May 302020
 


Edward Hopper Folly Beach, Charleston, South Carolina 1929

 

Protests Spread Nationwide: Minnesota Curfew, White House Locks Down (JTN)
Unsanitized: Social Unrest When There’s Nothing to Lose (Dayen)
Trump Orders His Administration To Begin Eliminating Hong Kong Privileges (R.)
Trump Says US To Withdraw From WHO. Does He Have The Authority To Do It? (NPR)
Twitter Targets Trump Again, Flagging Tweet After Executive Order (SAC)
Coronavirus Sinks US Consumer Spending As Savings Hit Record High (R.)
Investors Eye Consumer Discretionary Stocks As US Reopens (R.)
A Chronicle of a Lost Decade Foretold (Varoufakis )
Malaria Drug And Zinc, The Missing Link (Berry)
Australian Anti-Vaxxers Label COVID19 a ‘Scam’ At Anti-5G Protests (AAP)
States Are Copying & Pasting Immunity Laws For Nursing Home Execs (Sirota)
De Blasio Ramps Up Destruction Of Homeless Encampments (Gothamist)
No One Knows Where Ghislaine Maxwell Is (Esq.)

 

 

The conversation has shifted away from corona for now. Is that a good thing?

Total global cases pass 6 million as daily new cases set another record at 125,511.

New cases past 24 hours in:

• US + 25,069
• Brazil + 30,739
• Russia + 8,952
• UK 4,938
• India + 8,105
• Peru + 6,506
• Chile + 4,654

 

 

 

Cases 6,054,777 (+ 122,597 from yesterday’s 5,932,180)

Deaths 367,288 (+ 4,674 from yesterday’s 362,614)

 

 

 

 

 

From Worldometer yesterday evening -before their day’s close-:

 

 

From Worldometer:

 

 

From SCMP:

 

 

From COVID19Info.live:

 

 

 

 

 

 

Two sides prone to violence.

Protests Spread Nationwide: Minnesota Curfew, White House Locks Down (JTN)

The anger over George Floyd’s death in Minneapolis police custody fueled intense protests coast to coast Friday night, as activists ignored a Minnesota curfew to set new fires while the White House temporarily locked down over security concerns just outside its gates. The arrest and murder charges filed earlier in the day against the police officer who allegedly knelt on Floyd’s neck did little to quell a swelling rage that drove protests in cities as diverse as New York and San Jose. In Atlanta, protesters spray-painted sayings and broke windows at CNN’s headquarters while tense officers in Brooklyn borough lined up to keep angry, chanting protesters from straying from street protests toward business.


The Secret Service on Friday evening put the White House on brief lockdown, sheltering reporters inside the press room, as several videos on social media showed unruly protesters outside of the Treasury Department, adjacent to the heavily fortified White House, and large groups of protesters walking from the city’s historically black U Street neighborhood chanting, “No peace, no justice.” The protests started Tuesday in Minneapolis, where weary residents and officers faced a fourth night of violence, rioting and fire setting. The Minnesota governor activated the national guard and a strict curfew for 8 p.m. was imposed in the Twin Cities, but it failed to keep large numbers of protesters from taking to the streets anew.

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“..that’s the same brutality..”

Unsanitized: Social Unrest When There’s Nothing to Lose (Dayen)

There’s a reason that Spike Lee set Do the Right Thing on the hottest day of the year in Brooklyn. The pressure from the heat simmered through the community and created sparks that ignited existing tensions. There was a triggering event, which led to a police chokehold and the death of Radio Raheem, and the destruction of Sal’s Pizzeria. The weather was the backdrop as events played out. That was 1989 and it couldn’t be more relevant right now. The death of George Floyd is obviously unforgivable on its own terms. There doesn’t need to be any context. Unreformed police murder in communities of color has been part of America since well before I was born. I have nothing to comment on about looters—at least eight people sent me this Onion headline, “Protestors Criticized For Looting Businesses Without Forming Private Equity Firm First.” (I guess my reputation precedes me.)

I can’t say anything about the burning of the 3rd police precinct. And I have a lot to say about the great misfortune of having Donald J. Trump in a leadership position during this moment, but most of it would be curse words. Decades of disinvestment and routinized brutality and structural racism created these conditions. The officer who killed George Floyd had enough history of violence alone to contribute mightily to this rage. (And yes, Amy Klobuchar declined to prosecute him and many others for these crimes.) But you cannot separate this outpouring of anger from two months of death, economic collapse, and the disproportionate pain raining down right now on communities of color.

Decades of environmental racism have created toxic vectors for spreading the virus; that’s the same brutality. Minority small business owners have had a harder time securing federal aid, owing to more distant relationships with local banks; that’s the same brutality. African Americans are more likely to be in “essential” jobs and unable to work from home and protect themselves; that’s the same brutality. They’re more likely to be in prisons under perhaps the worst conditions of this crisis; that’s definitely the same brutality. “Black Americans are 80 percent more likely than white people to have diabetes,” which puts them at higher risk from COVID-19; that’s the same brutality. Lack of decent food in communities of color, and access to healthcare, and the ability to rent enough space in shelter to physically distance—this is all brutality against a people, manifested today but going back 400 years.

When you are either out of work or on a hair trigger because you know you’re risking your life by going to work; when your business can’t get a bridge loan and you know everything you worked for is about to be extinguished; when you’re cut off from your friends and neighbors; when your source of sustenance is the food bank; when you have nothing to lose, and then on television you see a black man with his neck wedged between a police officer’s knee and the pavement until he chokes, and you hear he died in police custody after pleading “I can’t breathe,” and you remember how those words were spoken by Eric Garner, and you hear that the man was in custody for using counterfeit money and you don’t think that’s a sufficient reason to kill somebody, and you recall that the Minneapolis Police Department has had a really ugly history with the black community for a long time, and when you exhale a little because the cops involved were fired but then the local prosecutor says this murder of a black man doesn’t merit prosecution… what results from this injustice should meet your expectations.

Read more …

It boils down to: how big of a threat is China? Opinionsvary.

Trump Orders His Administration To Begin Eliminating Hong Kong Privileges (R.)

U.S. President Donald Trump said on Friday he was directing his administration to begin the process of eliminating special treatment for Hong Kong, in response to China’s plans to impose new security legislation in the territory. Trump made the announcement at a White House news conference, saying China had broken its word over Hong Kong’s autonomy. He said its move against Hong Kong was a tragedy for the people of Hong Kong, China and the world. “We will take action to revoke Hong Kong’s preferential treatment,” he said, adding that the United States would also impose sanctions on individuals seen as responsible for smothering Hong Kong’s autonomy.


Trump’s move follows Chinese plans to impose new national security legislation on the former British colony. Secretary of State Mike Pompeo has said the territory no longer warrants special treatment under U.S. law that has enabled it to remain a global financial center. Trump said he was directing his administration to begin the process of eliminating policy agreements on Hong Kong, ranging from extradition treatment to export controls. He said he would also issue a proclamation on Friday to better safeguard vital university research by suspending the entry of foreign nationals from China identified as potential security risks.

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The WHO has failed/refused to reform the way Trump asked them to.

Trump Says US To Withdraw From WHO. Does He Have The Authority To Do It? (NPR)

President Trump has announced that he is immediately halting the decades-long U.S. membership in the World Health Organization over its response to China’s handling of the coronavirus epidemic. In a press briefing Friday at the White House, Trump said, “We will be today terminating our relationship with the World Health Organization and redirecting those funds to other worldwide and deserving urgent global public health needs.” Trump said the decision came because WHO has “failed to make” reforms the U.S. requested. Last week, Trump sent a letter to WHO’s director-general, Tedros Adhanom Ghebreyesus, outlining his views on how the agency favors China and asking the organization to “commit to major substantive improvements within the next 30 days.”

It’s not clear what specific reforms the U.S. has requested, because those discussions have not been made public. Nor did Trump say why he acted on the threat after one week rather than waiting a month. The U.S. was a major force in founding WHO in 1948 and is the organization’s top funder, providing around $450 million a year, according to Trump. The level of funding the U.S. provides to WHO has been a sore spot for Trump, who complained at the briefing that the U.S. pays significantly more than China but does not wield more power in the agency. Global health experts said the president’s choice to leave the global health governing body during a pandemic is a dangerous call.

“This decision is really so short-sighted and ill-advised, and all it does is put American lives at risk,” said Dr. Howard Koh, former assistant secretary for health in the Obama administration and now a professor at Harvard’s T. H. Chan School of Public Health. “I disagree with the president’s decision,” said Sen. Lamar Alexander, R-Tenn., chairman of the Senate Health, Education, Labor and Pensions Committee, in a statement after the announcement. “Withdrawing U.S. membership could, among other things, interfere with clinical trials that are essential to the development of vaccines, which citizens of the United States as well as others in the world need. And withdrawing could make it harder to work with other countries to stop viruses before they get to the United States.”

It’s questionable whether the president can make a unilateral decision to withdraw from WHO. “It is an overreach of his constitutional powers,” said Larry Gostin, director of the O’Neill Institute for National and Global Health Law at Georgetown University. Gostin said he believes that the president may need congressional approval to terminate U.S. membership in the U.N. agency. “The only situation where he can do this is if Congress had agreed beforehand to give these powers to the president,” said Kelley Lee, a professor of public health at Simon Fraser University. “It is the role of legal advisers to inform the president on what authority he can exert. He is either not receiving good advice or not listening to it.”

Read more …

Thugs, huh?

Twitter Targets Trump Again, Flagging Tweet After Executive Order (SAC)

Twitter flagged and hid a tweet posted by President Donald Trump’s early Friday morning after the president signed an Executive Order challenging the growing political bias in tech companies, whose platforms are meant to be neutral. Trump’s tweet was in response to the growing unrest and rioting in Minnesota, in response to the horrific death of George Floyd while in police custody. Thursday night the situation in Minneapolis escalated again when rioters overran a police precinct, forcing police officers, who were told not to respond by city officials, to evacuate before it was burned to the ground.

Trump signed the Executive Order Thursday aimed at social media giants he says, have been operating as biased publishers rather than platforms for free speech. Trump tweeted that these “THUGS are dishonoring the memory of George Floyd, and I won’t let that happen. Just spoke to Governor Tim Walz and told him that the Military is with him all the way. Any difficulty and we will assume control but, when the looting starts, the shooting starts. Thank you!”

The National Guard was sent to assist local authorities in containing the rioting. Earlier the president criticized the city’s mayor, who ordered the evacuation of the precinct saying, “the very weak radical left mayor Jacob Frey” if he didn’t bring the city under control. In response, Twitter flagged the President’s tweet and attached a notice saying “we have placed a public interest notice on this Tweet from @realDonaldTrump.” The tweet is actually hidden from public view but can be viewed if the reader so chooses to click on it. “This Tweet violated the Twitter Rules about glorifying violence,” said Twitter. “However, Twitter has determined that it may be in the public’s interest for the Tweet to remain accessible.”

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Consumer spending is way down. Therefore, savings must be way up? is that so?

Coronavirus Sinks US Consumer Spending As Savings Hit Record High (R.)

U.S. consumers cut spending by the most on record for the second straight month in April while boosting savings to an all-time high, and the growing frugality reinforced expectations the economy could take years to recover from the COVID-19 pandemic. The report from the Commerce Department on Friday also showed an economy highly reliant on the government, with financial aid checks from a historic fiscal package worth nearly $3 trillion driving a record surge in personal income. Together with news that monthly exports collapsed, the report left economists anticipating the largest contraction in gross domestic product in the second quarter since the Great Depression. Data has also been dismal this month on the labor market, manufacturing production and homebuilding.

