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Debt Rattle September 5 2021

Sep 052021

September 5, 2021 Posted by Raúl Ilargi Meijer at 8:42 am Finance Tagged with: Christmas, exodus, experts, horse dewormer, totalitarianism, voodoo, Xi 49 Responses »

Pablo Picasso Portrait of Daniel-Henry Kahnweiler 1910

• UK Care Workers Leave En Masse After Being Told To Get Vax Or Quit (RT)

• Israel Virus Czar Calls To Begin Readying For 4th Vaccine Dose (ToI)

• Give Pupils Covid Jab To Prevent Virus Running Through UK, Expert Says (G.)

• The Virus That Stole Christmas (Sky)

• Slowly But Surely, The Stupid Is Failing (Denninger)

• Vaccine Voodoo (Rickards)

• Rolling Stone ‘Horse Dewormer’ Hit-Piece Debunked (ZH)

• I Have Not Been Silenced (Malcolm Kendrick)

• The Road to Totalitarianism (CJ Hopkins)

• China’s Marxist “Profound Revolution” Is Here (Every)

Good morning from Athens.

I hear you can deworm your horse with it too.

Natural Immunity (compiled)
https://twitter.com/i/status/1432342656642867207

They make £9.30 an hour and then the gov’t comes in demanding they obey or else.

• UK Care Workers Leave En Masse After Being Told To Get Vax Or Quit (RT)

Many care workers in the UK who were told to get vaccinated against Covid-19 or lose their jobs have left the industry en masse for better paid positions at companies such as Amazon, creating massive staffing shortages. According to the Guardian, which spoke to several care home industry officials, “three-quarters of care home operators are reporting an increase in staff quitting since April,” with the reasons being “a desire for less stress and for higher pay” and “to avoid mandatory vaccination, which comes into effect on 11 November.” The newspaper reported that many care workers are leaving for other positions in the NHS, where vaccination has not yet been made compulsory, and for unrelated jobs at companies such as Amazon where they have been offered a 30% increase in pay and other incentives.

One care worker left their £9.30 an hour job to work as an Amazon warehouse picker, which pays £13.50 per hour and also offers a £1,000 joining bonus, according to the report. In response to the mass exodus, the industry is now desperately calling on the government to end its mandatory vaccination policy for care workers, warning that a “catastrophe” is on the horizon. National Care Association executive chairman Nadra Ahmed told the Guardian that the National Health Service (NHS) will ultimately “have to pick up this mess” and called on the government to reconsider its policy, while public service union Unison declared that ministers “must immediately repeal ‘no jab, no job’ laws for care home staff in England to avert a staffing crisis that threatens to overwhelm the sector.”

Unison warned that the “draconian” mandatory vaccination policy is “pushing thousands to the brink of quitting care work” and said the government is “sleepwalking into a disaster” by ensuring a massive shortage of staff during a pandemic. The union also revealed that many care workers – who are already underpaid and overworked – “feel totally undervalued” and that “being bullied” into taking a vaccine they didn’t want was “the last straw” for many in the industry.

This video is being heavily censored. Can't think why.

Apologies I don't know who originally put it together but ✌️✌️ pic.twitter.com/9uScnhblFj

— vanessa beeley (@VanessaBeeley) September 4, 2021

How many people still get how idiotic this is?

• Israel Virus Czar Calls To Begin Readying For 4th Vaccine Dose (ToI)

Israel’s national coronavirus czar on Saturday called for the country to begin making preparations to eventually administer fourth doses of the coronavirus vaccine. “Given that that the virus is here and will continue to be here, we also need to prepare for a fourth injection,” Salman Zarka told Kan public radio. He did not specify when fourth vaccine shots could eventually be administered. Zarka also said that the next booster shot may be modified to better protect against new variants of the SARS-CoV-2 virus that causes COVID-19, such as the highly infectious Delta strain. “This is our life from now on, in waves,” he said. Zarka made similar comments in an interview with The Times of Israel last month. “It seems that if we learn the lessons from the fourth wave, we must consider the [possibility of subsequent] waves with the new variants, such as the new one from South America,” he said at the time.

“And thinking about this and the waning of the vaccines and the antibodies, it seems every few months — it could be once a year or five or six months — we’ll need another shot.” Zarka said that he expects that by late 2021 or early 2022, Israel will be giving shots that are especially adapted to cope better with variants. Israel — the first country to officially offer a third dose — began its COVID booster campaign on August 1, rolling it out to all those over the age of 60. It then gradually dropped the eligibility age, expanding it last week to everyone age 12 and up who received the second shot at least five months ago. As of Friday, over 2.5 million Israelis had received the third dose.

When the JCVI, the experts, say something we don’t like, well, we have other experts. This is full-on Groucho.

• Give Pupils Covid Jab To Prevent Virus Running Through UK, Expert Says (G.)

Schoolchildren should be given the Covid vaccine to avoid allowing the virus to “run through the population”, a leading scientific expert has said, after official vaccine advisers concluded the net health benefit in vaccinating 12- to 15-year-olds was too small. On Friday, the Joint Committee on Vaccination and Immunisation (JCVI) stopped short of a recommending vaccinating healthy 12- to 15-year-olds against Covid, saying “the margin of benefit is considered too small” to support universal vaccination. Ministers could now for the first time defy the advice of the scientific watchdog and push ahead, in a move that highlights a growing divide between government and scientific advisers over the next phase of the vaccination programme.

Prof John Edmunds, a member of the government’s scientific advisory group for emergencies, said ministers must consider the “wider effect Covid might have” on unvaccinated children. “It’s a very difficult one, they’re going to take a wider perspective than the JCVI took, I think that’s right,” he told BBC Radio 4’s Today programme on Saturday. “I think we have to take into consideration the wider effect Covid might have on children and their education and developmental achievements. “In the UK now, it’s difficult to say how many children haven’t been infected but it’s probably about half of them, that’s about 6 million children, so that’s a long way to go if we allow infection just to run through the population, that’s a lot of children who will be infected and that will be a lot of disruption to schools in the coming months.”

The chief medical officers of the UK’s four nations will now weigh up whether or not to give the vaccine to younger schoolchildren, with a decision due within days. The JCVI recommended an expansion to an existing programme of vaccinations for older children with health conditions, including heart disease, type 1 diabetes and severe asthma, increasing the eligible group to about 200,000. But the decision came as a blow to the government, which has in recent days both quietly agitated for a decision from the JCVI, given most schools in England have returned this week, and pointed to existing mass vaccination programmes for such children in places including Israel, the US and Germany.

Immediately after the announcement, Sajid Javid, the health secretary, and his counterparts in Scotland, Wales and Northern Ireland, wrote to the chief medical officers in their countries, asking them to “consider the matter from a broader perspective”. Prof Anthony Harnden, the deputy chair of the JVCI, said on Saturday that while past decisions had been “fairly clear cut”, it was “quite reasonable for the government to seek further advice about other aspects” and “go ahead and have a look at it from an educational point of view”. When asked about the possibility of extending the vaccine rollout to younger children, he told BBC Breakfast: “Parents need to understand what the risks are, what the benefits are, and make up their own mind about whether they offer consent or not.”

Famous last words.

• The Virus That Stole Christmas (Sky)

Prime Minister Scott Morrison says by the end of the year, Australians should be able to reunite with family across the country, enjoy a proper summer holiday, and New Year’s Eve celebrations where friends can “hug and kiss” at midnight. Under the national plan, interstate travel will occur once 80 per cent of eligible Australians are double jabbed, Scott Morrison tells Sunday Herald Sun. “We don’t have to fear the virus, but we do have to live with it,” he says. “Holding onto COVID zero will only hold Australians back as the world moves forward.” Mr Morrison described the freedoms once 70 per cent and 80 per cent of eligible Australians roll up their sleeves for the jab.

“Grandparents in the east can hold their new grandchild in the west for the first time,” he tells Sunday Herald Sun. “Kids in the south can be excited for holidays up north, long days on the beach and rollercoasters. “Friends can make plans for New Year’s Eve where they can hug and kiss at midnight. “And everyone can make plans for a family Christmas, with all our loved ones at the dinner table, cracking bon-bons and bad jokes together. “Nobody wants COVID to be the virus that stole Christmas, and we have a plan and the vaccinations available to ensure that’s not the case.” “This means that in coming months, lockdown states can look forward to a return to backyard barbecues, kids’ birthday parties with all of their friends, gathering with the whole family for important moments like christenings, weddings and funerals.”

“I have a right to be unvaccinated against this virus since neither being not-fat or vaccinated confers a health benefit to others..”

• Slowly But Surely, The Stupid Is Failing (Denninger)

As for those who have not been infected the data on personal risk allocation is less-clear. Certainly, Covid-19 can seriously injure or kill you. But, since we now know the vaccines neither prevent infection or passing the virus on to others, and have a wildly higher hazard rate than any of the other commonly-used vaccines the equation is now entirely personal. That is, there is no social or employment and customer-related benefit to be had and thus we are now talking about the same classification of personal choice as is packing on that extra 100lbs or choosing to engage in anal sex, both of which are personally dangerous but do not impact other, non-consenting people except, perhaps, by consuming medical system resources someone else might want or need.

Indeed, the data is that being morbidly obese puts 60% or more on your risk of hospitalization or death from Covid-19. Since every single person who is morbidly obese willingly put every item of food and beverage down their own throat should we not hold them accountable for the load they are now placing on the medical system, especially since we knew this in early 2020 and they willingly and intentionally remained obese rather than lose the weight in the intervening 18 months? If I have a right to be fat (and not be discriminated against on the basis of being fat) then I have a right to be unvaccinated against this virus since neither being not-fat or vaccinated confers a health benefit to others; any benefit, such as may exist, is mine and mine alone.

If you think this is some sort of esoteric argument it is not. The Supreme Court has repeatedly ruled that bodily autonomy is sacrosanct. As just one example you have every right to screw another man in the ass so long as you both are adults and consent, which is why the laws related to such sexual practices across the United States in any public accommodation, housing, employment and similar have been progressively, over the last decades, struck down as unconstitutional. Indeed just last year firing someone for being gay become formally illegal. In short the USSC has, on a consistent basis over the last hundred years, ruled that what you choose in terms of personal risk as a consenting adult is nobody else’s damned business and absent hard, scientific proof that someone else is harmed you are on extremely thin ice legally with an attempt to discriminate on any such basis. The legal record is very clear in this regard; that which used to be able to be proscribed 100 years ago as “immoral” or “dangerous” for a particular person has been repeatedly and almost without exception greatly narrowed as the USSC has considered various cases before it.

I remind you that at the time of Jacobson the Court saw such things very differently and personal choice was much less-respected than it is today. Around the same time as Jacobson, for example, the state legislature of Oregon passed a law allowing forced sterilization of “sexual perverts” — aimed straight at homosexuals and the feeble-minded. Oregon was not alone in passing and enforcing these laws. Do you really think jabbing people was a big deal to the Supremes while the State of Oregon was cutting off people’s balls due to their sexual preference?

Do you think the Judge in Chicago did not take all of this into consideration when he reversed his former ruling that an unvaccinated mother by virtue of refusal lost her rights as a parent? I’d like to see the history on exactly why he originally thought that was a good idea, and if perhaps a little off-the-record urging was involved. Family courts are known for hair-raising rulings and such off-the-record games but this one got reversed awfully-quickly, didn’t it? Perhaps the light went on in his head — since the jabs do not produce sterilizing immunity to the virus and do not interrupt transmission his ruling was that one can be dispossessed of their civil rights for a personal medical, social or political decision with the boundary of impact encompassing nobody but herself. It was likely wise to walk away from that voluntarily before he got slapped in the face on appeal.

“How many people died because they were denied access to these therapies, especially early on in the disease cycle when treatment is more effective? It’s impossible to say, but they could potentially run into the hundreds of thousands.”

• Vaccine Voodoo (Rickards)

The data indicate that the most vaccinated countries have the most cases and deaths per million people, while the least vaccinated countries have the fewest cases and deaths per million people. Israel is providing a useful case study in the effectiveness, or lack thereof, of vaccines. Israel is one of the most heavily vaxxed countries in the world, with over 60% of the population fully vaccinated and almost 100% of the elderly. But now Israel is experiencing a massive increase in infections, including cases among the fully vaxxed. The government has also determined that the vaccines wear off after six months or less and is recommending a third shot for everyone. The problem, of course, is that the third dose will wear off too, so a fourth, fifth or sixth dose will be needed.

