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US expects Israel to launch ground operation in Lebanon ‘imminently’

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This article is an on-site version of our FirstFT newsletter. Subscribers can sign up to our Asia, Europe/Africa or Americas edition to receive the newsletter every weekday. Explore all of our newsletters here

Good morning. Today we’re covering:

  • China’s historic market rally

  • SoftBank’s $500mn investment in OpenAI

  • Why women’s safety is key to India’s economy

But first, US officials expect Israel to launch a ground operation in Lebanon “imminently” to clear border areas of Hizbollah infrastructure, in an intensification of its offensive against the militant group.

Israel has discussed the shape of the planned incursion with Washington, which has sought to limit its scope and duration, fearing it could lead to an open-ended occupation of Lebanon’s border area, according to the officials.

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“We believe we’ve reached an understanding where instead they will do something more targeted, focused on specific areas — and focused on clearing out Hizbollah infrastructure near Israeli border communities — and then pulling their forces back,” said a US official.

Israel has already conducted small-scale ground operations in Lebanon in recent days, according to officials. It has also continued to launch waves of air strikes on Lebanon, killing more than 1,000 people over the past two weeks, and forcing up to 1mn people from their homes, according to Lebanese authorities.

The planned offensive in Lebanon would be Israel’s first since 2006, when it fought a 34-day war with Hizbollah that ended in a stalemate. Here’s what else to know.

  • Go deeper: Israel appears set for a risky land operation that will put Israeli boots on the ground in Hizbollah’s backyard of southern Lebanon.

  • ‘Hizbollah is voiceless’: The future is unclear for Lebanon’s most powerful force after the assassination of its leader Hassan Nasrallah.

  • Opinion: We are witnessing a substantial shift in the balance of power in the Middle East, writes John Sawers, the former chief of MI6 and UK ambassador to the UN.

Here’s what else I’m keeping tabs on today:

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  • Japan’s new leader: Shigeru Ishiba will be sworn in as the country’s prime minister. Yesterday Ishiba called a snap election for October 27 in a bid to secure a public mandate after his unexpected victory in last week’s ruling party leadership contest.

  • Economic data: South Korea publishes September trade figures and Indonesia reports inflation data for the month. Manufacturing PMI by S&P Global is due for countries across the region including Japan, India and Vietnam.

  • China National Day: Financial markets are closed.

  • Mexico: Claudia Sheinbaum assumes office as the country’s first female president.

Five more top stories

1. Chinese equities posted their best day since the 2008 global financial crisis yesterday, extending a historic rally triggered by Beijing’s bumper stimulus package. Analysts said the rally “could go a bit further” but called for more details on fiscal stimulus.

2. Masayoshi Son’s SoftBank will invest $500mn into OpenAI as part of a fundraising round that is expected to close this week and value the artificial intelligence start-up at $150bn. The Japanese group will invest via its second Vision Fund, a large vehicle for backing start-ups, which is now mainly made up of Son’s personal wealth, according to two people with knowledge of the deal.

3. Qatar Airways has agreed a deal to buy a 25 per cent stake in Virgin Australia, the country’s second-largest carrier, the latest in a number of international acquisitions by the Gulf airline. The two airlines said in a statement that the deal was part of a wider plan to eventually publicly list Virgin Australia, where Qatar Airways expects to be a cornerstone investor.

4. Federal Reserve chair Jay Powell signalled that the US central bank would consider reverting to its more usual quarter-point cut in November if economic data remained robust. Powell said the Fed’s larger-than-usual half-point reduction earlier this month reflected “growing confidence” in a soft landing for the world’s largest economy.

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5. Exclusive: Peter Thiel’s Founders Fund is backing a nuclear start-up aiming to make fuel for the latest generation of reactors. The venture is focused on high-assay, low-enriched uranium for small modular reactors which tech groups hope can meet their power needs as they rapidly build AI-related data centres. Harry Dempsey has more details.

