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Debt Rattle October 11 2024

Oct 112024
 
 October 11, 2024  Posted by at 8:22 am Finance Tagged with: , , , , , , , , ,  71 Responses »


Jean-Francois Millet The Young Shepherdess 1870-73

 

• They’re Just Not That Into You (DeMartino)
• ‘Too Late’ For Harris Rematch – Trump (RT)
• Dem Strategist Claims Trump Vowed To EXTERMINATE People With Eugenics (MN)
• ‘Total Killer’ – Trump on Modi (RT)
• Global Denuclearization Deal Was Close – Trump (RT)
• Russia Rubbishes Trump’s Nuclear Arms Claim (RT)
• Nearly 3 Million Americans Have Voted So Far. Here’s What We Know. (ET)
• Delayed Ramstein Meeting Speaks Volumes About Zelensky Regime’s Failure (Sp.)
• Capitulation to Save Lives Only ‘Victory’ Left to Ukraine (DeMartino)
• Netanyahu’s ‘God Complex’ Caused Cancellation of Defense Chief’s US Visit (Sp.)
• Does Israel Wag America or Does America Wag Israel (Paul Craig Roberts)
• The Fall of Israel (Scott Ritter)
• US Elites Inclined to Cover Up P. Diddy Sex Scandal (Sp.)
• Russia Calls Out US Deep State on Covering Up P. Diddy Sex Scandal (Sp.)
• EU Committing ‘Energy Suicide’ – Gazprom CEO (RT)

 

 

 

 

RFK Trump legacy

RFK critical thinking

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Don jr

 

 

 

 

“Volodymyr Zelensky is willing to kidnap his own people and send them to die simply to hold off his defeat until after the US presidential elections.”

• They’re Just Not That Into You (DeMartino)

As Hurricane Milton is nearing landfall, victims of Hurricane Helene are still waiting for supplies and rescue. Meanwhile, FEMA says it doesn’t have enough funding to last the hurricane season and taxpayers in the affected areas are undoubtedly having buyer’s remorse over all the funds Congress has allocated to Ukraine and Israel. The issue, it seems, is the American people don’t really do anything for the elite in this country. Sure, everyday people make up the tax base and quite literally are the economic engine that led to the 1%’s great fortunes, but that’s expected. Ukraine and Israel are new and exciting. Big bombs and bigger contracts, that’s the way to a president’s heart. Volodymyr Zelensky is willing to kidnap his own people and send them to die simply to hold off his defeat until after the US presidential elections.

Benjamin Netanyahu is genociding a population so the West can have a forward operating base in the Middle East. What has North Carolina done for America recently? They’ve been coasting on that “first in flight” tagline for far too long. Last week, White House Press Secretary Karine Jean-Pierre admitted that only $4 million had been sent directly to hurricane victims. That number has likely increased in the week since but it is still a pathetically paltry sum a full week after Hurricane Helene hit. Meanwhile, FEMA keeps touting its top-line number of $286 million, which has primarily been given out to well-connected aid organizations that filled out the organization’s “Vendor Profile Forum,” enabling it to engage in “business with FEMA” (their words) if approved.

And even that number pales in comparison to what the government spent on previous major hurricanes, like Katrina and Andrew. Maybe it is time for Americans to accept the facts. When it comes to the ruling elite and the Biden administration, they just aren’t that into you.

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“..he is “leading in the polls, with the lead getting bigger by the day – and leading in all swing states.”

• ‘Too Late’ For Harris Rematch – Trump (RT)

Republican presidential nominee Donald Trump has said that he is not going to debate his Democratic opponent Kamala Harris again before the November 5 election, and outlined his rationale for the decision. Trump made the announcement on his Truth Social platform on Wednesday, a few hours after Fox News reported that it had made a final pitch to host a televised face-off between the two US presidential candidates in Pennsylvania on October 24 or 27. “It is very late in the process, [early] voting has already begun – there will be no rematch!” he wrote in an all-caps. The former president implied that he had been victorious in his first and only debate with Harris on September 10. “The first thing a prizefighter does when he loses a fight is say that he ‘demands A Rematch,’” he said of his rival in the race for the White House.

A poll commissioned by CNN suggested that 67% of registered voters who watched that debate believed Harris to be the winner. “Besides, Kamala stated clearly, yesterday, that she would not do anything different than Joe Biden, so there is nothing to debate,” Trump pointed out. He was referring to the vice president’s appearance on ABC’s program ‘The View’ on Tuesday, during which the hosts pressed Harris to name a decision she would have made differently if she had been the US president instead of Joe Biden. “There is not a thing that comes to mind,” the Democratic nominee replied. Harris joined the presidential race in June as Biden stepped down as his party’s candidate after a poor performance in his debate with Trump on June 27.

Another reason presented by the Republican contender for not needing to debate his opponent again is because he is “leading in the polls, with the lead getting bigger by the day – and leading in all swing states.” According to polling averages provided by ABC News on Thursday, Harris is actually in the lead, on 48.4%, with Trump 2.5% behind. The former president previously declined the offer by Harris to hold a debate on CNN on October 23. Instead, he suggested another face-off on Fox News on September 4 or on September 25 on NBC News, but the vice president never confirmed her participation.

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“While she was saying all this, CNN’s chyron read “Trump Links Migrants to Murderers: ‘It’s In Their Genes.’”

• Dem Strategist Claims Trump Vowed To EXTERMINATE People With Eugenics (MN)

A deranged Democrat strategist appeared on CNN and claimed that Donald Trump has promised to “exterminate” people with “bad genes,” suggesting that she is at risk because she is a “black lesbian.” Yes, it really has gotten that crazy. Aisha Mills seriously argued that Trump, should he be elected, will engage in a eugenics program to eliminate black people and gay people. “Listen, this isn’t the first time we heard this kind of talk from Donald Trump, and it reeks of authoritarianism,” Mills stated, adding “It also harkens back to a time of Hitler who used the same exact language that Donald Trump is now quoting to talk about the people who he thinks are poisoning the blood of the nation.”

She continued, “You know, all of this smells like an affinity towards eugenics, which really should give us all pause, because when we remember the last person, the last awful authoritarian dictator who believed in eugenics, it was someone who really wanted to exterminate an entire people because they thought that they didn’t have good genes and because they were trying to create a certain type of race.”

Republican strategist David Urban, who was also on the segment, attempted to point out how completely bat shit Mills’ assertions are, urging that it is “just shameful to compare Donald Trump to Adolf Hitler.” Mills charged that Urban is “doing Donald Trump’s bidding” and then claimed that she is “at risk of being exterminated” by Trump for being a “black lesbian.” When Urban asked her to provide any evidence of Trump saying such a thing, she shouted back “I’m not going to be lectured by some white man who has no idea what he’s talking about and is trying to rewrite history here.” “I am afraid as an American of a Donald Trump presidency, and his actual quotes don’t lie because I take him seriously and I think that he believes what he says. And that is why he is a danger and a threat to America,” she further blathered.

While she was saying all this, CNN’s chyron read “Trump Links Migrants to Murderers: ‘It’s In Their Genes.’” This all stems from Trump positing that illegal immigrant murderers, 13,000 of them convicted under the Biden Harris administration, people who have come into the US illegally and have killed Americans, might have “bad genes.” He never talked about “exterminating” anyone, only about securing the border and preventing thousands of murderers and violent criminals getting in. Mills is clearly mentally unstable, yet another example of a rabid leftist engaging in this bizarre fantasy about Trump throwing them in detention camps or even worse, executing them, and contributing to the vile rhetoric that has almost gotten him assassinated twice.

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“On the outside, he looks like he’s your father. He is the nicest and a total killer..”

• ‘Total Killer’ – Trump on Modi (RT)

Former US President Donald Trump has expressed his admiration for Indian Prime Minister Narendra Modi, calling him a “friend of mine” and the “nicest human being.” Speaking on the Flagrant podcast hosted by Andrew Schulz and Akaash Singh, the Republican presidential candidate claimed that India’s political landscape had been “very unstable” before Modi took office in 2014. “On the outside, he looks like he’s your father. He is the nicest and a total killer,” Trump stated. In fact, Modi’s predecessor, Manmohan Singh of the Congress Party, had held power from 2004 to 2014. Trump also reminisced about Modi’s [visit] to the US in 2019, when he participated in the grand ‘Howdy, Modi’ rally in Houston, Texas, addressing the Indian diaspora. The event was attended by tens of thousands and was described as the largest gathering ever for a foreign leader in the US.