And with every new dose comes a new risk of dangerous side effects, including the small but real possibility of death. The vaccinated will be getting boosters for the rest of their lives, and the virus still won’t go away. Meanwhile, effective treatments, including ivermectin, hydroxychloroquine, vitamin D, zinc and other inexpensive measures, are being suppressed by the medical establishment. How many people died because they were denied access to these therapies, especially early on in the disease cycle when treatment is more effective? It’s impossible to say, but they could potentially run into the hundreds of thousands.

A new study by the U.K.’s National Health Service and a Canadian biotech company revealed that a nitric oxide nasal spray slashed SARS-CoV-2 viral load by 95% within 24 hours and 99% within 72 hours. If further trials pan out, early treatment with a similar cheap therapeutic could cut serious cases down to almost nothing. But it doesn’t matter. The medical establishment will continue pushing the narrative that only universal vaccination will stop the virus. The media continue to hyperventilate about “cases” but ignore the fact that death rates have declined since January. When one accounts for the 38 million Americans who have survived COVID and already have antibodies, then herd immunity is already here. Data indicate that people who had COVID between January and February of 2021 and recovered have 13 times more immunity to the Delta variant than vaccines provide.

We’re at the stage where we can learn to live with COVID as we do with many other endemic diseases such as the seasonal flu. There’s no reason for fear. But the public health authorities insist that these people with natural immunity must also be vaccinated. It’s not “science.” The zero-COVID policies many governments have pursued are completely unrealistic. The virus goes where it wants. The only real solutions are patience, herd immunity and effective therapies. The time has come to stop living in fear and start treating COVID as an endemic disease that will be with us for a long time, like the seasonal flu or diabetes. Unfortunately, government authorities continue to insist they can control the situation with orders and mandates.

All it took to find out was one phone call. But nobody at Rolling Stone had a spare dime.

• Rolling Stone ‘Horse Dewormer’ Hit-Piece Debunked (ZH)

After Joe Rogan announced that he’d kicked Covid in just a few days using a cocktail of drugs, including Ivermectin – an anti-parasitic prescribed for humans for over 35 years, with over 4 billion doses administered (and most recently as a Covid-19 treatment), the left quickly started mocking Rogan for having taken a ‘horse dewormer’ due to its dual use in livestock. [..] On Friday, Rolling Stone’s Peter Wade took another stab – publishing a hit piece claiming that Oklahoma ERs were overflowing with people ‘overdosing on horse dewormer.’ It was suspect from the beginning. The report, sourced to local Oaklahoma outlet KFOR’s Katelyn Ogle, cites Oklahoma ER doctor Dr. Jason McElyea – claimed that people overdosing on ivermectin horse dewormer are causing emergency rooms to be “so backed up that gunshot victims were having hard times getting” access to health facilities.

“As people take the drug, McElyea said patients have arrived at hospitals with negative reactions like nausea, vomiting, muscle aches, and cramping — or even loss of sight. “The scariest one that I’ve heard of and seen is people coming in with vision loss,” the doctor said.” -Rolling Stone. Except, the article provided zero evidence for McElyea’s claims, causing people to start asking questions. And while neither KFOR or Rolling Stone mention the hospital McElyea worked for, NHS Sequoyah, located in Sallisaw, Oklahoma – just issued a statement disavowing McElyea’s claims, which pops up when you visit their website. It reads:

“Although Dr. Jason McElyea is not an employee of NHS Sequoyah, he is affiliated with a medical staffing group that provides coverage for our emergency room. With that said, Dr. McElyea has not worked at our Sallisaw location in over 2 months. NHS Sequoyah has not treated any patients due to complications related to taking ivermectin. This includes not treating any patients for ivermectin overdose. All patients who have visited our emergency room have received medical attention as appropriate. Our hospital has not had to turn away any patients seeking emergency care. We want to reassure our community that our staff is working hard to provide quality healthcare to all patients. We appreciate the opportunity to clarify this issue and as always, we value our community’s support.”

[..] McElyea is also listed as working at Integris Grove Hospital in Grove, OK as a general family practitioner – not in the ER. A phone call to them provided no insight as to any ivermectin overdoses, however the gentleman who answered the phone sounded quite amused. What’s more, Grove, OK – with a population of 7,129, had just 14 aggravated assaults in all of 2019 according to the FBI’s latest data. We somehow doubt that ‘gunshot victims were lining up outside the ER,’ while just 11 ivermectin related hospital cases have been reported in the entire state since the beginning of May.

“Very little is referenced, because I can very easily find a contradictory reference to any reference I provide. For each fact, there is an equal and opposite fact.”

• I Have Not Been Silenced (Malcolm Kendrick)

Thank you to the many people who have e-mailed me recently and asked if I have been silenced. I have not. I have had letters from Public Health England and the General Medical Council, informing me that I was under investigation for daring to question anything about COVID19, particularly vaccines. The good news is the investigations ended up nowhere, and were closed down. I have also had irate phone calls from doctors, telling me that I must not question vaccination and suchlike. This has been somewhat wearing and has caused me to remain silent for a while and think about things. However, I do know how to play the medical regulations game. Don’t make a statement you cannot reference from a peer-reviewed journal.

Don’t give direct advice to people over the internet. Provide facts, and do not make statements such as ‘vaccines are killing thousands of people.’ Or suchlike. Not that I ever would. My self-appointed role within the COVID19 mayhem, was to search for the truth – as far as it could be found – and to attempt to provide useful information for those who wish to read my blog. The main reason for prolonged silence, and introspection, is that I am not sure I can find the truth. I do not know if it can be found anymore. Today I am unsure what represents a fact, and what has simply been made up. A sad and scary state of affairs. This is not just true of the mainstream and the mainstream media, which has simply decided to parrot all Government and WHO statements without any critical engagement…or thought.

For example, the BBC intones that ‘In the last day, fifty people died within twenty-eight days of a positive COVID19 test…’ Or a hundred, or six. What the hell is this supposed to mean? It means nothing, it is the very definition of scientific meaninglessness. Especially when it seems that very nearly a half of those admitted to hospital with COVID19 were not admitted to hospital with COVID19. They were admitted with something else entirely, then had a positive test whilst in hospital. In short, they were not admitted to hospital with COVID19, and almost certainly did not die of COVID19. They died with a positive COVID19 test. With, not of. But the misinformation is equally a problem for those on the other side. Claims are made for the benefits of Ivermectin and hydroxychloroquine that simply do not stand up to scrutiny.

Yes, I believe both drugs may provide some benefit, but not the claimed 90% reduction in deaths that I have seen trumpeted. So, I have given up on COVID19. It is a complete mess, and I feel that, without being certain of the ground under my feet, I have nothing to contribute. I too am in danger of starting to make statements that are not true. However, before leaving the area entirely, I would like to make clear some of the things I currently believe to be true, and what I do not believe to be true. If this is of any assistance to anyone. Very little is referenced, because I can very easily find a contradictory reference to any reference I provide. For each fact, there is an equal and opposite fact.

“And that, my friends, is where we are. We didn’t get here overnight.”

• The Road to Totalitarianism (CJ Hopkins)

The time for people to “wake up” is over. At this point, you either join the fight to preserve what is left of those rights, and that sovereignty, or you surrender to the “New Normal,” to global-capitalist totalitarianism. I couldn’t care less what you believe about the virus, or its mutant variants, or the experimental “vaccines.” This isn’t an abstract argument over “the science.” It is a fight … a political, ideological fight. On one side is democracy, on the other is totalitarianism. Pick a fucking side, and live with it. Anyway, here’s where we are at the moment, and how we got here, just the broad strokes. It’s August 2021, and Germany has officially banned demonstrations against the “New Normal” official ideology. Other public assemblies, like the Christopher Street Day demo, one week ago, are still allowed.

The outlawing of political opposition is a classic hallmark of totalitarian systems. It’s also a classic move by the German authorities, which will give them the pretext they need to unleash the New Normal goon squads on the demonstrators tomorrow. In Australia, the military has been deployed to enforce total compliance with government decrees … lockdowns, mandatory public obedience rituals, etc. In other words, it is de facto martial law. This is another classic hallmark of totalitarian systems. In France, restaurant and other business owners who serve “the Unvaccinated” will now be imprisoned, as will, of course, “the Unvaccinated.” The scapegoating, demonizing, and segregating of “the Unvaccinated” is happening in countries all over the world. France is just an extreme example. The scapegoating, dehumanizing, and segregating of minorities — particularly the regime’s political opponents — is another classic hallmark of totalitarian systems.

In the UK, Italy, Greece, and numerous other countries throughout the world, this pseudo-medical social-segregation system is also being introduced, in order to divide societies into “good people” (i.e., compliant) and “bad” (i.e., non-compliant). The “good people” are being given license and encouraged by the authorities and the corporate media to unleash their rage on the “the Unvaccinated,” to demand our segregation in internment camps, to openly threaten to viciously murder us. This is also a hallmark of totalitarian systems. And that, my friends, is where we are. We didn’t get here overnight. Here are just a few of the unmistakable signs along the road to totalitarianism that I have pointed out over the last 17 months.

Xi is getting bold.

• China’s Marxist “Profound Revolution” Is Here (Every)

Political developments in China have been front page news in the financial press over the past few months. Beijing’s crackdown on Ant Financial, largely dismissed by Wall Street, then spread to Didi and on to the broader sectors these championed, fin- and transport-tech; then it grew to encompass swathes of the economy, from tech to health to education to property to private equity to gaming. In terms of tech, there are now sharp limits on IPOs in the US (mirrored from the US side) and new algo/pricing and data regulations that require Beijing to hold on to it; the private tuition field was made non-profit; there has been a sharp reduction in credit to property developers along with the official message that “houses are for living in, not speculation”, and rental increase caps of 5% annually; under-18s have been limited to just 3 hours of computer gaming a week, in allotted slots; and private equity has been cut off from residential investment.

Beijing has also called for curbs on “excessive” income, and for the wealthy and profitable firms “to give back more to society.” (Tencent already pledged $15bn.) This is also matched by: a social campaign against excessive business drinking, “unpatriotic” karaoke songs, and celebrity culture; ‘Xi Jinping Thought’ made obligatory at all schools and universities; and, as Bloomberg puts it, controls on social media financial commentary – “China to Cleanse Online Content that ‘Bad Mouths’ its Economy”. This has all taken place under the slogan of “Common Prosperity”. Going further, commentary reposted by Chinese state media on 30 August stressed these changes are a “profound revolution” sweeping the country, warning anyone who resisted would face punishment.

It added: “This is a return from the capital group to the masses of the people, and this is a transformation from capital-centred to people-centred,” marking a return to the original intention of the Communist Party, and “Therefore, this is a political change, and the people are becoming the main body of this change again, and all those who block this people-centred change will be discarded.” Notably, a WeChat blogger originally made the post, but it was then reposted by major state-run media outlets such as the People’s Daily, Xinhua News Agency, PLA Daily, CCTV, China Youth Daily, and China News Service. The author also wrote that high housing prices and medical costs will become the next targets of the campaign –which was backed by an official announcement on 1 September– and that the government needed to “combat the chaos of big capital,” adding “The capital market will no longer become a paradise for capitalists to get rich overnight… and public opinion will no longer be in a position worshiping Western culture.”

Dave Collum: “Yeah. It had nothing to do with those last 2,000 Whoppers and 2,500 bags of Funions…”

Do read the story below the photo.

God

What an amazing answer. pic.twitter.com/ICZLaXD0fR

— AliciaStump2000 (@AStump2000) July 17, 2021

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Debt Rattle September 1 2021

Sep 012021

September 1, 2021 Posted by Raúl Ilargi Meijer at 9:05 am Finance Tagged with: double vaxxed, exodus, FDA, ivermectin, Obama, Snowden, zero Covid 88 Responses »

Vincent van Gogh Ward in the hospital in Arles 1889

• Who’s Really Being Hospitalized? (Margulis)

• 60% of Those Older Than 50 Who Die From Covid Are Double Vaxxed (Mercola)

• ‘Get Sicker’: Anatomy Of A Failed Policy (Pfeiffer)

• There’s An Off Ramp – But It Has A Price (Denninger)

• The Case For Covid Vaccine Passports Was Just Demolished (Fee)

• Key Vaccine Leaders Departing FDA As Covid-19 Booster Questions Linger (FPhar)

• Greek Health Ministry Bracing For ‘Great Exodus’ (K.)

