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How Israeli spies penetrated Hizbollah

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In its 2006 war with Hizbollah, Israel tried to kill Hassan Nasrallah three times.

One air strike missed — the leader of Hizbollah had earlier left the spot. The others failed to penetrate the concrete reinforcements of his underground bunker, according to two people familiar with the attempted assassinations.

On Friday night, the Israeli military fixed those mistakes. It tracked Nasrallah to a bunker built deep below an apartment complex in south Beirut, and dropped as many as 80 bombs to make sure he was killed, according to Israeli media.

“We will reach everyone, everywhere,” bragged the pilot of the F-15i warplane that the Israeli army said dropped the lethal payload, destroying at least four residential buildings.

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But the confident swagger of the Israeli military and security establishment, which has in the past few weeks delivered a steady drumbeat of devastating blows to one of its biggest regional rivals, belies an uncomfortable truth: in nearly four decades of battling Hizbollah, only recently has Israel truly turned the tide.

Residents survey the damage after an Israeli air strike on southern Beirut
Residents survey the damage after an Israeli air strike in southern Beirut © AFP/Getty Images

What changed, said current and former officials, is the depth and quality of the intelligence that Israel was able to lean on in the past two months, starting with the July 30 assassination of Fuad Shukr, one of Nasrallah’s right-hand men, as he visited a friend not far from Friday’s bombing site.

These officials described a large-scale reorientation of Israel’s intelligence-gathering efforts on Hizbollah after the surprising failure of its far more powerful military to deliver a knockout blow against the militant group in 2006, or even to eliminate its senior leadership, including Nasrallah.

For the next two decades, Israel’s sophisticated signals intelligence Unit 8200, and its military intelligence directorate, called Aman, mined vast amounts of data to map out the fast-growing militia in Israel’s “northern arena”.

Miri Eisin, a former senior intelligence officer, said that required a fundamental shift in how Israel viewed Hizbollah, a Lebanese guerrilla movement that had sapped Israel’s will and endurance in the quagmire of its 18 year-long occupation of south Lebanon. For Israel that ended in 2000 in an ignominious retreat, accompanied by a significant loss of intelligence gathering.

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Instead, Eisin said, Israeli intelligence widened its aperture to view the entirety of Hizbollah, looking beyond just its military wing to its political ambitions and growing connections with Iran’s Revolutionary Guards and Nasrallah’s relationship with Syria’s President Bashar al-Assad.

Syrians wave flags and lift a placard depicting Hassan Nasrallah, Syrian President Bashar al-Assad, Yemen’s Houthi leader Abdulmalik al-Houthi, and Iran’s Supreme Leader Ayatollah Ali Khamenei, at a rally in 2021
Syrians wave flags and lift a placard depicting Hassan Nasrallah, Syrian President Bashar al-Assad, Yemen’s Houthi leader Abdulmalik al-Houthi, and Iran’s Supreme Leader Ayatollah Ali Khamenei, at a rally in 2021 © AFP via Getty Images

“You have to define, in that sense, exactly what you’re looking for,” she said. “That’s the biggest challenge, and if done well, it allows you to look at this in all its complexity, to look at the whole picture.”

Israeli intelligence had for nearly a decade referred to Hizbollah as a “terror army”, rather than as a terrorist group “like Osama bin Laden in a cave”, she said. It was a conceptual shift that forced Israel to study Hizbollah as closely and broadly as it had the Syrian army, for instance.

As Hizbollah grew in strength, including in 2012 deploying to Syria to help Assad quell an armed uprising against his dictatorship, it gave Israel the opportunity to take its measure. What emerged was a dense “intelligence picture” — who was in charge of Hizbollah’s operations, who was getting promoted, who was corrupt, and who had just returned from an unexplained trip.

While Hizbollah’s fighters were battle hardened in Syria’s bloody war, the militant group’s forces had grown to keep pace with the drawn-out conflict. That recruitment also left them more vulnerable to Israeli spies placing agents or looking for would-be defectors. 

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“Syria was the beginning of the expansion of Hizbollah,” said Randa Slim, a programme director at the Middle East Institute in Washington. “That weakened their internal control mechanisms and opened the door for infiltration on a big level.”

Mourners pray over the coffin of an assassinated Hizbollah commander in Beirut in 2008
Mourners pray over the coffin of an assassinated Hizbollah commander in Beirut in 2008 © AFP via Getty Images

The war in Syria also created a fountain of data, much of it publicly available for Israel’s spies — and their algorithms — to digest. Obituaries, in the form of the “Martyr Posters” regularly used by Hizbollah, were one of them, peppered with little nuggets of information, including which town the fighter was from, where he was killed, and his circle of friends posting the news on social media. Funerals were even more revealing, sometimes drawing senior leaders out of the shadows, even if briefly.