”It was me and him, and it was beautiful. There were around 80,000 people, and it felt crazy. We were walking around. Today, maybe I wouldn’t be able to do something like that,” Trump added, seemingly alluding to the recent assassination attempts against him. Trump recounted conversations with Modi regarding India being “threatened” by a “certain country.” “I said, let me help; I am very good with those people,” the former president remarked, before appearing to impersonate Modi, by altering his tone and saying: “I will do it; I will do anything necessary. We have defeated them for hundreds of years.”

“He was talking about a certain country; you can probably guess which one,” Trump continued, apparently referring to Pakistan, India’s nuclear-armed neighbor with which it has had longstanding border disputes and has accused of sponsoring cross-border terrorism. Ahead of Modi’s visit last month to the US for the ‘Summit of the Future’ conference at the United Nations General Assembly in New York, as well as the Quad summit of leaders from the US, Japan, India, and Australia hosted by President Joe Biden in Delaware, Trump suggested that he would meet with the Indian prime minister. “He (Modi) happens to be coming to meet me next week,” Trump stated during a town hall meeting in Flint, Michigan, referring to Modi as a “fantastic man.”

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“Nuclear weapons are “the biggest threat we have in the world today,” Trump argued. “It’s not global warming, where the oceans are rising 1/8 of an inch in the next 500 years.”

• Global Denuclearization Deal Was Close – Trump (RT)

Republican presidential candidate Donald Trump has said Washington almost reached an agreement on nuclear weapons with Russia and China during his time in the White House. The former president made the claim during a two-hour interview with comedian Andrew Schulz, posted on X (formerly Twitter) on Wednesday. “We were close to a deal for getting rid of nuclear weapons. It would be so good,” Trump said. “I’m talking about Russia, ourselves, and China. We would then bring everyone else into it.” Nuclear weapons are “the biggest threat we have in the world today,” Trump argued. “It’s not global warming, where the oceans are rising 1/8 of an inch in the next 500 years.” Neither Russia nor China have yet commented on Trump’s claim about a denuclearization treaty being in the works during his administration.

Trump’s remarks came during a discussion of Iran’s alleged nuclear program, in which he criticized US President Joe Biden for being reluctant to confront Tehran. Biden has publicly urged Israel to refrain from striking Iranian nuclear and oil facilities. The five nuclear-armed members of the UN Security Council struck a deal with Tehran in 2015, under which Iran would not enrich uranium beyond a certain level, and therefore be unable to build atomic weapons. Trump unilaterally withdrew the US from the arrangement in 2018. Though Biden promised to reinstate the deal, his diplomats have failed to get any traction on the issue over the past four years. In 2019, Trump also pulled out of the Intermediate-Range Nuclear Forces Treaty (INF) Treaty, accusing Russia of being in breach of it. That left the New START as the last remaining arms control deal between Russia and the US.

Trump initially sought to get China to join the treaty, but Beijing declined, and it appeared as if New START might expire at the start of Trump’s second term. The Biden White House extended the treaty in February 2021, but it now seems likely to expire in 2026. Russia suspended its participation in New START in February 2023, citing the illegal and illegitimate US sanctions preventing its reciprocal enforcement, as well as US support for Ukrainian attacks on Russian strategic airbases. Trump officially lost the 2020 election to Biden but has questioned the vote’s legitimacy ever since. He won the 2024 Republican nomination and will face current Vice-President Kamala Harris – nominated by the Democrats after Biden withdrew from the race in July – in the November 5 election.

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Or maybe not…

• Russia Rubbishes Trump’s Nuclear Arms Claim (RT)

Russian Deputy Foreign Minister Sergey Ryabkov has denied a claim that Moscow, Beijing and Washington were at one point close to reaching a denuclearization agreement, a claim made earlier this week by former US President Donald Trump. “No, that is not true. It is well-known that attempts by the Trump administration to put a Chinese delegation at the negotiations table with us [Russia and the US] did not end in a success,” the official said on Thursday. Any hypothetical nuclear reduction talks will have to involve “nuclear allies of the US, meaning the UK and the French Republic, which, naturally, showed no desire to join the negotiations too,” Ryabkov added. Trump, who is running for a second term in office, has regularly raised –on his campaign trail– the existential threat posed by nuclear weapons.

In an interview with comedian Andrew Schulz posted on X on Wednesday, the Republican candidate claimed that Russia, the US and China were “close to a deal for getting rid of nuclear weapons,” with “everyone else” potentially brought into it at a later time. The US under Trump pulled out of a number of nuclear-arms-related agreements, including the bilateral Intermediate-Range Nuclear Forces Treaty (INF) with Russia, which it quit in 2018. Washington accused Moscow of violating its terms but Western press reported that the US was concerned that the agreement imposed no restrictions on its rising strategic rival, China. The INF treaty used to ban the US and Russia from developing and deploying certain types of land-based nuclear-capable missiles. It was signed in the late 1980s and was meant to prevent an accidental nuclear war.

The scrapped weapons had flight times of mere minutes, which gave the rival sides of the Cold War a very short window to decide whether to disregard a detected launch as a false positive or to order retaliation, before any incoming weapons reach their targets and the ability to respond is diminished. New START, the last surviving US-Russian bilateral agreement on nuclear reduction, is set to expire in 2026. Ryabkov told journalists that Moscow sees no basis for talks about its prolongation, or any other issues of strategic stability, as long as the US maintains its hostile policy towards Russia. This will remain the case “regardless of who becomes the next president of the US,” he stressed.

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Time flies…

• Nearly 3 Million Americans Have Voted So Far. Here’s What We Know. (ET)

Nearly 3 million Americans have cast early ballots either in person or by mail with under four weeks to go until Election Day, an election tracking site shows. As of 6:43 p.m. on Oct. 9, 2,877,590 people had cast ballots in states that report early voting data, according to an update from the University of Florida’s Election Lab website. Of that figure, nearly 504,000 people had voted early in person, and more than 2.37 million had voted by mail, the tracking site found. About 47.5 million mail-in ballots have been requested so far. In comparison, more than 92 million mail-in ballots were requested through the 2020 election, according to the university. In the states reporting how people voted by party, 56.3 percent of people who had returned early ballots were Democrats, representing about 732,378 people. Another 27.4 percent were Republican, representing 356,797 voters, and 16.2 percent, or 210,980, were independent or members of a third party, according to the website.

When broken down by age, nearly 60 percent of early voters were over 65, the tracking site found. Another 28 percent were age 41 to 65, while 9 percent were age 26 to 40, and only 3.2 percent were aged 18 to 25. Slightly more than 54.4 percent of people who returned early ballots were female, and roughly 44.6 percent were male, the site found. The remaining 1.1 percent were marked “unknown,” according to the site. Among early voters, about 72 percent were white, 8.6 percent were black, 2.2 percent were Hispanic, 2.4 percent were Asian, and 14.3 percent were marked “unknown,” the site stated. Early in-person voting started on Oct. 9 in Arizona, making it the earliest of this year’s presidential battleground states to enable residents to cast a ballot at a traditional polling place ahead of Election Day.The start of in-person voting in the closely contested state is also drawing the presidential tickets, with both campaigns scheduling visits in the state this week.

The Oct. 9 start date for early voting overlaps with campaign stops by both vice presidential nominees, Democrat Minnesota Gov. Tim Walz and Republican Sen. JD Vance (R-Ohio), who are each holding events in Tucson, Arizona, on that day. Vice President Kamala Harris, the Democratic nominee, is scheduled to host a rally in Phoenix on Oct. 10, while former President Donald Trump will hold an event on Oct. 13 in Prescott Valley, north of Phoenix. Early voting, particularly by mail, has long been popular in Arizona, where nearly 80 percent voted before Election Day in 2020, according to the secretary of state’s office. Each of Arizona’s 15 counties is required to open at least one site for in-person early voting, which runs until the Friday before the Nov. 5 general election. In Maricopa County, a dozen voting centers are scattered around the metro Phoenix area. Early in-person voting has been underway in some states for several weeks now. It begins next week in four more swing states: Georgia, Michigan, North Carolina, and Nevada.

Following the devastation wrought by Hurricane Helene in western North Carolina, the state’s election board this week approved an emergency measure that changes voting rules. The rule changes apply to 13 counties that saw infrastructure, voting sites, and mail delivery impacted by Helene, which made landfall in late September. One change approved by the board includes enhancing in-person early voting by allowing county boards to modify early voting sites, dates, and hours. It will also allow a county election board for one county to open a polling site in another county, depending on the circumstances, the state election board stated. Voters in affected counties can now request an absentee ballot in person up until Nov. 4, the day before the general election, according to the election board.

