ARC tests in-context rule induction: given a few input-output demonstrations, a model must infer the hidden rule and apply it to a new query. While many approaches express ARC rules through language, code, or symbolic programs, ARC itself is visual-symbolic: rules appear as grid transitions over objects, colors, shapes, and spatial relations. We introduce Loop-OWM, an object-centric world-modeling architecture that learns these rules as composable transitions over structured states. It combines color-prototype slots, demonstration-conditioned task summaries, and a looped transition model with dense propagation and slot-conditioned correction. On both ARC-1 and ARC-2, Loop-OWM outperforms non-looped and looped baselines with comparable or fewer parameters. These results suggest that ARC rules can be learned not only as language descriptions or searched programs, but also as transitions over visual-symbolic world states.
Long-horizon reasoning requires a system to commit to medium-horizon intent without becoming rigid: re-plan too often and computation never coheres into multi-step structure; commit too long and the plan goes stale. We study this stability-adaptivity tradeoff in the latent reasoning setting, where multi-step computation occurs inside hidden state rather than externalized token traces. We extend the Hierarchical Reasoning Model (HRM) with a feudal-style manager-worker interface: a slow high-level module periodically emits a normalized directional subgoal that persists for P low-level steps, biasing the worker's hidden-state updates and supplying an intrinsic cosine alignment loss. On ARC and ConceptARC, we find that subgoal persistence -- not subgoal injection alone -- is the central knob: moderate periods P in [3, 6] consistently outperform both very frequent (P=1) and very long horizons, with a clear minimum LM loss at P=3 (1.544 vs. 1.674 at P=1, 1.640 baseline; replicated over 5 seeds at mean 1.595, std 0.045). The intrinsic alignment weight lambda shows a complementary narrow optimum (lambda approximately 0.05). A controlled ablation at past-sweet-spot lambda isolates learned directional structure -- not architectural capacity or auxiliary loss alone -- as the source of interference when the alignment signal exceeds its optimum. Together these findings implicate a design principle for compositional planning in latent reasoning systems: medium-horizon intent must be coherent across enough computational steps for compositional structure to form.