Jun 102023
 


Edgar Degas Les repasseuses (women ironing) 1884

 

Reminder, What Was in The Mar-a-Lago Documents (CTH)
So About Trump’s Second Indictment (Denninger)
Snowden Weighs In On Trump’s Classified Docs Indictment (RT)
The Great DOJ Werewolf Hunt (Jim Kunstler)
To The Pompous But Dim-Witted Critics Of Russia (Medvedev)
A War Long Wanted (Matthew Hoh)
Biden’s Reputation Hinges On Kiev’s Counteroffensive – Politico (RT)
When Could West Pull the Plug on Military Assistance to Kiev? (Sp.)
West Planning ‘Second Ukraine’ In Moldova – Moscow (RT)
Ukraine Shifts Timeline For Crimean Incursion (RT)
Media: One Side “Says” – The Other “Provides No Evidence” (MoA)
Asia, Not Europe As A Laboratory For The Multipolar World (Lukyanov)
Saudi Crown Prince Threatened To Damage US Economy – Media (RT)
Ban Use Of Fossil Fuels In Making Wind Turbines And Solar Panels (CSD)
Media Blames Climate Change For Canada Wildfires Despite Multiple Arrests (LSN)
Over 66% Of US At Risk Of Power Outages Due To Green Transition (JTN)
New Twitter Files: FBI Worked With Ukraine To Censor Twitter Accounts (Fox)

 

 

 

 

RFK vaccines

 

 

RFK on Ukraine

 

 

 

 

Chomsky China

 

 

 

 

Tucker pedophilia

 

 

 

 

Sundance brings the receipts.

“President Trump declassified documents that show how the institutions within the U.S. government targeted him..”

“..if you peel away all the layers of lies, manipulations and corruption, what you find at the heart of their conduct is fear. The need for control is a reaction to fear. What do they fear most? …..THIS!”

Reminder, What Was in The Mar-a-Lago Documents (CTH)

The NSA compliance officer notified NSA Director Admiral Mike Rogers of unauthorized use of the NSA database by FBI contractors searching U.S. citizens during the 2015/2016 presidential primary. That 2016 notification is a classified record. The response from Mike Rogers, and the subsequent documentary evidence of what names were being searched, is again a classified record. The audit logs showing who was doing the searches (which contractors, which agencies and from what offices), as noted by Director Rogers, were preserved. That is another big-time classified record. In addition, we would have Admiral Rogers writing a mandatory oversight notification to the FISA court detailing what happened. That’s a big and comprehensive classified record, likely contained in the documents in Mar-a-Lago… and then the goldmine, the fully unredacted 99-page FISA court opinion detailing the substance of the NSA compromise by FBI officials and contractors, including the names, frequency and dates of the illegal surveillance.

That is a major classified document the Deepest Deep State would want to keep hidden. These are the types of documents within what former ODNI John Ratcliffe called, “thousands of pages that were declassified by President Trump,” and given to both John Durham and Main Justice with an expectation of public release when the Durham special counsel probe concluded. That is why the DOJ has to make their moves now. The Durham probe has concluded. In short, President Trump declassified documents that show how the institutions within the U.S. government targeted him. However, the institutions that illegally targeted President Trump are the same institutions who control the specific evidence of their unlawful targeting.

These examples of evidence held by President Donald Trump reveal the background of how the DC surveillance state exists. THAT was/is the national security threat behind the DOJ-NSD search warrant and affidavit. The risk to the fabric of the U.S. government is why we see lawyers and pundits so confused as they try to figure out the disproportionate response from the DOJ and FBI, toward “simple records”, held by President Trump in Mar-a-Lago. Very few people can comprehend what has been done since January 2009, and the current state of corruption as it now exists amid all of the agencies and institutions of government.

Barack Obama spent 8 years building out and refining the political surveillance state. The operators of the institutions have spent the last six years hiding the construct. President Donald Trump declassified the material then took the evidence to Mar-a-Lago. The people currently in charge of managing the corrupt system, like Merrick Garland, Lisa Monaco, Chris Wray and the Senate allies, are going bananas. From their DC perspective, Donald Trump is an existential threat. Given the nature of their opposition, and the underlying motives for their conduct, there is almost nothing they will not do to protect themselves. However, if you peel away all the layers of lies, manipulations and corruption, what you find at the heart of their conduct is fear. The need for control is a reaction to fear. What do they fear most? …..THIS!

People forget, and that’s ok, but prior to the 2015 MAGA movement driven by President Donald J Trump, political rallies filled with tens-of-thousands of people were extremely rare – almost nonexistent. However, in the era of Donald J. Trump the scale of the people paying attention has grown exponentially. Every speech, every event, every rally is now filled with thousands and thousands of people. The frequency of it has made us numb to realizing just how extraordinary this is. But the people in Washington DC are well aware, and that makes President Trump even more dangerous. Combine that level of support with what they attempted in order to destroy him, and, well, now you start to put context on their effort. The existence of Trump is a threat, but the existence of a Trump that could expose their corruption…. well, that makes him a level of threat that leads to a raid on his home in Mar-a-Lago.

Read more …

“There is every reason to believe that the cover-up of this is why there is a war in Ukraine right now and is directly why tens of thousands are dead..”

So About Trump’s Second Indictment (Denninger)

…. I don’t care. I should, of course. We all should. But I don’t. I don’t because nobody else has for thirty years when it comes to wild-eyed felony violations of the law, each carrying ten years in prison for each and every person involved, that occur by the tens of thousands every day. I’m talking about 15 USC Chapter 1 and violations that, collectively, amount to roughly 15% of the entire federal budget, all of which every one of us pays for, and another several trillion in “private” spending which we also pay for via crazily-hiked “insurance” premiums and similar. We pay for it in $500 medications that cost $10 anywhere else in the world, procedures that are billed at a thousand percent over what they cost anywhere else in the world, we’re billed at different rates depending on who your insurance carrier is, which for most people is not a choice they actually have (it comes through their job) and more.

I also don’t care because on the same day this indictment was announced it was also announced that the FBI has had hard evidence that both Hunter Biden and Joe Biden himself took $5m in bribes each and the target of same was explicit policy actions by the government which, I remind you, Joe Biden bragged about on national television — yet he still sits in the Oval Office. There is every reason to believe that the cover-up of this is why there is a war in Ukraine right now and is directly why tens of thousands are dead, infrastructure has been destroyed and tens of billions of dollars of taxpayer money have gone to waste prosecuting same. Never mind that Biden committed the very same offense according to the record, the FBI knew it, and covered it up before the midterm elections; they knew Biden had classified documents in multiple places he had no right to possess — including in his garage.

We, the people of this nation, have allowed this, along with the original coup, where literal murder took place at Maidan and members of our government, including sitting Senators, cheered same on, to occur — all while our current President was vice-President and Obama, who was President at the time presided over that entire sordid mess and he too is still a free man. So…… do I care that the government has done this? No. We didn’t care enough to do anything about any of the above for three decades, a million Americans are dead over the last three years because of said medical monstrosity, tens of thousands of Russians and Ukranians are dead because of what our government has done over there, we have a sitting Senator who on camera stated that the killing of Russian soldiers was a “great investment” and our current sitting President appears to have taken a five million dollar bribe which the FBI knew about three years ago, prior to the election for the specific purpose of actual corrupt purpose WHILE IN OFFICE, they have done nothing about it and the American people have let all this go on for decades.

Mark Levin

Read more …

“Then said Jesus unto him, put up again thy sword into his place: for all they that take the sword shall perish with the sword..”

Snowden Weighs In On Trump’s Classified Docs Indictment (RT)

Donald Trump’s alleged mishandling of state secrets is common behavior in Washington and typically goes unpunished, former NSA whistleblower Edward Snowden has argued in response to the former US president’s indictment. “All kidding aside, it’s not wrong to say that the indictment of Donald Trump for mishandling classified documents is a case of selective prosecution,” Snowden said on Friday in a Twitter post. “Spilled secrets are very much the currency of Washington, and Trump was not alone in splashing them around. He was just the least graceful.” Trump was charged with 37 felonies in a federal grand jury indictment that prosecutors unsealed on Friday. He’s accused of knowingly retaining classified documents after leaving office, conspiring to keep federal authorities from retrieving them and obstructing an investigation into their whereabouts.

Snowden marked the 10-year anniversary this week of his exposure of mass spying on US citizens by their government. He said Trump failed to fix the system that has now come back to haunt him. “It’s hard to feel sorry for a man who had four years in the White House to reform that broken system and instead left it in place to the detriment of the American public. He is caught within the same gears his own hands once turned,” Snowden tweeted. Some observers pointed out that Trump is being prosecuted under the same law – the Espionage Act – that Washington has wielded against Snowden and WikiLeaks co-founder Julian Assange. As president, Trump declined to issue pardons for both men, who were charged with crimes after exposing US government wrongdoing.

“Then said Jesus unto him, put up again thy sword into his place: for all they that take the sword shall perish with the sword,” Snowden said, using a Bible verse to point out the irony of Trump’s latest legal predicament. Snowden has railed against the US government’s abuse of secrecy since 2013, when he exposed the widespread NSA spying on American citizens. He was forced to seek refuge in Russia after Washington annulled his passport mid flight, eventually becoming a Russian citizen. Asked on Friday what he’d do if he were the US president, he said, “I’d surely reduce the number of things we classify by more than 99% – and you would not find the remainder in my bathroom or behind my Corvette.”

Snowden’s quip alluded to allegations that Trump had classified records stored in a bathroom at his Florida resort, as well as revelations earlier this year that President Joe Biden improperly kept secret documents and stored them in multiple locations, including the garage at his home in Delaware. Trump and his allies have argued that Biden weaponized the justice system to take out his top opponent in the 2024 presidential election, all while being excused for his own mishandling of state secrets. Trump also argued that he had the authority to declassify the records in his possession, unlike Biden, whose documents were acquired when he served as vice president. The former president blasted Jack Smith, the special counsel overseeing the indictment against him, as a “deranged lunatic” with a history of political bias.

Read more …

“Unlike the Donald Trump werewolf hunt, the “Joe Biden” classified-docs-in-a-garage case is moving at the speed of an Amtrak train with a broken Johnson rod stuck on a sidetrack outside Joppatowne, Maryland, in a snowstorm on Christmas Eve.”

The Great DOJ Werewolf Hunt (Jim Kunstler)

At long last you know what those plangent cries of Russia! Russia! Russia! ringing across the land signify: America has been turning into Russia, Joe Stalin-vintage, since 2016, just as Lon Chaney turned into a werewolf on-screen back in 1941. Trump Derangement turns out to be an extreme presentation of mass Species Identity disorder, a national altered state that (Wikipedia says): “…typically involves delusions and hallucinations with the transformation only seeming to happen in the mind and behavior of the affected person.”

Clinical lycanthropy is a very rare condition and is largely considered to be an idiosyncratic expression of a psychotic or dissociative episode caused by another condition such as Dissociative Identity Disorder, schizophrenia, bipolar disorder or clinical depression. It has also been associated with drug intoxication and withdrawal, cerebrovascular disease, traumatic brain injury, dementia, delirium, and seizures…. However, there are suggestions that certain neurological conditions and cultural influences may result in the expression of the human-animal transformation theme that defines the condition.”

So, now we are to have a grand show trial, in the Stalinist mode, of presidential candidate (and werewolf) Donald Trump on charges actually concocted off-site in the Lawfare laboratory of Commissar for Werewolf Activities Andrew Weissmann and sidekick, Brookings Institute fellow Norm Eisen, late counsel to the House Committee that impeached the werewolf with disappointing results over a telephone call to Ukraine in 2019. And, yes, that would be the same Andrew Weissmann who previously (but surreptitiously) led the team of intrepid Lawfare werewolf exorcists fronted by dementia victim Robert Mueller. Mr. Weissmann’s previous two-year-long werewolf hunt was a bust, too, of course. The werewolf slipped off into the moonstruck night to gnaw on Democrat loins again!

This time Mr. Weissman’s front-man is federal attorney Jack Smith, new to the werewolf hunting scene, packing a seven-shot indictment of silver bullets, aiming to show America how it’s done. And just in case he misses those shots, he’s got another gun strapped to his ankle chambering silver bullets engraved with “Jan 6” on the slugs. If you think our world has gotten interesting, better buckle into your Big Boy lounger because this werewolf movie is going places like none before. You may have noticed the timing of this new werewolf hunt has a near-magical synchronicity with oddly identical circumstances shimmering around the current occupant of the White House — another case of misplaced official papers. Unlike the Donald Trump werewolf hunt, the “Joe Biden” classified-docs-in-a-garage case is moving at the speed of an Amtrak train with a broken Johnson rod stuck on a sidetrack outside Joppatowne, Maryland, in a snowstorm on Christmas Eve.

But those purloined classified papers may be the least of “Joe Biden’s” concerns. Why, just the other day a single “whistleblower” document turned up in the House Oversight Committee’s SCIF — a special room for the performance of secret rituals — suggesting that “JB” was on the receiving end of $5 million gratis from some generous soul connected to a Ukrainian natgas company. That payday, for services left murky, when “JB” happened to be Barack Obama’s vice-president, came around the same period as yet other multi-million-dollar gift parcels from China, Russia, and Romania flew into a long list of companies operated by “JB’s” son Hunter, with no known business other than receiving large sums of money and then writing checks to various Biden family members. “Well Sonofabitch…!” as the president himself once said apropos of legal doings in Ukraine.

Read more …

A tweet.

To The Pompous But Dim-Witted Critics Of Russia (Medvedev)

To the pompous but dim-witted critics of Russia, and those who somehow managed to put all of their memory down the drain: let’s once again go through some of the major military operations of the U.S. and NATO after World War II.

1950 – The US is leading an intervention by the UN forces during the Korean War.
1954 – The US participates in the military coup in Guatemala and the follow-up intervention.

1961 – The US is launching the Bay of Pigs Operation in order to overthrow Fidel Castro’s government in Cuba.
1964 – The US gets massively involved in the Vietnam war.
1981 – The US incites the civil war in Nicaragua.

1989 – The US invades Panama.
1999 – NATO’s war against Yugoslavia.
2001 – The US starts a war in Afghanistan.
2003 – The US launches a war in Iraq.
2011 – NATO’s first intervention in Libya.
2014 – The US and its allies invade Syria.
2015 – NATO’s second intervention in Libya.

The list is far from complete but quite telling. None of the major regional conflict of the past decades did without either direct or indirect involvement of American “benefactors.” The outcome is millions of dead people. Their blood is on the hands of ALL the American presidents, of various corrupted bastards, and other demented old men from the US Administration and US Congress. And yet, after all this, some seniles like Biden and other hypocrites have the nerve to criticize Russia for its actions aimed at protecting its own compatriots and defending its historical territories? Who are you to open your foul mouths? Just zip it up!

Read more …

“NATO expansion was a cash bonanza for a weapons industry that originally saw destitution as the fruit of the Cold War’s end..”

A War Long Wanted (Matthew Hoh)

At the end of the Cold War, the military-industrial complex faced an existential crisis. Without an adversary like the Soviet Union, justifying massive arms spending by the United States would be difficult. NATO expansion allowed for new markets. Countries coming into NATO would be required to upgrade their armed forces, replacing their Soviet-era stocks with Western weapons, ammunition, machines, hardware and software compatible with NATO’s armies. Entire armies, navies and air forces had to be remade. NATO expansion was a cash bonanza for a weapons industry that originally saw destitution as the fruit of the Cold War’s end. From 1996–1998, US arms companies spent $51 million ($94 million today) lobbying Congress. Millions more were spent on campaign donations.

Beating swords into plowshares would have to wait for another epoch once the weapons industry realized the promise of Eastern European markets. In a circular and mutually reinforcing loop, Congress appropriates money to the Pentagon. The Pentagon funds the arms industry, which, in turn, funds think tanks and lobbyists to direct Congress on further Pentagon spending. Campaign contributions from the weapons industry accompany that lobbying. The Pentagon, CIA, National Security Council, State Department and other limbs of the national security state directly fund the think tanks and ensure that any policies promoted are the policies the government institutions themselves want.

It is not just Congress that is under the sway of the military-industrial complex. These same weapons companies that bribe members of Congress and fund think tanks often employ, directly and indirectly, the cadre of experts that litter cable news programs and fill space in news reporting. Rarely is this conflict of interest identified by American media. Thus, men and women who owe their paychecks to the likes of Lockheed, Raytheon or General Dynamics appear in the media and advocate for more war and more weapons. These commentators and pundits seldom acknowledge that their benefactors immensely profit from the policies of more war and more weapons.

The corruption extends into the executive branch as the military-industrial complex employs scores of administration officials whose political party is no longer in the White House. Out of government, Republican and Democratic officials head from the Pentagon, the CIA and the State Department to arms companies, think tanks and consultancies. When their party retakes the White House, they return to the government. In exchange for bringing their rolodexes, they receive lavish salaries and benefits. Similarly, US generals and admirals retire from the Pentagon and go straightto arms companies. This revolving door reaches the highest level. Before becoming Secretary of Defense, Secretary of State and Director of National Intelligence, Lloyd Austin, Antony Blinken and Avril Haines were employed by the military-industrial complex. In Secretary Blinken’s case, he founded a firm, WestExec Advisors, devoted to trading and peddling influence for weapons contracts.

There is a broader level of commercial greed in the context of the Ukraine War that cannot be dismissed or ignored. The US fuels and arms the world. US fossil fuel and weapons exports now exceed its agricultural and industrial exports. Competition for the European fuel market, particularly liquid natural gas, has been a primary concern over the last decade for both Democratic and Republican administrations. Removing Russia as the key energy supplier to Europe and limiting overall Russian fossil fuel exports worldwide has greatly benefited American oil and gas companies. In addition to wider commercial trade interests, the sheer amounts of money the American fossil fuel business makes as a result of denying Europeans the option of buying Russian fossil fuels cannot be disregarded.

Read more …

Not true. The Biden team has been busy covering their hurt butts from day one. They will simply blame Zelensky. “We gave you everything and you f*cked up!”

Biden’s Reputation Hinges On Kiev’s Counteroffensive – Politico (RT)

Washington’s future military support for Ukraine and President Joe Biden’s reputation depend largely on the outcome of Kiev’s counteroffensive against the Russian forces, senior American officials have told Politico. The White House “anxiously watches” Kiev’s attempts to retake territories it lost to Russia, the US outlet reported on Thursday. If the counteroffensive succeeds, Ukraine would be able to count on additional military and economic assistance from the US and its allies, but if it fails, Western support may dry up, with Kiev facing calls to find a swift diplomatic resolution to the conflict, the report said. Five US officials, who spoke to Politico on condition of anonymity, acknowledged that they weren’t sure if lawmakers would vote for more aid for President Vladimir Zelensky’s government when funds approved last year are depleted.

The House Republicans may use any setbacks of the Armed Forces of Ukraine (AFU) to derail the efforts of the Democrats to boost military aid, they pointed out. According to the outlet, Washington has been increasingly unhappy about Ukrainian attacks inside Russia such as an attempted drone strike on the Kremlin in early May and the assassinations of military blogger Vladlen Tatarsky and journalist Darya Dugina. Those moves by Kiev have led to “several private, stern admonishments in diplomatic backchannels,” it added. The political uncertainty in the US and developments on the ground in Ukraine are among “mounting concerns that could sully Biden’s hoped-for triumphant return to the world stage” at the NATO summit in Vilnius in July, the officials stressed.

The gathering in the Lithuanian capital will be a “key moment” for the American leader, who’ll face questions about US security guarantees for Kiev, the deliveries of F-16 fighter jets to Ukraine and its potential membership in NATO, Politico pointed out. During his meeting with British Prime Minister Rishi SuNak on Thursday, Biden expressed belief that the administration will “have the funding necessary to support Ukraine as long as it takes” and that this support will be “real.” Earlier that day, senior US officials told CNN that the AFU had suffered “significant” casualties in its unsuccessful attempts to mount a counteroffensive against the Russian forces over the past week. Kiev’s troops have been met with “greater than expected resistance” when trying to break through Russian lines, they said. According to Russian Defense Minister Sergey Shoigu, Ukraine has lost around 5,000 soldiers and 100 tanks in combat since Sunday.

Read more …

“..such a scenario is fraught with a “very rapid collapse” of the Zelensky regime because it can no longer exist without Western assistance..”

When Could West Pull the Plug on Military Assistance to Kiev? (Sp.)

Touching upon Kiev’s chances to get the F-16s, Podolyaka suggested that “If the so-called counteroffensive ends up at least in a draw, or with some small victories for the AFU, then, of course, the fighter jets will be in place in Ukraine.” But if the AFU sustains a defeat, then “it is quite possible” that the Americans and Europeans will think that the supply of the F-16s to Kiev is irrelevant, he said, adding “everything will depend on the results of the battle that is now unfolding.” When asked if the West will continue increasing its military supplies to Kiev given the AFU’s stuttering attempts to launch a counteroffensive, the military expert referred to what he described as Americans and Britons’ practical approach to things.

“They are business people. They understand that if the project is unsuccessful, then it is not worth investing in it. And they are already directly saying and hinting to the Kiev regime that ‘if you don’t achieve any significant results as a result of the counteroffensive, […] then there will be a decrease in investments,” according to Podolyaka. He explained that such a scenario is fraught with a “very rapid collapse” of the Zelensky regime because it can no longer exist without Western assistance.

“Militarily, the Ukrainian state would have been destroyed long ago but for the West’s aid. […] The Zelensky regime will fall or [be] significantly weakened as soon as Western assistance dries up, something that Kiev is afraid of. That is why they have launched this suicidal counteroffensive, knowing about all the risks related to the decision,” Podolyaka noted. Giving his insight into when it is relevant to expect the above-mentioned “significant results,” he underlined that one should wait and see how developments will further unfold given the fact that the AFU will almost certain try to reverse the tide of the battle in its favor in the coming days.

[..] Deputy chief of the Russian Security Council Dmitry Medvedev also commented on the matter, writing on his Telegram page that “While Fogh Rasmussen previously was not a very smart person, he has now completely fallen into doctrinaire dementia.” He also warned that a possible scenario of NATO forces being deployed to Ukraine may have a negative impact on the US. “What does Uncle Sam think about this? After all, they’ll be impacted too. […] This is what happens when one becomes a freelance adviser to all sorts of greedy scumbags like former Ukrainian President Petro Poroshenko and other corrupt Nazis at an inappropriate time,” Medvedev added.

Dwelling on the issue, Podolyaka, in turn, said that he was “sure that Poland will try to seize a significant piece of land from Ukraine”, something that he added cannot be resolved without the Polish entering Ukrainian soil. He added that while the probability of the scenario of Polish forces being stationed in Ukraine remains, this won’t take place right now because Warsaw “will wait for the Armed Forces of Ukraine to fall apart” as a result of the Russian special military operation. At the same time, Poland hopes that Russia will be purportedly weakened due to NATO’s actions and that it will allow Warsaw to claim and annex the territory of Western Ukraine in line with the 1939 borders,” he concluded.

Read more …

Losing on one front is not enough?!

West Planning ‘Second Ukraine’ In Moldova – Moscow (RT)

The US and its allies are looking to use the former Soviet Republic of Moldova to contain Russia and turn it into “a second Ukraine,” Russian Deputy Foreign Minister Mikhail Galuzin has warned. “Absolutely irresponsible, absolutely short-sightedly, the West is eyeing Moldova for the role of a second Ukraine, and, unfortunately, the current Moldovan leadership is actively involved in this,” Galuzin told Rossiya 24 broadcaster on Thursday. The government in Chisinau “walks the path of a pro-Western policy; takes part in the anti-Russian policy of the US and its satellites; follows the path of initiating that same escalation in relations with Russia” as Kiev did in the years leading up to its current conflict with Moscow, he pointed out.

According to the diplomat, the Russian side is not doing anything to stoke tensions with the people of Moldova – a small nation of 2.6 million people, sandwiched between Ukraine and Romania. “Those are not our methods,” he insisted. In May, the EU launched a partnership mission in Moldova under its Common Security and Defense Policy (CSDP), with the proclaimed aim of helping the country with crisis management and tackling hybrid threats. The bloc’s foreign policy chief, Josep Borrell, said the move was necessary due to “continued Russian attempts to destabilize Moldova with hybrid actions.” Galuzin also said the EU’s mission was anti-Russian in its very essence, as it is designed to further strengthen Chisinau’s pro-Western course and direct the country towards confrontation with Moscow. While pursuing closer ties with the West, the country’s officials are ignoring the interests of a large portion of Moldova’s population, who want good relations with Russia and don’t believe in stories about the perceived “Russian threat,” the deputy FM added.

Earlier this week, Moldova’s parliament terminated agreements on military cooperation and tackling the aftermath of natural disasters with the Commonwealth of Independent States (CIS) – an organization comprised of Russia and most other former Soviet republics. Last month, President Maia Sandu claimed that membership in the CIS was “not beneficial to the citizens of Moldova, and we proceed from the interests of the citizens.” In late May, NATO said it had “mutually beneficial” relations with Moldova, as the US-led military bloc has been helping the country “with efforts to reform and modernize its defense and security structures and institutions.” NATO also described Chisinau as a “valued contributor” to the NATO-led peacekeeping force in Kosovo, where 40 Moldovan troops are deployed.

Read more …

Keep them out of Crimea!

Ukraine Shifts Timeline For Crimean Incursion (RT)

A spokesman for Ukraine’s Main Directorate of Intelligence (GUR) has downplayed a failed prediction made by his boss, Kirill Budanov, who had claimed that Ukrainian troops would enter Crimea by the end of spring. The new target is sometime this year before the weather turns cold, the official insisted. When asked about Budanov’s inaccurate assessment by the Ukrainskaya Pravda newspaper on Friday, spokesman Andrey Yusov said it was not “a bookmaker’s bet or a date on a tear-off calendar.” “But the overall situation and the wider assessment remain the same: Ukraine will definitely return Crimea. And then Budanov’s words would be prophetic,” Yusov claimed. He declined to set a more specific deadline, citing battlefield uncertainties, but suggested that the touted breakthrough would happen “while it is warm.”


