FINANCIAL TIMES
-Israel's military has killed Hezbollah’s leader Hassan Nasrallah in a massive strike on Beirut, marking the latest in a series of devastating blows to the Lebanese militant group. The strike, along with Ali Karki, the commander of Hezbollah’s southern front, and additional Hezbollah commanders, capped a dramatic escalation by Israel, which has taken a heavy toll on Hezbollah’s capabilities and stoked fears of an all-out war.
-Israel's military hit Hezbollah’s "main command center" in Beirut's southern suburbs, targeting Hassan Nasrallah, the group's leader. The strike came after Prime Minister Benjamin Netanyahu stated that Israel must defeat the Lebanese militant group despite international pressure for a ceasefire. The Israeli army claimed to have struck Hezbollah’s headquarters under residential buildings. There is no official confirmation from Hezbollah about Nasrallah's survival or presence in Beirut. On Saturday, Israel and Hezbollah exchanged rocket fire and Israeli warplanes struck the Beirut neighborhood of Dahiyeh. Senior Iranian politicians have stated that Israel's killing of senior leaders and commanders of Hezbollah will not weaken the group.
-St Louis Fed president Alberto Musalem has suggested that the US central bank should gradually reduce interest rates after a larger than usual half-point reduction earlier this month. Musalem believes that the US economy could react vigorously to looser financial conditions, stoking demand and prolonging the central bank's mission to beat inflation back to 2%. He believes that policy should gradually become less restrictive and that the US economy could react "very vigorously" to looser financial conditions. Musalem's comments came less than two weeks after the Fed lopped half a percentage point from rates, forgoing a more traditional quarter-point cut to kick off its first easing cycle since the onset of Covid-19 in early 2020. The Fed's preferred inflation gauge fell more than expected to an annual rate of 2.2% in August.
-Kamala Harris has pledged to intensify efforts to curb illegal immigration at the US-Mexico border, aiming to present a tougher stance on border security as the presidential race enters its final stretch. Harris pledged to move beyond measures imposed by the Biden administration, promising "further action" to prevent illegal crossings, tighter asylum measures, and more severe criminal charges for illegal entrants. The tougher rhetoric comes as Harris seeks to shake perceptions of a lax approach to migration and narrow the polling gap with Donald Trump on a crucial electoral issue. Despite polls placing Harris in a tie with Trump, the former president consistently leads her on border security, with a recent NBC News poll giving Trump a 21-point advantage among voters.
-Donald Trump has expressed confidence that the war in Ukraine will be resolved quickly if he wins the US election, as he met with Ukrainian leader Volodymyr Zelensky. Trump praised his "very good relationship" with both Zelensky and Putin, stating that if he wins, the conflict will be resolved quickly. The meeting was a sign of their search for a common understanding of how relations between Washington and Kyiv might change in a second Trump presidency. However, Trump has also renewed his push for peace talks with Russia, which Ukrainian and western officials have rejected as premature. Trump said they have a "very good relationship" with Putin and that if they win, they will have "more good" relations with him compared to Putin.
-OpenAI, a leading AI research company, has announced the departure of its high-profile chief technology officer, Mira Murati, along with Bob McGrew and Barret Zoph. This move is seen as a new direction for the company, which has transitioned from a poor AI research organization to a commercial behemoth. Altman, who was only notified in the morning, has surrounded himself with allies as the fast-growing start-up pushes ahead with plans to restructure as a for-profit company. It has also emerged that Altman has discussed taking an equity stake with the board, as the San Francisco-based company seeks to raise more than $6B at a $150B valuation. Altman, who is already a billionaire from his previous tech ventures and investments, had previously chosen not to take any equity in OpenAI to remain neutral.
-Hurricane Helene, which caused over 40 deaths and left millions without power, has been downgraded from a category four hurricane to a post-tropical cyclone in Florida's Gulf coast. The storm surges, high winds, and torrential rain left over 4M homes and businesses in Florida, Georgia, and the Carolinas without electricity. Insurance sector specialist rating agency AM Best estimated insured losses from Helene to be around $5B or more, with primary insurers suffering in particular. The hurricane made landfall in Florida's north-west Big Bend region, passing through the state's Panhandle region and into Georgia at around 1am on Friday. The storm could also be a key financial test for Florida property-catastrophe specialist writers, some of which are thinly capitalized.
-Anura Kumara Dissanayake, the left-wing populist leader of Sri Lanka, has pledged to lead the country's first-ever uprising to form a government through the ballot. His victory over two long-ruling political parties has placed him at the top of the island's politics. However, the historic role of Dissanayake's People's Liberation Front (JVP) in violent uprisings against the state has left Sri Lanka's establishment and foreign diplomatic and economic partners uneasy. The National People's Power alliance, led by Dissanayake, has demanded changes in the country's IMF-backed debt restructuring and economic recovery plan. Dissanayake has already dissolved parliament, setting the stage for elections in mid-November. He promised to create a "law-abiding nation" while ensuring the social security of all citizens.