Completed ballots can be dropped off by Nov. 5 at 7:30 p.m. at a polling location. Voters who were displaced are also allowed to turn in ballots to another county’s elections board by the same deadline, the state said. Previously, voters could turn in absentee ballots to early voting sites only in their county or to their county elections board by Election Day. South Carolina took action earlier this month to extend its voter registration deadline to Oct. 14, while Georgia elections officials have said they do not expect major disruptions from Helene. Florida Gov. Ron DeSantis signed an executive order allowing election supervisors in 13 counties impacted by Helene to make voting-related changes. The state is bracing for a major hurricane, Milton, which is expected to hit Florida’s Gulf Coast on the night of Oct. 9.

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“..money follows a winning hand, not a losing one..”

• Delayed Ramstein Meeting Speaks Volumes About Zelensky Regime’s Failure (Sp.)

President Joe Biden’s decision to remain in the United States – resulting in the postponement of a summit in Germany organized by Ukraine’s NATO allies – is not due to Hurricane Milton, asserts ex-DoD analyst and retired US Air Force Lt. Col. Karen Kwiatkowski. “The risk is high that Biden is not current on his understanding of this situation, and will say something that will embarrass or overly commit the US in the region,” Kwiatkowski said, adding that the Biden administration sees “the US must… minimize US policy failures that led to the destruction of Ukraine as a functioning and potential EU state.” According to the pundit, the Biden administration sees “the US must solve a new problem in Ukraine, and to minimize US policy failures that led to the destruction of Ukraine as a functioning and potential EU state.”

“The NATO game in Ukraine has run its course, and money follows a winning hand, not a losing one,” she said, referring to the Zelensky regime’s failed 2023 counteroffensive and Kiev’s “compound strategic miscalculation” in the Kursk region, that cost the Ukrainians even more loss of territory and depletion of manpower. Kwiatkowski continued that Washington’s allies vis-a-vis Ukraine “already understand that a miracle of military prowess and productivity in the West isn’t coming in time to save Ukraine.” In the meantime, NATO war planners don’t seem to be ready to talk about a post-war Ukraine plan yet, she said, presuming that “it must be made ready soon.”

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“The mayor of Dnepropetrovsk today spoke out that there’s a problem, there’s hardly any men in the city, so they have no one to defend the city..”

• Capitulation to Save Lives Only ‘Victory’ Left to Ukraine (DeMartino)

On Saturday, US President Joe Biden indefinitely delayed his meeting with Ukraine’s Volodymyr Zelensky, citing the dual crisis of Hurricane Helene and Milton. However, the delay was also seen as a slight against Zelensky, who planned to press Biden to support his so-called victory plan. Sports are often compared to war. NFL Films are full of flowery prose about the soldiers of the gridiron battling to the finish. And it is often said that there are no symbolic victories, no half-measures, no capitulation in sports. A win –and nothing else– is a win. But life isn’t a sport. There is no timer in real life, except for death, and that can hit zero at any moment. Every day it does for scores of people, some in incredibly gruesome and violent ways, more so in recent years. The elite play with our lives like a sport, but it is not a game. Reality is a shared continual experience that lasts as long as we do, all you can do is work to improve it while you are on the field.

Enter Volodymyr Zelensky, the man ostensibly able to make decisions in Ukraine but one seemingly without the ability to do anything. I imagine Zelensky was proud of himself when he morphed from a comedian with an unusual method of playing the piano, to the NATO-backed and installed “leader” of Ukraine. I imagine that the first night he slept in Marie Palace, he stayed up late thinking about all the things he would do with his newfound power. I also presume he woke up sometime between then and now and found out that power was nothing but a dream. Maybe it was in 2019 when an Azov battalion fighter embarrassed Zelensky while he was allegedly attempting to get them to abide by the Minsk agreements. Or maybe he woke up when Ukraine had a peace treaty signed with Russia, only to have then-UK Prime Minister Boris Johnson come and tell him to scrub the whole thing and condemn his country to a bloody and fruitless fight with a much larger and more powerful country.

Or maybe it was this morning, when he found out the Ramstein conference, where he planned to ask Biden for more assistance and permission to strike deep inside Russia, had been delayed to an unspecified date. Zelensky’s so-called “victory plan” will go unheard. “There is no victory plan for Zelensky. Everybody understands that. His days are numbered,” explained whistleblower and former Ukrainian diplomat Andrii Telizhenko on Sputnik’s The Final Countdown. “We’re going to see how many days there are. [Is he] going to stay afloat until New Year’s? Or [is he] going to stay afloat until November 5th – the [US] elections? Or until January [when the new term begins]? This is Zelensky’s timetable now.” Zelensky is beset by enemies on all sides. Not just on the battlefield but internationally and domestically. The West is no friend to Zelensky. They assured him he could win with their help. They assured him that they’d stick by him “for as long as it takes.”

Anyone with a knowledge of US history could have told him that the US has a history of chewing up and spitting out its supposed allies, but Zelensky was a mere actor, what qualification did he have to doubt the leaders of the West? Since they never blame themselves, the US will blame Zelensky for losing to Russia in a fight they never expected him to win and will look to replace him as Ukraine transitions to a rump state, but they’d prefer that he holds on until after the election in November. “They need to sustain themselves. The deep state, the Biden administration, Kamala Harris, [the] Obamas, they need to show that they are still fueling this war, that they’re fighting Russia to stay afloat until the elections. That is the main goal for them, and until then they will decide what’s going to happen next,” explained Telizhenko.

“Kamala or Trump, they’re going… to blame Europe and Zelensky and the Nazis in Ukraine. [Say] that they didn’t do their job, even though they were given all the money that the world could give them, they didn’t win.” There is also Azov, who never respected Zelensky to begin with and would be furious if he asked for peace. His political rivals are also salivating at Zelensky’s perilous hold on power. “The [Petro] Poroshenko people, the neo-Nazi radical groups, which Zelensky thinks he controls but they’re controlled by the Ukrainian intel and law enforcement, together with the United States [Ukrainian People’s Deputy of Ukraine] Yulia Tymoshenko, [Kiev Mayor Vitali] Klitschko, that crowd, they are going to eat him alive like spiders,” Telizhenko said. Lastly, the people of Ukraine themselves are increasingly turning on Zelensky. Those that wanted, or could be forced to fight in Ukraine have already been sent to the frontline. “The mayor of Dnepropetrovsk today spoke out that there’s a problem, there’s hardly any men in the city, so they have no one to defend the city,” Telizhenko explained.

Over the summer, the anti-war underground in Ukraine started to grow, with multiple videos showing the vehicles used by mobilization officers being burned with gasoline. Without the support of his people, his military, his government, or his nominal allies in the West, Zelensky has one option left: turning to Russian President Vladimir Putin and requesting capitulation. It’s not the end he wanted, but nearly a million Ukrainian men have been killed trying to secure his vision of victory. This is not a game. Zelensky should not worry himself with what he could have had, even though what he was offered by the Russians in Istanbul is far better than he can hope for now. Instead, he needs to look forward and make the only move he can to end the bloodshed. “A win for Ukraine is saving more lives,” argued Telizhenko. “As [many] lives as they can save, as [many] men they can save, women and children to rebuild Ukraine in the future, that’s going to be a win for Ukraine.”

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“..The closer the US election nears, the more unhinged Netanyahu gets and the more “outrageous actions” he performs..”

• Netanyahu’s ‘God Complex’ Caused Cancellation of Defense Chief’s US Visit (Sp.)

The sudden cancellation of Israeli Defense Minister Yoav Gallant’s visit to the US may be related to his complicated relationship with Israel’s PM Netanyahu, suggests Tel Aviv-based international relations expert Dr. Simon Tsipis. According to Tsipis, Netanyahu is afraid that Gallant may be gunning for him and would immediately start plotting against him upon arriving in the US. “Netanyahu is paranoid, he has a king syndrome, a god complex,” says Tsipis. “He constantly fears that someone might overthrow or supplant him. This paranoia of his grows more acute with each passing day. He sees traitors everywhere, he sees enemies inside his inner circle.” Seeing how the potential Israeli strike on Iran was the very issue Gallant and Austin were supposed to discuss in the US, Netanyahu basically ended up “holding hostage the entire Middle East, including Israel’s population and Iranian society,” argues Tsipis.

The situation is further complicated by the fact that Netanyahu is essentially trying to blackmail the US by threatening to start a major conflict right on the eve of the US presidential election, the expert adds. “The relations between the US and Netanyahu are quite strained. Neither Democrats nor Republicans can hold the election normally if there is a big war raging in the Middle East,” Tsipis explains. “This is Netanyahu’s biggest leverage and the primary instrument of blackmail.” The closer the US election nears, the more unhinged Netanyahu gets and the more “outrageous actions” he performs, Tsipis notes.

