Sept. 29, 2026 - Daily News Digest
On this day: in 2008, The stock market crashes with the Dow Jones dropping a then record 778 points after the United States House of Representatives vote on the Emergency Economic Stabilization Act fails during the beginning stages of the Great Recession.
QOTD: “On artificial intelligence, Argentina will stand at the forefront of freedom,” Mr. Milei told the United Nations General Assembly in New York last week, while asserting the country’s “commitment to not preemptively regulate A.I.”
UK/US/IRAN/SEC - Questions surround counterterror probe into US air base after suspects were freed on bail
https://apnews.com/article/air-base-raf-fairford-iran-arrest-investigation-420d44fb1f091908238baeae2cb41fcc
A surprise decision by the U.K.'s counterterror police to release five suspects on bail during an investigation into a suspected bomb plot targeting a U.S.-operated air force base in England has raised questions and concern from many, including U.S. President Donald Trump and U.S. Secretary of State Marco Rubio.
Five young British men were arrested early Sunday on explosives and terrorism charges near the RAF Fairford base, which has been used by American bombers during decades of conflicts in the Middle East, including this year’s war with Iran.
Counterterror detectives said they were investigating “multiple lines of inquiry,” including whether the suspects had a link to Iran. Iran has denied involvement.
The men — all British nationals in their 20s, according to police — were released on bail Monday. The head of U.K. Counter Terrorism Policing, Laurence Taylor, stressed that the suspects face stringent conditions and “absolutely remain under investigation.”
ESTONIA/EU/RUSSIA/SEC - Estonia Says Arson at Defense Company Was ‘Deliberate’ Attack by Russia
https://www.nytimes.com/2026/09/29/world/europe/estonia-russia-ukraine-milrem-fire.html
A fire at a defense technology company in Estonia that supplies Ukraine was a “deliberate and preplanned” attack commissioned by Russia’s security services, Estonia’s national security agency said on Tuesday.
The Estonian Internal Security Service, known as KAPO, said that an investigation had found that the fire at the company, Milrem Robotics, in August, was “directly attributable to the Russian Federation.”
In recent weeks, European governments have spoken openly and urgently about a shadow war waged by Russia. They have warned that the Kremlin is using hybrid attacks to sow fear and panic in countries supporting Ukraine as it defends itself against the invasion that Russia launched in 2022.
Milrem Robotics makes unmanned ground vehicles — tracked and wheeled machines that can deliver supplies, haul ammunition, evacuate the wounded and lay mines. The fire in August, at a building used by Milrem Robotics in Tallinn, Estonia’s capital, did not damage its supplies to Ukraine, its chief executive told Reuters at the time.
MYANMAR/SEC - Death toll from Myanmar airstrike in Rakhine state rises to 50
https://www.reuters.com/world/asia-pacific/death-toll-myanmar-airstrike-rakhine-state-rises-50-2026-09-29/
The death toll from a Myanmar military airstrike in Rakhine state, which lies on the border with Bangladesh, rose to 50 after rescuers found more bodies on Tuesday, according to a rebel group that controls the area and a local aid worker.
· Monday's airstrike in Rakhine state's Kyauktaw town killed 50 people and wounded at least 58, said the Arakan Army, which is battling the military. The numbers were confirmed by aid worker Wai Hun Aung.
· Women and children were among the bodies recovered on Tuesday, according to photos shared on social media by Wai Hun Aung.
· Arakan Army spokesperson Khine Thu Kha said the military "deliberately targeted densely populated markets, schools, civilians, and residential buildings through airstrikes."
· A Myanmar government spokesperson did not respond to a request for comment. The military has previously said it "exercises maximum restraint to avoid civilian harm".
· Myanmar has been locked in a nationwide civil war since a 2021 coup, with an alliance of armed groups, including the Arakan Army, fighting against the military.
· The protracted conflict has since killed around 100,000 people and displaced over 3.5 million in the impoverished Southeast Asian nation.
· Khine Thu Kha said the Arakan Army would use all available means to retaliate against the military and anyone involved in the bombing of civilians.
· The Kyauktaw air strike is Rakhine's deadliest such attack since a December hospital bombing that killed at least 30 people.
CHINA/JAPAN/TAIWAN - China Says Japan Ties Need ‘Normalization’ Again Over Taiwan
https://www.bloomberg.com/news/articles/2026-09-29/china-says-japan-ties-need-normalization-again-over-taiwan-row
China’s top diplomat suggested relations with Japan had deteriorated to a low point unseen in decades, adding pressure on Japanese Prime Minister Sanae Takaichi to amend her Taiwan remarks.
Foreign Minister Wang Yi made the comment as he received a Japanese delegation led by former Foreign Minister Takeshi Iwaya on Monday, according to a statement from China’s Foreign Ministry.