“Right now, the economy is totally dependent upon the largesse of the government,” said Joel Naroff, chief economist at Naroff Economics in Holland, Pennsylvania. “Will the federal government keep sending out checks or will the household and business welfare payments dry up?” The Commerce Department said consumer spending, which accounts for more than two-thirds of U.S. economic activity, plunged 13.6% last month, the biggest drop since the government started tracking the series in 1959. It eclipsed the previous all-time decrease of 6.9% in March.

[..] Personal income surged a record 10.5% last month. Without the government money, income would have declined 6.3% with business closures pushing wages down 8.0%. The unprecedented economic upheaval saw the saving rate hitting a record 33%. “If the economy reopens quickly without consequence, the millions who lost jobs are hired back and have no reason to fear they will lose their jobs again, these savings represent considerable spending power in the second half,” said Chris Low, chief economist at FHN in New York. “If it takes longer to reopen the economy, these savings will be used for sustenance over the next few months. They will limit the decline, but not fuel a sharp rebound.”

[..] In a second report on Friday, the Commerce Department said goods exports tumbled 25.2% to $95.4 billion in April, a 10-year low. The broad decline in exports was led by a 65.9% collapse in shipments of motor vehicles and parts. That outpaced a 14.3% tumble in imports. As a result, the goods trade deficit widened 7.2% to 69.7 billion last month. The larger goods trade deficit is likely a drag on second GDP, which economists expect could drop at as much as a 40% rate, a pace not seen since the 1930s. The economy contracted at a 5.0% annualized rate last quarter, the deepest pace of decline in GDP since the 2007-09 recession. Consumer spending tumbled at a 6.8% rate, the sharpest drop since the second quarter of 1980.

Read more …

Everyone buys Amazon, consumers and investors.

Investors Eye Consumer Discretionary Stocks As US Reopens (R.)

Investors are taking a closer look at the market’s consumer discretionary companies as a reopening U.S. economy fuels hopes of a turnaround for some of the sector’s hardest-hit names. Many companies in the sector have been battered by the country-wide coronavirus-fueled lockdowns that have weighed on growth and damaged retail spending over the last several months, though the stocks of a few, like Amazon, have soared. A gradual lifting of lockdowns in some states has stirred hopes for a bounce back for the retailers that make up much of the sector.Some investors, however, say it may be months before consumers return to their previous shopping habits, making it unlikely that the companies will see a pickup in revenues in the near term.

Firms ranging from middle-income retailers such as Gap Iand American Eagle Outfitters to high-end destinations like Tiffany & Co and Vail Resorts Inc are expected to report results in the week ahead. “This particular group is full of landmines,” said Jamie Cox, managing partner for Harris Financial Group. “There is not going to be a lot of investor follow-through until we get some certainty with what future revenue prospects are going to be.” Shares of the Gap, for instance, are down 43% for the year to date. A recession that persists through the fourth quarter of this year would reduce the company’s revenues by 40%, according to a note by research firm Trefis.

Next Friday’s U.S. jobs report is expected to show that the unemployment rate rose to 19.8% in May, smashing April’s record 14.7%, according to a Reuters poll. Non-farm payrolls are expected to drop by 7.4 million, adding to the 20.5 million jobs lost the previous month. Cox is focusing on dominant players such as Amazon.com Inc, Walmart Inc and Target Corp, which have a mix of essential items such as groceries as well as electronics and games that can appeal to customers who may face extended lockdowns during a potential second wave of the virus. Overall, retail companies in the S&P 500 are up 12.9% for the year to date, a gain powered largely by Amazon’s 31% rally. Apparel companies, by comparison, are down 16.2% over the same time.

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Yanis doesn’t want separate countries, though they are likely the best format in a pandemic. No, he wants globalization, just not the one we know. How practical is that?

A Chronicle of a Lost Decade Foretold (Varoufakis )

To exorcise my worst fears about the coming decade, I chose to write a bleak chronicle of it. If, by December 2030, developments have invalidated it, I hope such dreary prognoses will have played a part by spurring us to appropriate action. Before our pandemic-induced lockdowns, politics seemed to be a game. Political parties behaved like sports teams having good or bad days, scoring points that propelled them up a league table that, at season’s end, determined who would form a government and then do next to nothing. Then, the COVID-19 pandemic stripped away the veneer of indifference to reveal the political reality: some people do have the power to tell the rest of us what to do. Lenin’s description of politics as “who does what to whom” seemed more apt than ever.

By June 2020, as lockdowns began to ease, left-wing optimism that the pandemic would revive state power on behalf of the powerless remained, leading friends to fantasize about a renaissance of the commons and a capacious definition of public goods. Margaret Thatcher, I would remind them, left the British state larger, more powerful, and more concentrated than she had found it. An authoritarian state was necessary to support markets controlled by corporations and banks. Those in authority have never hesitated to harness massive government intervention to the preservation of oligarchic power. Why should a pandemic change that? As a result of COVID-19, the grim reaper almost claimed both the British prime minister and the Prince of Wales, and even Hollywood’s nicest star. But it was the poorer and the browner that the reaper actually did claim. They were easy pickings.

[..] Just as cathedrals were the Middle Ages’ architectural legacy, the 2020s left us tall walls, electrified fences, and flocks of surveillance drones. The nation-state’s revival made the world less open, less prosperous, and less free precisely for those who had always found it hard to travel, to make ends meet, and to speak their minds. For the oligarchs and functionaries of Big Tech, Big Pharma, and other megafirms, who got on famously with the strongmen in authority, globalization proceeded apace.

The myth of the global village gave way to an equilibrium between great-power blocs, each sporting burgeoning militaries, separate supply chains, idiosyncratic autocracies, and class divisions reinforced by new forms of nativism. The new socioeconomic cleavages threw the prevailing features of each country’s politics into sharp relief. Like people who become caricatures of themselves in a crisis, whole countries focused on their collective illusions, exaggerating and cementing pre-existing prejudices.

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Your daily dose of anti-remdesivir.

Malaria Drug And Zinc, The Missing Link (Berry)

Mystery surrounds why an anti-malaria drug is not being tested as a Covid-19 treatment in combination with zinc, which doctors say is crucial for efficacy. As we reported recently, President Trump revealed he was taking hydroxychloroquine (HCQ) alongside zinc after reports that many doctors are doing the same to help ward off Covid-19. Criticism of the President rose sharply after a non-randomised study published in the Lancet said that HCQ provided no benefit to hospitalised Covid-19 patients while being linked to increased deaths. What the mainstream media did not point out is that the Lancet study failed to test HCQ with zinc. Other experts have found zinc to be vital for efficacy in this context.

Zinc, available as an over-the-counter supplement, has long been seen as an immune-system booster that helps develop immune cells, or antibodies, and can strengthen the body’s response to a virus. American infectious disease specialist Joseph Rahimian explained that, in relation to Covid-19, zinc ‘does the heavy lifting and is the primary substance attacking the pathogen’. HCQ is said to work as a delivery systemfor zinc in fighting coronavirus. Ironically, the Lancet study came out at the same time as it was reported that India’s premier health body had expanded use of HCQ as a preventive for key workers following three studies showing positive results.

[..] ..a study by the New York University Grossman School of Medicine published this month [..] found that those receiving the triple-drug combination (HCQ, with azithromycin and, crucially, zinc) ‘were 44 per cent less likely to die, compared with the double-drug combination (i.e. without zinc)’. As the study notes:‘This study provides the first in vivo evidence that zinc sulfate in combination with hydroxychloroquine may play a role in therapeutic management for Covid-19.’ The above makes the question of why zinc was not used in the Lancet study more baffling. And why don’t the media note that the combination of zinc and HCQ is crucial?

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This sounds quite confused. “5G = communism”? Where do we start?

Yeah, 5G should be researched much more before it’s lanuched. But how can it turn COVID19 into a scam?

Australian Anti-Vaxxers Label COVID19 a ‘Scam’ At Anti-5G Protests (AAP)

Hundreds of anti-vaccination protesters have defied social distancing measures at rallies in Sydney, Brisbane and Melbourne. Protesters claiming the Covid-19 pandemic was a “scam” gathered at the Royal Botanic Gardens in Melbourne on Saturday, and carried signs declaring they were against vaccines and 5G technology. Their placards claimed “5G = communism”, “Covid 1984” and “our ignorance is their strength”. They booed police – clad in gloves and face masks – who warned the crowd that they were breaching social distancing rules designed to slow the spread of coronavirus. In a statement, police said those found in breach of Covid-19 directions faced fines of $1,652 each.


In Sydney, up to 500 protesters voiced conspiracy theories regarding not only vaccination but also 5G telecommunication networks, fluoride and large pharmaceutical corporations. The group convened at Hyde Park in the CBD before holding a singalong of anti-vaccination songs and walking to NSW Parliament House. They chanted “freedom of choice” and “my body, my choice” on the march, with some attempting to raise the spectre of a “new world order”. The walk passed without incident or police intervention. When asked about the protest, Victoria’s chief health officer, Brett Sutton, said “there’s no message that can get through to people who have no belief in science”. “There’s probably no reaching them,” he earlier told reporters.

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Hey, you wanted a for-profit medical system.

States Are Copying & Pasting Immunity Laws For Nursing Home Execs (Sirota)

To date, 19 states have enacted some form of immunity for the hospital and nursing home industries during the pandemic. In general, these new policies shield nurses, doctors and other frontline health care workers from liability when they are treating COVID patients. However, New York, Massachusetts and North Carolina go further: unlike other states, the identical language added to their laws explicitly define health care providers as including “a health care facility administrator, executive, supervisor, board member, trustee” or other corporate managers. That exact word-for-word clause appears in emergency legislation in all three states. In practice, it extends immunity to corporate officials who are not on the medical frontlines, but who are making life-and-death decisions across their companies.


“The new measures granting immunity to health care providers and professionals go well beyond protecting front-line workers from lawsuits — many also provide immunity to administrators who make unreasonable and dangerous, even lethal, decisions,” said Syracuse University law professor Nina Kohn. “New York, Massachusetts, and North Carolina take protection for corporate owners and executives to a whole new level by explicitly granting immunity to board members, trustees, and directors.” “This is extraordinary protection which is in no way in the public interest,” Kohn said. “These states are explicitly and unabashedly giving for-profit corporations and corporate executives the green light to make unreasonable decisions that put vulnerable people in imminent danger, and letting them know that they don’t have to worry about being held legally accountable for the avoidable human damage that results.”

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Teaching the poor another lesson will always trump the pandemic.

De Blasio Ramps Up Destruction Of Homeless Encampments (Gothamist)

Trudi and Rickey Reppi live in a tent on a triangular stretch of sidewalk between three lanes of traffic by the entrance to the Lincoln Tunnel. The tent serves as a headquarters of sorts for a community of homeless people and panhandlers. Dave, Rob, Richard, Russia, and Seven all often sleep outside, some on mattresses or chairs, some on cardboard and bundled-up clothing. Others drop by frequently throughout the day, accepting packaged meals Trudi and Rickey had picked up from an aid organization (“Homeless people help each other way more than anyone in these hundred thousand dollar cars ever help us,” Trudi says) or fanning out, cardboard signs in hand, to ask passing drivers for money for hours on end.

The police arrive at about 9 a.m, flanked by outreach and Sanitation workers forming a team of around a dozen city employees. Trudi and Rickey wearily begin the weekly routine of taking down their tent, bundling up all the possessions they can carry, and leaving everything else on the side of the street for the Sanitation workers to throw away. For years, Mayor Bill de Blasio’s administration has been sending joint teams of NYPD officers, Sanitation workers, and Department of Homeless Services staff to require that homeless people move from locations where they’ve set up shelter. The number of sweeps (also called “clean-ups”) per week has risen dramatically in the last six months, according to homeless people, advocates and case workers.

