AFP

China's factory activity contracts on Covid curbs

China’s factory activity shrank in October, official data showed Monday, after industries were hit by strict Covid lockdowns.

The Purchasing Managers’ Index (PMI) — a key gauge of manufacturing in the world’s second-biggest economy — came in at 49.2, down from September’s 50.1 and below the 50-point mark separating growth from contraction, according to data from the National Bureau of Statistics (NBS).

Sporadic Covid-19 lockdowns around China have dampened demand and business confidence.

The manufacturing PMI has been in contraction territory for six out of the past eight months, as sweeping Covid restrictions paralysed major industrial cities such as Shanghai, Shenzhen and Chengdu and a summer of searing heat hit production.

“In October, affected by the frequent appearance of domestic outbreaks, China’s purchasing managers’ index declined,” NBS senior statistician Zhao Qinghe said in a statement.

Zhao added that “the foundation for China’s economic recovery and development needs to be further consolidated”, noting both weakened demand and rising raw material prices.

While activity at larger businesses expanded in October, work at small and medium-sized enterprises contracted significantly, with Zhao saying “the pressure on production and operation at small and medium-sized enterprises has increased”.

The non-manufacturing PMI came in at 48.7 points in October, a sharp decline from 50.6 in September and “below a critical point”, Zhao said in the statement.

Zhao added that Covid outbreaks in October had hit the service industry especially hard, with activity in transport, accommodation and food and beverage businesses falling during a traditional peak period coinciding with week-long national holidays.

“We don’t expect the zero-Covid policy to be abandoned until 2024, which means virus disruptions will keep in-person services activity subdued,” Capital Economics analyst Zichun Huang said in a note on Monday.

“The deepening global downturn will continue to weigh on exporters. And officials are still struggling to put a floor underneath the property market,” Huang added.

Chinese leaders have set out an annual economic growth target of about 5.5 percent, but many observers think the country will struggle to hit the target, despite announcing a better-than-expected 3.9 percent expansion in the third quarter.

And officials have shown no sign that they intend to ease the country’s zero-Covid strategy, with President Xi Jinping last week promoting Li Qiang, who oversaw a debilitating two-month lockdown in Shanghai, to the second-most powerful post in the Communist Party. 

The economic slowdown has also been exacerbated by a crisis in the massive property sector, where a series of debt-laden developers have defaulted on loans.

China's factory activity contracts on Covid curbs

China’s factory activity shrank in October, official data showed Monday, after industries were hit by strict Covid lockdowns.

The Purchasing Managers’ Index (PMI) — a key gauge of manufacturing in the world’s second-biggest economy — came in at 49.2, down from September’s 50.1 and below the 50-point mark separating growth from contraction, according to data from the National Bureau of Statistics (NBS).

Sporadic Covid-19 lockdowns around China have dampened demand and business confidence.

The manufacturing PMI has been in contraction territory for six out of the past eight months, as sweeping Covid restrictions paralysed major industrial cities such as Shanghai, Shenzhen and Chengdu and a summer of searing heat hit production.

“In October, affected by the frequent appearance of domestic outbreaks, China’s purchasing managers’ index declined,” NBS senior statistician Zhao Qinghe said in a statement.

Zhao added that “the foundation for China’s economic recovery and development needs to be further consolidated”, noting both weakened demand and rising raw material prices.

While activity at larger businesses expanded in October, work at small and medium-sized enterprises contracted significantly, with Zhao saying “the pressure on production and operation at small and medium-sized enterprises has increased”.

The non-manufacturing PMI came in at 48.7 points in October, a sharp decline from 50.6 in September and “below a critical point”, Zhao said in the statement.

Zhao added that Covid outbreaks in October had hit the service industry especially hard, with activity in transport, accommodation and food and beverage businesses falling during a traditional peak period coinciding with week-long national holidays.

“We don’t expect the zero-Covid policy to be abandoned until 2024, which means virus disruptions will keep in-person services activity subdued,” Capital Economics analyst Zichun Huang said in a note on Monday.

“The deepening global downturn will continue to weigh on exporters. And officials are still struggling to put a floor underneath the property market,” Huang added.

Chinese leaders have set out an annual economic growth target of about 5.5 percent, but many observers think the country will struggle to hit the target, despite announcing a better-than-expected 3.9 percent expansion in the third quarter.