He also suggests that the upcoming phone call between Netanyahu and US President Joe Biden is going to be related to the security situation in the Middle East: namely, Netanyahu will likely seek the United States’ support in case of a war with Iran, whereas Biden will probably demand from Netanyahu to not start such war in the first place. Finally, Tsipis points out that one should not necessarily equate Benjamin Netanyahu with Israel. “Netanyahu does not represent the entire Israel,” he insists, arguing that the Israeli prime minister currently “acts as a dictator.”

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“We are approaching Armageddon from two directions, and the word can’t get out.”

• Does Israel Wag America or Does America Wag Israel (Paul Craig Roberts)

Americans who pay attention are critical of Israel for its control not only of US foreign policy but also US domestic policies, such as those regulating speech, and even tenure decisions of Catholic universities. CIA personnel have complained that attempts to rein-in Israeli spying on America have been politically blocked. John Mearsheimer and Stephen Walt in their book, The Israel Lobby and U.S. Foreign Policy, reveal Israel’s power over America. It is hard to see it any other way when American universities, such as Harvard, prevent students from protesting Israel’s genocide of Palestine, and when in the middle of the genocide, the US Congress shows its support for the genocide by inviting Israeli prime minister Netanyahu to address Congress and reward his war crimes with 53 standing ovations. How can Washington be any more subservient to Israel than that?

[..] Michael Hudson and Richard Wolfe are credible witnesses, because they, especially Hudson, participated in the formation of Washington’s policy to use and direct Israel in behalf of US hegemony in the Middle East. Israel is Washington’s proxy against the Muslims, just as Ukrainians are Washington’s proxy against Russia, just as Georgians were when Washington sent them to invade South Ossetia, and just as the British and Europe are by serving Washington’s hegemony at the risk of their own destruction. Looking at it from this standpoint, the view that Israel controls Washington serves as a cover to protect Washington from responsibility for Israel’s actions that serve Washington’s agendas.

Instead of choosing between the two explanations, I would say both are true. The cover has been in place for 50 years, and during that time due to belief in it, acquired its own power. The consequence is that whereas Israel has as much power over Americans’ First Amendment rights as the US Supreme Court, Israel continues as Washington’s proxy against the Arabs. The Hudson-Wolfe explanation originated as an interview hosted by Nima Alkhorshid on October 6, 2024. At places it seems there are errors in the transcription that result in confusion, but if you attend to the confusing passages you can figure out what is being said.

In the last part of the interview, Hudson and Wolfe seem to agree with my position that the Russians, Arabs, and Iranians are miscalculating when they rely on threats of wider war and demonstrations of ability to strike Israel to bring the Washington hegemon to his senses. What they are actually doing is giving away their strategic advantage to Washington and to Israel without getting credit for trying to stop the widening of the wars. Hudson and Wolfe support the point that I have often made. No one with a wide audience, money, or clout from a think tank, university, or major foundation is saying a word about the risks of two wars spinning out of control into nuclear war. Those few of us speaking are isolated individuals denounced as Russian agents, anti-semites, and purveyors of disinformation. This should scare the world to death. We are approaching Armageddon from two directions, and the word can’t get out.

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“..a propensity for violence against innocents which defines the Israeli way of war and, by extension, the Israeli nation..”

• The Fall of Israel (Scott Ritter)

I have previously written about Hamas’ Oct. 7, 2023, attack on Israel, calling it “the most successful military raid of this century.” I have described the Hamas action as a military operation, while Israel and its allies have called it a terrorist action on the scale of what transpired against the United States on Sept. 11, 2001. “The difference between the two terms,” I noted, “is night and day — by labeling the events of October 7 as acts of terrorism, Israel transfers blame for the huge losses away from its military, security, and intelligence services, and onto Hamas. If Israel were, however, to acknowledge that what Hamas did was in fact a raid — a military operation — then the competency of the Israeli military, security, and intelligence services would be called into question, as would the political leadership responsible for overseeing and directing their operations.”

Terrorism employs strategies that seek victory through attrition and intimidation — to wear an enemy down and create a sense of helplessness on the part of the enemy. Terrorists by nature avoid decisive existential conflict, but rather pursue asymmetrical battle which pits their strengths against the weaknesses of their enemies. The war that has gripped the Levant since Oct. 7, 2023, is not your traditional anti-terrorism operation. The Hamas-Israeli conflict has morphed into a conflict between Israel and the so-called axis of resistance involving Hamas, Hezbollah, Ansarullah (the Houthi of Yemen), the Popular Mobilization Forces, i.e. militias of Iraq, Syria and Iran. It is a regional war in every way, shape, or form that must be assessed as such. The Prussian strategist Carl von Clausewitz noted in his classic work, On War, that “war is not merely a political act but a real political instrument, a continuation of political intercourse, a carrying out of the same by other means.”

From a purely military perspective, the Hamas raid on Israel on Oct. 7, 2023, was a relatively minor engagement, involving a few thousand combatants from each side. As a global geopolitical event, however, it has no contemporary counterpart. The Hamas raid triggered a number of varied responses, some of which were by design, such as luring the Israeli Defense Forces into Gaza, where they would become trapped in a forever war they could not win, triggering the dual Israeli doctrines governing military response to hostage taking of the “Hannibal Doctrine” and the Israeli practice of collective punishment, the “Dahiya Doctrine.” Both of these doctrines put the IDF on display to the world as the antithesis of the “world’s most moral military” by exposing the murderous intent ingrained into the DNA of the IDF, a propensity for violence against innocents which defines the Israeli way of war and, by extension, the Israeli nation.

Prior to Oct. 7, 2023, Israel was able to disguise its true character to the outside world, convincing all but a handful of activists that its actions in targeting “terrorists” were proportional and humane. Today the world knows Israel as the genocidal apartheid state it really is. The consequences of this new global enlightenment are manifest.

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“..federal authorities possess “several terabytes of electronic data from P. Diddy and his empire”..”

• US Elites Inclined to Cover Up P. Diddy Sex Scandal (Sp.)

US media earlier reported that federal authorities possess “several terabytes of electronic data from P. Diddy and his empire” as part of the prosecution of the 54-year-old hip-hop mogul. Speaking to Sputnik, US constitutional historian and political commentator, Dan Lazare, said that it remains to be seen how the sex scandal surrounding American rapper Sean Combs, better known as P. Diddy, will further unfold. The scandal shows “the really ugly underside of the US entertainment industry, where one man, a billionaire, was able to run wild and essentially engage in a lot of sex crimes of a really horrific sort, against women,” Lazare underscored. He recalled that there are “a lot of very big name celebrities who are there, including Donald Trump, Al Sharpton, many Hollywood stars, etc.”

With the 2024 US presidential election race now in full swing, the photograph of P. Diddy with the former POTUS and his wife Melania could have been released “in an attempt to get Trump, to embarrass Trump,” Lazare said. According to the analyst, “some members” of the American elites “are so inclined to cover up” the brouhaha over the P. Diddy case. “Certainly, he was buying influence, and he was eagerly sought out by some of the most famous names of the day, all of whom are now acutely embarrassed to be associated with him. It reminds me of the Jeffrey Epstein scandal. And Epstein made a big point of cultivating the most prominent people in America. So it’s very similar,” Lazare pointed out.

The analyst didn’t rule out that further information on the scandal, and the possible involvement of the US deep state, including its intelligence agencies such as the FBI “will come out” soon. “How far this scandal will go is impossible to say,” the analyst concluded. P. Diddy, who was arrested at a New York hotel on September 16, is charged with sex trafficking, racketeering and transportation to engage in prostitution, among other felonies. Combs has been denied a $50 million bail after pleading not guilty to all the charges.

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“..a smokescreen and a distraction from the bottomless decline of a society whose elite rapes children.”

• Russia Calls Out US Deep State on Covering Up P. Diddy Sex Scandal (Sp.)

54-year-old Sean Combs, also known as P. Diddy, was charged earlier with sex trafficking, racketeering, conspiracy and other felonies. US political elites knew perfectly well about the crimes committed by P. Diddy, but they turned a blind eye to it, Russian Foreign Ministry spokeswoman, Maria Zakharova, told Sputnik when commenting on the scandal surrounding the US rapper. She stated that the scandal is not merely a problem, but a catastrophe, and what’s been revealed is just “the tip of the iceberg.” For many years, P. Diddy’s “white parties” were highly exclusive and not all Hollywood stars were given access. Participation at this level of crime was reserved for the highly exceptional business elites only, according to the Russian Foreign Ministry spokeswoman.

US law enforcement agencies and special services were involved in all this media blackmail, as well as “thousands of people” who were engaged in the “criminal network,” Zakharova said. She also noted that many US experts believe the content of those “freak-offs” was recorded. The records enabled the creation of an “elite network” which has been spreading information to manipulate public opinion for years. Zakharova also made the topic-related remarks on her Telegram page: “Now it is clear why the American deep state is interested in foreign policy, the Ukrainian agenda, hacking accusations against Russia, the “remlin hand,” and purported interference in US elections – all this is a smokescreen and a distraction from the bottomless decline of a society whose elite rapes children.”