“Current Sino-Japanese relations are once again facing a severe situation, requiring normalization once more,” he said, noting that 2027 marks the 55th anniversary of the establishment of diplomatic ties.
The language underscores the depth of China’s anger at Takaichi’s remarks last November publicly linking a crisis over Taiwan with the possible deployment of Japanese troops. Wang repeated China’s demand that Takaichi “correct” her remarks, which it sees as an affront to Beijing’s claims on the self-ruled democracy and a violation of the political foundations of bilateral ties.
ARGENTINA/TECH - As A.I. Fears Grow, President Milei Pitches Argentina as a Rules-Free Haven
https://www.nytimes.com/2026/09/29/world/americas/argentina-ai-rules-milei.html
Santiago Oría, the personal filmmaker and media strategist for President Javier Milei of Argentina, was captivated when he saw the young influencer’s Instagram videos. The woman was articulate and eloquent while making pro-government points.
“She is smart, she is super beautiful,” Mr. Oría said in an interview, “I said — we have to give her a bigger spotlight.”
Except the influencer, Libertarian Lucía, was an A.I. fabrication. Mr. Oría, having realized that, said he lost interest, but he wasn’t troubled by the ruse.
“It’s totally inoffensive,” he said. “There is nothing harmful.”
Mr. Oría’s perspective reflects the Milei administration’s broader hands-off approach toward artificial intelligence. Mr. Milei is pitching Argentina as a sanctuary for unregulated A.I. as many Western leaders struggle to get a handle on a technology many fear poses existential threats to humanity, and even tech chief executives urge guardrails.
GIFT LINK: OpenAI Halts New Model Over Safety Worries
https://www.wsj.com/tech/ai/openai-chatgpt-model-release-cancel-safety-5a2f9f42?st=VxQdUo&reflink=desktopwebshare_permalink
OpenAI says it is scrapping the release of its next-generation AI model over safety concerns that researchers raised during internal testing, in one of the clearest signs so far that agent misbehavior could stymie the industry’s rapid progression.
The move follows a summer punctuated by reports of artificial-intelligence systems industrywide going rogue, and marks a rare case of a major AI developer ditching a new release because of safety concerns.
The company had planned to launch the model, known as GPT-6.1 Astra, in the coming days or weeks, aiming for an October debut. The model was more capable than the company’s previous models in completing challenging tasks from end-to-end without human assistance, as well as writing.
The company instead will focus on improving the safety of future models, which it expects to be even more capable.
Saachi Jain, OpenAI’s head of safety systems, said in an interview that GPT-6.1 Astra regressed in two areas. Compared with its predecessor, GPT-6 Astra, the model performed poorly on tests measuring alignment, or how well the model adheres to what humans would like it to do. Specifically, GPT-6.1 Astra showed higher levels of deception: It wasn’t always honest about telling users of the actions it did or didn’t take.
Another issue was what OpenAI calls “scope authorization,” meaning that GPT-6.1 Astra would push ahead on a task without asking the user for permission, and would at times reach for external tools and services even if it might be unsafe.
“For anything regarding safety and alignment, there’s a trade off,” Jain said. “You really do need to find what’s the right line between staying within scope, but also avoiding laziness in terms of how the model actually pursues tasks even when it hits friction.”
SPAIN/POL - Spain agrees on measures to fix housing crisis, ban eviction
https://www.dw.com/en/spain-agrees-on-measures-to-fix-housing-crisis-ban-eviction/a-79467953
Spain's coalition government on Tuesday said it has agreed new measures to tackle the country's housing crisis after the forceful removal of an 87-year-old pensioner from her apartment in Madrid last week, sparked nationwide solidarity protests.
Spanish Health Minister Monica Garcia said the housing legislation includes a ban on evictions until 2030, tighter rules for short-term rentals and a two-year extension for existing leases.
"It's time to intervene in the speculative housing market and begin to rebalance the scales between citizens and vulture funds," Garcia, who belongs to the leftist government's junior coalition partner Sumar, wrote in a post on X.
Legislation still needs to pass through parliament
The Spanish government, led by Prime Minister Pedro Sanchez and his ministers, approved the measures after a meeting.
But since Sanchez leads a minority government, he is still dependent on votes from a number of other parties in parliament before the bill is set in law.
Sanchez's ruling Socialists were engaged in talks with coalition partners Sumar and others up to Tuesday.
Socialist Housing Minister Isabel Rodriguez is scheduled to address a press conference later on Tuesday.
THAILAND/FLOODS - At least 23 dead in Thailand floods, Bangkok airport in chaos
https://www.reuters.com/business/environment/thailand-expects-clear-bangkok-floodwater-two-three-days-government-says-2026-09-29/
The death toll from rains and flooding in Thailand has risen to 23, authorities said on Tuesday, as waters receded from the hard-hit capital Bangkok, where its main airport operated in chaos, and the government approved a multi-million aid package.