A former high-ranking Lebanese politician in Beirut said the penetration of Hizbollah by Israeli or US intelligence was “the price of their support for Assad”.

“They had to reveal themselves in Syria,” he said, where the secretive group suddenly had to stay in touch and share information with the notoriously corrupt Syrian intelligence service, or with Russian intelligence services, who were regularly monitored by the Americans.

“They went from being highly disciplined and purists to someone who [when defending Assad] let in a lot more people than they should have,” said Yezid​​​​ Sayigh, a senior fellow at the Carnegie Middle East Center. “The complacency and arrogance was accompanied by a shift in its membership — they started to become flabby.”

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That was a departure for a group that took pride in is ability to fend off Israel’s vaunted intelligence prowess in Lebanon. Hizbollah blew up Shin Bet’s headquarters in Tyre not once but twice in the early years of Israel’s occupation of southern Lebanon. At one point in the late 1990s, Israel realised that Hizbollah was hijacking its then-unencrypted drone broadcasts, learning about the Israel Defense Forces’ own targets and methods, according to two people familiar with the issue.

Israel’s broadened focus on Hizbollah in the region was accompanied by a growing, and eventually insurmountable technical advantage — spy satellites, sophisticated drones and cyber-hacking capabilities that turn mobile phones into listening devices.

It collects so much data that it has a dedicated group, Unit 9900, which writes algorithms that sift through terabytes of visual images to find the slightest changes, hoping to identify an improvised explosive device by a roadside, a vent over a tunnel or the sudden addition of a concrete reinforcement, hinting at a bunker.

Once a Hizbollah operative is identified, his daily patterns of movements are fed into a vast database of information, siphoned off from devices that could include his wife’s cell phone, his smart car’s odometer, or his location. These can be identified from sources as disparate as a drone flying overhead, from a hacked CCTV camera feed that he happens to pass by and even from his voice captured on the microphone of a modern TV’s remote control, according to several Israeli officials.

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Any break from that routine becomes an alert for an intelligence officer to sift through, a technique that allowed Israel to identify the mid-level commanders of the anti-tank squads of two or three fighters that have harassed IDF troops from across the border. At one point, Israel monitored the schedules of individual commanders to see if they had suddenly been recalled in anticipation of an attack, one of the officials said.

But each one of these processes required time and patience to develop. Over years, Israeli intelligence was able to populate such a vast target bank that in the first three days of its air campaign, its warplanes tried to take out at least 3,000 suspected Hizbollah targets, according to the IDF’s public statements.

“Israel had a lot of capabilities, a lot of intelligence stored waiting to be used,” said a former official. “We could have used these capabilities way longer ago during this war, but we didn’t.”

That patience appears to have paid off for the military. For more than 10 months, Israel and Hizbollah traded cross-border fire, while Israel killed a few hundred of Hizbollah’s low-level operatives, the vast majority of them within a slowly expanding theatre of the conflict, stretching a few kilometres north of the border.

That appears to have lulled Nasrallah into thinking that the two arch-rivals were involved in a new sort of brinkmanship, with well-defined red lines that could be managed until Israel agreed a ceasefire in Gaza with Hamas, allowing Hizbollah an “off-ramp” that would allow it to agree a ceasefire with Israel.

The group had only started this round of fire with Israel on October 8, in solidarity with Iran-backed Hamas, in an attempt to keep at least some Israeli firepower pinned down on its northern border.

“Hizbollah felt obliged to take part in the fight, but at the same time limited itself severely — there was never really any intention of them taking an initiative where they might have some advantage,” said Sayigh of the Carnegie Middle East Center.

“They seem to have thrown off a few rockets here and there, and taken a few hits in return, and getting lulled into a notion that this was the limit of it — they kept one, if not both, hands tied behind their back and did nothing approaching their own full capability.”

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But even the possibility that Hizbollah would attempt the same sort of cross-border raid that Hamas had successfully pulled off on October 7 — killing 1,200 people in southern Israel, and taking 250 hostages back into Gaza — was enough for Israel to evacuate the communities near its border with Lebanon. Some 60,000 Israelis were forced from their homes, turning the border into an active war zone with Hizbollah.

To create the conditions for their return, PM Benjamin Netanyahu appears to have unleashed Israel’s more advanced offensive capabilities, according to officials briefed on the operations.

