1. NSW Department of Planning and Environment suggests recycled water be considered for drinking
The NSW Department of Planning and Environment has released a new strategy that tackles the contentious topic of transitioning most of the state’s drinking water to recycled water, given that 93% of water in Sydney is currently used once before it ends up in the ocean only partially treated.

The call for considering recycled water is a drinking alternative is because “Sydney has a low level of rainfall-independent water supply [compared to other cities], making our city vulnerable to rapid onset and prolonged drought,” the report said.

It said while a “very substantial” network of dams existed, “meeting the demand for water from a growing population means that we can’t rely solely on these dams and the Sydney desalination plant to meet all our future water needs”.

“Our forecast sustainable supply level is between 515 and 540GL per year – and modelling suggests this may be about 40 to 70 GL a year less than we need under a mid-case demand forecast in the short-term”, the report said.

2. More pain for Chinese tech leaders, worst quarterly growth on record
Chinese technology giants are coming off the back of their worst quarter of growth in history as a big slowdown in the world’s second-largest economy, stoked by Beijing’s strict Covid policy, took its toll. (CNBC)

In the second quarter of the year, e-commerce firm Alibaba posted its first-ever flat year-on-year quarterly revenue growth and social media and gaming company Tencent reported its first sales decline on record.

3. Ukraine forces breach several Russian defences
In a counter-offensive push, Ukrainian troops have successfully overrun a number of Russian footholds in several sectors of the frontline near the city of Kherson.

“The long-awaited counter-offensive was bolstered by stepped-up Western military aid and came as Russian forces shelled residential areas of the Black Sea port city of Mykolaiv,” the AFR reports.

“Moscow acknowledged a new offensive had been launched but said it had failed and the Ukrainians had suffered significant casualties.”

4. Comanchero bikie boss arrested on murder charge
Just months after surviving an assassination attempt on his own life in a Western Sydney gym in May, sergeant-at-arms of the Comanchero bikie gang Tarek Zahed was arrested on Sunday for the murder of 29-year-old Youssef Assoum in Blacktown in 2014.

The Tactical police squad conducting the arrest used bean bag bullets to remove Zahed from his car. Homicide squad commander Danny Doherty said, “Those bean bag rounds had to be used to get into the car and drag him out.”

“We were concerned that he may be armed. The person involved has allegedly committed a murder ... he’s the national sergeant-at-arms of the Comanchero [bikie gang], he’s previously been shot at himself.”

5. ASX to nudge higher
ASX futures were up 13 points or 0.19% to 6891 near 6.35am AEST, with the AUD +0.06% to 69.01 US cents.

On Wall St: Dow -0.6% S&P 500 -0.7% Nasdaq -1%.

In Europe: Stoxx 50 -0.9% CAC -0.8% DAX -0.6%.

10-year yield: US 3.11% Australia 3.66%.