Crimea rejoined Russia in 2014, after the local population voted overwhelmingly in favor of the move following a Western-backed armed coup in Kiev. The Ukrainian government and its supporters rejected the outcome of the plebiscite, and claim that the territory is illegally occupied. Budanov has made several predictions on when Ukrainian troops would supposedly enter Crimea. In May 2022, he set the end of the year as the deadline, while in October he claimed Kiev would “liberate” Crimea in the spring of 2023. He publicly expressed confidence in that time frame as late as April. Russian officials have warned that an attempted military invasion of Crimea would be countered with major resistance. The pushback would “obviously involve the use of all defensive measures, including those articulated in the nuclear doctrine,” Dmitry Medvedev, the deputy chair of the Security Council and former Russian president, told journalists in March.

Read more …

“Did any of the U.S. or NATO leaders really think that the Ukrainian forces would have a f***ing chance by senselessly running into well prepared Russian defenses?”

Media: One Side “Says” – The Other “Provides No Evidence” (MoA)

“Ukraine Mounts Multiple Attacks on Russian Occupiers” – New York Times – June 8, 2023. On one side – just flat out statements taken for granted: “Three senior U.S. officials, as well as military analysts, said that a long-awaited major Ukrainian counteroffensive appeared to be underway, after months spent mobilizing and training new units, and arming them with advanced Western weapons … Kyiv said little about the intensified fighting, neither confirming nor denying Russian claims, and Ukrainian officials have said they will not discuss details for reasons of operational secrecy. A Ukrainian deputy defense minister, Hanna Malyar, said a battle was underway in the area of a larger town about 10 miles away in the neighboring Donetsk region, Velyka Novosilka, but it was unclear if she was referring to the same clash.

The other side’s claims are depicted as dubious: “The Russian war bloggers, who have become a major source of information from the front lines, said Ukraine’s forces had suffered heavy losses, though such claims could not be confirmed and in the past have often been exaggerated. The Russian account, like most claims about what was happening at the front, could not be confirmed independently, but videos verified by The New York Times showed a Ukrainian armored vehicle near Velyka Novosilka hitting a land mine.” I could add a dozen more pieces that follow the scheme. Ukrainian or U.S. claims lead the piece without being put into doubt. Russian counterclaims come a few paragraphs down and are immediately said to lack any evidence.

By the way: What the New York Times claims to have confirmed via video is just one of many screw ups on the Ukrainian side that can be seen these days. Over the last 48 hours I have watched half a dozen drone videos of Ukrainian vehicles rumbling in tight columns over open fields, without minesweepers, without smokescreen or artillery cover, only to get blown up in minefields and massacred by anti-tank missiles. No seasoned platoon or company leader would plan and execute attacks like that but, watching those videos, I doubt that the Ukraine still has any of those. Then we have this:

“Ukrainian forces have suffered losses in heavy equipment and soldiers as they met greater than expected resistance from Russian forces in their first attempt to breach Russian lines in the east of the country in recent days, two senior US officials tell CNN. One US official described the losses – which include US supplied MRAP armored personnel vehicles as “significant.” Did any of the U.S. or NATO leaders really think that the Ukrainian forces would have a f***ing chance by senselessly running into well prepared Russian defenses? Really???

Read more …

“.. a couple of landmark events at the 2023 edition. Perhaps the most interesting was Chinese Defence Minister Li Shangfu’s refusal to meet Pentagon chief Lloyd Austin on the margins..”

Asia, Not Europe As A Laboratory For The Multipolar World (Lukyanov)

Last week, Singapore hosted the annual Asian Shangri-La Dialogue security conference. It has been organized for over 20 years by the London-based International Institute for Strategic Studies. It’s probably the most representative forum in the region, even though the agenda is set by Westerners. It’s also arguably still the most accurate indicator of the general Asian mood and is now beginning to dictate the general global atmosphere. There were a couple of landmark events at the 2023 edition. Perhaps the most interesting was Chinese Defence Minister Li Shangfu’s refusal to meet Pentagon chief Lloyd Austin on the margins. The démarche was quite clear, although both ministers’ speeches expressed the unacceptability of confrontation, the consequences of which could be catastrophic.

Washington and Beijing have opposing visions in their assessment of future possibilities. In the US, there is a clear and almost unanimous view that Beijing is a rival that must be reined in at almost any cost. And those that shape opinion believe it will get worse. China is outraged that the US itself is dismantling a system of relations that has enriched both sides to their mutual satisfaction for decades. In Beijing’s view, the Americans are overstepping the bounds of reason by demanding that their Asian partners submit to their interests – or even whims. From Washington’s point of view, allowing China to continue to rise means having a challenger for world domination in the near future, with whom a clash is inevitable. Not a good position to be in. Thus, the paradox is that while both sides are openly preparing for confrontation, they are very wary of it.

Neither side is confident of imminent success. Logically, China’s primary interest is to postpone the moment of conflict as long as possible, if it is to be seen as inevitable. After all, Beijing has always been a catch-up actor, and on the military side it has much less experience than the Americans. The latter, on the other hand, may assume that the sooner the relationship is clarified, the better their chances of success. Of course, the US is now involved in a confrontation with Russia in Ukraine, and the prospect of a second front in Asia is worrying. This would not necessarily be a direct military engagement (no one believes this is likely in the short term), but a general increase in politico-military tensions, draining resources in that direction. The recent dangerous proximity of warships in the South China Sea is a familiar sight to the various Baltic and Black Sea confrontations. At the same time, diplomatic and intelligence contacts are taking place to “keep the lines of communication open.” However, these are much less busy than in the recent past.

Read more …

Biden has no idea how the world has changed. He goes in there and says: You ungrateful desert rat! I remember what we did for you! And MbS will say: I’m too young to remember, but I still do know what WE did for YOU!.

Saudi Crown Prince Threatened To Damage US Economy – Media (RT)

Crown Prince Mohammed bin Salman privately threatened to harm the American economy after President Joe Biden warned Saudi Arabia of “consequences” for agreeing an oil production cut with Russia, the Washington Post reported, citing leaked material. The Biden administration had said it would re-evaluate relations with the kingdom following a decision by Riyadh to slash crude production against the wishes of the US.The Crown Prince, who is widely referred to as MBS, warned that he would not deal with the US administration anymore if Biden penalized Saudi Arabia. He also promised “major economic consequences for Washington,” the Post reported on Thursday. The threat was contained in a classified document that was leaked on a Discord server, but it was not clear whether the remark was part of intercepted communications or a message sent privately to the US.

Biden made his dissatisfaction with Riyadh clear last October after the OPEC+ group of major oil producers including Russia agreed to cut production by two million barrels a day. Washington was working to punish Moscow with sanctions on its oil trade over the conflict in Ukraine. “There’s going to be some consequences for what they’ve done with Russia,” the US president said in an interview with CNN at the time, without specifying any possible measures. On the campaign trail before his election, Biden vowed to make Saudi Arabia a “pariah” over the Crown Prince’s alleged role in the 2018 murder of Washington Post columnist Jamal Khashoggi, which Riyadh blamed on rogue agents.

This threat never materialized, with White House insiders indicating that the Biden administration had opted against jeopardizing bilateral relations. Under a decades-old arrangement, the US provides security to Saudi Arabia, and in exchange retains access to its oil, which the kingdom trades for dollars, propping it up as a global currency. A number of top US officials recently traveled to Saudi Arabia, including Secretary of State Antony Blinken. These relations contrast with the reportedly poor personal chemistry between Biden and MBS, who have not met since last July. The 37-year-old Saudi Crown Prince, who is responsible for the day-to-day affairs of the kingdom in lieu of his father, King Salman, reportedly mocks Biden in private, making fun of his gaffes and mental lapses. Critics of the US president have accused him of caving in to Saudi pressure.

Read more …

“It is the height of hypocrisy to pretend that solar panels and wind turbines will save us from ‘evil’ fossil fuels..”

Ban Use Of Fossil Fuels In Making Wind Turbines And Solar Panels (CSD)

New York state Sen. George Borrello, R-Wyoming County, has introduced a bill to require that all wind turbines, solar collectors and infrastructure for producing green energy be manufactured and constructed without the use of fossil fuels. His bill would also apply to the manufacture and distribution of electric vehicles. If the bill were to become law, it would be the end of renewable energy. There’s no feasible way to manufacture and transport wind turbines, solar panels and electric vehicles without fossil fuels. Borrello is well aware of this fact and said he suspects most of his colleagues in the New York Legislature do too.

Like a resolution that was introduced in the last Wyoming legislative session earlier this year that would’ve banned auto dealerships from selling electric vehicles, the goal of Borrello’s bill is to get people thinking a bit harder about the outcomes of extreme green energy policies. “The intent of the bill is to start an honest conversation about the reality of wind turbines and solar panels,” Borrello told Cowboy State Daily. “These energy sources are praised as the answer to reducing emissions and saving the planet. However, rarely discussed is the environmental damage that results from the manufacture, transport and installation of these systems.” In the last session of the Wyoming Legislature, Sen. Jim Anderson, R-Casper, sponsored a resolution requiring the state’s auto dealerships to phase out the sale of electric vehicles by 2035.

Anderson and the co-sponsors never intended the resolution to pass. They only wanted to start a conversation about bans on the sale of gas-powered vehicles that were adopted in California and considered in Colorado. He was successful. After Cowboy State Daily first reported on the measure, Anderson was interviewed on Fox News, Fox Business and Newsmax, as well as news outlets in New York, Pennsylvania, Illinois, Florida and Pennsylvania. “It was successful at starting the conservation and getting a lot of comments from the ignorant,” Anderson told Cowboy State Daily. He said it’s possible he’ll pursue similar legislation in future sessions, perhaps a bill rather than a resolution, which is nonbinding. With bans on the sale of gas-powered cars in California and New York, along with bans on natural gas hookups in new construction, Anderson said more conversation is needed.

“There’s so many of these stupid laws being passed. It’s really getting out of hand,” Anderson said. Borrello said solar panels require the mining of rare earth metals, which is done with diesel-powered machinery, and they are typically manufactured with coal-fired electricity. Likewise, metallurgical coal is burned to forge steel for the foundations of wind towers. Diesel-powered heavy equipment, Borrello continued, transports the components, prepares the sites and assembles the structures. “It is the height of hypocrisy to pretend that solar panels and wind turbines will save us from ‘evil’ fossil fuels, when the reality is that renewables — just like modern life as we know it — cannot exist without them,” Borrello said.

Patrick Moore

Read more …

“..statistics from Canadian National Fire Database reveal that wildfires across Canada have decreased in recent years, having peaked in 1989..”

Media Blames Climate Change For Canada Wildfires Despite Multiple Arrests (LSN)

Despite the arrest of multiple arsonists, the mainstream media in Canada seems intent on attributing the nation’s recent wildfires to “climate change.” As wildfires continue to spread across western, and now central and eastern Canada, burning forestland and homes, the mainstream media continues to imply that climate change is the main culprit, despite a growing number of reports showing that arsonists have been arrested for allegedly setting dozens of fires. “Several arsonists have been arrested in the past weeks in different provinces for lighting forest fires,” People’s Party of Canada leader Maxime Bernier tweeted. “But the lying woke media and politicians keep repeating that global warming is the cause.”

The severe nature of the wildfires has caused Canadians to wonder why they have spread so rapidly, especially as many of the affected areas are not typically impacted by wildfires of this degree or at this time of the year. In the past months, Royal Canadian Mounted Police (RCMP) have arrested several arsonists who have been charged with lighting fires across several provinces including Nova Scotia, Yukon, British Columbia, and Alberta. The motive behind lighting the fires is unclear. One Albertan, John Cook, has been arrested and charged with 10 counts of arson after setting a string of wildfires in and around Cold Lake, a hamlet near Edmonton. In addition to damaging vehicles and structures, Cook was charged with setting aflame the Church of Jesus Christ of Latter Day Saints in Cherry Grove, Alberta.

A Vancouver man charged with arson has been released until his trial on October 9, with Cpl. Michael Gauthier asserting that he is not a risk to light further fires. “This incident was not random in nature and we do not believe there is risk to other members of the public or businesses from the individual who was arrested,” Gauthier stated. Despite the numerous arrests, mainstream media outlets continue to publish articles attributing the wildfires to climate change. “Rise in extreme wildfires linked directly to emissions from oil companies in new study,” the Canadian Broadcasting Corporation (CBC) reported. “Canadian forest fires are the latest costly climate disaster that public accounts fail to capture,” another CBC headline read.

“Climate change is increasing the risks of wildfires in the country, experts say,” Global News attested. Despite these claims, statistics from Canadian National Fire Database reveal that wildfires across Canada have decreased in recent years, having peaked in 1989. Notably, the mainstream media outlets attributing the increase of wildfires to climate change have received funding from the Liberal government of Prime Minister Justin Trudeau, which is actively pushing for increased bans on using natural resources in Canada to combat “climate change.”

Read more …

“the electric grid is operating ever closer to the edge” resulting in higher chances of “more frequent and more serious disruptions.”

Over 66% Of US At Risk Of Power Outages Due To Green Transition (JTN)

At least two-thirds of America is expected to be hit with summer blackouts due to President Joe Biden’s push to end the use of fossil fuels, according to the organization that oversees the nation’s power grid stability. A 2023 “Summer Reliability Assessment” published by North American Electric Reliability Corporation (NERC) cites “new environmental rules” cracking down on power plant emissions as a culprit. In May, the Environmental Protection Agency (EPA) threatened to shut down coal plants that fail to meet an effective zero-carbon emissions mandate by 2038. The problem, according to NERC, is that the U.S. government is creating greater energy demand by pushing out traditional energy sources (coal, natural gas and nuclear) for less reliable and insufficient alternatives like solar and wind power.


“Natural gas supply and infrastructure is vitally important to electric grid reliability even as renewable generation satisfies more of our energy needs,” NERC wrote in the assessment. NERC’s president, James B. Robb, warned Senate Energy and Natural Resources Committee members that “the electric grid is operating ever closer to the edge” resulting in higher chances of “more frequent and more serious disruptions.” Robb also referred to natural gas as “fuel that keeps the lights on” and said improving its infrastructure is “required” to keep America’s grid afloat.

Read more …

“..authentic news outlets and reporters who cover the conflict with a pro-Russian stance are unlikely to be found in violation of our rules..”

New Twitter Files: FBI Worked With Ukraine To Censor Twitter Accounts (Fox)

The latest Twitter Files uncovered the FBI requesting the social media company to censor accounts accused of spreading misinformation about the Ukraine-Russia war and collect their personal information. A special agent from the FBI reached out to Twitter with a list of accounts according to The Grayzone News host Aaron Maté, who reported on the latest Twitter Files. “The FBI is helping Ukraine censor Twitter users, including journalists,” Maté reported. “The FBI aided a Ukrainian intelligence effort to ban Twitter users and collect their data. Twitter declined to censor journalists targeted by Ukraine.” Maté was included on the list of accounts.

FBI Special Agent Aleksandr Kobzanets, the assistant legal attaché at the U.S. Embassy in Kiev, reportedly contacted a pair of Twitter executives in March 2022 on behalf of Ukraine’s intelligence agency, the SBU. The agent reportedly sent a list of 163 Twitter accounts, stating that “These accounts are suspected by the SBU in spreading fear and disinformation.” Along with the list of accounts, the agent also reportedly forwarded a request from Ukraine’s SBU, which said, “we kindly ask you to take urgent measures to block these Twitter accounts and provide us with user data specified during registration.” However, Yoel Roth, Twitter’s Head of Trust and Safety at the time, responded to the FBI about how they would check the authenticity of some of the accounts listed, but he shared concerns with censoring American and Canadian journalists.

“In an initial look, they do appear to be a mix of individual accounts (that may or may not be authentic), some official Russian accounts (including state media accounts which are already labeled under our policies), and even a few accounts of American and Canadian journalists (e.g. Aaron Mate),” Roth wrote. “Our reviews are going to focus first and foremost on identifying any potential inauthenticity,” he continued. “In general, though, authentic news outlets and reporters who cover the conflict with a pro-Russian stance are unlikely to be found in violation of our rules absent other context that might establish some kind of convert/deceptive association between them and a government.”

Read more …

 

 

 

 

Mantis

 

 

Doggo tornado

 

 

Awwww
https://twitter.com/i/status/1666906748806914053

 

 

 

 

Support the Automatic Earth in virustime with Paypal, Bitcoin and Patreon.

 

 

 

 

 

Sep 122020
 
 September 12, 2020  Posted by at 8:54 am Finance Tagged with: , , , , , , , , , ,  7 Responses »


Claude Monet O Rio 1881

 

Was COVID19 Spreading Freely Worldwide Before Last Christmas? (RT)
Fauci Warns US Needs To ‘Hunker Down’ For Fall, Winter (Hill)
Trump Campaign Sends Cease-and-Desist To Biden Campaign Over Atlantic Ad (JTN)
MSM Attempts To Spin Trump’s Attacks On Senseless Wars Distort Reality (RT)
Ex-Judge Reviewing Flynn Cases Urges Guilty Plea Be Upheld (JTN)
Beijing To Impose Restrictions On All US Diplomats In China (AlJ)
Fortnite Maker: Apple and Google Monopolies Need To Be Stopped (NPR)
Left, Right Mock Pelosi For Saying Angry Mother Earth Caused Wildfires (RT)
Earth Barreling Toward ‘Hothouse’ State Not Seen In 50 Million Years (LS)
How Big Oil Misled The Public Into Believing Plastic Would Be Recycled (NPR)
Nobel Peace Prize Committee Tells Trump To Launch More Drone Strikes (B. Bee)

 

 

Setting new rcords. Winning!

 

 

 

 

 

 

 

 

Bless Tucker Carlson for providing the platform.

Bless Glenn Greenwald for his eloquent statement. Don’t miss this.

#FreeAssange

Tucker Greenwald Assange

 

 

George Galloway Assange

 

 

“How far back does this story go? We will probably never know.”

Was COVID19 Spreading Freely Worldwide Before Last Christmas? (RT)

A new study from America indicates that people were falling ill with coronavirus-like symptoms in December 2019, but doctors at the time dismissed it as ordinary flu. A team of doctors from Los Angeles scouring the hospital records from last winter has discovered a series of smoking gun clues which almost guarantee that Covid-19 was present in America well before Christmas. Scientists from UCLA have been analysing over 10 million hospital records from December 1, 2019 to February 29, 2020. Comparing that winter to previous ones, they noticed a 50-percent increase in ‘coughing’ as a symptom on admission forms. In addition, 18 more people than would ordinarily be expected were hospitalised with acute respiratory failure.

In fact, the scientists estimate that there may have been 1,000 or more Covid sufferers in LA alone last winter – and presumably those are just the symptomatic minority. At the time, of course, all of this was put down to a moderately bad flu season. Officially, Covid did not turn up in LA until January 22, when a traveller in LAX airport fell ill. He was from Wuhan, and was identified as Covid-positive four days later. This bombshell fits an emerging body of evidence on an earlier coronavirus timeline. Many people may remember the reports of a strange vaping-related illness that ravaged Americans towards the end of last year. There was a good deal of study on it. Scientists at first thought it was the oils in the e-cigs congealing in people’s lungs, but soon debunked that hypothesis.

In hindsight, it is difficult to look past Covid as the real culprit. Pneumonia-like symptoms, ordinarily fit people falling severely ill… it was Covid all over. These revelations come hot on the heels of a very different story from England, which nonetheless points to the same conclusion. Peter Attwood died at the age of 84 on January 30, having been sick for over a month. But in recent weeks, an autopsy has confirmed that he died of Covid, which he probably was infected with in 2019. Underlining this, Attwood’s daughter was sick with similar symptoms two weeks earlier still. All of this happened in Kent, England. But according to the government there, the first Covid death in the UK did not happen until March.

Now, Attwood’s family want answers from the Chinese government on why they did not tell the WHO earlier about the coronavirus, which we know from leaked memos was identified in mid-November at the latest. If coronavirus burned a track through the US and the UK towards the end of last year, is there any reason to suspect it wasn’t doing the same everywhere else? In July, reports came in of coronavirus DNA being found in Spain, Italy and South America as long ago as the spring of 2019. How far back does this story go? We will probably never know.

Read more …

How about we replace Fauci?

Fauci Warns US Needs To ‘Hunker Down’ For Fall, Winter (Hill)

Anthony Fauci, the nation’s top infectious diseases expert, warned Thursday that the U.S. should prepare for a difficult few months in the fight against COVID-19 as flu season approaches. “We need to hunker down and get through this fall and winter because it’s not going to be easy,” Fauci said during a panel discussion with doctors from Harvard Medical School. The director of the National Institute of Allergy and Infectious Diseases went on to warn against underestimating the pandemic’s potential to cause continued destruction. Fauci, who was one of the world’s leading AIDS researchers in the 1980s, compared the coronavirus pandemic to the early days of HIV when the epidemic started with a few gay men to decades later with millions of deaths and infections. “We’ve been through this before,” he said. “Don’t ever, ever underestimate the potential of the pandemic. And don’t try and look at the rosy side of things.”


His comments come after tapes released Wednesday by journalist Bob Woodward revealed that President Trump admitted in an interview to purposely downplaying the pandemic in the early months of the virus because he didn’t want to “create a panic.” During Thursday’s panel, Fauci added that vaccine trials are “progressing very well” and repeated his prediction that one will likely be available by the end of the year or by early 2021. Fauci also reiterated that different U.S. cities should expect to see post-Labor Day surges, with the expert saying last week that the country was heading into the fall with an “unacceptably high” level of COVID-19 cases. “We’re right around 40,000 new cases, that’s an unacceptably high baseline,” Fauci said at the time. “We’ve got to get it down, I’d like to see it 10,000 or less, hopefully less.”

Read more …

Well, you can try.

Trump Campaign Sends Cease-and-Desist To Biden Campaign Over Atlantic Ad (JTN)

The Trump campaign issued a cease-and-desist letter to the Biden campaign this week, directing Biden’s camp to stop airing an advertisement that a lawyer for Trump’s team called “false and misleading.” Trump Campaign Senior Legal Adviser Jenna Ellis wrote in the letter that the Biden campaign had shared a digital advertisement on the Democratic candidate’s Twitter feed that incorporated claims from a viral Atlantic article alleging Trump had made derogatory remarks about fallen American military servicemembers. “The Atlantic article and the False and Misleading Ad both rely upon statements allegedly made by anonymous sources who were directly contradicted on the record by twenty-one individuals present with President Trump that day,” Ellis writes.


“Additionally, the contemporary facts in the Secret Service record totally debunk this fake story.” Ellis was referring to the nearly-two dozen individuals who have publicly disputed the story’s claims since its publication last week. Nobody has yet gone on-the-record confirming the story. Ellis in the letter “demand[s] that Joe Biden and the Biden Campaign immediately cease and desist using the False and Misleading Ad.” “We also ask Twitter and Facebook to review and apply their community standards equally and fairly and remove entirely the False and Misleading Ad from their platforms,” she added. Facebook and Twitter CEOs Mark Zuckerberg and Jack Dorsey were copied on the letter.

Read more …

For some people, war/not war is the most important issue of all. Like soldiers.

MSM Attempts To Spin Trump’s Attacks On Senseless Wars Distort Reality (RT)

The New York Times and CNN are desperate to paint Donald Trump as an enemy of the military, due to his desire not to get involved in pointless wars. But this is simply not true, and Trump has the backing of many soldiers. Someone should tell the New York Times, CNN and other mainstream media outlets that soldiers don’t actually like getting killed or maimed for no good reason. Nor do they like generals and presidents who spill their blood in vain. Alas, ignorance of these obvious truths probably isn’t the issue. This is likely just another case of the biggest names in news pretending to not get the point so they can take the rest of us along for a ride in their confidence game of alternative reality.

The latest example is the New York Times spinning President Donald Trump’s critique this week of Pentagon leadership and the military industrial complex as disrespect for the military at large. “Trump has lost the right and authority to be commander in chief,”the Times quoted retired US Marines General Anthony Zinni as saying. Zinni cited Trump’s alleged “despicable comments” about the nation’s war dead – reported last week by The Atlantic, citing anonymous sources – as one of the reasons Trump “must go.” Never mind that Trump and all on-the-record administration sources denied The Atlantic’s report. The Times couldn’t resist when the pieces seemed to fit so well together for the military’s latest propaganda campaign against Trump.

First the president disses the troops, calling them “losers” and “suckers,” then he has the temerity to say Pentagon leaders want to fight wars to keep defense contractors happy. Except the pieces don’t fit. The many people who occupy so-called boots on the ground don’t have the same interests as the few people who send them to war. In fact, combat troops are given reason to hate the generals who send them to die when there’s not a legitimate national security reason for the war they’re fighting. And the US has fought a long line of wars that didn’t serve the nation’s national security interests. Even when a war is justified, the interests of top brass and front-line soldiers often clash.

[..] Trump has managed to keep the US out of new wars and has drawn down deployments to Iraq, Syria and Afghanistan – despite Pentagon opposition. His rival, Democrat presidential nominee Joe Biden, can be expected to rev up the war machine if he takes charge. His foreign policy adviser, Antony Blinken, lamented in a May interview with CBS News that Trump had given up US “leverage” in Syria. Trump also has turned around the VA hospital system, ending decades of neglect that left many veterans to die on waiting lists.

Read more …

Is it November yet? They’re not going to stop this before then.

Ex-Judge Reviewing Flynn Cases Urges Guilty Plea Be Upheld (JTN)

A retired judge named to review Michael Flynn’s case recommended Friday the former national security adviser’s guilty plea for lying to the FBI be upheld, suggesting the Justice Department’s request to dismiss the charge was caused by pressure from President Trump. “In the United States, Presidents do not orchestrate pressure campaigns to get the Justice Department to drop charges against defendants who have pleaded guilty — twice, before two different judges — and whose guilt is obvious,” the former jurist John Gleeson wrote in a report to U.S. District Judge Emmet Sullivan, who is overseeing the case. “The government’s attempt to dress up a politically motivated dismissal that smacks of impropriety as a ‘policy judgment,’ should be rejected,” added Gleason, now a lawyer in private practice who used to be a federal judge in New York.


