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• The Nikkei 225 closed nearly flat at 63,484.10 on Tuesday as gains in AI stocks balanced out higher oil prices and caution regarding the Bank of Japan. • Guangzhou Auto shares surged 16% in Hong Kong on Monday following a joint asset deal with FAW Group. • The Kospi index rose 0.10% Wednesday morning after a 0.9% drop on Tuesday caused by semiconductor stocks like Samsung and SK Hynix falling over 4%.

• AI is rapidly transforming cybersecurity by enhancing traditional attack methods like phishing and credential theft while introducing new threats such as deepfakes and voice cloning. • These technologies are being used to accelerate the discovery of unique software vulnerabilities, creating a cycle where AI-driven exploits target AI-created weaknesses. • Tech defenders are deploying their own AI-based security solutions to counter these threats, though they face significant challenges in scaling.

• The U.S. Supreme Court is facing an all-time low in public reputation due to its perceived role in political conflicts rather than ordinary legal cases. • Recent examples of this trend include the restriction of COVID-era mail ballots and a ruling by six Republican appointees to strike down a 20-year-old campaign finance law. • These developments matter because they suggest the Court is increasingly operating as a political entity, undermining its impartiality in high-stakes electoral disputes.

• Pro-democracy activist Wu Chi-wai has been granted permission by the UK government to remain in the country as a visitor. • The move follows Wu's release from a Hong Kong prison, where he had been incarcerated for more than five years. • This development allows Wu to reunite with his wife and son, providing a safe haven for the activist after his long imprisonment.

• The Seoul Central District Court sentenced former South Korean President Yoon Suk-yeol to 18 months in prison, suspended for three years, for violating election laws via false statements during his 2022 campaign. • In Central America, Nicaraguan President Daniel Ortega announced that the country will no longer hold elections, effectively removing the possibility of an electoral challenge to his power. • These developments signal significant legal and political shifts, with Yoon facing judicial accountability and Ortega further entrenching the authoritarian rule he shares with his wife.

• IBM reported an earnings miss, attributing the shortfall to a failure to adapt and move quickly enough in the evolving AI market. • The results indicate a shift in enterprise spending, where companies are cutting traditional software budgets to prioritize expensive AI hardware investments. • This financial pivot is forcing development teams to rely on open-source tools and build custom integrations rather than purchasing proprietary software.

• South Korea issued its first-ever emergency heatwave alert under a new warning system launched this year, advising citizens to avoid outdoor activities. • Data from the Korea Meteorological Administration (KMA) reveals a significant rise in extreme temperatures, with heatwave days increasing from eight in the 1970s to 19 over the last five years. • Tropical nights have also surged during the same period, jumping from an average of four to 14.