Bangkok was swamped by around 320 mm (12.6 inches) of rain within three days last week, nearly as much as the sprawling low-lying metropolis usually gets in the whole of September.
The city's governor, Chadchart Sittipunt, said that he expected floodwater to drain away from Bangkok's major roads within two days, although it will take up to a week for other inundated areas to be cleared out.
"Recovery efforts are under way in areas where the water has gone down," he said.
Across the country, at least 23 people have died since September 16, including 4 in Bangkok, according to the Interior Ministry.
UAE/ISRAEL/BEGGING, CRYING, PLEADING - UAE confirms Israel PM Netanyahu’s visit to Abu Dhabi
https://www.aljazeera.com/news/2026/9/28/uae-confirms-netanyahu-visit-to-abu-dhabi
The United Arab Emirates has confirmed that Israeli Prime Minister Benjamin Netanyahu met with President Sheikh Mohammed bin Zayed Al Nahyan during a visit to the country over the weekend.
The confirmation late on Monday came a day after the Israeli leader made the secret trip to the UAE capital, Abu Dhabi. The visit came a month before Israeli elections and amid controversy over reports alleging that Bin Zayed, known as MBZ, had warned Netanyahu that a major Hamas operation was likely just ahead of the attack on southern Israel on October 7, 2023.
“During the meeting, the two sides discussed bilateral relations between the UAE and Israel and ways to strengthen and develop them,” the official Emirates News Agency, WAM, reported on Monday. The meeting was earlier reported in the Israeli press.
Palestinian fighters killed at least 1,195 people in southern Israel during the attack and took around 250 captive. Israel’s response developed into a genocidal war on Gaza, in which at least 73,669 Palestinians have been killed.
Israeli newspaper Haaretz reported on September 9 that the UAE president spoke to Netanyahu on the phone about 10 days before the attack, warning him of a threat made by then-Hamas leader Yahya Sinwar that he was preparing a “huge surprise”.
RUSSIA/MIL/ECON - Russia raises 2027 military spending by 27%, budget documents show
https://www.reuters.com/world/russia-raises-2027-military-spending-by-27-budget-documents-show-2026-09-28/
Russia plans to spend 17.1 trillion roubles ($202.58 billion) on defence in 2027, around 27% more than the 13.5 trillion roubles originally budgeted and the highest figure since the start of the war in Ukraine in 2022, government documents seen by Reuters showed on Monday.
Total defence spending will amount to 50 trillion roubles in the next three years, according to the documents. In 2026 the government planned to spend 12.1 trillion roubles on defence but the actual amount is classified and will not be disclosed. Some military spending can also be accounted for in other parts of the budget.
The documents also showed the government raised its estimate for its 2026 budget deficit to 3.2% of gross domestic product, from 1.6% of GDP previously. Budget spending in 2026 will increase by 13.2% to 48.6 trillion roubles or 20.9% of GDP.
The government is expected to submit the draft budget to parliament by October 1. Last week, it announced plans for new tax hikes in 2027 to finance the growing deficit. The documents showed that a new windfall tax on metals and mining companies was expected to raise about 200 billion roubles annually.
IRAN/GULF/ENERGY/WE’VE READ THIS HEADLINE BEFORE - Middle East Oil Exports Rebound as Iran’s Chokehold on Hormuz Breaks Down
https://www.wsj.com/world/middle-east/middle-east-oil-exports-rebound-as-irans-chokehold-on-hormuz-breaks-down-4ffde655?mod=world_lead_pos3
Iran’s ability to choke off oil flowing through the Strait of Hormuz—and use that as leverage in talks with the U.S.—is breaking down, raising the risk it will resort to military escalation to bolster its position.
The erosion of Iran’s position comes as the U.S. Navy and Gulf oil producers have become better at fending off or evading Iranian attacks, allowing more tankers to cross the strait.
Middle Eastern crude exports rebounded this month to around their highest level since the war began in February, oil data trackers say. Shipments via Hormuz and bypass routes were delivering just under 80% of their prewar regional flows as of last week, according to tracker Kpler.
So far this month, crude exports from major Middle Eastern producers including Saudi Arabia, Iraq, the U.A.E. and others—moving through Hormuz and alternative routes—have risen to almost 13 million barrels a day. That is the highest total since February, when the region exported nearly 19 million barrels a day, according to ship tracker Huax.
Saudi Arabia is also starting to pump crude through its damaged East-West pipeline and load it on tankers in the Red Sea, though volumes remain reduced, officials familiar with the operations said. Some of the current output will be destined for domestic refineries, they said.