And officials have shown no sign that they intend to ease the country’s zero-Covid strategy, with President Xi Jinping last week promoting Li Qiang, who oversaw a debilitating two-month lockdown in Shanghai, to the second-most powerful post in the Communist Party. 

The economic slowdown has also been exacerbated by a crisis in the massive property sector, where a series of debt-laden developers have defaulted on loans.

Markets rise on rate hopes ahead of Fed decision

Most markets rose Monday ahead of a crucial Federal Reserve policy meeting later in the week, with investors hoping for a less hawkish tilt in their plans for interest rates.

A sense of relief has settled on trading floors over the past week following a report that the US central bank could take its foot off the accelerator in its push to rein in decades-high inflation.

Adding to the positive mood has been an indication that others around the world are looking at slowing down, though the excitement was tempered Friday by record inflation readings in Europe and data showing prices remained elevated.

Asian dealers were given a strong lead from Wall Street, where all three main indexes ended more than two percent higher thanks to a rally in tech firms following a strong earnings report from Apple.

Tokyo, Hong Kong, Seoul, Singapore, Taipei and Wellington all piled on more than one percent, while Sydney and Jakarta were also up.

However, Shanghai fell on concerns about China’s growth outlook as the government presses on with its zero-Covid strategy of lockdowns, with restrictions imposed in towns and cities nationwide.

Data showing activity in the factory and services sectors contracted last month highlighted the impact the measures are having on the world’s number two economy.

All eyes are on the Fed’s policy meeting, which ends Wednesday.

While it is widely expected to announce a fourth successive 75 basis point hike, traders will be poring over the post-meeting statement looking for a hint officials are open to dialling back the pace of increases.

The gathering comes as other central banks have recently indicated they are willing to ease up, with Canada raising rates less than expected last week, while authorities in Australia and Europe have taken a more dovish view.

Concerns that rapidly rising borrowing costs will send economies into a recession has hammered markets globally this year.

“There has been a succession of central bank downshifts, adding to the ‘peak hawkishness’ theme running through macro markets,” said SPI Asset Management’s Stephen Innes. “And investors are entirely focused on these U-turns as peak rates get priced in. 

“So, people don’t want to miss the stock market rally wagon, especially if the Fed conveys a similar policy downshift this week, sending the rally into overdrive as pivot procrastinators will be forced to chase.”

A better-than-expected earnings season has also provided support to global markets, easing concerns that tighter monetary policies would hammer firms’ bottom lines, though big-name tech giants have taken a blow.

National Australia Bank’s Rodrigo Catril said more than 70 percent of companies that had reported had beaten forecasts, though he added that while markets had risen over the past month, some traders remained cautious.

“Those with a positive inclination may look at October’s equity performance as a sign of a new uptrend while others would suggest we have not yet seen the worst given the lag effects from monetary policy and the prospect of still more tightening to come,” he said in a note.

– Key figures around 0230 GMT –

Tokyo – Nikkei 225: UP 1.6 percent at 27,529.33 (break)

Hong Kong – Hang Seng Index: UP 0.7 percent at 14,959.04

Shanghai – Composite: DOWN 0.8 percent at 2,891.75

Euro/dollar: DOWN at $0.9953 from $0.9967 on Friday

Pound/dollar: DOWN at $1.1601 from $1.1618 

Dollar/yen: UP at 148.00 yen from 147.46 yen

Euro/pound: UP at 85.83 pence from 85.77 pence

West Texas Intermediate: DOWN 0.6 percent at $87.36 per barrel

Brent North Sea crude: DOWN 0.9 percent at $94.87 per barrel

New York – Dow: UP 2.6 percent at 32,861.80 (close)

London – FTSE 100: DOWN 0.4 percent at 7,047.67 (close) 

Markets rise on rate hopes ahead of Fed decision

Most markets rose Monday ahead of a crucial Federal Reserve policy meeting later in the week, with investors hoping for a less hawkish tilt in their plans for interest rates.

A sense of relief has settled on trading floors over the past week following a report that the US central bank could take its foot off the accelerator in its push to rein in decades-high inflation.

Adding to the positive mood has been an indication that others around the world are looking at slowing down, though the excitement was tempered Friday by record inflation readings in Europe and data showing prices remained elevated.

Asian dealers were given a strong lead from Wall Street, where all three main indexes ended more than two percent higher thanks to a rally in tech firms following a strong earnings report from Apple.