That included the unprecedented detonation of thousands of booby-trapped pagers two weeks ago, wounding thousands of Hizbollah members with the very devices that they had thought would help them avoid Israel’s surveillance.

It culminated on Friday with Nasrallah’s assassination, a feat that Netanyahu’s predecessor, Ehud Olmert, had authorised in 2006 and the IDF had failed to deliver.

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In recent months, if not years, Israeli intelligence had nearly perfected a technique that allowed it to, at least intermittently, locate Nasrallah, who had been suspected of mostly been living underground in a warren of tunnels and bunkers.

In the days after October 7, Israeli warplanes took off with instructions to bomb a location where Nasrallah had been located by Israel’s intelligence directorate Aman. The raid was called off after the White House demanded Netanyahu do so, according to one of the Israeli officials.

On Friday, Israeli intelligence appears to have pinpointed his location again — heading into what the IDF called “a command and control” bunker, apparently to a meeting that included several senior Hizbollah leaders and a senior Iranian commander of Revolutionary Guards operations.

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In New York, Netanyahu was informed on the sidelines of his address at the UN General Assembly, where he rejected the notion of a ceasefire with Hizbollah and vowed to press on with Israel’s offensive. A person familiar with the events said that Netanyahu knew of the operation to kill Nasrallah before he delivered his speech.

Israel’s campaign is not over, says Netanyahu. It is still possible that Israel will send ground troops into southern Lebanon to help clear a buffer zone north of its border. Much of Hizbollah’s missile capabilities remain intact.

“Hizbollah did not disappear in the last 10 days — we’ve damaged and degraded them and they are in the stage of chaos and mourning,” said Eisin, the former senior intelligence officer. “But they still have lots of capabilities that are very threatening.”

Additional reporting by Chloe Cornish in Dubai

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Israel dreams of a new order in the Middle East

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The killing of Hassan Nasrallah came just a few days before the first anniversary of Hamas’s October 7 attacks on Israel. With its decapitation of Hizbollah in Lebanon, the Israeli government hopes that it has finally seized the initiative in the battle with its regional enemies.

The US is urging Israel not to escalate the conflict further. But Israel is likely to see the current moment as too good an opportunity to miss. Many now want to press home the advantage, in the hope of striking a decisive blow against not just Hizbollah but Iran — and the “axis of resistance” that it leads, which includes Hamas, Hizbollah, militias in Iraq and Syria and the Houthis in Yemen.

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In the aftermath of Nasrallah’s killing, Benjamin Netanyahu, Israel’s prime minister, talked about an opportunity for “changing the balance of power in the region for years”. If Israel can gravely damage the “axis of resistance”, its achievement would be quietly welcomed in Saudi Arabia and the United Arab Emirates — which also fear Iran and have fought a war against the Houthis.

Unlike the Israeli government, the Saudis continue to insist that establishing a Palestinian state is critical to achieving lasting peace in the Middle East. The Saudi government also has good reason to fear the escalation of regional hostilities that could threaten their ambitious development plans.

For Israel, changing the balance of power also involves reversing the national narrative of defeat and confusion that set in after October 7. The Hamas attack was a humiliation for Israel’s intelligence services. The country’s reputation for always being one step ahead of its enemies was a key part of its deterrence strategy. That reputation was lost in a single day last year, when Israel was comprehensively outwitted by Hamas.

The subsequent war in Gaza has failed to restore Israel’s pride or its security. Despite an operation that has caused massive civilian deaths, Israel has been unable to free all its hostages. It is also losing the battle for international public opinion, and has been accused of genocide in hearings at the International Court of Justice.

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The series of attacks on Hizbollah — starting with the exploding pagers, which killed or maimed so many of the organisation’s footsoldiers — has restored the reputation of Israeli intelligence and the morale of the Israeli public. The fact that Hizbollah is detested by many Lebanese citizens and some in the wider Arab world, also complicates the normal condemnation of Israel.

The destruction wrought on Hizbollah potentially puts Iran’s government in the most dangerous international situation it has faced for decades. The presence of a powerful Iran-backed militant force with a huge arsenal of rockets — right on Israel’s northern border — was always regarded as key to Iran’s deterrent power against Israel. The theory was that the Israelis would avoid a direct attack on Iran — partly for fear that Tehran would unleash Hizbollah.

Now, with its proxy and ally reeling, Iran is faced with a dilemma. It has not come directly to the aid of Hamas. If it also stands to one side as Hizbollah is pummelled, its allies will feel betrayed and Israel may be emboldened to take even more radical actions — perhaps including the direct attacks on Iran’s nuclear facilities that it has been threatening for decades.