The idols of the American show business have collapsed, and continue to do so, dragging neoliberal values into the abyss with them.” “It’s funny and terrifying that a show business big shot has been accused of all the sins of modern America, camouflaged by its political establishment as the new normal.” “All of America knew about these ‘white parties.’ They were discussed so widely that they became memes. A unique situation: everyone talked, but kept mum on the main thing,” Zakharova concluded.

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“..the “deindustrialization of Europe” will continue..”

• EU Committing ‘Energy Suicide’ – Gazprom CEO (RT)

The EU economy is suffering without cheap Russian gas and its industrial production has slumped to record lows, Gazprom CEO Aleksey Miller has said. His comments came after the German government warned that the EU’s economic powerhouse is facing a second consecutive year of recession in 2024. The EU gas market is seeing ‘demand destruction’, Miller told the St. Petersburg International Gas Forum on Thursday. The term refers to a situation in which persistently high prices or limited supply of a certain commodity lead to lower demand for it and trigger a search for alternatives. “Some [experts] say that [the situation] may be described as Europe’s energy suicide,” the head of the Russian state-run energy giant said. Others say that the “economic locomotive” has turned into “the sick man of Europe,” Miller added, in apparent reference to Germany.

The EU’s largest economy contracted 0.3% last year, with the slowdown being attributed partly to a sharp drop in pipeline gas imports from Russia. Germany’s GDP is expected to decline by a further 0.2% this year, Berlin’s Ministry for Economic Affairs announced on Wednesday. That would mark the second straight year of recession for the country. Miller argued that the “deindustrialization of Europe” will continue, as well as increasing volatility in the gas market, warning that the trend could lead to “a new price shock for gas and supply disruptions.” According to the Gazprom chief, EU policies have resulted in a nearly 10% decline in industrial production in the bloc, to the lowest levels in a decade. European industry will not become more competitive, Miller argued, saying that industries in the US spend up to five times less on energy.

The EU previously received the bulk of its Russian gas via the Nord Stream pipelines, but supplies stopped indefinitely after the under-sea infrastructure was damaged in a sabotage attack in September 2022. According to EU statistics, Russia’s share in EU gas supplies plunged from 45% in 2021 to 15% in 2023. Russian gas is currently delivered to Western and Central Europe via Ukraine, based on a contract signed by Gazprom and Naftogaz in 2019. Kiev, however, has said it has no intention of extending the agreement when it expires at the end of this year.

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Dems drove Elon away

 

 

Elon Obama
https://twitter.com/i/status/1844045138177192180

 

 

Friedman
https://twitter.com/i/status/1844259132926534118

 

 

Stray

 

 

Night train
https://twitter.com/i/status/1844219708440281390

 

 

Pineapple

 

 

 

 

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

 

 

 

 

 

Debt Rattle September 11 2024

Sep 112024
 
 September 11, 2024  Posted by at 8:40 am Finance Tagged with: , , , , , , , ,  61 Responses »


Pablo Picasso Bather 1908

 

• Trump Says Debate Performance Against Harris His Best Ever (Sp.)
• Harris Tried to ‘Hide Her Imposter Syndrome’ in Debate – Psychiatrist (Sp.)
• The Votes and Who Counts Them (Jim Kunstler)
• Melania Trump Demands ‘Truth’ About Shooting of Husband (RT)
• Michigan Supreme Court Blocks RFK Jr.’s Bid to Remove Name From Ballot (ET)
• More Ukrainians Want Talks With Russia – WSJ (RT)
• Ukraine Conflict ‘Much Worse’ Than Americans Are Being Told – Trump (RT)
• Slovakia PM Fico Accuses World Of Ignoring Ukraine’s ‘Nazi Troops’ (RT)
• Modi’s Peace Plan: How India Is Navigating The Ukraine Conflict (RT)
• Durov Still Does Not Get It (Karganovic)
• Russian Security Chief Explains West’s Key ‘Mistake’ (RT)
• Kremlin Explains Putin’s Decision on UN General Assembly (RT)
• Elon Musk May Be Summoned to UK Parliament for Questioning on X Activities (Sp.)
• US ‘Going Bankrupt Extremely Quickly’ – Musk (RT)

 

 

 

 

 

 

RFK Trump

 

 

Numbers

 

 

RFK unify

 

 

Mail-in

 

 

judge Joe Brown

 

 

Lara

 

 

Elon SNL

 

 

 

 

Don’t see much commentary on the debate yet. But predictably, both sides will have seen their candidate win.

What’s remarkable is that the Dems all of a sudden want another debate, something they strongly opposed before. That would seem to indicate that they don’t think Kamala won this one.

• Trump Says Debate Performance Against Harris His Best Ever (Sp.)

Former US President Donald Trump said following his debate with Vice President Kamala Harris that he had his best debate performance ever, despite Trump believing that the moderators were aiding Harris. “I thought that was my best Debate, EVER, especially since it was THREE ON ONE,” Trump said on Tuesday via Truth Social. People are calling Trump’s performance a “big win,” the former president also said. The Harris campaign likewise praised her debate performance and suggested a second debate in October. Donald Trump criticized President Joe Biden for not making an effort to talk to Russian President Vladimir Putin in two years to try to resolve the conflict in Ukraine. “He [Biden] hasn’t even made a phone call in two years to Putin, hasn’t spoken to anybody. They don’t even try and get it. That is a war that’s dying to be settled,” Trump said on Tuesday night in his debate against his Democratic rival Kamala Harris.

Trump said in a presidential debate that he wants the Ukraine conflict to come to an end immediately and claims he will be able to immediately broker a peace plan if reelected. “I want the war to stop, I want to save lives,” Trump said on Tuesday night in the debate against Democratic nominee Kamala Harris. Trump said he would speak with Russian President Vladimir Putin and Ukraine’s Volodymyr Zelensky, adding that he would also be able to get both leaders to negotiate and end the conflict. It is in the United States’ best interest to get the Ukraine conflict resolved quickly, Trump added. The campaign of Democratic nominee Kamala Harris said that the second debate with Republican nominee Donald Trump should take place next month, Harris-Walz campaign Chair Jen O’Malley Dillon said in a statement.

“Under the bright lights, the American people got to see the choice they will face this fall at the ballot box: between moving forward with Kamala Harris or going backwards with Trump,” O’Malley said after the first presidential debate concluded on Tuesday night. “That’s what they saw tonight and what they should see at a second debate in October. O’Malley also said that Harris is ready for a second debate but questioned whether Trump is ready. Kamala Harris said during a debate with former US President Donald Trump that the United States does not have troops in any conflict zone around the world.

“As of today, there is not one member of the US military who is in active duty in a combat zone, in any war zone around the world – the first time this century,” Harris said on Tuesday evening. The US military has had forces deployed in countries around the world under the Biden administration, including Syria, Iraq and Jordan. During the June debate between Trump and US President Joe Biden, Biden falsely claimed that he was the only president to not have any troops die anywhere in the world. In August 2021, 13 US military servicemembers died during the withdrawal from Afghanistan, due to a suicide bombing at the airport in Kabul. Moreover, in January 2024, three US troops were killed by a drone attack in Jordan.

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“Trump also claimed Harris wants to do a second debate because she “got beaten.”

• Harris Tried to ‘Hide Her Imposter Syndrome’ in Debate – Psychiatrist (Sp.)

Less than two months away from the US presidential election, former POTUS Donald Trump faced off against current Vice President Kamala Harris in a highly anticipated debate on Tuesday night. Donald Trump “made some good points” during the presidential debate, while vice president Kamala Harris got through by “skirting the issues,” board-certified psychiatrist Dr. Carole Lieberman told Sputnik. Overall, the face-off was described as “extremely disturbing” by the best-selling author based in Beverly Hills, California. She noted that former California Attorney General Kamala Harris had prepared for the debate “more than for anything else in her life. Even the law boards.”
“In order to hide her imposter syndrome, she memorized lines that she hoped would derail Trump. Imposter syndrome is where someone knows they don’t have the qualifications for the position they are in, so they feel like an imposter.

Kamala doesn’t have the qualifications to be vice president, no less president. She has to know Biden picked her to be vice president because she is a ‘woman of color.’ He picked her to get votes from these demographics, not because she was the most qualified,” the pundit remarked. As for Trump, he was “overly concerned with not wanting to seem out of control” if he took Harris’ bait, the psychiatrist said. She remarked that one of Trump’s “best lines” was when he called out the VP over her father, Donald J. Harris, “for being a Marxist, which we all know is true.” “He knew where the bones were buried and he should have exposed more of them. At times, Kamala exposed her weakness by grimacing and trying to get at Trump more strongly, such as when she resorted to accusing him of being a criminal. His retorts to that were to call it what it was – lawfare,” noted the writer.

