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January 10, 2025

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When a Taiwanese telecoms company detected that an international undersea cable was damaged earlier this month, it worked to divert internet traffic from the broken line to keep customers on the island connected.

But the company, Chunghwa Telecom, also went to Taiwan’s Coast Guard to report the incident – and a “suspicious vessel” observed on the same route as the affected cable, according to a statement from the company, a major local internet provider.

Taiwan Coast Guard officials in the days since have said they suspect that the Shunxin39 – a Chinese-linked cargo vessel – could have cut the cable, in an incident that has spotlighted the island’s growing concerns about vulnerabilities that could be exploited by Beijing.

Taiwan officials have not cited direct evidence that the ship damaged the cable, and the Taiwan Coast Guard said in a statement Monday that it could not determine the vessel’s intentions. It called for South Korea, the ship’s destination, to help with further investigation.

But the situation has raised concerns among Taiwanese authorities of potential “gray zone operations,” or acts that fall below the threshold of war – in particular those that could hamper the island’s internet and communications with the outside world.

Those concerns come as Taiwan has faced increasing intimidation from Beijing, which claims the self-ruled democracy as its own territory and has vowed to take control of it, by force if necessary.

They also follow a string of incidents in recent years of damage to undersea infrastructure worldwide, including communications cables. Two high-profile incidents in the Baltic Sea involved Chinese ships and remain under investigation.

Taiwan’s Coast Guard said in a statement Monday that the ship suspected of damaging the cable off its northeastern coast last Friday was a Cameroon- and Tanzania-flagged vessel, crewed by seven Chinese nationals.

Such an act could be part of Beijing-backed efforts to use “ships with flags of convenience to cut Taiwan’s international communication as a form of preparation for future blockade and quarantine,” according to the official.

Beijing’s Taiwan Affairs Office said on Wednesday that submarine cable damage is a “common maritime incident,” and balked at Taipei’s “conjecturing” and “deliberate framing of gray zone threats.”

Chinese national Guo Wenjie, director of the company operating the vessel, denied in a statement to news agency Reuters on Wednesday that the ship was responsible for the damage.

A new ‘gray zone’ tactic?

In 2023, Taiwanese authorities blamed two Chinese ships for damaging two submarine internet cables linked to Taiwan’s outlying island of Matsu in incidents days apart causing an internet blackout, but stopped short of saying they were deliberate acts.

Su Tzu-yun, a military expert at Taiwan’s Institute for National Defense and Security Research, said more evidence is needed to say whether the latest incident was intentional.

But he said Taiwan needs to bolster maritime surveillance and defense of submarine cables.

“Once submarine cables are sabotaged, Taiwan’s connectivity to the international community will be severed; we can then only rely on bandwidth provided by satellites, which would then affect our digital economy, international trade and banking,” he said, calling such potential sabotage a form of “psychological warfare.”

Other observers have suggested the recent incident could be part of a trial of such tactics.

“While it doesn’t look to me like part of an effort to seriously impede Taiwan’s connectivity with the world … it could be consistent with either a campaign to apply low-level harassment, or as a test run for something that could be done at a larger scale at a later date in conjunction with other coercive operations,” said Tom Shugart, a retired US Navy captain and adjunct senior fellow at the Center for a New American Security think tank in Washington.

Taiwan has seen a surge of Chinese military activities in the Taiwan Strait and the Western Pacific in recent months, in line with a ramping up of intimidation over the past few years. Chinese naval and coast guard vessels have plied regional waters, and there has been an increase in Chinese aircraft operating around the island.

But Taiwan officials and defense experts have increasingly focused on the potential for Beijing to use gray zone tactics and non-military actors like China Coast Guard and various police and maritime safety agencies – as well as a so-called maritime militia of civilian ships – to quarantine the island or play a role in a blockade if it wanted to move to take control.

In a first-of-its kind “tabletop” exercise simulating military escalations by China late last month, multiple government agencies were tasked with responding to a broader base of threats than an armed invasion, including information warfare.

One official highlighted then how government agencies struggled to clarify falsehoods during electricity or internet outages, highlighting the need for Taiwan to have a backup mechanism to ensure the flow of information.

