Jun 112019
 
 June 11, 2019  Posted by at 7:51 pm Finance, Primers Tagged with: , , , , , , , , , , ,  


While filming “The African Queen” everyone fell sick from drinking the water except for Humphrey Bogart and John Huston, who drank whiskey

 

 

Luke Harding is a former journalist for the Guardian. I say former because while he is still writing for the paper, he lost his one remaining shred of credibility last November with an article about Paul Manafort visiting Julian Assange multiple times in the Ecuadorian Embassy in London, which soon was discredited as badly as an article can be, but has still not been retracted or corrected by the paper.

If you get caught in that kind of nonsense, you’re surely not a journalist. Of course that was just one in an endless list of blubber that Harding produced about the likes of Assange and Trump. And Putin of course. And now he’s back with more. About Putin.

Somewhere in this new article by Luke Harding and Jason Burke for the venerable publication, they say that Russia only became interested in Africa in 2014. And obviously you know you can stop reading right there. Russia’s been interested in Africa for decades. Because it’s laden with resources. Because everybody else is there to get to those resources.

But Harding manages to write up a piece that makes Russia’s interest terribly suspicious and menacing. Because, you know, Skripal. The Russians did it. He’s basing this on docs he claims to have seen, but doesn’t provide, given to him by an “investigative unit” based in London and funded by Mikhail Khodorkovsky, Putin’s worst domestic enemy.

 

Leaked Documents Reveal Russian Effort To Exert Influence In Africa

Russia is seeking to bolster its presence in at least 13 countries across Africa by building relations with existing rulers, striking military deals, and grooming a new generation of “leaders” and undercover “agents”, leaked documents reveal.

There are 54 countries in Africa today. Russia SEEKS to bolster its presence in 13. Scary! At the same time, how many countries do you think France has a presence in? Or UK, Italy, US? How about China? And now that we’re on the subject, what do you think they’re all taking out of Africa, leaving the people behind with nothing?

And Russia is supposed to be the threat? You ever heard about Belgian King Leopold and the Congo, and the millions of deaths he caused? 60 years ago there were still African children paraded out in ”human zoos” in Belgium. But Russia is the threat?! How about a history lesson or two?

The mission to increase Russian influence on the continent is being led by Yevgeny Prigozhin, a businessman based in St Petersburg who is a close ally of the Russian president, Vladimir Putin. One aim is to “strong-arm” the US and the former colonial powers the UK and France out of the region. Another is to see off “pro-western” uprisings, the documents say.


In 2018 the US special counsel Robert Mueller indicted Prigozhin, who is known as “Putin’s chef” because of his Kremlin catering contracts. According to Mueller, his troll factory ran an extensive social media campaign in 2016 to help elect Donald Trump.

Prigozhin is a caterer who runs a troll factory. Not saying this is impossible, but it’s certainly poorly written.

The Wagner group – a private military contractor linked to Prigozhin – has supplied mercenaries to fight in Ukraine and Syria. The documents show the scale of Prigozhin-linked recent operations in Africa, and Moscow’s ambition to turn the region into a strategic hub.

What operations? Catering operations?

Multiple firms linked to the oligarch, including Wagner, are known by employees as the “Company”. Its activities are coordinated with senior officials inside Russia’s foreign and defence ministries, the documents suggest.

And we have a picture of the beast. Not scary enough? We’ll get one where he eats babies.

 


Yevgeny Prigozhin in Vladivostok in 2016. Photograph: Mikhail Svetlov/Getty Images

Putin showed little interest in Africa in the 2000s. But western sanctions imposed in 2014 over the annexation of Crimea have driven Moscow to seek new geopolitical friends and business opportunities.

Oh yeah, sure, Russia only started looking at Africa in 2014. See, stop reading right there…

Russia has a military presence and peacekeeping mission in Central African Republic. CAR is described as “strategically important” and a “buffer zone between the Muslim north and Christian south”. It allows Moscow to expand “across the continent”, and Russian companies to strike lucrative mineral deals, the documents say.


On 24 May the Kremlin announced it was dispatching a team of army specialists to the neighbouring Democratic Republic of the Congo. According to Dmitry Peskov, Putin’s press spokesman, they will service Russian-made military equipment. So far Moscow has signed military cooperation deals with about 20 African states.

The west, France, UK, US, has literally raped the Congo, richer than any other place on earth in resources, for many many decades. And now that Russia starts looking, the west gets a dumb fcuk like Harding to write up a scare story about it.

Five days later the Kremlin said it would host the first ever Russia-Africa summit in October in the Black Sea resort of Sochi. Putin and Egypt’s president, Abdel Fatah al-Sisi, will chair the event. About 50 African leaders are due to attend. The aim is to foster political, economic and cultural cooperation.

The leaked documents were obtained by the Dossier Center, an investigative unit based in London. The centre is funded by Mikhail Khodorkovsky, the Russian businessman and exiled Kremlin critic.

Prigozhin has been approached for comment. He has previously denied any links to the troll factory and has said of Wagner that it does not exist. Putin has previously said that entities linked to Prigozhin do not constitute the Russian state.

A map from December 2018 seen by the Guardian shows the level of cooperation between the “Company” and African governments, country by country. Symbols indicate military, political and economic ties, police training, media and humanitarian projects, and “rivalry with France”. Five is the highest level; one is the lowest.

The closest relations are with CAR, Sudan and Madagascar – all put at five. Libya, Zimbabwe and South Africa are listed as four, according to the map, with South Sudan at three, and DRC, Chad and Zambia at two.

Other documents cite Uganda, Equatorial Guinea and Mali as “countries where we plan to work”. Libya and Ethiopia are flagged as nations “where cooperation is possible”. The Kremlin has recently stepped up its ground operation in Libya. Last November the Libyan commander Khalifa Haftar travelled to Moscow and met the defence minister, Sergei Shoigu. Prigozhin was spotted at the talks. Egypt is described as “traditionally supportive”.

 


 

We don’t get to hear where Khodorkovsky got the docs from or how reliable they are, and we don’t get to see any of them. We have to believe Luke Harding on his blue eyes. But even then, is there anything shocking here for the non-Skripal crowd? Or is Harding just once more doing the MI6’s job for them?

The graphic gives an overview of “Company” activities and achievements. It claims credit in CAR for getting of rid of politicians who are “orientated to France”, including national assembly representatives and the foreign minister. This appears to be Charles-Armel Doubane, sacked in December. It has “strengthened” the army and set up newspapers and a radio station. Russia is an “83% friend”, it says.

In Madagascar the new president, Andry Rajoelina, won election with “the Company’s support”, the map says. Russia “produced and distributed the island’s biggest newspaper, with 2 million copies a month”, it adds. Rajoelina denies receiving assistance.

Another key territory is Sudan. Last year Russian specialists drew up a programme of political and economic reform, designed to keep President Omar al-Bashir in power. It included a plan to smear anti-government protesters, apparently copy-pasted from tactics used at home against the anti-Putin opposition. (One memo mistakenly says “Russia” instead of “Sudan”.)

One ploy was to use fake news and videos to portray demonstrators in Khartoum and other Sudanese cities as “anti-Islam”, “pro-Israel” and “pro-LGBT”. The government was told to increase the price of newsprint – to make it harder for critics to get their message out – and to discover “foreigners” at anti-government rallies.

I love it when people like Harding use the term “fake news”. Because he’s the very person who’s been caught producing just that, in the Manafort-visits-Assange article mentioned above. That was 100% fake.

Now, don’t get me wrong please. Of course Russia tries to play out factions and parties and countries against one another. Like all others do. They may do it in Sudan, in Comoros, examples Harding makes claims about, and elsewhere:

[..] Other suggestions in the documents include trans-African road and rail-building schemes. A railway could be built linking Dakar in Senegal with Port Sudan in Sudan, along the “old hajj [pilgrimage] route”. A separate 2,300-mile (3,700km) toll road was proposed connecting Port Sudan with Douala in Cameroon. Neither has so far happened.


A plan to revive “pan-African consciousness” appears closely modelled on the idea of Russkiy Mir, or Russian world. The concept has become fashionable under Putin and signifies Russian power and culture extended beyond current borders.

Have you ever seen purer baloney? Russia trying to get Africa to unite because that would look like some ancient idea of turning the whole world Russian? Maybe Stalin has such ideas, but he was Soviet, not Russian, and Putin, who is Russian, doesn’t have it, as you can grasp from his military expenditures. All Putin wants is to keep Russia safe from American and NATO invasions.

One working paper is titled “African world”. It calls for a developing “African self-identity”. It recommends collecting a database of Africans living in the US and Europe, which might be used to groom “future leaders” and “agents of influence”. The eventual goal is a “loyal chain of representatives across African territory”, the March 2018 paper says.

That little paragraph says it all. There’s not one little letter in there that poses any threat to anyone.

More immediate practical measures include setting up Russian-controlled non-governmental organisations in African states and organising local meetings. It is unclear how many Prigozhin initiatives have actually gone forward. There is evidence that media projects mentioned in the documents are now up and running – albeit with marginal impact. They include a website, Africa Daily Voice, with its HQ in Morocco, and a French-language news service, Afrique Panorama, based in Madagascar’s capital Antananarivo. Russian operatives also offer thoughts on global politics. One policy paper, titled “Russian influence in Africa”, says Moscow needs to find “reliable partners among African states” and should establish military bases.

And there the whole story has fizzled out into emptiness. Yeah, it says with some vague thing about military bases, but do you know how many western military bases there are in Africa? Tons. So there’s nothing left, zero, from the original threatening tone Harding started off with, but it doesn’t matter, because who’s going to read the whole thing anyway?

Main thing is, the tone, the narrative, have been established once more. Putin is a big threat, re: Skripal and eating babies, and so are Trump and Assange. And they all work together to bring down your safety and quality of life. No, your own government doesn’t do that!

 

 

 

 

Apr 112019
 


Carl Spitzweg The raven 1845

 

 

In light of the horrible news that Julian Assange was arrested by British police inside the Ecuadorian embassy this morning, what is there to say that we haven’t already said?

We originally published this essay on May 16 2018.

 

 

Julian Assange appears to be painfully close to being unceremoniously thrown out of the Ecuadorian embassy in London. If that happens, the consequences for journalism, for freedom of speech, and for press freedom, will resound around the world for a very long time. It is very unwise for anyone who values truth and freedom to underestimate the repercussions of this.

In essence, Assange is not different from any journalist working for a major paper or news channel. The difference is he published what they will not because they want to stay in power. The Washington Post today would never do an investigation such as Watergate, and that’s where WikiLeaks came in.

It filled a void left by the media that betrayed their own history and their own field. Betrayed the countless journalists throughout history, and today, who risked their lives and limbs, and far too often lost them, to tell the truth about what powers that be do when they think nobody’s looking or listening.

Julian is not wanted because he’s a spy, or even because he published a number of documents whose publication was inconvenient for certain people. He is wanted because he is so damn smart, which makes him very good and terribly effective at what he does. He’s on a most wanted list not for what he’s already published, but for what he might yet publish in the future.

He built up WikiLeaks into an organization that acquired the ultimate trust of many people who had access to documents they felt should be made public. They knew he would never betray their trust. WikiLeaks has to date never published any documents that were later found out to be false. It never gave up a source. No documents were ever changed or manipulated for purposes other than protecting sources and other individuals.

 

Julian Assange built an ’empire’ based on trust. To do that he knew he could never lie. Even the smallest lie would break what he had spent so much time and effort to construct. He was a highly accomplished hacker from a very young age, which enabled him to build computer networks that nobody managed to hack. He knew how to make everything safe. And keep it that way.

Since authorities were never able to get their hands on WikiLeaks, its sources, or its leader, a giant smear campaign was started around rape charges in Sweden (the country and all its citizens carry a heavy blame for what happened) and connections to America’s favorite enemy, Russia. The rape charges were never substantiated, Julian was never even interrogated by any Swedish law enforcement personnel, but that is no surprise.

It was clear from the get-go what was happening. First of all, for Assange himself. And if there’s one thing you could say he’s done wrong, it’s that he didn’t see the full impact from the campaign against him, sooner. But if you have the world’s largest and most powerful intelligence services against you, and they manage to find both individuals and media organizations willing to spread blatant lies about you, chances are you will not last forever.

If and when you have such forces running against you, you need protection. From politicians and from -fellow- media. Assange didn’t get that, or not nearly enough. Ecuador offered him protection, but as soon as another president was elected, they turned against him. So have news organizations who were once all too eager to profit from material Assange managed to obtain from his sources.

 

That the Guardian today published not just one, not two, but three what can only be labeled as hit pieces on Julian Assange, should perhaps not surprise us; they fell out a long time ago. Still, the sheer amount of hollow innuendo and outright lies in the articles is astonishing. How dare you? Have you no shame, do you not care at all about your credibility? At least the Guardian makes painfully clear why WikiLeaks was needed.

No, Sweden didn’t “drop its investigation into alleged sexual offences because it was unable to question Assange”. The Swedes simply refused to interview him in the Ecuador embassy in London, the only place where he knew he was safe. They refused this for years. And when the rape charges had lost all credibility, Britain asked Sweden to not drop the charges, but keep the pressure on.

No, there is no proof of links from Assange to Russian hackers and/or to the Russian government. No, there is no proof that DNC computers were hacked by Russians to get to John Podesta’s emails. In fact there is no proof they were hacked at all. No, Ecuador didn’t get tired of Julian; their new president, Moreno, decided to sell him out “at the first pressure from the United States”. Just as his predecessor, Correa, said he would.

Julian Assange has been condemned by Sweden, Britain, the US and now Ecuador to solitary confinement with no access to daylight or to medical care. Without a trial, without a sentence, and on the basis of mere allegations, most of which have already turned out to be trumped up and false. This violates so many national and international laws it’s futile to try and count or name them.

It also condemns any and all subsequent truth tellers to the prospect of being treated in the same way that Julian is. Forget about courts, forget about justice. You’ll be on a wanted list. I still have a bit of hope left that Vladimir Putin will step in and save Assange from the gross injustice he’s been exposed to for far too many years. Putin gets 100 times the lies and innuendo Assange gets, but he has a powerful nation behind him. Assange, in the end, only has us.

What’s perhaps the saddest part of all this is that people like Chelsea Manning, Kim Dotcom, Edward Snowden and Julian Assange are among the smartest people our world has to offer. We should be cherishing the combination of intelligence, courage and integrity they display at their own risk and peril, but instead we let them be harassed by our governments because they unveil inconvenient truths about them.

And pretty soon there will be nobody left to tell these truths, or tell any truth at all. Dark days. By allowing the smartest and bravest amongst us, who are experts in new technologies, to be silenced, we are allowing these technologies to be used against us.

We’re not far removed from being extras in our own lives, with all significant decisions taken not by us, but for us. America’s Founding Fathers are turning in their graves as we speak. They would have understood the importance of protecting Julian Assange.

To say that we are all Julian Assange is not just a slogan.

 

 

Apr 062019
 


Raphael The school of Athens 1509-11

 

Allow me to start with a question: Has anyone seen any of the main newspapers and networks who went after Donald Trump for 3 years accusing him of colluding with “the Russians”, apologize to either Trump, or to their readers and viewers, for spreading all that fake news now that Robert Mueller said none of that stuff was real, that they all just made it up?

I’ve seen only one such apology, albeit a very good and thorough one, from Sharyl Attkisson for The Hill. But one is a very meager harvest of course. With over 500,000 articles on collusion published on the topic, as Axios said -leading to 245 million social media ‘interactions’, shouldn’t there be more apologies, if only so people can hold on to their faith in US media for a while longer?

 

Apologies to President Trump

With the conclusions of special counsel Robert Mueller’s probe now known to a significant degree, it seems apologies are in order. However, judging by the recent past, apologies are not likely forthcoming from the responsible parties. In this context, it matters not whether one is a supporter or a critic of President Trump. Whatever his supposed flaws, the rampant accusations and speculation that shrouded Trump’s presidency, even before it began, ultimately have proven unfounded. Just as Trump said all along. Yet, each time Trump said so, some of us in the media lampooned him.