Tokyo, Hong Kong, Seoul, Singapore, Taipei and Wellington all piled on more than one percent, while Sydney and Jakarta were also up.

However, Shanghai fell on concerns about China’s growth outlook as the government presses on with its zero-Covid strategy of lockdowns, with restrictions imposed in towns and cities nationwide.

Data showing activity in the factory and services sectors contracted last month highlighted the impact the measures are having on the world’s number two economy.

All eyes are on the Fed’s policy meeting, which ends Wednesday.

While it is widely expected to announce a fourth successive 75 basis point hike, traders will be poring over the post-meeting statement looking for a hint officials are open to dialling back the pace of increases.

The gathering comes as other central banks have recently indicated they are willing to ease up, with Canada raising rates less than expected last week, while authorities in Australia and Europe have taken a more dovish view.

Concerns that rapidly rising borrowing costs will send economies into a recession has hammered markets globally this year.

“There has been a succession of central bank downshifts, adding to the ‘peak hawkishness’ theme running through macro markets,” said SPI Asset Management’s Stephen Innes. “And investors are entirely focused on these U-turns as peak rates get priced in. 

“So, people don’t want to miss the stock market rally wagon, especially if the Fed conveys a similar policy downshift this week, sending the rally into overdrive as pivot procrastinators will be forced to chase.”

A better-than-expected earnings season has also provided support to global markets, easing concerns that tighter monetary policies would hammer firms’ bottom lines, though big-name tech giants have taken a blow.

National Australia Bank’s Rodrigo Catril said more than 70 percent of companies that had reported had beaten forecasts, though he added that while markets had risen over the past month, some traders remained cautious.

“Those with a positive inclination may look at October’s equity performance as a sign of a new uptrend while others would suggest we have not yet seen the worst given the lag effects from monetary policy and the prospect of still more tightening to come,” he said in a note.

– Key figures around 0230 GMT –

Tokyo – Nikkei 225: UP 1.6 percent at 27,529.33 (break)

Hong Kong – Hang Seng Index: UP 0.7 percent at 14,959.04

Shanghai – Composite: DOWN 0.8 percent at 2,891.75

Euro/dollar: DOWN at $0.9953 from $0.9967 on Friday

Pound/dollar: DOWN at $1.1601 from $1.1618 

Dollar/yen: UP at 148.00 yen from 147.46 yen

Euro/pound: UP at 85.83 pence from 85.77 pence

West Texas Intermediate: DOWN 0.6 percent at $87.36 per barrel

Brent North Sea crude: DOWN 0.9 percent at $94.87 per barrel

New York – Dow: UP 2.6 percent at 32,861.80 (close)

London – FTSE 100: DOWN 0.4 percent at 7,047.67 (close) 

Hong Kong banking summit a post-pandemic sales pitch, but is anyone buying?

Hundreds of top bankers will arrive in Hong Kong this week to hear the government’s sales pitch that — despite lingering pandemic curbs and entrenched US-China tensions — the city is once again open for business.

The Chinese finance hub has prepared a high-profile summit, including a glitzy banquet at a newly opened art museum to woo financial bigwigs, hoping to outshine regional rivals like Singapore, London and Tokyo.

Wednesday’s gathering has come under fire from some United States lawmakers, who said Wall Street’s luminaries are “whitewashing human rights violations” with their presence and giving political cover to city leader John Lee.

Lee, who is scheduled to deliver an opening keynote speech, is among Chinese officials sanctioned by Washington for their role in cracking down on human rights in Hong Kong. 

He is, as a result, unable to hold a bank account at the financial giants whose top executives will share the stage with him this week.

“Business as usual in Hong Kong is the wrong choice for these companies,” said the leaders of the bipartisan US Congressional-Executive Commission on China.

The event still has plenty of cheerleaders from local industry, anxious to maintain Hong Kong’s standing as a global finance hub.

“We need to… paint a more positive picture about the real situation,” financial services sector lawmaker Robert Lee told AFP.

“Hong Kong is open for business. I think that message should be loud and clear.”

– Restrictions remain –

Since Lee’s administration took office in July, officials have billed the summit as a watershed moment to show that the city has left behind China’s strict zero-Covid strategy.

Hong Kong finally scrapped mandatory hotel quarantine in September. Many controls, however, remain in place — curbs that rival cities have long abandoned.