Gleeson’s views on the case were known before Sullivan even appointed him to write an independent report. Both Flynn’s lawyers and DOJ have argued the charge and guilty plea should be dismissed because of evidence of FBI and prosecutorial wrongdoing, including the withholding of exculpatory evidence of innocence that U.S. Attorney Jeff Jensen uncovered during a review of the case. Sidney Powell, Flynn’s lawyer, on Friday lambasted Gleeson’s recommendation. “Gleeson’s filing was predictable and meaningless,” she tweeted. “It’s the irrelevant and wrong smear he intended it to be–ignoring the mountain of exculpatory evidence Mr. Jensen unearthed and produced that shows the investigation and prosecution of General Flynn was corrupt from its inception.”

Read more …

Both sides are spying and “influencing” like there’s no tomorrow.

Beijing To Impose Restrictions On All US Diplomats In China (AlJ)

Beijing will impose “reciprocal restrictions” on all American diplomats in China in response to earlier curbs on the activities of its embassy staff in the United States, China’s Ministry of Foreign Affairs has said. The unspecified countermeasures will apply to all US embassy and consulate staff, as well as the consulate-general in Hong Kong, a ministry statement said on Friday. “To urge the US to repeal its wrong decisions as soon as possible, the Chinese side has recently sent a diplomatic note announcing reciprocal restrictions on US embassy and consulates, the consulate-general in Hong Kong included,” it added.


The announcement comes days after China threatened to respond to a new raft of US restrictions on Chinese diplomats, such as a requirement to seek approval for university visits, holding cultural events with more than 50 people outside embassy grounds, or meetings with local officials. Last week, US Secretary of State Mike Pompeo said those measures were a response to long-established controls on American diplomats in China, drawing an angry rebuke from Beijing. It comes as part of a Trump administration campaign against alleged Chinese influence operations and espionage activity. The State Department had said it would also take action to help ensure all Chinese embassy and consular social media accounts were “properly identified”.

Read more …

No idea what the odds are he can win. But he’s rich enough to fight this fight, while most others are not.

Fortnite Maker: Apple and Google Monopolies Need To Be Stopped (NPR)

From his perch in Cary, North Carolina, Epic Games CEO Tim Sweeney has launched a war against Silicon Valley powerhouses Apple and Google. The billionaire maker of video game phenomenon Fortnite dragged the tech giants to court last month over the 30% fee they charge on purchases made in their mobile app stores. Since then, Sweeney, an iconoclastic executive who owns enormous farms and dabbles in fast cars, has not talked publicly about his decision. He broke his silence to NPR, insisting he had the backing of countless other app developers who also believe the tech titans are taking advantage of them. “It’s not just Epic being exploited by Apple, but it’s every developer who goes along with that scheme colluding with Apple and Google to further their monopoly,” Sweeney said in the interview.

“These stores are making a lot more money from creative works than the creators.” In some ways, Sweeney said, being far away from the orbit of Silicon Valley, a culture he has long accused of “groupthink,” has made his gamble easier. He said many companies either rely too much on the tech giants to help them distribute their products and reach consumers, or dream of becoming the next Apple or Google themselves. “Everybody doesn’t have a great incentive to challenge Apple and Google’s 30% because they want to be the next bastard to charge 30%,” Sweeney said. To be clear, Apple and Google object to Sweeney’s characterization. They have long charged the 30% fee for in-app purchases. The companies say the commission supports technical staff who make sure apps on iPhones and Androids are safe and secure.

In response, Sweeney, a veteran computer programmer, says that justification is offensive. “Every Apple engineer who works on these services and ensures that iPhone is the most secure platform in the world has got to deeply resent the business guys for taking credit and claiming that their store monopoly is the reason why the platform is secure,” Sweeney said. “It’s just not true.” In its latest legal filing, Apple says Sweeney is positioning his company as a “modern corporate Robin Hood, in reality, it is a multi-billion dollar enterprise that simply wants to pay nothing.”

Apple readily points out that Sweeney chose to break the rules that govern the app store — rules that clearly state developers cannot make users pay in-app purchases. Before Sweeney did that, leading to Apple’s tossing Fortnite out of its store, he wrote an email at 2 a.m. to tech executives including Apple CEO Tim Cook. He detailed what Epic was about to do, according to court documents. “We choose to follow this path in the firm belief that history and law are on our side,” he wrote in the email.

Read more …

Starting a religion?

Left, Right Mock Pelosi For Saying Angry Mother Earth Caused Wildfires (RT)

Top US Democrat Nancy Pelosi was bombarded with online mockery after saying that massive ongoing wildfires raging in California were the result of “Mother Earth” and her displeasure with humans. The house speaker addressed the blazing wildfires that have engulfed her home state on Friday in an interview with MSNBC. “Mother Earth is angry,” Pelosi said. “She’s telling us … with hurricanes on the Gulf Coast, fires in the west, whatever it is … the climate crisis is real and has an impact.” Her colorful rhetoric did not sit well with either the political left or right, as both factions took to social media to air their various grievances with the politician and her figure of speech.

Some on the left recalled that the speaker publicly dismissed the ‘Green New Deal’, an anti-climate change proposal drafted by progressive firebrand Alexandria Ocasio-Cortez. Pelosi famously called it “green dream or whatever,” which some noted was in stark contrast to her latest “Mother Earth” language. “Didn’t Pelosi mock the idea of a green new deal? Spare us your crocodile tears,” one person wrote. Conservatives, on the other hand, made light of what they perceived as hyperbole, mocking Pelosi for presuming to speak for the forces of nature and calling into question the Democrats’ definition of themselves as the “party of science.” Some users had other simpler theories, saying that California has “horribly mismanaged its forests” and that might be responsible for the wildfires’ scale.

Then there were those who didn’t take any issue with Pelosi’s comment, saying she was “so right.” The 2020 California wildfires have become an inescapable political topic as they tinted the state’s skies orange due to their sheer scale. Cal Fire confirmed this week that one of the fires was sparked by a “smoke-generating pyrotechnic device” used at a ‘gender reveal’ party in San Bernardino County.

Read more …

There is a huge communication problem here. IPCC projections for 2300 are utterly meaningless for people living today. You MUST change your message.

Earth Barreling Toward ‘Hothouse’ State Not Seen In 50 Million Years (LS)

Sixty-six million years ago, after a massive asteroid hit Earth with the explosive energy of roughly 1 billion nuclear bombs, a shroud of ash, dust and vaporized rock covered the sky and slowly rained down on the planet. As plant and animal species died en masse, tiny undersea amoebas called forams continued to reproduce, building sturdy shells out of calcium and other deep-sea minerals, just as they had for hundreds of millions of years. When each foram inevitably died — pulverized into seabed sediment — they kept a little piece of Earth’s ancient history alive in their fossilized shells. For decades, scientists have studied those shells, finding clues about the ancient Earth’s ocean temperatures, its carbon budget and the composition of minerals spilling through the air and seas.


Now, in a new study published today (Sept. 10) in the journal Science, researchers have analyzed the chemical elements in thousands of foram samples to build the most detailed climate record of Earth ever — and it reveals just how dire our current climate situation is. The new paper, which comprises decades of deep-ocean drilling missions into a single record, details Earth’s climate swings across the entire Cenozoic era — the 66 million-year period that began with the death of the dinosaurs and extends to the present epoch of human-induced climate change. The results show how Earth transitioned through four distinct climate states — dubbed the Warmhouse, Hothouse, Coolhouse and Icehouse states — in response to changes in the planet’s orbit, greenhouse gas levels and the extent of polar ice sheets.

The zig-zagging chart (shown above) ends with a sobering peak. According to the researchers, the current pace of anthropogenic global warming far exceeds the natural climate fluctuations seen at any other point in the Cenozoic era, and has the potential to hyper-drive our planet out of a long icehouse phase into a searing hothouse state. “Now that we have succeeded in capturing the natural climate variability, we can see that the projected anthropogenic warming will be much greater than that,” study co-author James Zachos, professor of Earth and planetary sciences at the University of California, Santa Cruz, said in a statement. “The Intergovernmental Panel on Climate Change (IPCC) projections for 2300 in the ‘business-as-usual’ scenario will potentially bring global temperature to a level the planet has not seen in 50 million years.”

Read more …

The only thing I think these days when seeinng people dragging take-out coffees down the street is: 500 YEARS. That’s how long it will take for that cup you use for 10 minutes to dissolve.

How Big Oil Misled The Public Into Believing Plastic Would Be Recycled (NPR)

Laura Leebrick, a manager at Rogue Disposal & Recycling in southern Oregon, is standing on the end of its landfill watching an avalanche of plastic trash pour out of a semitrailer: containers, bags, packaging, strawberry containers, yogurt cups. None of this plastic will be turned into new plastic things. All of it is buried. “To me that felt like it was a betrayal of the public trust,” she said. “I had been lying to people … unwittingly.” Rogue, like most recycling companies, had been sending plastic trash to China, but when China shut its doors two years ago, Leebrick scoured the U.S. for buyers. She could find only someone who wanted white milk jugs. She sends the soda bottles to the state. But when Leebrick tried to tell people the truth about burying all the other plastic, she says people didn’t want to hear it.

“I remember the first meeting where I actually told a city council that it was costing more to recycle than it was to dispose of the same material as garbage,” she says, “and it was like heresy had been spoken in the room: You’re lying. This is gold. We take the time to clean it, take the labels off, separate it and put it here. It’s gold. This is valuable.” But it’s not valuable, and it never has been. And what’s more, the makers of plastic — the nation’s largest oil and gas companies — have known this all along, even as they spent millions of dollars telling the American public the opposite. NPR and PBS Frontline spent months digging into internal industry documents and interviewing top former officials. We found that the industry sold the public on an idea it knew wouldn’t work — that the majority of plastic could be, and would be, recycled — all while making billions of dollars selling the world new plastic.

The industry’s awareness that recycling wouldn’t keep plastic out of landfills and the environment dates to the program’s earliest days, we found. “There is serious doubt that [recycling plastic] can ever be made viable on an economic basis,” one industry insider wrote in a 1974 speech. Yet the industry spent millions telling people to recycle, because, as one former top industry insider told NPR, selling recycling sold plastic, even if it wasn’t true. “If the public thinks that recycling is working, then they are not going to be as concerned about the environment,” Larry Thomas, former president of the Society of the Plastics Industry, known today as the Plastics Industry Association and one of the industry’s most powerful trade groups in Washington, D.C., told NPR.

[..] Here’s the basic problem: All used plastic can be turned into new things, but picking it up, sorting it out and melting it down is expensive. Plastic also degrades each time it is reused, meaning it can’t be reused more than once or twice. On the other hand, new plastic is cheap. It’s made from oil and gas, and it’s almost always less expensive and of better quality to just start fresh. All of these problems have existed for decades, no matter what new recycling technology or expensive machinery has been developed. In all that time, less than 10 percent of plastic has ever been recycled.

Read more …

Babylon Bee.

Nobel Peace Prize Committee Tells Trump To Launch More Drone Strikes (B. Bee)

The Norwegian Nobel Committee was reportedly considering President Trump as a recipient of its prestigious Nobel Peace Prize, as the president had submitted his name for consideration to them over 67 times. But after reviewing his credentials, the committee concluded that he had not launched enough drone strikes against foreigners to qualify. “Yeah, you’ve dabbled in attacks, but what we’re really looking for is someone who’s really committed to a secret drone war,” said a spokesperson for the committee. “Look at previous winners like Barack Obama: now there’s a shining example of someone who achieved world peace not through lame diplomacy but by blowing up foreigners with impunity.”


Obama also criticized Trump’s drone strike count, saying they were “rookie numbers” and he needs to “pump those numbers up.” “My fellow Americans, it represents a danger to democracy when we have a president who’s either unwilling or unable to bomb as many foreigners as I did,” Obama said, reading off a teleprompter. “During my scandal-free presidency, I was able to drop over 26,000 bombs some years.” “Those were the days,” he added, going off-script as his eyes glazed over and he recalled the feeling of dark, evil power that coursed through his veins when he ordered drone strikes on foreign nations we were not at war with, innocent civilians, and the occasional American citizen. The Nobel Prize committee said they would consider Trump again next year, provided he starts a war with Iran.

Read more …

 

 

We try to run the Automatic Earth on donations. Since ad revenue has collapsed, your support is now an integral part of the process.

Thank you for your ongoing support.

 

 

 

 

Support the Automatic Earth in virustime.

 

Dec 082019
 


Arthur Rothstein “Bank that failed. Kansas” May 1936

 

UK’s Johnson Ahead But Polls Suggest Majority Might Be Tough (R.)
Calls Grow To Stop Boris Johnson With Tactical Voting As Race Tightens (O.)
Patient Data From GP Surgeries Sold To US Companies (G.)
How The Democrats & Federal Reserve Ensured Trump’s Re-Election (Hamilton)
Tracking Every Presidential Candidate’s TV Ad Buys (538)
Trump: Giuliani To Deliver Report On Ukraine Trip To Congress, Barr (Hill)
Is Russia Overtaking The US In The Realm Of Strategic Bombers? (SF)
China Crude Oil Imports Hit Record High As Refiners Race To Use Up Quotas (R.)
US Government Drops Case Against Journalist Max Blumenthal (GZ)
Fire ‘Too Big To Put Out’ May Blanket Sydney In Smoke For Months (NW)

 

 

There are so many different polls with even more different results, you’d think they do it on purpose.

UK’s Johnson Ahead But Polls Suggest Majority Might Be Tough (R.)

Prime Minister Boris Johnson is heading into Britain’s election next week with a lead in opinion polls, but some of the surveys also suggest that his chance of winning a parliamentary majority could be too close to call. Four opinion polls published on Saturday put the lead of Johnson’s Conservative Party over the main opposition Labour Party at between eight and 15 points, five days before the Dec. 12 national election. At the lowest end of that range, Johnson cannot count on winning the majority in parliament he needs to take Britain out of the European Union by Jan. 31, especially if voters choose to put aside their usual allegiances to vote tactically over Brexit.

Polling firm Savanta ComRes said Johnson’s lead over Labour had shrunk to eight points from 10 in a previous poll published on Wednesday – the tightest margin of Saturday’s four surveys. Its head of politics, Chris Hopkins, said the final few days of the campaign could be crucial. “The margins are incredibly tight,” he said. “The Conservative lead over Labour dropping or increasing by one or two points could be the difference between a hung parliament and a sizeable Conservative majority.” The election pits Johnson’s plan to get Brexit done next month against Labour’s call for a second referendum on a new Brexit deal under its veteran socialist leader Jeremy Corbyn.

Opinion pollsters were embarrassed by Britain’s last election in 2017, when they under-estimated the size of Labour’s support which cost previous prime minister Theresa May her majority and threw Brexit into chaos. They also failed to predict the victory of the Leave campaign in the 2016 EU membership referendum. However, one poll, published before the 2017 election, by YouGov, was more accurate in predicting the number of seats won by each party. Known as an MRP poll – an acronym for its Multilevel Regression and Post-stratification model – it predicted 93% of results in individual constituencies correctly. The Sunday Times said a poll by Datapraxis, also using the MRP model and based on 500,000 online interviews, predicted that Johnson would win a majority of 38 in parliament next week, down from a projection of 48 two weeks ago.

https://twitter.com/i/status/1203590220173713409

Read more …

It doesn’t take that many votes.

Calls Grow To Stop Boris Johnson With Tactical Voting As Race Tightens (O.)

A cross-party alliance of opposition politicians has launched an 11th-hour appeal to anti-Tory voters to consider switching allegiance in Thursday’s general election, amid signs that a late surge of tactical voting in a few swing seats could deprive Boris Johnson of a majority in parliament. The calls from senior Labour, Liberal Democrat and SNP figures come as a major poll suggests Johnson’s likely majority has been cut in half in the last two weeks – from 82 a fortnight ago to just 40 with four days to polling day. The analysis of almost 30,000 voters, for the pro-EU Best for Britain campaign, also finds that tactical votes by as few as 40,700 people in 36 key seats could prevent Johnson from forming a majority government.

Without a majority, Johnson is unlikely to be able to deliver the central promise of the Tory campaign – “to get Brexit done” – as he will struggle to get enough MPs’ votes. The DUP, which agreed to prop up the Tories after the 2017 general election, is now fiercely opposed to Johnson’s Brexit deal. The special polling analysis concludes that if tactical voting keeps the Tories out in the three dozen seats, the Conservatives would have 309 MPs, Labour 255, the SNP 49, the Lib Dems 14, Plaid Cymru three and the Greens one. To guarantee a majority, a governing party needs 325 MPs.

Naomi Smith, Best for Britain’s chief executive, said: “This election is on a knife-edge, and, if enough Remainers hold their nose and vote for the candidate with the best chance of stopping the Tories, we’re heading for a hung Parliament and a final-say referendum.”

Read more …

Not sure this is the scandal it’s made out to be, but transparency is key.

Patient Data From GP Surgeries Sold To US Companies (G.)

Data about millions of NHS patients has been sold to US and other international pharmaceutical companies for research, the Observer has learned, raising new fears about America’s growing ambitions to access lucrative parts of the health service after Brexit. US drugs giants, including Merck, Bristol-Myers Squibb and Eli Lilly, have paid the Department of Health and Social Care, which holds data derived from GPs’ surgeries, for licences costing up to £330,000 each in return for anonymised data to be used for research. Campaigners working to protect the privacy of patients’ medical histories said they were concerned at the lack of transparency that surrounded the sale of licences and a lack of clarity about what the data was being used for.

The most recent accounts of the government organisation that issues the licences, Clinical Practice Research Datalink or CPRD, reveal it received more than £10m in revenue last year. “Patients should know how their data is used. There should be no surprises. While legitimate research for public health benefit is to be encouraged, it must always be consensual, safe and properly transparent,” said Phil Booth, coordinator of medConfidential, which campaigns for the privacy of health data. “Do patients know – have they even been told by the one in seven GP practices across England that pass on their clinical details – that their medical histories are being sold to multinational pharma companies in the US and around the world?”

[..] Last week, a leak of secret government papers about private discussions between UK and US officials over a post-Brexit trade deal showed that the “free flow of data” was a “top priority” for the US. America appears to be pressing for unrestricted access to Britain’s 55 million health records, which are estimated to have a total value of £10bn a year. A minute of one of the meetings says: “On data flows, the critical element highlighted by the US was agreement that no parties will restrict information.” Another US demand is for “data localisation” to be ruled out, meaning the data of NHS patients could be stored on cloud servers abroad.

Read more …

That and demographics. Much more from Hamilton and as usual, tons of graphs.

How The Democrats & Federal Reserve Ensured Trump’s Re-Election (Hamilton)

July 31…Debt Ceiling Deal – July 31st of this year, Senate Democrats carried President Trump’s budget deal eliminating the debt ceiling through July 31st of 2021. This after a majority of Trump’s House Republicans voted against the budget deal but House Democrats overwhelmingly passed it. And thus the debt ceiling was no more. Since July 31st, the Treasury has issued over $1 trillion in net new debt but that is just the start. Trump tweeted there would always be plenty of time to make budget cuts “later”.

July 31…Federal Reserve begins series of interest rate cuts – On July 31st, the Federal Reserve begins cutting rates and has cut rates from 2.4% to 1.55% or a 35% reduction on the cost of overnight intra-bank lending, the foundation of credit.

August 21.. Federal Reserve restarts QE – In August, the Fed ceased quantitative tightening (QT) and restarted quantitative easing (QE). The Federal Reserve balance sheet has expanded by over $300 billion in short order, with an $180 billion increase in Treasuries held. The supposed rationale for the QE restart, inadequate excess reserves or liquidity…

Excess Reserves Not Restarted – With all the new QE, hardly any of it has been added to bank excess reserves…just a paltry $16 billion out of the $306 billion in new currency digitally conjured.

Direct Monetization – That is $290 billion in new dollars directly in banks hands…and banks do what banks do, which is leverage those dollars by 5x’s to 10x’s (or more), resulting in…

Asset Explosion – Using the Wilshire 5000 as a proxy (as it represents all publicly traded US equities), US equities have risen $2.42 trillion over the 4 month period as all the new digitally conjured cash has been passed to large banks for the “assets” they held…or about a 8.5x the quantity of new “not QE” and “not excess reserves”.

[..] Debt creation by periods, 1960 through 2000, 2000 through 2008, and 2008 through 2019. Relatively stable corporate debt creation, collapsing mortgage debt, and surging federal debt. And collapsing mortgage debt and surging federal debt is only just getting started, because…

And finally, why mortgage debt won’t be rising anytime soon and all debt creation will be up to the federal government. The chart below shows the annual change in young (working age) versus elderly…a surging population of elderly versus huge deceleration of growth among the working age population.

Just a reminder, elderly earn and spend half as much as working age persons and “destroy money” via deleveraging while working age persons “create money” via undertaking new loans (debt). The current and future situation is one of collapsing credit and collapsing money creation as the growth of deflationary elderly overwhelms inflationary working age growth…and into that entirely predictable situation, steps the Federal government, Federal Reserve, and ludicrous politicians to serve the interests of the few at the expense of the many.

Read more …

Bloomberg.

Tracking Every Presidential Candidate’s TV Ad Buys (538)

Read more …

Wonder what he’s got.

Trump: Giuliani To Deliver Report On Ukraine Trip To Congress, Barr (Hill)

President Trump said that Rudy Giuliani, his personal attorney, will deliver a report to Congress and Attorney General William Barr about information he uncovered during his latest trip to Ukraine. “He’s going to make a report, I think to the attorney general and to Congress. He says he has a lot of good information. I have not spoken to him about that information yet,” Trump told reporters Saturday. “He has not told me what he found, but I think he wants to go before Congress … and also to the attorney general and the Department of Justice,” he added. “I hear he has found plenty.” Giuliani raised eyebrows this week when he traveled to Ukraine as the House conducts a whirlwind impeachment investigation into whether the president abused his power.


Democrats say Trump overstepped his bounds by pressuring Kyiv to investigate former Vice President Joe Biden on unfounded corruption allegations and disproven claims that Ukraine was involved in 2016 election meddling. During his trip, Giuliani met with multiple Ukrainian officials as he continued his campaign to convince American lawmakers Trump did nothing wrong. Photos from the visit showed the ex-New York City mayor meeting with a former Ukrainian diplomat who has propagated the unsubstantiated claim that Ukraine interfered in the 2016 election. He also met with Yuriy Lutsenko, a Ukrainian politician, former prosecutor general and important figure in the impeachment inquiry, who proposed a joint corruption investigation between the U.S. and Ukraine.

Read more …

Reading between the lines, what we see is America can only keep up by going to war and spending more with that as an excuse.

Is Russia Overtaking The US In The Realm Of Strategic Bombers? (SF)

In March 2018, Russia announced that it would completely overhaul its entire Tu-160 long-range strategic bomber fleet by 2030. According to Deputy Defense Minister Yuri Borisov, the entire fleet of Tu-160 bombers will be replaced with the newer Tu-160M2 version, in addition to heavy upgrades of all operational aircraft. All on-board radio-electronic equipment and engines will be replaced. Serial production of the Tu-160M2 will begin in 2023 and the plan is for it to remain a state of the art warplane for the next 40 years. The Russian Aerospace Forces intend to purchase no less than 50 such aircraft.

The first such warplane is to be delivered in 2021, with 3 more in 2023. Afterwards serial production will continue with 3 Tu-160M2s being produced per year. The Tupolev Tu-160 (NATO codename: Blackjack) is a long range, supersonic, variable geometry wing, strategic bomber -designed to penetrate sophisticated air defense systems at low altitude and supersonic speed. It is the Soviet counterpart to the US Air Force B-1B Lancer strategic bomber.

[..] Currently, the US operates three types of strategic bombers – the B-1B, the B-2, and the B-52. The US Air Force has 62 B-1Bs, out of which, according to data from August 2019, only 6 were fully operational, with the others being grounded or undergoing maintenance. They have been in service since 1985. The longest serving bomber in the US Air Force is the B-52A which was commissioned back in 1955. The existing fleet was upgraded to the B-52H Stratofortress, commissioned in 1961. It is planned for this warplane to be operated until 2050. As of June 2019, there were 58 B-52 bombers in operation, with 18 more in reserve.

The B-2 is the only stealth bomber in operation anywhere in the world. It was commissioned in 1993. Thef US Air Force operates 20 such warplanes. There is also the B-21 Raider stealth bomber in development by Northrop Grumman. The first test aircraft is being built in Northrop Grumman’s Palmdale, California, facility and has yet to make its maiden flight. The optimistic forecast is that the first bomber should enter service by 2025.

Read more …

Beijing actively encourages additional oil imports. If you don’t produce output now, you’ll be cut next year. Fill your teapot!

China Crude Oil Imports Hit Record High As Refiners Race To Use Up Quotas (R.)

China’s crude oil imports hit a record high on a daily basis in November, as refiners operated at high run rates to use up annual import quotas. The world’s top oil buyer imported 45.74 million tonnes of crude, equivalent to 11.13 million barrels per day (bpd), according to data released by the General Administration of Customs on Sunday. That compared with 10.72 million bpd in October and 9.61 million bpd in November last year. For the first 11 months of 2019, China brought in a total of 461.88 million tonnes, or 10.09 million bpd, up 10.4% from the same period last year, the data showed. As the year draws to a close, private refineries, known as teapot refiners, are ramping up output to use up their crude import quotas for the year in order to be able to apply for more quotas next year.


[..] Total natural gas imports, including liquefied natural gas (LNG) and pipeline, in November rose 3.3% from the same period last year to 9.45 million tonnes, customs data showed. In the period of January-November, natural gas imports reached 87.11 million tonnes, up 7.4% from same period last year. On Monday, Russia started to transport pipeline gas from Siberia to northeastern China.

Read more …

Another failed coup.

US Government Drops Case Against Journalist Max Blumenthal (GZ)

The US government has dropped its bogus charge of “simple assault” against journalist Max Blumenthal, after having him arrested on a 5-month-old warrant and jailed for nearly two days. The Grayzone has learned that Secret Service call logs recorded during the alleged incident were either not kept or destroyed. The mysteriously missing evidence included print documents and radio recordings that may have exposed collusion between Secret Service officers operating under the auspices of the US State Department and violent right-wing hooligans in an operation to besiege peace activists stationed inside Venezuela’s embassy in Washington, DC.