On the other hand, if Iran gets directly involved in a war with Israel, the regime’s survival would be at risk — particularly since the US might well get drawn into the conflict. The Americans have sworn off further wars in the Middle East, at least in theory. But they are also firmly committed to the defence of Israel and have demonstrated that they are capable of bringing about regime change in the Middle East. The bloody, chaotic aftermath of the US-led war in Iraq remains a recent and painful memory in Washington. But the fact that Iran is known to be very close to having the capacity to build a nuclear weapon will increase the temptation for Israel to strike now.

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Some excited supporters of Israel are comparing the current moment to the Six Day War of 1967 — a sudden and unexpected Israeli victory that changed the balance of power in the Middle East.

But while there are clearly opportunities for Israel in the current situation, there are also massive risks. Hizbollah is reeling but it may still be able to deploy what remains of its arsenal of missiles and hit Israel’s major cities repeatedly. If Israel follows through on its threats of a ground invasion of Lebanon, it could find itself in a quagmire-like conflict that runs for years — at a time when its forces are already at war in Gaza.

Over the long run, the death and destruction in Lebanon caused by Israeli air strikes is likely to create a new generation of Hizbollah soldiers. Some 60 per cent of Hamas fighters are thought to be orphans from previous conflicts.

Hizbollah and Hamas are both grievously damaged. But Israel has yet to answer how Gaza will be governed after the war is over. Lebanon’s weak caretaker government may well be incapable of moving into any vacuum left by Hizbollah, in which case Israel could have a failed state on its borders.

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Netanyahu may dream of bringing about a new regional order in the Middle East. But regional chaos — with the all the dangers that it brings — seems a more likely outcome.

gideon.rachman@ft.com

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Exact date to spot on ultra-rare 1p worth up to £200,000 at auction

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Exact date to spot on ultra-rare 1p worth up to £200,000 at auction

A RARE 1p has sold for a whopping £200,000 at auction due to its specific date.

A coin specialist has urged the public to look out for the 72-year-old penny as it could be worth 20million times its face value.

A rare 1p has sold for a whopping £200,000 at auction due to its specific date

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A rare 1p has sold for a whopping £200,000 at auction due to its specific dateCredit: tiktok@coincollectingwizard/
A coin specialist has urged the public to look out for the 72-year-old penny

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A coin specialist has urged the public to look out for the 72-year-old pennyCredit: tiktok@coincollectingwizard/

The change fanatic known as CoinCollectingWizard on TikTok recently published a video on the 1952 proof 1p, marked by an image of George VI.

This particular coin is the “rarest proof penny” of its entire series of copper and bronze pennies, and has left collectors absolutely astounded.

The TikTokker began the video by saying: “Jiminy Cricket – £200,000 for this old penny.

“The existence of this unique 1952 proof penny was not known publicly until its initial appearance at Numismatic Auctions in October of 1997, some 45 years after it was struck.

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“The British Numismatic world was astonished to see this coin appear and in proof quality as this was not known to exist.”

He also said that the coin remains an enigma as it is the “only unique proof striking” of a pre-decimal penny of the 20th century.

The expert goes on to say that the 1p is said to be so unique because it bears the face of King George VI – who died in early 1952.

London-based dealer Sovereign Rarities echoes this and states on its website: “It is perhaps understandable that the George VI 1952 Proof Penny remains a unique piece, as the King died very early in 1952 passing away on February 6.

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“Only the smaller denominations of currency coins that were in great demand were struck for circulation in 1952, with the larger denominations omitted in anticipation of a new reign and a new coinage for Queen Elizabeth II.”

Rare 2p coin that could be worth £1,000

According to BullionByPost, proof pennies are the highest quality coin a mint produces.

Issuers like the Royal Mint generally create just a small number of these per year due to the lengthy process required to make them.

Hand-finished dyes and etching by an expert are a huge part of their creation, meaning it takes around an hour to strike 50 proof coins.

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The CoinCollectingWizard added: “A lovely example went up for auction recently and sold for £200,000, so it is 100% a coin to look out for.”

It is worth keeping an eye on your spare change as it could be worth a lot more than you think.

Other rare coins which could be worth more include the One Penny which dates back to 1893, but it’s the production error which makes it a valuable find. 

The ancient coin features Britannia on the back and the reverse of the coin is the usual Queen Victoria bun head, which is a feature on many coins from this era. 

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What makes the coin valuable is an error with the number three in the date at the bottom of the coin. 