Overseas arrivals must undergo frequent testing and are unable to go to bars and restaurants for their first three days in the city.

Restrictions on various gatherings remain and masks are compulsory, including outdoors.

The finance summit is being held at the Four Seasons hotel and partial exemptions have been granted so bankers can “have meals with others in private rooms” and visit venues that would otherwise be off-limits.

Those who test positive will be permitted to skip isolation and leave by private flights if they can.

“Covid restrictions are hurting us,” said Mike Rowse, a former civil servant who promoted the city to foreign investors.

“I used to travel around the world selling Hong Kong… When you finish (that pitch) you say: ‘Come and see for yourself’. But right now you can’t say that.”

The delicate balance between convenience and pandemic control was thrown into sharp relief last week, when Hong Kong finance chief Paul Chan caught the coronavirus while abroad — potentially forcing him to skip the conference.

Citigroup CEO Jane Fraser also contracted the virus and pulled out of the event, removing one of the few senior women at a gathering otherwise dominated by men. 

Top officials have promised to keep reopening. 

But Aries Wong, an economist at Hong Kong Baptist University, said the incremental tweaks mean little to foreign firms unless controls are fully scrapped.

“There is still policy uncertainty because if the controls remain on the books, it means they can potentially be tightened if things worsen again,” Wong told AFP.

– Gateway to China –

International firms are also caught in the middle of fraying US-China trade ties and competing sanction regimes that make compliance a headache.

The former British colony has been under Beijing’s tightening grip after authorities cracked down on huge and often violent pro-democracy protests in 2019.

“China’s government has suggested that Hong Kong’s distinct status as a global economic connector remains firmly intact,” said Austin Strange, an international relations scholar at the University of Hong Kong.

“The international community is less settled on this issue, and will look to actual policies and measures… rather than take official statements at face value.”

The issue of US sanctions arose again earlier this month when Lee’s government made clear it would not follow US, European and British sanctions against Russia over Moscow’s invasion of Ukraine.

While Hong Kong’s closeness to China may be a geopolitical liability, it is also the very heart of the city’s appeal to the many banks present at the summit.

Hong Kong remains China’s prime gateway to international markets and foreign capital.

Laurence Li, the head of Hong Kong’s financial industry advisory body, said China is pushing ahead with measures to more seamlessly connect Hong Kong markets to the mainland.

“No one in the world can afford not to interact with China… Hong Kong remains the best place to participate in the mainland’s economy and growth,” Li told AFP.

Hong Kong banking summit a post-pandemic sales pitch, but is anyone buying?

Hundreds of top bankers will arrive in Hong Kong this week to hear the government’s sales pitch that — despite lingering pandemic curbs and entrenched US-China tensions — the city is once again open for business.

The Chinese finance hub has prepared a high-profile summit, including a glitzy banquet at a newly opened art museum to woo financial bigwigs, hoping to outshine regional rivals like Singapore, London and Tokyo.

Wednesday’s gathering has come under fire from some United States lawmakers, who said Wall Street’s luminaries are “whitewashing human rights violations” with their presence and giving political cover to city leader John Lee.

Lee, who is scheduled to deliver an opening keynote speech, is among Chinese officials sanctioned by Washington for their role in cracking down on human rights in Hong Kong. 

He is, as a result, unable to hold a bank account at the financial giants whose top executives will share the stage with him this week.

“Business as usual in Hong Kong is the wrong choice for these companies,” said the leaders of the bipartisan US Congressional-Executive Commission on China.

The event still has plenty of cheerleaders from local industry, anxious to maintain Hong Kong’s standing as a global finance hub.

“We need to… paint a more positive picture about the real situation,” financial services sector lawmaker Robert Lee told AFP.

“Hong Kong is open for business. I think that message should be loud and clear.”

– Restrictions remain –

Since Lee’s administration took office in July, officials have billed the summit as a watershed moment to show that the city has left behind China’s strict zero-Covid strategy.

Hong Kong finally scrapped mandatory hotel quarantine in September. Many controls, however, remain in place — curbs that rival cities have long abandoned.

Overseas arrivals must undergo frequent testing and are unable to go to bars and restaurants for their first three days in the city.

Restrictions on various gatherings remain and masks are compulsory, including outdoors.

The finance summit is being held at the Four Seasons hotel and partial exemptions have been granted so bankers can “have meals with others in private rooms” and visit venues that would otherwise be off-limits.