Blumenthal, who is the editor of The Grayzone, was arrested at his home on October 25 by a team of DC cops who had threatened to break down his door. He later learned that he was listed in his arrest warrant as “armed and dangerous,” a rare and completely unfounded designation that placed Blumenthal at risk of severe harm by the police. The government’s case rested entirely on a false accusation by a right-wing Venezuelan opposition activist, Naylet Pacheco, that Blumenthal and Benjamin Rubinstein had assaulted her while they were delivering food to Venezuela’s embassy in Washington, DC in the early morning on May 8. (Rubinstein is the brother of journalist and Grayzone contributor Alexander Rubinstein, who was reporting from inside the embassy at the time.)

The Grayzone has reported extensively on the corruption of coup leader Juan Guaidó, whom Washington recognizes as “interim president” of Venezuela, as well as the scandals plaguing Guaidó’s “ambassador” to the United States, Carlos Vecchio. Vecchio personally presided over the weeks-long siege of Venezuela’s embassy in Washington, DC, stage-managing efforts by a mob of rabid right-wing activists to prevent peace activists from receiving deliveries of food and sanitary supplies. As The Grayzone reported, the Donald Trump administration has diverted USAID funding originally intended to assist Central American migrants to pay the salaries of Vecchio and his team in Washington.

[..] Lawyers representing Blumenthal and Rubinstein placed multiple and highly specified discovery requests to the prosecutor for Secret Service call recordings and reports logged on May 8 at the location of the embassy food delivery. The US prosecutor was unable to satisfy the request, verbally confirming that if the documents had existed, they no longer did. “This is highly unusual and highly notable, almost inexplicable in the ordinary course of operations that these records were not maintained and preserved,” said Carl Messineo, the counsel to Rubinstein and a co-founder of the Partnership for Civil Justice Fund. “Given the false nature of allegations and that they advanced a prosecution based on these it is really questionable that this information was not produced.”

Read more …

It’s getting out of hand. Australia has a huge water/moisture shortage.

Fire ‘Too Big To Put Out’ May Blanket Sydney In Smoke For Months (NW)

A wildfire blazing 37 miles northwest from Sydney, Australia has been determined to be “too big to put out,” leaving residents to evacuate and the city with the prospect of months of heavy smoke. The fire is currently 1,150 square miles across and is comprised of several fires merging into one. Called the Gospers Mountain mega blaze, 2,200 firefighters are reported to be out in the field battling the fire, with groups of Canadian and American firefighters said to be joining them soon. Walkabout Wildlife Park has evacuated hundreds of animals to keep them safe from the fire. But the Bureau of Meteorology declared that some of the fires were too big to extinguish and would only be put out when the country received a good rain.


Sydney may be blanketed in smoke for weeks—possibly months. Sydney has already been enduring higher smoke levels than normal, and hospital officials report a 10 percent increase in admissions. Health officials warn that those who inhale the smoke long term might see effects similar to smoking cigarettes. “A cigarette is basically a plant that we purposely inhale. And in bushfires, it’s another plant that we’re inhaling the smoke from, so it’s not surprising the health effects are actually quite similar,” said Associate Professor Brian Oliver, an expert in respiratory disease from the University of Technology, Sydney to the BBC. “We cannot stop these fires, they will just keep burning until conditions ease, and then we’ll try to do what we can to contain them,” said NSW RFS deputy commissioner, Rob Rogers to the ABC.

Read more …

 

 

 

Please put the Automatic Earth on your Christmas charity donations list. Support us on Paypal and Patreon.

Top of the page, left and right sidebars. Thank you.

 

 

 

Jul 232019
 


Odilon Redon Sunset n.d.

 

US Justice Department Tells Mueller To Limit Congressional Testimony (R.)
What Goes Around (Kunstler)
A Non-Hack That Raised Hillary’s Hackles (Ray McGovern)/span>
Inequality is Destroying Democratic Capitalism (Deaton)
Who Was Jeffrey Epstein Calling? (NYMag)
Chelsea Clinton Denies Ties To Jeffrey Epstein’s Alleged ‘Madam’ (MN)
UK’s May Takes Parting Shot at Putin in Desperate Diversion From Failure (SCF)
Iran Warns West Against Starting Conflict (R.)
France To Shut Down Nuclear Plants Due To Heatwave (Montel)
Huge Swathes Of The Arctic On Fire, Satellite Images Show (Ind.)

 

 

He might as well stay home. Can’t talk about Concord, can’t talk about anything not in the report.

US Justice Department Tells Mueller To Limit Congressional Testimony (R.)

The U.S. Justice Department told former Special Counsel Robert Mueller on Monday he should limit his testimony before Congress this week to discussing his public report on the Russia probe. In a letter to Mueller, Associate Deputy Attorney General Bradley Weinsheimer said his testimony set for Wednesday “must remain within the boundaries of your public report because matters within the scope of your investigation were covered by executive privilege.” The letter said “these privileges would include discussion about investigative steps or decisions made during your investigation not otherwise described in the public version of your report.”

Mueller completed in March his nearly two-year-long probe into Russian meddling in the 2016 election and possible obstruction of justice by President Donald Trump. The Justice Department released a redacted copy of his 448-page report in April. A spokesman for Mueller, Jim Popkin, said no one at the Justice Department, Congress or the White House would review Mueller’s statement before he delivers it on Wednesday. In back-to-back hearings before the House of Representatives Judiciary and Intelligence committees, Democrats are expected to try to get Mueller to focus his testimony on specific examples of Trump’s misconduct.

[..] Mueller has been using offices at his former law firm WilmerHale and working with a small team from the special counsel’s office to prepare for Wednesday’s hearings, Popkin said. “He will come well prepared,” Popkin said. “His team has been working on this for a while and they will be ready for whatever comes their way.”

Read more …

“is it possible that he’s just not very bright?”

What Goes Around (Kunstler)

The entrapment operation that was the Special Counsel’s covert mission has turned out to be Mr. Mueller own personal booby-trap, prompting the question: is it possible that he’s just not very bright? Though Mr. Mueller’s final report asserted that the Russian government interfered in “a sweeping and systemic fashion” to influence the 2016 election, the 450-page great tome contains zero evidence to support that claim, and the discrepancy was actually noticed by federal judge Dabney Friedrich who is presiding over the case against the alleged Russian Facebook trolls that was one of the two tent-poles in the RussiaGate fantasy. The case is now blowing up in Robert Mueller’s face.

In early 2018, Mr. Mueller sold a DC grand jury on producing indictments against a Russian outfit called the Internet Research Agency and its parent company Concord Management, owned by Russian oligarch Yevgeny Prigozhin for the so-called election meddling. The indictment was celebrated as a huge coup at the time by the likes of CNN and The New York Times, styled as a silver bullet in the heart of the Trump presidency. But the indicted parties were all in Russia, and could not be extradited, and there was zero expectation that any actual trial would ever take place — leaving Mueller & Co. off-the-hook for proving their allegations.

To the great surprise of Mr. Mueller and his “team,” Mr. Prigozhin hired some American lawyers to defend his company in court. Smooth move. It automatically triggered the discovery process, by which the accused is entitled to see the evidence that prosecutors hold. It turned out that Mr. Mueller’s team had no evidence that the Russian government was involved with the Facebook pranks. This annoyed Judge Friedrich, who ordered Mr. Mueller and his lawyers to desist making public statements about Concord and IRA’s alleged “sweeping and systemic” collusion with Russia, and threatened legal sanctions if they did.

Read more …

Three years ago. That went by fast.

A Non-Hack That Raised Hillary’s Hackles (Ray McGovern)/span>

Three years ago Monday WikiLeaks published a trove of highly embarrassing emails that had been leaked from inside the Democratic National Committee. As has been the case with every leak revealed by WikiLeaks, the emails were authentic. These particular ones, however, could not have come at a worse time for top Democratic Party officials. The emails made it unmistakably clear that the DNC had tipped the scales sharply against Democratic insurgent Bernie Sanders, giving him a snowball’s chance in hell for the nomination. [..] A mere four days after the WikiLeaks release, a well orchestrated Democratic Convention nominated Clinton, while many Sanders supporters loudly objected.

Thus, she began her campaign under a cloud, and as more and more Americans learned of the fraud that oozed through the DNC email correspondence — including the rigging of the Democratic primaries — the cloud grew larger and darker. On June 12, 2016, six weeks before the convention, WikiLeaks publisher Julian Assange had announced in an interview on British TV, “We have upcoming leaks in relation to Hillary Clinton … We have emails pending publication.” Independent forensic investigations demonstrated two years ago that the DNC emails were not hacked over the Internet, but had been copied onto an external storage device — probably a thumb drive. Additional work over recent months has yielded more evidence that the intrusion into the DNC computers was a copy, not a hack, and that it took place on May 23 and 25, 2016.

No one knew how soon WikiLeaks would publish the emails, but the DNC offense/defense would surely have to be put in place before the convention scheduled to begin on July 25. That meant there were, at most, six weeks to react. But it only took two days. As early as July 24, about 48 hours after the leaks were published, and a day before the convention, the DNC first blamed Russia for hacking their emails and giving them to WikiLeaks to sabotage Clinton. Granted, it was a stretch — and the DNC would have to hire a pliable cybersecurity firm to back up their claim. But they had good reason to believe that CrowdStrike would perform that service. It was the best Clinton campaign manager Robbie Mook and associates could apparently come up with.

If they hurried, there would be just enough time to prepare a PR campaign before the convention and, best of all, there was little doubt that the media could be counted on to support the effort full bore. [..] It pretty much worked like a charm. The late Senator John McCain and others were quick to call the Russian “hack” an “an act of war.” Evidence? None. For icing on the cake, then-FBI Director James Comey decided not to seize and inspect the DNC computers. Nor, as we now know, did Comey even require a final report from CrowdStrike.

Read more …

Not sure having it discussed by well-paid economists is all that useful.

Inequality is Destroying Democratic Capitalism (Deaton)

At the risk of grandiosity, I think that today’s inequalities are signs that democratic capitalism is under threat, not only in the US, where the storm clouds are darkest, but in much of the rich world, where one or more of politics, economics, and health are changing in worrisome ways. I do not believe that democratic capitalism is beyond repair nor that it should be replaced; I am a great believer in what capitalism has done, not only to the oft-cited billions who have been pulled out of poverty in the last half-century, but to all the rest of us who have also escaped poverty and deprivation over the last two and a half centuries. It also provides our jobs and the cornucopia of goods and services that we take for granted.

And Milton Friedman, whose starry-eyed view of capitalism has much to answer for, was not entirely wrong when he extolled the freedom that free markets can bring. Though history has not been kind to his view that equality would be guaranteed by using markets to pursue freedom. But we need to think about repairs for democratic capitalism, either by fixing what is broken, or by making changes to head off the threats; indeed, I believe that those of us who believe in social democratic capitalism should be leading the charge to make repairs.

As it is, capitalism is not delivering to large fractions of the population; in the US, where the inequalities are clearest, real wages for men without a four-year college degree have fallen for half a century, even at a time when per capita GDP has robustly risen. Mortality rates are rising for the less-educated group at ages 25 through 64, and by enough that life expectancy for the entire population has fallen for three years in a row, the first time such a reversal has happened since the end of the first world war and the great influenza epidemic. Less educated Americans are dying by their own hands, from suicide, from alcoholic liver disease, and from overdoses of drugs. Morbidity is rising too, and they are also suffering from an epidemic of chronic pain that, for many, makes a misery of daily life.

Read more …

“If you watch Fox News, you will believe Bill Clinton was Epstein’s No. 1 pal and enabler. If you watch MSNBC, this scandal is usually all about Donald Trump. ”

Who Was Jeffrey Epstein Calling? (NYMag)

Perhaps, at long last, a serial rapist and pedophile may be brought to justice, more than a dozen years after he was first charged with crimes that have brutalized countless girls and women. But what won’t change is this: the cesspool of elites, many of them in New York, who allowed Jeffrey Epstein to flourish with impunity. For decades, important, influential, “serious” people attended Epstein’s dinner parties, rode his private jet, and furthered the fiction that he was some kind of genius hedge-fund billionaire. How do we explain why they looked the other way, or flattered Epstein, even as they must have noticed he was often in the company of a young harem?

Easy: They got something in exchange from him, whether it was a free ride on that airborne “Lolita Express,” some other form of monetary largesse, entrée into the extravagant celebrity soirées he hosted at his townhouse, or, possibly and harrowingly, a pound or two of female flesh. If you watch Fox News, you will believe Bill Clinton was Epstein’s No. 1 pal and enabler. If you watch MSNBC, this scandal is usually all about Donald Trump. In fact, both presidents are guilty (at the very least) of giving Epstein cover and credibility.

There are so many unanswered questions about Epstein, but one that looms over all of them is whether the bipartisan crowd who cleared a path for him will cover its tracks before we can get answers — not just Clinton and Trump and all those who drank at Epstein’s trough but also (among others) institutions like Harvard, Dalton, and the Council on Foreign Relations, or lawyers like the New York prosecutor Cy Vance Jr., whose office tried to downgrade Epstein’s sex-offender status; Kenneth Starr, who tried to pressure Republican Justice Department officials to keep the Epstein case from ever being prosecuted; and Alan Dershowitz, who tried to pressure the Pulitzer Prizes to shut out the Miami Herald for its epic investigative reporting that cracked open the case anew.

Read more …

People are going to start talking soon, if only to protect themselves. But why hasn’t Maxwell been arrested yet?

Chelsea Clinton Denies Ties To Jeffrey Epstein’s Alleged ‘Madam’ (MN)

Since Jeffrey Epstein’s latest arrest on sex trafficking charges, a who’s who of the rich and powerful — notably Donald Trump, Prince Andrew and Bill Clinton — have rushed to downplay their associations with the financier who is accused of abusing underaged girls. Now Chelsea Clinton has joined her ex-president father on this who’s who list. Her representative issued a statement to Politico over the weekend denying reports that the former First Daughter was close friends with Ghislaine Maxwell, Epstein’s ex-girlfriend and the alleged “madam” who has been accused of helping him procure underaged girls for sex.

Politico’s report on Maxwell, 57, focuses on how the daughter of the late British publishing mogul Robert Maxwell helped Epstein, the Brooklyn-born son of a New York City parks groundskeeper, gain access to social circles that allowed him to become friendly with two U.S. presidents, billionaire business moguls, America’s media elite and at least one member of the British royal family. Maxwell has not been criminally charged, but has settled two lawsuits filed by women who say she participated in Epstein’s alleged sex trafficking, the New York Times reported last week. She has denied any wrongdoing. Politico said Maxwell first grew close to the Clinton family after former president Bill Clinton left office, and eventually became friends with Chelsea Clinton, vice chair of the Clinton Foundation.

According to the news outlet, the two women vacationed together on a yacht in 2009, and Maxwell attended Chelsea’s wedding to Marc Mezvinsky in 2010, Politico reported. A photo of Maxwell at the wedding has circulated online. Maxwell also participated in the Clinton Foundation’s Clinton Global Initiative as recently as 2013, through The TerraMar Project, an oceanic non-profit she founded, according to the Initiative’s website. The contacts between Chelsea Clinton and Maxwell appear to have occurred after Maxwell’s name first emerged in accounts of Epstein’s alleged sexual abuse. “Ghislaine was the contact between Epstein and Clinton,” a person familiar with the relationship told Politico. “She ended up being close to the family because she and Chelsea ended up becoming close.”

Read more …

May goes away in July. Bye.

UK’s May Takes Parting Shot at Putin in Desperate Diversion From Failure (SCF)

In what was billed as her last major speech before quitting Downing Street, Britain’s outgoing Prime Minister Theresa May focused her concerns on Russian President Vladimir Putin, lashing out at his “cynical falsehoods” and admonishing her successor “to stand up to” the Russian leader. Given her ignominious failure as premier over the Brexit fiasco, it seemed a strange choice of topic as she addressed the Chatham House think tank in London this past week. Her speech dealt with the wider theme of rising “populist politics” in the US and Europe. And she sought to portray Putin as an archetypal sinister figure fomenting populist threat to the “liberal” democratic order.

At one point, May claimed: “No one comparing the quality of life or economic success of liberal democracies like the UK, France and Germany to the Russian Federation would conclude that our system is obsolete.” This was supposed to be a riposte to an interview given by Putin to the Financial Times last month ahead of the G20 summit in Japan. During a lengthy interview on a wide range of issues, the Russian president was quoted as saying: “The liberal idea has become obsolete. It has come into conflict with the interests of the overwhelming majority of the population.”

Putin was apparently explaining a fairly straightforward and, to many observers, valid assessment of international politics. Namely, that Western establishments and institutions, including the mainstream media, are experiencing a crisis in authority. That crisis has arisen over several years due to popular perception that the governance of the political class is not delivering on democratic demands of accountability and economic progress. That in turn has led people to seek alternatives from the established parties, a movement in the US and Europe which is denigrated by the establishment as “populist” or rabble rousing.

Read more …

Boris is capable of doing very stupid things.

Iran Warns West Against Starting Conflict (R.)

Iran’s foreign minister warned the West on Monday against “starting a conflict,” saying it was not seeking confrontation after its military seized the British-flagged tanker Stena Impero in the Strait of Hormuz last week. London described the seizure of the Stena Impero as “state piracy” and on Monday called for a European-led naval mission to ensure safe shipping through the Strait of Hormuz. Speaking in Nicaragua, Foreign Minister Mohammad Zarif said Iran had taken measures against the ship to implement international law, not in retaliation for the British capture of an Iranian tanker two weeks earlier in Gibraltar.


“Starting a conflict is easy, ending it would be impossible,” Zarif told reporters after meeting his Nicaraguan counterpart. “It’s important for everybody to realize, it’s important for Boris Johnson to understand, that Iran does not seek confrontation,” he said, referring to the front-runner to become Britain’s new prime minister. “Iran wants to have normal relations based on mutual respect,” he added. Zarif said Iran acted when it observed that the UK ship did not follow regulations. “The UK ship had turned down its signal for more time than it was allowed to (and) was passing through the wrong channel, endangering the safety and security of shipping and navigation in the Strait of Hormuz, for which we are responsible,” Zarif said.

Read more …

France imports UK wind energy.

France To Shut Down Nuclear Plants Due To Heatwave (Montel)

French weather service Meteo France issued a 40C heatwave warning on Monday for 21 regions across France, while utility EDF will shut down nearly 3 GW of nuclear capacity this week amid cooling water issues. Golfech 2 (1.3 GW) on the Garonne river would be stopped from Tuesday at 23:00 until 29 July at 23:59, while Golfech 1 (1.3 GW) would be halted from Wednesday at 02:00 until 29 July at 23:59. Low river flows and high water temperatures can force operators to cut output if it breaches environmental limits. Flows on key French rivers had “significantly” weakened over the last two weeks amid persistent hot and dry weather, the ministry of energy told Montel recently.


The St Alban 1 and 2 (2.6 GW) reactors, meanwhile, saw their output cut over the weekend, and though both reactors are now back online, EDF warned last week it could curb output at its nuclear plants located along the river Rhone – which also included Bugey (3.7 GW) – due to declining flows amid the hot weather. The temperature of the Rhone around St Alban and Tricast in was currently 26C, while it was 23.4C at Bugey, estimates from Montel’s Energy Quantified showed, with 28C deemed unsafe. French TSO RTE expected power demand to peak at 59.4 GW on Thursday and 58.6 GW on Friday, with a surge expected due to an increase in need for cooling.

Read more …

Ugly. Peat fires are impossible to control.

Huge Swathes Of The Arctic On Fire, Satellite Images Show (Ind.)

Vast swathes of the Arctic are suffering from “unprecedented” wildfires, new satellite images have revealed. North of the Arctic circle, the high temperatures are facilitating enormous wildfires which are wreaking ecological destruction on a colossal scale. It comes after the world’s hottest June on record which has been followed by a devastating heatwave in the US, with Europe forecast for the same treatment later this week. Satellite images reveal fires across Greenland, Siberia and Alaska, with warm dry conditions following ice melt on the enormous Greenland icesheet commencing a month earlier than average.

Pierre Markuse, a satellite photography expert, posted images showing smoke billowing across massive areas of uninhabited and wild land. The pictures show forest fires and burning peat. They also reveal the extent of the damage the fires leave behind. In Alaska wildfires have already burned more than 1.6 million acres of land. Mark Parrington, a senior scientist at the European Centre for Medium-Range Weather Forecast, said the amount of CO2 emitted by Arctic wildfires between 1 June and 21 July 2019 is around 100 megatonnes and is approaching the entire 2017 fossil fuel CO2 emissions of Belgium.


Satellite image processed by Pierre Markuse showing numerous wildfires burning in Russia just south of the Arctic Circle (Pierre Markuse/Creative Commons)

Read more …

 

 

 

 

 

Jul 302018
 
 July 30, 2018  Posted by at 9:13 am Finance Tagged with: , , , , , , , , , , , ,  1 Response »


Salvador Dali Meditative rose 1958

 

Julian Assange’s Fate Is Being Decided At The Moment (ZH)
The Dollar Will Continue To Surge, Crush Emerging Markets Stocks (F.)
China’s Yuan Hits 13-Month Low On Weaker Fixing And Depreciation Bets (R.)
The Chinese Economy Is Held Together By Capital Controls (Peters)
Beijing To Shut 1,000 Manufacturing Firms By 2020 (R.)
Hedge Fund Manager Steve Eisman Bets Against Tesla (MW)
This Is What A No-Deal Brexit Actually Looks Like (Dunt)
As US Pushes For Mideast Peace, Saudi King Reassures Allies (R.)
Support For Macron & Merkel’s Coalitions Plunges To Record New Lows (RT)
IMF Reiterates Call For Greece To Meet Pledges (K.)
Number Of Migrants Prevented By Turkey To Reach Europe Increases 60% (An.)
Worms Frozen In Permafrost For Up To 42,000 Years Come Back To Life (ST)
Greece Fire Death Toll At 91, 25 Remain Missing (K.)

 

 

Ecuador refusing to meet Assange’s lawyers is not a good sign.

Julian Assange’s Fate Is Being Decided At The Moment (ZH)

Ecuador is holding high level discussions with Britain over the fate of Julian Assange, who has been living in the Ecuadorian embassy in London since 2012 after being granted political asylum, according to comments made by President Lenin Moreno to Spain’s El Pais daily newspaper. “The issue of Mr. Assange is being treated with the British government and I understand that we have already established contact with Mr. Assange’s lawyers so we can find a way out.” Not true, says Assange’s Attorney Carlos Poveda in a Sunday LaJournada article retweeted by the official WikiLeaks Twitter account. “The defense of Julian Assange is concerned about the contradictions of the government of Ecuador, which claims to be seeking a solution to the asylum of the founder of Wikileaks through dialogue, with all parties, but refuses to meet with their lawyers, said Carlos Poveda, one of the activist’s lawyers.” -LaJournada (translated)

“We have followed very closely the statements of President Lenin Moreno both in the United Kingdom and Spain,” said Poveda. “And I must warn that even the legal team that presides (the former judge of the Spanish Supreme Court) Baltasar Garzón requested a hearing to meet in London or Madrid, but they told him that Moreno’s schedule was full during the whole tour.” In other words – Moreno is talking out of both sides of his mouth while feigning a new found concern for Assange’s fate (after referring to the WikiLeaks founder as a “hacker”, “an inherited problem” and a “stone in the shoe”). “We know how (Moreno) addresses the issue , said Poveda, who said that the president’s statements leave us confused. In relation to the recent declarations of the Ecuadorian agent chief executive, of which his government is in “permanent” communication with London and with the legal team of Assange, Poveda maintained that that does not happen.” -LaJournada (translated)

Read more …

It’s much worse for Brazil and Turkey than it is for China.

The Dollar Will Continue To Surge, Crush Emerging Markets Stocks (F.)

A robust greenback is excellent for the U.S. economy because it attracts capital into the economy. More capital will result in yet more growth. But at the same time, the strong dollar is a nightmare for emerging markets because investors take their capital away and send it to the U.S. Emerging markets include lesser developed economies such as China, Russia, Brazil, and India. The result of this change in the value of the dollar has been falling values for stocks in emerging markets. The Vanguard FTSE Emerging Markets ETF (VWO), which tracks a basket of emerging markets stocks, has lost more than 6% this year while the S&P 500 gained more than 5%, according to data from Yahoo Finance. The figures do not include dividends.

Unfortunately, for those invested in emerging markets the rally of the greenback is probably not over yet. Friday morning we learned that U.S. growth in the second quarter hit 4.1%, according to the government’s first estimate. Meanwhile, growth in the single currency area of Europe, the so-called eurozone, has limped along at less than 1% for the last decade. The latest reading was a paltry 0.4%, according to data from Tradingeconomics.com that you can see here. Japan’s economy, the third largest in the world, is contracting, according to the latest reading. That differential in growth, between the U.S. and other developed economies, should be enough to keep cash flowing into the U.S. and away from other economies.

Read more …

Mixed blessings. A weaker yuan has benefits, too.

China’s Yuan Hits 13-Month Low On Weaker Fixing And Depreciation Bets (R.)

China’s yuan fell to a fresh 13-month low against the dollar on Monday, weighed by a much weaker central bank fixing and expectations the Chinese currency has further to fall as U.S. trade tensions worsen. In addition to developments in the global trade environment, investors are focusing on the amount of liquidity policy makers have injected into the financial system. “Together with announcements by the People’s Bank of China (PBOC) that will ease credit conditions, and a more gradual shift in the monetary stance over the last two months, this represents a significant change towards more accommodative policy,” analysts at Moody’s said in a note.

Prior to market opening, the PBOC lowered the midpoint rate to 6.8131 per dollar, largely matching market forecasts, 189 pips or 0.28 percent weaker than the previous fix of 6.7942 last Friday. In the spot market, the onshore yuan opened at 6.8159 per dollar and eased to a low of 6.8401 before changing hands at 6.8353 at midday, 213 pips weaker than the previous late session close and 0.33 percent softer than the midpoint. The onshore spot yuan hit its lowest intraday level since June 27, 2017. The offshore yuan was trading 0.10 percent weaker than its onshore counterpart at 6.8422 per dollar as of midday.