The Big Read

Montage showing a protester holding a sign that says ‘No Protection, No Protector’, and scenes of vigils and rallies in India
The demonstrations and anger that followed the rape and murder of a female trainee doctor in Kolkata have resonated with unusual force across India © FT montage/Getty Images/Reuters

Protests in India over pervasive violence against women have sparked wider questions about the role of female workers in the economy. The nation currently employs only about a third of its women, and Indian politicians agree there is a clear link between women’s safety and their underrepresentation in the workforce. Economists say making women feel safer is one of the most important steps that India could undertake to turbocharge growth.

We’re also reading . . .

  • Wall Street’s new titans: Here’s how a handful of secretive businesses including Jane Street and Citadel Securities have seized market share from the old guard.

  • Who’s left at OpenAI: With the exit of his chief technology officer, chief executive Sam Altman is now surrounded by allies, consolidating his power at the ChatGPT maker.

  • Europe’s far-right march: The FPÖ’s victory suggests it is no longer necessary to detoxify your brand to win, writes Europe editor Ben Hall.

Chart of the day

Stellantis and Aston Martin became the latest European carmakers to issue profit warnings with the industry hammered by competition from cheaper Chinese rivals and weaker demand in its home market. Shares in Stellantis fell 15 per cent in morning trading yesterday following its warning.

Line chart of Share price, € showing Rise and fall of Stellantis shares

Take a break from the news

That weight-loss drugs should have proliferated in a sector that has always venerated thinness will hardly come as a surprise, writes Jo Ellison. So why will no one in the fashion industry talk about Ozempic?

An Ozempic injector
Ozempic, a major tool in the fight against obesity © New York Times/Redux/eyevine

Additional contributions from Gordon Smith and Tee Zhuo

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Business

EU tech regulation gives Brexit Britain an opening

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Banker all-nighters create productivity paradox

Martin Wolf (Opinion, September 25) makes some astute observations about the EU and the regulatory effects it has on the technology sector. Arguably, this is a self-induced regulatory purgatory with significant negative consequences for growth and prosperity.

This is best demonstrated by regulations around artificial intelligence introduced by the Digital Markets Act — described by one commentator as helping to ensure the bloc is confined to the digital stone age. The geostrategic economic effects that are now in play will further hinder the EU’s competitiveness in all things technology related, with China, the US and, dare I say it, the UK being more agile and fleet of foot.

Until such time the EU recognises that it is within its own gift to reduce the regulatory burden on itself, it will increasingly become less relevant to its citizens and member states. Is this another Brexit dividend in the making?

John M Jones
London N19, UK

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Travel

Pretty Wetherspoons in former ‘super cinema’ named one of the UK’s best pubs by CAMRA

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The Savoy has been named one of the UK's best pubs

A WETHERSPOONS pub had made the shortlist for the UK’s best pubs.

The Savoy in Swindon has been shortlisted in The Campaign for Real Ale’s (CAMRA’s) Good Beer Guide 2025.

The Savoy has been named one of the UK's best pubs

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The Savoy has been named one of the UK’s best pubsCredit: Wetherspoons
CAMRA praised the Wetherspoons for its long bar

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CAMRA praised the Wetherspoons for its long barCredit: Wetherspoons
The pub converted the ground floor of an old cinema

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The pub converted the ground floor of an old cinemaCredit: Wetherspoons

The annual guide looks at thousands of pubs across the UK, with hundreds making the shortlist.

And the Swindon Wetherspoons has made the shortlist.

Also the oldest Wetherspoons in Swindon, The Savoy is in a former cinema built in the mid 1930s.

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The ‘super cinema’ seated as many as 2,000 people, with showings including the “best films across Britain and America” as well as stage shows and cinema clubs.

Read more on Wetherspoons

The Art Deco cinema sadly closed in 1991, before being converted to the Wetherspoons under the same name in 1996.

Not many of the original cinema features have remained in tact.