Those who test positive will be permitted to skip isolation and leave by private flights if they can.

“Covid restrictions are hurting us,” said Mike Rowse, a former civil servant who promoted the city to foreign investors.

“I used to travel around the world selling Hong Kong… When you finish (that pitch) you say: ‘Come and see for yourself’. But right now you can’t say that.”

The delicate balance between convenience and pandemic control was thrown into sharp relief last week, when Hong Kong finance chief Paul Chan caught the coronavirus while abroad — potentially forcing him to skip the conference.

Citigroup CEO Jane Fraser also contracted the virus and pulled out of the event, removing one of the few senior women at a gathering otherwise dominated by men. 

Top officials have promised to keep reopening. 

But Aries Wong, an economist at Hong Kong Baptist University, said the incremental tweaks mean little to foreign firms unless controls are fully scrapped.

“There is still policy uncertainty because if the controls remain on the books, it means they can potentially be tightened if things worsen again,” Wong told AFP.

– Gateway to China –

International firms are also caught in the middle of fraying US-China trade ties and competing sanction regimes that make compliance a headache.

The former British colony has been under Beijing’s tightening grip after authorities cracked down on huge and often violent pro-democracy protests in 2019.

“China’s government has suggested that Hong Kong’s distinct status as a global economic connector remains firmly intact,” said Austin Strange, an international relations scholar at the University of Hong Kong.

“The international community is less settled on this issue, and will look to actual policies and measures… rather than take official statements at face value.”

The issue of US sanctions arose again earlier this month when Lee’s government made clear it would not follow US, European and British sanctions against Russia over Moscow’s invasion of Ukraine.

While Hong Kong’s closeness to China may be a geopolitical liability, it is also the very heart of the city’s appeal to the many banks present at the summit.

Hong Kong remains China’s prime gateway to international markets and foreign capital.

Laurence Li, the head of Hong Kong’s financial industry advisory body, said China is pushing ahead with measures to more seamlessly connect Hong Kong markets to the mainland.

“No one in the world can afford not to interact with China… Hong Kong remains the best place to participate in the mainland’s economy and growth,” Li told AFP.

US woman who led female IS battalion faces up to 20 years in prison

An American woman who grew up on a farm in Kansas, converted to Islam and joined the Islamic State in Syria, where she led an all-female military battalion, is to be sentenced Tuesday for providing support to a foreign terrorist group.

Allison Fluke-Ekren, 42, faces up to 20 years in prison after pleading guilty to terror charges in June in a US District Court in Alexandria, Virginia.

“For at least eight years, Fluke-Ekren committed terrorist acts on behalf of three foreign terrorist organizations across war zones in Libya, Iraq, and Syria,” US attorney Raj Parekh said in a pre-sentencing memo.

“Fluke-Ekren brainwashed young girls and trained them to kill,” Parekh said. “She carved a path of terror, plunging her own children into unfathomable depths of cruelty by physically, psychologically, emotionally, and sexually abusing them.”

Parekh, urging Judge Leonie Brinkema to impose the maximum 20-year sentence, traced Fluke-Ekren’s path from her upbringing on an 81-acre (33-hectare) farm in Kansas to her apprehension in Syria after the 2019 territorial defeat of IS.

While other Americans traveled to Syria and Iraq to join IS, most were men and Fluke-Ekren is the rare American woman who occupied a senior position in the ranks of the now defunct Islamic Caliphate.

Born Allison Brooks, she grew up in a “loving and stable home” in Overbrook, Kansas, and was considered a “gifted” student, the US attorney said.

She dropped out of high school in her sophomore year, however, and married a local man named Fluke, with whom she had two children.

Her son from that marriage testified anonymously about years of abuse inflicted on him and his siblings by their mother.

“My mother is a monster without love for her children, without an excuse for her actions,” said her son, who plans to attend Tuesday’s sentencing in Alexandria. “She has the blood, pain, and suffering of all of her children on her hands.”

After leaving her first husband, Fluke-Ekren attended the University of Kansas, where she married a fellow student named Volkan Ekren and became a Muslim. She later earned a teaching certificate from a college in Indiana.

They had five children together and adopted another after the child’s parents were killed as suicide bombers in Syria.