A DHS employee, who was not authorized to speak publicly, said that the team implementing the sweeps had increased last November from about 3 to about 40. The employee said that the clean-ups would be increasing to twice a week at most encampments; eventually, he suggested, homeless people would give in and accept shelter. Trudi says that she’s been subject to ten to fifteen sweeps in just the last three months. This count doesn’t include the nightly visits the NYPD has paid her in May, sending as many as nine police officers at 3 a.m. to demand that she take down her tent. “In my administration, we made a decision that from our point of view, it was unacceptable to have [a] single encampment anywhere in New York City and they had to be dismantled anytime they’re identified,” Mayor de Blasio said at a press conference earlier this month.

“And we’ve been doing that now for years and it’s really caused the encampments to become a rarity, but whenever we see a new one, we immediately take it down.” But the Center for Disease Control and Prevention has explicitly recommended against clearing encampments or displacing unsheltered homeless people during the pandemic. “If individual housing options are not available, allow people who are living unsheltered or in encampments to remain where they are,” the guidelines read. “Clearing encampments can cause people to disperse throughout the community and break connections with service providers. This increases the potential for infectious disease spread.”

Read more …

The Netflix series on Epstein brings her to our attention again.

Still No One Knows Where Ghislaine Maxwell Is (Esq.)

Though multiple survivors have alleged that Maxwell participated in Epstein’s alleged crimes, she’s never been criminally charged. One thing that could stymie potential efforts to level charges against Maxwell is the infamous 2008 plea deal that Epstein struck with the US Attorney for Miami, Alexander Acosta, which found him serving just 13 months in prison after initially facing charges that could have garnered him a life sentence. Jeffrey Epstein: Filthy Rich producer Joe Berlinger described the deal to Esquire as “unprecedented, unheard of sweetheart deal” that “included a non-prosecution agreement for named and unnamed co-conspirators.”

In April, an appeals court upheld the 2007 deal, writing in its opinion that the decision was “not a result we like, but it’s the result we think the law requires.” Maxwell is currently suing Epstein’s estate for money for her legal fees, and for the price of private security, alleging that her “prior employment relationship” with Epstein has caused to her be subjected to death threats. Though once a fixture of the global high-society, Maxwell has been spotted rarely in recent years. Last summer, she was photographed at a Los Angeles In-N-Out Burger, though the authenticity of the photo has been disputed. Her New York townhouse was sold in 2016.

This month, it was reported that lawyers for accusers seeking to file a civil suit against Maxwell have been unable to locate her. According to ABC news, one alleged victim’s “legal team dispatched process servers to five addresses previously connected to Maxwell, including a multi-million dollar brownstone on Manhattan’s Upper East Side, an apartment building in Miami Beach and Epstein’s mansion on Palm Beach Island.” Maxwell is also contending with other civil lawsuits filed by alleged survivors. Just this month, she won the right to delay her questioning in a suit filed by Annie Farmer, the sister of fellow Epstein accuser Maria Farmer, on the grounds that her testimony could be used against her in a current criminal investigation. But with the FBI allegedly investigating Maxwell, her story could be far from over.

Read more …

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Andre Derain Boats at Collioure 1905

 

Wuhan Reports 5 New Coronavirus Cases, Its Highest Surge In 2 Months (RT)
New Zealand To Reopen Malls, Cafes From Thursday As Virus Curbs Eased (R.)
How New Zealand Put Coronavirus On The Brink Of Elimination (Wired)
Men Have High Levels Of ACE2 Enzyme Key To COVID-19 Infection (R.)
Inside House Democrats’ $1.2 Trillion+ Coronavirus Relief Proposal (Axios)
43 Million Americans Could Lose Health Insurance Amid Pandemic (G.)
Unemployment Numbers ‘Will Get Worse Before They Get Better’ – Mnuchin (NPR)
A 6.4 Million Discrepancy In The Employment Report (Mish)
Schumer Calls On VA Dep. To Explain Use Of HCQ (AP)
Number Of Hydroxychloroquine Prescriptions Explodes In France (F.)
Zinc Hope In Coronavirus Fight (Telegraph India)
Guaidó’s Mercenary Hit Contract On Maduro Mirrors Official US Bounty (MacLeod)
AG Barr’s Office Shreds Chuck Todd For ‘Deceptive Editing’ (DW)
DNI Has Communications Between Seth Rich and WikiLeaks For 4 Years (GP)

 

 

• For the first time since March 10 (!!!), Italy reported less than 1,000 new cases of coronavirus.

• The US had +20,329 new confirmed coronavirus cases today, the lowest number since late March, bringing the total to 1,367,638, of which 1,030,515 are still active.
 


Click to enlarge in new tab

 

 

 

Cases 4,200,957 (+ 79,179 from yesterday’s 4,121,778)

Deaths 284,150 (+ 3,282 from yesterday’s 280,868)

 

 

 

From Worldometer yesterday evening -before their day’s close-

 

 

From Worldometer

 

 

From SCMP:

 

 

From COVID19Info.live:

 

 

 

 

Open up!

Wuhan Reports 5 New Coronavirus Cases, Its Highest Surge In 2 Months (RT)

Original hotspot of the Covid-19 pandemic, the Chinese city of Wuhan, has reported five new indigenous cases as the number of infections across mainland China has slightly grown as well. China reported seventeen new cases of the novel coronavirus on Monday – three more than the day before. Of the newly-detected cases, seven are linked to overseas travel, and 10 are believed to be the result of local transmission. In addition to five indigenous cases in Wuhan, three other came from Jilin province, one from Liaoning, northeastern Chinese province bordering North Korea, and another one from Heilongjiang province, bordering Russia.

While the figure might not sound that alarming, considering that China was adding thousands of cases mid-February, when it was going through the peak of the pandemic, it still marks the nation’s biggest jump in confirmed infections since April, 28. The latest data from Wuhan, which just late last month celebrated the recovery of the last patient with severe Covid-19, can be seen as a worrying sign as well since it the most significant increase in cases for the pandemic ground zero in two months. Last time Wuhan reported more than five new cases in a single day (8) was on March 11. However, it was not before the beginning of April when the last remaining travel restrictions imposed on the city, as it was fighting the outbreak, were lifted after 76 days of lockdown.


Around the same time, Wuhan for the first time reported zero daily deaths from the disease. Considering the steady drop in the number of new coronavirus patients, Beijing has gradually relaxed coronavirus measures across the country, on Thursday declaring the whole territory of China as ‘low risk” in terms of coronavirus. Apart from Hubei, there has been a surge in infections in Shulan, in the northeastern Jilin province, where all of the new cases are believed to be traced to a single woman. Concerned about the possible second wave of the desease, local authorities raised the risk level from low to medium last week.

Read more …

Lockdowns work. In principle. That says little about their execution, but I already covered that. If people want to be skeptical of something, at least make sure you know what you’re skeptical about.

New Zealand To Reopen Malls, Cafes From Thursday As Virus Curbs Eased (R.)

New Zealand businesses including malls, cinemas, cafes and gyms will reopen on Thursday after some of the tightest restrictions in the world to stop the spread of the coronavirus were further loosened on Monday. The Pacific nation was locked down for more than month under “level 4” restrictions that were eased by a notch in late April. It has continued to enforce strict social measures on many of its citizens and businesses, helping prevent widespread community spread of the virus. Prime Minister Jacinda Ardern said the staggered move to “level 2” restrictions will mean retail, restaurants and other public spaces including playgrounds can reopen from Thursday.

Schools can open from next Monday while bars can only reopen from May 21, Ardern said. Gatherings would be limited to 10 people. “The upshot is that in 10 days’ time we will have reopened most businesses in New Zealand, and sooner than many other countries around the world,” Ardern told a news conference. “But that fits with our plan – go hard, go early – so we can get our economy moving again sooner, and so we get the economic benefit of getting our health response right.” Businesses will be required to have physical distancing and strict hygiene measures in place. Air New Zealand announced it would resume seven more domestic routes when the country enters alert level 2.


International travel, however, would not be possible as borders will remain closed except for returning New Zealanders. The measures would be reviewed again in two weeks, Ardern said. The government plans to introduce a new law that would allow authorities to enforce physical distancing and control gatherings of people after questions were raised about the legality of lockdown rules. Three new cases of COVID-19 were confirmed on Monday, the health ministry said in a statement. The cases – two hospital nurses and one related to overseas travel – bring New Zealand’s total confirmed COVID-19 infections to 1,147, the ministry said, adding that 93% of all confirmed and probable cases have recovered.

Read more …

New Zealand is 2,500 miles, 4,000 km, from Australia, its nearest neighbor. Amid all the hosanna, that must not be forgotten. European countries, for instance, have no such advantages.

New Zealand can simply close its doors. But yeah, they did it along with a strict lockdown.

How New Zealand Put Coronavirus On The Brink Of Elimination (Wired)

On February 28, the news emerged of New Zealand’s first case of Covid-19. For Michael Baker, a government advisor and epidemiologist at the University of Otago in Wellington, the following weeks would be a time of extreme anxiety. While New Zealand is now regarded as a global success story in containing the coronavirus – as of May 7 it has reported just 1,489 cases and 21 deaths amongst a population of five million – this did not always appear such a likely outcome. Indeed, scientists believe that without the right strategies being swiftly implemented at crucial times, the country could have experienced more than 1,000 cases a day, overwhelming its fragile healthcare network.

When the news arrived that Covid-19 had reached New Zealand’s shores, Baker had already been monitoring the seemingly inexorable global progression of the pandemic since early January. He was well aware of the devastation wreaked by the virus in Wuhan, and grim reports were already filtering through of the worsening outbreak in Italy. While New Zealand’s relative geographical isolation had provided some protection thus far, he knew how swiftly the tide could turn. “It was the most intense period of my working life,” he says. “The distant drumbeat was getting louder and I felt we were on a knife edge in terms of what would happen.”

A member of the Ministry of Health’s technical advisory group, Baker had read the report of the World Health Organisation’s joint mission to China at the end of February. “It showed that the Chinese had done the almost impossible, they’d stopped a pandemic in full flight which was remarkable,” he says. “This showed that it was containable.” Inspired by this, and reports from fellow island nations such as Taiwan who had also managed to contain the outbreak, he realised that if New Zealand acted swiftly and strongly, it could prevent a disaster before it had even begun. He started calling for an approach to eliminate, rather than merely suppress the virus.

At that point – like most other countries – New Zealand was applying the same action plans for Covid-19 as with a bout of pandemic influenza, steadily ramping up their response as the pandemic progressed to try and mitigate it and flatten the curve. But while the rate at which influenza is transmitted means it is nigh impossible to stop, the data showed that Covid-19 was different. “The fundamental difference is that the virus incubation period is longer for Covid-19,” said Baker. “For influenza, it’s one to three days depending on what strain, and with Covid-19 it’s about five days on average. This means that contact tracing and quarantining contacts really does work if you do it quickly enough.”

Epidemiologists began advising the government to change strategy and implement a preventative full lockdown. This involved completely shutting the borders, and enforcing a maximum containment policy where the entire population bar essential workers were required to stay at home unless for medical reasons or food supplies. “We recommended going early and hard,” Baker says. “There are two advantages to that. First you prevent a lot of cases and deaths, and also if you control it early, there’s fewer chains of transmission that have to be stamped out and so your lockdown is likely to be for a shorter period of time.”

Read more …

Not new, and this take reads a bit too much like a Big Pharma ad. And what does this mean: Inhibitors don’t lead to higher concentrations? Would be bad if they did, no?

“..widely-prescribed drugs called ACE inhibitors or angiotensin receptor blockers (ARBs) did not lead to higher ACE2 concentrations ..”

Men Have High Levels Of ACE2 Enzyme Key To COVID-19 Infection (R.)