• Pharmacy Customers Refuse To Say What Ivermectin Prescription Is For (G.)

• Zero Covid, A Once Wildly Popular Ideology, Quietly Faces Extinction (Subs)

• Singapore Gives Up Goal of Zero Covid Despite High Vaccination Rate (Gizmodo)

• Obama Officials’ Lies About Edward Snowden and Russia (Greenwald)

1) THE SPIKE PROTEIN AND SELF-INDUCED HEAVY METAL POISONING RESULTING IN PERSISTENT METABOLIC AND TRANSPOSABLE ELEMENT INDUCED EPIGENETIC ALTERATIONS
To be poisoned by our own bodies. The accelerated aging, telomere shortening and now hypomethylation in the brains of children. pic.twitter.com/4CE9OVfLqX

— Walter M Chesnut (@Parsifaler) August 31, 2021

The stories are collapsing.

• Who’s Really Being Hospitalized? (Margulis)

After a battery of testing, my friend was diagnosed with pancreatitis. But it was easier for the hospital bureaucracy to register the admission as a COVID case. Let me explain. This patient had none of the classic symptoms of COVID: No shortness of breath, no fever, no chills, no congestion, no loss of sense of smell or taste, no neurological issues. The only COVID symptoms my friend had were nausea and fatigue, which could also be explained by the surgery. However, nearly three weeks earlier, a COVID test had come back positive. The mainstream media is reporting that severe COVID cases are mainly among unvaccinated people.

An AP headline from June 29 reads: “Nearly all COVID deaths in US are now among unvaccinated.” Another, from the same date: “Vast majority of ICU patients with COVID-19 are unvaccinated, ABC News survey finds.” Is that what’s really going on? It’s certainly not the case in Israel, the first country to fully vaccinate a majority of its citizens against the virus. Now it has one of the highest daily infection rates and the majority of people catching the virus (77% to 83%, depending on age) are already vaccinated, according to data collected by the Israeli government. After carefully reviewing the available data, including the safety and efficacy profiles of the mRNA vaccines, my friend had taken a cautious approach. Though a medical doctor who gives vaccines in the office every day, my friend opted to wait and see.

According to WebMD, a “huge number” of frontline hospital workers have also chosen not to get the vaccine. Indeed, various news reports, from California to New York, confirm that up to 40% of health care workers have decided the risks of the vaccines do not outweigh the benefits. After admission, I spoke to the nurse on the COVID ward. She was suited up in a plastic yellow disposable gown, teal gloves, and two masks underneath a recirculating personal respiratory system that buzzed so loudly she could barely hear. The nurse told me that she had gotten both vaccines but she was feeling worried: “Two thirds of my patients are fully vaccinated,” she said. How can there be such a disconnect between what the COVID ward nurse told me and the mainstream media reports?

For one thing, it is very hard to get any kind of accuracy when it comes to actual numbers. In fact, the Centers for Disease Control and Prevention (CDC) have publicly acknowledged that they do not have accurate data. As reported by the Associated Press, “The CDC itself has not estimated what percentage of hospitalizations and deaths are in fully vaccinated people, citing limitations in the data.” At the same time, data collection is done on a state by state basis. In most states, a person is only considered fully vaccinated fourteen days after they have had the full series of the vaccine. This means that anyone coming into an American hospital who has only had one dose, or who has had both vaccines but had the second one less than two weeks prior, will likely be counted as “unvaccinated.”

So when the South Carolina’s Department of Health and Environmental Control released a report about COVID severity on July 23, 2021, they reported higher morbidity and mortality rates in the “not fully vaccinated.” Are these people who have had one vaccine and gotten sick, two vaccines and gotten sick, or no vaccines at all? Without more details, it is impossible to know what is really going on. “We don’t have accurate numbers,” insists Dr. James Neuenschwander, an expert on vaccine safety based in Ann Arbor, Michigan. But what we do know, Neuenschwander says, is that the vaccines are not as effective as public health officials told us they would be. “This is a product that’s not doing what it’s supposed to do. It’s supposed to stop transmission of this virus and it’s not doing that.”

“…breakthrough cases are now multiplying at breakneck speed. “There are so many breakthrough infections that they dominate..”

• 60% of Those Older Than 50 Who Die From Covid Are Double Vaxxed (Mercola)

The oft-repeated refrain right now is that we’re in a “pandemic of the unvaccinated,” meaning those who have not received the COVID jab make up the bulk of those hospitalized and dying from the Delta variant. For example, August 20, 2021, England’s chief medical officer professor Chris Whitty tweeted: “Four weeks working on a COVID ward makes stark the reality that the majority of our hospitalized COVID patients are unvaccinated and regret delaying. Some are very sick including young adults. Please don’t delay your vaccine.” Curiously, if you take the time to actually look at the data, you’ll find that this blanket statement is rather deceptive. Here’s a graphic published in the Evening Standard, sourced from Public Health England:

As you can see, as of August 15, 2021, 58% of COVID patients admitted to hospital who were over the age of 50 had actually received two doses of COVID injections and 10% had received one dose. So, partially or fully “vaccinated” individuals made up 68% of hospitalizations. Only in the 50 and younger category were a majority, 74%, of hospitalizations among the unvaccinated. Whitty, however, completely neglected to differentiate between the age groups. The same applies to deaths. Unvaccinated only make up the majority of COVID deaths in the under-50 age group. In the over-50 group, the clear majority, 70%, are either partially or fully “vaccinated.” It’s also unclear whether hospitals in the U.K. (and elsewhere) are still designating anyone who is admitted and tests positive with a PCR test as a “COVID patient.” If so, people with broken bones or any number of other health problems who have no symptoms of COVID-19 at all might be unfairly lumped into the “unvaccinated COVID patient” total.

In Israel, where vaccine uptake has been very high due to restrictions on freedom for those who don’t comply,4 data show those who have received the COVID jab are 6.72 times more likely to get infected than people with natural immunity. The fully “vaccinated” also made up the bulk of serious cases and COVID-related deaths in July 2021, as illustrated in the graphs below.8 The red is unvaccinated, yellow refers to partially “vaccinated” and green fully “vaccinated” with two doses. By mid-August, 59% of serious cases were among those who had received two COVID injections,9 mirroring the data coming out of the U.K.

In an August 16, 2021, Science article,10 Israeli Minister of Health Nitzan Horowitz is quoted saying the nation has entered a “critical time” in the race against the pandemic. Horowitz allegedly was given a third booster shot August 13, 2021, the day they began offering a third dose to people over the age of 50. From Public Health England’s data, it seems clear that the COVID shots are failing to protect people over the age of 50 in the U.K. as well, so it’s probably only a matter of time before booster shots are rolled out there too. And, provided the COVID injections are the same irrespective of country, there’s every reason to assume the same trends will emerge in other countries, including the U.S.

According to Science magazine, breakthrough cases are now multiplying at breakneck speed. “There are so many breakthrough infections that they dominate and most of the hospitalized patients are actually vaccinated,” Uri Shalit, a bioinformatician at the Israel Institute of Technology told Science. Nearly 1 million Israelis over the age of 50 have now received a third booster of Pfizer’s mRNA shot. Time will tell whether this will worsen the rate of breakthrough cases or tame it. Dvir Aran, a biomedical data scientist at the Israel Institute of Technology doesn’t seem very hopeful, telling Science the surge is already so steep, “even if you get two-thirds of those 60-plus [boosted], it’s just gonna give us another week, maybe two weeks until our hospitals are flooded” again.

“Existing drugs could have relegated COVID to a manageable outpatient disease by the first half of 2021.”

• ‘Get Sicker’: Anatomy Of A Failed Policy (Pfeiffer)

Throughout COVID, the media has stepped into line like good soldiers in a war on disease, failing, in the process, to do its job. It gave government a pass on the dearth of outpatient care. It fostered the fiction that aggressively treating COVID is a right-wing construct. It dismissed vaccine side effects as rare. It enabled vast censorship. News outlets might be excused for initially minimizing falling vaccine efficacy in this dynamic situation. But it cannot be excused for its politicization of and disdain for generic early treatments. As a mainstream community journalist for decades, with two books and many awards, I am appalled at what this profession has become.

Existing drugs could have relegated COVID to a manageable outpatient disease by the first half of 2021. We have promising generics: ivermectin primarily but also fluvoxamine, hydroxychloroquine, budesonide and protocols that employ them with zinc, Vitamin D and the like. They have been suppressed around the globe, as countries – mainly, but not all, in the first world — have caved under pressure to conform to the U.S.-hatched strategy. In the white-hot frenzy of pack journalism, doctors’ licenses have been threatened, and reputations imperiled, including of a prison doctor who used ivermectin and kept inmates out of hospitals. Will nursing home practitioners, who told me of their own ivermectin success, be next in this witch hunt? Indeed, somehad used it to control scabies and found a remarkable drop in COVID.

As the globe is buttressed by new variants, vaccine efficacy is being tested and so is that of ivermectin. Leading proponents are adjusting doses and adding to treatment cocktails as part of a logical ongoing effort: Use emerging science and clinical experience to learn what works. Although off-label use of approved drugs is well established — accounting for 21 percent of office prescriptions and half of oncology drugs – doctors have instead been told to follow only a few, patented, government-sanctioned treatments, available only in hospitals. Who could blame them, in this heated environment, for not practicing medicine but following orders? Nonetheless, the forces of commerce and incompetence that have pushed a false narrative and demonized treatment for COVID must be held to account.

“The fifth jab would put the risk of getting screwed at ten percent, which is approximately the rate of death from the original SARS and the sixth would be odds-on as literal suicide.”

• There’s An Off Ramp – But It Has A Price (Denninger)

[..] all of the current vaccines deliberately produce that spike protein, which by itself causes disease, specifically clotting-related disease, in your body. Deliberately causing your body to produce that pathogen (which then elicits the antibody response) is how all of them work. This means there is no safe way to vaccinate against this disease because introducing the spike into your body, no matter how you do it, inherently runs the risk of serious clotting-based disorders. You might or might not get nailed but there is no avoiding the risk. That same risk is what kills you, most of the time, if you actually get Covid-19 and die but the premise that you avoid that risk when taking a jab is a lie.

You cannot; the risk is inherent in introducing the spike into your circulation and there is no way around that with an IM injection because the muscles of the body are very well-perfused (that is, there’s a lot of blood flow in them) even if the person who performs the injection does not hit a blood vessel, and they might. These facts are not up for debate on a scientific basis any longer. They also fully explain the myocarditis, pericarditis and myriad other so-called “rare” events that occur with these jabs such as strokes, heart attacks and other clotting-based disorders. In addition the data is that the 2nd shot in the 2-shot series is much more dangerous than the first, which implies an exponential expansion of risk. Whether that expansion of risk bleeds back off over a couple of months or so is entirely unknown as it has not been studied.

Without a data set of hundreds of thousands (so as to get statistical significance) and both baseline and follow-up d-Dimer testing, at minimum, we will never be able to put numbers on this, nor get a decay rate on the risk if it decays, and nobody is doing those studies. That’s the bad news; if you take repeated shots and the risk does not bleed off then eventually you will kill yourself. If, for example, the risk on the first shot is 1/100,000 (extremely rare), on the second 1/10,000 (that’s a bad pattern) and the risk does not bleed off over the space of three or four months then the risk from the third is 1/1,000 (that’s 0.1% and quite nasty) while the risk from a fourth jab rises to 1% at which point you’re in the ballpark for a severely morbid person when it comes to Covid-19 infection itself killing them.

The fifth jab would put the risk of getting screwed at ten percent, which is approximately the rate of death from the original SARS and the sixth would be odds-on as literal suicide. How many jabs did you say you’re willing to risk taking again? You cannot get your health back if you ruin it by being stupid. The younger you are the worse the risk is in terms of years of enjoyable life lost. To take that sort of risk when you’re 85, fat, diabetic, you have an almost-10% risk of death in the next year from all causes and the Coof is 10% likely to kill you is very different than to take that same risk to your health when you’re 17, male, have a BMI under 25, there’s not a damn thing wrong with you medically, your all-cause risk of death (most of it by violence) is 7/10,000 and your risk, by the CDC’s numbers, of Covid-19 killing you if infected is approximately 1/100,000.

Never was one.