Taiwan’s Ministry of Digital Affairs earlier this week said it has been working on initiatives aimed at strengthening Taiwan’s communications by exploring alternative internet options including low-Earth-orbit satellites and adding new submarine cable stations.

Last month, Taiwan’s tech tzar Wu Cheng-wen told reporters in a briefing that in addition to working with LEO satellite company OneWeb, the island is also in talks with Amazon’s Project Kuiper for satellite collaborations.

A spate of sabotage?

Those efforts may only appear more urgent to observers amid a spate of incidents where Chinese and Russian vessels have come under scrutiny.

Swedish police have sought to investigate the Chinese bulk carrier Yi Peng 3 in relation to its possible role in the breach of two undersea fiber-optic cables in the Baltic Sea in November. The incident had echoes of a 2023 case in which Chinese ship NewNew Polar Bear was suspected of damaging undersea cables as well as a gas pipeline in the Baltic.

Finnish investigators late last month seized a tanker carrying Russian oil and said they suspected the vessel had damaged the Finnish-Estonian Estlink 2 power line and several internet cables by dragging its anchor across the seabed.

Damage to submarine cables in the Red Sea last March disrupted telecoms networks in the region weeks after the official Yemeni government warned of the possibility that Houthi rebels would target the cables, though the group denied involvement.

While damage to cables is not rare and is often seen as accidental, analysts warn that the recent cases also underscore vulnerabilities.

Shugart of CNAS said that there does seem to be a number of breakages recently that seem to have been deliberate, including those done “by or for Russian or Chinese interests.”

“This is going to be a quite challenging issue to police, as most of these cables run through international waters where traditional international law allows enforcement only in very narrow areas,” he said.

This post appeared first on cnn.com

Hundreds of thousands of barefoot devotees joined an annual procession in the Philippines of a centuries-old statue of Jesus Christ on Thursday in one of the world’s grandest displays of Catholic devotion and expressions of faith.

Filipinos turned the streets of Manila to a sea of maroon and gold and swarmed the “Black Nazarene,” a life-sized image of Jesus Christ bearing down a cross, as devotees jostled for a chance to pull the thick rope towing the carriage across the Philippine capital.

The procession’s organizers have estimated about 220,000 people attended mass before the procession, while 94,500 were in the march as of 8 a.m. (0000 GMT). That number is expected to swell as it moves along its 5.8 km (3.6 mile) route.

Other devotees threw white towels at the image as marshals wiped them on its surface, believing that touching the statue would bless them and heal their illnesses.

Nearly 80% of Filipinos identify as Roman Catholic, a key legacy of more than 300 years of Spanish colonization in the Philippine archipelago.

The late Filipino priest and theologian Sabino Vengco said in 2019 the statue’s revered black color was due to the mesquite wood used in constructing the image, debunking a longstanding myth its blackened image was due to a fire that erupted on the ship that carried it to the Philippines from Mexico in the early 17th century.

The procession, called the “traslacion,” or translation, commemorates the transfer of the Black Nazarene from a church inside the old Spanish colonial capital of Intramuros, in present-day Manila, to its current location in Quiapo church.

Cardinal Jose Advincula, Manila’s archbishop, told devotees on Thursday to turn away from evil, greed and vices and follow the teachings of Jesus Christ.

“Let us live up to his commandments, embrace his teachings and follow his example. It is better to follow the Beloved Lord,” Advincula said in his homily ahead of the procession.

This post appeared first on cnn.com

Stock futures are trading slightly lower Monday morning as investors gear up for the final month of 2024. S&P 500 futures slipped 0.18%, alongside declines in Dow Jones Industrial Average futures and Nasdaq 100 futures, which dropped 0.13% and 0.17%, respectively. The market’s focus is shifting to upcoming economic data, particularly reports on manufacturing and construction spending, ahead of this week’s key labor data releases.

November was a standout month for equities, with the S&P 500 futures rallying to reflect the index’s best monthly performance of the year. Both the S&P 500 and Dow Jones Industrial Average achieved all-time highs during Friday’s shortened trading session, with the Dow briefly surpassing 45,000. Small-cap stocks also saw robust gains, with the Russell 2000 index surging over 10% in November, buoyed by optimism around potential tax cuts.