Men’s blood has higher levels than women’s of a key enzyme used by the new coronavirus to infect cells, the results of a big European study showed on Monday — a finding which may help explain why men are more vulnerable to infection with COVID-19. Angiotensin-converting enzyme 2 (ACE2) is found in the heart, kidneys and other organs. In COVID-19, the respiratory disease caused by the novel coronavirus, it is thought to play a role in how the infection progresses into the lungs. The study, published in the European Heart Journal, also found that widely-prescribed drugs called ACE inhibitors or angiotensin receptor blockers (ARBs) did not lead to higher ACE2 concentrations and should therefore not increase the COVID-19 risk for people taking them.

ACE inhibitors and ARBs are widely prescribed to patients with congestive heart failure, diabetes or kidney disease. The drugs account for billions of dollars in prescription sales worldwide. “Our findings do not support the discontinuation of these drugs in COVID-19 patients,” said Adriaan Voors, a professor of cardiology at the University Medical Center (UMC) Groningen in The Netherlands, who co-led the study. [..] Death and infection tolls point to men being more likely than women to contract the disease and to suffer severe or critical complications if they do. Analysing thousands of men and women, Voors’ team measured ACE2 concentrations in blood samples taken from more than 3,500 heart failure patients from 11 European countries.


The study had started before the coronavirus pandemic, the researchers said, and so did not include patients with COVID-19. But when other research began to point to ACE2 as key to the way the new coronavirus gets into cells, Voors and his team saw important overlaps with their study. “When we found that one of the strongest biomarkers, ACE2, was much higher in men than in women, I realised that this had the potential to explain why men were more likely to die from COVID-19 than women,” said Iziah Sama, a doctor at UMC Groningen who co-led the study.

Read more …

Inside House Democrats’ $1.2 Trillion+ Coronavirus Relief Proposal (Axios)

House Democrats could bring their phase 4 coronavirus relief package (CARES 2) to the floor for a vote as early as this week — but, for now at least, it’s going nowhere. The state of play: Democrats have crafted a $1.2 trillion+ package without input from the White House or Hill Republicans, congressional aides familiar with their plans tell Axios. • GOP leadership says it’s still waiting for billions of aid allocated in the first $2.2 trillion CARES Act to go out the door. • The White House says it wants to evaluate the economic impact of reopening before passing another large stimulus package. But House Democrats see the proposal as a way to lay down a marker of their priorities and prod congressional Republicans and the White House toward more economic relief for individuals, state and local governments, and the U.S. Postal Service.

Speaker Nancy Pelosi (D-Calif.) and her caucus also want to show voters that they’re still working, despite members remaining in their districts. Those optics could be important politically given the Senate’s decision to return to Washington last week. (House Republicans have been chiding Democrats for staying home in their districts when, they say, they should be at work.)

Details: The legislation, which is still being drafted and is subject to change, is expected to include:
• Roughly $1 trillion for state and local governments. They want to split this money into separate revenue streams to ensure each community can access it.
• More money for hospitals and COVID-19 testing.
• Roughly $25 billion to keep the U.S. Postal Service afloat.
• Expanded nutritional benefits, Medicaid funding and unemployment insurance (which they call “paycheck guarantee”).
• Another round of direct payments to Americans.

House leadership is also working on narrowing down the guidelines for how these funds are allocated to ensure that people aren’t “double dipping” into the different pots of money, a senior Democratic aide told Axios. For example, they do not want someone who is receiving more unemployment money to also receive money through the Paycheck Protection Program. However, it’s still unclear whether the PPP fund will be replenished. “We’re trying to limit the amount of overlap so people aren’t abusing the system,” the aide said. The package will not include liability protection for businesses, which Senate Majority Leader Mitch McConnell (R-Ky.) said is a top priority for Republicans.

It also will not include a payroll tax cut, something President Trump has insisted on. House Democrats have said both of these proposals are nonstarters. The backdrop: This comes as the pandemic continues to choke the U.S. economy — which shed 20.5 million jobs in April as unemployment hit 14.7%.

Read more …

Want to keep a pandemic going? Make sure people fear seeking treatment.

43 Million Americans Could Lose Health Insurance Amid Pandemic (G.)

As many as 43 million Americans could lose their health insurance in the midst of the coronavirus pandemic, according to a new report from the Robert Wood Johnson Foundation and the Urban Institute. Prior to the pandemic, 160 million Americans, or roughly half the population, received their medical insurance through their job. The tidal wave of layoffs triggered by quarantine measures now threatens that coverage for millions. Up to 7 million of those people are unlikely to find new insurance as poor economic conditions drag on, researchers at the Urban Institute and Robert Wood Johnson Foundation thinktanks predict. Such enormous insurance losses could dramatically alter America’s healthcare landscape, and will probably result in more deaths as people avoid unaffordable healthcare.

“The status quo is incredibly inefficient, it’s incredibly unfair, it’s tied to employment for no real reason,” said Katherine Hempstead, a senior policy adviser for the Robert Wood Johnson Foundation. “This problem exposes a lot of the inadequacies in our system.” If the pandemic results in a 20% unemployment rate, as some analysts expect, researchers at the Urban Institute and Robert Wood Johnson Foundation (RWJF) predict anywhere from 25 to 43 million people could lose health insurance. Many will use social safety nets to obtain insurance, including Medicaid, the public health insurance program for low-income people. However, eligibility criteria varies from state to state, with more restrictions in Republican-led states.“It’s incredibly segmented and every state has a different story,” said Hempstead. “There’s 50 different experiences.”


[..] Of those who lose employer-based insurance, an estimated 7 million Americans will remain uninsured, and will lack access to healthcare during the worst pandemic in a century, RWJF predicted. Another 30 million people lacked insurance even before the pandemic, according to the Urban Institute. “You have people who think they have an infectious disease, but they don’t want to come forward to get tested or get treatment because they’re so worried about what kind of financial liabilities they will have,” said Hempstead. “This problem exposes, really, a lot of the inadequacies in our system.”

Read more …

Steven has no idea how much worse.

Unemployment Numbers ‘Will Get Worse Before They Get Better’ – Mnuchin (NPR)

The worst of the nation’s historic job losses are yet to come, according to Treasury Secretary Steven Mnuchin, who told Fox News Sunday that “the reported numbers are probably going to get worse before they get better.” Mnuchin’s comments followed Friday’s report from the Labor Department showing the U.S. lost a staggering 20.5 million jobs in April, bringing the jobless rate to its highest level since the Great Depression — 14.7%. But even that figure fails to account for the millions of workers who have stopped searching for jobs or those considered “underemployed.” Asked by host Chris Wallace whether the nation’s true unemployment rate was close to 25%, Mnuchin responded, “we could be.”


“This is no fault of American business, this is no fault of American workers, this is a result of a virus,” he said before warning, “You’re going to have a very, very bad second quarter.” Two weeks ago, Mnuchin’s outlook was more optimistic — he told Wallace that the economy would reopen through June and “bounce back” over the summer. On Sunday, he said the economy would “have a better third quarter,” followed by “a better fourth quarter, and next year is going to be a great year.” The Trump Administration is considering additional stimulus measures, including a payroll tax cut, according to Mnuchin, who also said on Sunday, “We’re not gonna do things just to bail out states that were poorly managed.” But he said the White House would wait a “few weeks” before considering another relief bill.

Read more …

The BLS doesn’t have the data, so they release a report they know is false.

A 6.4 Million Discrepancy In The Employment Report (Mish)

There is a 6.4 million discrepancy between the change in employment level and the change in unemployment level. Such is a new all time record discrepancy between employment and unemployment in the Household Survey that measures the unemployment rate. I created the lead chart as follows: Discrepancy = Change in Employment Level – (-1 * Change in Unemployment Level)

Confirmation
• The number of employed fell by 22.369 million.
• Those unemployed only rose by 15.938 million.
• Employment discrepancy is 22.369 – 15.938 = 6.431 million

Negligible Labor Force Discrepancy
• Change in Labor Force: -6.431 Million
• Change in Not in Labor Force: +6.570 Million
• The labor force discrepancy is 6.570 – 6.431 = 0.139 million

Discrepancy Comparison
• Employment Discrepancy Percentage: 28.8%
• Labor Force Discrepancy Percentage: 2.1%

Unemployment Rate Formula
• Unemployment Rate = (Unemployed / Labor Force) * 100 Therefore, the unemployment Rate = (23.078 / 156.481) * 100 = 14.7% That is how the BLS calculated the unemployment rate.

Factoring in the Employment Discrepancy
• Unemployment Rate = ((23.078 + 6.431) / 156.481) * 100 = 18.6%

Read more …

They’re not going to rest until there’s an anti-hydroxychloroquine law.

Schumer Calls On VA Dep. To Explain Use Of HCQ (AP)

The Senate’s top Democrat on Sunday called on the Department of Veterans Affairs to explain why it allowed the use of an unproven drug on veterans for the coronavirus, saying patients may have been put at unnecessary risk. Sen. Charles Schumer of New York said the VA needs to provide Congress more information about a recent bulk order for $208,000 worth of hydroxychloroquine. President Donald Trump has heavily promoted the malaria drug, without evidence, as a treatment for COVID-19. Schumer’s request comes after a whistleblower complaint filed this past week by former Health and Human Services official Rick Bright alleged that the Trump administration, eager for a quick fix to the onslaught of the coronavirus, wanted to “flood” hot spots in New York and New Jersey with the drug.

Major veterans organizations have urged VA to explain under what circumstances VA doctors initiate discussion of hydroxychloroquine with veterans as a treatment option. “There are concerns that they are using this drug when the medical evidence says it doesn’t help and could hurt,” Schumer said in an interview with The Associated Press. He said given the fact the malaria drug, despite being untested, had been repeatedly pushed publicly by Trump, VA Secretary Robert Wilkie must address whether anyone at the department was pressured by the White House or the administration to use hydroxychloroquine for COVID-19.

Schumer said Wilkie also should answer questions about a recent analysis of VA hospital data that showed there were more deaths among patients given hydroxychloroquine versus standard care, including how much patients knew about the drug’s risks before taking it. Wilkie in recent weeks has denied that veterans were used as test subjects for the drug and that it was instead administered at government-run VA hospitals only when medically appropriate, with mutual consent between doctor and patient. Still, Wilkie has repeatedly declined to say how widely the drug was being used for COVID-19 and whether the department had issued broad guidance to doctors and patients on the use of the drug.

In a weekly call with veterans’ groups this past week, Wilkie continued to defend VA’s use of hydroxychloroquine. He dismissed the recent analysis of VA hospital data showing no benefits to patients, suggesting the poor outcomes were because the cases involved older, very sick veterans. He has not said whether the department will continue to use the drug. “Use of this medication for treatment of COVID-19 is considered ‘off label’ — perfectly legal and not rare,” he wrote in an April 29 letter to veterans’ groups.

Read more …

Meanwhile in the real world…

Maybe this should read “French Doctors Attempt Mass Cull Of Their Patients”.

Number Of Hydroxychloroquine Prescriptions Explodes In France (F.)

Despite the warnings around taking hydroxychloroquine to combat the symptoms of COVID-19, prescriptions in France have increased by as much as 7,000% in certain parts of the country since the pandemic began. As reported by La Provence, a study looking at the 466 million French prescriptions written since the pandemic began in France, show a huge spike in doctors prescribing the drug. In the last week of March, for instance, over 10,000 people were prescribed hydroxychloroquine in Marseille alone. In France and the U.S., the use of hydroxychloroquine has been fraught between those who think the risks are small enough to warrant widespread use and those who think that more research is required before widespread prescription.

Following research conducted in China, a French doctor, Didier Raoult–head of the IHU, the Institute of Infectious Diseases in Marseille–claimed at the beginning of March that he had successfully treated patients suffering from coronavirus with the drug. Hydroxychloroquine is an anti-malarial drug also used to treat people suffering from lupus. It is sold under its trader name of Plaquénil in France. Shortly afterwards, President Trump, tweeted the same news, that a combination of hydroxychloroquine and azithromycin could work with patients. The latter is an anti-bacterial drug, given in tandem, to eliminate the risks of bacterial infection.