– ‘Extremist ideology and violence’ –

In 2008, the family moved to Egypt and in 2011 to Libya where, the US attorney said, “Fluke-Ekren’s dogged pursuit to obtain positions of power and influence to train young women in extremist ideology and violence began.”

They were in Benghazi in September 2012 when the Islamic militant group Ansar al-Sharia attacked the US mission and CIA office there, killing the US ambassador and three other Americans.

Fluke-Ekren, a fluent Arabic speaker, assisted Ansar al-Sharia by “reviewing and summarizing the contents of stolen US government documents.”

The family left Libya in late 2012 or early 2013 and moved around between Iraq, Turkey and Syria, becoming deeply involved with IS and living in the group’s Mosul stronghold for a time.

After Fluke-Ekren’s husband — the leader of an IS sniper unit — was killed in 2015 she forced their 13-year-old daughter to marry an IS fighter, according to the US attorney.

Fluke-Ekren, who adopted the nom de guerre Umm Mohammed al-Amriki after joining IS, would go on to marry three more times and have four more children.

Her fourth husband was an IS military leader who was responsible for the IS defense of Raqqa in 2017.

In 2017, Fluke-Ekren became the leader of a battalion of female IS members called “Khatiba Nusaybah,” which provided military training to more than 100 women and girls, according to the US attorney.

“During training sessions, Fluke-Ekren instructed the women and young girls on the use of AK-47 assault rifles, grenades, and explosive suicide belts” Parekh said.

“One of those children, some of whom were as young as 10 or 11-years-old, was her own daughter.”

US Supreme Court to address use of race in college admissions

The US Supreme Court on Monday revisits the divisive question of whether race can be used as a factor in deciding who gets admitted to some of America’s elite universities.

The court is to hear two hours of arguments on the use of race in admissions to Harvard and the University of North Carolina (UNC) — respectively the oldest private and public institutions of higher education in the country.

Harvard and UNC, like a number of other top US schools, use race as a factor in trying to ensure an adequate representation of minorities — historically African Americans — in the student body.

The policy, known as “affirmative action,” emerged from the Civil Rights Movement in the late 1960s to help address the country’s long legacy of discrimination in higher education.

Previous courts have upheld affirmative action — in 2016 by a single vote.

But the current conservative-dominated court may be poised to issue another historic reversal like it did in June, when it overturned the landmark 1973 “Roe v. Wade” decision guaranteeing a woman’s right to abortion.

“I suspect that the majority opinion will say that the use of race is never permissible in order to achieve diversity,” said Steven Schwinn, a law professor at the University of Illinois Chicago.

“This would be consistent with the court’s trend toward viewing racial identity or racial labelling alone — for any reason, including laudable reasons — as a violation of the Constitution.”

Affirmative action has been controversial from the start, and a number of white students have mounted legal challenges over the years, claiming “reverse discrimination.”

Nine states have banned affirmative action at public universities including California, where voters did so in a ballot proposition in 1996 and rebuffed an attempt to revive the policy in 2020.

In a 1978 decision — Regents of the University of California v. Bakke — the Supreme Court banned the use of quotas in university admissions as unconstitutional.

But the court said race or ethnic origin can be considered as one factor among others in admitting students to ensure a diverse student body and to combat previous discrimination that could have prevented marginalized students from being accepted to those schools. 

– ‘Uphold this precedent’ –

Conservatives currently enjoy a solid 6-3 majority on the Supreme Court, including three justices nominated by former president Donald Trump, a Republican.

The latest suits challenging affirmative action were brought by a group known as Students for Fair Admissions, which claims more than 20,000 members.

In 2014, the group filed suits against Harvard and UNC claiming that their race-conscious admissions policies discriminate against equally qualified applicants of Asian American origin.

Asian American students, they argued, are underrepresented at the schools, considering what they called their record of superior academic achievement.

After losing in lower courts, Students for Fair Admissions is seeking a ruling from the Supreme Court that the Constitution prohibits any form of discrimination.

Schwinn said a broad ruling in their favor could potentially impact areas beyond higher education and “ban all government use of race for any purpose,” in hiring or contracting, for example.

The administration of Democratic President Joe Biden, a number of major American companies and the American Civil Liberties Union (ACLU) have weighed in on the side of the universities.

“Race-conscious admissions practices help create a diverse student body that benefits the educational experiences of all students,” said ReNika Moore, director of the ACLU Racial Justice Program.