Looking ahead, Dr. Lieberman voiced hope that there would be a second debate between Trump and Harris and the former president would have a chance “to expose more of her sinister plans for America.” VP Kamala Harris and former POTUS Donald Trump faced off on Tuesday for their first presidential debate in Philadelphia on Tuesday. After the 90-minute event, hosted by ABC News, Trump told the media that he believed it was his “best debate ever.” Trump also claimed Harris wants to do a second debate because she “got beaten.” The Republican presidential contender has not yet committed to another one-on-one later this month.

https://twitter.com/i/status/1833450191552451008

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jim tells me his host server is/was down, but his articles are also on Substack…

• The Votes and Who Counts Them (Jim Kunstler)

“The world is a dangerous place to live — not because of the people who are evil but because of the people who don’t do anything about it.” —Albert Einstein. When The New York Times tells you that the United States Constitution is a threat to democracy — As it did on the front page of its August 31 edition — you know that you are in thrall to exceedingly subtle minds. The Times only employs persons, both birthing and other, of the subtlest minds. You can tell because they are credentialed by our country’s finest institutions of educational credentialing. They come to The Times fully equipped with the armamentarium of advanced, progressive, innovative, nuanced, cutting-edge modes of understanding our world — which, you’ll agree, is a pretty goshdurned complex place, and rather niggardly in yielding its secret workings. Hence, The Times has concluded that the Constitution is flawed, perhaps fatally, because it allowed for the election of Donald Trump once, and now, possibly, a second time:

“It’s no surprise, then, that liberals charge Trump with being a menace to the Constitution. But his presidency and the prospect of his re-election have also generated another, very different, argument: that Trump owes his political ascent to the Constitution, making him a beneficiary of a document that is essentially antidemocratic and, in this day and age, increasingly dysfunctional.” The Constitution does not stipulate a particular election day, but subsequent US law established the first Tuesday after the first Monday in November as the day for federal elections (the states can establish their own election dates for state and local offices). This changed beginning in the year 2000, when Oregon legislated to conduct all elections by mail-in ballot and other states followed with alterations to voting methods beyond a single election day.

The Covid-19 pandemic prompted states to permanently relax rules on absentee ballots and expand mail-in voting, under guidance from the federal agencies such as the CDC, while the CARES Act of 2020 provided emergency funding to implement procedures for mail-in voting in order to reduce in-person voting that might enable the spread of Covid-19. All of that followed orderly legislative procedure. The result was widespread ballot fraud, especially in crucial swing voting districts, much of it arrant. Contrary to official narratives out of the “Joe Biden” administration and the salient organs of corporate news, the allegations of widespread fraud were not “baseless” nor were they “conspiracy theories.” Subtle minds schooled in nuanced, cutting-age modes of analysis agreed to ignore documentary evidence of ballot fraud because it disfavored their preferred candidate, “Joe Biden.” Subtler judicial minds subsequently dismissed challenges to official tallies.

Other shenanigans such as the $400-million that Mark Zuckerberg (Meta and Facebook) injected into swing districts for “election administration and voter turn-out,” via his Center for Tech and Civic Life (CTCL), was not adjudicated in any court. The upshot of the “Zuckerbucks” prank was that polling offiicials in many precincts were replaced by Democratic Party activists who ended up counting the votes. The Federal Election Commission (after “Joe Biden” became president) decided that under federal campaign finance law, the contributions were not seen as illegal — though the “Zuckerbucks” scandal did lead to legislative reform in several states.

You might suppose in the years since the 2020 election that opportunity would be seized to materially correct the weaknesses of mail-in ballots, early voting, ballot “harvesting” practices, giant “balloting centers,” and the use of vote-tallying machines (Dominion, etc.) with modems allowing for Internet hackery. The best and simplest reform would be a return to paper ballots cast only on one election day, with voter ID and proof of citizenship (accomplished prior in voter registration), conducted in smaller, distributed precinct polling places that make hand-counting of ballots practical. Alas, this was too difficult for Congress, while the subtle, nuanced, cutting-edge minds working in news media were not interested in such straightforward reform and did not advocate for it.

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”There is definitely more to this story, and we need to uncover the truth..”

• Melania Trump Demands ‘Truth’ About Shooting of Husband (RT)

Former First Lady Melania Trump has called for answers to “uncover the truth” behind the attempted assassination of her husband, former President Donald Trump, nearly two months ago. Trump narrowly escaped death when Thomas Matthew Crooks, 20, opened fire on him during a rally in Butler, Pennsylvania on July 13. The incident was a “horrible, distressing experience” for the family, Melania said in a video posted on X on Tuesday. ”Now, the silence around it feels heavy. I can’t help but wonder: Why didn’t law enforcement officials arrest the shooter before the speech?” The would-be assassin positioned himself on a nearby rooftop that provided an unobstructed view of the Republican candidate. One bullet grazed the former president’s right ear, resulting in one attendee’s death and injuries to two others. The shooter was subsequently killed by Secret Service agents.

The House of Representatives unanimously voted to create a bipartisan task force to investigate the attempted assassination. Comprised of seven Republicans and six Democrats, the task force aims to examine potential security lapses at the federal, state, and local levels of law enforcement that preceded the incident. In an interview last month, Trump accused President Joe Biden and his Democratic rival, Kamala Harris, of being partly responsible for the assassination attempt. “I think to a certain extent it’s Biden’s fault and Harris’ fault,” he said, claiming they “were making it very difficult to have proper staffing in terms of Secret Service” and “weren’t too interested in my health and safety,” while promoting rhetoric that could have encouraged the shooter. ”There is definitely more to this story, and we need to uncover the truth,” Melania said in the video, which appears to promote her upcoming memoir.

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“..a significant cost to the integrity of the election: the voters will be improperly denied a choice between persons who are actually candidates, and who are willing to serve if elected..”

• Michigan Supreme Court Blocks RFK Jr.’s Bid to Remove Name From Ballot (ET)

The Michigan Supreme Court has denied Robert F. Kennedy’s request to have his name removed from the state’s general election ballot, reversing a lower court ruling and closing the last legal avenue available to Kennedy in the case. In a split 5–2 ruling issued on Sept. 9, the Michigan Supreme Court reinstated the original ruling by the Michigan Court of Claims, which denied Kennedy’s motion for mandamus relief, an extraordinary legal remedy that requires a plaintiff to demonstrate a clear legal right and that the defendant, in this case the Michigan Secretary of State, has a clear duty to act. The high court ruled that Kennedy did not provide a clear legal basis requiring the removal of his name from the November ballot and failed to identify a law that would leave no room for discretion in this matter on the part of election officials.

“Plaintiff has neither pointed to any source of law that prescribes and defines a duty to withdraw a candidate’s name from the ballot nor demonstrated his clear legal right to performance of this specific duty, let alone identified a source of law written with ‘such precision and certainty as to leave nothing to the exercise of discretion or judgment,’” reads the majority opinion, which reversed an appeals court’s decision that sided with Kennedy and reinstated the lower court’s decision that dismissed his request with prejudice. Michigan Supreme Court Justices Brian K. Zahra and David F. Viviano dissented. They argued that there was no statute prohibiting Kennedy from withdrawing from the election and no practical reason to deny Kennedy’s request to remove his name from the ballot before ballots were printed. Their dissent focused on harm to voters, contending that keeping Kennedy on the ballot would confuse voters and distort the true electoral choice.

“There is, however, a significant cost to the integrity of the election: the voters will be improperly denied a choice between persons who are actually candidates, and who are willing to serve if elected,” the dissenting justices wrote. “The ballots printed as a result of the Court’s decision will have the potential to confuse the voters, distort their choices, and pervert the true popular will and affect the outcome of the election.” Days before the Supreme Court decision, the Michigan Court of Appeals argued that Kennedy had a “clear legal right” to withdraw, emphasizing that no specific statute prevented a presidential candidate from stepping down, even one nominated by a minor party. Kennedy, who had been nominated by the Natural Law Party, withdrew from the presidential race on Aug. 23 and endorsed former President Donald Trump. At the time, Kennedy said he wanted his name removed in key swing states so as not to draw votes away from the former president.

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“..57% of the public wanted dialogue with Russia to begin..”