We treated any words he spoke in his own defense as if they were automatically to be disbelieved because he had uttered them. Some even declared his words to be “lies,” although they had no evidence to back up their claims.We in the media allowed unproven charges and false accusations to dominate the news landscape for more than two years, in a way that was wildly unbalanced and disproportionate to the evidence. We did a poor job of tracking down leaks of false information. We failed to reasonably weigh the motives of anonymous sources and those claiming to have secret, special evidence of Trump’s “treason.”

As such, we reported a tremendous amount of false information, always to Trump’s detriment. And when we corrected our mistakes, we often doubled down more than we apologized. We may have been technically wrong on that tiny point, we would acknowledge. But, in the same breath, we would insist that Trump was so obviously guilty of being Russian President Vladimir Putin’s puppet that the technical details hardly mattered. So, a round of apologies seem in order.

 

It’s a shame Attkisson refrains from labeling the whole decrepit circus as “fake news”, even if she says it’s just that, in different words. It’s a shame because the term “fake news” can this way remain connected to Trump, something the mainstream media really like. Because it allows for the media to cast doubts on the Mueller report, and for the Democrats to cast doubt on AG Bill Barr.

But they, the MSM, CNN and the NYT, are the ones who, as Robert Mueller has proven, have been spreading fake news all that time, not Trump. And if you would suggest they apologize, they’ll tell you that you’re too early, wait for the report to be released, or that Bill Barr is holding tons of stuff back, or that Mueller didn’t have access to elementary info, or that Trump is a really bad person or or or.

Their reputations would be lost forever if they issue a mea culpa, and apologizing constitutes a mea culpa, so that’s not going to happen. And they all think their credibility remains sound and alive, because they live in echo chambers where they don’t have to listen to anyone prepared to cast any doubt on their credibility.

I first said it years ago: in the new -digital, social- media age, the mainstream media have only one chance of survival: report the naked truth, and be relentless about that. There are a billion voices who can write up rumors, slander, smear and other falsities, but none have the organizations to find out the truth.

Well, it looks like they gave up on that one chance. Russiagate has made it crystal clear that the MSM would rather make a quick buck than investigate, that money and political views trump veracity any day where they operate. So stick a fork in them and turn them over; they’re done.

 

April 1 was the perfect moment to add it all up, and the Babylon Bee did exactly that:

 

CNN Publishes Real News Story For April Fools’ Day

Fooling thousands of readers in a prank that the cable news organization said was “just for fun,” CNN published a real news story for April Fools’ Day this year. The story simply contained a list of facts, with no embellishment, editorializing, or invented details. The story also didn’t cite shaky “anonymous sources” and only quoted firsthand witnesses to the event. It was completely factual without any errors whatsoever. Baffled CNN fans immediately knew something was up.


“I was reading this story, and I was like, ‘Wait, what is this?'” said one man in New York who relies on CNN for his fake news every morning. “They really got me good. Then I looked up at the calendar and I realized I’d been duped. A classic gag!” “Those little rascals!” he added, shaking his head and laughing goodnaturedly. “As long as they return to their regularly scheduled fake news tomorrow, we’re good. We’re good.”

 

We could stop right there. What’s to add? It sums up America to the core. Then again, perhaps not quite yet. How about we add this from the BBC?

 

Is Facebook Winning The Fake News War?

For the people contracted by Facebook to clamp down on fake news and misinformation, doubt hangs over them every day. Is it working? “Are we changing minds?” wondered one fact-checker, based in Latin America, speaking to the BBC. “Is it having an impact? Is our work being read? I don’t think it is hard to keep track of this. But it’s not a priority for Facebook. “We want to understand better what we are doing, but we aren’t able to.”


[..] While there are efforts from fact-checking organisations to debunk dangerous rumours within the likes of WhatsApp, Facebook has yet to provide a tool – though it is experimenting with some ideas to help users report concerns.

 

Right, Facebook Fights Fake News. Right. 533,074 web articles on Trump-Russia collusion pre-Mueller report according to Axios, and 245 million ‘interactions’ -including likes, comments and shares- on Twitter and Facebook. Let’s say 100 million on Facebook.

How much did they catch as fake news in their valiant efforts? Not “the Russians” spreading fake news, but the New York Times? How about none? How many times did Facebook shut down the New York Times? Rachel Maddow? None. But Robert Mueller says all those articles about collusion were fake news.

Those reputations are gone forever. Nobody serious will ever again believe anything these people say. Oh, their own subscribers will, but they don’t count as serious people. They swallowed all the nonsense for all of that time. Get real.

 

Talking about reputations: I decided to try and follow the trails of the Steele dossier earlier, because I think if you figure out the road that dossier has traveled, who has been pushing it etc., you can get a long way towards finding out how how Russiagate came about.

I turned to Wikipedia first, where “Steele dossier” automatically becomes “Trump-Russia dossier”. I read the intro, and it was already so clear where Wikipedia stands on this: not on Trump’s side. Impartiality does not count as a virtue there either. And I know that this stuff is written by third parties, but does Jimmy Wales really want to devalue his life’s work for party politics?

Right below the intro of the very long entry, a familiar name pops up: Luke Harding, and I’m thinking HAHAHAHA!

Luke Harding, after making a mint with his book Collusion, which Robert Mueller has singlehandedly moved into the Fiction section of the bookstore, and co-writing Manafort Held Secret Talks With Assange In Ecuadorian Embassy last November, which Mueller fully discredited, is presented as a source for an entry about collusion? Oh boy.

A few paragraphs down I come upon the name Victoria Nuland, and again of course I think HAHAHAHA, what kind of source is she? Nuland became notorious for colluding with John McCain on Maidan Square in Kiyv, and she has less credibility than Harding, if such a thing is possible. A Nuland quote from the Wikipedia article:

 

“In the middle of July [2016], when he [Steele] was doing this other work and became concerned, he passed two to four pages of short points of what he was finding and our immediate reaction to that was, ‘This is not in our purview’.” “This needs to go to the FBI if there is any concern here that one candidate or the election as a whole might be influenced by the Russian Federation. That’s something for the FBI to investigate.”

The entry continues:

 

It has remained unclear as to who exactly at the FBI was aware of Steele’s report through July and August, and what was done with it, but they did not immediately request additional material until late August or early September, when the FBI asked Steele for “all information in his possession and for him to explain how the material had been gathered and to identify his sources. The former spy forwarded to the bureau several memos — some of which referred to members of Trump’s inner circle. After that point, he continued to share information with the FBI.”[57][56]

According to Nancy LeTourneau, political writer for the Washington Monthly, the report “was languishing in the FBI’s New York field office” for two months, and “was finally sent to the counterintelligence team investigating Russia at FBI headquarters in Washington, D.C.”, in September 2016.[65]

Meanwhile, in the July to September time frame, according to The Washington Post, CIA Director John Brennan had started an investigation with a secret task force “composed of several dozen analysts and officers from the CIA, the NSA and the FBI”. At the same time, he was busy creating his own dossier of material documenting that “Russia was not only attempting to interfere in the 2016 election, they were doing so in order to elect Donald Trump … [T]he entire intelligence community was on alert about this situation at least two months before [the dossier] became part of the investigation.”

 

Ergo: the fully deranged Nuland, then Assistant Secretary of State for European and Eurasian Affairs, gets the dossier to the FBI, where nothing happens with it despite Nuland’s insistence that it shows terrible things going on, until someone (McCain?!) gets it to Brennan, and then the ball gets rolling.

There’s all these people in the Hillary sphere of influence who pick it up, in the media, the House, and the FBI and CIA. Because the campaign decides a story about prostitutes peeing on a bed where Obama once slept can a be a winner, and by July 2016 a few nerves had started twitching. The entire machinery shifted into gear right then and there.

The index to the entry contains some 350 links to articles, almost all by the usual suspects and with the usual angles. It all oozes collusion. An exception is Bob Woodward in January 2017:

 

‘Garbage Document’: Woodward Says US Intel Should Apologize Over Trump Dossier

Woodward said on “Fox News Sunday” the dossier was a “garbage document” and that Trump’s point of view on the matter is being “under-reported.”Woodward said the dossier should never have been presented at an intelligence briefing and it was a mistake for U.S. intelligence officials to do so. “Trump’s right to be upset about that … Those intelligence chiefs, who were the best we’ve had, who were terrific and have done great work, made a mistake here.


And when people make mistakes, they should apologize,” said Woodward. Meantime, Woodward’s former partner in reporting on the Watergate scandal, helped report the news about the dossier on CNN last week. Carl Bernstein defended the reporting on the dossier, dismissing Trump’s contention that it was “fake news.” Bernstein argued that U.S. intelligence saw fit to present the material to President Obama and President-elect Trump.

 

“Mistakes” by the intelligence chiefs? Hard to believe, if you’ve followed Brennan, Clapper, Comey in the past 2 years.

Not sure I’m going to finish reading that Wikipedia entry on the Steele dossier. What’s the point? It’s fantasy advertized as fact in order to make money. It’s misleading, it’s fake and it seeks to damage people. It would appear we’d be better off discussing what fake news is (and what is not), and to not stick the label to everything Trump says, or the $50 million spent on the Mueller probe will have been entirely wasted.

What we can learn from it is that we can no longer trust the media we once had confidence in. Those days are gone and they won’t be back. They’ve been lying for a long time for their 30 pieces of silver, and once your credibility is gone, it’s gone for good.

That, by the way, is why we need Julian Assange so much, because we know he doesn’t lie. But of course that little fact has also already been buried in a big pile of fake news.

Orwell would be delighted.

 

 

Mar 252019
 
 March 25, 2019  Posted by at 2:50 pm Primers Tagged with: , , , , , , , , , ,  


Yves Klein Leap into the Void 1960

 

Message to Bernie Sanders, Joe Biden, Kemala Harris, Tulsi Gabbard and the rest of the crew: you can stop asking for campaign donations, because you no longer stand a chance in the 2020 elections. Your own party, and the media who support you, made sure of that. Or rather, the only chance you would have is if you guys start another smear campaign against your president, and I wouldn’t recommend that.

I don’t want to start another Lock Her Up sequence, that’s too ugly for my taste. But three parties in this No Collusion disaster must be held accountable: US intelligence, the Democratic party, and the media. You can’t just let it go, too much water under the bridge. No can do. “The Democrats need to move on”, a recent ‘soft line’, is not good enough. They must be held to account.

Bill Barr can investigate the FBI and DOJ, but the obstacles there are obvious: investigating the investigators. The Democratic party would mean going after individuals, but sure, let’s see what Loretta Lynch, Debbie Wasserman-Schultz and Maxine Waters have to say for themselves and take it from there, before you get to Hillary. The media, though, is something else altogether.

Freedom of the press, and freedom of opinion, is one thing. Conducting a 2-year+ smear campaign against your own president is another. So what does US law say about this? Let’s hear it. Since Trump made Bill Barr the new Attorney General, Barr is instrumental in answering these questions. Is it a smear campaign? Is that acceptable? Is it legal? Asking for a friend.

Not a soul could blame me if I were to gloat because what I’ve said since the 2016 elections has been proven: there is no collusion between ‘the Russians’ and Donald Trump and there never was. But I don’t feel much like gloating because 1) it’s old news and 2) this tale is far from over. The media, and the Democrats, are not going to cave in, because they have nowhere left to ‘cave into’.

The biggest shame, I think, is not that the media will just keep doing what they have, but that a remnant, a residue of all the made-up narratives will remain in their audience’s minds, long after Robert Mueller has said it was all lies all that time. That the public will say: there’s been so much, surely some of it must be true?! The power of repetition.

 

The same media that has spun the collusion theme all this time will simply continue doing what it’s done, just perhaps without using that term -and not even that is sure. Don’t let’s forget, and I’ve said this 1000 times, that while there is a dose of genuine hatred of their own president involved, and some political issues, most of all it’s about their business model. Trump scandals mean readers and viewers. And money.

Because of that, or at least partly because of it, I would seriously like to ask what the odds are of putting Rachel Maddow behind bars. How many lies can you tell, and how often can you repeat them, about anyone, but certainly about your President, before someone calls you on it? Trump can’t really defend himself, or couldn’t as long as Mueller was busy, but this can’t be.

Does the fact that you work for the media protect you to the extent that you can just say anything? And Maddow of course is just an example, albeit an extreme one, but the same goes for CNN, New York Times et al. What freedoms do you have as a journalist? And at what point are you no longer a journalist at all? Who decides that?

BuzzFeed said Mueller was in possession of evidence that Trump directed Michael Cohen to lie to Congress. Mueller himself had to discredit that. The Guardian’s Luke Harding wrote a #1 NYT bestselling book called “Collusion” before writing an article with Dan Collins claiming that Manafort had met with Assange multiple times in London.

Not a word of that was true. But Harding And Collins and their editor still work at the Guardian, and no apologies or corrections were ever issued. And at some point you have no choice but to ask: where does it stop? Where do we draw the line? Can anyone who labels themselves a journalist and/or anyone employed by MSM, say anything they want? From sources:

The nonpartisan Tyndall Report pegged the total amount of time devoted to the story on the evening newscasts of ABC, CBS and NBC last year at 332 minutes, making it the second-most covered story after the Senate confirmation hearings of Supreme Court Justice Brett Kavanaugh.

According to a count by the Republican National Committee released Sunday, The [Washington] Post, The New York Times, CNN.com and MSNBC.com have written a combined 8,507 articles [since 2017] mentioning the special counsel’s investigation [into nonexistent collusion], some 13 articles a day. The cable news networks, particularly CNN and MSNBC, have added hundreds of hours of discussion about the topic, too.

And they wrote many more in 2016 as well. They were on a mission. Tyler Durden adds:

Mueller’s 40 FBI agents issued over 2,800 subpoenas, executed “nearly 500 search warrants,” and “obtained over 230 orders for communication records. They also issued 13 requests to foreign governments for evidence and interviewed approximately 500 witnesses.

All that time, and all those resources, dedicated to a figment of the imagination, invented out of this air to derail a presidential election and a presidency. Where do we think these people see their country go? I must admit I’m not sure about that one. But I see Bernie Sanders on the anti-Trump wagon, and AOC and Tulsi trying to get on, and I think: please don’t do that, it doesn’t go anywhere.

I’ve called for a second special counsel many times, and I can’t imagine there won’t be one, and as much as I think it’s desperately needed, it’s obvious at the same time that it can only divide the nation further.

There was a reason Trump was elected: people had gotten sick of what was there before, of what Republicans and Democrats had to offer. And there is absolutely nobody in either party who addresses that issue. In other words, there’s still nobody who is listening to those people. So they tune into Rachel Maddow and her kind of ‘reporting’.

Looks like Bill Barr will be badly needed. And that to restore the credibility of US intelligence, he will need to clean up the FBI and DOJ and get rid of all those who’ve taken part in the collusion debacle. A formidable task. I’d suggest he start with Maddow et al and take it from there. Find out who feeds the media their fantasy stories.

Oh, and now that collusion’s off the table, free Julian Assange. Let Robert Mueller show he’s not as much of a coward as he looks until now. To that end, let him swallow the Guccifer 2.0 nonsense as well. That Rachel Maddow makes things up from scratch, doesn’t mean Special Counsels should do that too. Mueller knows exactly what this is about.

A friend (not exactly a Trump fan) mailed me last night saying this was never a witch hunt. And I’m thinking: maybe that depends on how you define it. Here’s one definition: “an unforgiving, evidence-scant campaign against a group of people with unpopular views.” Not too far off, is it?

Time for spring cleaning, Bill Barr.

 

 

Jan 192019
 
 January 19, 2019  Posted by at 10:40 am Finance Tagged with: , , , , , , , , , , ,  


Pablo Picasso Guitar on a table 1922

 

Mueller Shoots Down Buzzfeed’s Latest Russiagate Scoop With Rare Dismissal (RT)
US Asked Ecuadorean Officials About Alleged Assange-Manafort Meeting (R.)
56% Majority Of Britons Now Want To Remain In The EU – Poll (DM)
Extending The Brexit Deadline Could Clash With Coming EU Elections (CNBC)
EU Loves British Money More Than It Loves Democracy (Clark)
UK Patients Stockpile Drugs In Fear Of No-Deal Brexit (G.)
UK Shoppers Rein In Spending As Fears Grow Over Economy (G.)
Rising Credit-Card Use Shows US Consumers Are Strapped (DDMB)
Tesla Cuts 7% Of Workforce, Musk Sees ‘Very Difficult’ Road Ahead (CNBC)
Tesla Has $920 Million In Debt Coming Due, A Third Of Company’s Cash (CNBC)
Russia Outshines China To Become World’s 5th Biggest Holder Of Gold (RT)
French Court Cites Precautionary Principle To Cancel Monsanto Permit (R.)