As trading kicks off in December, investors are keeping a close eye on geopolitical developments in Europe, where France’s CAC 40 index dropped 0.77% amid political concerns, while Germany’s DAX and the U.K.’s FTSE 100 showed smaller declines.

S&P 500 futures will likely continue to act as a key barometer for market sentiment, particularly as traders assess the impact of upcoming economic data and global market developments.

S&P 500 Index Chart Analysis

This 15-minute chart of the S&P 500 Index shows a recent trend where the index attempted to break above the resistance level near 6,044.17 but retraced slightly to close at 6,032.39, reflecting a minor decline of 0.03% in the session. The candlestick pattern indicates some indecisiveness after a steady upward momentum seen earlier in the day.

On the RSI (Relative Strength Index) indicator, the value sits at 62.07, having declined from the overbought zone above 70 earlier. This suggests that the bullish momentum might be cooling off, and traders could anticipate a short-term consolidation or slight pullback. However, with RSI above 50, the overall trend remains positive, favoring buyers.

The index’s recent low of 5,944.36 marks a key support level, while the high at 6,044.17 could act as resistance. If the price sustains above the 6,020 level and RSI stabilizes without breaking below 50, the index could attempt another rally. Conversely, a drop below 6,020 could indicate a bearish shift.

In conclusion, the index displays potential for continued gains, but traders should watch RSI levels and price action near the support and resistance zones for confirmation.

The post Stock Futures Lower after S&P 500 futures ticked down 0.18% appeared first on FinanceBrokerage.

Stock futures climbed on Wednesday, driven by strong performances from Salesforce and Marvell Technology, following upbeat quarterly earnings. Futures tied to the Dow Jones Industrial Average rose by 215 points (0.5%), while S&P 500 futures gained 0.3%, and Nasdaq-100 futures advanced by 0.7%.

Salesforce surged 12% after reporting fiscal third-quarter revenue that exceeded expectations, showcasing robust demand in the enterprise software sector. Meanwhile, chipmaker Marvell jumped 14% after surpassing earnings estimates and providing optimistic fourth-quarter guidance, indicating resilience in the semiconductor industry.

This movement follows a mixed session on Wall Street, where the S&P 500 and Nasdaq closed with small gains, while the Dow dipped slightly. The broader market has experienced a modest start to December, contrasting with November’s robust rally, but analysts anticipate a resurgence in momentum. LPL Financial’s George Smith pointed out that December historically sees strong market performance, particularly in the latter half of the month.

However, economic data introduced some caution. ADP’s report revealed that private payrolls grew by just 146,000 in November, missing estimates of 163,000. This signals potential softness in the labor market, with investors now awaiting Friday’s November jobs report for further clarity.

S&P 500 Index Chart Analysis

Based on the provided stock chart, which appears to be a 15-minute candlestick chart for the S&P 500 Index, here’s a brief analysis:

The chart shows a clear upward trend, with higher highs and higher lows indicating bullish momentum over the analyzed period. The index has steadily climbed from a low of approximately 5,855 to a recent high of 6,053.58, suggesting strong buying interest.

Key resistance is observed near 6,050-6,053 levels, as the price has struggled to break above this zone in the most recent sessions. If the index breaches this level with strong volume, it could lead to further upward movement. Conversely, failure to break out may lead to a pullback, with potential support around the 6,000 psychological level and 5,980, where consolidation occurred previously.

The candlestick patterns show relatively small wicks, indicating limited volatility, which could imply steady market confidence. However, the bullish rally could be overextended, warranting caution for traders, especially if any negative catalysts emerge.

In summary, the short-term trend is bullish, but traders should monitor resistance levels and volume for signs of a breakout or reversal. It’s also essential to watch broader market factors, as indices are often influenced by macroeconomic data and sentiment.

The post S&P 500 climbed 0.3%, and Nasdaq-100 futures jumped 0.7% appeared first on FinanceBrokerage.