Read more …

“The Chinese are dying to get their money out.”

The Chinese Economy Is Held Together By Capital Controls (Peters)

“Russia at its very worst is a moderate threat to the US,” said the investor. “They have modest regional ambitions. They’re mischievous. But plenty of countries don’t do what we want.” If they wanted to nuke us, they would’ve during the Cold War. “China is the real strategic threat. They’ve coopted much of the US political and financial system,” he said. “Wall Street makes a ton of money from China.” No one that matters makes money from Russia. “It’s so telling that everyone is in hysterics over Russia. It’s a distraction that makes you wonder if the Chinese aren’t enabling or pushing the narrative.”

“The best way to bring Beijing to its knees is by running a tight monetary policy in the US,” continued the same investor. “China has the world’s most overleveraged, fragile financial system.” In 2008, China’s total debt-to-GDP was 140%. It is now roughly 300%, while GDP is slowing. “The economy is held together by capital controls. If those fail, the whole system fails.” The capital flight in 2015/16 cost the government $1trln in reserves, and that was with ultra-dove Yellen in charge. Imagine what would have happened with Volcker at the helm. “The Chinese are dying to get their money out.”

“Engineering a decade of rolling Chinese financial crises would be the most effective foreign policy the US could run,” continued the same investor. Forget about the South China Sea, don’t bother with more aircraft carriers, just let Beijing try to cope with their financial system. “And we’re 80% of the way there – we instigated a trade war, implemented a massive fiscal stimulus, which created the room to raise interest rates,” he said. “The combined policy mix makes capital want to leave at the same time it makes the dollar more attractive and effectively shuts down new investment inflows to China.”

Read more …

That’s just the city itself.

Beijing To Shut 1,000 Manufacturing Firms By 2020 (R.)

China’s capital Beijing will shut around 1,000 manufacturing firms by 2020 as part of a program aimed at curbing smog and boosting income in neighboring regions, state media said on Monday. Beijing will focus on dynamic, high-tech industries and withdraw from “ordinary” manufacturing, the Communist Party paper People’s Daily reported, citing a recent policy document published by the Beijing municipal government. The city has already rejected registration applications from 19,500 firms, and shut down or relocated 2,465 “ordinary” manufacturers, the paper said.

China launched a plan to improve coordination in the smog-prone Beijing-Tianjin-Hebei region in 2014 amid concerns that competition between the three jurisdictions was wasting resources and creating overcapacity and pollution. It plans to strip Beijing of manufacturing and heavy industry, as well as relocating universities and some government departments into Hebei’s new economic zone of Xiongan. The government also wants to create an integrated transport network and unify standards in areas such as welfare and education to make Hebei, known for its heavy industry, more attractive for investors. An official with Hebei province earlier this year said the plan has helped drive average incomes in Hebei up 41 percent since 2013, although they are still only half the level in Beijing.

Read more …

‘..being smart’s not enough you gotta execute and he’s got execution problems.’

Hedge Fund Manager Steve Eisman Bets Against Tesla (MW)

‘Look, Elon Musk is a very, very smart man but there are a lot of smart people in this world, and being smart’s not enough you gotta execute and he’s got execution problems.’ That is the view of Steve Eisman, the hedge-fund manager and investor who garnered prominence on Wall Street for his bets against dicey mortgage products engineered by some of the world’s biggest banks. Now Eisman is betting against Elon Musk’s Tesla Inc. because, as he put it during a Friday interview on Bloomberg TV, he doesn’t see value in the company and doesn’t believe Tesla is doing enough in autonomous driving. “I don’t see the value in Tesla,” Eisman said. “We’re short Tesla,” meaning he is betting that the price of the company’s shares will fall over time.

Eisman said Tesla’s quarterly results could be pivotal for the electric-car manufacturer whose polarizing founder has been ensnared in a series of controversies in recent weeks and has been described by critics as a distraction for Tesla. [..] For his part, Eisman finds more appeal in betting on General Motors, which he says would benefit if autonomous driving takes off and has emerged as a well-run institution after the 2007-09 financial crisis. “The one stock in my portfolio which I say hasn’t worked yet but has the potential for a big home run is General Motors.” Eisman garnered fame after his story of subprime mortgage glory was told in Michael Lewis’s “The Big Short,” where he wagered correctly that arcane mortgage securities would eventually rock the financial system to its very core.

Read more …

Sometimes one thinks they do it on purpose.

This Is What A No-Deal Brexit Actually Looks Like (Dunt)

March 30th 2019 becomes Year Zero. Overnight, British meat products cannot be imported into the EU. To bring these types of goods in, they have to come from a country with an approved national body whose facilities have been certified by the EU. But there has been no deal, so there’s no approval. This sounds insane. After all, British food was OK to enter Europe with minimal checks on March 29th, so why not on March 30? Nothing has changed. The reason is that food is potentially very dangerous, so we have strict systems in place for it. Imagine that right now someone is eating a burger made from the meat of a cow with a neurodegenerative disease, like BSE. This is what happened in Britain in the late-80s and led to the deaths of 177 people.

Tomorrow’s tabloid front pages will ask certain very important questions. Where did the meat come from? Was it produced domestically or imported? Who was responsible for its production, transport and storage? The people responsible will be hauled in front of cameras and Commons select committees. Ministers will have to give statements to parliament. The press will demand that heads roll. The BSE outbreak almost brought down the government. That’s how severe these threats are. And there are plenty more around, including foot and mouth, avian flu, and African swine fever, plus those that do not exist yet. This is why the certification system for food coming into Europe is so stringent and detailed.

After Brexit, we will fall out of the eco-system of EU rules, agencies and courts and become an external country. That means certification requirements will apply to us too. Certificates are approval stamps, designed per product and country, documenting the fact that it meets the various standards for human health and animal welfare. Say a container full of pork loins is sent from Leeds to Amsterdam after Brexit day. It will need to be signed off by a vet to say that the meat was slaughtered, stored, quality assured, sealed and despatched in a certain manner, with appropriate documentation proving compliance. This will be a cold splash of water to the face for Britain.

Read more …

A preposterous headline of course. But interesting that the king whistles MBS back.

As US Pushes For Mideast Peace, Saudi King Reassures Allies (R.)

Saudi Arabia has reassured Arab allies it will not endorse any Middle East peace plan that fails to address Jerusalem’s status or refugees’ right of return, easing their concerns that the kingdom might back a nascent U.S. deal which aligns with Israel on key issues. King Salman’s private guarantees to Palestinian President Mahmoud Abbas and his public defense of long-standing Arab positions in recent months have helped reverse perceptions that Saudi Arabia’s stance was changing under his powerful young son, Crown Prince Mohammed bin Salman, diplomats and analysts said. This in turn has called into question whether Saudi Arabia, birthplace of Islam and site of its holiest shrines, can rally Arab support for a new push to end the Israeli-Palestinian dispute, with an eye to closing ranks against mutual enemy Iran.

“In Saudi Arabia, the king is the one who decides on this issue now, not the crown prince,” said a senior Arab diplomat in Riyadh. “The U.S. mistake was they thought one country could pressure the rest to give in, but it’s not about pressure. No Arab leader can concede on Jerusalem or Palestine.” Palestinian officials told Reuters in December that Prince Mohammed, known as MbS, had pressed Abbas to support the U.S. plan despite concerns it offered the Palestinians limited self-government inside disconnected patches of the occupied West Bank, with no right of return for refugees displaced by the Arab-Israeli wars of 1948 and 1967. Such a plan would diverge from the Arab Peace Initiative drawn up by Saudi Arabia in 2002 in which Arab nations offered Israel normal ties in return for a statehood deal with the Palestinians and full Israeli withdrawal from territory captured in 1967.

Read more …

Shaky grounds.

Support For Macron & Merkel’s Coalitions Plunges To Record New Lows (RT)

The people’s dissatisfaction with the leading EU governments appears to be rising, as fresh polls show a record decline in the ratings of French President Emmanuel Macron and of German Chancellor Angela Merkel’s ruling coalitions. Support for Merkel’s conservative Christian Democratic Union (CDU) and its sister party, Bavaria’s Christian Social Union (CSU), has gone down to its lowest level since 2006, an Emnid poll, published by Bild am Sonntag, has revealed. The CDU/CSU are currently polling at 29 percent, their lowest result in 12 years. Merkel’s party came out tops in the country’s federal election in September 2017 with 33 percent of the vote. Such a situation is worrying for CSU, which seems to be at risk of losing its absolute majority in Germanys’ largest state of Bavaria after the regional election in October.

The survey provided no explanation for the results, but Merkel’s coalition nearly fell apart in June over a rift caused by the migrant crisis. [..] Meanwhile, in France, Macron also “has beaten his own anti-record,” the Journal du Dimanche wrote, commenting on the results of the survey, carried out for the outlet by Ifop. Support for the French President has fallen from 41 to 37 percent in the period between July 18 and 27, the research revealed. It’s the worst ratings the 40-year-old has had since he became French president in May 2017, claiming 66.1% percent of the vote in a run-off against Marine Le Pen. Macron’s previous worst result was recoded in August 2016, when he was backed by 40 percent of the French population.

Read more …

This devolves into Beckett and Ionesco. Meaningless.

IMF Reiterates Call For Greece To Meet Pledges (K.)

The IMF is due to publish its Article IV Report on the course of the Greek economy on Tuesday. This will include the much anticipated Debt Sustainability Analysis, which was carefully examined at a meeting last Friday, with the board confirming the medium-term sustainability of the Greek debt as well as the need for the government to remain committed to reforms. The IMF’s executive board spent about an hour pouring over the contents of the report and the reform course that Greece needs to pursue in the post-program period. Fund sources told the Athens-Macedonian News Agency on Friday that the Article IV Report’s timing is important – even if it is a routine process – as it comes a few days before the completion of the European Stability Mechanism’s program next month.

ANA-MPA added that the board acknowledged the achievement of significant results by Greece, but also stressed there should be no complacency and that it is necessary for the country to implement its pledges so that the sacrifices already made do not go to waste. Another issue addressed at the meeting was that of bad loans in Greece, with several IMF board members expressing doubts over the high targets set for the reduction of nonperforming exposures.

Read more …

But arrivals are also up vs last year.

Number Of Migrants Prevented By Turkey To Reach Europe Increases 60% (An.)

The number of migrants held trying to reach Europe from Turkey using illegal routes has increased by 60 percent this year, according to data from the Coast Guard Command. A total of 14,470 migrants were held in the first seven months of this year, especially in the Aegean Sea, as well as in Turkey’s southern Mediterranean Sea and the northern Black Sea, the data revealed. This figure was 9,152 during the same period in 2017. According to the data, most migrants prefer to use the illegal routes in Aegean Sea to cross into Europe as a number of Greek islands are located close to Turkish coasts. A total of 13,336 irregular migrants used the Aegean Sea to cross into Greece this year, the data revealed.

Among the irregular migrants intercepted by Turkey so far this year, 1,640 were held in January, 1,363 in February, 1,849 in March, 2,534 in April, 3,398 in May, 1,925 in June, and 1761 in first 29 days of July. Coast Guard data shows 54 irregular migrants lost their lives this year while the figure was 20 during the same period in 2017. In March 2016, the EU and Turkey reached an agreement to stop irregular migration through the Aegean Sea, and improve the conditions of more than 3 million Syrian refugees in Turkey. Turkey hosts some 3.5 million Syrians – more than any other country in the world.

Read more …

Hope?!

Worms Frozen In Permafrost For Up To 42,000 Years Come Back To Life (ST)

Nematodes moving and eating again for the first time since the Pleistocene age in major scientific breakthrough, say experts. The roundworms from two areas of Siberia came back to life in Petri dishes, says a new scientific study. ‘We have obtained the first data demonstrating the capability of multicellular organisms for longterm cryobiosis in permafrost deposits of the Arctic,’ states a report from Russian scientists from four institutions in collaboration with Princetown University. Some 300 prehistoric worms were analysed – and two ‘were shown to contain viable nematodes’. ‘After being defrosted, the nematodes showed signs of life,’ said a report today from Yakutia, the area where the worms were found.

‘They started moving and eating.’ One worm came from an ancient squirrel burrow in a permafrost wall of the Duvanny Yar outcrop in the lower reaches of the Kolyma River – close to the site of Pleistocene Park which is seeking to recreate the Arctic habitat of the extinct woolly mammoth, according to the scientific article published in Doklady Biological Sciences this week. This is around 32,000 years old. Another was found in permafrost near Alazeya River in 2015, and is around 41,700 years old. Currently the nematodes are the oldest living animals on the planet. They are both believed to be female.

Read more …

It has taken PM Tsipras a full week to visit the area today, only some 25km from his office.

Greece Fire Death Toll At 91, 25 Remain Missing (K.)

Fire officials in Greece have raised the death toll from a wildfire that raged through a coastal area east of Athens to 91 and reported that 25 people are missing six days after blaze. Before the national fire service updated the official number of fatalities Sunday night, it had stood at 86. Greek officials previously had not provided a tally of the people reported missing. The fire sped flames through the village without warning on July 23. A database maintained by the Center for the Research on the Epidemiology of Disasters in Brussels shows it as the deadliest wildfire in Europe since 1900. The vast majority of victims died in the fire itself, though a number drowned in the sea while fleeing the flames. Dozens of volunteer divers, some of them retired Navy Seals, kept searching the sea on Sunday looking for the bodies of more possible victims.

Read more …

Jul 292018
 


Pablo Picasso The old guitarist 1903-4

 

What the GDP Report Won’t Tell You About the Economy (DDMB)
Julian Assange Looks For Deal To End ‘Diplomatic Isolation’ (CNN)
In Refusing To Defend Assange, Mainstream Media Exposes Its True Nature (CJ)
Round the Bend (Jim Kunstler)
David Cameron’s Welfare Cuts Led Directly To The Brexit Vote (Ind.)
An Open Letter to Bernie Sanders: ‘No Bernie, It Wasn’t the Russians’ (MPN)
Putin Calls Christianity Foundation Of Russian State (AP)
Ten Arguments for Deleting Your Social Media Accounts Right Now (Star)
Nature’s Darkness-Creature Has Become Ours, Too (G.)
Migrant Arrivals Push Shelters To Breaking Point In Southern Spain (El Pais)
Number Of Fatalities In Greek Wildfires Rises To 88 (K.)

 

 

GDP may look strong, but sentiments are crumbling.

What the GDP Report Won’t Tell You About the Economy (DDMB)

Something is amiss in Corporate America. Both national and regional surveys reveal a sinking sense that the economy’s tailwinds are shifting to headwinds. The downtrodden confidence is a curiosity given many economists’ forecasts calling for second-quarter growth to have accelerated to a 4.2 percent annualized rate, the fastest since 2014. Soft though the survey data may be, the numbers don’t lie. If something doesn’t give – and fast – what follows is sure to be damaging to the real economy. The University of Michigan consumer sentiment survey for July revealed that the business outlook had slumped to the lowest level in over two years.

Odds are pretty good this number was dragged down by those with the highest incomes, many of whom are likely also business owners and corporate executives who’ve been on the front line of the rising costs to run their businesses. But there may be more than meets the eye among those whose incomes rank in the top third of households. While the majority of these respondents expressed concern over the tariffs, what they’re reading, hearing and seeing may be dampening their outlooks even further. As things stand, it’s as if January never happened, a month in which confidence was so high, the “news heard” among high income earners hit a 20-year high. By the beginning of July, “news heard” had slid to minus 18, the lowest in two years.

The six-month, 79-point swing is so severe it rivals August 2011, when the euro crisis shook world markets, Standard & Poor’s stripped the U.S. of its AAA credit rating and households were rattled by the debt ceiling debacle. [..] Consider the starting point for many companies. Last year’s weak dollar and natural disasters had many struggling to satisfy overseas demands and the massive needs required to rebuild. Labor and raw material costs were already on the rise to correct for the imbalances. The tariffs were the insult to injury many manufacturers could simply not afford.

“The actual economic impact will really come down to time,” cautioned Boockvar. “The longer this goes on, the more actual business activity will be negatively affected.” To Boockvar’s point, the collapse in business sentiment suggests many companies don’t foresee the ability to withstand further blows to their ability to profitably conduct business. Businesses are saying as much.

Read more …

Unbelievable garbage from CNN. That they pay attention to Assange now may be a ominous sign. They straight-faced claim that Assange fled rape allegations in Sweden. He did not. Sweden told him he was free to go to London. Only to turn around and issue a warrant for him.

Julian Assange Looks For Deal To End ‘Diplomatic Isolation’ (CNN)

Julian Assange walked into the Ecuadorian Embassy in London on June 19, 2012 to claim political asylum. He has been there ever since – a total of 2,230 days – rarely seeing daylight. But multiple sources say his situation is now untenable and he may soon leave, whether he wants to or not. The question is: what will happen to Assange as and when he does walk out of his bolt-hole around the corner from Harrods? The recent indictments issued by US Special Counsel Robert Mueller imply that Assange and WikiLeaks were a conduit for Russian intelligence in distributing hacked Democratic Party emails in 2016. According to the indictment document, “The conspirators (…) discussed the release of the stolen documents and the timing of those releases with Organisation 1 to heighten their impact.”

Assange has always maintained that he did not receive them from the Russian government. He told Fox News in January 2017: “Our source is not the Russian government, and it is not a state party.” A member of Assange’s legal team, Jennifer Robinson, told CNN this week: “WikiLeaks has made very clear they were not engaged in any way with the Russian state with respect to that publication. There is no connection between WikiLeaks and any of those who have been indicted.” His lawyers argue that all Assange did was publish the hacked emails, as did other media, after being in contact with a hacker called Guccifer 2.0. The Special Counsel alleges that Guccifer 2.0 was a cover for Russian intelligence, saying in the indictment that on July 14th [2016], Guccifer 2.0 sent WikiLeaks an encrypted attachment that contained “instructions on how to access an online archive of stolen DNC documents.”

Whether a sealed indictment awaits Assange in relation to the Russian hacking investigation is unknown. But according to US officials, charges have been drawn up relating to previous WikiLeaks disclosures of classified US documents. Assange would face arrest if/when he leaves the embassy because he skipped bail in 2012 – when Swedish authorities were seeking his extradition to face accusations of rape. Last year Sweden suspended the investigation, but Assange’s lawyers fear his arrest would be swiftly followed by a US extradition request. Assange maintains his innocence.

Read more …

This feels like too little too late. We know all this, we have for a long time. And it’s worse: as I wrote in May in I am Julian Assange, the Guardian engaged in an active smear campaign against Assange then. So does CNN -see above. That’s much more relevant than that they don’t defend him.

In Refusing To Defend Assange, Mainstream Media Exposes Its True Nature (CJ)

Last Tuesday a top lawyer for the New York Times named David McCraw warned a room full of judges that the prosecution of Julian Assange for WikiLeaks publications would set a very dangerous precedent which would end up hurting mainstream news media outlets like NYT, the Washington Post, and other outlets which publish secret government documents. “I think the prosecution of him would be a very, very bad precedent for publishers,” McCraw said. “From that incident, from everything I know, he’s sort of in a classic publisher’s position and I think the law would have a very hard time drawing a distinction between The New York Times and WikiLeaks.” Do you know where I read about this? Not in the New York Times.

“Curiously, as of this writing, McCraw’s words have found no mention in the Times itself,” activist Ray McGovern wrote for the alternative media outlet Consortium News. “In recent years, the newspaper has shown a marked proclivity to avoid printing anything that might risk its front row seat at the government trough.” So let’s unpack that a bit. It is now public knowledge that the Ecuadorian government is actively seeking to turn Assange over to be arrested by the British government. This was initially reported by RT, then independently confirmed by The Intercept, and is today full mainstream public knowledge being reported by mainstream outlets like CNN.

It is also public knowledge that Assange’s asylum was granted by the Ecuadorian government due to a feared attempt to extradite him to the United States and prosecute him for WikiLeaks publications. Everyone from President Donald Trump to Attorney General Jeff Sessions to now-Secretary of State Mike Pompeo to ranking House Intelligence Committee member Adam Schiff to Democratic members of the US Senate have made public statements clearly indicating that there is a US government interest in getting Assange out of the shelter of political asylum and into prison.

Read more …

The state of the media is something to behold. Can it slide even further? You bet.

Round the Bend (Jim Kunstler)

Some people you just can’t reason with, especially the hell-spawned man-beast who personally directed Russian “meddling” and “interference” in our election and stole certain victory from president-designee Hillary. (I know this because The New York Times and The Washington Post said so.) Another astonishment: in his testimony before the Senate Foreign Relations Committee this week, Secretary of State Mike Pompeo said the US would not recognize Crimea as part of Russia and would demand the return of the region to Ukraine. Not to put too fine a point on it, Mr. Pompeo is pissing up a rope on that one. Russia will not give up its warm-water naval bases on the Black Sea anymore than the US will return its San Diego naval installation to Mexico, and Mr. Pompeo knows it.

So do the posturing idiots on the senate committee, who apparently forgot that our own government officials fomented the 2014 Ukrainian coup that prompted Russia to annex Crimea and its military assets in the first place. How many of you feel a gnawing disgust and contempt for both sides of the US political spectrum? The news, day and night, reveals a nation unable to think, unable to discern reality from fantasy, avid to dissemble and lie about absolutely everything, eager to support any racketeering operation designed to fleece its own citizens, and utterly ignoring the genuine problems that can drive us into a new dark age.

On balance, and just for now, I’m more disturbed by the side represented by the Democratic Party, aka the “progressives” or “the Resistance,” because they are responsible for politicizing the FBI before, during, and after the 2016 election and that was a dastardly act of institutional debauchery in an agency with the power to destroy the lives and careers of American citizens. The product of that corruption is a dangerous manufactured hysteria inciting hostility and aggression against another nation that could lead to a war that humanity will not recover from.

Read more …

Austerity leads to right wing support everywhere.

David Cameron’s Welfare Cuts Led Directly To The Brexit Vote (Ind.)

As the Brexit negotiations roll on, we do see some signs of progress. Our understanding of the underlying causes of the referendum outcome has developed significantly in the last two years. Leave-supporting areas can be easily distinguished from those supporting Remain. Broadly speaking, they are more deprived, have lower levels of income, fewer high status-jobs, a weaker economic structure, and an ageing demographic with lower levels of educational attainment. Further, non-economic factors have also been highlighted as important correlates of support for Brexit . But an open question to economists, though, is what are the economic origins of the relationships between these characteristics and support for Leave?

An important cross-cutting observation that has been made over and over again is that Leave-supporting areas stand out in having an electorate that has been “left behind”, is particularly reliant on the welfare state and is thus exposed to welfare cuts. In a recent paper, I show that austerity-induced reforms, including widespread cuts to the welfare state since 2010, were an important factor behind the decision of many people to shift their political support to UKIP and, subsequently, support Leave in the EU referendum.

The austerity-induced reforms of the welfare state, implemented in the years after 2010, were broad and deep. In 2013, it was estimated that the measures included in the Welfare Reform Act of 2012 would cost every working-age Briton, on average, around £400 per year. Crucially, the impact of the cuts was far from uniform across the UK: it varied from around £900 in Blackpool to just above £100 in the City of London. Aggregate figures suggest that overall government spending for welfare and protection contracted by 16 per cent in real per capita terms, reaching levels last seen in the early 2000s.

Read more …

What is Bernie thinking?

An Open Letter to Bernie Sanders: ‘No Bernie, It Wasn’t the Russians’ (MPN)

Let me preface this open letter of sorts that I’m writing to Senator Bernie Sanders. I’m not penning this missive as though I’m a crestfallen supporter, after falling for the okie doke in 2008 and waking up to the deception of Obama, I decided to stop putting my faith in politicians. Rather, I write this article on behalf of Bernie’s legions of supporters and the millions of Americans who put their faith in someone who spoke against the iniquities that are ravaging our nation and our planet as a whole. Bernie, it was your decision to speak against this consolidated graft that is cratering society that captured the imagination of the disaffected and gave people hope that their voices could be heard above the cash extortion that dominates our government.

Instead of continuing your rebellion against the establishment and speaking against the corrosive nature of our politics, you are charting a course towards irrelevance by jumping on this cockamamie #Russiagate narrative. Here is what I don’t get about your decision to glom on to this most ridiculous assertion that 12 Russians had more impact on our elections than the billions of dollars that are spent by corporations and plutocrats to bend elected officials like pretzels. The insinuation the punditry is making is that Americans were duped to vote against their own self-interests because they refused to vote for Hillary Clinton.

Never mind that Hillary was one of the most divisive and disliked politician to run for president in modern American history. Never mind that the DNC essentially rigged the primaries to ensure her victory at your expense. Instead of focusing on the structural and systematic flaws that render our votes irrelevant, fingers are pointed at a manufactured villain halfway around the world in order to distract from the fact that our elections have been hijacked by moneyed interests and entrenched leeches who are sucking the citizenry dry. Whatever efforts Russia might have made to influence our elections were outweighed by a kleptocracy that hacked down our democracy with dark money and self-centered politicians who put their interests above that of the people they purportedly serve.

Read more …

This one’s for you, bible belt.

Putin Calls Christianity Foundation Of Russian State (AP)

Vladimir Putin says that the adoption of Christianity more than 1,000 years in territory that later became Russia marked the starting point for forming Russia itself. Putin’s comments came Saturday in a ceremony marking the 1,030th anniversary of the adoption by Christianity by Prince Vladimir, the leader of Kievan Rus, a loose federation of Slavic tribes that preceded the Russian state. Speaking to a crowd of thousands of clergy and believers at a huge statue of the prince outside the Kremlin, Putin said adopting Christianity was “the starting point for the formation and development of Russian statehood, the true spiritual birth of our ancestors, the determination of their identity. Identity, the flowering of national culture and education.” The comments underline strong ties between the government and the Russian Orthodox Church.

Read more …

Book review. Hope the book itself is better. What social media do to people’s brains and social lives is far more relevant.