Health professionals were quick to point out that no one should be using the drug without further research showing clear evidence that the drugs do work under a peer-reviewed clinical trial. Dr Anthony Fauci, Trump’s advisor downplayed the drug’s impacts as purely “anecdotal” and others issued warnings that the drug can cause severe health impacts if taken in an unsupervised capacity, such as heart problems. Before the pandemic, an average of 50 prescriptions were written each day in Marseille for hydroxychloroquine. The day after Didier Raoult announced his findings in Marseille, this had jumped to 450 per day. On March 18th, that figure had spiked again and there were 5,000 prescriptions in just one day across the whole of France.

The research authors believe that 41,000 people were given the drug between March 16 and April 19. Prescriptions have been higher in Paris and Marseille (where Didier Raoult heads the IHU, the Institute of Infectious Diseases). The study also noted that most people who were granted access to the drug across France were from higher socio-economic groups.

Read more …

Indian doctors in New York. “In the absence of options such as remdesivir being available..” Well, we’ll take care of that..

Zinc Hope In Coronavirus Fight (Telegraph India)

Doctors have reported that adding zinc sulfate, a dietary supplement, to hydroxychloroquine and azithromycin may benefit patients with coronavirus disease, adding a twist to the controversy over the rationale for prescribing hydroxychloroquine for Covid-19. Doctors at the New York University Grossman School of Medicine have found that adding zinc sulfate to hydroxychloroquine and azithromycin already given to Covid-19 patients decreased the need for ventilation or admission to intensive care units, and lowered mortality. Their study provides the first evidence through patients that zinc sulfate in combination with the other two drugs may have a role in the treatment of Covid-19, the doctors said.

Their study was posted on Friday in a database for medical research but has not been peer-reviewed yet. “The latest evidence suggests against much benefit from hydroxychloroquine, but this study raises the question of possible benefit of zinc and hydroxychloroquine together,” Joseph Rahimian, the doctor who led the research, told The Telegraph via email. The findings could be relevant to India where experts with the Indian Council of Medical Research and other institutions have introduced the hydroxychloroquine-azithromycin combination for the treatment of Covid-19 patients. Rahimian and his colleagues introduced zinc sulfate to Covid-19 patients as New York entered the ranks of cities hit the hardest by the pandemic.


They tracked the outcomes of the infections in 521 patients who received hydroxychloroquine and azithromycin and 411 who received zinc sulfate in addition to the two drugs. They observed that adding zinc sulfate was associated with a “most striking” decrease in mortality among patients who did not require intensive care. The association was not significant among patients who were treated in intensive care, implying that the addition of zinc should be considered early during treatment. “The benefit is likely to be more pronounced with its earlier use,” Rahimian said. “In the absence of options such as remdesivir being available, zinc with hydroxychloroquine may be a consideration. A randomised trial of the two versus placebo would help clarify whether there is a clear benefit and (the) extent of any potential benefit,” he added.

Read more …

Guaidó’s Mercenary Hit Contract On Maduro Mirrors Official US Bounty (MacLeod)

Juan Guaidó was expecting to be in Venezuela’s Presidential Palace by now. But the comically bungling May 3 invasion attempt by US mercenaries and opposition members was the latest indication of the desperate measures he and his cronies have resorted to. The fighters hired under his name were immediately overpowered in the sleepy coastal village of Chuao by disgruntled members of the House of Socialist Fishermen, and some of the highly trained mercenaries appeared to literally wet themselves in terror when apprehended. Now, a 41-page contract outlining the details and conditions of the coup attempt has been leaked. It sheds new light on the arrangement between Guaidó and Silvercorp, the American private security firm he hired,.

The self-declared President of Venezuela promised to pay Jordan Goudreau, founder of the Florida-based firm, $212.9 million to capture, detain or “remove” President Nicolas Maduro and install him in his place. The contract goes into detail about who the mercenaries were allowed to engage in “kinetic strikes” (i.e. assassinate and kill). It first names a number of paramilitary organizations like the Colombian FARC, and bizarrely, Hezbollah, but also on the list are a number of “illegitimate Venezuelan forces,” that include any armed supporters of Maduro and Constituent Assembly President Diosdado Cabello. Maduro and Cabello happen to be the same figures placed at the top of a US Drug Enforcement Agency hit list.

The US offered $15 million and $10 million respectively for their capture, effectively putting a bounty on the heads of the elected president and the head of his country’s main legislative body. The contract signed by Guaidó and Silvercorp also enables the killing of anyone they deem to be “armed and violent colectivos.” For a sector of Venezuela’s upper-class opposition, the term “colectivo” is a dehumanizing, oft-used catch-all term applied to any working-class person. Trade unionists, pro-government protestors, even anyone riding a motorcycle is presumed to be part of an armed and dangerous gang in the lurid fantasies of the light-skinned elitists of Eastern Caracas. Therefore, the contract essentially permits Silvercorp to kill any member of the government’s popular support base with impunity.

Perhaps more worrying, however, is what Silvercorp envisaged its role to be after a successful coup. The contract stipulates that the mercenary organization would “convert to a National Asset Unit that will act under the direction of the Administration [Guaidó] to counter threats to government stability, terror threats and work closely” with other security forces. Their missions would include, but not be limited to, surveillance, covert operations and target programming. In other words, Silvercorp would transform into a private paramilitary squad answerable only to Guaidó, crushing any opposition to his dictatorship, in much the same way death squads in Colombia and other Latin American countries have operated for decades.

Read more …

Chuck Todd is a far-left TV host? Boy, you Americans really have no idea what left and right is anymore.

This is insane al the same. He should be fired.

AG Barr’s Office Shreds Chuck Todd For ‘Deceptive Editing’ (DW)

Attorney General William Barr’s office slammed far-left NBC News host Chuck Todd on Sunday for “deceptive editing” after Todd took remarks that Barr made out of context and used the distorted remarks to smear the Department of Justice (DOJ). On “Meet The Press,” Todd used a deceptively edited portion of Barr’s interview last week with CBS News investigative reporter Catherine Herridge. Todd focused in on the following exchange between Barr and Herridge:

HERRIDGE: In closing, this was a big decision in the Flynn case, to say the least. When history looks back on this decision, how do you think it will be written? What will it say about your decision making?
BARR: Well, history is written by the winner. So it largely depends on who’s writing the history. But I think a fair history would say that it was a good decision because it upheld the rule of law. It helped, it upheld the standards of the Department of Justice, and it undid what was an injustice.

Todd only played the first two sentences of Barr’s comments where Barr said, “Well, history is written by the winner. So it largely depends on who’s writing the history.” Todd then launched into an attack on Barr, saying, “I was struck … by the cynicism of the answer. It’s a correct answer. But he’s the attorney general. He didn’t make the case that he was upholding the rule of law. He was almost admitting that, yeah, this is a political job.” Todd’s comments were false because the very next thing that Barr said, which Todd did not show his viewers, was: “But I think a fair history would say that it was a good decision because it upheld the rule of law. It helped, it upheld the standards of the Department of Justice, and it undid what was an injustice.”

Barr spokeswoman Kerri Kupec responded to the segment by posting screenshots on Twitter of the transcript from what Todd said and what Barr said in his CBS News interview last week, writing: “Very disappointed by the deceptive editing/commentary by @ChuckTodd on @MeetThePress on AG Barr’s CBS interview. Compare the two transcripts below. Not only did the AG make the case in the VERY answer Chuck says he didn’t, he also did so multiple times throughout the interview.”

Read more …

NSA, FBI, DNI have all been lying about Seth Rich for 4 years; hard to believe Mueller wasn’t in on it.

Why? They all knew the correspondence would kill off the Russian hacking story, and exonerate Assange. Couldn’t let that happen.

DNI Has Communications Between Seth Rich and WikiLeaks For 4 Years (GP)

Recently, transcripts of a conversation between George Papadopoulos and a confidential informant believed to be Stefan Halper were released by the DOJ. This transcript confirms that Papadopoulos was spied on and recorded, two things Papadopoulos was not told at the time of the case made against him by the Mueller gang. We know from our previous reporting that a Deep State Anti-Trump former Assistant US Attorney claimed under oath that the FBI did examine Seth Rich’s computer and that she met with an FBI Agent and prosecutor from the Mueller gang. This indicates the meeting should have been recorded in a form 302 but the FBI continues to claim no records related to Seth Rich are available!

We reported in mid-February how Attorney Ty Clevenger, who represents a client who is being sued for his comments about Seth Rich, reported to the courts that despite numerous assurances from the FBI that they had no information related to Seth Rich, emails related to Seth Rich were identified and provided to Judicial Watch. It looked like the FBI was lying to Clevenger all this time. Attorney Clevenger sent a letter to ADNI Rick Grenell that he should receive by this Monday. According to Ty, the NSA, knows exactly who sent the records to Wikileaks. So does the FBI. Seth Rich is the last shoe to drop, and the Trump Admin needs to hurry up and drop it. Clevenger goes on to state the most shocking statement related to the Russia collusion sham to date:


“I am reliably informed that the NSA or its partners intercepted at least some of the communications between Mr. Rich and Wikileaks. Before elaborating on that, however, I should first note the extent to which the “deep state” has already tried to cover up information about Mr. Rich. In an October 9, 2018 affidavit submitted in a Freedom of Information Act lawsuit, FBI section chief David M. Hardy testified that (1) the FBI did not investigate any matters pertaining to Mr. Rich, and (2) the FBI was unable to locate any records about Mr. Rich. Both claims were unequivocally false.” We now know there is no evidence Russia hacked the DNC and sent the hacked emails to WikiLeaks. Crowdstrike admitted this under oath and the Mueller Report backs this up. Attorney Ty Clevenger asserts the DNI has been covering up for 4 years the fact that they have communications between Seth Rich and WikiLeaks.

Read more …

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Wyland Stanley REO taxicab, San Francisco 1924

China’s Steel Industry Peers Into Abyss as Output to Plunge (Bloomberg)
Rio Tinto’s Optimistic About Iron Ore And That’s Reason To Worry (Bloomberg)
Zinc Lowest in 6 Years, Nickel at 12-Year Low on China Concerns (Bloomberg)
Can Anything Stop Companies From Loading Up on Debt? UBS Says No. (Alloway)
Debt, The Never-Ending Story (Economist)
Finland’s Depression Is The Final Indictment Of Europe’s Monetary Union (AEP)
China Inclusion In IMF Currency Basket Not Just Symbolic (FT)
New Players Break Into Credit Derivatives (FT)
Atlantic City’s Mayor Warns of Insolvency by April Without Aid (Bloomberg)
Fed Tipping Toward December Rate Hike, Minutes Show (Hilsenrath)
Australia Blocks Ranch Sale to Foreigners on Security Fears (Bloomberg)
Turkey Could Cut Off Islamic State’s Supply Lines. So Why Doesn’t It? (Graeber)
Trudeau Tells Canada To Reject Racism Amid Opposition To Refugee Plan (Reuters)
History Is A Cruel Judge Of Intolerance In America (Bloomberg)
Former Yugoslav Republic of Macedonia Building Fence Along Greek Border (Kath.)
EU Nations Miss Deadline To Appoint Officers For Refugee Relocations (Guardian)
20 African Migrants Lost At Sea In Atlantic After Boat Sinks (Reuters)
Antibiotic Resistance: World On Cusp Of ‘Post-Antibiotic Era’ (BBC)

Overleveraged overinvestment.