Under the number three of the error coin, it looks like there is the start of a number two.

If the coin features this it could be worth up to £600.

What are the most rare and valuable coins?

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How to spot rare coins and banknotes

Rare coins and notes hiding down the back of your sofa could sell for hundreds of pounds.

If you are lucky enough to find a rare £10 note you might be able to sell it for multiple times its face value.

You can spot rare notes by keeping an eye out for the serial numbers.

These numbers can be found on the side with the Monarch’s face, just under the value of £10 in the corner of the note.

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Also if you have a serial number on your note that is quite quirky you could cash in thousands.

For example, one seller bagged £3,600 after spotting a specific serial number relating to the year Jane Austen was born on one of their notes.

You can check if your notes are worth anything on eBay, just tick “completed and sold items” and filter by the highest value.

It will give you an idea of what people are willing to pay for some notes.

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But do bear in mind that yours is only worth what someone else is willing to pay for it.

This is also the case for coins, you can determine how rare your coin is by looking a the latest scarcity index.

The next step is to take a look at what has been recently sold on eBay.

Experts from Change Checker recommend looking at “sold listings” to be sure that the coin has sold for the specified amount rather than just been listed.

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People can list things for any price they like, but it doesn’t mean it will sell for that amount.

We explain further how you can find out if you have a rare coin worth thousands sitting around the house.

How do I safely store valuable coins?

HERE are some tricks to keep your valuable coins safe from toning:

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  • Store your coins in individual containers
  • Put it in a clear, air tight holder that lets you see the coin from both sides
  • Avoid putting them in clear plastic sandwich bags because they can still rub against each other an may cause scratches or marks
  • Store your collection in a folder or album, although tarnishing may occur quicker than in an airtight container
  • Keep them out of a damp environment. You can use silica gel to help prevent damp
  • Wear clean, white gloves when handling the coins
  • Steer clear of using PVC materials as it traps moisture and releases acidic gases which can damage the collection.

Do you have a money problem that needs sorting? Get in touch by emailing money-sm@news.co.uk.

Plus, you can join our Sun Money Chats and Tips Facebook group to share your tips and stories

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Old EU capital 2 hours on train from UK is new coolest place for a city break – thanks to hit Netflix show & festival

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Paris is back in vogue, and no longer just considered a destination for rich oldies

MY friend and I are lounging by the pool at the Hotel Molitor when a message comes through from her mum: “Are you at the Emily In Paris hotel?”

All she’d done was share a snap of the lido on her Instagram, with zero mention of the Netflix comedy drama that stars a US twentysomething living her best life in the French capital.

Paris is back in vogue, and no longer just considered a destination for rich oldies

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Paris is back in vogue, and no longer just considered a destination for rich oldiesCredit: Getty
Fred Again at the Rock en Seine festival

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Fred Again at the Rock en Seine festivalCredit: AFP
Try Pantobaguette, the hip little eaterie that fuses French and Japanese cuisine.

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Try Pantobaguette, the hip little eaterie that fuses French and Japanese cuisine.Credit: Instagram/pantobaguette

The Parisians might loathe the series but the rest of us love it — it’s one of the streaming giant’s most popular.

In fact, it’s one of the reasons we decided to book ourselves into the five-star hotel to the west of the city, which had a starring role in season three as Emily spent the afternoon sipping drinks by the pool.

It’s hardly in the centre of the action — the Molitor is in the fashionable 16th arrondissement, about 25 minutes on the Metro to the Eiffel Tower — but as a result, it’s a peaceful haven.

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The rooms are small but stylish with large, space-age beds, Clinique toiletries and floor-length windows that look out over the huge art-deco outdoor pool.

Hotel guests lounge in Molitor-branded deckchairs and bathrobes poolside, making you feel simultaneously in and out of Paris — this was, after all, where the bikini was first introduced to the world in 1946.

Paris has always been the fashion capital of the world but, when it comes to fun, the city had felt like in recent years like it was losing its mojo.

Millennials looking for city breaks opted for cool Berlin, fun Amsterdam or chic Copenhagen, while Paris was considered better for rich oldies, with its brasseries, pricey department stores and museums.

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We were seated next to the DJ decks and served Michelin-quality gourmet food but without the fuss

But it’s now back in vogue, experiencing a a renaissance.

Yes, that is in part because the spotlight is back on Paris, thanks to the recent 2024 Olympics, and Emily In Paris, but it’s also because young Paris has found its voice.

Places like the 11th and 18th arrondissements — the cool, Shoreditch-like parts of the city — are packed with restaurants and bars that have a distinctly Parisian edge but without the old-school fustiness.

