Headlines:

• Eurozone's Economy Continues to Deteriorate at 'Alarming Pace'
• Putting a Price Tag on War with Iran
• NATO Considers Turkey Missile Deployment
• US: Engagement in Pakistan Key to Defeating Terror
• China: Beijing Report says Chinese Muslims are Fighting in Syria

Details:

Eurozone's Economy Continues to Deteriorate at 'Alarming Pace':

The Eurozone has seen an ongoing steep decline as data shows the combined economy of the 17-nations is entrenched in the steepest downturn since mid-2009. Activity has now fallen in 14 of the last 15 months, with the exception being a marginal increase seen in January. Chris Williamson, chief economist at Markit, said the Eurozone economy continued to deteriorate at an "alarming pace." "Officially, the region saw only a very modest slide back into recession in the third quarter, with GDP falling by a mere 0.1%, but the PMI suggests that the downturn is set to gather pace significantly in the fourth quarter," he said. "The final three months of the year could see GDP fall by as much as 0.5pc." Output fell sharply in both the manufacturing and service sectors and, while the former saw the rate of contraction ease slightly, the latter saw business activity fall at a rate not seen since July 2009. The ongoing drop in output reflected a further steep deterioration in new business, which fell at one of the fastest rates seen since mid-2009.

Putting a Price Tag on War with Iran:

An all-out U.S. war with Iran, including an invasion by American troops, would cost the global economy close to $2 trillion in the first three months and could go as high as $3 trillion, according to a Washington think tank. A full-scale ground operation to dismantle Iran's nuclear program is unlikely but the scenario is just one of a handful that a group of nine experts, assembled by the Federation of American Scientists, examined to explore how the global economy would be impacted by U.S. action against Iran. "There had been talks about oil spikes, about what would happen with the Iranian nuclear program, damage to Iran itself but there had been no, at least in the open sources, large-scale looks at what was going to happen globally," said Charles Blair who co-authored the report.

NATO Considers Turkey Missile Deployment:

Alliance to discuss member-state's request for Patriot surface-to-air missiles to protect border from Syria conflict. NATO has said that it will consider a request from member-state Turkey to deploy Patriot missiles in order to help protect the country's troubled border with Syria. NATO Chief Anders Fogh Rasmussen issued a statement on Wednesday, saying the alliance would discuss the request "without delay." Turkey's bid for the surface-to-air missiles followed talks with NATO allies about how to boost security on the 900km border with Syria after mortar rounds landed on its territory, increasing concerns about the Syrian civil war spilling over into the country's neighbours. "Such a deployment would augment Turkey's air defence capabilities to defend the population and territory of Turkey. It would contribute to the de-escalation of the crisis along NATO's south-eastern border," Rasmussen said in the statement. "NATO is fully committed to deterring against any threats and defending Turkey's territorial integrity." Diplomatic sources told the AFP news agency that NATO ambassadors meeting later on Wednesday were likely to approve the Turkish request. Rasmussen said a team would visit Turkey next week to conduct a site-survey for the possible deployment of Patriots. Ahmet Davutoglu, Turkey's foreign minister, said in Ankara on Tuesday that the Patriot missiles were "a precautionary measure, for defence in particular." Turkey's border villages have been hit by artillery fire from Syria as forces loyal to President Bashar al-Assad battle rebels trying to oust his regime. Germany, the Netherlands and the US are the only three NATO members that possess the medium-range missiles.

US: Engagement in Pakistan Key to Defeating Terror:

The new US commander for Afghanistan, Gen Joseph Dunford, also emphasised at a Congressional Hearing the need to assure Pakistan that the US would stay engaged with the region after 2014 as well. The US plans to withdraw most of its combat troops from Afghanistan by 2014. In a Tuesday night speech at the Center for New American Security, Secretary Panetta noted that despite challenges in the bilateral relationship, the United States and Pakistan had "one area in which our national interests continue to align, defeating the terrorists on Pakistan soil that threaten both of us". That's why "we remain committed to pursuing defence cooperation based on these shared interests," he said. Panetta warned that "killing our enemy will never be enough" to defeat terrorism. "The United States must stay involved and invest through diplomacy, through development, through education, through trade in those regions of the world where violent extremism has flourished," he said. According to the American Forces Press Service, Panetta underlined two key points for defeating al-Qaida and other terrorist groups: close work with partners and continued US involvement in regions where violent extremism has flourished. Fighting the war against al-Qaida and its affiliates, ending the war in Afghanistan, encountering nuclear proliferation and improving cyber-security were among the top priorities of the US defence strategy. "But ... the goal that still remains at the top of the priority list (is) to disrupt, degrade, dismantle and ultimately defeat those who attacked America on 9/11 - al-Qaida," the US defence secretary said. The essential first step for defeating al-Qaida, he said, was to finish the job that the United States and its coalition partners began in Afghanistan. Panetta noted that prolonged military and intelligence operations in Afghanistan and Pakistan had significantly weakened al-Qaida, "but the challenge is far from over." A key step in achieving the end of al-Qaida, he added, involved maintaining pressure on the group in Pakistan, Yemen, and Somalia. That means working to build the capacity of US partners, including Pakistan, to confront these shared threats, Panetta said.

China: Beijing Report says Chinese Muslims are Fighting in Syria:

Chinese Muslim separatists from the northwest region of Xinjiang are battling Syrian government forces alongside al-Qaida and other extremist groups, an official Chinese newspaper reported Monday. Radicals among China's ethnic Turkic Uighur minority have been traveling to Syria since May to join the fighting on trips organized by groups opposed to Beijing's rule over Xinjiang, the Global Times reported Monday. Citing unidentified Chinese anti-terrorism authorities, it said the groups were funding their activities through drug and gun trafficking, kidnapping and robbery, and providing training for "separatists, criminals and terrorists" who had fled Xinjiang. While foreign jihadists have joined in the 19-month-long Syria conflict that has killed more than 35,000 people, the presence of fighters from China has not been previously reported. The Foreign Ministry said it had noted the report and called for stronger international cooperation in dealing with organizations seeking to overthrow Chinese rule in Xinjiang.

Abu Hashim