 

 

Is this the worst day for fake news to date? It’s hard to keep track. It’s just that this one was taken up by so many hoping for -finally!- impeachment. Please Lord make it stop.

Two reasons why Mueller issued his statement: 1) the credibility of the Special Counsel itself (since every outlet ran with the -false- BuzzFeed story), 2) members of Congress were calling for investigations based on the story (would have been even more embarrassing than making the statement).

One Shimon Prokupecz on Twitter: “We cannot underestimate the statement disputing Buzzfeed’s story from the special counsel. I’m sure it pained them to do this. I’m sure this went through many levels at the DOJ and FBI. They don’t talk. This is massive.”

Trump on Twitter: “Remember it was Buzzfeed that released the totally discredited “Dossier,” paid for by Crooked Hillary Clinton and the Democrats (as opposition research), on which the entire Russian probe is based! A very sad day for journalism, but a great day for our Country!”

Mueller Shoots Down Buzzfeed’s Latest Russiagate Scoop With Rare Dismissal (RT)

Special Counsel Robert Mueller has poured cold water on BuzzFeed’s latest Russiagate “bombshell” with a rare public statement calling the article, which claims Trump told his ex-lawyer Cohen to lie to Congress, “not accurate.” BuzzFeed reported that President Donald Trump directly instructed his former attorney, Michael Cohen, to lie to Congress about his plans to build a Trump Tower property in Moscow, citing two anonymous “federal law enforcement officials” as sources that the president had suborned perjury – which, being an actual crime, triggered talk of impeachment “walls closing in” among the anti-Trump “Resistance.”

While half of Congress took to Twitter to wave the story as the long-awaited proof of Collusion, the BuzzFeed reporters could not seem to agree on their own sourcing. Anthony Cormier admitted to CNN he hadn’t seen the proof directly but had two “law enforcement” sources claiming they had seen it, while Jason Leopold told MSNBC they had in fact seen the documents themselves. The smoking gun du jour collapsed further when word came down from Mueller himself – via spokesman Peter Carr – that Buzzfeed’s “description of specific statements to the Special Counsel’s Office, and characterization of documents and testimony obtained by this office, regarding Michael Cohen’s Congressional testimony” were “not accurate.”

Mueller has been extremely tight-lipped about the numerous previous “Russiagate” scoops, and considering the time and effort involved in his own ongoing crusade to take Trump down, his dismissal of BuzzFeed’s would-be bombshell knocked the legs out from under a story whose vague sourcing had already raised questions.

Read more …

And this fits in seamlessly with the Mueller/BuzzFeed thing: The Guardian story has been thoroughly discredited, but 2 months later, US officials are still chasing it. What’s new to me is that it’s the first time I see a Guardian response: “The Guardian has defended the article and said it “relied on a number of sources.” Lame poppycock. And the same thing Buzzfeed says.

US Asked Ecuadorean Officials About Alleged Assange-Manafort Meeting (R.)

U.S. officials spoke with officials from Ecuador’s British embassy on Friday about an alleged meeting there between President Donald Trump’s former campaign manager, Paul Manafort, and WikiLeaks founder Julian Assange, an Ecuadorean government source said. The Guardian newspaper reported the meeting in November, alleging the two met at least three times, including in 2016, just before WikiLeaks released damaging emails about Trump’s rival in the 2016 presidential elections, Hillary Clinton. Manafort and Assange have both previously denied meeting each other at the embassy.

WikiLeaks, in a statement on Friday entitled the “U.S. interrogation of Ecuadorian diplomats,” accused Ecuador’s government of assisting the United States in prosecuting Assange, who first sought asylum in the embassy in 2012. The source said the embassy officials, at the request of the U.S. Justice Department, provided testimony in Quito at facilities provided by Ecuadorean authorities. [..] Part of Mueller’s probe has involved looking into whether Trump associates may have had advance notice before WikiLeaks published emails stolen by Russian hackers from Democratic computer networks to damage Clinton. WikiLeaks called the Guardian’s story “indisputably fabricated” and said it was being used as a pretext for the United States to prosecute Assange. The Guardian has defended the article and said it “relied on a number of sources.”

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But neither one of the two main parties do. How screwed up is that? Nobody represents the majority.

56% Majority Of Britons Now Want To Remain In The EU – Poll (DM)

A majority of Britons now say they want to stay in the EU after Theresa May’s Brexit plan suffered a massive defeat, a new poll published today has found. A YouGov survey asked 1,070 voters how they would vote in a second Brexit referendum if it were held today – and found Remain has stretched out a 12-point lead over Leave, with 56% saying they would vote to stay in the EU versus 44% in favour of leaving. The voters were questioned the day after the PM’s Brexit plan suffered a crushing defeat – leaving the machinery of government deadlocked and with the bitter divisions among MPs offering no clear way ahead.

Ministers are now at war over Brexit, openly clashing over whether Britain should be willing to crash out without a deal on March 29, or back a softer Brexit or second referendum. The Prime Minister must make a statement on Monday where she will lay out her ‘next steps’ on a Brexit ‘plan B’ before a week of debate on the various options. The following week, MPs will vote on their preferred course of action, putting huge pressure on the Prime Minister to adopt it. With Westminster gripped by chaos, the new poll suggests voters are losing faith in Brexit with growing numbers now backing Remain. The survey for The Times found that 56% of those polled would now back staying in the EU, while the same proportion back a second referendum. And voters were even more likely to want to stay in the bloc if the only other option was the PM’s Brexit deal, with Remain leading by 65% to 35%.

Read more …

If Article 50 were extended, which looks pretty sure, Britain will have to vote in European elections. But their seats have already been given out to others.

Extending The Brexit Deadline Could Clash With Coming EU Elections (CNBC)

Extending the official Brexit deadline for the U.K. could bring a wave of extra logistical and political problems for the EU. The ongoing deadlock has sparked a debate on the potential extension of Article 50 — the legal means by which the U.K. leaves the EU. However, there is strong opposition from some European lawmakers over giving more time to the U.K. to sort out its domestic politics. The U.K. is set to leave the EU on March 29 — but this could change if the U.K. asks for an extension and the other 27 member nations accept the request. Extending the departure beyond the agreed date would likely clash with European parliamentary elections that are set to take place between May 23 and 26. The chamber is made of lawmakers from all 28 European member countries, including the U.K., and is responsible for approving European policies, such as the Union’s total budget.

“What we will not let happen, deal or no deal, is that the mess in British politics is again imported into European politics. While we understand the U.K. could need more time, for us it is unthinkable that Article 50 is prolonged beyond the European Elections,” Guy Verhofstadt, a member of the European Parliament and its representative in Brexit negotiations, said on Twitter on Wednesday. [..] Seb Dance, member of the European Parliament for the U.K. Labour party, said the prospect of having Brexit and the European elections clashing “is a logistical headache.” “The impact of delaying Brexit on the EU elections is certainly troublesome logistically speaking,” he said, “but politically speaking it shouldn’t make a difference as it is entirely possible that elections take place in the other member states without needing to take place in Britain.”

[..] According to a Brussels-based European official, who did not want to be named due to the sensitivity surrounding the Brexit talks, an extension would likely mean that the U.K. would have to participate in the vote. This is because it would still technically be a member of the European Union. Zsolt Darvas, senior fellow at Bruegel, reiterated this point in an email to CNBC Friday. “If the extension goes beyond the elections, the U.K. would have to elect members of the European Parliament. Not expecting this, the European Parliament has already agreed on how to allocate the U.K. seats after Brexit. That agreement will have to be revised, or perhaps its implementation be postponed after the actual, delayed Brexit date.”

“From the U.K. side, it might look awkward to elect members of the European Parliament when people expect that the U.K. will leave the EU not much after the European elections; plus the U.K. would need to act quickly to make the European Parliament election possible, which would also involve some costs.”

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“..the Common Fisheries Quota has for the past 34 years given 84% of the cod in the English Channel to France and just 9% to the UK..”

EU Loves British Money More Than It Loves Democracy (Clark)

The European establishment is desperate for Britain to reconsider Brexit. Internationalist ideals about ‘preserving European unity’, don’t come in to it, this is all about protecting income streams. Consider a few facts. If Britain does leave without a deal, then the EU as an institution would be considerably worse off. The UK has consistently been one of the top three countries that puts most into the EU budget (after Germany and France). It is one of ten countries that puts more into the EU than it gets out. In 2017, the UK’s net contribution was £9bn. If Britain leaves, the EU faces a financial shortfall. In 2016, 16 countries were net receivers, including Donald Tusk’s Poland. Little wonder that he regards Britain staying as “the only positive solution”.

The very generous financial remuneration packages of EU officials might also be threatened by British withdrawal. In December, it was reported that the EU’s top civil servants would be paid over €20,000 a month for the first time, and that Tusk and Juncker would see their packages rise to €32,700 a month. Austerity? Not in Brussels, mon ami! The EU is a fabulous gravy train once you are on board. But the gravy train relies on its richest members not leaving, otherwise who’s going to foot the bill? If Britain leaves with ‘No Deal’, it’s not just the EU budget which will take a hit. In 2017, EU countries sold around £67 billion more in goods and services to the UK, than the UK sold to them. Europe needs full and unfettered access to British markets, much more than Britain needs full and unfettered access to European markets.

[..] The country that would lose out the most with Brexit is Germany. Britain’s trade deficit with Germany is higher than with any other country, even higher than China, whose products are everywhere in our shops! In 2016, the year of the EU referendum, Britain imported around £26 billion more from Germany than it exported. [..] We also have to discuss fishing. The other EU countries do extremely well out of the Common Fisheries Policy, which provides them with access to UK waters. Belgian fleets get around half their catch from British waters! As reported in the Independent, the Common Fisheries Quota has for the past 34 years given 84% of the cod in the English Channel to France and just 9% to the UK. Overall, EU vessels take out around four times as much fish out of UK waters as British vessels take out of EU waters.

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Is it Brexit or just the overall state of affairs as the Tories dismantle the NHS?

UK Patients Stockpile Drugs In Fear Of No-Deal Brexit (G.)

Ministers have been urged by top doctors to reveal the extent of national drug stocks, amid growing evidence patients are stockpiling medication in preparation for a no-deal Brexit. The Royal College of Physicians (RCP), which represents tens of thousands of doctors, urged the government to be more “transparent about national stockpiles, particularly for things that are already in short supply or need refrigeration, such as insulin”. Prof Andrew Goddard, the RCP president, said: “Faith in the system will be created by openness and regular updates to trusts and clinicians; this will allow clinicians to reassure patients.” The Pharmaceutical Services Negotiating Committee (PSNC) has warned medical shortages have increased in recent months.

Generic drugs are usually bought through nationally set tariff prices. However, pharmacies can apply for price concessions under which the NHS will temporarily pay more when the drugs are in short supply. The number of concessions the PSNC applied for went up from 45 in October, to 72 in November and 87 in December. The Guardian has also found evidence some patients are stockpiling drugs, against official guidance. They said they were doing so by ordering drugs from abroad, and by asking their GPs for emergency prescriptions. One diabetic patient has been stockpiling insulin for four months, ordering twice the amount he needs for each of his drugs from the pharmacist.

Robin Hewings, the head of policy at Diabetes UK, backed calls for more transparency from the government about current stock levels to reassure patients. “There is a level of concern that has risen quite a lot [in the last few months] and people with diabetes are talking about stockpiling. The government needs to be more transparent about insulin supplies.”

Read more …

Only, not really: “..sales grew by 2.7% last year, compared with a growth rate of 2% in 2017.”

UK Shoppers Rein In Spending As Fears Grow Over Economy (G.)

British consumers reined in their spending in December after splashing out during November on Black Friday promotions, according to official figures that confirmed the tough festive shopping period on the high street. The Office for National Statistics said the quantity of goods bought last month fell by 0.9% compared to November, when Black Friday deals encouraged shoppers to bring forward some of their Christmas spending. All sectors except food and petrol declined on the month, the figures showed, coming after the British Retail Consortium said the key Christmas shopping period had been the worst for retailers since the financial crisis a decade ago.

James Smith, an economist at the City bank ING, said: “After another bumpy week for Brexit, today’s UK retail sales data is a timely reminder that all is not particularly well in the UK economy.” Figures for the three months to December, highlighting the wider trend for consumer spending, showed that the quantity of goods bought dropped by 0.2%. [..] Despite the downturn last month, the latest snapshot showed that retail sales growth for 2018 as a whole was above the level recorded a year earlier. Although significantly below the peak growth rate of 4.7% seen before the Brexit vote in 2016, sales grew by 2.7% last year, compared with a growth rate of 2% in 2017.

Read more …

Or does it show that they are more confident? Always a nice puzzle. A popular industry POV: people get deeper in debt because they feel so great.

Rising Credit-Card Use Shows US Consumers Are Strapped (DDMB)

Even though evidence is mounting that the U.S. economy may be soon heading into a recession, there are plenty of analysts who say that the surge in credit card borrowing is a sign of strong confidence among households. That’s hardly the case. In fact, households’ confidence in the future growth of their incomes has been cooling since late last summer, which means borrowers will only reach for what’s in their wallet to compensate for what their paychecks will not cover. Many working adults have no recollection of credit card borrowing not being a mainstay among their financing options. But then, few would be able to identify a Diners Club card, which was a popular brand during the 1980s “yuppie” era when Americans first began to embrace credit card spending in earnest.

These days, consumers are not keen to lean on credit cards, partly due to a cultural and financial shift in the industry. The financial crisis arguably altered households’ views on charging beyond their means. It didn’t hurt that the availability of subprime credit all but disappeared for a few years or that the interest rate on credit cards remained in double-digit territory despite the Federal Reserve’s zero interest rate policy. That said, the idea of frugality re-entered many households’ thinking in the wake of the severe hardship the foreclosure crisis brought to bear on millions of working Americans. Debit cards became the predominant form of plastic used at the checkout.

And yet, consumer credit likely rounded out 2019 at a new $4 trillion milestone as runaway higher educationand car-price inflation coupled with ridiculously looser lending standards pushed households to take on record levels of student loan and auto debt. At roughly $1 trillion, credit cards are but a co-star in a star-studded, full-length feature film. A long history of credit card borrowing suggests that we would have multiples of today’s $1.04 billion in outstanding balances had the growth rate of spending on plastic maintained the headier double-digit paces clocked in the 1980s and 1990s.

Read more …

Shares down 13%.

Tesla Cuts 7% Of Workforce, Musk Sees ‘Very Difficult’ Road Ahead (CNBC)

Tesla is cutting its full-time staff headcount by about 7 percent, as it ramps up production of its Model 3 sedans, CEO Elon Musk said Friday. The announcement follows recent cost-cutting measures the company has made in a bid to reduce the price of its products and boost margins. Tesla shares fell 13 percent by the end of trading Friday. In an email to employees, Musk said the company faces a “very difficult” road ahead in its long-term goal to sell affordable renewable energy products, noting the company is younger than other players in the industry. “Tesla will need to make these cuts while increasing the Model 3 production rate and making many manufacturing engineering improvements in the coming months,” Musk said.

“Attempting to build affordable clean energy products at scale necessarily requires extreme effort and relentless creativity, but succeeding in our mission is essential to ensure that the future is good, so we must do everything we can to advance the cause.” The exact number of employees who will be laid off has not been disclosed. However in an October tweet, Musk said Tesla had a staff count of 45,000. If still true today, that would mean 3,150 layoffs. Musk said Friday that Tesla faces “an extremely difficult challenge” in making its electric vehicles and solar products a competitive alternative to traditional vehicles and energy products that rely on fossil fuels.

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Plunging share prices are the last thing Tesla needs.