China’s Steel Industry Peers Into Abyss as Output to Plunge (Bloomberg)

Crude steel production in China will collapse by 23 million metric tons next year, according to the nation’s leading industry group. That’s equivalent to more than a quarter of annual output from the U.S. Supply from the top producer may drop 2.9% to about 783 million tons from 806 million tons in 2015, according to the China Iron & Steel Association. The slump would be driven by a deepening downturn in local demand and as mills encounter stiffer opposition to exports, Deputy Secretary General Li Xinchuang said in an interview on Wednesday. “You can’t find any bright spots,” Li said in Shanghai, citing weakness across Asia’s largest economy.

“Property developments used to enjoy annual growth of 20% and now at best it is 5%. Infrastructure investments haven’t taken off due to lack of funds despite of all the planned numbers of projects. Manufacturing investments have also dropped like a stone.” China’s mills, which produce about half of worldwide output, are battling against losses, oversupply and sinking prices as local consumption shrinks for the first time in a generation. The fallout from the steelmakers’ struggles is hurting iron ore prices and boosting trade tensions as mills seek to sell their surplus overseas. Shanghai Baosteel Group Corp. has forecast that China’s steel production may eventually shrink 20%.

Li’s estimate of 783 million tons of Chinese production compares with supply from the U.S. of 88.3 million tons in 2014, according to data from the World Steel Association for 2014, the last complete year of figures. That year, output in China was 823 million tons. Steel demand in China would slump to about 654 million tons in 2016 from 668 million tons this year, said Li, who’s also president of the China Metallurgical Industry Planning & Research Institute. Iron ore imports may drop to 920 million tons in 2016 from about 930 million tons, according to Li. The oversupply of steel in China is so acute that David Humphreys, a former chief economist at mining company Rio Tinto Group, said that the country would do well to demolish unneeded mills. “There’s about 300 million tons of surplus capacity in China that needs to be not just shut down, it needs to be eradicated, it needs to be bulldozed,” Humphreys said ..

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What can they do but talk their books?

Rio Tinto’s Optimistic About Iron Ore And That’s Reason To Worry (Bloomberg)

You’re concerned about the slowdown in China’s economy. It bothers you that industrial output has plunged to the weakest levels since 2008. You’re unsettled that the China Iron & Steel Association “can’t see any bright spots” for the metal that’s driven the country’s urbanization. You’re perturbed Jim Chanos thinks the world’s second-biggest economy is heading the same way as Japan in the 1990s. Stop fretting: Rio Tinto, the world’s second-biggest iron ore miner, says China’s going to be O.K. The world should stop focusing on daily price gyrations for the steelmaking metal and concentrate on the long-term trend, CEO Sam Walsh told Bloomberg. The company’s analysts have been “very, very careful” in their forecasts that iron ore demand will reach 3 billion tons by 2030, up about 36% from last year, Megan Clark, a non-executive director at the miner, said.

That’s good news, right? Not so fast.The Anglo-Australian miner has good reason to err on the side of optimism. Like peers Vale and BHP Billiton, it has some of the world’s cheapest iron ore mines, and the least to lose from oversupply hitting the market.The big three miners are engaged in the same game with higher-cost competitors as the one Saudi Arabia is playing against the U.S. shale industry: Let’s flood the market, and see who’s left standing. Like Ali al-Naimi, the Saudi minister who said in June that Chinese oil demand was growing, Walsh and Clark are glass-half-full sorts of people. But their optimism stands in contrast to the industry’s own assessment. China’s steel sector needs to go through a “painful restructuring” and output will collapse by 20%, Baosteel Chairman Xu Lejiang said last month.

Demand is evaporating at “unprecedented speed” and oversupply is worsening, the deputy head of the China Iron & Steel Association said a week later. Steel demand in China fell in 2014 and will slip again in 2015 and 2016, the World Steel Association said in April. Even the flood of exports driven by lackluster domestic demand is shrinking as mills in other countries push governments to impose import charges and start trade disputes. The U.S. is levying tariffs of as much as 236% on some varieties of Chinese steel. A price index for the rebar used in making reinforced concrete for buildings dropped below 2,100 yuan a metric ton Monday for the first time since at least 2003:

For a reality check, see what the higher-cost producers have to say. Rio Tinto and BHP are in an “imaginary world” and more production needs to be halted, according to Lourenco Goncalves, the chief executive officer of U.S.-headquartered Cliffs Natural Resources. Steel demand in China has “plateaued”, Nev Power, his counterpart at the world’s fourth-largest producer Fortescue Metals, said last month. Commodity gluts do eventually correct themselves as the least profitable producers quit the market and bring supply back in line with demand. But there’s little sign of that happening right now. After a modest recovery during the third quarter, an index of Chinese iron ore prices compiled by Metal Bulletin has slipped, and on Tuesday was just 99 cents above July’s record-low $44.59 a metric ton.

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Everything’s becoming a worry going into 2016.

Zinc Lowest in 6 Years, Nickel at 12-Year Low on China Concerns (Bloomberg)

Zinc dropped to the lowest in more than six years amid signs of ample supply and concern that demand is faltering in China, the world’s biggest user. Nickel closed at the lowest in 12 years. Global refined zinc output of 10.486 million metric tons January through September exceeded demand of 10.298 million tons, the International Lead and Zinc Study Group said in a report Wednesday. China President Xi Jinping said the economy faces “considerable downward pressure,” while data showed the nation’s home-price recovery slowed in October. “It certainly continues to point to a more bearish view on China, and they haven’t released any other stimulative type of measure,” Mike Dragosits at TD Securities in Toronto, said. “The market continues to trade pessimistically on the Chinese demand outlook.”

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ZIRP. How the Fed destroys markets.

Can Anything Stop Companies From Loading Up on Debt? UBS Says No. (Alloway)

It’s no secret that companies have been taking advantage of years of low interest rates to sell cheap debt to eager investors, locking in lower funding costs that have allowed them to go on a spree of share buybacks and mergers and acquisitions. With fresh evidence that investors are becoming more discerning when it comes to corporate credit as the first U.S. interest rate rise in almost a decade approaches, it’s worth asking whether anything might stop the trend of companies assuming more and more debt on their balance sheets. In a note published on Wednesday, UBS analysts Matthew Mish and Stephen Caprio offer an answer to that question. After looking at four factors that could theoretically derail the corporate debt train they answer: pretty much nothing.

For a start, they note that higher funding costs are unlikely to dissuade companies from continuing to tap the debt market since, even after a rate hike, financing costs will remain near historic lows. “The predominant reason is the Fed[eral Reserve] is anchoring low interest rates,” the analysts wrote. When it comes to the hubris of corporate chief financial officers, who have been more than happy leveraging up balance sheets in order to reward shareholders, the analysts didn’t mince words. “We find that corporate CFOs historically are inherently backward-looking when setting corporate financing decisions, relying on past extrapolations of economic activity, even when current market pricing suggests future investment returns may be lower,” they wrote.

“Several management teams have been on the road indicating higher funding costs of up to 100 to 200 basis points would not impede attractive M&A deals, in their view.” Higher market volatility has often been cited as one factor that could knock the corporate credit market off its seat, but the UBS duo sees little reason for it to put a dent in debt issuance. “In a low-yield environment, we anticipate significant vol[atility] selling interest to resurface so long as fundamentals are not falling off a cliff,” they said. Even in the third quarter of 2015, when markets were roiled by a global stock selloff, sales of investment-grade bonds were up 32% year-on-year, they noted.

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What goes up…

Debt, The Never-Ending Story (Economist)

It is close to ten years since America’s housing bubble burst. It is six since Greece’s insolvency sparked the euro crisis. Linking these episodes was a rapid build-up of debt, followed by a bust. A third instalment in the chronicles of debt is now unfolding. This time the setting is emerging markets. Investors have already dumped assets in the developing world, but the full agony of the slowdown still lies ahead. Debt crises in poorer countries are nothing new. In some ways this one will be less dramatic than the defaults and broken currency pegs that marked crashes in the 1980s and 1990s. Today’s emerging markets, by and large, have more flexible exchange rates, bigger reserves and a smaller share of their debts in foreign currency.

Nonetheless, the bust will hit growth harder than people now expect, weakening the world economy even as the Federal Reserve begins to raise interest rates. In all three volumes of this debt trilogy, the cycle began with capital flooding across borders, driving down interest rates and spurring credit growth. In America a glut of global savings, much of it from Asia, washed into subprime housing, with disastrous results. In the euro area, thrifty Germans helped to fund booms in Irish housing and Greek public spending. As these rich-world bubbles turned to bust, sending interest rates to historic lows, the flow of capital changed direction. Money flowed from rich countries to poorer ones. That was at least the right way around. But this was yet another binge: too much borrowed too fast, and lots of the debt taken on by firms to finance imprudent projects or purchase overpriced assets.

Overall, debt in emerging markets has risen from 150% of GDP in 2009 to 195%. Corporate debt has surged from less than 50% of GDP in 2008 to almost 75%. China’s debt-to-GDP ratio has risen by nearly 50 percentage points in the past four years. Now this boom, too, is coming to an end. Slower Chinese growth and weak commodity prices have darkened prospects even as a stronger dollar and the approach of higher American interest rates dam the flood of cheap capital. Next comes the reckoning. Some debt cycles end in crisis and recession—witness both the subprime debacle and the euro zone’s agonies. Others result merely in slower growth, as borrowers stop spending and lenders scuttle for cover. The scale of the emerging-market credit boom ensures that its aftermath will hurt.

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“The IMF warned this week against austerity overkill and “pro-cyclical” cuts before the economy is strong enough to take it. [..] Finland should not even be thinking of a “front-loaded” fiscal contraction or slashing investment at a time when its output gap is 3.2pc of GDP. The Finnish authorities admitted in their reply to the IMF’s Article IV report that they had no choice because they had to comply with the Stability Pact. This is what European policy-making has come to.”

Finland’s Depression Is The Final Indictment Of Europe’s Monetary Union (AEP)

Finland is sliding deeper into economic depression, a prime exhibit of currency failure and an even more unsettling saga for theoretical defenders of the euro than the crucifixion of Greece. A full 6.5 years into the current global expansion, Finland’s GDP is 6pc below its previous peak. It is suffering a deeper and more protracted slump than the post-Soviet crash of the early 1990s, or the Great Depression of the 1930s. Nobody can accuse Finland of being spendthrift, or undisciplined, or technologically backward, or corrupt, or captive of an entrenched oligarchy, the sort of accusations levelled against the Greco-Latins. The country’s public debt is 62pc of GDP, lower than in Germany. Finland has long been held up as the EMU poster child of austerity, grit, and super-flexibility, the one member of the periphery that supposedly did its homework before joining monetary union and could therefore roll with the punches.

Finland tops the EU in the World Economic Forum’s index of global competitiveness. It comes 1st in the entire world for primary schools, higher education and training, innovation, property rights, intellectual property protection, its legal framework and reliability, anti-monopoly policies, university R&D links, availability of latest technologies, as well as scientists and engineers. Its near-perfect profile demolishes the central claim of the German finance ministry – through its mouthpiece in Brussels – that countries get into bad trouble in EMU only if they drag their feet on reform and spend too much. The country has obviously been hit by a series of asymmetric shocks: the collapse of its hi-tech champion Nokia, the slump in forestry and commodity prices, and the recession in Russia.

The relevant point is that it cannot now defend itself. Finland is trapped by a fixed exchange rate and by the fiscal straightjacket of the Stability Pact, a lawyers’ construct that was never intended for such circumstances. The Pact is being enforced anyway because rules are rules and because leaders in the Teutonic bloc have an idee fixee that moral hazard will run rampant if any country in the EMU core sets a bad example. Finland’s output shrank a further 0.6pc in the third quarter and the country’s three-year long recession is turning into a fourth year. Industrial orders fell 31pc in September. “It’s spooky,” said Pasi Sorjonen from Nordea. Sweden was able to navigate similar shocks by letting its currency take the strain at key moments over the last decade. Swedish GDP is now 8pc above its pre-Lehman level.