• The Case For Covid Vaccine Passports Was Just Demolished (Fee)

A newly published medical study found that infection from COVID-19 confers considerably longer-lasting and stronger protection against the Delta variant of the virus than vaccines. “The natural immune protection that develops after a SARS-CoV-2 infection offers considerably more of a shield against the Delta variant of the pandemic coronavirus than two doses of the Pfizer-BioNTech vaccine, according to a large Israeli study that some scientists wish came with a ‘Don’t try this at home’ label,” the Scientific American reported Thursday. “The newly released data show people who once had a SARS-CoV-2 infection were much less likely than vaccinated people to get Delta, develop symptoms from it, or become hospitalized with serious COVID-19.” Put another way, vaccinated individuals were 27 times more likely to get a symptomatic COVID infection than those with natural immunity from COVID.

The findings come as many governments around the world are demanding citizens acquire “vaccine passports” to travel. New York City, France, and the Canadian provinces of Quebec and British Columbia are among those who have recently embraced vaccine passports. Meanwhile, Australia has floated the idea of making higher vaccination rates a condition of lifting its lockdown in jurisdictions, while President Joe Biden is considering making interstate travel unlawful for people who have not been vaccinated for COVID-19. Vaccine passports are morally dubious for many reasons, not the least of which is that freedom of movement is a basic human right. However, vaccine passports become even more senseless in light of the new findings out of Israel and revelations from the CDC, some say.

Harvard Medical School professor Martin Kulldorff said research showing that natural immunity offers exponentially more protection than vaccines means vaccine passports are both unscientific and discriminatory, since they disproportionately affect working class individuals. “Prior COVID disease (many working class) provides better immunity than vaccines (many professionals), so vaccine mandates are not only scientific nonsense, they are also discriminatory and unethical,” Kulldorff, a biostatistician and epidemiologist, observed on Twitter.

Very odd moment: boosters.

• Key Vaccine Leaders Departing FDA As Covid-19 Booster Questions Linger (FPhar)

Two key vaccine leaders will leave the FDA this fall, just as the agency faces key decisions over COVID-19 booster shots and as variants take a bite out of the shots’ efficacy. FDA Office of Vaccines Research and Review Director Marion Gruber, Ph.D. and Deputy Director Phillip Krause, M.D. will depart the agency. Both have been with the agency for decades and have been pivotal in the United States’ effort to authorize COVID-19 vaccines to fight the pandemic. The news was first reported by Biocentury. Gruber will leave the agency on Oct. 31 and Krause’s last day will be sometime in November, according to a letter shared by the FDA with Fierce Pharma. The letter was signed by Peter Marks, M.D., Ph.D., director of the Center for Biologics Evaluation and Research, under which the vaccine research office sits.

Marks will serve as acting director of the OVRR for now as a search begins for a new chief. An acting director will be announced later. “[Gruber’s] contributions throughout her career have been immeasurable, but never more so than during the COVID-19 pandemic,” Marks said. “Her leadership in the center’s efforts to authorize three COVID-19 vaccines, and more recently to approve one of those vaccines, ensured that the vaccines met the high standards the public has come to expect from FDA, and has positively impacted the public health in the U.S. and across the globe.” [..] For his part, Krause was responsible for liaising with public health officials around the world to “address critical vaccine-related issues,” according to Marks. “His keen insight and experience in addressing a wide variety of challenges will truly be missed,” the letter said.

The departures are the latest high-profile officials to leave the key federal agency that still lacks a permanent leader. Janet Woodcock is leading the agency on an acting basis and will not be considered for the commissioner job permanently. Nevertheless, the FDA expressed confidence that the vaccine work would go on. “We are confident in the expertise and ability of our staff to continue our critical public health work, including evaluating COVID-19 vaccines,” an FDA spokesperson said. Gruber and Krause are leaving the agency following criticism of the White House’s decision to leap frog over the agency to recommend COVID-19 booster shots. The move to start boosters next month has been blasted by the World Health Organization, which questions the data to support the need for a third shot—especially as poorer nations continue to struggle with getting first shots to people.

Note: in the top article, WebMD is cited as saying in the US, up to 40% of health care workers have chosen not to get the vaccine. But Greece claims “more than 90% of the doctors and 80% of the nurses had been vaccinated”.

• Greek Health Ministry Bracing For ‘Great Exodus’ (K.)

With the deadline for the mandatory vaccination of health workers expiring on Wednesday, the Heath Ministry is preparing for an imminent “great exodus” of staff due to the suspensions that will ensue with a wide array of preemptive measures to fill the gaps and to ensure that services are fully operational. These measures include a reshuffle of healthcare workers within hospitals, mergers of clinics and departments, the replacement of those suspended with auxiliary staff and partnerships with the private sector for support services such as catering, care etc. Wednesday is the last day for staff to get at least the first dose of vaccine against Covid-19 so as to avoid suspension as of tomorrow. The government has insisted the relevant legislation for mandatory vaccinations will be strictly implemented.

Those who are exempt from the precepts of the legislation are obviously those that have already been vaccinated and workers who have been infected with the coronavirus within the last six months. Those who do not fall into these categories and have not received approval for exemption due to health issues by the competent committees will be suspended. Moreover, as clarified by the former deputy minister of health, Vassilis Kontozamanis, based on the payroll system in the public sector, which provides advance payment of earnings every two weeks, the government will request that they return this amount of salary as unduly paid. Speaking on the radio station 9.84 on Tuesday, Secretary General of Health Services Yiannis Kotsiopoulos estimated that about 10,000 health workers will not continue working in the National Health System. According to the most recent data, more than 90% of the doctors and 80% of the nurses had been vaccinated against Covid-19, while the percentages are lower for the rest of the staff.

The Guardian campaign vs ivermectin. Check the picture they use.

• Pharmacy Customers Refuse To Say What Ivermectin Prescription Is For (G.)

Australian pharmacists have reported an increasing number of people arriving with prescriptions for the drug ivermectin, but refusing to say what it will be used for. The Pharmaceutical Society of Australia said its members were encountering resistance from some customers when asked why they were seeking ivermectin. “PSA is aware that some pharmacists have experienced an increase in presentations of prescriptions for ivermectin, including where the patient is unwilling or unable to discuss what they are being used for,” a PSA spokesperson said. The Therapeutic Goods Administration on Monday said there had been a shortage of Stromectol 3mg ivermectin tablets in August.

The drug is typically used in humans for treating river blindness, scabies and roundworm infections, but has increasingly been sought as a treatment for Covid-19, despite not being approved for that use in Australia. The TGA also noted there had been a tenfold increase in detections of the drug being imported into Australia, prompting the regulator to warn against using the drug for Covid-19 treatment, stating there is “insufficient evidence” that it works and it may be dangerous to health. The university behind the initial lab trial for ivermectin used to treat Covid-19 has also warned against people self-medicating with the drug or buying drugs meant for livestock. Much of the initial focus on the drug as a Covid-19 treatment stemmed from an April 2020 lab trial at Monash University in Melbourne, where ivermectin was found to have killed the Covid-19 virus in a cell culture within 48 hours.

“New Zealand is fully trapped in the Zero COVID death spiral, and it has no way out of it for the foreseeable future.”

• Zero Covid, A Once Wildly Popular Ideology, Quietly Faces Extinction (Subs)

The Zero COVID ideology began with a Chinese government lie. Zero COVID once recruited almost unanimous advocates in world governments, “global health” organizations, and “public health experts” far and wide. Yet today, just 18 months after its first implementation, the Zero COVID ideology is so rare and so unpopular that you have to travel to remote parts of Oceania or within the confines of an elite American liberal arts university in order to find it. Zero COVID, the idea that demands the total elimination of a virus from a nation state, was spawned as part of a disinformation operation by the Chinese Communist Party in Wuhan, China. In early 2020, Chinese authorities declared the virus that causes COVID-19 had been successfully eliminated from the population through brute force restrictions such as lockdowns, masks, and using the power of a Police State to force people to stay inside their homes for an indefinite period of time.

When COVID-19 spread far and wide, almost every nation in the world (other than rare holdouts such as Sweden and Belarus) implemented the aforementioned draconian policies in an attempt to “stop the spread” and eliminate the virus from the world. In the beginning, even questioning these baseless, pseudoscientific ideas was tantamount to being something of a bioterrorist. Through much of 2020, yours truly was constantly castigated by actors across the political spectrum for asking about the wisdom of using the power of government to wage an elimination war against a submicroscopic infectious particle. Zero COVID was science. Zero COVID was truth. Zero COVID superseded every constitutional protection out there, because no right was too important when a virus was out there.

In 2020, COVID Zero’s membership roster was probably in the billions. Now, the adherents of the COVID Zero ideology are facing imminent extinction. The 18 month effort to contain COVID-19 was not only unsuccessful, it brought unprecedented economic and societal disaster in addition to the unconstrained virus problem. Today, few, if any governments have fully owned up to their failures. Most have taken the scapegoat approach, and without evidence, have blamed “the unvaccinated,” the “highly contagious” Delta variant, or some combination of the two to justify their catastrophic blunders. Over the past few months, the remains of the Zero COVID damn broke in the few nation state holdouts where rulers still adhered to the Zero COVID ideology.

In Australia, Vietnam, South Korea, Singapore, and elsewhere around the world, the lid on the pressure cooker came flying off, and local populations saw skyrocketing COVID numbers. Now, every country in the world but one has quietly, through their own policies, accepted the failure of the “global elites’” Zero COVID virus elimination strategy. Read some of the media stories that lauded Zero COVID “success story” nations, and you’ll find that they’ve come to age like months-old milk. New Zealand, the one Zero COVID country that remains, is currently under another hard lockdown, which has recently been extended until at least mid September. The country is now almost 2 years into its self siege, in which the government has decreed that the vast majority of citizens cannot enter or exit the country. As for a reopening timeline, Auckland no longer has one. New Zealand is fully trapped in the Zero COVID death spiral, and it has no way out of it for the foreseeable future.

Bit late.

• Singapore Gives Up Goal of Zero Covid Despite High Vaccination Rate (Gizmodo)

Singapore has decided to give up on the dream of covid-zero and will instead learn to “live with the virus,” according to the country’s Prime Minister, Lee Hsien Loong on Sunday. The decision comes despite the fact that Singapore has one of the highest covid-19 vaccination rates in the world, with 80% of the adult population fully vaccinated—second only to the country of Malta’s 82%. Singapore, a country of roughly 5.7 million people, has been among a handful of countries that have pursued a strategy of completely eliminating covid-19, rather than just suppressing the virus. Other covid-zero countries over the past year have included New Zealand, Taiwan, China, Vietnam, and Australia.

“It is no longer possible to bring covid-19 cases down to zero, even if we lock down for a long time. Therefore, we must prepare for covid-19 to become endemic, like the flu or chicken pox,” Lee said on Sunday during a speech to commemorate the country’s National Day, according to a transcript from the Strait Times. “Fortunately, with vaccination and added precautions, we can live with the virus and become ‘Covid resilient’,” Lee continued. Singapore has done exceptionally well during our global health crisis, reporting roughly 67,000 cases of covid-19 since the start of the pandemic, and just 55 deaths. And Singapore was reporting fewer than 30 cases per day for much of 2021 until a surge of cases in July that saw the country averaging 150 cases per day.

But Loong promises his government isn’t giving up on suppressing the virus, they’re just abandoning the covid-zero model. “We may have to tap on the brakes from time to time, but we want to avoid having to slam on the brakes hard. So in the next phase, we will move step by step. Not in one big bang like in some countries but cautiously and progressively, feeling our way forward,” Lee said. That “big bang” is likely a veiled reference to countries like the UK, which celebrated a “freedom day” in July where all covid-19 restrictions were lifted, only to see a surge in cases and deaths. Case numbers in the UK have started to plateau again, thanks largely to the vast majority of people in the region having covid-19 antibodies either through vaccination or previous infection, but cases are still very high at roughly 25,000 per day. The U.S. has also seen a surge of infections recently, with a seven-day average of about 157,000 new cases each day.

“It is hard to overstate how dispositively Rhodes’ own book proves that Obama officials generally, and Rhodes specifically, lied blatantly and cavalierly to the public about what happened..”

• Obama Officials’ Lies About Edward Snowden and Russia (Greenwald)

Ever since Edward Snowden received asylum from Russia in 2013, Obama officials have repeatedly maligned his motives and patriotism by citing his “choice” to take up residence there. It has long been clear that this narrative was a lie: Snowden, after meeting with journalists in Hong Kong, intended only to transit through Moscow and then Havana on his way to seek asylum in Latin America. He was purposely prevented from leaving Russia — trapped in the Moscow airport — by the very Obama officials who then cynically weaponized his presence there to imply he was a civil-liberties hypocrite for “choosing” to live in such a repressive country or, even worse, a Kremlin agent or Russian spy.