-Bank of America has placed two bankers in India on administrative leave as part of an investigation into allegations of wrongdoing in its Asian investment bank. The internal investigation, launched earlier this year following a whistleblower complaint, is probing whether BofA and bankers in its Asian operations had tipped off certain investors of upcoming secondary offerings, allowing them to "front run" stock sales and profit from nonpublic information. BofA has confirmed the existence of the internal probe but has found no evidence of misconduct. Neither banker has been fired and could be reinstated following the investigation. The investigation, for which it has hired outside law firms, is examining whether bankers in its Asian operations sent messages or held meetings with hedge funds and others in advance of large secondary stock offerings on behalf of its corporate clients.
NEW YORK TIMES
-Israel has confirmed the death of Hassan Nasrallah, the longtime leader of Hezbollah, in an airstrike on the organization's underground headquarters near Beirut. This would be a significant escalation in Israel's campaign against the Iran-backed group, which has threatened to escalate into a regional war. Israel's intelligence agencies preliminarily determined that Nasrallah was killed based on the number and size of the bombs used and information gathered from inside the group. Israeli forces launched a series of new airstrikes in the Hezbollah-dominated area known as the Dahiya, aiming to destroy Hezbollah weapons caches. Lebanon's health ministry reported at least six people killed and over 90 injured by the Israeli strikes, with the toll expected to rise. Emergency workers were still searching through the rubble as Israel struck again. Lebanon's health ministry advised hospitals in Beirut's southern suburbs to evacuate due to the danger posed by continuing strikes.
-Israeli strikes on southern Beirut have destroyed at least four large apartment buildings, targeting Hezbollah's leader, Hassan Nasrallah. The New York Times has analyzed verified videos, photos, and satellite imagery to show that nearby buildings were damaged in the attacks. Three of the buildings were completely flattened, while another collapsed with the upper floors partly intact. All four of the destroyed structures were residential buildings along the same street. Two neighboring apartment buildings that were at least seven stories tall were hit, and two neighboring buildings also at least seven stories were also hit. The blasts tore the facades off the lower floors and blew out many of the windows. The strikes destroyed nearby vehicles and left craters in the streets about 700 feet away. A video filmed during the strikes and posted on the social media app Telegram showed several distinct smoke plumes, including an enormous cloud of smoke from the area of the four destroyed buildings and one large plume from areas slightly to the east of the buildings.
-On September 27, 2024, the Bekaa Valley in eastern Lebanon is amidst a devastating Israeli airstrike campaign. The road is mostly quiet, with shops shuttered and sidewalks empty. The road is littered with remnants of the airstrikes, including piles of cinder blocks, metal, and glass. The area is covered in dust and power lines dangle over the road. The bombardments are part of over 1,000 airstrikes launched by Israel since Monday to weaken Hezbollah, the Iran-backed Lebanese military group. The campaign is considered one of the most intense in contemporary warfare and has led to the deadliest day in Lebanon in decades. As of now, around 700 people have been killed and over 100,000 others have been forced to flee their homes. The campaign has left over 100,000 people homeless and displaced.
-Hassan Nasrallah, the secretary general of Hezbollah, has avoided public appearances for nearly two decades due to fear of assassination. His 32 years in charge have seen the group become a potent force, holding sway in Lebanon and an army equipped with ballistic missiles that can threaten Tel Aviv. Nasrallah is the leader of the strongest militant group that Iran has helped create in the region, and his fighters have helped shoring up President Bashar al-Assad's government in Syria. Hezbollah has also trained Hamas fighters and militias in Iraq and Yemen. Nasrallah is known as Abu Hadi or father of Hadi, after his eldest son, who died in 1997 in a firefight with the Israelis. His status remains unclear.
-During his visit to the United Nations General Assembly in New York City, Israeli Prime Minister Benjamin Netanyahu was met with a scathing critique of Israel's actions. He publicly rebutted a Biden administration plan to pause the fighting between Israel and Hezbollah, raising tensions between the two governments. However, Netanyahu bulldozed through his visit, criticizing Israel's critics and the United Nations, offering no diplomatic concessions, and ordering an airstrike in Beirut that may have killed Israel's long-hailed archenemy, Hezbollah leader Hassan Nasrallah.
-The Tennessee Dam, located in eastern Tennessee, is nearing failure due to heavy rainfall from Helene, causing water levels to rise to record levels. Authorities are urging residents of communities downstream to evacuate immediately, as the dam is on the brink of failure. The National Weather Service office in Morristown, Tennessee, has issued a flash flood warning for parts of Cocke, Greene, and Hamblen counties, which are home to nearly 6,000 people and include two schools. The warning urges residents to move to higher ground immediately if they are in low-lying areas below the dam. The area under warning is home to nearly 6,000 people and includes two schools.
-Israel's new campaign against Hezbollah began with a daring attack on a secret weapons lab in Syria. The area is only about 30 miles from the Lebanese border, which is why Israeli and American officials say Hezbollah manufactures weapons there instead of in Iran. The commandos came in helicopters on a nearly moonless night, after the guards outside the secret weapons lab had already been killed in a short series of airstrikes. Israeli officials believed that Iran and the Lebanese militia Hezbollah planned to manufacture a new generation of precision missiles there. However, this was a different kind of operation. The helicopters flew low, without lights, and dozens of camouflage-clad commandos were rappelling down cables and rushing into the complex, which in places was more than 200 feet underground, according to US, European, and Israeli officials.