The divergence between Finland and Sweden is staggering for two Nordic economies with so much in common, and it has rekindled Finland’s dormant anti-euro movement. The Finnish parliament is to hold ‘Fixit’ hearings next year on exit from monetary union and a return to the Markka, the currency that saved Finland in the early 1990s (once the ill-judged hard-Markka policy and the fixed ECU-peg was abandoned). Paavo Väyrynen, a Euro-MP and honorary chairman of the ruling Centre party, forced the euro hearings onto the parliamentary agenda after collecting 50,000 signatures. “The eurozone is not an optimal currency area and people are becoming aware of the real reasons for our crisis,” he said. “We are in a similar situation to Italy and have lost a quarter of our industry. Our labour costs are too high,” he said. [..] .. if the euro cannot be made to work for what is supposed to be the most competitive country in the EU, who can it work for?

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My gut says Xi’s going to regret this, and/or get into trouble with the rest of the world. He gives no sign of understanding hia own power limits.

China Inclusion In IMF Currency Basket Not Just Symbolic (FT)

Back in 2009, the west was desperately seeking green shoots of recovery and paid little attention when Zhou Xiaochuan called for nothing less than a new world financial order. China’s central bank governor proposed replacing the US dollar as the international reserve currency with a global system controlled by the IMF. If, as expected, the IMF this month approves the inclusion of China’s renminbi as a reserve currency, it will mark a small step for Mr Zhou’s 2009 vision, but a big move for the renminbi. The prospect of China’s currency joining the dollar, euro, yen and sterling in backing the IMF’s Special Drawing Rights — its unit of account, restricted to member governments — has been described as everything from a symbolic ego trip by Beijing to the dawning of a new era.

In all probability it will be like many Chinese financial reforms: significant in hindsight, but harder to get excited about in its early stages. Market enthusiasm over early-stage reforms such as the de-pegging of the renminbi 10 years ago has gradually given way to a level of ennui as the changes get smaller and China gets bigger. The result is often disappointment in the numbers as China maintains a staunch antipathy to the sort of sweeping changes, accompanied by headline-grabbing figures, beloved of newly-installed western executives and politicians. Even the Shanghai-Hong Kong Stock Connect, one year old this week, was shrugged aside by many, because the absolute numbers involved are relatively small.

However, its real significance lies in the fact that it was the first scheme under which China had let foreign investors in “blind” — that is, without requiring approval of each investor. SDR inclusion risks being categorised the same way. That would miss the point, since this is not about boosting short-term demand from central banks for renminbi. Rather, it is about embedding the currency in the international system and committing China to financial reform. If China were to constitute up to 10% of the SDR basket, that would result in a need for reserve managers to buy just $28bn or its currency — not a particularly meaningful number compared with the $20bn traded daily in the onshore spot market. Reserve figures are thus another source of headline number disappointment.

If China were to make up 3% of the $11.5tn of reserves held globally by the end of 2016, as forecast by DBS economist Nathan Chow, the $340bn that implies would vault the renminbi straight into the top league alongside sterling and the yen. Yet the dollar comprises almost two-thirds of reserves and the euro a further 20%. Numbers aside, the bigger ramifications of SDR inclusion come from its effect on financial reform. Xiangrong Yu, economist at CICC, likens it to the impact of China joining the World Trade Organisation in 2002. “Even if the renminbi fails to be added this time around, it will be impossible to reverse these reform measures,” he adds.

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Oh, lovely…

New Players Break Into Credit Derivatives (FT)

New entrants are breaking into the dealer-dominated credit derivatives market as trading increasingly occurs on electronic platforms. Eagle Seven, a proprietary trading firm in Chicago, confirmed it began quoting prices on cleared index credit default swaps last week. Verition, a New York-based hedge fund and Stifel Nicolaus, a new bank entrant to CDS markets, have also been making inroads, according to people familiar with the matter. It comes as banks draw close to settling a court case in which investors allege they have been shut out of the clubby CDS market for years. Traditionally CDS has been traded bilaterally between banks and their clients.

But regulation mandating the electronic trading of index CDS has since been introduced in the US, with platforms like Bloomberg replicating the bilateral model using a “request for quote system”, whereby investors can request electronic quotes from market makers. The new entrants are active in RFQ, with Eagle Seven also streaming prices on to a public screen called a central limit order book — a nascent trading model for CDS investors. Similar changes have also occurred in interest rate swap markets with Citadel, a non-bank electronic market maker, claiming to be one of the leading participants on Bloomberg’s trading venue.

A number of firms have also actively been pushing single-name CDS — which tracks the likelihood of default of a single company — to trade electronically and with the counterparty risk of buyers and sellers pushed centrally into a clearing house. Centralised clearing mutualises counterparty risk across the market and helps reduce bank capital requirements. Michael Hisler, head of fixed income cleared products at Stifel, said central clearing also removes the need for bilateral execution documents because all trades face the clearing house. Investors hope this may help encourage more new entrants and improve liquidity in the product, which has waned since the 2008 financial crisis. “Central bank regulation is making uncleared derivatives punitive for banks to hold on their balance sheet,” said Mr Hisler.

“Consequently, the traditional financing of uncleared positions is being significantly reduced or eliminated and forcing clearing of all standardised products.” Some of the biggest CDS users are currently drafting a letter with the intention of collecting investor signatures to commit to begin clearing single name CDS starting in the new year, according to a person familiar with the matter. Some banks have also begun offering clients incentives to move old trades into clearing, including cutting fees or giving very favourable pricing. “Clearly there is an incentive,” the head of CDS sales at a European bank said. “You are trying to reduce your counterparty exposure and capital. There is a value attached to that.”

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Detroit was never alone.

Atlantic City’s Mayor Warns of Insolvency by April Without Aid (Bloomberg)

Atlantic City, the distressed New Jersey gambling hub that’s under state oversight, will run out of money by the end of April if bills aimed at bolstering its finances aren’t enacted, Mayor Don Guardian said. “Cash flow runs out April 29,” Guardian told reporters Wednesday during the New Jersey State League of Municipalities conference in his city. Governor Chris Christie conditionally vetoed legislation that would have redirected a portion of casino revenue to the city, which was counting on the money to help close a $101 million deficit this year. He requested changes that steps up the state’s power over the funds. Lawmakers must approve them by Jan. 12 to avoid having to re-introduce the bills in the next session.

The measures were aimed at addressing the financial strains that have gripped Atlantic City as its onetime dominance over East Coast gambling is eroded by competition from neighboring states. The closing of four of 12 casinos last year battered Atlantic City’s revenue, and some of those that remain have sought to lower their property-tax bills by challenging the city’s assessments. If the city runs out of cash, it won’t be able to borrow to stay afloat, Guardian said. Moody’s Investors Service grades the city’s debt Caa1, seven steps below investment grade. Standard & Poor’s ranks it B, five levels into so-called junk. “It would be foolish to bond at the rates we would have to,” he said. “If we could find anyone to take our bonds.”

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Yada yada yada.

Fed Tipping Toward December Rate Hike, Minutes Show (Hilsenrath)

The Federal Reserve sent out new signals that officials will raise interest rates in December as long as job growth and inflation trends don’t take a turn for the worse. Most officials meeting last month anticipated that December “could well be” the time to lift short-term rates after leaving them near zero for seven years, according to minutes of their last meeting three weeks ago, released Wednesday. Officials changed the wording of their policy statement at the October meeting—adding a reference to the possibility of a December increase—to ensure their options were open. The Fed has been waiting to see further improvement in the job market and to gain confidence that inflation, which is running below its 2% target, will start moving up.

“Most participants anticipated that, based on their assessment of the current economic situation and their outlook for economic activity, the labor market, and inflation, these conditions could well be met by the time of the next meeting,” the October meeting minutes said. Since the Fed’s October gathering, economic data have generally supported the central bank’s view that the job market is improving and offered some evidence wage and inflation pressures are slowly and gradually starting to build. The U.S. central bank has now warned about rate increases so many times that investors appear to be getting used to the idea. Raising the cost of borrowing typically sends stock prices tumbling, but stocks rose Wednesday, a sign that a rate increase is already priced into markets.

[..] The minutes stated “some” Fed officials felt in October it was already time to raise rates. “Some others” believed the economy wasn’t ready. The wording meant that minorities on both sides of the Fed’s rate debate are pulling in different directions, with a large center inside the central bank inclined to move. Officials cited a number of reasons to avoid delay: They risked creating uncertainty in financial markets by holding off; they risked allowing financial market excesses to build if they kept rates too low; they risked signaling a lack of confidence in the economy if they didn’t move rates higher; and they risked ignoring cumulative gains in the economy already registered. At the same time, the Fed minutes included several new signals that after the Fed does move rates higher, the subsequent path of rate increases is likely to be exceptionally shallow and gradual.

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They need to stop selling themselves. The reason why makes no difference.

Australia Blocks Ranch Sale to Foreigners on Security Fears (Bloomberg)

Australia blocked the sale of the nation’s largest private landowner to an overseas buyer, saying the location of one of the company’s 10 cattle ranches in a weapons testing area could compromise national security. S. Kidman & Co.’s properties were listed for sale in April, with local media reporting that China’s Shanghai Pengxin Group was in exclusive talks to buy the string of ranches for about A$350 million ($250 million). Treasurer Scott Morrison said in a statement that half of Kidman’s Anna Creek station, the nation’s largest single property holding, sits within the Woomera Prohibited Area – a remote stretch of the outback that’s been used to test nuclear bombs, launch satellites and track space missions. Selling Kidman in its current form to a foreigner would be “contrary to Australia’s national interest,” Morrison said in the statement.

Australia’s government has increased scrutiny of foreign acquisitions of agricultural land and earlier this month passed legislation to set up a register of overseas holdings of farm properties. Kidman’s ranches span 101,000 square kilometers (39,000 square miles), or about 1.3% of the nation’s total land area, and carry about 185,000 cattle. The Woomera range “makes a unique and sensitive contribution to Australia’s national defense and it is not unusual for governments to restrict access to sensitive areas on national security grounds,” Morrison said. All bidders have withdrawn their applications to the Foreign Investment Review Board to buy Kidman, Morrison said without identifying them, and it was “now a matter for the vendor to consider how they wish to proceed.”

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The world’s biggest hornet’s nest.

Turkey Could Cut Off Islamic State’s Supply Lines. So Why Doesn’t It? (Graeber)

In the wake of the murderous attacks in Paris, we can expect western heads of state to do what they always do in such circumstances: declare total and unremitting war on those who brought it about. They don’t actually mean it. They’ve had the means to uproot and destroy Islamic State within their hands for over a year now. They’ve simply refused to make use of it. In fact, as the world watched leaders making statements of implacable resolve at the G20 summit in Antalaya, these same leaders are hobnobbing with Turkey’s president Recep Tayyip Erdogan, a man whose tacit political, economic, and even military support contributed to Isis’s ability to perpetrate the atrocities in Paris, not to mention an endless stream of atrocities inside the Middle East. How could Isis be eliminated? In the region, everyone knows.

All it would really take would be to unleash the largely Kurdish forces of the YPG (Democratic Union party) in Syria, and PKK (Kurdistan Workers party) guerillas in Iraq and Turkey. These are, currently, the main forces actually fighting Isis on the ground. They have proved extraordinarily militarily effective and oppose every aspect of Isis’s reactionary ideology. But instead, YPG-controlled territory in Syria finds itself placed under a total embargo by Turkey, and PKK forces are under continual bombardment by the Turkish air force. Not only has Erdoan done almost everything he can to cripple the forces actually fighting Isis; there is considerable evidence that his government has been at least tacitly aiding Isis itself. It might seem outrageous to suggest that a Nato member like Turkey would in any way support an organisation that murders western civilians in cold blood.