But now we have absolute, definitive proof that Snowden never intended to stay in Russia but was deliberately prevented from leaving by the same Obama officials who exploited the predicament which they created. The proof was supplied unintentionally in the memoir of one of Obama’s senior national security advisers, Ben Rhodes, entitled The World as It Is: A Memoir of the Obama White House. It is hard to overstate how dispositively Rhodes’ own book proves that Obama officials generally, and Rhodes specifically, lied blatantly and cavalierly to the public about what happened: a level of sustained and conscious lying that can be explained only by sociopathy.

The memoir of Rhodes, now appropriately an MSNBC contributor, is an incredibly self-serving homage to himself that repeatedly attempts to demonstrate his own importance and accomplishments. The passage about Rhodes’ conduct regarding Snowden is very much aligned with those goals. While repeatedly emphasizing how traumatic the Snowden revelations were for the Obama administrations, Rhodes boasts of the crucial role he played in preventing Snowden from leaving Russia as the NSA whistleblower was desperately attempting to do so — exactly the opposite of what people like Rhodes and Hillary Clinton were telling the public about Snowden.

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Debt Rattle May 4 2018

May 042018

May 4, 2018 Posted by Raúl Ilargi Meijer at 8:32 am Finance Tagged with: Ardern, crime, exodus, Fed, homeless, inequality, Mueller, propaganda, QT, Russia, soybeans, Tesla, think tanks, Trump, zombie 6 Responses »

Herri met de Bles c1510-after 1555 Saint Jerome medidating

• Fed’s QE Unwind Accelerates Sharply (WS)

• The Root of It All (Batnick)

• Tesla Is A Zombie Company (F.)

• With No Letup In Home Prices, The California Exodus Surges (MW)

• Demand For US Soybeans Remains Strong Despite China (CNBC)

• US Charges VW Ex-CEO With Conspiracy And Fraud (G.)

• Mueller’s Questions for Trump Show Folly of Special-Counsel Appointments (NR)

• Why We Need To Be Propagandized For Our Own Good (CJ)

• Neocons Form Brand New Russia-Bashing ‘Think’ Tank (RI)

• UK Pushes To Strengthen Anti-Russia Alliance (G.)

• Nobel Prize For Literature Postponed Amid Swedish Academy Turmoil (BBC)

• Jacinda Ardern Pledges Shelter For All Homeless People Within Four Weeks (G.)

As most voices seem convinced QT would be madness.

• Fed’s QE Unwind Accelerates Sharply (WS)

The QE Unwind is ramping up toward cruising speed. The Fed’s balance sheet for the week ending May 2, released this afternoon, shows a total drop of $104 billion since the beginning of the QE Unwind in October – to the lowest level since June 11, 2014. During the years and iterations of QE, the Fed acquired $3.4 trillion in Treasury securities and mortgage-backed securities. The mortgages underlying those MBS are guaranteed by Fannie Mae, Freddie Mac, and Ginnie Mae. The “balance sheet normalization,” as the Fed calls it, was nudged into motion last October. But the pace accelerates every quarter until it reaches up to $50 billion a month in Q4 this year.

This would trim the balance sheet by up to $420 billion this year, and by up to $600 billion in 2019 and every year going forward, until the Fed considers the balance sheet to be adequately “normalized” — or until something big breaks, whichever comes first. [..] The balance of Treasury securities fell by $17.6 billion in April. This is up 60% from March, when $11 billion “rolled off.” Since the beginning of the QE-Unwind, $70 billion in Treasuries “rolled off.” Now at $2,395 billion, the balance of Treasuries has hit the lowest level since June 18, 2014.

[..] Residential MBS are different from regular bonds. Holders receive principal payments on a regular basis as the underlying mortgages are paid down or are paid off. At maturity, the remaining principal is paid off. Over the years, to keep the MBS balance from declining, the New York Fed’s Open Market Operations (OMO) has been continually buying MBS. But settlement of those trades occurs two to three months later. The Fed books the trades on an as-settled basis. The time lag between the trade and settlement causes the large weekly fluctuations on the Fed’s balance sheet. And it also delays when MBS that “rolled off” actually disappear from the balance sheet.

[..] Total assets on the Fed’s balance sheet dropped by $30 billion in April, and by $104 billion since the beginning of the QE-Unwind, to $4,356 billion. This is the lowest since June 11, 2014. Note that total assets are now down by $160 billion from the peak in January 2015:

“The poor stay poor, the rich get rich. That’s how it goes. Everybody knows.”

• The Root of It All (Batnick)

Steven Pinker wrote, “In almost every year from 1992 through 2015, an era in which the rate of violent crime plummeted, a majority of Americans told pollsters that crime was rising. In late 2015, large majorities in eleven developed countries said that “the world is getting worse.” But crime isn’t rising, and the world is objectively getting better. And while life is improving at the macro level, at the micro level, people aren’t feeling so great. So what gives? We tend to expect the worst as a way to insulate ourselves from disappointment. Life is not about good or bad, it’s about better or worse, so if things don’t turn out as bad as we imagine, we’re pleasantly surprised. If you were asked to think about how your life could improve, a few things might come to mind.

But imagine how your life could get worse, and a barrage of negative possibilities fills your brain. The risk and reward of every day life is asymmetrical. This is why being a pessimist feels safe and being an optimist feels reckless. [..] While the news certainly isn’t doing anyone any favors, there are legitimate reasons why people don’t feel like things are getting better. For too many, they aren’t. The chart below shows the change in real income since 1980. This chart is the root of all the negative things facing our society. People in the top 20% saw their income increase by 60%. People in the bottom 20% saw their income rise by just 5% over the same time. As Leonard Cohen said, “The poor stay poor, the rich get rich. That’s how it goes. Everybody knows.”

Real income increased 38% from 1980-2016, or just 0.87% per year, and 70% of that increase went to people in the top 20%. Things are better, especially around the world, but in our country, way too many people are getting left behind. Extreme poverty is collapsing, but relative poverty is exploding, and everything in life is relative. If things don’t feel better than they were two hundred years ago, it’s because people compare themselves to their neighbors, not to their ancestors.

As simple as that.

• Tesla Is A Zombie Company (F.)

Tesla’s quarter was terrible from a financial perspective, as I had expected. The controlling figure I use, operating cash flow (operating loss plus depreciation minus capital expenditures,) was reported as -$836 million in the quarter, which very nearly approximates one quarter of 2017’s full year cash outflow of $3.4 billion. Things are not improving at Tesla from a financial perspective, and the second quarter is likely to be just as bad as the first. For the third consecutive quarter, Tesla posted negative EBITDA (-$180 million) and if this were any other company, there would be an active death watch on the Street. Tesla’s bonds have dropped sharply in today’s trading, now quoted at 87 cents on the dollar.

This is not surprising given that Tesla is not even remotely close to earning enough profit to cover its interest expense, which management estimated would be $160 million in the second quarter. Tesla added $346 million to its now $10 billion debt pile in the quarter, and the management’s weasel-worded projection of “positive net income excluding non-cash stock based compensation in Q3 and Q4” would still leave Tesla short of covering its debt service costs, by my calculations. So, from a financial perspective, Tesla is a zombie company. There is simply no justification for Tesla’s current market capitalization of $47.2 billion, and the market eventually figures these things out. It’s actually been a slow burn for Tesla shares, not a plummet, but that can be just as painful.

On September 12, 2014, Teslashares closed at $279.20 and the Nasdaq Composite closed at 4567.60. As of this writing, Tesla is trading at $279.04 and the Nasdaq is trading at 7011.00. So that’s where the value destruction Musk has wrought is evident. His shares are down slightly in a period in which his peer companies have collectively risen 53.5%.

Housing bubbles break communities.

• With No Letup In Home Prices, The California Exodus Surges (MW)

Over a million more people moved out of California from 2006 to 2016 than moved in, according to a new report, due mainly to the high cost of housing that hits lower-income people the hardest. “A strong economy can also be dysfunctional,” noted the report, a project of Next 10 and Beacon Economics. Housing costs are much higher in California than in other states, yet wages for workers in the lower income brackets aren’t. And the state attracts more highly-educated high-earners who can afford pricey homes. There are many reasons for the housing crunch, but the lack of new construction may be the most significant.

According to the report, from 2008 to 2017, an average of 24.7 new housing permits were filed for every 100 new residents in California. That’s well below the national average of 43.1 permits per 100 people. If this trend persists, the researchers argued, analysts forecast the state will be about 3 million homes short by 2025. California homeowners spend an average of 21.9% of their income on housing costs, the 49th worst in the nation, while renters spend 32.8%, the 48th worst. The median rent statewide in 2016 was $1,375, which is 40.2% higher than the national average. And the median home price was — wait for it — more than double that of the national average.

Globally, supple has a hard time keeping up with demand. Everybody involved knows this.

• Demand For US Soybeans Remains Strong Despite China (CNBC)

Demand for U.S. soybeans remains strong, regardless of worries China could target the crop in retaliation over Trump administration tariffs. China has canceled several shipments of U.S. soybeans in the last month, raising questions over whether the country is taking preemptive action against the U.S. by reducing purchases. But analysts say the reduction is a minor amount and is not that surprising from a seasonal perspective. The “U.S. accounts for 37 percent of total soybean exports throughout the world. Beyond Brazil, there’s really nobody else,” said Rich Nelson, director of research at Allendale, an agricultural market research and trading firm. “Despite the trade concerns, there’s really nobody else. You’re just simply not going to have a massive decline in U.S. soybean exports,” he said.

Chinese cancellations of U.S. soybean orders for the week ended April 26 resulted in a decline of 133,700 metric tons in net sales to China, USDA Foreign Agricultural Service data showed Thursday. But 66,000 metric tons of those soybeans were sent to Vietnam instead, the data showed. Meanwhile, the U.S. sold 82,700 metric tons of soybeans in new sales to Mexico, 68,800 to Taiwan, 60,000 to Argentina and 52,600 to the Netherlands. Although Argentina is the third-largest exporter of soybeans, a severe drought has reduced production by 7 million tons to 40 million, according to USDA estimates. “That just goes to show we’re not dependent on China for soybean exports,” said Michael Stumo, head of Coalition for a Prosperous America, a nonprofit representing the interests of those in manufacturing, agriculture and labor unions.

Germany doesn’t extradite its citizens.

• US Charges VW Ex-CEO With Conspiracy And Fraud (G.)

US authorities have charged Volkswagen’s former chief executive officer Martin Winterkorn with conspiracy and wire fraud in relation to the car company’s efforts to cheat on US diesel emissions tests. Winterkorn, who resigned in 2015 as the scandal was revealed, conspired to defraud the US and violate the Clean Air Act, federal laws designed to control air pollution, according to an indictment unsealed on Thursday in a Michigan federal court. Five other VW executives were also charged in the indictment. He becomes the highest-ranking executive to be charged over “dieselgate” – a scheme where VW used software to trick government emissions testers.

“The indictment unsealed today alleges that Volkswagen’s scheme to cheat its legal requirements went all the way to the top of the company,” said US attorney general Jeff Sessions. “These are serious allegations and we’ll prosecute this case to the full extent of the law.” When news of the scheme broke Winterkorn said he was “stunned that misconduct on such a scale was possible in the Volkswagen Group”. He denied any knowledge of the scandal – which was used to evade pollution limits on nearly 600,000 diesel vehicles. Last December, Oliver Schmidt, a senior Volkswagen executive, was jailed for seven years and fined $400,000 for his part in the scheme. Schmidt, who had returned to Germany, was arrested while on holiday in Florida. VW pleaded guilty as a corporation in March, agreeing to pay a record $4.3bn in fines.

“If Bob Mueller wants that kind of control over the executive branch, he should run for president. Otherwise, he is an inferior executive official who has been given a limited license — ultimately, by the chief executive — to investigate crime. If he doesn’t have an obvious crime, he has no business inventing one, much less probing his superior’s judgment. He should stand down.”