Avoid these common holiday booking mistakes for a stress-free vacation

Try Pantobaguette, for instance, the hip little eaterie that fuses French and Japanese cuisine.

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We were seated next to the DJ decks and served Michelin-quality gourmet food but without the fuss.

We dined on ajitsuke eggs with wasabi mayo, aubergine with white peaches and anchovies with smoked butter to a background of Nineties hip-hop.

Or how about Folderol, selling only gelato and natural wine, where locals sip their evening aperitif while lounging on the kerb.

Oysters and wine

When we’d finished our ice creams, we headed to Bambino, a chic restaurant-cocktail bar where records line the walls and you can enjoy a terrace view of the Eiffel Tower.

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Nobody does casual sipping like the French — they’ve turned it into an art form.

In Paris, the cool younger bars we went to were all serving affordable but great wine by the small glass, often out of a pump.

Back at a small neighbourhood bistro in the 18th arrondissement, we joined the locals for an early-evening pitstop at the stripped-back La Trincante, where they had a deal of six oysters and a glass of white wine for €14.

Add to that one extra glass of wine for my friend, and the free basket of bread you get in every French restaurant, and our bill came to less than €10 each.

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The city’s flea markets are legendary, especially the Marche aux Puces de Saint-Ouen, which features in the new series of Emily In Paris

Equally astonishing prices could be found at one of Paris’s best flea markets, Marche aux Puces de la Porte de Vanves.

The city’s flea markets are legendary, especially the Marche aux Puces de Saint-Ouen, which features in the new series of Emily In Paris.

But we headed to the 14th arrondissement for a market that’s mainly frequented by cool locals, and browsed jewellery, furniture and handbags.

The prices — maybe 25 euros for a painting, five for a broach — were impossible to resist.

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Equally classy were the Parisians who we met at Rock en Seine, a day festival in the west of the city, who in the midst of the main-stage crowd were sipping their afford-able rosé out of dainty plastic wine glasses .

It really was a very cool crowd, who had assembled to see Fred Again, one of the most exciting artists to emerge from the British dance scene in years, play a headline set.

Among other huge stars were Lana del Rey and LCD Soundsystem. Aside from the Reading and Leeds Festivals, he is doing zero UK gigs this year — but is gracing Parisians with his presence. Clearly, Fred knows the city is where it’s at.

I’ve been to a lot of festivals but this one must be the friendliest I’ve attended — forget the French reputation for snootiness, by the end we were on first-name terms with everyone within ten metres.

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In fact, we even bumped into some of our new friends at the Eurostar station the following day, on our return to London.

It seemed a fair number of festival-goers had the same idea as us, to head over for Fred Again’s set and spend a couple of days exploring the city.

And why not, because swapping a short-haul flight for a two-hour train journey makes all the difference when on a weekend break.

We arrived in Paris feeling fresh and pulled back into King’s Cross St Pancras feeling, frankly, very well rested.

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The city’s flea markets are legendary, especially the Marche aux Puces de Saint-Ouen, which features in the new series of Emily In Paris

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The city’s flea markets are legendary, especially the Marche aux Puces de Saint-Ouen, which features in the new series of Emily In ParisCredit: AFP
Netflix hit Emily In Paris

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Netflix hit Emily In ParisCredit: Netflix © 2022
Sun writer Caroline takes some time out by the pool

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Sun writer Caroline takes some time out by the poolCredit: Supplied

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GO: PARIS

GETTING THERE: London to Paris Eurostar fares start from £39pp and kids under four travel free. See eurostar.com.

STAYING THERE: Double rooms at Hotel Molitor cost from around £280 per night, on a bed and breakfast basis. See all.accor.com.

OUT & ABOUT: Tickets to Rock En Seine typically go on sale in December and cost from £63. See rockenseine.com.

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Shigeru Ishiba’s election as Japan’s next leader expected to rattle stock market

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Shigeru Ishiba’s election as leader of Japan’s ruling Liberal Democratic party is expected to put pressure on the country’s stocks on Monday morning after Nikkei 225 futures fell 6 per cent following his victory this week.

Ishiba, a former defence and agriculture minister who is set to take over as prime minister on October 1, is a China hawk who has vowed to prevent the nation from falling back into deflation.

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The new LDP leader has said he supports the Bank of Japan’s plan to normalise monetary policy, but investors are concerned about his support for heavier taxes on companies and investment income.