Ten Arguments for Deleting Your Social Media Accounts Right Now (Star)

If you’re online these days, you likely sense that something’s wrong with the internet. You probably feel weird about how many times a day you check Facebook or Instagram, and likely a little uneasy about how annoyed or envious you feel when you do. Maybe the hostility online depresses you. Maybe you worry about the next generation, and how anxious they all seem. Maybe you’ve even considered deleting your accounts. This is exactly what Jaron Lanier, a leader in the tech world, says you should do. Right away. Lanier — a pioneer in the world of internet startups, and virtual reality in particular — has long been a critic of the Silicon Valley status quo. In this slim, highly-readable manifesto, he lays out his case against social media. And it is a devastating one.

In 10 simple arguments, the tech insider paints a picture of a wide-scale behaviour modification apparatus driven by social attention — both the carrot of approval and the stick of criticism, which generates the most intensity or “engagement.” “There is no evil genius seated in a cubicle in a social media company performing calculations and deciding that making people feel bad is more ‘engaging’ and therefore more profitable than making them feel good,” he writes. “Or at least, I’ve never met or heard of such a person. The prime directive to be engaging reinforces itself, and no one even notices that negative emotions are being amplified more than positive ones.”

According to Lanier, the social media apparatus has made people into lab rats, placing them under constant surveillance. He believes the process is making people angrier, more isolated, less empathetic, less informed about the world, and less able to support themselves financially. Add to all that: Lanier says this highly tuned behaviour modification system is for rent to anyone looking to influence the public. The constant stream of data, and the algorithms that tweak subsequent efforts to sway people, aren’t just used to sell soap, he notes, but to influence politics.

Read more …

Wonderful tale. But given the demise of insect numbers, bats must be under severe threat.

Nature’s Darkness-Creature Has Become Ours, Too (G.)

Here’s a flicker in the periphery. I notice it because of the way it moves; it’s a sort of fast fidget – staccato and angular in movement and path, like a movie projected at the wrong frame rate. It doesn’t swoop like a swallow, or bumble like a moth. The bat moves like a bat, and like nothing else. I’m sitting near my home under some trees, watching the coming night deepen the navy sky. The day has been airlessly hot, and with nightfall relief creeps into the air like a balm. Animals are out – I can hear twitches in the bushes behind me. Young frogs; hedgehogs maybe. Looking for water. Then I notice this bat. Seconds after I see it, I feel it pass so close that it makes my hair move, with it a split-second rustle of papery wings. I shiver.

Bats are just flying mice, people say, except they’re not, at all. Worldwide there are two main groups: Megachiroptera, big-eyed, placid-faced, small-eared – almost anthropomorphic, a man-bat; and Microchiroptera, the opposite. Nature’s darkness-creature has over time become ours, too. Their thorny outline is so conversant with the sinister that we nearly forget why. Light never catches them. They are opaque, darkly anonymous silhouettes into which humans project all manner of eerie ideas. Unwittingly, bats reinforce these with their habits. They haunt churches. Fly by night. Sleep subversively inverted. And the one far-flung species that feeds on blood bears the name “vampire” all too neatly.

This solitary bat flies about me in rapid loops. This one is maybe a noctule, or a pipistrelle. Catching insects perhaps. I worry that it will hit me but it won’t. It sees by echoing its sounds off nearby objects like aerial sonar, and it’s an excellent way to navigate. Those sounds are too high-pitched for the human ear to detect, and so to us, other than those wings, the bat makes no sound. None at all. I watch it. Bats need to catch air under their wings to fly. They can’t lift off like birds: they must drop. Their flight is a fall, arrested again and again with each frantic flap. That’s why they don’t move like anything else. Except, perhaps, a human trying to fly.

Read more …

And so the issue keeps shifting. But it doesn’t get resolved.

Migrant Arrivals Push Shelters To Breaking Point In Southern Spain (El Pais)

Shelters in the south of Spain are struggling to deal with a huge influx of migrants, many of whom are being left without a proper place to sleep. The arrivals – 1,300 in the past three days – have stretched services to their breaking point with the strain felt particularly hard in Algeciras as well as other municipalities along the coast of Andalusia. The number of undocumented migrants arriving in Spain has doubled since last year. Spain is now the main entry point into Europe, above Italy or Greece. But shelter services have been unable to keep up with the demand, leaving many migrants to sleep in overcrowded centers.

Up to 260 migrants spent the past two nights on the deck of a Maritime Rescue ship, more than 50 huddled together on a small courtyard of a police station in Algeciras, and 90 more jostled for a spot in the port of Barbate. Many more are left to wander the streets of towns like Medina Sidonia and Chiclana after spending the maximum legal 72-hour period in police custody. Immigration officials have traveled to Cádiz to look for a solution to what the Spanish government describes as a “collapse” of services. In a press release, the government said that 400 migrants had nowhere to go and blamed the problem on the former administration of Mariano Rajoy for its “lack of foresight.” “The number of arrivals has not stopped rising since 2017 but despite this nothing was done,” said a spokesperson for the Interior Ministry.

IN NUMBERS
• The number of people arriving by sea has tripled in the past year. Since the beginning of the year, 22,711 migrants have reached Spain, 19,586 by sea.
• Spain has overtaken Greece and Italy as the country which received the highest number of migrants.
• An average of 54 people arrived in Spain by sea each day in the first five months of 2018. That average has since shot up to 220 per day.
• Since the beginning of the year, 294 people have died trying to reach Spain – almost double the figure from the same period last year.

Read more …

Your donations are now also feeding the people in Mati, where conditions are really bad. I’ll have much more on the Automatic Earth for Athens Fund soon, many new and very positive developments, after a bit of a lull. More donations of course are needed and welcome.

Number Of Fatalities In Greek Wildfires Rises To 88 (K.)

A 42-year-old woman who was in intensive care after suffering extensive burns in the deadly wildfire that ripped through the coastal town of Mati in east Attica this week died early Saturday morning, raising the number of fatalities to 88. On Friday night, authorities also identified the bodies of the nine-year-old twin girls and their grandparents that went missing after the wildfires. Their bodies were among a group of victims recovered by emergency crews on Tuesday lying close together near the top of a cliff overlooking a beach. The news was reported on broadcaster SKAI by the private investigator the family had hired to find the children. It was confirmed by a reported friend of the family on his Facebook page.

The twins’ father had provided forensic authorities with a DNA sample and appeared on several TV stations seeking help in finding them. A total of 46 adult burn victims are being treated in hospitals in Athens, with nine of them in intensive care. Two children remain in hospital but authorities said their injuries are not life-threatening. Five days after the deadly blaze, there was still confusion over the number of those missing. The Athens Medical School’s Forensics and Toxicology Lab said it has conducted autopsies on 86 bodies, of which only 25 have been identified. As sources explained to Kathimerini, in the first 48 hours after the fires, several authorities wrote up lists of missing persons, which means the same people may have been recorded twice or more.

Since there was no official information on where relatives should report missing persons, police started separate investigations, when the relevant authority in this case would have been the fire service. On Saturday, Dimitra Lambarou, the deputy mayor of Marathonas, which has administrational jurisdiction over the majority of the devastated coastal town on Mati, said she is resigning over the deadly fires. “Since no-one else did it, I will,” she told broadcaster SKAI on Saturday. “I’m really ashamed for all those people who are in positions of responsibility,” she said and accused Marathonas mayor Ilias Psinakis of “not rising to the occasion.”

Read more …

Jul 272018
 


Pablo Picasso The three dancers 1925

 

The Mirage That Will Be Q2-GDP (Roberts)
Household Debt In UK ‘Worse Than At Any Time On Record’ (G.)
BRICS Nations Pledge Unity As Trade War Threatens (AFP)
Facebook’s $120 Billion Rout Biggest Loss In Stock Market History (CNBC)
Trade Deal With EU Greater In Scope Than Expected – US Official (R.)
Macron ‘Not In Favour’ Of Vast New US-EU Trade Deal (AFP)
EU’s Barnier Kills Off Theresa May’s Brexit Customs Proposals (G.)
Trump Threatens Turkey Sanctions Over Detained Pastor (AP)
US Government Misses Judge’s Midnight Deadline For Reunifying Families (Ind.)
Taxation Strangles Greece’s Growth Prospects (WSJ)
Death Toll From Greek Wildfires Rises To 85, Scores Stll Missing (K.)
Only 13% Of World’s Oceans Are Still Untouched Wilderness (Ind.)

 

 

Another great piece by Lance Roberts. Here’s the part on debt. It now takes $3.71 of debt to create $1 of economic growth. That won’t last.

The Mirage That Will Be Q2-GDP (Roberts)

With wage growth stagnant, corporations struggling to pass through rising commodity and tariff related costs and debt service requirements on the rise as the Fed continues to hike rates, the drag from the consumption side of the economic equation will likely dwarf the current boosts in the next two quarters. Furthermore, as I noted previously, tax cuts and reform, tariffs and other fiscal remedies promoted by the current administration fail to address the main drag to economic growth over time. The debt. “It now requires $3.71 of debt to create $1 of economic growth which will only worsen as the debt continues to expand at the expense of stronger rates of growth.”

In fact, as recently noted by our friends at the Committee for a Responsible Federal Budget, the U.S. deficit is set to surge. To wit: “The White House Office of Management and Budget recently released its annual mid-session review which updated deficit projections in its fiscal year 2019 budget request. The report projected deficits will reach $1.085 trillion in FY 2019 under their budget, which is double the $526 billion called for in the FY 2018 budget.” The report specifically addresses the biggest point of concern:

“The last time the nation experienced trillion-dollar deficits was during a serious economic downturn, no less – lawmakers took the issue seriouly. PAYGO laws were established, a fiscal commission was formed, new discretionary spending caps were implemented and policymakers entered a multi-year debate on how best to bring down long-term debt levels. This time around, with the emergence of trillion-dollar deficits during a period of economic strength – when we should be saving for future downturns – few seem to even take notice. On our current course, debt will overtake the size of the entire economy in about a decade, and interest will be the largest government program in three decades or less. This will weaken both our economy and our role in the world.”

Read more …

And more debt. And then some more.

Household Debt In UK ‘Worse Than At Any Time On Record’ (G.)

British households spent around £900 more on average than they received in income during 2017, pushing their finances into deficit for the first time since the credit boom of the 1980s. The Office for National Statistics said the shortfall amounted to nearly £25bn – equal to almost a quarter of the NHS budget – and the overspend was mostly paid for with borrowed money, though households also ran down savings. The figures pose a challenge to the government, which was warned last year that Britain’s consumer credit bubble of more than £200 billion was unsustainable. A dramatic rise in debt-fuelled spending since 2016 has also taken place against the backdrop of the Brexit vote, which triggered a rise in inflation at a time of weak wage growth. .

Analysts warned that a squeeze on household incomes from benefit cuts, lacklustre wages and high inflation would continue to force poorer households to borrow more to pay basic bills. Tom Selby, a research analyst at financial adviser AJ Bell, said the figures presented ministers with a significant challenge as they sought “to build financial resilience in the UK”. Researchers at the ONS said the situation was worse than at any time on record after the £25bn deficit last year surpassed the £300m deficit recorded in 1988. British household finances also slumped from being among the most solvent in the 1990s to being among the most indebted compared with households in other major western countries.

Read more …

42% of global GDP.

BRICS Nations Pledge Unity As Trade War Threatens (AFP)

Five of the biggest emerging economies on Thursday stood by the multilateral system and vowed to strengthen economic cooperation in the face of US tariff threats and unilateralism. The heads of the BRICS group – Brazil, Russia, India, China and South Africa – met in Johannesburg for an annual summit dominated by the risk of a US-led trade war, although leaders did not publicly mention President Donald Trump by name. “We express concern at the spill-over effects of macro-economic policy measures in some major advanced economies,” they said in joint statement. “We recognise that the multilateral trading system is facing unprecedented challenges. We underscore the importance of an open world economy.”

Trump has said he is ready to impose tariffs on all $500 billion of Chinese imports, complaining that China’s trade surplus with the US is due to unfair currency manipulation. Trump has already slapped levies on goods from China worth tens of billions of dollars, as well as tariffs on steel and aluminium from the EU, Canada and Mexico. “We should stay committed to multilateralism,” Chinese President Xi Jinping said on the second day of the talks. “Closer economic cooperation for shared prosperity is the original purpose and priority of BRICS.” Russian President Vladimir Putin, who held a controversial meeting with Trump last week, echoed the calls for closer ties among BRICS members and for stronger trade within group. “BRICS has a unique place in the global economy — this is the largest market in the world, the joint GDP is 42% of the global GDP and it keeps growing,” Putin said.

Read more …

For what it’s worth.

Facebook’s $120 Billion Rout Biggest Loss In Stock Market History (CNBC)

Facebook on Thursday posted the largest one-day loss in market value by any company in U.S. stock market history after releasing a disastrous quarterly report. The social media giant’s market capitalization plummeted by $119 billion to $510 billion as its stock price plummeted by 19 percent. At Wednesday’s close, Facebook’s market cap had totaled nearly $630 billion, according to FactSet. No company in the history of the U.S. stock market has ever lost $100 billion in market value in just one day, but two came close. On Sept. 22, 2000, Intel shed $90.74 billion in market value as the dot-com bubble burst. Earlier that year, Microsoft lost $80 billion from its market cap in one day.

Other companies that have experienced similar one-day losses in dollar amount include Apple in 2013, when it lost $59.6 billion, and Exxon Mobil in 2008, when it lost $52.5 billion. Facebook’s enormous loss in value came a day after the company reported weaker-than-expected revenue for the second quarter as well as disappointing global daily active users, a key metric for Facebook. The company also said it expects its revenue growth rate to slow in the second half of this year. Several analysts downgraded Facebook’s stock, including Nomura Instinet’s Mark Kelley. “With stagnating core user growth, we think there is too much near- to mid-term uncertainty to recommend shares at this point,” Kelley, who downgraded the stock to neutral from buy, said in a note.

Read more …

But who’s winning?

Trade Deal With EU Greater In Scope Than Expected – US Official (R.)

The U.S. administration got more out of a trade deal with the European Union than it had expected and the two will work together to deal with China’s market abuses, a top White House official told Reuters on Thursday. President Donald Trump and Jean-Claude Juncker, president of the European Commission, the EU’s executive body, struck a surprise deal on Wednesday that ended the risk of an immediate trade war between the two powers. “The EU came into the conversation and they were open to the proposals we had made about getting rid of tariffs, non-tariff barriers and subsidies,” said the official, who spoke on condition of anonymity.

Trump agreed on Wednesday to refrain from imposing car tariffs while the two sides launch negotiations to cut other trade barriers. Europe agreed to increase purchases of U.S. liquefied natural gas and lower trade barriers to American soybeans. The official stressed on Thursday that Trump retained the power to implement tariffs on cars if needed and said there was no deadline for the completion of talks. He said Trump was committed to getting zero tariffs from the European Union.= As part of the deal, the United States and Europe will work together on China. The two powers in the past have cooperated on measures to deal with theft of company secrets by Chinese entities.

Read more …

France doesn’t want to include agriculture. It gets 100s of billions in subsidies. So Macron talks about steel instead.

Macron ‘Not In Favour’ Of Vast New US-EU Trade Deal (AFP)

French President Emmanuel Macron said Thursday he viewed talks between US President Donald Trump and EU Commission chief Jean-Claude Juncker as “useful”, but he was “not in favour” of a “vast new trade deal” between the European Union and the United States. “European and France never wanted a trade war and the talks yesterday were therefore useful in as far as they helped scale back any unnecessary tension, and working to bring about an appeasement is useful,” the French leader said after a meeting with Spanish Prime Minister Pedro Sanchez in Madrid. “But a good trade discussion… can only be done on a balanced, reciprocal basis, and in no case under any sort of threat,” Macron said. “In this regard, we have a number of questions and concerns that we will clarify”.

Macron said he was “not in favour of us launching a vast trade agreement, along the lines of the TTIP, because the current context does now allow for that,” referring to a transatlantic free-trade deal which stalled two years ago. And he reaffirmed his opposition to including agriculture in any such deal. “I believe that no European standard should be suppressed or lowered in the areas of the environment, health or food, for example.” Macron went on to insist that “clear gestures are needed from the US, signs of de-escalation on steel and aluminium, on which the United States have imposed illegal taxes. That, for me, would constitute a prelude to making further concrete headway” on trade.

Read more …

Rinse and repeat.

EU’s Barnier Kills Off Theresa May’s Brexit Customs Proposals (G.)

Michel Barnier has warned that attempts to appeal to EU leaders over his head were a waste of time as he rejected Theresa May’s proposals on customs after Brexit, in effect killing off the Chequers plan. On Friday Theresa May travels to Austria to meet Chancellor Sebastian Kurz and the Czech prime minister Andrej Babis, before heading off on her summer holiday. May’s trip follows the EU chief Brexit negotiator insisting there was no difference of opinion in European capitals to exploit. “Anyone who wants to find a sliver of difference between my mandate and what the heads of government say they want are wasting their time, quite frankly,” he told reporters at a joint press conference with the new Brexit secretary, Dominic Raab, in Brussels.

The British negotiators have become increasingly frustrated with the EU’s attitude to the white paper thrashed out at the prime minister’s country retreat. They feel that it will take an intervention by leaders, most likely at a summit in Salzburg in September, to move the dial in favour of a deal. A number of cabinet ministers have been despatched around EU capitals to make their case for greater flexibility. The impasse in the negotiations was laid bare in the press conference in the European commission’s Berlaymont headquarters as a thunderstorm broke outside. While Raab insisted that with “political will” a deal on trade and on avoiding a border on the island of Ireland was achievable by a crunch summit in October, Barnier offered a damning verdict on a major element of the UK’s vision of the future.

Read more …

And the lira plunges some more…

Trump Threatens Turkey Sanctions Over Detained Pastor (AP)

President Donald Trump says the U.S. will hit Turkey with “large sanctions” over a American pastor detained on terror and espionage charges, and he called for the pastor’s immediate release. Tweeting from aboard Air Force One, Trump said: “The United States will impose large sanctions on Turkey for their long time detainment of Pastor Andrew Brunson, a great Christian, family man and wonderful human being.” Trump said Brunson “is suffering greatly. This innocent man of faith should be released immediately!”

Just hours earlier, Vice President Mike Pence said that if Turkey does not take immediate action to free Brunson, “the United States of America will impose significant sanctions on Turkey.” Pence spoke at the close of a three-day conference in Washington on religious freedom. Brunson, 50, an evangelical Christian pastor originally from North Carolina, was let out of jail Wednesday, after 1 1/2 years, to serve house arrest because of “health problems,” according to Turkey’s official Anadolu news agency.

Read more …

Hope Judge Sabraw comes down hard on them. When he set the deadlines a month ago, he said: “These are firm deadlines; they’re not aspirational goals.”

US Government Misses Judge’s Midnight Deadline For Reunifying Families (Ind.)

US lawyers and activists have described “chaos and confusion” at immigrant detention facilities as the Trump administration scrambles to reunify the more than 2,500 migrant children it separated from their parents at the border in recent months. The government is rushing to meet a Thursday night deadline set by US District Court Judge Dana Sabraw, who ordered all of the families reunified as part of a lawsuit brought by the American Civil Liberties Union last month. As of Tuesday, officials said they had identified 1,634 parents possibly eligible for reunification with their children, and successfully reunified some 1,012 of them. The government was scheduled to provide an updated count to Judge Sabraw on Friday morning.

But the government also said more than 900 parents may not be eligible for reunification because they had waived their right to reunification, had criminal backgrounds, or were otherwise deemed unfit. Some 462 of those parents had already left the country, the administration said, though it was unclear whether they had volunteered to leave or had been deported against their will. Lee Gelernt, the lead attorney on the case, took issue with this number, saying the Trump administration was “unilaterally picking and choosing who is eligible for reunification”. “We will continue to hold the government accountable and get these families back together,” he said in a statement.

Immigrants’ rights groups warned that many of the parents who had left the country already may have done so under duress or coercion, or armed with bad information. Advocates described parents being pressured by Immigration and Customs Enforcement (ICE) to sign paperwork they didn’t understand, or being told that they would not be reunified with their children unless they agreed to be deported.

Read more …

The Wall Street Journal forgets to mention that consumers have nothing left to spend. Growth prospects?

Taxation Strangles Greece’s Growth Prospects (WSJ)

Greece is scheduled to exit its marathon bailout this summer after hitting the tough fiscal targets set by its creditors. But the country has done so by raising taxes so high that they are strangling the small businesses that form the backbone of its economy. At the Dandy restaurant in downtown Athens, owner Charalampos Bonatsos said rising taxes have forced him to lay off half his staff and cut his remaining workers’ wages. He said he still struggles to cope with the last three years’ increases in corporate income tax, property tax and sales tax. “All that matters is reaching the bailout goals. No one cares whether doing business is possible with this policy,” Mr. Bonatsos said.

The tax increases have left Greece with some of Europe’s highest tax rates across several categories, including 29% on corporate income, 15% on dividends, and 24% on value-added tax (a rough equivalent of U.S. sales tax). Individuals pay as much as 45% income tax, plus an extra “solidarity levy” of up to 10%. Furthermore, workers and employers pay social-security levies of up to 27% of their salaries. The elevated taxes under Greece’s bailout program have fallen most heavily on small and midsize businesses and self-employed people. Lawyers and engineers, most of whom are self-employed, are fighting the government in court over having to pay what they say is up to 80% of their average monthly takings in taxes and levies.

Some also have to pay retroactive social-security contributions, to the point where professional associations say some of their members are having to pay more to the state than they make. The painfully high taxes reflect the tough demands of Greece’s main creditors: other eurozone countries led by Germany, and the IMF. Since Greece’s finances spun out of control, its bailout lenders have forced the country to cut its budget deficit from over 15% of GDP in 2009 to a surplus of around 1% in 2017. [..] The tax burden creates a serious disincentive for economic activity. It mainly hits the most productive part of the Greek society,” said George Pagoulatos, professor of economics at the Athens University of Economics and Business. “Greece resembles Scandinavian-style taxation, but its welfare state has nothing to compare to theirs: You don’t get anything in return.”

Read more …

Words fail. Yesterday, heavy rains flooded areas 25km from Mati.

Death Toll From Greek Wildfires Rises To 85, Scores Stll Missing (K.)

The death toll from the deadly blaze that ravaged the coastal town of Mati in east Attica on Monday rose to 85 on Thursday, after a 73-year-old man who was in intensive care in Athens’ Evangelismos hospital died and two more bodies were discovered by rescue crews. Earlier in the day, a fire service spokesperson told journalists the number had risen to 82. Stavroula Malliri said rescuers are looking for missing people but have not yet entered closed houses in affected areas. About 300 firemen and volunteers combed through the area looking for dozens reported missing, among them two 9-year old sisters.

“Understanding the agony of the relatives of those missing, we inform you that the search to find them will not stop until all buildings and areas affected by the blaze have been checked,” she told journalists. Malliri called on the relatives of those missing to visit the forensics department of the University of Athens in Goudi until Friday (8 a.m. to 8 p.m.) where they will be briefed about the procedure followed to identify the victims. The Infrastructure Ministry announced earlier on Thursday that 1,218 buildings (48.93 pct) out of the 2,489 assessed by its engineers since Tuesday were deemed uninhabitable.

Read more …

Don’t worry, we’ll get to that yet.

Only 13% Of World’s Oceans Are Still Untouched Wilderness (Ind.)

The area of the ocean that remains undamaged by humans is tiny, according to the first ever comprehensive analysis of “marine wilderness”. Global shipping, fishing operations and pollution running into the sea from land have all taken their toll on the world’s seas, including some of the most remote areas. Areas of true wilderness are vital as they are some of the most diverse parts of the ocean and the last places on Earth still inhabited by sizeable numbers of large predators like sharks. Even the few fragments that remain are threatened as advanced fishing technologies and melting sea ice expose them to human activity. Most of the remaining wilderness, which covers no more than 13% of the world’s oceans, can be found in the polar regions and around remote Pacific Island nations.

The scientists behind the study have called for international agreements to recognise the unique value of these zones. Kendall Jones of the University of Queensland, who led the research, said they were “astonished by just how little marine wilderness remains”. “The ocean is immense, covering over 70% of our planet, but we’ve managed to significantly impact almost all of this vast ecosystem,” he said. Crucially, less than 5% of the remaining wilderness is officially protected. “This means the vast majority of marine wilderness could be lost at any time, as improvements in technology allow us to fish deeper and ship farther than ever before,” explained Mr Jones. “Thanks to a warming climate, even some places that were once safe due to year-round ice cover can now be fished.”

Read more …

Jul 242018
 
 July 24, 2018  Posted by at 9:01 am Finance Tagged with: , , , , , , , , , , ,  4 Responses »


Félix Vallotton Sunset, Bronze-Purple 1911

 

Wildfire Kills At Least 50 Near Athens, Families Flee To Beaches (R.)
Ecuador ‘Close To Evicting’ Julian Assange From UK Embassy (Ind.)
NATO Trumped (SCF)
Dying Groundskeeper Testifies In Monsanto Roundup Cancer Trial (G.)
Russia Attacked Us (Jim Kunstler)
Cost To Insure Tesla’s Debt Rises On Growing Default Fears (R.)
The Low-Priced Home Shortage Continues (CNBC)
Exposing the American Okie-Doke (CP)
End ‘Botched’ Brexit, Corbyn Calls On UK To Back His Vision (R.)
Over-Promising Has Crippled Public Pensions (WirePoints)
Rubens Nudes Fall Foul Of Facebook Censors (G.)

 

 

Yesterday around noon the skies here in Athens started turning brown. We learned this was due to a wildfire west of the city. In late afternoon winds began picking up, a lot. Then this happened throughout the evening and night, in a wildfire at the exact opposite side of the city. Latest number of dead is now 54. 26 of them died together just 30 meters from the beach.

Wildfire Kills At Least 50 Near Athens, Families Flee To Beaches (R.)