“Time and again, lower courts and the Supreme Court have recognized universities’ ability to consider race in the admissions process in order to help foster this,” Moore said. “The Supreme Court must uphold this precedent.”

The Supreme Court will hear one hour of argument in each case, with Ketanji Brown Jackson, the court’s first Black woman, sitting out the Harvard case because she has served previously on the Board of Overseers at the school.

Ukraine blames Russia for making grain export 'impossible'

Russia’s blockade of grain exports makes it “impossible” for fully loaded ships to leave port, Ukraine charged Sunday after Moscow claimed drone attacks on its Crimea fleet had exploited the grain corridor safe zone.

Kyiv’s maritime grain exports were halted after Russia pulled out of a landmark agreement that allowed the vital shipments.

The July deal to unlock grain exports signed between warring nations Russia and Ukraine — and brokered by Turkey and the United Nations — is critical to easing the global food crisis caused by the conflict.

“(A) bulk carrier loaded with 40 tons of grain was supposed to leave the Ukraine port today,” Infrastructure Minister Oleksandr Kubrakov tweeted.

“These foodstuffs were intended for Ethiopians, that are on the verge of famine. But due to the blockage of the ‘grain corridor’ by Russia the export is impossible,” the Ukrainian minister said.

The agreement, which established a safety corridor through which vessels could travel to Istanbul for inspections, had already allowed more than nine million tonnes of Ukrainian grain to be exported and was due to be renewed on November 19.

Russia announced on Saturday it would pull out of the deal after accusing Kyiv of a “massive” drone attack on its Black Sea fleet, which Ukraine labelled a “false pretext”.

US President Joe Biden called the move “purely outrageous” while Secretary of State Antony Blinken said Moscow was “weaponising food”.

Russia’s defence ministry alleged Sunday the attack drones had “Canadian-made navigation modules”, and that they “were moving in the safe zone of the ‘grain corridor'”.

UN Secretary-General Antonio Guterres on Sunday expressed “deep concern” about the situation, his spokesman said, and delayed his departure for an Arab League Summit in Algiers by a day “to focus on the issue”.

The EU on Sunday urged Russia to “revert its decision”.

– Enough grain to ‘feed millions’ –

The centre coordinating the logistics of the deal said in a statement that no traffic would move through the safety corridor on Sunday.

“A joint agreement has not been reached… for the movement of inbound and outbound vessels on 30 October,” it said. “There are more than 10 vessels both outbound and inbound waiting to enter the corridor.”

Turkey’s defence ministry later Sunday said ships would not leave Ukraine “during this period” but Turkey would continue checks of ships in Istanbul carrying Ukrainian grain “today and tomorrow”.

It also said Russia had formally notified Turkey of its suspension but “Russian personnel remained at the coordination centre” in Istanbul.

The Istanbul-based Joint Coordination Center (JCC) announced later Sunday that Russia had also suspended its participation in the grain inspections.

Ninety-seven loaded ships were waiting for clearance off Istanbul’s coast Sunday, the United Nations, which coordinates the JCC, said in a statement, adding it was proposing reopening the “maritime humanitarian corridor” to 14 vessels on Monday.

In his evening address, Ukrainian President Volodymyr Zelensky said that “more than 2 million tons of food” were at sea, but stalled by Russia’s actions.

“This is an absolutely transparent intention of Russia to return the threat of large-scale famine to Africa and Asia,” he added.

– ‘Peddling false claims’ –

Sevastopol in Moscow-annexed Crimea has been targeted several times in recent months and serves as the Black Sea fleet’s headquarters and a logistical hub for operations in Ukraine.

Russia’s army claimed to have “destroyed” nine aerial drones and seven maritime ones in an attack on the port early Saturday. 

It alleged British “specialists” based in the southern Ukrainian city of Ochakiv had helped prepare and train Kyiv to carry out the strike. 

In a further singling out of the UK — which Moscow sees as one of the most unfriendly Western countries — Russia said the same British unit was involved in explosions on the Nord Stream gas pipelines last month.

Britain strongly rebutted both claims, saying “the Russian Ministry of Defence is resorting to peddling false claims of an epic scale”.

Moscow’s military said ships targeted at their Crimean base were involved in the grain deal.

– ‘Massive’ attack –

Russia had recently criticised the deal, saying its own grain exports have suffered due to Western sanctions. 