• Mueller’s Questions for Trump Show Folly of Special-Counsel Appointments (NR)

I am assuming the authenticity of the questions that Special Counsel Robert Mueller reportedly wants to ask President Trump. The questions indicate that, after a year of his own investigation and two years of FBI investigation, the prosecutor lacks evidence of a crime. Yet he seeks to probe the chief executive’s motives and thought processes regarding exercises of presidential power that were lawful, regardless of one’s view of their wisdom. If Bob Mueller wants that kind of control over the executive branch, he should run for president. Otherwise, he is an inferior executive official who has been given a limited license — ultimately, by the chief executive — to investigate crime. If he doesn’t have an obvious crime, he has no business inventing one, much less probing his superior’s judgment. He should stand down.

The questions, reported by the New York Times, underscore that the special counsel is a pernicious institution. Trump should decline the interview. More to the point, the Justice Department should not permit Mueller to seek to interrogate the president on so paltry and presumptuous a showing.

When should a president be subject to criminal investigation? It is a bedrock principle that no one is above the law. The Framers made clear that this includes the president. But, like everything else, bedrock principles do not exist in a vacuum. They vie with other principles. Two competing considerations are especially significant here. First, our law-enforcement system is based on prosecutorial discretion. Under this principle, the desirability of prosecuting even a palpable violation of law must be balanced against other societal needs and desires. We trust prosecutors to perform this cost-benefit analysis with modesty about their mission and sensitivity to the disruption their investigations cause.

Second, the president is the most essential official in the world’s most consequential government. That government’s effectiveness is necessarily compromised if the president is under the cloud of an investigation. Not only are the president’s personal credibility and capability diminished; such an investigation discourages talented people from serving in an administration, further undermining good governance. The country is inexorably harmed because a suspect administration’s capacity to execute the laws and pursue the interests of the United States is undermined.

Caitlin Johnstone on the Atlantic Council.

• Why We Need To Be Propagandized For Our Own Good (CJ)

I sometimes try to get establishment loyalists to explain to me exactly why we’re all meant to be terrified of this “Russian propaganda” thing they keep carrying on about. What is the threat, specifically? That it makes the public less willing to go to war with Russia and its allies? That it makes us less trusting of lying, torturing, coup-staging intelligence agencies? Does accidentally catching a glimpse of that green RT logo turn you to stone like Medusa, or melt your face like in Raiders of the Lost Ark? “Well, it makes us lose trust in our institutions,” is the most common reply. Okay. So? Where’s the threat there? We know for a fact that we’ve been lied to by those institutions. Iraq isn’t just something we imagined. We should be skeptical of claims made by western governments, intelligence agencies and mass media. How specifically is that skepticism dangerous?

Trying to get answers to such questions from rank-and-file empire loyalists is like pulling teeth, and they are equally lacking in the mass media who are constantly sounding the alarm about Russian propaganda. All I see are stories about Russia funding environmentalists (the horror!), giving a voice to civil rights activists (oh noes!), and retweeting articles supportive of Jeremy Corbyn (think of the children!). At its very most dramatic, this horrifying, dangerous epidemic of Russian propaganda is telling westerners to be skeptical of what they’re being told about the Skripal poisoning and the alleged Douma gas attack, both of which do happen to have some very significant causes for skepticism.

When you try to get down to the brass tacks of the actual argument being made and demand specific details about the specific threats we’re meant to be worried about, there aren’t any to be found. Nobody’s been able to tell me what specifically is so dangerous about westerners being exposed to the Russian side of international debates, or of Russians giving a platform to one or both sides of an American domestic debate. Even if every single one of the allegations about Russian bots and disinformation are true (and they aren’t), where is the actual clear and present danger? No one can say. No one, that is, except the Atlantic Council.

The entire MSM can’t get the job done?!

• Neocons Form Brand New Russia-Bashing ‘Think’ Tank (RI)

A group of neocon heartthrobs have banded together with an eclectic array of Russiagaters to form a visionary organization committed to protecting Western democracy. You can also pre-order their book, according to their website. Chaired by pompous chess wizard turned Kremlinologist Garry Kasparov, the brand-new Renew Democracy Initiative (RDI) is the latest three-letter-initialism non-profit devoted to “the defense of democratic freedom and prosperity.” The trailblazing think tank has already sent shockwaves through Washington, DC and every European capital. Celebrated war cheerleader Max Boot, who serves on RDI’s board of directors, announced the creation of this highly original organization in a Washington Post op-ed.

Interestingly, the unveiling started with a laundry list of 10 other groups that are already “protesting Trump and championing democracy.” So why does the world need RDI, then? Because RDI is different – some might even say “special.” Unlike the dozens of other well-financed bastions of status-quo thinking, RDI aims to “unite both the center-left and center-right” by promoting “liberty, democracy and sanity in an age of discord.” And where will this much-needed sanity come from? From RDI’s all-star team of important intellectuals and free thinkers, of course – some of whom just happen to be really tight with the other 10 groups mentioned in Boot’s WaPo piece. Dear Mr. Boot: does fighting Putin with the Committee to Investigate Russia allow enough spare time to fight Putin with the Renew Democracy Initiative? Curious minds want to know.

It’s contagious.

• UK Pushes To Strengthen Anti-Russia Alliance (G.)

The UK will use a series of international summits this year to call for a comprehensive strategy to combat Russian disinformation and urge a rethink over traditional diplomatic dialogue with Moscow, following the Kremlin’s aggressive campaign of denials over the use of chemical weapons in the UK and Syria. British diplomats plan to use four major summits this year – the G7, the G20, Nato and the European Union – to try to deepen the alliance against Russia hastily built by the Foreign Office after the poisoning of the former Russian double agent Sergei Skripal in Salisbury in March. “The foreign secretary regards Russia’s response to Douma and Salisbury as a turning point and thinks there is international support to do more,” a Whitehall official said.

“The areas the UK are most likely to pursue are countering Russian disinformation and finding a mechanism to enforce accountability for the use of chemical weapons.” Former Foreign Office officials admit that an institutional reluctance to call out Russia once permeated British diplomatic thinking, but say that after the poisoning of Skripal and his daughter, Yulia, that attitude is evaporating. A cross-party alliance in parliament has developed which sees the question of Russian corruption no longer through the prism of finance, but instead as a security and foreign policy threat, requiring fresh sanctions even if this causes short-term economic damage to the UK.

[..] For some old hands in the Foreign Office with deep experience of Russia, however, demonising Russia is a disastrous strategy. Sir Anthony Brenton, the British ambassador to Russia between 2004 and 2008, insists a fruitful common agenda with Moscow on issues such as nuclear disarmament, Islamist terrorism and cyberwarfare is still possible. “What on earth was her majesty’s foreign secretary doing comparing the Russian World Cup with Hitler’s 1936 Olympics?” he asked. “If you are looking for a single statement really calculated to infuriate the Russians there it is, or indeed the defence secretary telling Russia to shut up. Elementary diplomacy goes a long way with the Russians and we need to get back to that.”

Still feels like a weird story.

• Nobel Prize For Literature Postponed Amid Swedish Academy Turmoil (BBC)

The organisation that decides the Nobel Prize for Literature has said it will not announce an award this year, after it was engulfed in a scandal over sexual assault allegations. The Swedish Academy has been in crisis over its handling of allegations against the husband of a member. She has since quit, as have the academy’s head and four other members. The academy says it will now announce the 2018 winner along with the 2019 winner next year.

The scandal is the biggest to hit the prize since it was first awarded in 1901. The academy said the decision had been made due to a lack of public confidence. Some academy members had argued that the prize should proceed to protect the tradition, but others said the institution was in no state to present the award. Apart from six years during the world wars, there has been only one year when the prize was not awarded. No worthy winner was found in 1935.

You go girl. The only right thing to do.

• Jacinda Ardern Pledges Shelter For All Homeless People Within Four Weeks (G.)

The New Zealand government has promised to get the country’s homeless population off the streets and into shelter in time for winter. In a joint announcement on Friday, housing minister Phil Twyford and prime minister Jacinda Ardern announced a NZ$100m emergency housing package to tackle the ballooning problem. An estimated 40,000 people live in cars, tents and garages amid a chronic housing shortage in the nation of 4.7 million people. “We’re pulling out all the stops to support people in need and urgently increase housing supply this winter,” said housing minister Phil Twyford. “Our government will make sure everyone is helped to find warm, dry housing this winter.”

With winter starting on 1 June in the southern hemisphere, less than four weeks away, the government has put out an urgent call for anyone with additional accommodation that may be suitable to house homeless people. Seasonal worker accommodation such as shearers quarters, private rental properties, motor camps and maraes (Maori meeting houses) would all be considered. New Zealand has the highest rates of homelessness in the OECD, with more than 40,000 people living on the streets, in emergency housing or in substandard conditions. Per capita New Zealand’s homeless population is almost twice as bad as Australia, which is placed third on the list. More than half of New Zealand’s homeless population live in Auckland but it is also growing in smaller cities such as Rotorua, Tauranga, Queenstown and Wellington.

Debt Rattle July 25 2017

Jul 252017

July 25, 2017 Posted by Raúl Ilargi Meijer at 8:34 am Finance Tagged with: Abe, austerity, bonds, complacency, crisis, deleveraging, exodus, pig, sanctions, Ukraine, Varoufakis Comments Off

Vincent van Gogh Sunflowers 1887

• The Next Financial Crisis Is Parked Out Front (G.)

• Bank of England Warns of ‘Spiral Of Complacency’ on Household Debt (G.)

• How Big Of A Deleveraging Are We Talking About? (Roberts)

• IMF: US Looks Weaker, Rest Of The World Picks Up Economic Slack (CNBC)

• Bloated London Property Prices Fuel Exodus (G.)

• The Foreclosure ‘Pig’ Moves Through The Housing-Crisis ‘Python’ (MW)

• Australian Housing Market At Risk Of Crash – UBS Research (CNBC)

• It’s Time To Rethink Monetary Policy (Rochon)

• Scandals Threaten Japanese Prime Minister Shinzo Abe’s Grip On Power (G.)

• Brussels To Act ‘Within Days’ If US Sanctions Hurt EU Trade With Russia (RT)

• EU Divided On How To Answer New US Sanctions Against Russia (R.)

• US ‘May Send Arms’ To Ukraine, Says New Envoy (BBC)

• Tsipras and Varoufakis Go Public With Spat (K.)

• Alexis Tsipras’s Mixed Messages Over Appointing Me As Finance Minister (YV)

• Greece Plans Return To Bond Market As Athens Sees End To Austerity (G.)

• Greek Spending Cuts Prettify Budget Data (K.)

Can’t let a headline like that go to waste. More on the topic in the 2nd article.

• The Next Financial Crisis Is Parked Out Front (G.)

Good morning – Warren Murray here with your Tuesday briefing. Britain’s rising level of personal debt has prompted a warning from the Bank of England about dire consequences for lenders and the economy. There are “classic signs” that the risks involved in car finance, credit cards and personal loans are being underestimated as financial institutions make hay while the sun shines, says Alex Brazier, the Bank’s director for financial stability. The economy defied expectations when it grew strongly in the six months after the EU referendum. But that was partly fuelled by consumers racking up their credit cards and loans, as lenders offered easier terms and longer interest-free deals. Much higher levels of borrowing compared with income are now being allowed, at a time when household incomes have only marginally risen.

As the anniversary of the global financial meltdown approaches, Brazier has suggested current low rates of default on personal credit may have again caused banks to become blinkered to the potential for disaster. Back in 2007, “banks – and their regulators – were blind to the basic fact that more debt meant greater risk of loss”. “Lenders have not entered, but they may be dicing with, the spiral of complacency. The spiral continues, and borrowers rack up more and more debt. “[In 2007] complacency gave way to crisis. Companies and households were unable to refinance their debts. The result was economic disaster.”

The BoE creates huge bubbles, and afterwards starts warning about them. Typical central bank behavior.

• Bank of England Warns of ‘Spiral Of Complacency’ on Household Debt (G.)

The Bank of England has told banks, credit card companies and car loan providers that they risk fresh action against reckless lending as it warned of a looming “spiral of complacency” about mounting consumer debt. In its toughest warning yet about the possibility of a rerun of the financial crisis that devastated the economy 10 years ago, Threadneedle Street admitted it was alarmed about the increase in the amount of money being borrowed on easy terms over the past year. “Household debt – like most things that are good in moderation – can be dangerous in excess”, Alex Brazier, the Bank director for financial stability, said in a speech in Liverpool. “Dangerous to borrowers, lenders and, most importantly from our perspective, everyone else in the economy.”

