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Chinese stocks post best week since 2008 after stimulus blitz

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Chinese stocks post best week since 2008 after stimulus blitz

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Chinese equities have surged to their best week since 2008 after Beijing launched an economic stimulus package including a $114bn war chest to boost the stock market.

The CSI 300 index of Shanghai- and Shenzhen-listed companies is up 15.7 per cent for the week in its best performance since November 2008, when China announced a similar stimulus package in response to the global financial crisis.

The rally, which has also helped buoy European markets and industrial metals, comes as China’s leadership rushes to support the country’s capital markets, stabilise a property sector crisis and boost domestic consumption in order to meet its economic growth target of 5 per cent for the year.

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On Tuesday, the People’s Bank of China unveiled an Rmb800bn ($114bn) lending pool for the country’s capital markets, comprising funds to lend to companies to buy back their own shares and to lend to non-bank financial institutions such as insurers to buy local equities.

The CSI 300 index closed up 4.5 per cent on Friday while Hong Kong’s Hang Seng index rose 3.6 per cent, up 13 per cent since the start of the week in its biggest weekly gain since October 1998 during the Asian financial crisis.

“We are at a pivotal moment for the Chinese economy and its equities market,” said Nicholas Yeo, head of China equities at Abrdn, who said in a note that the US Federal Reserve’s recent interest rate cut would also be a significant tailwind.

“Global easing conditions are poised to bolster consumption, which is a boon for China, the world’s largest exporter.”

Hopes for more stimulus in China helped lift European stocks. The region-wide Stoxx 600 hit a fresh record high on Friday, pushed higher by luxury groups that would benefit from stronger consumer spending in China.

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The China rally followed Wall Street gains after the S&P 500 closed on Thursday at a record high for the third time this week, with equities climbing ahead of Friday’s inflation report.

Chinese authorities in August restricted the daily northbound data through the Hong Kong Stock Connect programme that shows foreign investor flows into mainland stocks.

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But Citi said the past three days were “the busiest period for Citi’s equities sales and trading team in the Asia region, with record client flows” into Hong Kong and mainland Chinese equities.

The Shanghai Stock Exchange put out a notice on Friday warning investors of “abnormally” slow transaction speeds as a result of frenzied morning trading, said two people familiar with the situation.

“We can’t dismiss this as the same old policy,” said Winnie Wu, equity strategist at Bank of America. “This is the first time that the government is encouraging leveraged investment in the stock market. A liquidity-leveraged rally should still have significant room to go.”

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Line chart of Indices rebased in $ terms up to Sep 26 showing Hong Kong stocks are almost level with the S&P 500 year-to-date

David Chao, a global market strategist at Invesco, said the rally in Chinese stocks could be sustained. “China markets are about momentum, and I see certain parallels between the existing rally and that of the 2014-15 rally,” when Shanghai’s index rose about 150 per cent between June 2014 and June 2015 but then collapsed.

Chao added that, as the dollar continued to weaken on the back of interest rate cuts from the Federal Reserve, he predicted “possible rotation out of the expensive and crowded global tech trade into cheaper [emerging market] assets”.

The stimulus measures this week have propelled most commodity prices higher, with the notable exception of oil, which has been damped by news of Saudi Arabia preparing to increase output. 

In particular, industrial metals such as copper, aluminium and zinc, of which China is a huge consumer because of its vast manufacturing sector, have surged, building on a rally that started earlier this month.

Copper, which is used heavily in the final stages of construction for electrical wiring, has gained more than 5 per cent since Tuesday to break through the $10,000 per tonne mark and reach its highest level in three months. 

For iron ore, a steelmaking ingredient, the stimulus measures have helped trigger a rebound after a slide in price to a two-year low that was largely driven by weak consumption of steel.

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“In a commodity where expectations were negative, such as iron ore, this marks a clear turn,” said Colin Hamilton, commodities strategist at BMO. “We see this as a clear reflation trade, but the question will be whether it is enough to boost weak consumer sentiment.”

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With the white nationalist group Patriot Front, what you see is not what you get

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With the white nationalist group Patriot Front, what you see is not what you get

Members of the group Patriot Front ride the subway as a commuter looks on, in Washington, D.C., on July 4.

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The sight of hundreds of masked men roaming the streets of Washington, D.C., on July Fourth weekend, wearing khakis, blue shirts and uniform patches, was chilling to some of the city’s residents.

For many Americans, it was the first they heard about Patriot Front, a white nationalist organization that was born out of the deadly 2017 Unite the Right rally in Charlottesville, Va. A now-viral Reuters photo prompted reflections on the experience of a lone African American woman who was photographed in a Metro subway car, surrounded by white supremacists.

The planned demonstration of force was timed to bring a fringe group of extremists into public view as the nation marked 250 years of its independence. Indeed, the stunt succeeded in earning the group media coverage across mainstream outlets, amplifying its brand and potential to reach new recruits. On this occasion, the members refrained from engaging in violence and property damage, projecting an image of law-abiding, orderly activism.

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But those who are closely familiar with Patriot Front’s history and operations warn: Don’t believe what you see.

“That is not who they are in private,” said Len Kamdang, director of the Criminal Justice Project at the Lawyers’ Committee for Civil Rights Under Law. “Although they were on their best behavior [last] weekend, this is a dangerous group that commits acts of violence all over the country.”