Mikhail Razvozhayev, the Moscow-installed governor of Sevastopol, said Saturday’s drone attack was the “most massive” the peninsula had seen. 

Attacks on Crimea, annexed by Moscow in 2014, have increased recently as Kyiv presses a counter-offensive in the south to retake territory held by Moscow. 

In early October, Moscow’s key bridge linking Crimea to the Russian mainland was damaged by a blast that President Vladimir Putin blamed on Ukraine.

Kyiv said Sunday its troops in the south are “holding their positions and hit the enemy in order to create conditions for further offensive actions.”

Moscow-installed authorities in Kherson, just north of Crimea, have vowed to turn the city into a fortress, preparing for an inevitable assault. 

burs/des/mlm

Twitter owner Musk tweets conspiracy theory, then deletes it

New Twitter owner Elon Musk tweeted an anti-LGBT conspiracy theory Sunday about what happened the night US Speaker Nancy Pelosi’s husband was attacked, then hours later deleted the post.

The seesaw action by Musk, a self-declared “free speech absolutist,” cast new uncertainty on the direction the social media platform will take under his new ownership. It also underscored the huge megaphone Musk now has at his disposal.

Musk early Sunday tweeted a response to Hillary Clinton, who posted a news story about the alleged attacker’s links to the far right.

“There is a tiny possibility there might be more to this story than meets the eye,” Musk told Clinton, attaching a link to the story, which is no longer accessible, by the conservative Santa Monica Observer.

Musk may have had second thoughts about the tweet because around noon a message appeared, “This Tweet was deleted by the Tweet author.” By then, Musk’s tweet had been liked 110,000 times, the online Semafor news site said.

The tweet was no longer visible Sunday afternoon on Musk’s feed.

The weekly outlet cited by Musk in his tweet has published other conspiracy theories in the past, including that a body double for Clinton was sent to a debate with Donald Trump during the 2016 election campaign, according to the Los Angeles Times.

Musk’s Sunday tweet swiftly became a focal point for critics who have been nervous about the direction in which he intends to take Twitter, the leading social media platform for global discourse and diplomacy.

Twitter’s communications department did not respond to an AFP request for comment about the tweet and whether Musk himself deleted it.

Musk, whose outspoken and controversial tweets have courted trouble in the past, has vowed to dial back content moderation, relying more on computer algorithms than human monitors. Conservatives say past moderation has unfairly targeted their views.

In a message meant to reassure jittery Twitter advertisers on his leadership, Musk said late last week that he realizes Twitter “cannot become a free-for-all hellscape where anything can be said with no consequences.”

But detractors warn that without standards, the world’s “digital town square” is at risk of becoming flooded with misinformation, with possibly perilous consequences for democracy and public health.

“Clinton: Conspiracy theories are getting people killed and we shouldn’t amplify them. Owner of Twitter: But have you considered this conspiracy theory?” wrote University of Denver political scientist Seth Masket after Musk’s Sunday tweet.

The former UN special rapporteur for freedom of expression, David Kaye, poked fun at the multiple hats Musk seems to want to wear. He wrote on Twitter: “troll elon should report this takedown to chief twit elon.” 

– Troll campaign tests Musk –

Nancy Pelosi, who is second in line to the US presidency, has said her family is “heartbroken and traumatized” after the intruder broke into the couple’s San Francisco home early Friday and attacked Paul Pelosi with a hammer, fracturing his skull.

The 82-year-old is recovering in hospital. 

President Joe Biden has said it appears the assault was “intended for Nancy,” and called out increasingly polarizing political rhetoric.

“The Republican Party and its mouthpieces now regularly spread hate and deranged conspiracy theories. It is shocking, but not surprising, that violence is the result,” Clinton said in her tweet.

Musk’s response came just hours after Twitter said the site was being targeted by a trolling campaign testing its moderation policies under the billionaire entrepreneur’s leadership.

“Twitter’s policies haven’t changed…. And we’re taking steps to put a stop to an organized effort to make people think we have,” tweeted the platform’s chief of safety and integrity, Yoel Roth.

Roth said a “small number of accounts” had posted “a ton” of hate content — including 50,000 tweets using a particular slur made by just 300 accounts.

“Nearly all” of the accounts are inauthentic, he said.

Roth also retweeted a Musk post in which the Tesla chief reiterated that “we have not yet made any changes to Twitter’s content moderation policies.”

Close Bitnami banner
Bitnami