Japan’s LDP loses its parliamentary majority

In at present’s publication:

• Japan’s ruling coalition loses its majority

• Shanghai cracks down on Halloween

• Lunch with sinologist Li Cheng

Good morning. Japan’s ruling coalition led by the Liberal Democratic social gathering has misplaced its parliamentary majority, in a surprising rebuke by voters that plunges the nation into political uncertainty.

The LDP’s worst electoral reversal for 15 years, which can go away the social gathering struggling to control and not too long ago anointed Prime Minister Shigeru Ishiba beneath stress to resign, got here in a snap election he known as to attempt to attract a line beneath a slush-fund scandal.

The lack of the coalition’s beforehand comfy majority was a a lot worse end result for the social gathering than most analysts had forecast and displays surging discontent in Japan after years of stagnant wage progress mixed with current sharp will increase in the price of residing.

“Looking at results, it is true voters have handed us a harsh verdict and we have to humbly accept this result,” Ishiba instructed broadcaster NHK in an interview.

NHK seat counts confirmed that the LDP and its a lot smaller coalition accomplice Komeito fell effectively in need of the 233 seats wanted to manage Japan’s decrease home of parliament. With all seats declared by 5.45am native time, the LDP had secured solely 191, whereas Komeito had 24.

Economists warned that the voters’s unexpectedly extreme punishment of the LDP may set off excessive volatility in markets at present. Tokyo bureau chief Leo Lewis has extra on the shock outcomes and what comes subsequent for the LDP.

Right here’s what else I’m protecting tabs on at present:

• Financial knowledge: Malaysia publishes the September produce value index and Hong Kong releases exterior merchandise commerce knowledge for the month.

• State go to: Finnish President Alexander Stubb begins an official go to to China.

• New Zealand: Monetary markets are closed for Labour Day.

5 extra high tales

1. Shanghai authorities have cracked down on Halloween costumes, amid fears of a repeat of final 12 months’s mass gathering that included individuals carrying outfits with political messages. One scholar instructed the FT: “We had hats and cat ears, and they’re like ‘you can’t do that this year, unless you’re going to Disneyland’ or something.” Learn the complete story.

2. Iran’s supreme chief Ayatollah Ali Khamenei has signalled a measured response to Israel’s assault on the Islamic republic somewhat than a direct reprisal. In a public speech a day after Israel launched three waves of strikes on Iran, Khamenei tried to steadiness home expectations with the danger of escalating regional battle.

3. Georgia’s opposition has known as for protests after preliminary ends in a parliamentary election confirmed victory for the ruling social gathering. The pivotal vote was extensively seen as a alternative between a future in Europe or alignment with Russia.

4. EssilorLuxottica has expressed its “full support” to chief technique officer Leonardo Maria Del Vecchio, the late founder’s son, after Milanese prosecutors positioned him beneath investigation as a part of a sprawling probe into the alleged trafficking of illegally acquired non-public info.

5. Banks and regulators are warning that QR code phishing scams are slipping by means of company cyber defences and more and more tricking prospects into giving up their monetary particulars. Right here’s extra on the rise of so-called “quishing” assaults.

Lunch with the FT

Li Cheng, one of many pre-eminent students of elite Chinese language politics, discusses the breakdown of US-China relations, what Xi Jinping’s fourth time period may maintain — and why neither Kamala Harris nor Donald Trump makes him hopeful of change.

We’re additionally studying . . . 

• A courageous new world on Russia’s doorstep: Central Asia’s 5 states are more and more standing up for themselves on issues of language, historical past and identification, writes Tony Barber.

• Robotaxi pods: These self-driving, on-demand automobiles may change the best way we transfer round cities, writes Vinod Khosla, the founding father of Khosla Ventures.

• Battle of the billionaires: A small variety of huge spenders may assist swing the results of the US presidential election, in accordance with an FT evaluation.

Chart of the day

With the US presidential election getting into its closing days, high officers warned that an “alarming” lurch in direction of financial protectionism dangers derailing the worldwide financial restoration. Donald Trump has pledged to impose across-the-board tariffs of 20 per cent on America’s companions, in addition to a 60 per cent tax on Chinese language imports, whereas pursuing mass deportation of undocumented immigrants and sweeping tax cuts.

Take a break from the information

Diwali begins on Thursday with festivities in India and the world over. Los Angeles-based meals author Radhi Devlukia-Shetty shares how she celebrates the pageant of sunshine in an interview with Home & Residence.