Russian Disinformation Campaigns in Europe
Recent research into disinformation has demonstrated new nefarious campaigns by authoritarian actors using AI, which will be critical to understand for the 2024 elections in the US and Europe. The "Pravda" disinformation network, attributed to Russia, is intensifying its efforts across all 27 EU countries ahead of the upcoming EU Parliament elections in June 2024. Operating through fake news websites, the network spreads false narratives, particularly regarding the conflict in Ukraine and critical political figures. Researchers have highlighted its use of artificial intelligence to churn out vast amounts of content, reminiscent of tactics observed before the US presidential election in 2016. The network's articles lack transparency, often linking to Telegram channels instead of journalists. This escalation underscores Russia's evolving disinformation strategies, aimed at destabilizing democratic processes and promoting extremism. With a surge in new Pravda websites detected in March 2024, concerns mount over Russia's interference capabilities, which now include the use of generative AI, posing challenges for detection and mitigation by authorities.
Concerning generative AI, OpenAI reported that threat actors associated with Russia, China, and Iran have utilized its tools for influence operations to generate various content types for campaigns aimed at social media manipulation. Despite fears surrounding the misuse of generative AI, the impact of these operations has been limited with most scoring low on influence metrics. Notable campaigns include those by Russian groups Bad Grammar and Doppelgänger as well as the Chinese group Spamouflage and the Iranian group IUVM. OpenAI's software prevented some malicious activities, though.
Besides politics, a recent report from Microsoft's threat intelligence unit reveals a covert influence campaign orchestrated by Russia to discredit the 2024 Olympics and instill fear of terrorism at the event. Employing tactics such as deepfake technology and fabricated threats, the campaign aims to tarnish the reputation of the International Olympic Committee and dissuade attendance. By impersonating news outlets and disseminating false information, the Russian actors seek to create a narrative of violence surrounding the Paris Games. This campaign mirrors historical efforts by the Soviet Union to undermine international competitions when unable to participate or win.
Altogether, disinformation remains a persistent threat to democracies and corporations, and the primary threat actors are still the main antagonists. Generative AI has slightly changed the threat, but new technologies are also being used to track and prevent these problems.
Trump’s Convictions Could Lead to Violence
Following former President Donald Trump's conviction on 34 felony counts, his supporters reacted with violent rhetoric on pro-Trump websites, calling for riots, revolution, and attacks on legal officials. A Reuters review of comments on Truth Social, Patriots.Win, and Gateway Pundit found calls for attacks on jurors, the judge, and incitement to civil war.
Threats of violence against liberals and Democrats surged, echoing similar sentiments after Trump's 2020 election loss. Trump, claiming the trial was rigged, continued his attacks online, which fueled his followers' extremist language. Real-world violence remains unlikely, but there are credible threats. One such extremist group part of this rise in possible violence is the Proud Boys, a far-right extremist group involved in the January 6 Capitol riot. They are resurging as Trump’s campaign for the presidency as their presence at rallies and events has increased, and some members are preparing for potential violence if Trump faces legal consequences or loses the election.
Despite leadership imprisonments, the Proud Boys have restructured into self-governing chapters to evade law enforcement scrutiny. Their founder, Gavin McInnes, remains an influential figure, mediating internal disputes. Former leader Enrique Tarrio, serving a 22-year sentence for seditious conspiracy. Trump’s rhetoric and hints of potential pardons have emboldened the group, which sees itself as defenders of Trump and American nationalism. Experts and former officials warn of the group's enduring threat and capacity for organized violence, and it is credible they will engage in violence at the upcoming conventions.
Political Violence Increases in Europe and Canada
The recent assassination attempt on Slovakia's Prime Minister Robert Fico, along with assaults on Socialist and Greens candidates in Germany and an anti-fascist event in Stockholm, point to heightened political tensions in Europe ahead of EU Parliament elections.
While incidents involving radical groups have increased slightly in 2021, overall violence by far-left and far-right groups in the EU has remained stable. ACLED data shows “that overall radical violence in Europe has remained at nearly the same level since data collection began in 2021 and that the far right is behind 85% of it.”
Greece, France, and Germany have seen the most violence by radical groups with far-right activity dominating targeted attacks. However, far-left and anarchist groups in Greece have been responsible for a significant portion of violent events, including attempted bombings. In France, far-right groups are proliferating and engaging in vigilantism while in Germany, the uncovering of a mass deportation plot has sparked widespread demonstrations against right-wing extremism. Despite these challenges, far-right parties are expected to increase their legislative influence after the elections, raising concerns about the potential radicalization of politics in the European Union. Europe is not the only place to experience increased potential political violence.