Before the winner of the leadership race was announced on Friday, Japan’s Nikkei 225 index had rallied 2.3 per cent and the yen had fallen, suggesting the market was positioned for a win by economic security minister Sanae Takaichi. Takaichi supported stock market-friendly “Abenomics” policies of ultra-low interest rates and fiscal stimulus.

Nikkei 225 futures traded in Chicago fell sharply after the LDP election result announcement.

“The futures market tells us it’s going to be very ugly on Monday. Normally you would look to buy the dip, but on this occasion you would probably want to wait a bit for everything to adjust,” said a trader at one of Japan’s largest investment banks.

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“As more had expected Takaichi to win, the yen has been weakening as she had clearly expressed she will not support further rate hikes by the BoJ,” said Ryota Abe, an economist in the Asia-Pacific division of Sumitomo Mitsui Banking Corporation (SMBC).

The yen rebounded moments after Ishiba was announced as the winner and went into the weekend at about ¥142 against the US dollar. SMBC’s Abe predicted the yen would move in a ¥140-¥145 range after Ishiba’s win.

“Expectations for political pressures on BoJ’s future decisions are likely gone. There should be no hurdles for BoJ to deliver additional rate hikes going forward,” he added.

Masatoshi Kikuchi, chief equity strategist at Mizuho Securities, warned investors that Ishiba’s victory was likely to trigger a reversal of the pre-election rally in the Nikkei 225 index.

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Kikuchi noted that going into the election foreign investor confidence in Japan had been fragile as a result of uncertainties about the country’s political direction. In the second week of September, when campaigning for the LDP leadership began, foreign investors were net sellers of ¥1.5tn ($10.6bn) in the cash equities market — their largest week of selling Japanese stocks since 1982, according to Kikuchi.

Some investors are concerned about Ishiba’s desire to raise taxes on both companies and income from privately held financial assets, though he clarified that he would not raise taxes on Japan’s new NISA tax-free investment accounts or individual defined-contribution pension plans.

Any attempt to raise taxes on companies and investors could potentially generate major pushback and hit the new prime minister’s credibility if he were forced into a rapid compromise, equity strategists said.

“Near-term price volatility is likely to persist until Mr Ishiba can clarify his stance on areas of investor concern such as corporate governance reform and tax rates on financial asset income,” said Goldman Sachs analysts in a note.

Investors are already on the hunt for buying opportunities and compiling a basket of stocks considered likely to benefit from an Ishiba administration, including those involved in defence and disaster relief. The 67-year-old has advocated establishment of a disaster management agency in the country, which is often hit by earthquakes, typhoons and flooding.

Within hours of Ishiba’s victory, the top three most searched investment themes on Kabutan, a popular online stock-trading site in Japan, were disaster prevention, defence spending and stocks that benefit from the strong yen.

Still, investors said it was unclear how much Ishiba would actually be able to achieve given how divided the ruling party remained.

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“Whilst always popular with the LDP party members, he has finally managed to win over enough of his Diet colleagues who have been reluctant to support him before,” said David Mitchinson, a portfolio manager at Japan specialist Zennor Asset Management. “His lack of a strong personal franchise in parliament may constrain his ability to act.”

The LDP leadership race, which produced a record number of candidates, served as a reminder of how fragmented the ruling block had become.

Robert Feldman, an economist at Morgan Stanley MUFG Securities, warned that there continued to be “major economic policy differences” within the party that would not be ended by its selection of a new party leader.

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Exact three-letter word to spot that makes your 2p worth 35,000 more – as rare coin sells for £700 at auction

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Exact three-letter word to spot that makes your 2p worth 35,000 more - as rare coin sells for £700 at auction

RARE coins can sell for thousands of times their face value – and it’s always worth seeing if you’ve got any lying about.

One coveted 2p coin garnered the interest of collectors across the world due to its unusual wording and sold for £700 at auction.

The 2p coin was worth £700 thanks to its rare wording

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The 2p coin was worth £700 thanks to its rare wordingCredit: RWS Auctions

Going under the hammer at RWB Auctions on September 25, the copper sold for a whopping 35,000 times its original market value.

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It is easily identified by three words as an error from the UK’s Royal Mint means that the 2p coin reads “new pence” instead of “two pence”.

Collectors say this subtle error was likely produced when an old die was used to strike the coin, and very few of these coins exist.

The handful of these coins can be found in sets produced in collaboration between The Royal Mint and Italian drinks company Martini & Rossi.

They were made as part of a promotional giveaway labelled ‘The Great British 1983 Coin Collection’ on the cover.

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But although thousands of the sets were released, only a small number feature the rare 2p coin.