Brazier’s said there were “classic signs” of lenders thinking the risks were lower following a prolonged period of good economic performance and low losses on loans. The first signs of the Bank’s anxiety about consumer debt came from its governor, Mark Carney, a month ago, but Brazier’s comments marked a ratcheting up of Threadneedle Street’s rhetoric. “Lenders have been the lucky beneficiaries of the benign way the economy has evolved. In expanding the supply of credit, they may be placing undue weight on the recent performance of credit cards and loans in benign conditions,” Brazier said. The willingness of consumers to take on more debt to fund their spending helped the economy grow strongly in the six months after the EU referendum, a period when the Bank expected growth to fall sharply.

Over the past year, Brazier said, household incomes had grown by just 1.5% but outstanding car loans, credit card balances and personal loans had risen by 10%. He added that terms and conditions on credit cards and personal loans had become easier. The average advertised length of 0% credit card balance transfers had doubled to close to 30 months, while advertised interest rates on £10,000 personal loans had fallen from 8% to around 3.8%, even though official interest rates had barely changed.

More great work by Lance. if these graphs and numbers don’t scare you, look again.

• How Big Of A Deleveraging Are We Talking About? (Roberts)

Debt, if used for productive investments, can be a solution to stimulating economic growth in the short-term. However, in the U.S., debt has been squandered on increases in social welfare programs and debt service which has an effective negative return on investment. Therefore, the larger the balance of debt becomes, the more economically destructive it is by diverting an ever growing amount of dollars away from productive investments to service payments. The relevance of debt growth versus economic growth is all too evident as shown below. Since 1980, the overall increase in debt has surged to levels that currently usurp the entirety of economic growth. With economic growth rates now at the lowest levels on record, the growth in debt continues to divert more tax dollars away from productive investments into the service of debt and social welfare.

It now requires nearly $3.00 of debt to create $1 of economic growth.

In fact, the economic deficit has never been greater. For the 30-year period from 1952 to 1982, the economic surplus fostered a rising economic growth rate which averaged roughly 8% during that period. Today, with the economy growing at an average rate of just 2%, the economic deficit has never been greater.

But again, it isn’t just Federal debt that is the problem. It is all debt. As discussed last week, when it comes to households, which are responsible for roughly 2/3rds of economic growth through personal consumption expenditures, debt was used to sustain a standard of living well beyond what income and wage growth could support. This worked out as long as the ability to leverage indebtedness was an option. The problem is that eventually, the debt reaches a level where the level of debt service erodes the ability to consume at levels great enough to foster stronger economic growth. In reality, the economic growth of the U.S. has been declining rapidly over the past 35 years supported only by a massive push into deficit spending by households.

[..]The massive indulgence in debt, or a “credit induced boom”, has now begun to reach its inevitable conclusion. The debt driven expansion, which leads to artificially stimulated borrowing, seeks out diminishing investment opportunities. Ultimately these diminished investment opportunities lead to widespread malinvestments. Not surprisingly, we clearly saw it play out in “real-time” in 2005-2007 in everything from sub-prime mortgages to derivative instruments. Today, we see it again in mortgages, subprime auto loans, student loan debt and debt driven stock buybacks and acquisitions.

When credit creation can no longer be sustained the markets will begin to “clear” the excesses. It is only then, and must be allowed to happen, can resources be reallocated back towards more efficient uses. This is why all the efforts of Keynesian policies to stimulate growth in the economy have ultimately failed. Those fiscal and monetary policies, from TARP and QE to tax cuts, only delay the clearing process. Ultimately, that delay only potentially worsens the inevitable clearing process. That clearing process is going to be very substantial. With the economy currently requiring roughly $3 of debt to create $1 of real, inflation-adjusted, economic growth, a reversion to a structurally manageable level of debt would involve a nearly $35 Trillion reduction of total credit market debt from current levels.

Difference: BOJ and ECB still buy trilions in ‘assets’.

• IMF: US Looks Weaker, Rest Of The World Picks Up Economic Slack (CNBC)

Despite cutting the economic growth outlook for the U.S. and U.K., the IMF kept its global growth forecast unchanged on expectations the euro zone and Japanese growth would accelerate. In the July update of its World Economic Outlook, the IMF forecast global economic growth of 3.5% for 2017 and 3.6% for 2018, unchanged from its April outlook. That was despite earlier cutting its U.S. growth projection to 2.1% from 2.3% for 2017 and to 2.1% from 2.5% for 2018, citing both weak growth in the first quarter of this year as well as the assumption that fiscal policy will be less expansionary than previously expected. A weaker-than-expected first quarter also spurred the IMF to cut its forecast for U.K. growth for this year to 1.7% from 2.0%, while leaving its 2018 forecast at 1.5%.

But slowdowns in the U.S. and U.K. were expected to be offset by increased forecasts for many euro area countries, including Germany, France, Italy and Spain, where first quarter growth largely beat expectations, the IMF said. “This, together with positive growth revisions for the last quarter of 2016 and high-frequency indicators for the second quarter of 2017, indicate stronger momentum in domestic demand than previously anticipated,” the IMF said in its release. It raised its euro-area growth forecast for 2017 to 1.9% from 1.7%. For 2018, it increased its forecast to 1.7% from 1.6%.

The Guardian has the guts to claim that people don’t move out because they don’t have the money to stay, but because they want to get on the f*cking property ladder.

• Bloated London Property Prices Fuel Exodus (G.)

In the Kent seaside town of Whitstable, long-term residents call them DFLs – people who have moved “down from London”, sometimes for the lifestyle but more often for cheaper housing. The number of people fleeing the capital to live elsewhere has hit a five-year high. In the year to June 2016, net outward migration from London reached 93,300 people – more than 80% higher than five years earlier, according to analysis of official statistics. A common theme among the leavers’ destinations is significantly cheaper housing, according to the estate agent Savills, which analysed figures from the Office for National Statistics and the Land Registry. Cambridge, Canterbury, Dartford and Bristol are reportedly among the most popular escape routes for people who have grown tired of London and its swollen property prices.

The most likely destination for people aged over 25 moving from Islington is St Albans in Hertfordshire, where the average home is £173,000 cheaper. People moving from Ealing to Slough – the most popular move from the west London borough – stand to save on average £241,000. Among all homeowners leaving London, the average house price was £580,000 while the average in the areas they moved to was £333,000. The exodus is not just of homeowners, but of renters too. Rents in London have soared by a third in the last decade, compared to 18% in the south-west, 13% in the West Midlands and 11% in the north-west of England.

The only age group that has a positive net migration figure in the capital is those in their twenties, the research found. Everyone else, from teens to pensioners, is tending to get out. Since 2009, the trend has been steadily increasing among people in their thirties with 15,000 more people in that age bracket leaving every year than at the end of the last decade – a 27% rise. The phenomenon is being driven by a widespread desire to “trade up the housing ladder”, something that is all too often impossible in London according to Lucian Cook, Savill’s head of residential research. “Five years ago people would have been reluctant [to move out] because the economy wasn’t as strong and some owners didn’t want to miss out on house price growth [in London],” he said.

Pretending it’s the last of the pig. We’ll see about that.

• The Foreclosure ‘Pig’ Moves Through The Housing-Crisis ‘Python’ (MW)

As the effects of the housing crisis further recede, markers of distress are declining, with one notable exception: Among the batches of severely delinquent mortgages bought by institutional investors, foreclosures are on the rise. The trend is a reminder of the reasons many community advocates resisted allowing institutional investors to buy delinquent mortgages in government auctions that began in 2010. Wall Street, those advocates said, shouldn’t be rewarded for its role in creating the housing crisis with the chance to buy for pennies on the dollar the very assets whose values it dented. The government auctions promised a risk-sharing solution that would benefit nearly everyone: Homeowners whose mortgages had been bought dirt-cheap could get loan modifications, investors would get profitable assets, and communities would see tax revenues restored and neighborhoods revitalized.

But that win-win-win scenario may bring little relief to the most distressed among those troubled assets. A new Attom Data analysis for MarketWatch shows increasing foreclosures in the mortgages auctioned by the government. A subsidiary of private-equity firm Lone Star Investments, for example, has foreclosed on nearly 2,000 homeowners this year, through early July, and has increased foreclosures every year since 2013. And a Goldman Sachs subsidiary called MTGLQ, which has more than doubled foreclosures each year from 2014 to 2016, may do the same again this year, based on early 2017 data. Those figures stand in stark contrast to the housing market overall, where foreclosures fell 22% in the second quarter, touching an 11-year low of just over 220,000.

The institutional-investor foreclosure figures are a small fraction of the total, noted Daren Blomquist, Attom’s senior vice president of communications. And they don’t surprise investors who intentionally snatch up the most distressed mortgages available because their elevated risk promises higher yield. Attom Data does show an uptick in foreclosures by other lenders, though not all participated in the government auctions. But they’re a reminder that a decade after the housing downturn began, the pockets of foreclosures that still pop up represent the worst of the worst, prompting even those questioning the program to agree that some foreclosures were inevitable, no matter who owned the mortgages. Analysts call the current crop of foreclosures “the last of the pig moving through the python.”

All bubble countries now face the issue. There’s no way out. So they’ll deny their bubble for a while longer.

• Australian Housing Market At Risk Of Crash – UBS Research (CNBC)

The Australian housing market has peaked and could crash if the country’s central bank raises rates by too much or too quickly according to researchers at the Swiss bank, UBS. Property in Australia has boomed and the most recent government data marked growth in residential property prices at 10.2% year on year for the 2017 March quarter. In a note Monday, UBS Economist George Tharenou said any rash interest rate action from the Reserve Bank of Australia (RBA) could trigger a crash. “We still see rates on hold in the coming year, amid macroprudential tightening on credit growth and interest only loans. “Hence we still see a correction, but not a collapse, but if the RBA hikes too early or too much (as flagged by its hawkish minutes), it risks triggering a crash,” Tharenou warned.

Housing starts fell 19% in the first quarter of the year and May’s mortgage approvals also slid 20%. After a multi-year boom, the cost of an average home in the country now sits at 669,700 Australian dollars ($532,000) but Tharenou said price growth is certain to slow. “Despite weaker activity, house prices just keep booming with still strong growth of 10% y/y in June. However, this is unsustainably 4-5 times faster than income. “Looking ahead, we still see price growth slowing to 7% y/y in 2017 and 0-3% in 2018, amid record supply & poor affordability,” the economist added.

Raising rates into a gigantesque bubble. No problem.

• It’s Time To Rethink Monetary Policy (Rochon)

July 12 marks the date the Bank of Canada ignored common sense and increased its rate for the first time in seven years. Economists are largely divided on whether this was a good move, but in my opinion this was an ill-informed decision, largely based on the usually strong first quarter data, which may prove unsustainable in the longer term. In turn, it raises important questions about the conduct of monetary policy and the need to rethink the role and purpose of central bank policy. For the record, I don’t think there is much to fear from a single increase to 0.75% from 0.50, though it will have an immediate impact on mortgage rates — some Canadians will pay more for their homes. However, it is the prospect of what that move represents that sends chills down this economist’s spine.

As we know all too well, central banks never raise rates once or twice, but usually do so several times. Indeed, the consensus among economists is that there will be at least two more raises before the end of 2018, bringing the bank rate to 1.25%. This is still low by historical standards, but the raises begin to add up. I expect many more rate hikes through 2019 and 2020. You see, the Bank of Canada believes the so-called natural rate is 3%, which means we could possibly see nine more interest rate increases. Imagine the damage that will do. Yet, according to their own model, this rate is the “neutral” or “natural” rate and should have no far reaching impact. Try telling that to Canadians who have consumer debt and a mortgage. Clearly, there is nothing “neutral” about these rate increases. This alone is a reason to rethink monetary policy.

Second, the Bank of Canada targets inflation, and has been officially since 1991, a fact it reminds us of all the time. All other objectives, including economic growth and unemployment, or even household debt and income inequality, are far behind the principal objective of trying to keep the inflation rate on target. There is much to say about this, including whether interest rates and monetary policy in general are the best tool to deliver on the inflation crusade. Even if we accept this, inflation is currently at a near two-decade low. In other words, where’s the inflation beef? Inflation does not represent a current threat, and there are no inflationary pressures in the economy, which raises the question: Why raise rates?

With Abenomics dead, so is Abe.

• Scandals Threaten Japanese Prime Minister Shinzo Abe’s Grip On Power (G.)