Tesla Has $920 Million In Debt Coming Due, A Third Of Company’s Cash (CNBC)

Tesla has a billion dollar debt coming due, and it could wipe out nearly a third of the company’s cash if the stock price doesn’t improve. About $920 million in convertible senior notes expires on March 1 at a conversion price of $359.87 per share. But Tesla’s stock hasn’t traded above $359 for weeks. If the shares are about $359.87, then Tesla’s debt converts into Tesla shares. If not, Tesla will have to pay the debt in cash. Tesla reported cash and cash equivalents of $3.37 billion at the end of its September quarter. The company continues to reveal pressure to maintain profitability, and announced Friday it would cut 7 percent of its full-time workforce. Shares fell more than 10 percent Friday following the announcement to trade around $310 per share.

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If only because of the sanctions.

Russia Outshines China To Become World’s 5th Biggest Holder Of Gold (RT)

The Central Bank of Russia reported purchasing 8.5 million troy ounces of gold in January-November 2018. With its 67.6 million ounces of gold Russia is now the world’s fifth largest holder behind the US, Germany, France and Italy. China dropped to sixth place as it reported an increase in gold reserves just once in more than two years – to 59.6 million ounces in December 2018 from 59.2 million ounces in October 2016. Industry sources told Reuters that Western sanctions against Russia lifted the country’s gold buying to record highs in 2018. One of the reasons Russia’s Central Bank was betting on the yellow metal was because it could not be frozen or blacklisted, sources explained.

“It seems that there is an aim to diversify from American assets,” said a source in one of Russia’s gold producers, referring to the Central Bank’s holdings. While purchases of the precious metal by Russia jumped last year the country continued getting rid of US Treasury securities. Earlier this month, Russia’s Central Bank reported that it cut the share of the US dollar in the country’s foreign reserves to a historic low, transferring nearly $100 billion into the euro, the Japanese yen and the Chinese yuan. The step came as a part of a broader state policy on eliminating reliance on the greenback. According to sources, the Central Bank has been purchasing a significant portion of Russia’s domestic gold production, which is also rising.

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As the EU promotes Roundup, this court has the only right attitude, referring to “a precautionary principle in French law.” All GMO crops should be banned because of that principle. The risks are too great, and there’s likely no way back. You can’t put the onus of proof on society at large, Monsanto will have to prove there is no risk or damage at all, not the other way around. Nassim Taleb is the only person I’ve seen who also says this as the most important thing concerning GMO.

French Court Cites Precautionary Principle To Cancel Monsanto Permit (R.)

A French court canceled the license for one of Monsanto’s glyphosate-based weedkillers on Tuesday over safety concerns, placing an immediate ban on Roundup Pro 360 in the latest legal blow to the Bayer-owned business. Germany’s Bayer, which bought Monsanto for $63 billion last year, faces thousands of U.S. lawsuits by people who say its Roundup and Ranger Pro products caused their cancer. A court in Lyon in southeast France ruled that the approval granted by French environment agency ANSES in 2017 for Roundup Pro 360 had failed to take into account potential health risks. Bayer, which said it disagreed with the decision and was considering its legal options, has cited regulatory rulings as well as scientific studies that found glyphosate to be safe.

The firm is appealing a first U.S. court ruling that awarded $78 million in damages to a school groundskeeper from California. “Bayer disagrees with the decision taken by the Administrative Court of Lyon to cancel the marketing authorization for RoundUp Pro 360,” it said in a statement. “This product formulation, like all crop protection products, has been subject to a strict evaluation by the French authorities (ANSES), an independent body and guarantor of the public health security.” The French court said ANSES had not respected a precautionary principle in French law, notably by not conducting a specific evaluation of health risks for Roundup Pro 360.

“Despite the European Union’s approval of the active substance (glyphosate), the court considered that scientific studies and animal experiments showed Roundup Pro 360 … is a potentially carcinogenic product for humans, suspected of being toxic for human reproduction and for aquatic organisms,” the court said in a summary of its ruling. ANSES said it was still examining the court ruling, but that the decision was effective immediately. “As a consequence, the sale, distribution and use of RoundUp Pro 360 are banned as of today,” the agency said in an email.

Read more …

Jan 152019
 
 January 15, 2019  Posted by at 9:52 am Finance Tagged with: , , , , , , , , , , , , ,  


Ivan Aivazovsky Moonlight c1850

 

May Faces Crushing Brexit Defeat Despite Last-Minute Plea To MPs (G.)
100 Of May’s Own MPs Set To Vote Against Her Brexit Deal (Ind.)
No-Deal Brexit Means ‘Social And Economic Catastrophe’ -Banks (Ind.)
Brexit Preppers: ‘I Don’t Trust The Government To Look After Me Or My Dog’ (G.)
Global Economy Fears Grow As China And Eurozone Slump (G.)
Hunting for Golem (Jim Kunstler)
FBI Investigation Of Trump As National Security Threat Is A Serious Danger (GG)
Trump Reportedly Said He Wanted To Pull The US From NATO (CNBC)
WikiLeaks Starts Suing Guardian Over Assange-Manafort Fake News Story (RT)
Antarctic Losing 500% More Ice A Year Than In 80s – NASA (Ind.)
Wildlife: The Real Crisis At The US-Mexico Border (PI)
98% Of Ground Insects Vanish From Puerto Rican Rainforest In 35 Years (G.)

 

 

““We have an instruction from the British people to leave and it’s our duty to deliver on that..”

May Faces Crushing Brexit Defeat Despite Last-Minute Plea To MPs (G.)

Theresa May appears to be on course for a crushing defeat in the House of Commons as Britain’s bitterly divided MPs prepare to give their verdict on her Brexit deal in the “meaningful vote” on Tuesday. With Downing Street all but resigned to losing by a significant margin, Guardian analysis pointed to a majority of more than 200 MPs against the prime minister. Labour sources said that unless May made major unexpected concessions, any substantial margin against her would lead Jeremy Corbyn to call for a vote of no confidence in the government – perhaps as soon as Tuesday night. But since Conservative MPs are unlikely to offer Corbyn the backing he would need to win a no-confidence vote, he would then come under intense pressure to swing Labour’s weight behind a second referendum.

Cabinet ministers have not yet been told how May plans to keep the Brexit process on track if her deal is defeated – and they remain split on how she should proceed. Leavers are convinced that the prime minister should return to Brussels and press for fresh concessions, while remainers hope she will seek a compromise with Labour. On Monday, May issued one final call to parliament to back her, urging MPs to “take a second look” at her deal and stressing that it was the only option on the table that could deliver an “orderly” exit from the EU. But there was little evidence of movement after her speech.

[..] There is growing speculation at Westminster that whichever course May pursues, she will be forced to announce that she will ask the EU27 to extend article 50. The prime minister refused to rule out doing so categorically on Monday, saying only that she didn’t believe it should be necessary. “We’re leaving on 29 March. I’ve been clear I don’t believe we should be extending article 50 and I don’t believe we should be having a second referendum,” May said. “We have an instruction from the British people to leave and it’s our duty to deliver on that, but I want to do it in a way that is smooth and orderly and protects jobs and security.”

Read more …

Her own party turns against her, but May’s plans when she loses: fly to Brussels. She should leave and never come back.

100 Of May’s Own MPs Set To Vote Against Her Brexit Deal (Ind.)

Theresa May has made a desperate last-ditch plea begging her own MPs to back her Brexit plans in the face of an expected historic defeat. The prime minister beseeched Conservative MPs at a closed meeting to think of the future of their party and compromise, with around 100 of them considering voting against her. But Brexiteers still left the meeting determined to reject her plans, while Ms May also now faces up to 12 separate attempts from rebel and opposition MPs to re-shape her strategy before the final vote on Tuesday. She gave no indication as to her course of action if she loses, but Labour’s Jeremy Corbyn spoke to his own MPs in a room nearby restating his determination to call a motion of no confidence and trigger an election.

After 19 months of negotiation, a dozen EU summits and countless hours taking questions at the despatch box, Ms May will finally put her Brexit deal to a vote of the Commons on Tuesday. With her final chance to address all MPs coming shortly before the vote due after 7pm, she held a private gathering of Tories on Monday night to try to win over rebels. [..] Much of the opposition to her deal to focuses on the hated “Irish backstop”, which would come into play if no future trading arrangement is in place by December 2020, and could keep the UK in a customs union indefinitely. [..] On Monday night, Ms May’s deal suffered its first official parliamentary defeat in the House of Lords as peers voted by 321 votes to 152 to reject it.

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Every possible outcome will mean chaos.

No-Deal Brexit Means ‘Social And Economic Catastrophe’ -Banks (Ind.)

A no-deal Brexit would be an economic and social “catastrophe”, a senior banking industry leader has warned. Stephen Jones said leaving the European Union (EU) without an agreement could lead to a 1930s-style economic depression, with widespread job losses, homeowners unable to afford their mortgages, and mass defaults on loans. “A no-deal Brexit on 29 March, where we crash out of European Union, is a catastrophe,” the head of the UK Finance trade body told Channel 4 News. “It’s a social catastrophe, it’s an economic catastrophe.” The devastation caused by a disorderly exit would not just hurt the banks’ bottom lines, but hit ordinary people, he warned. “I don’t wish to be labelled a doom mongerer… but if our economy contracts by 10 per cent that’s 1930s-style contraction,” he said.

“That is a massive increase in credit card losses, mortgage losses, vehicle loan losses. “This is about jobs, this is about people not being able to pay their mortgages, not being able to pay back their loans, and that’s really bad news and it’s an outcome we can avoid.” Mr Jones, who leads the British banking sector’s lobby group, added: “I think there is a real risk of No Deal happening by accident… if the prime minister’s deal is voted down, we are in totally uncharted territory.” Asked if he backed Mrs May’s deal to prevent a no-deal scenario, Mr Jones would only say he backed a “solution that avoids a no-deal Brexit”. He added: “It’s not a great deal, there’s an awful lot of money being paid for a political declaration, which quite frankly is not worth the paper it is written on.”

Read more …

People unsure whether epilepsy drugs for their children will be available.

Brexit Preppers: ‘I Don’t Trust The Government To Look After Me Or My Dog’ (G.)

[..] it’s not just about food for Elgarf and her family. One of her four-year-old twins, Nora, who has been sitting happily on her mum’s lap as we talk, has a rare brain condition called polymicrogyria. She has lots of prescriptions, but without two of them – Epilim and Keppra – for her epilepsy, she would have multiple seizures a day. “She can’t do without them,” says Elgarf. Both Epilim and Keppra are imported. If she could stockpile these medicines, she would. But they are controlled, and she can only get a month’s supply at a time. “It should be all right,” she has been told by doctors and the pharmacists. But when it’s your daughter’s life that’s at stake, “it should be all right” isn’t good enough.

Many of the people who join the Facebook group have concerns about medicines, Elgarf says. There are a lot of diabetics and coeliacs among them. What they need is some reassurance. “We need to know for certain they have got a proper plan in place for anybody who depends on meds.” She has heard rumours that the most critical medicines may have to be collected from central hubs, which would be stocked on the basis of lists provided by GPs. [..] Helena, who has a politics degree and works for a charity, doesn’t come across as crazy. None of the people I speak to do. Informed: tick. Cautious: tick. Organised: tick. Very organised, in Helena’s case: she has – and shares with me – a spreadsheet, colour-coded according to what is fully purchased (eg tinned tomatoes and loo paper, alongside a note that the average person uses 110 rolls a year), part-purchased (eg cereal), waiting delivery (powdered coconut), or pending testing (dried falafel mix).

Falafel! I’m going straight round to Helena’s. She also has booze and biscuits. Brexit party in Cardiff on Friday 29 March, everyone. And she’s got makeup! We’re going to be looking good as the good ship Britannia goes down. Helena is not just prepping for herself. She is doing it for her dog, Charlie, too. And while she has about three months’ worth of supplies for herself, she is looking at more like a year for the dog, as she doesn’t see that pet food will be a priority. “I don’t really trust the government to look after me; I certainly don’t trust them to look after my dog,” she says. As well as dog food, there are treats and toys on the spreadsheet. Charlie is going to enjoy a hard Brexit.


Helena’s dog, Charlie, with his Brexit stockpile. Photograph: Gareth Phillips for the Guardian

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Brexit will shake the markets.

Global Economy Fears Grow As China And Eurozone Slump (G.)

Fears are growing over the state of the global economy after China recorded a shock fall in exports, while European factory output declined by the biggest margin in almost three years. In a sign that the worldwide slowdown is gathering pace, official figures showed Chinese exports were down 4.4% in December – the largest fall since 2016 – on the back of faltering demand in most of its key markets. Imports fell 7.6% to reflect waning domestic demand. The unexpected downturn for the biggest global exporter of manufactured products came as eurozone industrial output shrank in November.

The EU statistics office, Eurostat, estimated industrial production slipped 1.7% in November compared with the previous month, and 3.3% on the year, reflecting the struggles facing several European economies in recent months. The latest snapshot confirmed disappointing readings of industrial output in several major eurozone nations, raising the prospect of some of the EU’s biggest economies, including Germany and Italy, slipping into recession in the second half of 2018. Several major European economies, including the UK, have struggled with faltering levels of car production in recent months as factories adjust to handling new vehicle emissions tests introduced after the VW scandal.

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Link to transcript of Lisa Page’s testimonies is here.

Hunting for Golem (Jim Kunstler)

As another president once remarked in a different context — LBJ speaking to a hanger full of grunts in Vietnam — “go on out there, boys, and nail that coonskin to the wall!” That was around the time the war was looking like a lost cause, with 1000 soldiers a month coming home in a box and even the Rotarians of Keokuk, Iowa, starting to doubt the official story of what exactly we thought we were doing over there. It was also, arguably, around the time America stopped being, ahem, “great” and commenced the long, nauseating slide into idiocracy and collapse. The news media has taken LBJ’s place in today’s Wile E. Coyote phase of our history, cheerleading the congressional hunt for the glittering golden scalp of You-Know-Who in the White House.

[..] The CBS 60 Minutes Show took its turn last night with a puff piece on Elijah Cummings (D-Maryland), incoming chairman of the House oversight Committee, which, CBS interlocutor Steve Kroft delighted in pointing out, “can investigate any [old] thing.” And so, Rep. Cummings will be the ringmaster of this new “Greatest Show on Earth,” aimed at climaxing in an orgasmic impeachment operation. Mr. Kroft could hardly contain his glee onscreen. The facts say something a bit different about the actual reality-based Russia Collusion case, namely, that it’s been a two-year smokescreen to cover the collective ass of a rogue leadership in the Department of Justice and its step-child, the FBI, who deliberately and repeatedly broke the law in dishonestly pursuing a way to annul the 2016 election result.

It also reflects darkly on the Obama White House and its participation in all this huggermugger. Wads of information around this matter also came out in the past week — which you can be sure the news media would not touch — including congressional testimony from last July with former FBI lawyer, Lisa Page, revealing that the traffic controller for the so-called Steele Dossier was one John Carlin, Assistant Attorney General at the time, and formerly then-FBI Director Robert Mueller’s chief-of-staff. Ms. Page herself characterized Mr. Carlin as “a political appointee.” Was he Mr. Mueller’s clean-up man?

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Glenn Greenwald makes a valid point comparing the Trump probe with those of Henry Wallace and George McGovern by Hoover. What he misses out on, though, is how they differ: unlike in the cases of Wallace and McGovern, the FBI is now used not just to smear a politician, but to try and oust a president.

FBI Investigation Of Trump As National Security Threat Is A Serious Danger (GG)

It is not difficult to understand what is so ominous and even tyrannical about the FBI investigating domestic political figures whose loyalties they regard as “suspicious,” and whose political career they regard as a “national security threat,” simply because those politicians express policy positions about U.S. adversaries that the FBI dislikes or regards as insufficiently belligerent. It’s the FBI’s job to investigate possible crimes under the law or infiltration by foreign powers, not ideological sins. If a politician adopts policy views that are “threatening” to U.S. national security or which is unduly accommodating to America’s adversaries or “enemies,” that’s not a crime and the FBI thus has no business using its vast investigative powers against a politician who does that.