The pretty exterior has been restored, with the large billboards and double doors on the front.

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Only the ground floor remains, although the pub has beautiful curved bookcases lining the main drinking area as well as vintage movie posters on the walls.

And like most Wetherspoons, it also has arcade machines and the classic Spoons carpet.

According to CAMRA: “The long bar has a very large selection of well-kept beers.

One of the UK’s prettiest Wetherspoons is in an up-and-coming seaside town

“The atmosphere is friendly and it is close to theatre, cinema, restaurants and shopping.”

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It’s ranked highly with previous punters too, with many giving it five stars for great service as well as being cosy and spacious.

One said: “The food was excellent one of the best Wetherspoons I have been to.”

A second wrote: “One of the better Wetherspoon spots! The staff are exceptional and truly deserve 5 stars for their service.”

Someone else agreed: “This is a great Wetherspoons, it’s in an old cinema and has loads of character.”

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Another simply said it was their “favourite Swindon pub”.

Inside is the classic Wetherspoons carpet as well as vintage movie posters and bookcases

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Inside is the classic Wetherspoons carpet as well as vintage movie posters and bookcasesCredit: Wetherspoons

It’s not the only amazing Wetherspoons pub to visit in the UK.

The Samuel Peto in Folkestone is one of the prettier Spoons pubs, built in a former church.

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Harrogate’s The Winter Gardens , built in the former Royal Baths, has been named one of the most beautiful in the country.

We also went down to the biggest Wetherspoons in the world.

How can I save money at Wetherspoons?

FREE refills – Buy a £1.50 tea, coffee or hot chocolate and you can get free refills. The deal is available all day, every day.

Check a map – Prices can vary from one location the next, even those close to each other.

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So if you’re planning a pint at a Spoons, it’s worth popping in nearby pubs to see if you’re settling in at the cheapest.

Choose your day – Each night the pub chain runs certain food theme nights.

For instance, every Thursday night is curry club, where diners can get a main meal and a drink for a set price cheaper than usual.

Pick-up vouchers – Students can often pick up voucher books in their local near universities, which offer discounts on food and drink, so keep your eyes peeled.

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Get appy – The Wetherspoons app allows you to order and pay for your drink and food from your table – but you don’t need to be in the pub to use it. 

Taking full advantage of this, cheeky customers have used social media to ask their friends and family to order them drinks. The app is free to download on the App Store or Google Play.

Check the date – Every year, Spoons holds its Tax Equality Day to highlight the benefits of a permanently reduced tax bill for the pub industry.

It usually takes place in September, and last year it fell on Thursday, September 14.

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As well as its 12-day Real Ale Festival every Autumn, Wetherspoons also holds a Spring Festival.

Victoria Pavilion is found in the seaside town of Ramsgate – and its right on the beach.

And a new Wetherspoons hotel with a “tower suite” is set to open in an English seaside town soon.

Previous drinkers have praised the Swindon pub for great service and cosiness

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Previous drinkers have praised the Swindon pub for great service and cosinessCredit: Wetherspoons

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Britain’s last coal-fired plant closes after 142 years

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Britain’s last coal-fired plant closes after 142 years

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We issued war loans, so why not pandemic bonds?

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We have heard much about the public finances, and how it’s “unfair” to burden future generations with the costs of the pandemic. However, is this a Treasury myth or fallacy? Millions of taxpayers alive today had to pay for the cost of war loans for the second world war. So is it fair to make them pay for the pandemic as well (Report, September 28)?

And if pandemics only occur once every 100 years or so, should there not be some adjustment to public sector borrowing to reflect this? Perhaps using some form of long-dated “pandemic bonds”?

In addition, the NHS has more than£60bn set aside for claims against it.

A small fraction of this would pay the winter fuel allowance for the entire parliament — and save the NHS money, by reducing winter hospital admissions!

