In the Atlantic… The ocean liner Queen Mary, in service as a troop transport, collides with the British cruiser Curacao sinking the cruiser. The liners traveled without escort, depending upon speed for safety. Escorts were provided for these ships only within British coastal waters.

From Washington… Stabilization of the Cost of Living Act becomes law. The US President has now has the power to control wages and agricultural prices. The law is effective November 1, 1942

In the Pacific… In the Ellice Islands, American forces begin construction of a base on Funafuti Atoll.