That’s why it’s so easy to see that Hoover’s investigative scrutiny of Henry Wallace, and George McGovern, and an endless array of domestic dissenters, was so anti-democratic and dangerous. If a politician adopts “threatening” policy views or is too subservient toward or accommodating of a foreign adversary, it’s the job of the American voting public or Congress in its political oversight and lawmaking role to take action, not the FBI’s job to criminalize policy differences through investigations. It should not be difficult for a rational brain free of partisan muck to see this same principle at play when it comes to the FBI’s investigation of Trump on the ground that he may be, in the eyes of FBI officials, a “national security threat.”

Even if you’re someone who hates Trump’s overtures toward Russia or even believes that they are the by-product of excessive subservience to the Kremlin, the dangers of having the FBI take on the role of investigating that rather than the political wings of the U.S. political system should be obvious – as obvious as they are in the case of Henry Wallace and George McGovern. [..] The person elected by the U.S. electorate to make foreign policy for the United States and to determine “America’s interests” was Donald Trump, not the FBI. It’s the role of elected officials in the White House and Congress, not the unelected police agents who report to them, to decide what is and is not in “America’s interests.” If Trump’s foreign policy is misguided or “threatening,” that’s a matter for the Congress and/or the American public, not the FBI.

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More so-called revelations. It’s never been a secret what Trump thinks of NATO in its present form: he thinks the US pays too much. But now the NYT presents this as some dark conspiracy story.

Like the Guardian, the New York Times has moved beyond caring about its credibility: both think there are enough people swallowing everything they get served up.

Trump Reportedly Said He Wanted To Pull The US From NATO (CNBC)

U.S. President Donald Trump privately said several times last year that he wanted to withdraw his country from the North Atlantic Treaty Organization, The New York Times reported on Monday. The newspaper’s findings, which cited unnamed senior administration officials, are likely to resurface worries of a breakdown in the military alliance that was created in 1949 by the United States, Canada and some European nations. Those concerns were first sparked last year when the U.S. leader hinted that he could leave the 29-member defense bloc without Congressional approval. At the time, Trump was pushing member countries to increase spending. Since then, however, the Republican has backtracked on that threat.

After a chaotic NATO meeting in July 2018, Trump claimed that allies had committed to his request and said that U.S. withdrawal from the organization would be “unnecessary.” Responding to the New York Times’ report, a White House official repeated some of Trump’s remarks from July when the president said Washington’s commitment to NATO is “very strong” and the alliance is “very important.” As the Times notes, a weakened NATO is thought to be a major geopolitical goal of Russian President Vladimir Putin. Trump’s dislike for participation in international organizations is well known to global leaders by now. Early in his White House tenure, the president withdrew the U.S. from the Paris climate accord and a massive Pacific trade pact.

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If the Guardian, or another British paper, runs an entirely false story like this about you or me, we would need to raise a similar amount just to defend ourselves from such smear.

WikiLeaks Starts Suing Guardian Over Assange-Manafort Fake News Story (RT)

WikiLeaks says it has collected enough funds to file a lawsuit against the Guardian for publishing an uncorroborated story about alleged meetings between former Trump campaign manager Paul Manafort and Julian Assange. The whistleblowing website has thanked all its supporters who contributed to its GoFundMe campaign, launched on November 27 following the publication of an article by the Guardian, which claimed that US President Donald Trump’s disgraced former campaign manager Paul Manafort had held secret talks with Julian Assange at least three times in the Ecuadorean embassy in London, where the Australian has been holed up since 2012.

The donations have recently hit the $50,000 threshold, enabling the whistleblowing site to formally launch proceedings against the renowned British newspaper, WikiLeaks said, calling on its supporters to keep the money flowing. “Legal action will now commence (but more is required to complete),” it tweeted on Monday. When it launched the campaign, WikiLeaks set up the ambitious target of $300,000. It has so far raised $51,749. WikiLeaks seeks to challenge the Guardian in court over its source-based ‘bombshell,’ co-authored by its former Moscow correspondent Luke Harding, alleging that Manafort had traveled to London three times over four years prior to the publication of the Democratic National Committee (DNC) email leaks.

The report relies on Ecuadorean intelligence sources and documents provided to the Guardian by the country’s intelligence agency. In its GoFundMe appeal, WikiLeaks suggested that the intelligence agency might have deliberately fed the British publication false information, which it was happy to take at a face value. WikiLeaks also noted that it was not the first time the Guardian put out a false story about Assange.

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Just the tip of the iceberg. Happy driving.

Antarctic Losing 500% More Ice A Year Than In 80s – NASA (Ind.)

The Antarctic ice sheet is losing six times as much ice each year as it was in the 1980s and the pace is accelerating, one of the most comprehensive studies of climate change effects on the continent has shown. More than half an inch has been added to global sea levels since 1979, but if current trends continue it will be responsible for metres more in future, the Nasa-funded study found. The international effort used aerial photos, satellite data and climate models dating back to the 1970s across18 Antarctic regions to get the most complete picture to date on the impacts of the changing climate. It found that between 1979 and 1990 Antarctica lost an average of 40 gigatonnes (40 billion tonnes) of its mass each year.

Between 2009 and 2017 it lost an average 252 gigatonnes a year. This has added 3.6mm per decade to sea levels, or around 14mm since 1979, the study shows. “That’s just the tip of the iceberg, so to speak,” Professor Eric Rignot from University of California, Irvine and lead author of the study published in Nature Geoscience. “As the Antarctic ice sheet continues to melt away, we expect multi-metre sea level rise from Antarctica in the coming centuries.”

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“..the wall “may very well lead to the extinction of the jaguar, ocelot … and other species”..”

Wildlife: The Real Crisis At The US-Mexico Border (PI)

While debate swirls around the border wall — whether it’s immoral, whether it even works — one huge impact, while understood, is just not being discussed: The wall is already an ecological catastrophe, devastating rare and endangered species, carving up critical habitats, exacerbating flooding, even worsening climate change. The Center for Biological Diversity estimates that the wall “may very well lead to the extinction of the jaguar, ocelot … and other species” in America. This is tragic, as the 2,000-mile border, stretching from the Pacific to the Gulf of Mexico along the Rio Grande, passes through three mountain chains, North America’s two largest deserts, and the Tijuana Estuary, a salt marsh that offers habitat for 400 species of birds.

An astonishing 25 million acres of protected public lands lies near the border on the American side, including wildlife refuges, national parks, and wilderness areas with large refuges on the Mexican side as well, all created by the long, hard work of many organizations and agencies aiming to protect land that is biologically unique and fragile. It’s a diverse area, too: A 2011 study documented 134 mammal, 178 reptile, and 57 amphibian species living in the wall region; 56 of these species that already been hurt by the wall, including five that are at risk for extinction, one the jaguarundi, a small cat.

The jaguar, that cat’s bigger cousin, is the poster child for the wall’s ecological impact. Once hunted to extinction in the U.S., jaguars in northern Mexico have been spotted moving back into Arizona. Protected both here and in Mexico, its U.S. recovery plan — written by the federal government (!) — calls for free movement of these 300-pound predators across the border. The few cats that have reclaimed their American habitat will not recover if they cannot return to Mexico to find mates.


Fernando Llano / AP

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And there’s no panic. There’s hardly any concern. The web of life is disappearing and we watch TV.

98% Of Ground Insects Vanish From Puerto Rican Rainforest In 35 Years (G.)

Scientist Brad Lister returned to Puerto Rican rainforest after 35 years to find 98% of ground insects had vanished “We knew that something was amiss in the first couple days,” said Brad Lister. “We were driving into the forest and at the same time both Andres and I said: ‘Where are all the birds?’ There was nothing.” His return to the Luquillo rainforest in Puerto Rico after 35 years was to reveal an appalling discovery. The insect population that once provided plentiful food for birds throughout the mountainous national park had collapsed. On the ground, 98% had gone. Up in the leafy canopy, 80% had vanished. The most likely culprit by far is global warming.

“It was just astonishing,” Lister said. “Before, both the sticky ground plates and canopy plates would be covered with insects. You’d be there for hours picking them off the plates at night. But now the plates would come down after 12 hours in the tropical forest with a couple of lonely insects trapped or none at all.” “It was a true collapse of the insect populations in that rainforest,” he said. “We began to realise this is terrible – a very, very disturbing result.” Earth’s bugs outweigh humans 17 times over and are such a fundamental foundation of the food chain that scientists say a crash in insect numbers risks “ecological Armageddon”. When Lister’s study was published in October, one expert called the findings “hyper-alarming”.

The Puerto Rico work is one of just a handful of studies assessing this vital issue, but those that do exist are deeply worrying. Flying insect numbers in Germany’s natural reserves have plunged 75% in just 25 years. The virtual disappearance of birds in an Australian eucalyptus forest was blamed on a lack of insects caused by drought and heat. Lister and his colleague Andrés García also found that insect numbers in a dry forest in Mexico had fallen 80% since the 1980s. “We are essentially destroying the very life support systems that allow us to sustain our existence on the planet, along with all the other life on the planet,” Lister said. “It is just horrifying to watch us decimate the natural world like this.”

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Dec 292018
 
 December 29, 2018  Posted by at 11:58 am Finance Tagged with: , , , , , , , ,  


Sandro Botticelli Portrait of a Young Woman 1480 – 1485

 

Can an Inverted Yield Curve CAUSE a Recession? (St. Louis Fed)
The Malaysia Scandal Is Starting to Look Dire for Goldman Sachs (Taibbi)
How Crazy This Week Was For The Stock Market, In One Big Chart (MW)
Record-Bad Year-End For $1.3-Trillion “Leveraged Loan” Market (WS)
US Debt Soars $1.4 Trillion From Last Christmas, $44,000 Per Second (RT)
US Home Sales Decline To Steepen, No Respite In Sight. (WS)
Which Side Are You On? (Jim Kunstler)
Universal Basic Income Is Easier Than It Looks (Ellen Brown)
Guilty By Innuendo: The Guardian Campaign Against Julian Assange (Canary)

 

 

The St. Louis Fed says yes.

Can an Inverted Yield Curve CAUSE a Recession? (St. Louis Fed)

An inverted yield curve—or a situation in which market yields on shorter-term U.S. Treasury securities exceed those on longer-term securities—has been a remarkably consistent predictor of economic recessions. However, simply because inversions forecast recessions does not necessarily mean that inversions cause recessions. Why might a yield curve inversion cause economic activity to slow?

Recently, the Federal Reserve asked banks how their lending policies might change in response to a hypothetical moderate inversion of the yield curve.1 Many of those surveyed indicated that they would tighten lending standards or price terms on every major loan category. When asked why they would do so, several potential reasons were given: • An inversion could cause loans to be less profitable relative to the bank’s cost of funds. • An inversion would cause their banks to be less risk tolerant. • An inversion may signal a less favorable or more uncertain economic outlook. The figure below illustrates the tendency of banks to tighten lending terms when the yield curve inverts. It plots the yield on 10-year Treasury securities minus the yield on two-year securities.

Normally, the yield on 10-year securities exceeds the yield on two-year securities, reflecting the fact that the yield curve is usually upward sloping. The yield curve is downward sloping (or inverted) when the yields on shorter-term securities are higher than those on longer-term securities, as in 2000 and 2006. Both of those inversions were followed by the start of a recession within a few months. The Fed has surveyed banks on their lending terms continuously since 1990. The chart shows that the net percentage of banks tightening their lending standards on commercial and industrial loans began to rise around the time that the yield curve inverted in 2000 and 2006.

Why is this important? Researchers have found that the economy tends to slow after banks tighten their lending standards, suggesting that an inversion of the yield curve could cause economic activity to slow by leading banks to reduce the supply of loans. Thus, an inverted yield curve might do more than predict a recession: It might actually cause one.

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“..like a massage price that suggests you’re probably getting more than a massage.”

The Malaysia Scandal Is Starting to Look Dire for Goldman Sachs (Taibbi)

Goldman Sachs, which has survived and thrived despite countless scandals over the years, may have finally stepped in a pile of trouble too deep to escape. There’s even a Donald Trump angle to this latest great financial mess, but the outlines of that subplot – in a case that has countless – remains vague. The bank itself is in the most immediate danger. The company’s stock rallied Thursday to close at 165, stopping a five-day slide in which the firm lost almost 12 percent of its market value. The company is down 35 percent for the year, most of that coming in the past three months as Goldman has been battered by headlines about the infamous 1MDB scandal.

Just before Christmas, Malaysian authorities filed criminal charges against Goldman, seeking a stunning $7.5 billion in reparations for the bank’s role in the scandal. Singapore authorities also announced they were expanding their own 1MDB probe to include Goldman. In the 1MDB scheme, actors tied to former Malaysian Prime Minister Najib Razak allegedly siphoned mountains of cash out of a state investment fund. The misrouted money went to lavish parties with celebrity guests like Alicia Keys, a $35 million jet, works by Monet and Van Gogh, property in New York, Los Angeles and London, and (ironically) the funding of the movie The Wolf of Wall Street.

The cash for this mother of all bacchanals originally came from bonds issued by Goldman, which earned a whopping $600 million from the Malaysians. The bank charged prices for its bond issuance that analysts believe were suspiciously high – like a massage price that suggests you’re probably getting more than a massage.

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Not crazy, but the new normal. Because no market.

How Crazy This Week Was For The Stock Market, In One Big Chart (MW)

This Christmas week really was one for the history books. Whiplash, anyone? On Monday, the Dow Jones Industrial, the S&P 500 and the Nasdaq all booked their ugliest-ever plunges in the shortened Christmas Eve trading session. All three indexes rebounded Wednesday, only to sink early Thursday and then turn around in dramatic fashion to finish the session higher. The week finished Friday with an indecisive whimper, as stocks flipped back and forth between gains and losses all day long. The week’s sharp moves were attributed mostly to light holiday trading volume and computer-driven trading. But the ups and downs during a usually calm period are no doubt stoking investor anxiety about what’s to come.

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“..loan funds [must] hold considerable amounts of cash so that they can meet redemptions.”

Leveraged loans and considerable amounts of cash. That don’t rhyme.

Record-Bad Year-End For $1.3-Trillion “Leveraged Loan” Market (WS)

Part of the $1.3 trillion in “leveraged loans” — loans issued by junk-rated overleveraged companies — end up in loan mutual funds and loan ETFs. These funds saw another record outflow in the week ended December 26: $3.53 billion, according to Lipper. It was the sixth outflow in a row, another record. Over the past nine weeks, $14.8 billion had been yanked out, another record. These outflows are, as LCD, a unit of S&P Global Market Intelligence, put it, “punctuating a staggering turnaround for the asset class” that until October was red-hot. Despite $10 billion of net inflows during 2018 through early October, the record outflows at the end of the year caused a net outflow for the entire year of $3.1 billion. What a sudden turnaround!

It can take a long time to sell a leveraged loan. Each is a unique contract, and finding a buyer and agreeing on a price and completing the sale takes time. So loan funds hold considerable amounts of cash so that they can meet redemptions. But now, loan funds faced with this onslaught of redemptions have to dump loans in order to stay ahead of the redemptions and maintain a cash cushion. This forced selling by loan funds has caused prices to drop – which is further motivating investors to yank even more out of those loan funds. Since October 22, the S&P/LSTA US Leveraged Loan 100 Index, which tracks the prices of the largest leveraged loans, has dropped 4.8%. This price decline put the index back where it had been on October 5, 2017. But note, while there have been some defaults recently, the big wave of defaults that many expect in an environment where credit is tightening for risky corporate borrowers, hasn’t even started yet. These are still the good times:

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“..Christmas-to-Christmas growth in the federal debt equals approximately $4,178.10 per average US citizen..”

US Debt Soars $1.4 Trillion From Last Christmas, $44,000 Per Second (RT)

The year-on-year surge in US sovereign debt has totaled $1.37 trillion, the latest data released by the US Treasury Department shows. The national debt reportedly rose to $21,863,635,176,724.12 as of December 20 of the current year compared to $20,492,874,492,282.58 on December 25, 2017. The current US population stands at 328,082,386 according to the December statistics produced by the Census Bureau, a unit of the US Department of Commerce. Rough calculations show that Christmas-to-Christmas growth in the federal debt equals approximately $4,178.10 per average US citizen.