Over the last five years in Canada, harassment against Members of Parliament has surged by nearly 800% with incidents primarily occurring online but also in person and at events. The data shows threats increasing significantly, rising from approximately eight in 2019 to 530 in 2023. Extremist violence and the threat of violence is increasing overall in the Western world, and political campaigns, candidates, and members of government are all increasingly likely targets.
This is not the first time the Western world has seen such violence; during the 1960s and 1970s there was a string of high-profile assassinations and kidnappings in the US and Europe. Though currently unlikely, it is plausible such political violence will return over the medium term.
Israel Could Accept US Ceasefire Agreement
Israel has allegedly accepted a framework deal for ending the Gaza war proposed by President Biden, though it considers the deal flawed and requiring more work, according to Ophir Falk, an aide to Prime Minister Netanyahu.
The deal prioritizes the release of hostages and the destruction of Hamas. US Secretary of State Antony Blinken has been in discussions with Israeli officials, emphasizing that the deal aligns with Israel’s long-term security interests. The framework involves a three-phase plan: an initial truce and release of some hostages, followed by negotiations for a longer cessation of hostilities and the release of remaining captives. This plan assumes Hamas’s continued role in mediated arrangements, conflicting with Israel's aim to eliminate Hamas.
Israel insists on only temporary pauses until Hamas is destroyed while Hamas demands a permanent end to the war, withdrawal of Israeli forces, free movement for Palestinians, and reconstruction aid. Netanyahu is under pressure to maintain his coalition government with far-right partners opposing any deal perceived to spare Hamas. Hamas has cautiously welcomed Biden's initiative but insists on a comprehensive agreement that meets their demands.
As part of their attempt to get Israel to accept the ceasefire, the United States wants the United Nations Security Council to adopt a resolution supporting Biden's proposal to end the war. The US circulated a draft resolution to the 15-member council, which needs at least nine votes in favor and no vetoes from the US, France, Britain, China, or Russia to pass. The draft calls on Hamas to accept the deal and implement its terms without delay or condition. It emphasizes the importance of the parties adhering to the deal's terms to achieve a permanent cessation of hostilities.
While Hamas responded positively to the deal, several members of Israel's war cabinet opposed ending the war on Gaza. Israel is highly unlikely to work on negotiating a deal until their operation in Rafah is complete and they feel like they have sufficiently degraded Hamas enough. That will be the key indicator for serious negotiations to occur.
China Housing Sector Possibly Stabilizing
China's housing sector is facing a significant downturn with new housing construction falling to less than half of its 2021 peak. New home starts have dropped 63% from their peak, indicating a potential bottoming out of the construction decline, and investment is shifting towards wealthy coastal areas, accounting for a growing share of total investment. Home prices in China have fallen by 11%, but further adjustments are likely, potentially mirroring the prolonged corrections seen in Japan. Similar to Japan's prolonged economic stagnation, China's property sector is expected to stabilize at much lower levels than its peak due to ongoing negative financial impacts.
China's policy response has included limiting price reductions and introducing support measures, but it lacks a comprehensive clean-up of bad assets. More specifically, recent support measures include cutting mortgage rates, reducing downpayments, and encouraging local governments to buy unsold apartments for affordable housing. However, this transfers bad assets to local governments, delaying necessary write-downs and recognition of losses. This decline in the housing sector is seen as a potential step towards addressing the chronic oversupply in the market that has bloated the market and created debt issues. Home building activity could stabilize within a year with the downturn, which would alleviate economic pressure caused by the real estate troubles.
Modi Wins Third Term
Prime Minister Narendra Modi has won a consecutive third term in office, marking a historic achievement. However, his Bharatiya Janata Party (BJP) fell short of a single-party majority in Parliament, signaling the need for a coalition government for the first time under Modi's leadership.
This outcome reflects a decline in BJP's performance compared to previous elections, attributed partially to economic concerns and criticisms of Modi's leadership style. Modi's popularity (at 75% earlier in the year) was not enough to prevent his party's underwhelming performance, and this suggests a shift in Indian politics.
Economic stress from inflation and unemployment, backlash against Hindu nationalism, and political repression are straining Modi's popularity. After ten years in power, anti-incumbency sentiments were also likely part of the problem. Modi's third term will face several challenges in fulfilling welfare and industry promises.
The BJP's dominance is likely waning, and coalition governments are likely making a comeback due to centralization and intraparty issues within the BJP. While Modi has shown resilience, his upcoming challenge will be forming a coalition government, limiting his ability to pursue his domestic agenda, particularly controversial Hindu-nationalist goals and economic reforms. A more conciliatory political approach could aid Modi's domestic policy goals while his foreign policy is expected to remain unaffected. However, a revitalized opposition poses a significant challenge, and Modi's third term might be his toughest, potentially even his last, despite the BJP's continued general popularity.
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