• More Ukrainians Want Talks With Russia – WSJ (RT)

An increasing number of Ukrainians want Kiev to find a diplomatic solution to the conflict with Moscow, the Wall Street Journal has reported. In its article on Tuesday, the US outlet acknowledged that “some Ukrainians are asking a question that had until recently been taboo: Is it time to try to negotiate?” According to the article, opinion polls show that support for talks with Russia has been “creeping upward” in Ukraine since the failure of Kiev’s much-hyped counteroffensive last year. While it contended that a majority of Ukrainians still want their country to keep fighting to retake all territories captured by Russia, it did not provide exact figures. Another poll, published by the Kiev International Institute of Sociology (KIIS) in early August, suggested that 57% of the public wanted dialogue with Russia to begin.

The outlet cited a 33-year-old school teacher from the southeastern city of Zaporozhye, who said that she is willing to give up any part of territory in exchange for peace so that her husband could return home from the front line. “Where can we go with this war?” she wondered. The group that is most skeptical about a peace deal with Russia is the Ukrainian military, with one recent survey showing that only 18% of active-duty troops and veterans are in favor of the talks, the article read. According to the same poll, 15% of soldiers and veterans said they would join an armed protest if Kiev signs an unfavorable agreement with Moscow. The members of the military who spoke to the WSJ said that they were concerned that Russia could use a pause in the fighting to prepare for a new attack on Ukraine and that seeking peace with concessions would mean that the sacrifice of their fallen comrades had been in vain.

During his meeting with US Defense Secretary Lloyd Austin at Ramstein Air Base in Germany on Friday, Ukrainian leader Vladimir Zelensky suggested that the conflict between Russia and Ukraine should end “this fall.” According to Zelensky, in order for this happen, NATO must keep arming Kiev and increase pressure on Moscow to agree to the Ukrainian peace plan, which calls for the withdrawal of Russian forces from all territories that Kiev considers its own, including Crimea, and for Moscow to pay reparations and submit its officials to war tribunals.

Last week, Russian President Vladimir Putin reiterated that Moscow had “never refused” negotiations with Kiev, but stressed that they should take place “not on the basis of some ephemeral demands but on the basis of the documents that were agreed to and actually initialized in Istanbul” in late March 2022, when the sides last sat at the negotiating table. During the talks in Türkiye, Ukraine was willing to declare military neutrality, limit its armed forces, and vow not to discriminate against ethnic Russians. In return, Moscow would have joined other leading powers in offering Ukraine security guarantees, Putin said.

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“Don’t kid yourself… We are playing with WWIII, and we have a president that… Where is our president?”

• Ukraine Conflict ‘Much Worse’ Than Americans Are Being Told – Trump (RT)

Donald Trump has claimed that President Joe Biden’s Ukraine policy – now fully adopted by his Democratic rival Kamala Harris – is dragging the US into a third world war. He reiterated that he would settle the conflict “in 24 hours” if elected president this November, even before being sworn in. During a debate with Harris on Tuesday, Trump asserted that the conflict would never have occurred had he still been in the White House in early 2022. When asked if he wanted Kiev to win, the Republican replied that he wanted “the war to stop.” “I want the war to stop. I want to save lives that are being wasted… People are being killed by the millions…. It’s so much worse than the numbers you’re getting, which are fake,” he claimed, without clarifying the source of those estimates.

The moderator pressed for a direct answer, inquiring whether Trump believes “it’s in the US’s best interest for Ukraine to win this war.” “I think it’s in the US’s best interest to get this war finished and just get it done. We need to negotiate a deal because we have to stop all these human lives from being destroyed,” Trump insisted. The former president then claimed he had a “good relationship” with Russian President Vladimir Putin and that everything has “gone to hell” since he left office. “When I saw Putin building up soldiers on Ukraine’s border, I thought: ‘Oh, he must be negotiating; it must be a strong point of negotiation,’” Trump stated. ”Well, it wasn’t, because Biden had no idea how to talk to him. He had no idea how to stop it… And it is only getting worse; it could lead to World War III,” he added. “Don’t kid yourself… We are playing with WWIII, and we have a president that… Where is our president?”

“They threw him out of the campaign like a dog… We have a president that doesn’t even know he’s alive.” “I will get it settled before I even become president,” Trump promised. “If I win, when I’m president-elect… I’ll get them together.” Harris countered by claiming that the only reason Trump says “this war would be over within 24 hours” is that he would simply give it up. “And that’s not who we are as Americans,” she added. The Vice President went on to tout her role in consolidating Western support for Ukraine, claiming that because of “the work that I and others did,” along with the provision of “air defense, ammunition, artillery, javelins, and Abrams tanks,” Ukraine remains an “independent and free” country.

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“The international community should recognize that troops using Nazi insignia, who often appear to act as such, cannot fight in Ukraine.”

• Slovakia PM Fico Accuses World Of Ignoring Ukraine’s ‘Nazi Troops’ (RT)

People eager to condemn the atrocities committed by the Third Reich are at the same time turning a blind eye to Ukrainian troops wearing Nazi symbols today, Slovakian Prime Minister Robert Fico has lamented. The head of the government gave a speech at the holocaust museum located at the former site of the Sered concentration camp on Monday in western Slovakia, in which he highlighted the need to educate new generations about the crimes committed by Nazis during World War II before bringing up the Ukraine conflict. “We all talk about fascism, Nazism, while silently tolerating units moving across Ukraine that have a very clear label and are connected to movements that we consider dangerous and forbidden today. Since it is a geopolitical fight, nobody cares,” Fico said.

“I want to pay tribute to the victims, not with pathetic speech, but I want to call for action,” he added. “The international community should recognize that troops using Nazi insignia, who often appear to act as such, cannot fight in Ukraine.” Kiev has embraced as heroes Ukrainian nationalists who collaborated with Nazi Germany while the symbols and ideology of the Third Reich have been popular among growing right-wing forces in the country for decades. The Azov battalion, accused of war crimes and atrocities, is infamous for its open embrace of bigotry and white supremacism, although its successor unit claims to have mostly eradicated such people from its ranks. Ukrainian troops have repeatedly been filmed brandishing Nazi iconography on their uniforms and weapons, including during the ongoing incursion into Russia’s Kursk Region.

In a widely publicized incident, two Ukrainian soldiers filmed themselves imitating invading Wehrmacht troops while harassing an elderly Russian civilian. The man went missing after the encounter. Thousands of Ukrainian Nazi collaborators made their way to Western nations, such as Canada, when the Axis powers were defeated in 1945. Some of them were later used by the CIA in attempts to destabilize the USSR during the Cold War. Just last week, Library and Archives Canada in Ottawa expressed reservations against releasing the list of some 900 alleged Nazi criminals who fled to the country after the war. Making the names public may embarrass the country’s Ukrainian community, officials told the media. The Slovakian prime minister is a vocal critic of Western support for Kiev against Moscow. The Ukrainian Nazi link is one of the reasons he has cited in explaining his position.

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“India refused, stating publicly that Zelensky’s plan was not the only one to be considered, as other peace plans were also on the table..”

• Modi’s Peace Plan: How India Is Navigating The Ukraine Conflict (RT)

Prime Minister Narendra Modi has sought to play a role in promoting a negotiated resolution of the conflict in Ukraine. He has India’s national interest in mind, as the nation of 1.4 billion people needs a peaceful international environment in which to grow, especially when it is at a critical stage in its development process and aims to become the third largest economy before the end of the decade. India has historical ties of friendship and trust with Russia; its defense ties with Moscow are crucial for its security. It is also strengthening its ties with the US and EU, which are its major economic and technology partners, and with whom people-to-people ties are very strong. While Russia does not interfere in New Delhi’s ties with its Western partners, the US and the EU have wanted India to dilute its ties with Moscow. American sanctions, especially on its financial sector, are, in any case, interfering in India’s ties with Russia.

India has a philosophy of ‘vishwabandhu’- “friendship with all in the world”- which cannot be practiced in a revived Cold War-type global situation that has seen the virtual collapse of multilateralism. It would want to preserve its ties with Russia and build them further, even as it seeks to expand its ties with the US and Europe. This presents an increasingly difficult diplomatic challenge. India is not unaware of the complexities of the Ukraine conflict and the challenge of finding common ground between the diametrically opposed Ukrainian and Russian positions on issues of territory, Ukraine’s NATO membership, etc. The Ukrainian position has the support of the US, NATO and the EU, who continue to arm and fund Kiev. They remain determined that Russia must not be allowed to win the war as that would threaten the security of Europe. The issue goes well beyond Ukraine; it is one of a future security architecture of Europe that rejects Russia as a partner.

India is party to several UN resolutions, and formally subscribes to the rhetoric that sovereignty and territorial integrity, as well as international law and the UN Charter, should be respected; however, this does not offer a pathway to a resolution of the conflict in Ukraine. In any eventual resolution, some territorial adjustments will be inevitable, as will the security-related aspects inherent in the issue of Ukrainian membership in NATO. A security formula will have to be found outside the NATO framework. Modi has made it known on more than one occasion that he is ready to contribute to a peace process in Ukraine in whatever possible way. He reiterated that message at his summit meeting with Putin in July this year. In August, he visited Kiev with a view to closing the circle and pressing for the peace option.