A wildfire killed at least 50 people and injured more than 150 as it swept through a small resort town near Athens, with huge flames trapping families with children as they fled. The fire which hit Mati, 29 km (18 miles) east of the capital, late Monday afternoon was by far the country’s worst since flames devastated the southern Peloponnese peninsula in August 2007, killing dozens. People scrambled to the sea as the blaze closed in close to the shore. Hundreds were rescued by passing boats but others found their way blocked by smoke and flames. “I was briefed by a rescuer that he saw the shocking picture of 26 people tightly huddled in a field some 30 meters from the beach,” Nikos Economopoulos, head of Greece’s Red Cross, told Skai TV.

“They had tried to find an escape route but unfortunately these people and their kids didn’t make it in time,” he said. A Reuters witness also saw several bodies in the area. Mati is in the eastern Rafina region, a popular spot for Greek holidaymakers, particularly pensioners and children at camps. The 26 deaths came on top of more than 20 casualties reported by government spokesman Dimitris Tzanakopoulos earlier on Tuesday. He said more than 88 adults and 16 children were injured.

Read more …

They’re walking this back a little bit.

Ecuador ‘Close To Evicting’ Julian Assange From UK Embassy (Ind.)

Speculation about Mr Assange’s future has grown this month after the Sunday Times said senior officials from Ecuador and Britain have been in discussions since last week about how to remove him from the embassy after revocation of his asylum. “The situation is very serious. Things are coming to a head,” the source, who spoke on condition on anonymity, told Reuters. He said the latest information from inside the embassy was, “It’s not looking good”. However, both the Ecuadorean government and British government sources played down suggestions there was likely to be any imminent movement to break the stalemate.

“The Ecuadorian state will only talk and promote understandings about Mr Assange’s asylum, within the framework of international law, with the interested party’s lawyers and with the British government,” Ecuador’s foreign ministry said in a statement ahead of the visit. “At the moment, due to the complexity of the topic, a short or long-term solution is not in sight.” A British government source also said there was no sign of immediate progress. Last month, Foreign Office minister Alan Duncan told parliament that they were increasingly concerned about Mr Assange’s health. “It is our wish that this is brought to an end, and we would like to make the assurance that if he were to step out of the embassy, he would be treated humanely and properly,” Mr Duncan said. “The first priority would be to look after his health, which we think is deteriorating.”

Read more …

“If you don’t get up to 2% (or is it 4%?) and quickly too; I warned you. Goodbye. If you do get your spending up, then you don’t need us. Goodbye.”

NATO Trumped (SCF)

Indicators of European NATO members’ actual readiness and combat capability are stunning; the latest being “Only 4 of Germany’s 128 Eurofighter jets combat ready — report”; “Ground force: Half of France’s military planes ‘unfit to fly'”. “Britain’s ‘withered’ forces not fit to repel all-out attack”. “Europe’s Readiness Problem”. Obviously they’re not expecting a Russian attack any time soon. NATO is, as I have argued here, a paper tiger. It is questionable whether NATO members can conduct any operation without the USA providing satellite navigation and observation, air defence suppression, airborne command and control, inflight tankers, heavy lift and ammunition resupply to name a few deficiencies. So, either the Europeans are not worried; or, as Trump likes to say, they are free riders.

Six months ago I suggested that Trump may be trying to get out of what I called the “Gordian knot of entanglements”. President Trump can avoid new entanglements but he has inherited so many and they are, all of them, growing denser and thicker by the minute. Consider the famous story of the Gordian Knot: rather than trying to untie the fabulously complicated knot, Alexander drew his sword and cut it. How can Trump cut The Gordian Knot of American imperial entanglements? By getting others to untie it. He stomps out of NATO leaving them quaking: if you say Russia is the enemy, why do you act as if it isn’t; and if you act as if it isn’t, why do you say it is? And firing, over his shoulder, the threat: 2% by next January.

I believe it is a threat and a very neat one too: If you don’t get up to 2% (or is it 4%?) and quickly too; I warned you. Goodbye. If you do get your spending up, then you don’t need us. Goodbye.

Read more …

Their best shot may be if they can prove that Monsanto suppressed scientists.

Dying Groundskeeper Testifies In Monsanto Roundup Cancer Trial (G.)

Dewayne Johnson said that if he had known what he knew now about Roundup weedkiller, “I would’ve never sprayed that product on school grounds … if I knew it would cause harm … It’s unethical.” Johnson, a former school groundskeeper in northern California who is terminally ill, was testifying Monday in his landmark suit against Monsanto about the cancer risks of the company’s popular weedkiller. He is the first person to take the agrochemical company to trial over allegations that the chemical sold under the Roundup brand is linked to cancer. He spoke for the first time during the trial in San Francisco, detailing his use of Monsanto’s products, his extensive exposure to herbicides, and his belief that the chemicals caused non-Hodgkin lymphoma (NHL), a blood cell cancer.

He also described the suffering he endured as skin lesions took over his body. “I’ve been going through a lot of pain,” said Johnson, a father of three who goes by the name Lee. “It really takes everything out of you … I’m not getting any better.” His doctors have said he may have just months to live. Johnson’s lawyers have argued in court that Monsanto has “fought science” over the years and worked to “bully” researchers who have raised concerns about potential health risks of its herbicide product. At the start of the trial, the attorneys presented internal Monsanto emails that they said revealed the corporation’s repeated efforts to ignore expert’s warnings while seeking favorable scientific analyses and helping to “ghostwrite” positive papers.

Thousands have brought similar legal claims across the US, and a federal judge in California ruled this month that hundreds of cancer survivors or those who lost loved ones can also proceed to trial. Johnson’s case has attracted international attention, with the judge allowing his team to present scientific arguments about glyphosate, the world’s most widely used herbicide.

Read more …

“We await the fabled “moment of truth” when the avenging angel of price discovery returns and shatters the illusion that accounting fraud equals prosperity.”

Russia Attacked Us (Jim Kunstler)

The Helsinki summit meeting has the look of a turning point in Mr. Trump’s political fortunes. One irony is that he may escape his enemies’ efforts to nail him on any Russia “collusion” rap only to be sandbagged by financial turmoil as the dog days of summer turn nervously toward autumn. Events will cancel the myth that his actions as president have produced a booming economy. If anything, the activities that make up our economy have only become more vicious rackets, especially the war industries, with all their inducements to counter the imagined Russia threat.

The financial markets are the pillars of the fantasy that the US economy is roaring triumphantly. The markets are so fundamentally disabled by ten years of central bank interventions that they don’t express the actual value of any asset, whether stocks, or bonds, or gold, oil, labor, currencies, or the folly known as crypto-currency. We await the fabled “moment of truth” when the avenging angel of price discovery returns and shatters the illusion that accounting fraud equals prosperity.

The revelation that Mr. Trump is not an economic genius will spur a deeper dive by chimerical Democrats into nanny state quicksand. They will make the new fad of a Guaranteed Basic Income the centerpiece of the midterm election — even though many Democrats will not really believe in it. They are pretending not to notice how broke the USA actually is, and how spavined by unpayable debt. The lurking suspicion of all this is surely behind fantasies such as Russia attacked us, the displacement of abstruse and impalpable fear onto something simple and cartoonish, like the President of the United States.

Read more …

“The CDS is saying that there are a lot of people betting this company is going out of business…”

Cost To Insure Tesla’s Debt Rises On Growing Default Fears (R.)

The amount investors must pay to insure their debt holdings in Tesla Inc against declining credit quality rose on Monday to its second-highest price ever, implying the company is at a greater risk of default following a report that sparked concern that Tesla may need to raise funds. Insurance on Tesla’s debt, which is sold as a credit default swap contract, increased from Friday by 13 cents to $5.96 per $100 of Tesla debt. That followed a Wall Street Journal report on Sunday that Tesla had turned to some suppliers for a refund of previously made payments in a bid to make a profit, citing a memo sent by a Tesla global supply manager.

A Tesla spokesperson said on Monday that the company had no comment on the credit default swaps, but said in a statement in response to the WSJ story that Tesla had asked fewer than 10 suppliers to reduce capital expenditure project spending. Tesla said that any changes with these suppliers would improve future cash flows but not affect its ability to achieve profitability in the third quarter. Company founder and Chief Executive Officer Elon Musk may be obligated to tap debt or equity markets again this year, according to analysts, though he has said he would do neither. [..] It cost $5.96 to insure $100 of Tesla’s debt, plus an upfront cost of around 18%, representing a total of 24.1% of the face value of the 2025 bond on Monday. “The CDS is saying that there are a lot of people betting this company is going out of business,” said Thomas Graff, head of fixed income at Brown Advisory.

Read more …

Trying to outdo Orwell. First blow a ginormous bubble and then claim there are not enough cheap homes.

The Low-Priced Home Shortage Continues (CNBC)

The nationwide housing shortage continues but is especially troublesome for homebuyers with a budget of $250,000 or less, Susan Wachter, professor of real estate and of finance at the Wharton School of Business at the University of Pennsylvania, told CNBC on Monday. Rising labor, land and material costs are slowing down the supply, “except at higher prices, which is simply not affordable for the great middle, and that’s where we see the hit in … existing sales,” Wachter said on “Power Lunch.” Sales of existing homes are down for the third month in a row due to a shortage of properties, which results in higher prices and pushes some potential buyers out of the market.

Existing home sales fell 0.6% in June, or 2.2% from June 2017. And as prices for new home construction increase, construction in general is on the decline. Housing starts, or the number of new residential housing projects, decreased in June, plunging 12.3%. The loss represents the third month in a row of declines or a nine-month low. “That sets a price point for the existing sale market as well,” Wachter said. And with inventory at historic lows and a lack of new construction, existing homeowners are holding on to their homes longer, Wachter noted.

Read more …

I’ll leave this here.

Exposing the American Okie-Doke (CP)

The “founding fathers” deliberately arranged a system of governance that would protect the wealthy minority from the majority. Over time, as it fused with capitalism, this arrangement transformed the US government into a market. Railroad tycoons and robber barons forced their way into this market during the Gilded Age. Big business controlled the “public agenda” throughout the 20th century, with multinational firms taking root in the 1980s and 90s. Ronald Reagan ushered in the neoliberal era, which amounted to an all-out corporate coup of American politics. And, in 2010, the Supreme Court placed its stamp of approval on this system with its Citizens United decision, allowing anonymous donors unlimited access to politics through Political Action Committees (PACs).

In other words, the US government has been a traded commodity for a long time, in many ways since the beginning of the country’s founding. Wealth determines elections (over 90% of the time the campaign with the most money wins). Politicians are commodities that are bought by capitalists. Legislation is a commodity that is bought by lobbyists (employed by capitalists). This is the case for both parties and all politicians (because it is built into the system). The point: If you still believe your 5th-grade textbook and think you have a say in determining public policy in the US, you are furious right now. Because you believe democracy exists and that it was hijacked by a foreign government. However, if you realize democracy (or a republic) does not exist, the Russia/Trump revelations mean only one thing: the traded commodity known as the US government has gone global, following all of the other capitalist markets that have been globalized over the past 40 years.

Read more …

Anyone convinced by Corbyn?

End ‘Botched’ Brexit, Corbyn Calls On UK To Back His Vision (R.)

British opposition leader, Jeremy Corbyn will call on the government on Tuesday to back his vision for a new customs union with the European Union to avoid a “botched” Brexit leaving the country “in hock to Donald Trump”. Unveiling a Labour Party campaign to boost manufacturing and keep public contracts in Britain, Corbyn will also increase the pressure on Prime Minister Theresa May over her Brexit plans by suggesting she back his vision of “a brand new customs union”. May is struggling to sell what she calls her business-friendly Brexit to not only the competing factions in her governing Conservative Party but also across Britain just over eight months before the country is due to leave in March.

But Corbyn also faces dissent in his party, with many Labour lawmakers and members calling for him to back a second referendum on any deal and support keeping the closest possible ties with the EU by staying in its single market and customs union. “Theresa May and her warring cabinet should think again, even at this late stage, and reconsider the option of negotiating a brand new customs union,” Corbyn will tell the EEF manufacturers’ organisation in the city of Birmingham. “A botched…Brexit will sell our manufacturers short with the fantasy of a free trading buccaneering future, which in reality would be a nightmare of chlorinated chicken, public services sold to multinational companies and our country in hock to Donald Trump,” he will say, according to excerpts of his speech.

Read more …

Extensive report h/t ZH

Over-Promising Has Crippled Public Pensions (WirePoints)

The real problem plaguing public pension funds nationwide has gone largely ignored. Most reporting usually focuses on the underfunding of state plans and blames the crises on a lack of taxpayer dollars. But a Wirepoints analysis of 2003-2016 Pew Charitable Trust and other pension data found that it’s the uncontrolled growth in pension promises that’s actually wreaking havoc on state budgets and taxpayers alike. Overpromising is the true cause of many state crises. Underfunding is often just a symptom of this underlying problem. Wirepoints found that the growth in accrued liabilities has been extreme in many states, often growing two to three times faster than the pace of their economies. It’s no wonder taxpayer contributions haven’t been able to keep up.

The reasons for that growth vary state to state – from bigger benefits to reductions in discount rates – but the reasons don’t matter to ordinary residents. Regardless of how or when those increases were created, it’s taxpayers that are increasingly on the hook for them. Unsurprisingly, the states with the most out-of-control promises are home to some of the nation’s worst pension crises. Take New Jersey, for example. The total pension benefits it owed in 2003 – what are known as accrued liabilities – were $88 billion. That was the PV, or present value, of what active state workers and retirees were promised in pension benefits by the state at the time. Today, promises to active workers and pensioners have jumped to $217 billion – a growth of 176% in just 13 years. That increase in total obligations is four times greater than the growth in the state’s GDP, up only 41%.

Read more …

Oh yes, we really need censorship by a bunch of poorly educated kids.

Rubens Nudes Fall Foul Of Facebook Censors (G.)

Rubens nudes have entranced those visiting the world’s great art galleries for some 400 years. Contemporaries on whom the Flemish master is said to have had a profound impact include Van Dyck and Rembrandt … but none of this has passed muster with Facebook’s censors. In a move that has prompted a semi-playful complaint to the company’s chief executive, Mark Zuckerberg, it has taken down a series of promotions on social media for the Belgian region of Flanders because they feature works by the artist famous for his Baroque paintings of voluptuous women and cherubs. Advertisements containing sexually oriented content, including artistic or educational nudes, apart from statues, are prohibited on the site.

In an open letter signed by most of the museums in Flanders, the Flemish tourist board, Toerisme Vlaanderen, has written to Zuckerberg to ask for a rethink. “Breasts, buttocks and Peter Paul Rubens’ cherubs are all considered indecent”, the letter says. “Not by us, but by you … Even though we secretly have to laugh about it, your cultural censorship is making life rather difficult for us.” Posts removed have even included an advert featuring Rubens’ The Descent from the Cross, in which Jesus is naked in his loincloth. The Flemish tourist board has pushed its point by releasing a short video in which the “nude police” drag away visitors at the Rubens House in Antwerp to stop them from gazing at the implicated paintings.

Read more …

Jan 032015
 
 January 3, 2015  Posted by at 12:55 pm Finance Tagged with: , , , , , , , ,  2 Responses »


Jack Delano Joliet, Illinois. Leaving the Atchison, Topeka & Santa Fe railyard 1943

Europe’s Bond Yields Fall To Lowest Since The Black Death (AEP)
Dollar Index Soars To Nearly 9-Year High (MarketWatch)
Greek And European Prospects For 2015 (Varoufakis)
Lithuania Joins Eurozone Despite 40% Of Population Being Against (RT)
Obama Sanctions North Korea For Sony Hack It Didn’t Perpetrate (Zero Hedge)
Oliver Stone’s New Movie: “Ukraine: The CIA Coup” (Zero Hedge)
China Zombie Factories Kept Open To Give Illusion Of Prosperity (FT)
Why The Stock Market Casino Is Dangerous: Looney Tunes And Sand Dunes (Stockman)
As Oil Price Drops, Good Times Run Out for Sand Producers (WSJ)
The ‘Shock’ That Awaits Pensioners At Retirement (BBC)
Michael Hudson: The War on Pensions – The US Budget Anti-Pension Law (NC)
New Consumer Debt Reaches Seven-Year High In UK (Guardian)
Right Wing In Europe Could Bring ‘Turmoil’ (CNBC)
General Motors: A New Year, A New Series Of Recalls (Reuters) <
Failure To Stop Petrobras Scandal Could Haunt Brazil’s Rousseff (Reuters)
The Imperial Collapse Playbook (Dmitry Orlov)
South Australia ‘Incredibly Dangerous’ Wildfires Worst Since 1983 (Bloomberg)

“Nothing like this has been seen in European history since the 14th century, after the depletion of silver mines set off a slow monetary contraction, followed by Edward III’s default on debts to Italian banks and the Black Death soon after..”

Europe’s Bond Yields Fall To Lowest Since The Black Death (AEP)

Bond yields have plummeted to record lows across the eurozone as deflation becomes lodged in the system and markets bet on a blitz of asset purchases by the European Central Bank this month. German five-year yields dropped below zero for the first time ever, touching -0.007% on the first day of new year trading, implying that investors are willing to pay the German government to store their money for the rest of this decade. Italian, Spanish and Portuguese yields have seen spectacular drops over the past two trading days. The French state can borrow for five years at a rate of 0.13%, and Ireland can do so at 0.32%. Nothing like this has been seen in European history since the 14th century, after the depletion of silver mines set off a slow monetary contraction, followed by Edward III’s default on debts to Italian banks and the Black Death soon after, compounding a deflationary collapse.

“What we are seeing is the ‘Japanification’ trade,” said Andrew Roberts, credit chief at RBS. “The eurozone is sinking into corrosive deflation and it is too late to stop. We think the inflation rate in December may already have been negative. The ECB are in trouble, and they know it.” Mario Draghi, the ECB’s president, told Germany’s Handelsblatt that a slip into deflation “cannot be ruled out completely” and admitted that the bank is at mounting risk of breaching its price stability mandate. Mr Draghi said the ECB is “making technical preparations” to boost its balance sheet in early 2015, but offered no fresh clues on how much it will be or whether the measures will include full quantitative easing in the form of sovereign bond purchases.

Investors have taken his comments as a strong hint of QE as soon as this month, even though he repeated his usual caveat that new measures will be undertaken only “should it become necessary to further address risks of a too prolonged period of low inflation”. His interview may have been the trigger for the latest dash for EMU sovereign debt. There are not enough bonds to buy from certain countries if the ECB sweeps into the market on a grand scale. Bank of America said there would be an acute shortage of German debt since Berlin plans to run a budget surplus this year and will therefore be retiring bonds gradually instead of issuing them. The ECB would quickly run out of Latvian or Greek bonds trading on the open market. The US bank predicted bond purchases of between €180bn and €360bn a year, warning that the economic outlook will “deteriorate substantially” if the ECB is prevented from carrying out QE for political reasons.he said.

Read more …

On its way to parity.

Dollar Index Soars To Nearly 9-Year High (MarketWatch)

The U.S. dollar soared Friday, building on big gains scored in 2014, on expectations the Federal Reserve will raise interest rates while the ECB and Bank of Japan continue to loosen monetary policy in the year ahead. The ICE dollar index rose to 91.11, up from 90.27 in late North American trade on Wednesday and marking its highest level since March 2006, according to FactSet data. The index rose almost 13% in 2014, to mark its best yearly gain since 2005. “We have entered ‘15 with the same themes that we ended last year, namely positive U.S. sentiment fueling U.S. dollar gains,” wrote Jeremy Stretch, strategist at CIBC in London. Meanwhile, the euro “remains bedeviled by broad-based uncertainty as the Japanese yen remains on the defensive as the Bank of Japan maintains that they still have various tools to ease policy,” he said.

The euro kicked off 2015 on a downbeat note, falling to its lowest level versus the dollar since 2010, after European Central Bank President Mario Draghi hinted that the bank is moving closer to launching a full-scale quantitative easing program. The shared currency fell to $1.2001, down from $1.2099 on Wednesday, its lowest level since 2010. The euro’s weakness on Friday continued a trend seen in 2014, when it lost 12.2% against the dollar on expectations the ECB will act in early 2015 to implement full-blown quantitative easing, to help avert outright deflation in the eurozone. Renewed political turmoil in Greece, which faces a snap general election in January, is also weighing on the shared currency.

Draghi spoke about low inflation in an interview with German newspaper Handelsblatt, published on Friday, in which he said the eurozone remains in danger of falling into a downward spiral of declining consumer prices. “The risk that we do not fulfill our mandate of price stability is higher than six months ago,” he said in the interview. To fight off the risk of deflation, the central bank is therefore preparing to “adjust the scope, pace and composition of measures at the start of 2015, should this be necessary to respond to a too-long period of low inflation,” the ECB president said.

Read more …

“The threat to a SYRIZA government will not come from the markets. Remember: Greece is bankrupt and is not borrowing from private investors. [..] the threat to a SYRIZA government comes from the ECB, from the EU and from Berlin.”

Greek And European Prospects For 2015 (Varoufakis)

European media often speak of the “Greek recovery” and the growth of competitiveness of the country to try to persuade the public opinion about the effectiveness of austerity and structural reforms imposed by the Troika. Considering the macroeconomic data, however, we find a youth unemployment above 50%, a negative inflation rate and a debt-deflation spiral out of control. How is it possible to speak of “recovery” when three Greek citizen out of five have exceeded the poverty line? Over the past two years, no fact could get in the way of the EU propaganda machine which, approximately eighteen months ago, went into overdrive in an attempt to shore up the Samaras government, terrified at the prospect of a new government in Athens that insists of speaking truth to power. Have you noticed how the ‘Greek Success Story’ narrative disappeared once elections became inevitable? What kind or ‘recovery’ was it that went up in a puff of smoke the moment an election appeared over the horizon?

The answer is: a ‘recovery’ that existed only in the realm of propaganda. A ‘recovery’ that was engineered by means of two new bubbles, one in the bond market the other in the market for Greek banking shares – bubbles that burst the moment the Greek people seemed as if they were to have a chance to express what they felt about the said ‘recovery’ in the polling stations. A ‘recovery’ evidenced in one quarter’s positive GDP growth (equal to 0.7%), after seven years of continuous decline, which was due to the sad fact that nominal GDP fell – but for the first time it fell less than average prices did. So, let’s be frank: There was no recovery. What we did have was a monstrous denial that was functional to the story Mrs Merkel wanted to convey to European citizens: If austerity worked even in Greece, it must be the right cure for every European realm, and it must thus be accepted unthinkingly by every European – especially the… Italians.

In Greece there will be a general election next January 25, 2015. According to the latest polls, SYRIZA, the main opposition party critic of the austerity measures imposed by the Troika, could be the winner. But, victory at the polls could be precluded by the speculative attack of the markets on spread, aimed at creating a climate of terror among the public. What remains of democracy in this oligarchic regime of the European Union? And the same scenario could be repeated in other countries with those parties critical of the institutional architecture of the EU? The threat to a SYRIZA government will not come from the markets. Remember: Greece is bankrupt and is not borrowing from private investors.

When you do not borrow, you do not care about the interest rate! No, the threat to a SYRIZA government comes from the ECB, from the EU and from Berlin. Days after its election, there is a strong chance that our European partners’ officials, in violation of democracy’s – and logic’s – most basic principles, will threaten the new Athens government with a shutdown of Greece’s banking system until and unless it bows to their will. This is far, far worse, and morally more reprehensible, than being terrorised by the markets. Investors have every right to demand high interest rates in order to lend you money. Fellow democratic governments and unelected central bankers have no right to threaten a newly elected government with Armageddon if it dares ask for a renegotiation of an unsustainable loan agreement with the EU, the ECB and the IMF.

Read more …

HA HA! “EU economic affairs commissioner Pierre Moscovici said that in joining the euro, the Lithuanian people are “choosing to be part of an area of stability, security and prosperity.“

Lithuania Joins Eurozone Despite 40% Of Population Being Against (RT)

Lithuania has celebrated the New Year by joining the eurozone. The decision is country’s bid to boost stability despite inflation fears and euro zone debt troubles. However, according to a November poll about 40% of the population opposed the move. Lithuanian Prime Minister Algirdas Butkevicius withdrew his first 10 euro bill from a Vilnius cash machine right after midnight January 1. The exchange rate is now set at one euro for 3.45 litas, the country’s old currency. Both litas and euros will circulate in the country till June. “The euro will serve as a guarantee for our economic and political security,” Butkevicius said at a ceremony which was attended by officials of other Baltic states – Estonia and Latvia.

Latvia joined the eurozone on January 1, 2014 despite opinion polls showing that a majority of the country’s population opposed the move, with just 20% strongly in favor. Estonia joined the currency bloc in 2011. “Myself, and I think, many of you feel sad that the litas, which has served us well for more than two decades, becomes history, but we have to move forward,” said Lithuania’s Finance Minister Rimantas Sadzius at the ceremony. Earlier the country’s President Dalia Grybauskaite said that joining eurozone is symbol of “deeper economic and political integration with the West.” However, not everyone in Lithuania shared the optimism of Grybauskaite.

According to a November survey released by the central bank, only 53% of the population supported the move, while 39% were against. “Financial commitments are a huge burden and increase the country’s debt. I think we should have delayed entry,” financial analyst Valdemaras Katkus told AFP. In the meantime the European Commission has put a huge banner over its headquarters in Brussels, saying “Welcome to the euro area, Lithuania!” EU economic affairs commissioner Pierre Moscovici said that in joining the euro, the Lithuanian people are “choosing to be part of an area of stability, security and prosperity.” Lithuania has already donated millions of euros to the eurozone’s rescue fund for struggling EU members, such as Greece.

Read more …

“.. this action is so stupid no amount of commentary would possibly do it justice ..”