According to Census Bureau estimates, there were 127,586,000 households in the country in 2018, which means that an average American family owes some $10,743.82. Moreover, since the end of the last fiscal year through December 20, the federal government added some $340 billion to the country’s sovereign debt. That means the debt had been skyrocketing at around $3.8 billion per day, or nearly $44,000 per second. US debt is expected to hit $22 trillion in the near future and the ongoing government spending will drive the debt to $33 trillion within a decade.

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Remeber: this is what the economy runs on. This is how money enters that economy.

US Home Sales Decline To Steepen, No Respite In Sight. (WS)

Pending home sales is a forward-looking measure. It counts how many contracts were signed, rather than how many sales actually closed that month. There can be a lag of about a month or two between signing the contract and closing the sale. This morning, the National Association of Realtors (NAR) released its Pending Home Sales Index for November, an indication of the direction of actual sales to be reported for December and January. This index for November fell to the lowest level since May 2014:

“There is no reason to be concerned,” the report said, reassuringly. And it predicted “solid growth potential for the long-term.” And the index plunged 7.7% compared to November last year, the biggest year-over-year percentage drop since June 2014. The drops in October and November are indicated in red:

All four regions got whacked by year-over-year declines: • Northeast : -3.5% • Midwest: -7.0% • South: -7.4% • West: -12.2%. The plunge in pending home sales in the West, a vast and diverse region, will prolong the plunge in closed sales for the region. Particularly on the West Coast, the largest and very expensive markets — Seattle metro, Portland metro, Bay Area, and Los Angeles area — have been experiencing sharp sales declines, a surge in inventory for sale, and starting this summer, declining prices. Today’s pending home sales data confirms that these trends are intact and will likely continue.

The NAR report blames the sales decline in the expensive markets in the West on “affordability challenges” – because prices “have risen too much, too fast,” it said. And this is a true and huge problem: Home prices have shot up for years, even while wages ticked up at much slower rates. At some point, the market is going to run out of people with median incomes who are willing to stretch to the limit to buy a starter shack; and the market is going to run out of people with high incomes who are willing to stretch to the limit to buy a median house.

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“..economies don’t de-grow, at least not in an orderly way.”

Which Side Are You On? (Jim Kunstler)

The true rebalancing of pension funds, and everything else in American life, will come with the recognition that we are tapped out and bumping up against actual limits. Alas, economies don’t de-grow, at least not in an orderly way. They reach a certain complete efflorescence and then they wilt, or collapse. Survival becomes a matter of how human beings adapt to new conditions. Attempts at mitigation — propping up the status quo — add up to a mug’s game, whether it’s stock markets, agri-biz, political parties, weather systems, or influence over people in distant lands.

The argument will come down to the Mitigationists versus the Adapters. The problem for the Mitigators is that most of what they can do is based on pretending: e.g. that some energy miracle is at hand… that we’ll soon be mining asteroids… that we’ll build dikes around Miami Beach… that Modern Monetary Theory (the “science” of getting something for nothing) can negate the physical laws of the universe. The Mitigationists will be disappointed as they “consume” their last images of iPhone porn, waiting for Elon Musk to save the world.

The Adapters will be out there working with the changes that reality serves up, probably with hand tools. There may be a lot fewer of them, living in a more austere everyday economy, but they will remain onstage when the Mitigationists depart this earth in tears for a mysterious realm that turns out not to be a golf course subdivision on Mars with a Tesla in every driveway. Something’s coming and the wild algo instability in the markets is yet another sign that anybody can read. Even if it quiets down for a few weeks in early 2019, as I think it may, the fireworks are only beginning. Which side are you on?

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Maybe not in practice, though.

Universal Basic Income Is Easier Than It Looks (Ellen Brown)

Calls for a Universal Basic Income have been increasing, most recently as part of the Green New Deal introduced by Rep. Alexandria Ocasio-Cortez (D-NY) and supported in the last month by at least 40 members of Congress. A Universal Basic Income (UBI) is a monthly payment to all adults with no strings attached, similar to Social Security. Critics say the Green New Deal asks too much of the rich and upper-middle-class taxpayers who will have to pay for it, but taxing the rich is not what the resolution proposes. It says funding would primarily come from the federal government, “using a combination of the Federal Reserve, a new public bank or system of regional and specialized public banks,” and other vehicles.

The Federal Reserve alone could do the job. It could buy “Green” federal bonds with money created on its balance sheet, just as the Fed funded the purchase of $3.7 trillion in bonds in its “quantitative easing” program to save the banks. The Treasury could also do it. The Treasury has the constitutional power to issue coins in any denomination, even trillion dollar coins. What prevents legislators from pursuing those options is the fear of hyperinflation from excess “demand” (spendable income) driving prices up. But in fact the consumer economy is chronically short of spendable income, due to the way money enters the consumer economy. We actually need regular injections of money to avoid a “balance sheet recession” and allow for growth, and a UBI is one way to do it.

The pros and cons of a UBI are hotly debated and have been discussed elsewhere. The point here is to show that it could actually be funded year after year without driving up taxes or prices. New money is continually being added to the money supply, but it is added as debt created privately by banks. (How banks rather than the government create most of the money supply today is explained on the Bank of England website) A UBI would replace money-created-as-debt with debt-free money – a “debt jubilee” for consumers – while leaving the money supply for the most part unchanged; and to the extent that new money was added, it could help create the demand needed to fill the gap between actual and potential productivity.

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This is a nice effort from Tom Coburg for the Canary, and very much in line with some of the things I’ve said. But he misses an enormous elephant, and it’s hard to see how. See, he cites a May 18 2018 article by Luke Harding, Dan Collyns and Stephanie Kirchgaessner as the instant when the Guardian campaign against Assange started. But just three days prior to that, on May 15, the same authors posted 3 articles about Assange and his relations with Ecuador that are pure smear and very much part of the campaign against Assange. I linked to these things in my May 16 article, “I Am Julian Assange”

Guilty By Innuendo: The Guardian Campaign Against Julian Assange (Canary)

An analysis of articles published by the Guardian over several months reveals what appears to be a campaign to link WikiLeaks founder Julian Assange with Russia and the Kremlin. But the paper has provided little or no evidence to back up the assertions. And amid recent revelations that Guardian journalists have associated with the psychological operations experts at the Integrity Initiative, we should perhaps be more sceptical than ever before. This particular campaign by the Guardian appears to have begun with an article on 18 May 2018 from Luke Harding, Dan Collyns and Stephanie Kirchgaessner.

It stated that “Assange has a longstanding relationship with RT”, the Russian TV broadcaster; and the headline was Assange’s guest list: the RT reporters, hackers and film-makers who visited embassy. Assange has had hundreds of people visit him at the embassy, but the article was keen to focus on the “senior staff members from RT, the Moscow TV network described by US intelligence agencies as the Kremlin’s ‘principal international propaganda outlet’”. On the same day, the Guardian published another article, claiming that Assange had visits from “individuals linked to the Kremlin”, but which offered no evidence for this.

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Dec 262018
 
 December 26, 2018  Posted by at 10:56 am Finance Tagged with: , , , , , , , , , , ,  


Caravaggio Burial of St. Lucy 1608

 

US Prepares To Hit The Wall As Reckless Trump Undoes Years Of Hard Work (G.)
Trump Urges Americans To Buy The Dip; Voices Confidence In Mnuchin, Powell (ZH)
Trump’s Frustration With Mnuchin Rising – Source (CNN)
BOJ’s Kuroda Further Waters Down Pledge To Hit Inflation Target Quickly (R.)
Japan To Resume Commercial Whaling (AFP)
Asian Stocks Slip On US Shutdown Worries, Trump’s Fresh Criticism Of Fed (MW)
Asian Stocks Retreat As US Political Tumult Adds To Growth Worry (R.)
‘We’re Not Far From Zuckerberg Getting Subpoenaed’ (Ind.)
How Can We Break The Brexit Deadlock? Ask Ancient Athens (Bridle)
Brexit Made The UK A Global Joke. Can We Rebuild Our Reputation? (Kampfner)
Arab League Set To Readmit Syria Eight Years After Expulsion (G.)
More Than 50 Australian Plant Species Face Extinction Within Decade (G.)

 

 

Can’t make it up (fast enough): I used 6 anti-Trump Guardian articles from December 23 in my article yesterday, Dumping on the Donald. But guess what: I still missed one from that day. The contents are completely empty, but they really wanted to get the headline in.

US Prepares To Hit The Wall As Reckless Trump Undoes Years Of Hard Work (G.)

The accomplishments of a US president’s first year in office can be credited to his predecessor, at least where the economy is concerned. And Donald Trump was handed the best performing economy on the planet. All the tough decisions – to refinance the banks, rescue the car companies and deflate the real-estate bubble – had been made. The stock market was tearing along, setting records almost every week. Trump gave this rising balloon extra air with $1tn of tax cuts. It was borrowed money, but no matter. The economy sailed along for another year and the stock market carried on rising. His plan was to win the midterm congressional elections and then persuade the Republican party to give him another $1tn, or as near to it as possible.

In other words, he would use another pile of borrowed cash to pump up the economy again, hoping against hope that it would not blow up before his re-election. Without control of the House of Representatives, his plans are in ruins. And that was obvious to stock and bond traders, who followed the vote in November by putting a sell sign over their maps of America. December has proved to be the worst month for shares in many decades. Oil prices have slumped and the market is expecting worse to come in the new year. The reasons for pessimism are piling up. From the Atlantic to the Pacific, US home sales are struggling, with agents reporting that there are not enough buyers and asking prices are not being met.

[..] And in recent days Trump has given markets something else to worry about – building the wall. His threat to shut down the government if Congress refuses to provide him with the money for a pan-American border fence with Mexico has spooked traders. This reckless threat was preceded by the surprise decision to pull US troops out of Syria. If Trump could make such a move without consulting important allies, then perhaps he was capable of the “long shutdown” he has promised in his tweets. With ever fewer calming voices in the White House to rein in the president’s wilder excesses, it’s understandable that the finance industry is jittery about the prospects for 2019.

Read more …

Trump likes Mnuchin. Who’s been around from the get-go. And of course both know there are hard times ahead.

Trump Urges Americans To Buy The Dip; Voices Confidence In Mnuchin, Powell (ZH)

“We have companies, the greatest in the world, and they’re doing really well,” Trump told reporters at the White House on Christmas Day. “They have record kinds of numbers. So I think it’s a tremendous opportunity to buy. Really a great opportunity to buy.” Trump’s invocation to BTFD came one day after the most violent Christmas Eve selloff on record, and the day when the S&P fell not only to its lowest level in 20 months, but also slumped into a bear market. For Trump, the stock market has served as a barometer on his administration, and while he was pointing out virtually every major uptick for the past two years, the recent plunge has infuriated him, leaving him mute on any market-related topic.

But a more important catalyst for a potential Wednesday rally came when Trump appeared to back off on his demands that the Fed stop hiking, which culminated with Trump reportedly seeking to fire Fed Chair Powell and speculation that if the market does not stop falling, Treasury Secretary Mnuchin may also be on the chopping block. Alongside urging Americans to BTFD, Trump expressed confidence in the Treasury secretary and the Federal Reserve, in an attempt to calm financial markets further roiled after a recent Bloomberg report that the president had discussed firing the central bank’s chairman over raising interest rates.

Asked about Fed Chairman Jerome Powell, Trump said the central bank is “raising interest rates too fast” but he has “confidence” that the Fed will “get it pretty soon.” Trump was also asked if he has confidence in Treasury Secretary Steven Mnuchin who sparked a market panic on Monday with his late Sunday statement in which he said he had called the CEOs of the top 6 banks to make sure bank liquidity levels are fine (prompting a frenzy of question what he knows that the rest of the market does not) and followed it up with a call with the Plunge Protection Team on Monday, which however failed to prevent one of the worst one-day routs in history . Trump’s response: “yes I do, very talented guy, very smart person.”

While answering questions from reporters at the White House after addressing U.S. armed forces members on a Christmas Day video conference call, Trump also said the Fed is hiking borrowing costs because the “economy is doing so well” – which is accurate, however it is the market that is spooked by the aggressive tightening – adding that U.S. companies are having “record kinds of numbers” and it’s a “tremendous opportunity to buy.” The remarks represented Trump’s first expression of public support for Mnuchin and Powell since Bloomberg reported last week that the president has discussed dismissing Powell who was recommended by Mnuchin. Overnight, Bloomberg also reported that the president also weighed dismissing Mnuchin, while another said that Mnuchin’s tenure may depend in part on how much markets continue to drop.

Read more …

But CNN has found an anonymous source who claims Mnuchin is on his way out. Bloomberg claimed something similar.

Is it getting through to people that nothing CNN has to say about Trump has any news value?

Trump’s Frustration With Mnuchin Rising – Source (CNN)

President Donald Trump’s frustration with Treasury Secretary Steven Mnuchin is ratcheting up further after markets suffered their worst Christmas Eve drop ever despite Mnuchin’s attempts to calm Wall Street, according to a source close to the White House. The source told CNN that Mnuchin could be in “serious jeopardy” with Trump, who regularly rages at Cabinet members he feels have made mistakes, before he cools off. Trump nevertheless vouched for Mnuchin publicly, shifting blame for the market volatility to the Federal Reserve instead. “Yes, I do,” Trump said Tuesday when asked whether he had confidence in Mnuchin. “Very talented, very smart person.”

But the source painted a different picture of Mnuchin’s standing behind the scenes. “Mnuchin is under the gun,” the source said. The Treasury secretary left Washington for a Christmas holiday in Mexico’s Cabo San Lucas as the federal government shut down over the weekend, while Trump canceled his own planned trip to his Mar-a-Lago resort in Florida and remained cooped up in the White House over the holiday, absorbing a flood of negative news about the markets. Mnuchin aides have been scrambling to find economic data to help their boss calm Trump down, but Trump was said to be unhappy with what Mnuchin was telling him, this source said. An administration source dismissed the latest round of rumors that the secretary’s continued tenure was on the line. “This is nonsense,” they said.

Read more …

Abenomics bleeds to death very slowly and even more expensively.

BOJ’s Kuroda Further Waters Down Pledge To Hit Inflation Target Quickly (R.)

Conceding it was taking longer than expected to achieve 2 percent inflation, Kuroda said global risks have “come to warrant further attention” as China’s growth slows and trade frictions hurt business sentiment. He also said the BOJ must be mindful of the rising costs of prolonged monetary easing, such as the chance years of near-zero rates could hurt financial institutions’ profits and discourage them from boosting lending. “The BOJ will proceed step by step toward achieving its price target, while taking into account in a balance manner not only the benefits of monetary easing but also its costs,” Kuroda told an annual meeting of business lobby Keidanren on Wednesday. Up till now, Kuroda has repeatedly said the BOJ will seek to achieve 2 percent inflation “at the earliest date possible.”

[..] The BOJ is caught in a bind. With inflation distant from its target, it is forced to maintain a massive stimulus despite the negative spillovers. Its dwindling policy ammunition limits the ability to ramp up stimulus to prevent another recession. The dilemma has created a rift within the BOJ with its board members disagreeing on ways to address the dangers of prolonged easing, minutes of the October rate review showed. Kuroda said the situation has changed from when the BOJ deployed a massive asset-buying program in 2013, when such a drastic action was critical to pull Japan out of stagnation. Now, the economy is in good shape but inflation remains weak and closer attention is needed to overseas risks, he said. “In complex times like now, what’s required is to persistently continue with the current powerful easing while weighing the benefits and costs of our policy in a balanced manner,” Kuroda said.

Read more …

Nobody wants whale hunts. They’re arcane and stupid. So stop buying Japanese cars and electronics. Get organized. Either boycott them completely or hold your tongue.

Japan To Resume Commercial Whaling (AFP)

Japan said Wednesday it is withdrawing from the International Whaling Commission and will resume commercial whaling next year, sparking criticism from activists and anti-whaling countries including Australia. The announcement comes after Japan failed earlier this year to convince the IWC to allow it to resume commercial whaling. Top government spokesman Yoshihide Suga said the commercial hunts would be limited to Japan’s territorial waters. “We will not hunt in the Antarctic waters or in the southern hemisphere,” he added. Tokyo has repeatedly threatened to pull out of the IWC, and has been regularly criticised for catching hundreds of whales a year for “scientific research” despite being a signatory to a moratorium on hunting the animals.