That would be like a Nato member supporting al-Qaida. But in fact there is reason to believe that Erdoan s government does support the Syrian branch of al-Qaida (Jabhat al-Nusra) too, along with any number of other rebel groups that share its conservative Islamist ideology. The Institute for the Study of Human Rights at Columbia University has compiled a long list of evidence of Turkish support for Isis in Syria. How has Erdogan got away with this? Mainly by claiming those fighting Isis are terrorists’ themselves And then there are Erdogan’s actual, stated positions. Back in August, the YPG, fresh from their victories in Kobani and Gire Spi, were poised to seize Jarablus, the last Isis-held town on the Turkish border that the terror organisation had been using to resupply its capital in Raqqa with weapons, materials, and recruits – Isis supply lines pass directly through Turkey.

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What’s Justin going to do when the pressure increases?

Trudeau Tells Canada To Reject Racism Amid Opposition To Refugee Plan (Reuters)

The Canadian prime minister, Justin Trudeau, urged Canadians to resist hatred and racism as a poll showed most Canadians were opposed to his plan to bring in 25,000 Syrian refugees by year-end and a flurry of racist incidents were reported around the country. The Liberals, who took power after an election last month, campaigned on a promise to bring in the refugees by 1 January. Critics say the number is too large and could threaten security following the Paris terror attacks. An Angus Reid poll released on Wednesday showed 54% of Canadians opposed the plan, up from 51% before the bloodshed in Paris.

But support for the plan also increased, with 42% in favour, up from 39% in October. Most of those who opposed Trudeau’s plan did so because of the short timeline, with 53% saying the schedule was too short to ensure all the necessary security checks were completed. Another 10% said 25,000 was too many, and 29% said Canada should not be accepting any Syrian refugees. Trudeau has vowed to stick to the plan despite the growing criticism. Travelling through Europe and Asia as part of his first global trip, Trudeau issued an appeal to Canadians to reject racism, and condemned attacks on “specific Canadians” in the aftermath of the attacks by Islamic State in Paris.

A mosque was burned in the Ontario city of Peterborough at the weekend, windows were smashed at a Hindu temple in another city, and a Muslim woman was attacked in Toronto by two men who called her a terrorist and said she should go home. “Diversity is Canada’s strength. These vicious and senseless acts of intolerance have no place in our country and run absolutely contrary to Canadian values of pluralism and acceptance,” Trudeau said. A separate poll by Leger for the TVA news network showed 73% of people in the predominantly French-speaking province of Quebec were worried about attacks in Canada while 60% felt that 25,000 refugees were too many.

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Well, some of the intolerance lasted for centuries. And is over only in law, not in practice.

History Is A Cruel Judge Of Intolerance In America (Bloomberg)

History is a cruel judge of intolerance in America. Let that be a warning to politicians rushing to bar Syrian refugees, especially Muslims, from seeking sanctuary in the U.S. Segregationists are condemned today, even those who later recanted; think of George Wallace. There are few kind words for the American nativist strain, embodied by political movements like the anti-Roman Catholic Know-Nothing Party that flourished in the 1850s. Even progressive icons like Franklin Delano Roosevelt and Chief Justice Earl Warren are censured for their role in interning Japanese-Americans in World War II. On the positive side, Seth Masket of Vox wrote this week about Governor Ralph Carr of Colorado, who in 1942 became a lonely voice for the rights of Japanese-Americans.

Now Republican presidential candidates and governors, and a handful of Democrats, are playing a politically motivated fear card. It doesn’t matter, they argue, if families and little children are fleeing mayhem and carnage in Syria. Don’t let them in, especially if they are Muslims. They cite, of course, the terrorist attack in Paris. Public concern about Syrian refugees is understandable; one of the Paris terrorists might have slipped into Europe with refugees. But real leaders shouldn’t exploit people’s fears. Sometimes their responsibility is to calm them. That’s not what we’re getting from Donald Trump, or from Governor Bobby Jindal of Louisiana, who is straining to get to the right of the other candidates.

Jindal and David Vitter, the Republican senator who is running to replace him – the election is Saturday – have warned of hordes of Syrian refugees threatening the citizens of Louisiana. Vitter said there’s an “influx coming” and that vetting can’t guard against possible “terrorist elements.” The New Orleans Times-Picayune reported this week that there are Syrian refugees in the Bayou State – 14 to be exact. The resettling agency is the New Orleans Archdiocese’s Catholics Charities. The general counsel for the Archdiocese is Wendy Vitter, the wife of Senator Vitter. After Pearl Harbor, the Roosevelt administration decided to put Japanese-Americans in guarded camps.

Colorado’s Carr objected. He said Japanese-Americans were entitled to the same constitutional rights as other citizens and decried the “shame and dishonor” of racial hatred. He was dumped by his own Republican party. The country overwhelmingly supported FDR and Earl Warren, then attorney general of California, who whipped up anti-Japanese sentiment. FDR is now celebrated as a great president. Warren went on to become governor of California and Chief Justice of the United States. His Supreme Court expanded civil rights and civil liberties. Both, however, get bad marks from most historians for their role in internment. Carr’s courage ended his political career. But history smiled. Today there’s a statue of him in downtown Denver. A scenic section of a highway bears his name. The Japanese-American Citizens League has an award in his honor.

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Someone’s got to be getting wealthy over this?!

Former Yugoslav Republic of Macedonia Building Fence Along Greek Border (Kath.)

The Former Yugoslav Republic of Macedonia is erecting a fence on its border with Greece in a bid to block refugees and migrants heading to Central Europe, Kathimerini understands. FYROM has threatened in recent days to put up a fence along the Greek border if countries further along the Balkan refugee trail reduce the number of refugees they are taking in. FYROM’s security council has also taken a decision foreseeing such a move. According to Christos Gountenoudis, the mayor of Paionia, close to the FYROM border, construction is already under way. “Machines have started work behind the border,” he told Kathimerini. The project, which is being overseen by the Balkan state’s army, is expected to raise a 1.5-kilometer-long barbed wire fence running from opposite the small Greek town of Idomeni to the bank of the Axios River.

It appears that FYROM authorities are rushing to get the fence up before countries further north close their borders. Hungary and Slovenia have already built fences along their respective borders with Croatia while Croatia has threatened to put up a fence along its border with Serbia. Thousands of migrants and refugees have crossed into FYROM from Greece in recent weeks. On Wednesday around 5,000 people gathered at Idomeni, while on Tuesday it was 4,600 and on Monday 6,892, sources said. Gountenoudis told Kathimerini he briefed Immigration Policy Minister Yiannis Mouzalas on the construction of the fence. He said he asked Mouzalas what will happen if thousands of refugees end up unable to leave Greece. “He told me the government has a plan,” he said. There are plans for reception centers in Thessaloniki, Kavala and Kilkis, the mayor said.

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Found under ‘disgrace’ in your dictionary.

EU Nations Miss Deadline To Appoint Officers For Refugee Relocations (Guardian)

EU nations have once again missed their own deadline for appointing liaison officers required to coordinate refugee relocations with Greece and Italy, according to information provided by the European commission this week. European council conclusions from 9 November noted that member states committed to appointing the liaison officers to Italy and Greece by 16 November. But the figures released the day after the self-imposed deadline show that 11 member states still have not done so – and six of these – Bulgaria, Croatia, the Czech Republic, Hungary, Latvia and Slovakia – have not provided liaison officers at all. At the council meeting member states had also said they would “endeavour to fill by 16 November 2015 the remaining gaps in the calls for experts and border guards” requested by the European Asylum Support Office (EASO) and Frontex, the European border control agency.

However, the commission figures reveal that only 177 of the 374 experts requested, and 392 border guards of the 775 requested, have so far been provided. The pace of relocation of refugees from the most affected countries – such as Greece and Italy – remains slow. Only 128 refugees from Italy and 30 from Greece have been relocated so far. EU member states agreed in September to relocate 160,000 people in “clear need of international protection” through a scheme set up to relocate Syrian, Eritrean and Iraqi refugees from the most affected EU states to others. The relocation is meant to take place over the next two years, but at this rate it would take 166 years to meet the commitment.

European nations are also falling short in terms of their funding pledges. As of 17 November there is a shortfall of €2.2bn (£1.5bn) to reach the €5.6bn pledged for the UN refugee agency, UNHCR, World Food Programme and other relevant organisations and funds. Member states have collectively provided €573m so far, while the EU, which is matching the national funds, has provided its €2.8bn share. Moreover, the latest data reveals that still too few member states have responded to calls from Serbia, Slovenia and Croatia to provide the resources they need to cope with the refugee crisis. Many items requested by the three countries have not been delivered, including essentials such as beds, blankets, winter tents, clothing and first aid kits.

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Not even near Greece.

20 African Migrants Lost At Sea In Atlantic After Boat Sinks (Reuters)

Around 20 African migrants are missing at sea after their boat sunk in the Atlantic Ocean around 20 miles off the coast of Western Sahara, Spanish sea rescue services said on Wednesday. Spanish lifeguards rescued 22 African men from the sea late on Tuesday in stormy conditions and recovered the corpse of one man. The search continues for the remaining migrants. Survivors say there were over 40 people traveling in the boat, including one woman, the sea rescue services spokesman said. Photographs showed the survivors being transferred from the rescue boat to Gran Canaria island where they were attended to by Red Cross workers in makeshift tents set up in the port. The sea route from West Africa to Spain’s Canary Islands was a major route for migrants attempting to enter Europe until about 10 years ago when Spain stepped up patrols.

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Only solution: immediate ban on feeding livestock antibiotics. Which won’t happen because the chemical industry likes its profits too much.

Antibiotic Resistance: World On Cusp Of ‘Post-Antibiotic Era’ (BBC)

The world is on the cusp of a “post-antibiotic era”, scientists have warned after finding bacteria resistant to drugs used when all other treatments have failed. Their report, in the Lancet, identifies bacteria able to shrug off colistin in patients and livestock in China. They said that resistance would spread around the world and raised the spectre of untreatable infections. Experts said the worrying development needed to act as a global wake-up call. Bacteria becoming completely resistant to treatment – also known as the antibiotic apocalypse – could plunge medicine back into the dark ages. Common infections would kill once again, while surgery and cancer therapies, which are reliant on antibiotics, would be under threat.

Chinese scientists identified a new mutation, dubbed the MCR-1 gene, that prevented colistin from killing bacteria. It was found in a fifth of animals tested, 15% of raw meat samples and in 16 patients. The resistance was discovered in pigs, which are routinely given the drugs in China. And the resistance had spread between a range of bacterial strains and species, including E. coli, Klebsiella pneumoniae and Pseudomonas aeruginosa. There is also evidence that it has spread to Laos and Malaysia. Prof Timothy Walsh, who collaborated on the study, from the University of Cardiff, told the BBC News website: “All the key players are now in place to make the post-antibiotic world a reality. “If MRC-1 becomes global, which is a case of when not if, and the gene aligns itself with other antibiotic resistance genes, which is inevitable, then we will have very likely reached the start of the post-antibiotic era.

“At that point if a patient is seriously ill, say with E. coli, then there is virtually nothing you can do.” Resistance to colistin has emerged before. However, the crucial difference this time is the mutation has arisen in a way that is very easily shared between bacteria. “The transfer rate of this resistance gene is ridiculously high, that doesn’t look good,” said Prof Mark Wilcox, from Leeds Teaching Hospitals NHS Trust. His hospital is now dealing with multiple cases “where we’re struggling to find an antibiotic” every month – an event he describes as being as “rare as hens’ teeth” five years ago. He said there was no single event that would mark the start of the antibiotic apocalypse, but it was clear “we’re losing the battle”.

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