“It is worth checking old coin collections for this set, particularly if you were born in 1983,” said Jon White, of RWB Auctions.

“Someone may have bought you one as a baby or as a Christening present. If they happened to get hold of a rare one, then you have a very valuable gift on your hands.”

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What are the most rare and valuable coins?

The auction house has previously sold a scarce Lord Kitchener £2 for £1,000 and an unusual Olympics 50p for £1,500.

How to spot rare coins and banknotes

Rare coins and notes are highly desirable among specialist collectors and could make you a mint if you find one.

Some of the most in-demand pieces can sell for hundreds of pounds.

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If you spot an unusual-looking coin in your change, keep hold of it.

Then look up exactly how rare it is. Usually, the rarer it is, the more valuable it is.

You can find out what coins are rare and how they look on The Royal Mint’s website.

You can also determine the coin and how common it is by looking at the scarcity index on specialist coin collector sites.

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How can I check if my error coin is genuine?

RARE and valuable coins can go for a hefty sum – but how do you know if your coin is the result of a genuine minting error?

The best way to find out if you have an error coin is to send it to the Royal Mint museum, which will analyse it and see if it is a result of a genuine minting error or not.

It’ll normally take a couple of weeks to get the results back to you.

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But remember, there’s a difference between a genuine error coin and one that is just imperfect, for example with a design that is not as clear as you’d expect.

And whatever you do, don’t be tempted to splash your cash without evidence from the Mint confirming that it’s a genuine error.

To work out how valuable it might be, take a look at similar coins that have recently sold on eBay or even at auction.

Remember to look at “sold listings” to be sure that the coin has sold for the specified amount rather than just been listed.

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It’s not just coins, rare notes can sell for multiple times their face value.

This includes fivers, rare £10 notes as well as higher denominations.

One of the main distinguishing marks of a rare note is the serial number.

These numbers can be found on the side with the Monarch’s face, just under the value of £10 in the corner of the note.

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Low serial numbers or something quite quirky can see you cash in thousands.

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Tory leadership contender Badenoch says not all cultures ‘equally valid’

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Kemi Badenoch, the Conservative leadership contender, has claimed that not all cultures are “equally valid”, as the party gathered for an annual conference that looked set to be dominated by immigration.

The former business secretary criticised “recent immigrants who hate Israel”, adding: “I don’t think those who bring foreign conflicts here should be welcome.”

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Asked on Sunday by the BBC’s Laura Kuenssberg who exactly she meant, Badenoch replied: “You want me to say ‘Muslims’, but it isn’t all Muslims. I’m not going to play that game.”

Asked which cultures were “less valid?” she replied that when she was out canvassing a woman answered the door to her and said: “I can’t speak to you, I will get my husband.”

“I don’t think that is as equally valid as our culture,” Badenoch said.

Separately, in a Sunday Telegraph article, she wrote: “We cannot assume immigrants will automatically abandon ancestral ethnic hostilities at the border, or that their cultures are equally valid. They are not.”

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Badenoch is the bookmakers’ second favourite to succeed Rishi Sunak as Tory leader, but former immigration minister Robert Jenrick is regarded as the clear frontrunner.

Jenrick, speaking ahead of the four-day conference in Birmingham, said immigration was the most important issue in the contest, but that the NHS and economy were key too.

He has promised to end the era of “mass migration”, imposing a legal cap on immigration in the tens of thousands, as well as promising to leave the European Convention on Human Rights, which he claims impedes Britain’s attempts to control its borders.

The Tory conference has been described as an extended “beauty pageant” for the four contenders vying to succeed Sunak, who will be replaced on November 2.

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Tom Tugendhat, former security minister, and James Cleverly, former foreign secretary, are both seen to be flagbearers for the party’s moderate centre.

Sunak is expected to appear briefly in Birmingham on Sunday to appeal for unity and thank party members for their work during the party’s general election campaign.

He will then head home on Sunday evening, clearing the way for the four leadership contenders to court MPs and party members at various fringe meetings and two set-piece events in the main hall.

On Monday and Tuesday, the four candidates will face questions from the floor and on Wednesday they will make speeches setting out their pitch.

Tory MPs will next month decide on a shortlist of two, with party members having the final say in the contest. The result of the run-off will be announced on November 2.

There will be unwelcome distractions for the party offstage during the Birmingham conference, with Boris Johnson promoting his memoirs Unleashed and making claims such as his abortive plot to send special forces to the Netherlands to extract Covid-19 vaccines.

Liz Truss, another former premier, will be in Birmingham on Monday, offering advice on how to generate more economic growth.

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