Patriot Front’s history of violence and property damage

Kamdang’s organization sued members of Patriot Front for vandalizing a public mural dedicated to the tennis legend and Black activist Arthur Ashe in Richmond, Va., in 2021. Ashe, who was inducted into the International Tennis Hall of Fame in 1985, was born in Richmond and his legacy is a continuing source of pride to members of that community.

“A couple of Patriot Front members showed up under cover of night and vandalized the mural,” Kamdang said. “They painted white stencils all over. … They literally tried to whitewash him and they put their symbols of hate all over — their stencils, their slogans. And all the while they were caught on video. And that video leaked using some of the most horrible language that you can imagine.”

In many jurisdictions, law enforcement can seek additional hate crime charges or sentencing enhancements in cases where illegal acts appear to have been motivated by racial bias. But in this case, Kamdang said, Patriot Front members faced no criminal charges and their identities were only revealed when online activists later infiltrated the group and leaked internal records.

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Graham Platner makes it official in Maine, submitting paperwork to leave Senate race

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Graham Platner makes it official in Maine, submitting paperwork to leave Senate race

Now-former Democratic Senate candidate Graham Platner speaks at his primary election night event on June 9 in Blue Hill, Maine. Platner officially dropped out of the race July 10 following rape allegations from a former romantic partner that he denies.

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Graham Platner, Maine’s Democratic nominee for Senate, is officially out of the race.

The Maine Secretary of State said Platner filed the necessary paperwork to withdraw his candidacy two days after he announced he planned to do so following an accusation of rape by a former romantic partner. Platner denies the allegation.

The Maine Democratic Party has until July 27 to pick Platner’s replacement.

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In his withdrawal notice, Platner said “people are desperate for change” and that’s why they voted “for a new kind of politics” by making him the Democratic nominee. He expressed gratitude for those who supported his campaign and said that he will continue to fight for “the movement we have built together and the future we believe in.”

He ended his notice with a strong statement aligned with the progressive platform.

“F*ck ICE. Free Palestine. Up the Hearts.”

Platner announced his plan to withdraw from the race in an 11-minute video he posted to social media on July 8. He said he had no choice but to suspend his campaign, citing it was no longer viable financially.

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“We are going to lose our ability to fundraise. We are going to lose our ability to access voter data. We are going to lose all of the things that any campaign needs on the basic level simply to function,” he said.

Platner added that dropping out was not an admission of guilt. Rather, the decision, he said, is to keep the progressive movement in Maine alive to defeat Republican Sen. Susan Collins in November. Platner blamed the “political establishment” for his downfall and argued the goal was to force him out of the race.

“We built a campaign. We engaged in electoral politics. We motivated people. We banded together. We did it the way that we were told we are supposed to make change and we won. And now they are not going to let us have it. Not if it’s me,” he said.

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Waymo called the cops on teen riders, raising privacy concerns

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Waymo called the cops on teen riders, raising privacy concerns

A Waymo robotaxi drives in San Francisco’s North Beach neighborhood this week.

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Police in San Mateo, Calif., posted Monday on social media that they had apprehended a pair of teenagers from a Waymo driverless robotaxi after the company alerted authorities to suspected criminal activity. It’s the latest incident involving video surveillance of passengers and others by autonomous vehicles — raising questions about the limits of privacy in such vehicles.

The Facebook post by the San Mateo County Police said: “Parents do you know where your teens are? @waymo does!”

The 15-year-olds were allegedly drinking alcohol and shooting toy guns from the car, according to the police. They said Waymo’s systems detected behavior that then triggered a safety response, after which the company disabled the vehicle and contacted police.

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Waymo’s cars, equipped with an array of cameras, microphones and other sensors to monitor passengers and other nearby vehicles, are becoming more common in cities across the United States. Experts say the detention of the two teens in San Mateo highlights a potential — but not inevitable — trade-off between privacy and convenience. It also questions the extent to which companies similar to Waymo are required to hand over private data, including audio and video of passengers, in situations where a crime is suspected.

NPR reached out to Waymo, which is owned by Alphabet, the parent company of Google, for comment on the details of the San Mateo incident and how the company responded, but did not hear back. But on its website, the company says that as many as 29 cameras in its autonomous cars provide an all-around view and “are designed with high dynamic range and thermal stability, to see in both daylight and low-light conditions, and tackle more complex environments.”

“There already exist laws that govern duty to report or even duty to protect” for carriers such as Waymo, according to Alessandro Acquisti, a professor of information technology at the MIT Sloan School of Management. “The privacy problems arise when and if driverless carrier companies used such laws or ethical obligations as a pretext for blanket, indiscriminate accumulation of identifiable data for unspecified future purposes.”

That includes not just monitoring people inside the cars, but outside too. Take, for example, a hit-and-run investigation last year in Los Angeles. Media reported that the police inquiry was aided by video captured by a Waymo taxi that had a clear view of the crime. Critics suggested at the time that authorities were using the company’s vehicles as a mobile surveillance platform. And during 2025 protests in Los Angeles against Immigration and Customs Enforcement crackdowns, demonstrators vandalized Waymos, apparently angry that video recorded by the vehicles could be used by police, although there is no evidence that happened.

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