Suga said Japan would officially inform the IWC of its decision by the end of the year, which will mean the withdrawal comes into effect by June 30. Leaving the IWC means Japanese whalers will be able to resume hunting in Japanese coastal waters of minke and other whales currently protected by the IWC. But Japan will not be able to continue the so-called scientific research hunts in the Antarctic and elsewhere that it has been exceptionally allowed as an IWC member. Japan joins Iceland and Norway in openly defying the IWC’s ban on commercial whale hunting, and its decision sparked international criticism.

Read more …

I think they slip because their economies are in trouble.

Asian Stocks Slip On US Shutdown Worries, Trump’s Fresh Criticism Of Fed (MW)

Asian markets were mostly lower on Wednesday after President Donald Trump said that there was “nothing new” in efforts to end the partial government shutdown over a U.S.-Mexico border wall. Traders had no fresh leads from Wall Street, which was closed on Christmas. U.S. stocks are headed for their worst December since the Great Depression in 1931. South Korea’s Kospi, 1.3% to 2,028.01 and the Shanghai Composite Index shed 0.3% to 2,498.29. Japan’s Nikkei, which plunged 5% on Tuesday, picked up 0.9 percent to 19,327.06. Shares fell Taiwan and throughout Southeast Asia. Markets in Hong Kong and Australia were closed.

The partial shutdown of the U.S. government that started Saturday shows no signs of abating. “Nothing new. Nothing new on the shutdown. Nothing new. Except we need border security,” Trump told reporters. The White House said Trump will reject any deal that does not include any funding for a wall or a fence. The Democrats have opposed this and are offering $1.3 billion for security. The routines of 800,000 federal employees are expected to be disrupted by the shutdown, but essential services will keep running. Trump’s criticism of the U.S. central bank triggered a drop in Asian equities on Tuesday. “The only problem our economy has is the Fed,” the president said on Twitter.

“They don’t have a feel for the Market, they don’t understand necessary Trade Wars or Strong Dollars or even Democrat Shutdowns over Borders.” Trump has since said since that interest rate hikes were a “form of safety” for an economy that was doing well, while stressing that the Fed was raising rates too quickly. “The outsized moves are not reflective of the current U.S. economic landscape, but that seems to matter little so far as fear mongering continues to permeate every pocket of global capital markets,” Stephen Innes of OANDA said in a market commentary.

Read more …

Trump brings down Asian stocks. Didn’t win your Christmas lottery? You know who to blame.

Asian Stocks Retreat As US Political Tumult Adds To Growth Worry (R.)

Asian stock markets retreated again on Wednesday, extending a rout that began last week as U.S. political uncertainty exacerbated worries over slowing global economic growth. Investors were unnerved by the U.S. federal government partial shutdown and President Donald Trump’s hostile stance toward the Federal Reserve chairman. U.S. Treasury Secretary Steven Mnuchin had also raised market concerns by convening a crisis group amid the pullback in stocks. S&P 500 emini futures were last down 0.6 percent, pointing toward a lower start for Wall Street when the U.S. market reopens after Christmas Day, when many of the world’s financial markets were shut.

Markets in Britain, Germany and France will remain closed on Wednesday. MSCI’s broadest index of Asia-Pacific shares outside Japan slipped 0.5 percent, brushing a two-month low. The Shanghai Composite Index lost 0.4 percent while South Korea’s KOSPI shed 1.6 percent. Japan’s Nikkei, which slumped 5 percent the previous day, had a volatile session. It swerved in and out of the red, falling more than 1 percent to a 20-month-low at one stage, before ending the day with a gain of 0.9 percent. “In addition to concerns toward the U.S. economy, the markets are now having to grapple with growing turmoil in the White House which has raised political risk ahead of the year-end,” said Masahiro Ichikawa, senior strategist at Sumitomo Mitsui Asset Management.

Read more …

The CIA and MI6 are watching.

‘We’re Not Far From Zuckerberg Getting Subpoenaed’ (Ind.)

David Carroll, an associate professor at Parsons School of Design in New York, said this week may finally have dealt Facebook its “knockout” blow. As an outspoken critic of the way Facebook uses people’s data, Prof Carroll is currently suing Cambridge Analytica under the Data Protection Act following the UK firm’s role in mining data from 87 million Facebook users for the purpose of political profiling during the 2016 US presidential elections. But the latest revelations that other tech firms were given access to people’s private messages was beyond even what he thought Facebook was capable of. “Even as someone who is deeply sceptical of Facebook, I was surprised by the latest revelations,” he told The Independent.

“I didn’t know it could be that bad in terms of scope and scale. But it all seems to fit with Zuckerberg’s master plan for global domination.” The first lawsuit against Facebook regarding the Cambridge Analytica scandal, which affected more than 87 million users, comes courtesy of the attorney general of the District of Columbia. It is unlikely to be the last, given Facebook is also currently facing probes by the US Securities and Exchange Commission, the Federal Trade Commission and the Department of Justice – and that’s just in the US. A relatively insignificant fine of £500,000 that was handed to Facebook in the UK may be dwarfed following investigations by the Irish data protection regulator, which are being seen as the first serious test of Europe’s new General Data Protection Regulation.

But with more than 2 billion users worldwide and an annual revenue of more than $40 billion in 2017, it will take more than a fine to have any significant impact on Facebook. Prof Carroll has called for Facebook CEO Mark Zuckerberg and other senior executives to be subpoenaed and thinks it might not be long before that becomes a reality. “We need to get them under oath and ask them questions they cannot dodge. It will depend on the Mueller investigation. It’s imaginable additional facts come to our knowledge to justify Zuckerberg’s subpoena and we find out how much he knew and when. We need more to justify it but we’re not that far from getting there.”

Read more …

Elect your decision makers at random. That way they can’t be bought by special interests. And that’s just one of many advantages.

James Bridle is the author of New Dark Age: Technology and the End of the Future.

How Can We Break The Brexit Deadlock? Ask Ancient Athens (Bridle)

In the central marketplace of ancient Athens, around 350BC, there stood a machine called the kleroterion. This was a six-foot-high slab of stone that had a series of slots on the front, and a long tube bored down from the top to the base. Those up for selection for the various offices of state would insert metal ID tags, called pinakia, into the slots, and a functionary would pour a bucket of coloured balls, suitably shaken, into the top of the tube. The order in which the balls emerged would determine who took which role, some for the day, some for a year.

Today the kleroterion survives, in fragments, in Athens’ Museum of the Ancient Agora, alongside other pieces of democratic technology such as the clepsydra, a water clock used to time orators’ speeches and the fragments of pottery, called ostraka, on which they scratched the names of the too-powerful politicans they wished to see banished from the city, and from which we derive the modern word “ostracism”. The method of governance embodied in the kleroterion, which dates back to the very establishment of democracy, is called sortition, meaning selection by lot, as opposed to election by vote. The Athenians believed that the principle of sortition was critical to democracy. Aristotle declared that: “It is accepted as democratic when public offices are allocated by lot; and as oligarchic when they are filled by election.”

But along the way, sortition – and the even more exciting possibility of actual banishment – has fallen out of most democracies’ toolkits. Sortition in ancient Athens had a number of important qualities. First, those eligible for selection included the entire suffrage (which, it must be noted, was at the time limited to adult male citizens). Second, it applied to much more than jury selection, which is the only form in which sortition survives in most places today, and included magistrates, legislators and the main governing councils of the city – all the important posts, in fact, bar the military. And third, and perhaps most significantly, it both embodied and enabled transparent and participatory governance: that is, anybody could come down to the agora and not merely see but understand how the machine worked – and anyone could be selected by it.

Read more …

No, your reputation’s pretty much shot.

Brexit Made The UK A Global Joke. Can We Rebuild Our Reputation? (Kampfner)

Britain is now the butt of global mirth and cringe-making sympathy. I spent most of this autumn on trips trying to link our creative industries with those of other countries. From Mexico City to Montreal, Amsterdam to Tallinn, the welcome starts with the avuncular hand on the shoulder, a sigh and a reference to “our British friends”, followed by “I hope you’re all right”. Consternation over the original referendum decision long ago gave way to bafflement over the chaos. “What on earth is Mrs May doing playing pantomime host in the House of Commons at a time like this?” someone asked me last week. “We used to think that you were serious, reliable people.” Americans and Europeans used to tune in to our parliamentary antics to wonder at the jousting.

Now they are baffled that we continue to play games at a time like this. I am constantly asked why we hark on about the second world war, as if we are stuck in time and are not proud of our achievements since. The gulf between those trying to sell the UK’s skills and modernity and the poor calibre of our political culture is hitting hard. Business groups, which had been surprisingly cowed, are now waking up to the dangers of the brain drain. It is not just young, ambitious Europeans who are moving home, apparently to our prime minister’s delight. The movement of talented Britons to other countries is steady and will grow, as the reality of Brexit sinks in. Why work in a country that regards economic self-harm as just one of those things you have to get through? Why work in a country that permits people to come rather than welcomes them?

Read more …

Putin moves silently.

Arab League Set To Readmit Syria Eight Years After Expulsion (G.)

Gulf nations are moving to readmit Syria into the Arab League, eight years after Damascus was expelled from the regional bloc over its brutal repression of peaceful protests against President Bashar al-Assad. At some point in the next year it is likely Assad will be welcomed on to a stage to once again take his place among the Arab world’s leaders, sources say. Shoulder to shoulder with the Saudi crown prince, Mohammed bin Salman, and Egypt’s latest autocrat, General Abdel Fatah al-Sisi, the moment will mark the definitive death of the Arab spring, the hopes of the region’s popular revolutions crushed by the newest generation of Middle Eastern strongmen.

Syria was thrown out of the Arab League in 2011 over its violent response to opposition dissent, a move that failed to stem the bloodshed that spiralled into civil war. Now though, a regional thaw is already under way. This week, the Sudanese president, Omar al-Bashir, became the first Arab League leader to visit Syria in eight years, a visit widely interpreted as a gesture of friendship on behalf of Saudi Arabia, which has shored up ties with Khartoum in recent years. Pro-government media outlets posted pictures of the two leaders shaking hands and grasping each other’s arms on a red carpet leading from the Russian jet that ferried Bashir to Damascus along with the hashtag “More are yet to come”.

Read more …

50 plant species? Who’s that going to impress?

More Than 50 Australian Plant Species Face Extinction Within Decade (G.)

More than 50 Australian plant species are under threat of extinction within the next decade, according to a major study of the country’s threatened flora. Just 12 of the most at-risk species were found to be listed as critically endangered under national environment laws – the Environment Protection and Biodiversity Conservation Act – and 13 had no national threatened listing at all. The scientists behind the research, published in the Australian Journal of Botany this month, say the results point to a need for re-evaluation of Australia’s national lists for threatened plants. It is the first major assessment of the status of Australia’s threatened flora in more than two decades. Plants account for about 70% of Australia’s national threatened species list, with 1,318 varieties listed as either critically endangered, endangered or vulnerable.

The research team assessed species that met criteria for either a critical or endangered listing at national or state levels to track their rate of decline. They did this by reviewing all available literature on the plants – including recovery plans, conservation advice and peer-reviewed research – and conducting interviews with 125 botanists, ecologists and land managers with expertise on particular geographic regions or species. The study examined 1,135 species, including 81 that were unearthed through the interview process as being eligible for a critically endangered or endangered listing but did not have one. It found 418 plants had continued declines in their population and a further 265 species had insufficient monitoring information available to determine their status.

The scientists concluded that 55 species were at high risk of extinction within the next 10 years, with fewer than 250 individual plants or only a single population remaining. They found just 12 of the most imperilled species were listed under the EPBC Act as critically endangered and 13 had no listing at all. They said there were also 56 species of plants currently on the critically endangered list that they assessed as having no documented declines or that were stable or even increasing.

Read more …

Dec 252018
 


Rembrandt van Rijn The Adoration of the Magi 16xx

 

I still had some things I didn’t talk about in Sunday’s Trump Derangement International, about how the European press have found out that they, like the US MSM, can get lots of viewers and readers simply by publishing negative stories about Donald Trump. The US president is an attention magnet, as long as you only write things about him designed to make him look bad.

The Guardian is only too happy to comply. They ran a whole series of articles on Sunday to do juts that: try to make Trump look bad. Note that the Guardian editorial team that okayed the articles is the same as the one that allowed the fake Assange/Manafort one, so their credibility is already shot to pieces. It’s the magic triangle of today’s media profits: spout non-stop allegations against Russia, Trump and Julian Assange, and link them when and where you can. It doesn’t matter if what you say is true or not.

 

Anyway, all the following is from the Guardian, all on December 23. First off, Adam Gabbatt in New York, who has painstakingly researched how Trump’s businesses, like Trump Tower and the Trump store, don’t appear to have sufficiently (as per him) switched from Happy Holidays to Merry Christmas. Sherlock Holmes would have been proud. A smash hit there Adam, bring out the handcuffs.

 

Trump’s ‘Merry Christmas’ Pledge Fails To Manifest

During Donald Trump’s presidential campaign he talked often about his determination to win one particular war. A war that had been raging for years, he said. Specifically: the war on Christmas. But despite Trump’s repeated claims that “people are saying Merry Christmas again” instead of the more inclusive “happy holidays”, there are several places where the Christmas greeting is absent: Trump’s own businesses.

The Trump Store, for example. Instead of a Christmas gift guide – which surely would be more in keeping with the president’s stated desire for the phrase to be used – the store offers a holiday gift guide. “Shop our Holiday Gift Guide and find the perfect present for the enthusiast on your list,” the online store urges. “Carefully curated to celebrate the most wonderful time of year with truly unique gifts found only at Trump Store. Add a bow on top with our custom gift wrapping. Happy Holiday’s!”

The use of the phrase “Happy Holiday’s” [sic] in Trump marketing would seem particularly egregious. The long-standing “War-on-Christmas” complaint from the political right is that stores use the phrase “Happy Holidays”, rather than specifically mentioning the Christian celebration. It is offered as both an example of political correctness gone mad, and as an effort to erase Christianity from the US.

It’s just, I think that if Trump had personally interfered to make sure there were Merry Christmas messages all around, you would have remarked that as president, he’s not allowed to be personally involved in his businesses. But yeah, you know, just to keep the negativity going, it works, no matter how fluffy and hollow.

 

Second, still on December 23, is Tom McCarthy for the Guardian in New York. Who talks about Robert Mueller’s phenomenal successes. Mueller charged 34 people so far. In a case that involves “this complexity which has international implications, aspects relying on the intelligence community, complicated cyber components”. It really says that.

And yes, that’s how many people view this. What do they care that Mueller’s original mandate was to prove collusion between the Trump campaign and ‘Russians’, and that he has not proven any collusion at all so far, not even with 34 people charged? What do they care? It looks like Trump is guilty of something, anything, after all, and that’s all the circus wants.

 

Robert Mueller Has Enjoyed A Year Of Successes … 2019 Could Be Even Stronger

One measure of special counsel Robert Mueller’s prosecutorial success in 2018 is the list of former top Donald Trump aides brought to justice: Michael Cohen pleaded guilty, a jury convicted Paul Manafort, a judge berated Michael Flynn. Another measure is the tally of new defendants that Mueller’s team charged (34), the number of new guilty pleas he netted (five) and the amount of money he clawed back through tax fraud cases ($48m).

Yet another measure might judge Mueller’s pace compared with previous independent prosecutors. “I would refer to it as a lightning pace,” said Barb McQuade, a University of Michigan law professor and former US attorney. “In a case of this complexity which has international implications, aspects relying on the intelligence community, complicated cyber components – to indict that many people that quickly is really impressive work.”

But there’s perhaps a more powerful way to measure Mueller’s progress in his investigation into Russian interference in the 2016 US election and links between Moscow and the Trump campaign; that’s by noticing how the targets of his investigation have changed their postures over the course of 2018, from defiance to docility – or in the case of Trump himself, from defiance to extreme, hyperventilating defiance.