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As chancellor Rachel Reeves will know, John Maynard Keynes negotiated the Anglo-American war loans, the strain of which probably killed him. Sadly, we do not have a genius like Keynes to help us today. Nonetheless, is this apparent fairness anomaly something the Treasury should reflect on, to relieve hardship?

David Campkin
Reading, Berkshire, UK

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AI no match for the brain when it comes to languages

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Paul Shotton (“That old joke about the two kinds of European”, Letters, September 27) writes that artificial intelligence “will render modern language courses obsolete, and people’s time can be freed up to study something far more useful”. But he will know that AI can translate words well enough. However, putting them together to make sense in other languages requires a human brain and training. Word for word translation produces gobbledegook, as most people know.

When I studied modern languages it was certainly not just about translation, but art, history, literature and many other areas. My connections with current multilingual studies indicate that this is still the case. AI is a wonderful tool, a great asset and time saver, but not to be confused with the human brain, which is still needed to transform a message — one that makes sense — into another language.

Helen Campbell
Brussels, Belgium

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UK travel trends for 2025 revealed – including ‘kidcations’ and childhood trips

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Hilton has revealed UK travel trends they expect to see in 2025

ONE in five couples have booked separate beds when away on holiday.

A poll of travellers found sleeping arrangements could play a major role in holiday planning for 2025 – with 59 per cent admitting they sleep better alone.

Hilton has revealed UK travel trends they expect to see in 2025

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Hilton has revealed UK travel trends they expect to see in 2025
The study was conducted by Hilton

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The study was conducted by HiltonCredit: Alamy

And it’s not just having their own bed which is important, as 11 per cent have even booked different rooms.

Almost half (47 per cent) have done this to make sure they have a good night’s kip, and 28 per cent have done have different ‘sleep preferences’ to their partner.

The study, commissioned by Hilton, is part of its 2025 Trends Report which has coined eight new terms for emerging travel behaviours, with the trend of couples who book different rooms or beds described as ‘The Great Sleep Split.’

More than 13,000 adults from Australia, Brazil, China, Germany, India, Japan, Mexico, Saudi Arabia, Singapore, Türkiye, UAE, UK, and the US took part in the hotel brand’s global report.

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Simon Vincent, executive vice president and president of Europe, Middle East and Africa at Hilton said: “Our 2025 Trends Report shows that resting and recharging continue to be primary motivators to travel, and exploring nostalgic destinations with family and friends is on the rise.”

Another relationship trend to rise in 2025 is the ‘Ex-cursion’, which found 34 per cent of people book a trip with friends immediately after going through a break-up.

While 45 per cent of parents indulge in ‘Nostalgications’ – taking their kids to destinations they visited as children.

Additionally, 51 per cent are now choosing to take their children away based on the places they always dreamed of exploring when they were young.

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Solo travel has shown no sign of slowing down, with the separate Hilton study of 2,000 UK holidaymakers finding 34 per cent are yearning to go on a solo adventure before the end of 2025.

With this trend described as ‘Me-mooning’ in the trends report.

And while 21 per cent are out to meet new friends, the research, carried out through OnePoll, found 12 per cent are looking for a little romance along the way.

EIGHT TRAVEL TRENDS FOR 2025, ACCORDING TO HILTON REPORT

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1.         The Great Sleep Split – Booking separate rooms or beds on a holiday, so you and your partner can get a better night’s sleep
2.         Me-Mooning – Going on a solo trip that is all about you
3.         Nostalgication – Going on a holiday with your family that you went on when you were a child
4.         Kidcation – When your little one shapes your holiday and its adventures
5.         DINKury Destinations – Dual-income-no-kids, happily spending more when it comes to holidays
6.         Ex-cursions – Going on a trip after a breakup to unwind and let your hair down
7.         Spontanitrip – When travellers embrace the thrill of the unknown, setting off on holiday with no plans – just pure spontaneity
8.         Flexiscape – When you mix and match different holiday styles—balancing relaxation with adventure to create the perfect all-in-one getaway

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