Obama Sanctions North Korea For Sony Hack It Didn’t Perpetrate (Zero Hedge)

US foreign policy just jumped the shark: a few days after both the FBI and the US State department were humiliated when it was revealed that it wasn’t North Korea but a disgruntled, laid off Sony employee that was responsible for the “hack”, and when the best possible course of action would have been to simply let this latest embarrassing incident fade from memory, moments ago Obama – currently not working out next to a rainbow or flashing his support of “Shaka” – just signed his first executive order of 2015, imposing even more sanctions against North Korea. From Bloomberg:

President Obama signs order imposing additional sanctions on North Korea in response to country’s “efforts to undermine U.S. cyber-security and intimidate U.S. businesses and artists exercising their right of freedom of speech,” according to Treasury Dept statement. [..] Sanctions target 3 entities, 10 individuals [..] Including North Korea’s intelligence agency, arms dealer, North Korea’s representatives in Namibia, Sudan, Iran, Syria, China “Even as the FBI continues its investigation into the cyber-attack against Sony Pictures Entertainment, these steps underscore that we will employ a broad set of tools to defend U.S. businesses and citizens, and to respond to attempts to undermine our values or threaten the national security of the United States,” Treasury Sec. Lew says in statement.

That this action is so stupid no amount of commentary would possibly do it justice is quite clear, which is why we patiently await North Korean TV to escalate its comedic feud with the “monkey in a tropical jungle.” Perhaps the only silver lining is that Obama did not launch a nuclear attack on Pyongyang outright, although there is still a 2 year period until January 2017. And anything goes, especially once the NSA fabricates another YouTube clip.

Read more …

“The truth is not being aired in the West. It’s a surreal perversion of history that’s going on once again, as in Bush pre-Iraq ‘WMD’ campaign.”

Oliver Stone’s New Movie: “Ukraine: The CIA Coup” (Zero Hedge)

From Oliver Stone’s Facebook page: Excuse my absence these past weeks. A combination of overwork, prepping the Snowden movie in Germany & England, a side trip to Moscow, and a devastating head cold have laid me low. Recovering over Christmas in California; winter sun helps. Interviewed Viktor Yanukovych 4 hours in Moscow for new English language documentary produced by Ukrainians. He was the legitimate President of Ukraine until he suddenly wasn’t on February 22 of this year. Details to follow in the documentary, but it seems clear that the so-called ‘shooters’ who killed 14 police men, wounded some 85, and killed 45 protesting civilians, were outside third party agitators.

Many witnesses, including Yanukovych and police officials, believe these foreign elements were introduced by pro-Western factions – with CIA fingerprints on it. Remember the Chavez ‘regime change’/coup of 2002 when he was temporarily ousted after pro and anti-Chavez demonstrators were fired upon by mysterious shooters in office buildings. Also resembles similar technique early this year in Venezuela when Maduro’s legally elected Government was almost toppled by violence aimed at anti-Maduro protestors. Create enough chaos, as the CIA did in Iran ‘53, Chile ‘73, and countless other coups, and the legitimate Government can be toppled. It’s America’s soft power technique called ‘Regime Change 101.’

In this case the “Maidan Massacre” was featured in Western media as the result of an unstable, brutal pro-Russian Yanukovych Government. You may recall Yanukovych went along with the February 21 deal with opposition parties and 3 EU foreign minsters to get rid of him by calling for early elections. The next day that deal was meaningless when well-armed, neo-Nazi radicals forced Yanukovych to flee the country with repeated assassination attempts. By the next day, a new pro-Western government was established and immediately recognized by the US (as in the Chavez 2002 coup). A dirty story through and through, but in the tragic aftermath of this coup, the West has maintained the dominant narrative of “Russia in Crimea” whereas the true narrative is “USA in Ukraine.”

The truth is not being aired in the West. It’s a surreal perversion of history that’s going on once again, as in Bush pre-Iraq ‘WMD’ campaign. But I believe the truth will finally come out in the West, I hope, in time to stop further insanity. For a broader understanding, see Pepe Escobar’s analysis “The new European ‘arc of instability,’” which indicates growing turbulence in 2015, as the US cannot tolerate the idea of any rival economic entity. You might also see “Untold History” Chapter 10 where we discuss the dangers of past Empires which did not allow for the emergence of competing economic countries.

Read more …

No surprise here.

China Zombie Factories Kept Open To Give Illusion Of Prosperity (FT)

In the shadow of a group of enormous smokestacks and abandoned foundries, a peeling sign welcomes visitors to the Wenxi Steel Industrial Park. But in the nearby village, the working-age men and many of the women have gone, leaving only the elderly and the very young. ‘If you cut down the big tree, all the small trees around it will die’, says 69-year-old Wang Peiqing, referring to the collapse of Highsee Iron and Steel Group, which operated the foundries before its recent closure devastated the economy of a once-prosperous corner of Shanxi province in central China. The entire region relied on the steel mill; now the young people have to go and look for work across China.

Highsee stopped paying its 10,000 employees six months ago. Local officials estimate the plant supported indirectly the livelihood of about a quarter of Wenxi county s population of 400,000. Highsee was the biggest privately owned steel mill in Shanxi, accounting for 60 per cent of Wenxi s tax revenues. For those reasons, the local government was reluctant to allow the company to go out of business, even though it had been in serious financial difficulties for several years. By 2011 Highsee was already like a dead centipede that hadn t yet frozen stiff with rigor mortis, says one official. More than half the plant shut down, but it was still producing steel even though its suppliers wouldn’t deliver anything without cash up front and it was drowning in debt.

Across the vast expanses of China, similar experiences are playing out, with thousands of companies in heavy industrial sectors plagued by chronic overcapacity that should be going bust instead being propped up by local governments. With enormous power over courts, state-owned banks and local administrative departments, Communist party officials across China are prepared to go to great lengths to support the biggest failing employers in their jurisdictions. It was only last month, four years after Highsee began to flounder, that the company was finally allowed by the government to initiate bankruptcy proceedings.

In the past month alone Chinese media have reported on at least nine large steel mills that appeared to be suspended in limbo after halting production but which are forbidden from going formally bankrupt. There are large numbers of companies across China that should go bankrupt but haven’t done so, says Han Chuanhua, a bankruptcy lawyer at Zhongzi Law Office, a Beijing legal practice. The government doesn’t want to see bankruptcy because as soon as companies go bust, unemployment spikes and tax revenues disappear. By stopping companies from going bankrupt, officials are able to maintain the illusion of local prosperity, economic growth and stable taxes.

Read more …

“.. the Fed is committed to sending its interest rate change messages by pony express to speculators who operate in the nano-second based cybersphere of modern trading technology. It’s not even a contest; its a bad joke which showers the 1% with stupendous windfalls.”

Why The Stock Market Casino Is Dangerous: Looney Tunes And Sand Dunes (Stockman)

On August 4th the Wall Street Journal carried a breathless tale of how a handful of obscure oilfield suppliers were striking immense riches in the sand dunes of Wisconsin. Owing to the “shale revolution”, the stock price of an outfit that had originated in the stagnating business of supplying sand traps to golf courses, and which had been at death’s door as recently as 2011, had gone parabolic. Emerge Energy Services (EMES) presently traded at $145 per share, reflecting a red hot gain of 8.5X over its $17 IPO price fifteen months earlier. In a literal sense, silicon valley had come to the silicon dunes of Lake Michigan, as reflected in EMES’ valuation at 43X its LTM earnings.

Given the fact that EMES’ share price had most recently risen by $100 or $2.5 billion of market just since January 2014, the “momo” story was self-evidently all about upside growth, not current profits or cash flow. In fact, during its 14 quarters as a public filer, EMES had generated negative $50 million of operating cash flow after CapEx. So at a total enterprise value of $3.7 billion, the punters chasing the stock straight up the parabolic curve would seemingly have anticipated some stupendous growth indeed. Except……except they had no idea about EMES’ sustainable growth potential and didn’t care because the buyers were robots, day traders and flavor-of-the-month hedge funds.

They were piling into the stock of a company selling a form (white sand) of the second most abundant low-value commodity on planet earth for no other reason than Emerge Energy Services was another momo play on steroids. The “price action” was the investment thesis. Yet this typical momo “rip” had occurred not out of the natural elements of human greed and capitalist enterprise, but because the stock market has been destroyed by the Fed. That is, the combination of ZIRP and wealth effects “puts” have eviscerated all of the checks and balances that contain and modulate speculation in honest free markets. On the one hand, Fed policy has massively subsidized momo speculators in two powerful ways.

First, most of them operate through the options markets or employ other forms of heavy, short-term position leverage. Accordingly, their “carry” cost is close to zero, and their position leverage can be continuously rolled-over without risk. That’s because the Fed’s foolish commitment to “transparency” in pegging its policy rate means that speculators are in the catbird seat. In effect, the Fed is committed to sending its interest rate change messages by pony express to speculators who operate in the nano-second based cybersphere of modern trading technology. It’s not even a contest; its a bad joke which showers the 1% with stupendous windfalls.

Read more …

Sand ‘producers’? Is that like water producers?

As Oil Price Drops, Good Times Run Out for Sand Producers (WSJ)

“This isn’t our first rodeo” has become a catchphrase among oil-industry executives who are laying off workers and dialing back spending in the wake of tumbling crude-oil prices. But for many sand producers, this is their first time on the bucking bronco that is the cyclical energy business—and not all of them are ready for the wild ride, industry analysts say. Sand is an important ingredient in hydraulic fracturing, or fracking, which has pushed American oil output above 9 million barrels a day, rivaling the production of Saudi Arabia or Russia. Sand companies’ biggest customers used to be golf courses and glass manufacturers, but the oil boom brought energy clients to their door and now roughly 60% of business is tied to fracking, according to PacWest Consulting Partners, which forecasts sand demand.

Now that oil prices have fallen, many fracking companies are retrenching—and that is bad news for sand producers. Earlier this fall PacWest projected sand use would grow by 20% each year in 2015 and 2016. But following the plunge in oil prices, PacWest now expects sand demand to stay flat. Meanwhile, new sand mines could add another 10% on top of the existing pile, creating a glut and pushing down prices, said Samir Nangia, a principal of PacWest. Global oil prices have plunged 50% since June, as the surging supply—thanks to fracking—collided with lackluster world-wide demand for fuel this fall.

With their revenue threatened, oil drillers and fracking companies are under tremendous pressure to dial down their spending and the companies they buy sand from will be easy targets, said Karen Nickerson, an energy analyst at Moody’s. “They’re going to push on who they can,” she said. U.S. Silica Holdings Inc., which operates sands mines in Wisconsin, Illinois and Oklahoma, says it is still expecting to grow in 2015, said chief executive Bryan Shinn. Even if oil companies drill fewer wells next year, they are increasing the amount of sand they use per well, he said. “This is providing us with a backstop,” said Mr. Shinn, adding that job cuts aren’t in the cards for his company. “We’re not even talking about that. If anything we might be looking to add jobs as opportunities arise.”

Read more …

Big collapse coming.

The ‘Shock’ That Awaits Pensioners At Retirement (BBC)

The next generation of Americans to hit retirement will be ‘shocked’ when they find out how little they have to live on. A former Assistant Secretary of the Treasury warns that the US government is standing idly by. “We need to do something, we’re not doing anything,” she says. Professor Alicia Munnell, who is now director of Boston College’s Centre for Retirement Research, tells BBC World Service’s In the Balance programme that most Americans’ voluntary 401(k) pension schemes are seriously under-funded. In a new book, Falling Short, she says the only answer is to work longer and save more. But it is part of a bigger global pensions gap between what is needed to fund pensions and what is actually available in private and public pension pots.

America’s 401(k) was introduced in 1978 as a tax-efficient way of encouraging individual citizens to save for retirement. But the average 401(k) fund, to which individuals and employers contribute, stands at $111,000. That’s about enough to provide just $400 (£256) a month in retirement. On the streets of New York, we questioned people on how confident they were about their retirement income. “I’d say fairly-to-very confident,” says Mark, aged 53 from Boston. “I think we’ve done our part, put as much dough aside as possible. “In the next five to seven years we should be able to save even more – we’ll have to.”

However, Prof Munnell says the first retirees who are going to rely solely on their 401(k) are going to be “stunned” at how little that average $111,000 balance provides them in terms of monthly income. “People are going to be shocked,” she says. Hannah, a 31-year-old New Yorker says: “I think it is getting to the point now in the economy where people my age are going to have to work until they die. “I don’t think social security is going to be able to do anything by the time I retire.” While Prof Munnell says that there will always be some kind of safety net in the US, “we need to put more money in to maintain current benefit levels”.

Read more …

And that collapse comes to you courtesy of Congress and Wall Street.

Michael Hudson: The War on Pensions – The US Budget Anti-Pension Law (NC)

On the Senate’s last day in session in December, it approved the government’s $1.1 trillion budget for coming fiscal year. Few people realize how radical the new U.S. budget law was. Budget laws are supposed to decide simply what to fund and what to cut. A budget is not supposed to make new law, or to rewrite the law. But that is what happened, and it was radical. Wall Street’s representatives in Congress – the Democratic leadership as well as Republicans – took the opportunity to create an artificial crisis. The press called this “holding the government hostage.” The House – backed by the Senate – said that it would shut the government down at some future date if two basic laws were not changed. Most of the attention has been paid to Elizabeth Warren’s eloquent attack on the government guaranteeing bank trades in derivatives.

Written by Citigroup lobbyists, this puts taxpayer funds behind future bank bailouts if banks make more bad bets on complex financial derivatives, such as packaged junk mortgage loans. Critics have focused on how there must be a loser for every winner in a derivatives contract. The problem is that if banks lose, the government will bail them out just as it did in 2008. Less attention has been paid to what happens if banks win. They will win largely in making bets against pension funds. Indeed, pension funds have not been treated well by Wall Street in recent years. They are in a bind. Pension funds will fall further and further behind what theyneed to pay retirees if they do not make the impossibly high returns of 8.5%.

The guiding philosophy of pension funds has been that instead of making employers pay enough to cover the pensions they have promised, funds can make money purely financially – by Wall Street sharpies. The problem is that safe interest rates today are less than 1% for Treasury bonds. Everyithing else – stocks, corporate bonds, and hedge fund derivatives – are much more risky. And when Goldman Sachs, or JPMorgan Chase draw up a derivative for a client, their aim is to make money for themselves, not for the client. So pension funds have been at the losing end. Most funds would have done better simply to turn their money over to Vanguard in an indexed fund, and saved management fees.

At the state and local levels, pension funds in New Jersey and other states threaten to go the way of Detroit pension funds – to be cut back so that bondholders can be paid. Many corporate pension funds also are behind, because companies are using their record profits to pay higher dividends and to buy back their stocks to create price gains for speculators. But the funds most under attack are union pension funds. These are the funds that Congress has gone after. The fight is not merely to scale back pension funds – and avoid the government’s Pension Benefit Guarantee Corp (PBGC) being bailed out – but to break the power of unions to attract members or to defend them.

Read more …

And wouldn’t you know, some try to attribute this to ‘increased confidence’.

New Consumer Debt Reaches Seven-Year High In UK (Guardian)

Consumer helplines have sounded a warning after Britons ran up their highest level of new debt in November for nearly seven years, with the month’s borrowing on credit cards, loans and overdrafts hitting more than £1.25bn. National Debtline and Ste%hange said the figures from the Bank of England showed a worrying rise in consumers’ reliance on credit, and warned they expected a rush of people seeking help when the first credit card bills of the year started to arrive. Banks and credit card companies have been jostling for business with offers to attract new customers: loan rates have plummeted while balance transfer deals on credit cards have become increasingly generous. The £150bn UK credit card industry is to come under investigation this month by the Financial Conduct Authority over accusations of aggressive marketing after the watchdog suggested it had been pushing “payday loans with plastic”.

The £1.25bn net increase in unsecured borrowing during November was the biggest rise since February 2008, when Northern Rock was nationalised as the credit crunch took hold. It was the third month out of five that consumers had taken on more than £1bn of new debt. More than £980m was taken out in loans and overdrafts during the month, sharply up from the monthly average of £728m over the previous six months. Credit card lending fell to £269m, from £399m in October, but remained above the average for the previous six months. The Bank of England said over the course of three months unsecured lending had grown at its most rapid pace since October 2005, and in November was up 6.9% compared with November 2013. Howard Archer, chief UK economist at IHS Economics, said the surge in retail sales around Black Friday was probably linked to the increase in borrowing – retail experts IMRG estimated £810m was spent online during the promotional day – but he added there were also likely to be other factors behind the rise in debt.

“Relatively high consumer confidence means people have become more prepared to borrow in recent months,” he said. “It also may well be that a significant amount of people have recently been borrowing more due to the squeeze on their purchasing power coming from extended low earnings growth.” The shadow consumer minister, Stella Creasy, said the UK had a “massive looming personal debt crisis” and many households were being forced to borrow to fund living costs. “They’re not buying big fancy TVs and posh holidays – they are borrowing to cover the gap between what they earn and what they need to pay for each month,” she said. Creasy said there was a “big gaping hole at the heart of our economy” being fuelled by borrowing, and tackling problem personal debt needed to be a political priority.

Read more …

In the US, it’s already taken over the government.

Right Wing In Europe Could Bring ‘Turmoil’ (CNBC)

European leaders have joined forces to warn of the rise of right-wing political movements on the continent, amid fears of “unrest and political turmoil” in the region if their growth goes unchecked. Speaking in her traditional New Year’s address, German Chancellor Angela Merkel warned against right-wing populism and criticized recent anti-Islamic protests in the country, saying they were driven by prejudice and a hatred of foreigners. And Merkel is not the only leader aware of rise of the right among voters across Europe. Merkel’s counterparts in France and Italy have both made recent comments about the unpalatable prominence of populist movements in their countries. In their new year addresses, French President Francois Hollande attacked what he called “dangerous” populist movements, and Giorgio Napolitano, the 89 year-old outgoing Italian President, warned there was “nothing more unrealistic or dangerous” than calls for Italy to leave the euro zone.

As well as opposing immigration, many of these movements also campaign against the European Union (EU) and the single currency union, the euro zone. Examples include the Alternative for Germany (AfD) and the U.K. Independence Party (UKIP), both of which have positioned themselves as euroskeptic alternatives to the mainstream parties. But more extremist right-wing groups are also gaining in popularity in some countries, with Golden Dawn in Greece getting a boost from anger at the country’s rising unemployment and tough austerity policies, implemented as part of economic reforms. The party is often described as neo-Nazi, although it rejects this label. In countries like France, where growth remains anaemic, the political elite could face real problems from parties like the National Front, Howard Goldring, managing director of Delmore Asset Management, warned.

“The National Front is doing quite well and they are playing on popular fears (over immigration and the economy),” he told CNBC on Friday. “It’s clear that France really has problems and the economy could slow down further and, therefore, you can expect more unrest and political turmoil.” The party’s current leader, Marine Le Pen, has tried to clean up the party’s image after taking over from her father Jean-Marie Le Pen, who made several anti-Semitic comments during his tenure of the party. It comes amid growing concerns about Europe’s tentative economic recovery. Eurozone GDP grew by just 0.2% in the third quarter, on the previous quarter, and inflation remained subdued at 0.3% in November on the back of a lower oil price.

Read more …

They still recall more than they produce?!

General Motors: A New Year, A New Series Of Recalls (Reuters)

General Motors began the new year by announcing three new vehicle recalls on Thursday, as the ignition switch crisis continued to dog the automaker after millions of vehicles were recalled in 2014. No crashes or injuries were reported in the latest round of recalls involving 83,572 sport-utility vehicles and pickup trucks. GM expects that fewer than 500 will be affected by the defect, an ignition lock actuator with an outer diameter that exceeds specifications. Still, the issue could spook consumers and investors. Ignition system problems were behind the record number of recalls made in 2014 by GM, which has struggled to rebuild its reputation following its 2009 bankruptcy. The recalls hit GM’s share price, which fell 14.6% during 2014, a year in which shares of rival Ford rose about 0.5%.

GM recalled more than 2.5 million vehicles in 2014 after accidents that caused more than 40 deaths. The compensation program, which is accepting claims until Jan. 31, has received more than 2,200 claims for injuries and deaths as a result of the issue. In the primary recall announced on Thursday, the outsized ignition lock actuator can lead to the ignition key getting stuck in the “start” position. If the vehicle is driven that way and experiences a “significant jarring event,” the ignition lock cylinder could move into the “accessory” position, affecting engine power, power steering and power braking. “Also, the timing of the key movement into the accessory position relative to crash sensing could result in the air bags not deploying in certain crashes,” company spokesperson Alan Alder said in a statement.

Read more …

“Investigators say they would have uncovered even more abuses if Petrobras hadn’t refused to provide key documents.”

Failure To Stop Petrobras Scandal Could Haunt Brazil’s Rousseff (Reuters)

When federal investigators first identified signs of corruption at Petrobras in 2009, Dilma Rousseff insisted Brazil’s state-run oil company had nothing to hide. “Petrobras has one of the most accurate accounting standards in the world,” said Rousseff, who was then chairwoman of its board and is now Brazil’s president. “If it wasn’t the case, investors would not be seeking out the company as one of the great investment targets.” Today, it’s clear her confidence was misplaced. Petrobras now acknowledges it overpaid on contracts for years. Prosecutors say engineering firms paid bribes to win Petrobras contracts, systematically overcharged it to the tune of billions of dollars and funneled a cut of the money to corrupt executives, vendors and political parties, including Rousseff’s ruling Workers’ Party.

A Reuters review of a 2009 federal investigation of Petrobras, and interviews with those who conducted it, indicates Rousseff missed opportunities to stop the graft before it erupted into a crisis so big it could push Brazil’s slow-growing economy back into recession next year. Rousseff says she did not know about the corruption, or participate in it, when she was Petrobras’ chairwoman from 2003 to 2010. Opposition leaders say they believe her and that she is unlikely to face impeachment. Polls show her popularity has suffered only slightly. Still, she faces mounting scrutiny over whether she did enough to halt the corruption at Brazil’s biggest company by revenue. The scandal could haunt her in her second term as president, which began on Thursday.

Petrobras’ stock has fallen nearly 50% in the last six months and its market value is down more than 80% from its peak in 2008. Two top former executives and three dozen other suspects allegedly involved in the scheme have been indicted. The accounting standards that Rousseff praised are now in such disrepute that independent auditors have refused to certify Petrobras’ quarterly results because, pending further investigation, they are unable to put a value on its assets.

Records from the Federal Audits Court, or TCU, show that investigators detected widespread over-charging on contracts and irregular tendering practices at major Petrobras projects. They included the Abreu e Lima refinery in northeast Brazil, the biggest single investment project in Petrobras’ history. The TCU advised both the government and Petrobras’ directors in a report that was sent directly to Rousseff and her board. Investigators say they would have uncovered even more abuses if Petrobras hadn’t refused to provide key documents. The TCU’s findings were “a clear warning sign of bigger problems and likely corruption,” Saulo Puttini, who was one of the auditing officials, told Reuters. “What’s happening now is not a surprise to us at all.”

Read more …

“.. if they can’t have the run of the place, they make sure that nobody else can either, by setting up a conflict scenario that nobody there can ever hope to resolve.”

The Imperial Collapse Playbook (Dmitry Orlov)

Some people enjoy having the Big Picture laid out in front of them—the biggest possible—on what is happening in the world at large, and I am happy to oblige. The largest development of 2014 is, very broadly, this: the Anglo-imperialists are finally being forced out of Eurasia. How can we tell? Well, here is the Big Picture—the biggest I could find. I found it thanks to Nikolai Starikov and a recent article of his. Now, let’s first define our terms. By Anglo-imperialists I mean the combination of Britain and the United States. The latter took over for the former as it failed, turning it into a protectorate. Now the latter is failing too, and there are no new up-and-coming Anglo-imperialists to take over for it.

But throughout this process their common playbook had remained the same: pseudoliberal pseudocapitalism for the insiders and military domination and economic exploitation for everyone else. Much more specifically, their playbook always called for a certain strategem to be executed whenever their plans to dominate and exploit any given country finally fail. On their way out, they do what they can to compromise and weaken the entity they leave behind, by inflicting a permanently oozing and festering political wound. “Poison all the wells” is the last thing on their pre-departure checklist.

• When the British got tossed out of their American Colonies, they did all they could, using a combination of import preferences and British “soft power,” to bolster the plantation economy of the American South, helping set it up as a sort of anti-United States, and the eventual result was the American Civil War. • When the British got tossed out of Ireland, they set up Belfast as a sort of anti-Ireland, with much blood shed as a result. • When the British got tossed out of the Middle East, they set up the State of Israel, then the US made it into its own protectorate, and it has been poisoning regional politics ever since. (Thanks to Kristina for pointing this out in the comments.) • When the British got tossed out of India, they set up Pakistan, as a sort of anti-India, precipitating a nasty hot war, followed by a frozen conflict over Kashmir. • When the US lost China to the Communists, they evacuated the Nationalists to Taiwan, and set it up as a sort of anti-China, and even gave it China’s seat at the United Nations.

The goal is always the same: if they can’t have the run of the place, they make sure that nobody else can either, by setting up a conflict scenario that nobody there can ever hope to resolve. And so if you see Anglo-imperialists going out of their way and spending lots of money to poison the political well somewhere in the world, you can be sure that they are on their way out. Simply put, they don’t spend lots of money to set up intractable problems for themselves to solve—it’s always done for the benefit of others.

Read more …

That bad is bad.

South Australia ‘Incredibly Dangerous’ Wildfires Worst Since 1983 (Bloomberg)

Wildfires raging east of South Australia’s capital Adelaide are the worst the region has seen in more than 30 years, damaging homes and prompting the government to warn of “incredibly dangerous” conditions. A major emergency was declared as South Australia Premier Jay Weatherill today urged residents to leave areas threatened by fires burning out of control for a second day. Blazes have also broken out in neighboring Victoria state. “It could be a catastrophic decision to leave late,” Weatherill said in a news conference broadcast on Sky TV. “We’re dealing with an incredibly dangerous fire” in and around the southern Mount Lofty Ranges, he said.

Conditions in the area are the worst since 1983, when 75 people in the two states died in what became known as the Ash Wednesday fires, South Australia Police Commissioner Gary Burns said at the news conference. Temperatures rose over central Australia in the past week and winds are pushing that hot air south, the Bureau of Meteorology said in a statement yesterday. It forecast temperatures of more than 40 degrees Celsius (104 degrees Fahrenheit) across the southern part of the country. The nation’s hot, dry climate makes wildfires a major risk in the southern hemisphere’s summer. In February 2009, bushfires across Victoria killed 173 people and destroyed 150 homes in the worst blazes in Australian history.

Read more …