollment period for Obamacare is expected to begin Nov. 1, but costs for some Americans are becoming publicly available through some state marketplaces. The federal website healthcare.gov, which includes 28 other state marketplaces, is slated to post prices before the end of October.
-Mayor Eric Adams, who abandoned his re-election campaign last month, will not be on the debate stage for the upcoming election in New York City. However, he has expressed his opinion on who should replace him and aims to maintain his legacy. Adams has been in discussions with former Gov. Andrew M. Cuomo about an endorsement, but deemed Mamdani a "nonstarter" due to his Democratic Socialists of America membership and support for policies like decriminalizing prostitution and closing the Rikers Island jail complex.
-Ukraine's President Volodymyr Zelensky had high hopes for the acquisition of US-made Tomahawk missiles, which would allow Kyiv to strike deep into Russia. However, Zelensky left a meeting at the White House disappointed, as Trump insisted on keeping the missiles. The two countries continued discussing the matter, but Zelensky refused to make statements about the acquisition, stating that the US doesn't want escalation. A pivotal moment between Trump's comments on transferring long-range missiles to Ukraine and Zelensky's letdown was a lengthy phone call with Russian President Vladimir Putin.
-A federal prosecutor, Elizabeth Yusi, has been fired along with her deputy, Kristin G. Bird, following President Trump's demands to bring charges against New York state attorney general Letitia James. Yusi, who oversaw major criminal cases in the Norfolk office of the U.S. attorney's office for the Eastern District of Virginia, pushed back against Trump's public calls for James to be indicted, stating she had not found probable cause to file charges. The dismissal comes as a result of career Justice Department officials attempting to curb Trump's efforts to seek retribution against his political opponents.
-Standard & Poors has downgraded France's credit rating from AA- to A+, citing higher debt growth than anticipated in the coming years. This follows Prime Minister Sébastien Lecornu's fragile government and the delay of President Emmanuel Macron's proposed pensions reforms. S&P expects France to meet its 5.4% budget deficit target this year, but expects slower consolidation due to the absence of additional measures. The downgrade is expected to increase France's borrowing costs, as the spread between French and German bonds widens. The agency expects government debt to reach 121% of GDP in 2028, compared to 112% at the end of last year. The downgrade also raises uncertainty in the Eurozone's second-largest economy ahead of 2027 presidential elections.
-TPG and Blackstone are close to a deal to buy medical technology group Hologic, marking one of the largest take-private deals of the year. The private equity groups have agreed on the terms of the deal and have lined up debt financing. Hologic's enterprise value stands at over $16B, including nearly $1B in debt, following months of takeover speculation. The Financial Times reported in May that the two buyout groups had submitted an offer to the Massachusetts-based company of between $70 and $72 a share, or between $16.3B and $16.7B in enterprise value.
-Seven Tennessee officials have filed a lawsuit against the deployment of the National Guard in Memphis, arguing that military rule is incompatible with liberty and democracy. The lawsuit, brought by the mayor of Shelby County, six local and state lawmakers, and is supported by Democracy Forward and the National Immigration Law Center. The lawsuit argues that the facts on the ground cannot justify defendants' overreach and that crime is not a circumstance that passes constitutional muster. The case has been set for a Nov. 3 hearing.
-Indonesia is facing a surge in food poisonings due to a national meal program called M.B.G., which offers free nutritious meals to pregnant women. The program, which has been a boon for many, has been questioned by experts due to the nation's fragile economy. Thousands of children have gotten sick after eating free lunches at school, and hundreds fell ill this past week. Protests and calls for the program's suspension and termination have been made, as experts question the nation's ability to afford the program. The program has been a boon for many, but repeated incidents of contaminated food have raised concerns among parents.
-The ceasefire in the Gaza Strip has ended, and a new cease-fire has raised hopes that a flood of aid will help end the widespread hunger there. On October 12, a 10-truck aid convoy set out into Gaza through the Kerem Shalom crossing from Israel, carrying flour, rice, lentils, beans, yeast, salt, and other vitally needed supplies. The scene was similar to those during the fighting, when Israel often restricted aid from entering Gaza after Hamas attacked from there in 2023.
NEW YORK POST
-Former Rep. George Santos, who served a total of 84 days of his 87-month prison sentence for wire fraud and aggravated identity theft, was released from FCI Fairton, a medium security prison in Fairfield Township, NJ, on Friday. Santos had initially faced 20 years behind bars but had copped a plea deal just weeks before he was set to go on trial on nearly two dozen charges related to an alleged scheme to inflate his campaign contributions. Santos has been sentenced to 87 months in prison for wire fraud and aggravated identity theft. Santos was ordered to pay restitution to his victims in the amount of $373,749.97 and $205,002.97 in forfeiture. He pleaded guilty in August 2024, and he was sentenced last April 25.
-The National Nuclear Security Administration (NNSA), a branch of the Department of Energy, is preparing to furlough around 80% of its workforce due to the government shutdown. The agency's funding has dried up due to a budget impasse that has closed much of the federal government for 17 days, making it the third-longest shutdown in US history. The furloughs come as the Democrats refuse to pass a clean, bipartisan funding extension, causing funds to run out for critical programs and resulting in furloughs of personnel at the NNSA who manage America's nuclear weapons stockpile.