Shinzo Abe is fighting for his future as Japan’s prime minister as scandals drag his government’s popularity close to what political observers describe as “death zone” levels. Apart from clouding Abe’s hopes of winning another term as leader of the Liberal Democratic Party (LDP) when a vote is held next year, the polling slump also undermines his long-running push to revise Japan’s war-renouncing constitution. Abe, who returned to the prime ministership four and a half years ago, was long seen as a steady hand whose position appeared unassailable – so much so that the LDP changed its rules to allow Abe the freedom to seek a third consecutive three-year term at the helm of the party. “He is no longer invincible and the reason why he is no longer invincible is he served his personal friends not the party,” said Michael Thomas Cucek, an adjunct professor at Temple University Japan.

Abe’s standing has been damaged by allegations of favours for two school operators who have links to him. The first scandal centred on a cut-price land deal between the finance ministry and a nationalist school group known as Moritomo Gakuen. The second related to the approval of a veterinary department of a private university headed by his friend, Kotaro Kake. Abe has repeatedly denied personal involvement, but polls showed voters doubted his explanations, especially after leaked education ministry documents mentioned the involvement of “a top-level official of the prime minister’s office” in the vet school story. Abe attempted to show humility in a parliamentary hearing this week by acknowledging it was “natural for the public to sceptically view the issue” because it involved his friend. “I lacked the perspective,” he said. Experts doubt that Abe’s contrition, combined with a planned cabinet reshuffle next week, will do much to reverse his sagging fortunes.

The limits of the anti-Russia craze.

• Brussels To Act ‘Within Days’ If US Sanctions Hurt EU Trade With Russia (RT)

The EU should act “within days” if new sanctions the US plans to impose on Russia prove to be damaging to Europe’s trade ties with Moscow, an internal memo seen by the media says. Retaliatory measures may include limiting US jurisdiction over EU companies. An internal memo seen by the Financial Times and Politico has emerged amid mounting opposition to a US bill seeking to hit Russia with a new round of sanctions. The bill, if signed into law, will also give US lawmakers the power to veto any attempt by the president to lift the sanctions. The document reportedly said European Commission chief Jean-Claude Juncker was particularly concerned the sanctions would neglect the interests of European companies. Juncker said Brussels “should stand ready to act within days” if sanctions on Russia are “adopted without EU concerns being taken into account,” according to the FT.

The EU memo also warns that “the measures could impact a potentially large number of European companies doing legitimate business under EU measures with Russian entities in the railways, financial, shipping or mining sectors, among others.” Restrictions against Russia come as part of the Countering Iran’s Destabilizing Activities Act, targeting not only Tehran, but also North Korea. Initially passed by the Senate last month, the measures seek to impose new economic measures on major sectors of the Russian economy. The draft legislation would also introduce individual sanctions for investing in Gazprom’s Nord Stream 2 gas pipeline project, outlining steps to hamper construction of the pipeline and imposing sanctions on European companies which contribute to the project.

So EU vs US, and EU vs EU. The problem seems to be that US companies could profit from the sanctions, as European ones suffer.

• EU Divided On How To Answer New US Sanctions Against Russia (R.)

European Commission preparations to retaliate against proposed new U.S. sanctions on Russia that could affect European firms are likely to face resistance within a bloc divided on how to deal with Moscow, diplomats, officials and experts say. A bill agreed by U.S. Senate and House leaders foresees fines for companies aiding Russia to build energy export pipelines. EU firms involved in Nord Stream 2, a 9.5 billion euro ($11.1 billion) project to carry Russian gas across the Baltic, are likely to be affected. Both the European Union and the United States imposed broad economic sanctions on Russia’s financial, defense and energy sectors in response to Moscow’s annexation of Crimea from Ukraine in 2014 and its direct support for separatists in eastern Ukraine. But northern EU states in particular have sought to shield the supplies of Russian gas that they rely on.

Markus Beyrer, director of the EU’s main business lobby, Business Europe, urged Washington to “avoid unilateral actions that would mainly hit the EU, its citizens and its companies”. The Commission, the EU executive, will discuss next steps on Wednesday, a day after the U.S. House of Representatives votes on the legislation, knowing that the U.S. move threatens to reopen divisions over the bloc’s own Russia sanctions. Among the European companies involved in Nord Stream 2 are German oil and gas group Wintershall, German energy trading firm Uniper, Anglo-Dutch Royal Dutch Shell, Austria’s OMV and France’s Engie. The Commission could demand a formal U.S. promise to exclude EU energy companies; use EU laws to block U.S. measures against European entities; or impose outright bans on doing business with certain U.S. companies, an EU official said.

But if no such promise is offered, punitive sanctions such as limiting the access of U.S. companies to EU banks require unanimity from the 28 EU member states. Ex-Soviet states such as Poland and the Baltic states are unlikely to vote for retaliation to protect a project they have resisted because it would increase EU dependence on Russian gas. An EU official said most member states saw Nord Stream 2 as “contrary or at least not fully in line with European objectives” of reducing reliance on Russian energy. Britain, one of the United States’ closest allies, is also wary of challenging the U.S. Congress as it prepares to leave the EU and seeks a trade deal with Washington. In fact, the EU’s chief executive, Jean-Claude Juncker, has few tools that do not require unanimous support from the bloc’s 28 governments.

The Commission could act alone to file a complaint at the World Trade Organisation. But imposing punitive tariffs on U.S. goods would require detailed proof to be gathered that European companies were being unfairly disadvantaged — a process that would take many months. Diplomatic protests such as cutting EU official visits to Washington are unlikely to have much effect, since requests by EU commissioners for meetings with members of Trump’s administration have gone unanswered, EU aides say.

Let’s hope they don’t try.

• US ‘May Send Arms’ To Ukraine, Says New Envoy (BBC)

The new US special representative for Ukraine says Washington is actively reviewing whether to send weapons to help those fighting against Russian-backed rebels. Kurt Volker told the BBC that arming Ukrainian government forces could change Moscow’s approach. He said he did not think the move would be provocative. Last week, the US State Department urged both sides to observe the fragile ceasefire in eastern Ukraine. “Defensive weapons, ones that would allow Ukraine to defend itself, and to take out tanks for example, would actually to help” to stop Russia threatening Ukraine, Mr Volker said in a BBC interview.

“I’m not again predicting where we go on this, that’s a matter for further discussion and decision, but I think that argument that it would be provocative to Russia or emboldening of Ukraine is just getting it backwards,” he added. He said success in establishing peace in eastern Ukraine would require what he called a new strategic dialogue with Russia.

Undoubtedly not the last we hear of this.

• Tsipras and Varoufakis Go Public With Spat (K.)

The coalition on Monday rejected calls for an investigation to be launched into the first months of the government’s time in power, as a dispute between Prime Minister Alexis Tsipras and ex-finance minister Yannis Varoufakis over that period in 2015 became public. “The evaluation of this period has to be conducted with political criteria, not myth-making or gossip,” said government spokesman Dimitris Tzanakopoulos, who accused Varoufakis of trying to advertise his recent book via the “systemic media” he once attacked. Tzanakopoulos’s comments came after Tsipras gave an interview to The Guardian in which he admitted making “big mistakes” in the past and suggested that Varoufakis’s plan for a parallel payment system could not be considered seriously.

“Yanis is trying to write history in a different way,” said Tsipras. “When we got to the point of reading what he presented as his plan B it was so vague, it wasn’t worth the trouble of even talking about. It was simply weak and ineffective.” The former minister immediately responded to the premier’s comments by claiming they displayed a “deep incoherence,” as Varoufakis claims that he had made Tsipras aware of the plan before he came to office yet the SYRIZA leader still chose to appoint him to the cabinet. “Either I was the right choice to spearhead the ‘collision’ with the troika of Greece’s lenders because my plans were convincing, or my plans were not convincing and, thus, I was the wrong choice as his first finance minister,” he wrote in a letter to The Guardian.

New Democracy called for judicial and parliamentary investigations into the claims made by Varoufakis, as well as by former energy minister Panayiotis Lafazanis. The latter claimed in a radio interview on Saturday that he had secured an advance payment from Russia for a gas pipeline to be used to held fund Greece if it left the euro. “Varoufakis and Lafazanis described with clarity the SYRIZA leadership’s plans to take Greece out of the eurozone,” said the conservatives in a statement. “If these plans were seen through to the end, the country would have found itself in a dramatic situation like Venezuela, with unforeseeable social consequences.”

Makes sense.

• Alexis Tsipras’s Mixed Messages Over Appointing Me As Finance Minister (YV)

[..] the Greek prime minister, Alexis Tsipras, having admitted to “big mistakes”, was asked if appointing me as his first finance minister was one of them. According to the interviewer, Mr Tsipras said “Varoufakis … was the right choice for an initial strategy of ‘collision politics’, but he dismisses the plan he presented had Greece been forced to make the dramatic move to a new currency as ‘so vague, it wasn’t worth talking about’”. Given that I presented my plans to Mr Tsipras for deterring the troika’s aggression and responding to a potential impasse (and any move by the troika to evict Greece from the eurozone) before we won the election of January 2015, and I was chosen by him as finance minister (one presumes) on the basis of their merit, his answer reflects a deep incoherence.

Either I was the right choice to spearhead the “collision” with the troika of Greece’s lenders because my plans were convincing, or my plans were not convincing and, thus, I was the wrong choice as his first finance minister. Arguing, as Mr Tsipras does, that I was both the right choice for the initial confrontation and that my plan B was so vague it wasn’t worth the trouble of even talking about is disingenuous, albeit insightful, for it reveals the impossibility of maintaining a radical critique of his predecessors while adopting the Tina (There Is No Alternative) doctrine.

A brand new line of lipstick for farm animals.

• Greece Plans Return To Bond Market As Athens Sees End To Austerity (G.)

Athens has outlined plans to return to the financial markets for the first time since 2014, with a plan to sell new five-year bonds to investors. Existing Greek five-year bonds were trading at 3.6% on Monday morning compared with 63% at the height of the Greek financial crisis in 2012 when the finance ministry was unable to pay public sector wages and there were riots in the streets. Following the announcement that Athens would be returning to the market, the yield fell to 3.4%. The Greek finance ministry has set a goal of a 4.2% interest rate on the new bond. But banking sources believe that level will be hard to achieve and say an interest rate of between 4.3% to 4.5% is much more likely. Government sources say valuation will take place on Tuesday 25 July.

The market test is crucial to Greece for not only judging sentiment of the market, from which it has been essentially exiled since the start of its economic crisis, but also for weaning itself off borrowed bailout funds. Speaking after the bond issue was announced, the EU’s economy commissioner, Pierre Moscovici, described the public spending cuts imposed on Greece since it almost went bust as “too tough” but “necessary”, adding there was now “light at the end of austerity”. Reuters reported that Greece had employed six banks – BNP Paribas, Bank of America Merrill Lynch, Citigroup, Deutsche Bank, Goldman Sachs and HSBC – to act as joint lead managers for a five-year euro bond “subject to market conditions”. Greek ministers will provide more details on Monday afternoon about how much it hopes to borrow, and on what terms.

If the issue is successful, it could help Greece, which is still coping with a debt to GDP ratio of 180%, to exit its long cycle of austerity and rescue packages. Late on Friday, S&P upgraded its outlook on Greek government debt from stable to “positive”, thanks partly to renewed hopes that the country’s creditors could finally grant it debt relief.

And here’s how it’s done.

• Greek Spending Cuts Prettify Budget Data (K.)

Delays in the funding of hospitals, social spending cuts and low expenditure on the Public Investments Program served to prettify the picture of the state budget over the first half of the year, producing a primary surplus of 1.93 billion euros, Finance Ministry figures showed on Monday. At the same time budget revenues posted a marginal increase over the target the ministry had set for the January-June period. However, the big challenge for the government starts at the end of this month with the payment of the first tranche of income tax by taxpayers, followed later on by the Single Property Tax (ENFIA) and road tax at the end of the year.

In total the state will have to collect 33 billion euros by the end of the year, which is considerably higher than in the second half of 2016. According to the H1 budget data, the primary surplus amounted to 1.936 billion euros, against a primary surplus of 1.632 billion in the same period last year, and a target for 431 million for the year to end-June. Expenditure missed its target by 1.15 billion euros, amounting to 22.86 billion in the first half. Compared to last year it was down 757 million euros. Hospital funding missed its target by 265 million.