In reality, you would be at least as correct if you would claim that Robert Mueller’s investigation has been an abject failure. Not one iota of collusion has been proven after 20 months and $20 million in funds have been used. And any serious investigation of Washington’s culture of fixers and lobbyists would land at least 34 people who have committed acts that border on or over illegality. And in a matter of weeks, for a few hundred bucks.

 

Third, still on December 23, is Julian Borger in Washington, who’s been elected to convey the image of chaos. Trump Unleashed, says our modern day Shakespeare. With Jim Mad Dog Mattis characterized as “.. the last independently minded, globally respected, major figure left in the administration”... Again, it really says that.

Because woe the man who tries to bring US troops home, or even promises to do so a few days before Christmas. For pulling out America’s finest, Donald Trump is being portrayed as something eerily close to the antichrist. That truly is the world on its head. Bringing troops home to their families equals chaos.

Look, guys, if Trump has been guilty of criminal behavior, the US justice system should be able to find that out and convict him for it. But that’s not what this is about anymore. A million articles have been written, like these ones in the Guardian, with the sole intention, evidence being scarce to non-existent, of smearing him to the extent that people see every subsequent article in the light of a man having previously been smeared.

 

Chaos At Home, Fear Abroad: Trump Unleashed Puts Western World On Edge

The US stumbled into the holiday season with a sense of unravelling, as a large chunk of the federal government ground to a halt, the stock market crashed and the last independently minded, globally respected, major figure left in the administration announced he could no longer work with the president. The defense secretary, James Mattis, handed in his resignation on Thursday, over Donald Trump’s abrupt decision to pull US troops out of Syria.

On Saturday another senior official joined the White House exodus. Brett McGurk, the special envoy for the global coalition to defeat Isis and the US official closest to America’s Kurdish allies in the region, was reported to have handed in his resignation on Friday. That night, senators flew back to Washington from as far away as Hawaii for emergency talks aimed at finding a compromise on Trump’s demand for nearly $6bn for a wall on the southern border, a campaign promise which has become an obsession.

Now look at the next headline, December 23, Graeme Wearden, Guardian, and ask yourself if it’s really Trump saying he doesn’t agree with the rate hikes that fuels the fears, or whether it’s the hikes themselves. And also ask yourself: when Trump and Mnuchin both deny reports of Trump firing Powell, why do journalists keep saying the opposite? Because they want to fuel some fears?

From where I’m sitting, it looks perfectly logical that Trump says he doesn’t think Powell’s decisions are good for the US economy. And it doesn’t matter which one of the two turns out to be right: Trump isn’t the only person who disagrees with the Fed hikes.

The main suspect for 2019 market turmoil is the inevitable fallout from the Fed’s QE under Bernanke and Yellen. And there is something to be said for Powell trying to normalize rates, but there’s no doubt that may hasten, if not cause, turmoil. Blaming it on Trump not agreeing with Jay Powell is pretty much as left field as it gets.

 

White House Attacks On Fed Chair Fuel Fears Of Market Turmoil In 2019

Over the weekend, a flurry of reports claimed Donald Trump had discussed the possibility of firing the Federal Reserve chairman, Jerome Powell. Such an unprecedented move would trigger further instability in the markets, which have already had their worst year since the 2008 crisis. US officials scrambled to deny Trump had suggested ousting Powell, who was appointed by the president barely a year ago.

The Treasury secretary, Steven Mnuchin, tweeted that he had spoken to the president, who insisted he “never suggested firing” Powell, and did not believe he had the right to do this. However, Trump also declared – via Mnuchin – that he “totally disagrees” with the Fed’s “absolutely terrible” policy of raising interest rates and unwinding its bond-buying stimulus programme, piling further pressure on the US’s independent central bank.

And now, in the only article in the Guardian series that’s December 24, not 23, by Victoria Bekiempis and agencies, the plunging numbers in the stock markets are Trump’s fault, too.

 

Trump ‘Plunging Us Into Chaos’, Democrats Say, As Markets Tank And Shutdown Persists

Top Democrats have accused Donald Trump of “plunging the country into chaos” as top officials met to discuss a growing rout in stock markets caused in part by the president’s persistent attacks on the Federal Reserve and a government shutdown. “It’s Christmas Eve and President Trump is plunging the country into chaos,” the two top Democrats in Congress, House speaker nominee Nancy Pelosi and Senate minority leader Chuck Schumer, wrote in a joint statement on Monday. “The stock market is tanking and the president is waging a personal war on the Federal Reserve – after he just fired the Secretary of Defense.”

Trump criticized the Federal Reserve on Monday, describing it as the “only problem” for the US economy, even as top officials convened the “plunge protection team” forged after the 1987 crash to discuss the growing rout in stock markets. The crisis call on Monday between US financial regulators and the US treasury department failed to assure markets, and stocks fell again amid concern about slowing economic growth, the continuing government shutdown, and reports that Trump had discussed firing Federal Reserve chairman Jerome Powell.

The last one is from one Jonathan Jones, again December 23, again for the Guardian. And it takes the top award in the narrative building contest.

Again, the Guardian editorial team that okayed this article is still the same as the one that allowed the fake Assange/Manafort one, an editorial team that sees no problem in making things up in order to smear people. To portray Trump, Assange and anyone who’s had the misfortune of being born in Russia as suspicious if not outright criminal.

But look at what Jones has to say, and what Guardian editor-in-chief Kathy Viner and her ilk allowed and pressured him to say. He wants to have a say in how Trump should dress (seasonal knitwear), he evokes the image of Nazi architect Albert Speer for no reason at all, and then it’s a matter of mere inches until you arrive at Trump as a king, an emperor, an inner tyrant.

“He’s in a tuxedo!”, Like that’s a bad thing for Christmas. “She’s in white!”. Oh dear, call the pope. If both Trumps would have put on Christmas sweaters in front of a fire, the writer would have found something negative in that.

 

Trump Portrait: You Couldn’t Create A Creepier Yuletide Scene If You Tried

The absence of intimacy in the Trumps’ official Christmas portrait freezes the heart. Can it be that hard to create a cosy image of the presidential couple, perhaps in front of a roaring hearth, maybe in seasonal knitwear? Or is this quasi-dictatorial image exactly what the president wants to project? Look on my Christmas trees, ye mighty, and despair! If so, it fuels suspicions that it is only the checks and balances of a 230-year-old constitution that are keeping America from the darkest of political fates. You couldn’t create a creepier Yuletide scene if you tried. Multiple Christmas trees are currently a status symbol for the wealthy, but this picture shows the risks.

Instead of a homely symbol of midwinter cheer, these disciplined arboreal ranks with their uniform decorations are arrayed like massed soldiers or colossal columns designed by Albert Speer. The setting is the Cross Hall in the White House and, while the incumbent president cannot be held responsible for its architecture, why heighten its severity with such rigid, heartless seasonal trappings? Everything here communicates cold, empty magnificence. Tree lights that are as frigid as icicles are mirrored in a cold polished floor. Equally frosty illuminations are projected on the ceiling. Instead of twinkling fairy magic, this lifeless lighting creates a sterile, inhuman atmosphere.

You can’t imagine kids playing among these trees or any conceivable fun being had by anyone. It suggests the micromanaged, corporate Christmas of a Citizen Kane who has long since lost touch with the ordinary, warm pleasures of real life. In the centre of this disturbing piece of conceptual art stand Donald and Melania Trump. He’s in a tuxedo, she’s wearing white – and not a woolly hat in sight. Their formal smartness adds to the emotional numbness of the scene. Trump’s shark-like grin has nothing generous or friendly about it. He seems to want to show off his beautiful wife and his fantastic home rather than any of the cuddly holiday spirit a conventional politician might strive to share at this time.

It begs a question: how can a man who so glaringly lacks anything like a common touch be such a successful “populist”? What can a midwestern voter find in this image to connect with? Perhaps that’s the point. After more than two centuries of democracy, Trump is offering the US people a king, or emperor. In this picture, he gives full vent to his inner tyrant. If this portrait contains any truth about the state of America and the world, may Santa help us all.

I realize that you may be tired of the whole story. I realize you may have been caught in the anti-Trump narrative. And I am by no means a Trump fan. But I will keep on dragging you back to this. Because the discussion should not be based on a handful of media moguls not liking Trump. It should not be based on innuendo and smear. If Trump is to be convicted, it must be on evidence.

And there is no such evidence. Robert Mueller has charged 34 people, but none with what his mandate was based on, none with Russia collusion. This means that the American political system, and democracy itself, is under severe threat by the very media that are supposed to be its gate keepers.

 

None of this is about Trump, or about whether you like him or not, or even if he’s a shady character or not. Instead, it’s about the influence the media have on how our opinions and ideas about people and events are being shaped on a daily basis.

And once you acknowledge that your opinions of Trump, Putin et al, even without any proof of a connection between them, are actively being molded by the press you expect to inform you about the truth behind what goes on, you will have to acknowledge, too, that you are a captive of forces that use your gullibility to make a profit off you.

If our media need to make up things all the time about who’s guilty of what, because our justice systems are incapable of that, then we have a problem so enormous we may not be able to overcome it in our present settings.

Alternatively, if we trust our justice systems to deliver true justice, we don’t need a hundred articles a day to tell us how Trump or Putin are such terrible threats to our world. Our judges will tell us, not our journalists or media who are only in it for a profit.

I can say: “let’s start off 2019 trying to leave prejudice behind”, and as much as that is needed and you may agree with me, it’s no use if you don’t realize to what extent your views of the world have been shaped by prejudice.

I see people reacting to the star writer at Der Spiegel who wrote a lot about Trump, being exposed as a fraud. I also see people trying to defend Julian Assange from the Guardian article about his alleged meetings with Paul Manafort, that was an obvious big fat lie (the truth is Manafort talked to Ecuador to help them ‘sell’ Assange to the US).

But reacting to the very obvious stuff is not enough. The echo chamber distorts the truth about Trump every single day, and at least six times on Sunday, as this essay of mine shows. It’s just that after two years of this going on 24/7, it is perceived as the normal.

Everyone makes money dumping on the Donald, it’s a proven success formula, so why would the Guardian and Der Spiegel stay behind? They’d only hurt their own bottom line.

It has nothing to do with journalism, though, or news. It’s smear and dirt, the business model of the National Enquirer. That’s how far our once truthful media have fallen.

 

 

Dec 232018
 
 December 23, 2018  Posted by at 5:52 pm Primers Tagged with: , , , , , , , , , , , ,  


Diego Velázquez The Spinners 1655-60

 

Dirk Kurbjuweit, deputy editor-in-chief of Germany’s Der Spiegel magazine for the past 4 years, unwittingly put his foot a mile deep in his mouth this week when he reacted to a letter written by US Ambassador to Berlin Richard Grenell. His reaction presents perhaps the most perfect example of the downfall of news, journalism, the media in general, that we’ve seen so far. Most perfect among very stiff competition.

After Der Spiegel itself this week ‘outed’ its award-winning star reporter, Claas Relotius, as someone who had made up many of his lauded articles from scratch, Grenell suggested the magazine, and especially its editorial staff, shouldn’t think they can get away with putting all the blame on just this one guy. He tweeted:

We value policy criticism. We love a free press. But @Spiegel literally fabricated stories saying people (Americans) were racist & xenophobic. They made up events, details, & lies – and no editor checked the stories. Every real journalist should be outraged by this.

And he wrote a letter to Der Spiegel, albeit addressed at the ‘wrong’ editor, Steffen Klussman, who won’t be in the post until after Jan. 1:

The recent revelations of completely fabricated stories, completely fictional people and fraudulent details in Spiegel over the last seven years are very troubling to the US Embassy. These fake news stories largely focused on US policies and certain segments of the American people. It is clear we were targeted by institutional bias and we are troubled by the atmosphere that encouraged this recklessness.

While Spiegel’s anti-American narratives have expanded over the last years, the anti-American bias at the magazine has exploded since the election of President Trump. We are concerned that these narratives are pushed by Spiegel’s senior leadership and reporters are responding to what the leadership wants.

This is where Dirk Kurbjuweit’s foot enters his mouth, stage left, and starts its long journey down:

It is true that one of our reporters in large part fabricated articles, including reports from the United States. We apologize to all American citizens who were insulted or denigrated by these articles. We are very sorry. This never should have happened. In this case, our safeguarding and verification processes failed. We are working hard to clarify these issues and improve our procedures and standards.

I would, however, like to counter you on one point. When we criticize the American president, this does not amount to anti-American bias – it is criticism of the policies of the man currently in office in the White House. Anti-Americanism is deeply alien to me and I am absolutely aware of what Germany has the U.S to thank for: a whole lot. DER SPIEGEL harbors no institutional bias against the United States.

Of course, first of all, Grenell is right, if you let someone write fake stories for 7 years and your editors, which included Kurbjuweit himself, don’t catch one single lie, it looks like you’re letting the fabrications ‘slip through’ on purpose. As Grenell implies, it looks like the entire magazine is/was trying to fabricate the news, not report on it.

But that’s not where Kurbjuweit’s foot is in his mouth. That comes in the second paragraph . Where he effectively says that criticizing America and Americans, including through fully fabricated stories, does not constitute an anti-American bias. Instead, he says, Der Spiegel simply suffers from Trump Derangement Syndrome. In other words, not an anti-American bias, but an anti-Trump bias.

And that, in his view, is apparently fine. And though it is of course not, certainly for an editor of a magazine that has (make that had) a reputation to uphold, who can really blame him? In the American press, all he sees is Trump Derangement Syndrome all the time, in at least 90% of the media. So how can anyone blame a German editor for doing what the New York Times and CNN do 24/7?

The problem with all of this obviously is that all these news outlets are supposed to report the news, and none of them do anymore. They ‘report’ the opinions of their editors and ‘journalists’, and if these people don’t like whoever it is the American people elect as their president, it’s open season.

American media has made it acceptable for foreign media to write fake articles about the US president, which means ridicule of the Office of the President is fine too, and thereby the process by which he was elected. Re-read Kurbjuweit’s statement, that is what he says.

This is a sort of new normal that may well be the main legacy of 2018. It’s where the surge of social media and the internet in general have led us. In the process, they’ve swallowed the truth whole, and we may never see it again.

The truth is not a winning proposition. Fabricating stories and narratives and using them to string readers and viewers along like a modern version of the Pied Piper is a much bigger winner than the truth, and they’re all waking up to this new reality.

 

Der Spiegel’s response to being exposed as liars is to pretend to be open about it, but only by blaming one individual, while sparing the editors who let him roam free for 7 years.

The Guardian, which ran a fabricated story about meetings between Paul Manafort and Julian Assange in London’s Ecuadorian embassy a few weeks ago and was also exposed, has chosen a different approach: they attempt to smother the truth in silence. Both the writers of the story and editor-in-chief Kathy Viner, responsible for publishing blatant lies and fabrications are still on the payroll, there’s been no retraction and no apologies.

But there’s a flipside to this kind of thing. If you try to get away with murdering the truth the way Der Spiegel and the Guardian have done in these two instances, who’s going to read you next time around if they want to know what really happens, and take your words as true? No-one in their sound mind. So it’s necessarily a short term strategy.

Still, while it lasts, it’s profitable. And it’s mighty contagious too. If and when the foreign press no longer feels any qualms about admitting they suffer from Trump Derangement Syndrome, that is because US media have paved that road for them. Before the internet fueled its (dis-)information explosion, this would have been impossible.

It makes you wonder where this will go in 2019. What’s already evident is that you can’t believe your trusted news sources anymore. And it’s not a matter of some articles being true and some not; nothing published by Der Spiegel and the Guardian can be taken for granted as true from here on in, both are done as reliable news sources. Because they’ve been exposed as having lied on purpose, and only once is enough.

Same goes for many of the formerly trusted US MSM. And that should really, really make you wonder where this will take us in 2019. Truth is eroding faster than you can keep up with, and it’s your once trusted voices that lead the erosion. Where are you going to get your news? What and who can you trust?

Here’s a thought: follow the Automatic Earth. And good thing is, you don’t have to like Trump to not like where this is going. We don’t particularly like him either. We just dislike lies and fake news a whole lot more.