-On September 27, 2024, Vice President Kamala Harris delivered one of her party's toughest speeches on immigration and border policy as the Democratic presidential nominee. Harris vowed to carry on President Biden's crackdown on asylum and to impose order on the southern border, demonstrating how much the politics of immigration have shifted for Democrats. Just one presidential cycle ago, Harris and most other candidates in the party's primary race had promised to decriminalize illegal border crossings.
-Former President Donald J. Trump has fueled a heated immigration debate in Charleroi, Pennsylvania, where many Haitians have settled in recent years. The town, along the Monongahela River, was once a hub of glassmaking, but manufacturing work has declined. Amos Vougar, who arrived in Charleroi three years ago, felt he had found everything he needed. However, the rapid influx of immigrants, many fleeing violence in Haiti, has led to discord in towns across the country that were relatively untouched by immigration. Trump has fueled the flames by claiming that immigrants brought "massive crime" to Charleroi and asking, "Has your beautiful town changed?" Vougar believes that the sudden flood of gripes, fears, and rumors from longtime residents has threatened the serene life he thought he had found in the green hills of Charleroi.
-In the final weeks of competitive congressional races, male Republicans are using their wives to soften their image and appeal to female voters concerned about their records on reproductive rights. These ads often feature women in softly lit living rooms and pristine kitchens vouching for their husbands' characters. Some women are driving S.U.Vs with young children in the back seat, talking about how their husbands are champions for their families and can be champions for yours. Other times, candidates film footage of a wholesome family gathering around the dining room table. In at least one case, such a gathering includes a candidate at the dinner table in a family-like tableau with a woman and children who are not related.
-Mayor Eric Adams has pleaded not guilty to criminal charges including bribery and fraud, a charge that threatens to topple his administration. Adams, who is in a dark suit and maroon tie, appeared in back-to-back appearances inside a federal courthouse in Manhattan and outside its granite facade on Friday. He said, "I am not guilty, your honor," at his midday arraignment before Magistrate Judge Katharine Parker in a 26th-floor courtroom in Lower Manhattan. The indictment against Adams, which includes a 57-page description of free or heavily discounted overseas trips and illegal campaign contributions from Turkey in return for political favors, has upended New York City's political landscape. The will-he-or-won't-he questions about whether Adams would resign seemed to overshadow even the upcoming presidential election as a tumultuous week in the city drew to a close.
-OpenAI, the San Francisco start-up behind ChatGPT, has reported a 1,700% increase in monthly revenue to $300M in August, and expects $3.7B in annual sales this year. The company estimates its revenue to reach $11.6B next year. However, it is expected to lose around $5B this year due to expenses like running services, employee salaries, and office rent. These numbers do not include equity-based compensation to employees. OpenAI is circulating documents with potential investors for an investment round that could bring in $7B and value the company at $150B, among the highest ever for a private tech company. The round could close as early as next week, as OpenAI is experiencing rapid growth but has lost several key executives and researchers in recent months.
NEW YORK POST
-The Democratic presidential nominee, Kamala Harris, the made her first visit to the US-Mexico border to announce measures to mitigate the ongoing border crisis fewer than 40 days before election day. Despite having been the White House border "czar" for over three-and-a-half years, Harris took the responsibility of setting rules at the border and enforcing them seriously. If elected, she would improve on an executive order announced by President Biden in June that barred migrants from applying for asylum when they cross the border illegally. Harris pledged to take further action to secure the border and reduce illegal crossings, pledging to apprehend and remove those who cross the border unlawfully and barred from re-entering for five years. She also pledged to pursue more severe criminal charges against repeat violators and barred asylum seekers from crossing the border unlawfully if they did not make an asylum request at a legal point of entry.
-Former President Donald Trump has blamed Vice President Kamala Harris for the high number of illegal immigrants in the US who have been convicted or accused of homicide. Trump called the federal data showing over 15,000 immigrants charged with or convicted of homicide the "worst numbers I think I've ever heard" during a town hall event in Warren, Michigan. He criticized Harris for being incompetent as the border czar. The data provided by US Immigration and Customs Enforcement shows that there were 662,566 noncitizens with criminal histories in ICE's national docket as of July 21, including 13,099 convicted of homicide and 1,845 with pending homicide cases. ICE is currently detaining 277 migrants convicted of homicide and 51 facing such charges, indicating that those individuals likely face deportation.
-Former President Donald Trump has threatened to prosecute Google if he wins in November, claiming the company's search engine only promotes "bad stories" about him. Trump made the threat on his Truth Social account after a damning study found Google was burying results for his campaign website below those of Democratic rival Kamala Harris' official site and spitting out articles that favor the Vice President. Trump claims Google has illegally used a system of only revealing and displaying bad stories about Trump while spitting out good stories about Harris.