That visit ended in some controversy. Zelensky pushed his 10 point peace plan,(add comma) and for establishing its peace credentials(remove semi-colon) Ukraine pressed India to join the communiqué issued at the end of the Peace Summit in Switzerland in June. India refused, stating publicly that Zelensky’s plan was not the only one to be considered, as other peace plans were also on the table, that all stakeholders had to be involved, and innovative solutions needed to be explored. India’s readiness to promote peace on consensual terms was reiterated. Be that as it may, by making a most uncomfortable trip to Ukraine, Modi created more diplomatic space for India, allowing it to manage Western pressures and shift from a perceived pro-Russian stance to a position of greater neutrality.

Modi has spoken to Biden about his Ukraine visit and has also briefed Putin. Talk of some form of Indian mediatory role in Ukraine gained attention after Putin said at the Eastern Economic Forum at Vladivostok last week that he and Modi had exchanged perspectives on the Ukraine conflict and insights from his visit to Kiev. Contrary to some commentary in India suggesting that Modi’s visit to Ukraine signaled a shift in India’s ties with Russia, Putin acknowledged these peace initiatives. He stated that he respected Russia’s friends and partners — especially China, Brazil, and India —which have genuinely sought to resolve the conflict and that he was in constant communication with them on this issue.

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“..the premise that a person cannot be held criminally liable for third-party acts, is a naïve and utterly misguided approach.”

“..on another level he is just a computer nerd and his incoherent actions and statements are proof of that..”

• Durov Still Does Not Get It (Karganovic)

After being released on bail from a French prison, Russian entrepreneur Pavel Durov made several statements which indicate that he is labouring under grave illusions about the nature of his predicament. He described the action of the French authorities, which resulted in his arrest and detention on French territory, as “surprising and misguided.” He then went on to question the legal premise of his detention and subsequent indictment, which is that he could be held “personally responsible for other people’s illegal use of Telegram.”) It is disappointing to see a thirty-nine years old sophisticated cosmopolitan adult, traumatised as he must be by his recent experiences, reasoning like a child. One should have expected a person of Durov’s wealth to secure competent legal assistance to help him understand the legal “facts of life” pertaining to his case.

There are two basic facts that the lawyer selected by Durov to represent him should have explained to his client. Incidentally, that lawyer is extremely well wired into the French establishment and the judicial system which is persecuting his bewildered protégé. It would not be uncharitable to say that his loyalties are dubious. The first and most fundamental of these facts is the political nature of the case. Durov’s predicament cannot be properly understood apart from that reality. Recognition of that fact does not exclude entirely the effective use of legal arguments and remedies but it marginalises their practical impact. The second important fact that a conscientious legal professional already in the first interview would have made clear to his client is that in the real world in which Durov is facing grave criminal charges, indulging intuitive notions of justice, including the premise that a person cannot be held criminally liable for third-party acts, is a naïve and utterly misguided approach.

Pavel Durov is a highly intelligent and, in his field, very accomplished individual. But on another level he is just a computer nerd and his incoherent actions and statements are proof of that. Contrary to what he seems to think possible, and as incompatible as that may appear to be with the concept of natural justice, under specific circumstances an individual can be criminally charged for the acts of third parties. Mechanisms that make that possible already are firmly in place. We would not necessarily be wrong to characterise those mechanisms as repugnant to the natural sense of justice, or even as quasi-legal. But formally they are well established and are integral components of criminal law. Tyrannical political systems are free to invoke those instruments whenever they decide to target a bothersome non-conformist such as Pavel Durov.

Whilst on the one track relentless pressure is undoubtedly being applied to the conditionally released but still closely supervised Durov to accede to the demands of deep state structures and turn Telegram’s encryption keys over to security agencies, on a parallel track the legal case against him is being constructed. It will be based on some variant or derivative of the theory of strict liability. The exact contours of that variant are yet to be defined as the case proceeds, and everything will depend on how the defendant responds to the combination of carrots and sticks that are now being put in front of him.

Since no evidence is being offered to prove that acting personally in his capacity as Telegram CEO Durov was complicit in any of the incriminating activities listed in the charge sheet, the only conclusion that can be drawn is that some version of strict liability will be the vehicle of choice to make the accusations stick. Unless he capitulates, the objective is to put him away for a long time, or at least to threaten him credibly with such an outcome in order to exact his cooperation. Strict liability is a convenient tool because it offers many shortcuts to the Prosecution. It achieves the desired effect in the absence of proof of specific intent and regardless of the defendant’s mental state, thus eliminating for the prosecution major evidentiary hurdles.

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“..in 1994 then-President Boris Yeltsin told his US counterpart, Bill Clinton, that “Russia has to be the first country to join NATO.”

• Russian Security Chief Explains West’s Key ‘Mistake’ (RT)

The US and its allies missed an opportunity to neutralize Russia by fully embracing it in the 1990s, Security Council Secretary Sergey Shoigu believes. In an interview with Rossiya-24 channel aired on Tuesday, the former defense minister recalled how in 1994 then-President Boris Yeltsin told his US counterpart, Bill Clinton, that “Russia has to be the first country to join NATO.” “If at that point they fast-tracked us into the European Union… I believe we would have lost our sovereignty by today. The resources and natural deposits that our country has would have been largely redistributed and snatched,” Shoigu said. Russia was in a deep financial hole in the mid 1990s and relied on foreign aid to remain afloat, so it would have willingly gone into the Western fold, if offered, the official argued.


Clinton Yeltsin 1996

Shoigu recalled that, at the time, he was monitoring the arrival of tranches of foreign subsidies to rush to the government and get some funding to pay salaries to workers at the Emergencies Ministry, which he headed. ”They’ve made a mistake. They should have gotten us into the EU as soon as possible. And we would be like the EU members: just a command from across the ocean, we would be folding our paws and getting ready to jump through a hoop,” Shoigu mused in this week’s interview. As an example of European compliance with US whims, Shoigu cited the scandal involving French helicopter carriers of the Mistral class, which Russia ordered in 2011 for its Navy.

The deal was called off after the 2014 armed coup in Kiev, an attempt to punish Moscow for accepting breakaway Crimea as a new Russian region. Washington pressured Paris into tearing up the contract with Russia by leveraging the size of a pending fine on a French bank, Shoigu claimed. He was apparently referring to the Paris-listed BNP Paribas, which in June 2014 agreed to enter a guilty plea with the Americans in a case of sanctions avoidance and to pay a $9 billion penalty to close the case. According to the French authorities, scrapping the Mistral deal at the last minute and selling the ships to Egypt instead came at a net loss of €409 million ($450 mn).

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“The US is a country that doesn’t fulfill its obligations as a host country of the UN headquarters in the best way. So, it’s probably not the best place to travel right now..”

• Kremlin Explains Putin’s Decision on UN General Assembly (RT)

Russian President Vladimir Putin will not attend this year’s high-level session of the United Nations General Assembly in New York because the US is not a suitable host for such events, Kremlin spokesman Dmitry Peskov has said. The UN General Assembly opens on Tuesday and will end on September 30. It will culminate with a week of high-level events between September 23 and 27, which will feature speeches by numerous world leaders, including US President Joe Biden, British Prime Minister Keir Starmer, and French President Emmanuel Macron. Ukraine’s Vladimir Zelensky is also expected to attend and deliver a speech on September 25. Commenting on Moscow’s participation, Peskov signaled that Putin has no plans to fly to New York.

“He hasn’t gone there in recent years. The US is a country that doesn’t fulfill its obligations as a host country of the UN headquarters in the best way. So, it’s probably not the best place to travel right now,” the spokesman said. The last time Putin personally addressed a UN General Assembly session was in 2015, while in 2020 he delivered a pre-recorded speech at the event. After the start of the Ukraine conflict in February 2022, the US imposed sanctions on numerous top Russian officials, including Putin and Foreign Minister Sergey Lavrov. However, under the 1947 Headquarters Agreement between the US and the UN, Washington is obliged to grant diplomats and representatives of member states immunity and unimpeded access to UN headquarters.

Against this background, the Russian delegation to the UN General Assembly will be headed by Lavrov. Russian officials have on numerous occasions accused the US of failing in its UN obligations, pointing to long delays in issuing visas to Russian diplomatic personnel. In April 2023, the US also declined to grant entry to Russian journalists accompanying Lavrov to UN headquarters, with officials in Washington accusing them of spreading “propaganda.” Lavrov denounced the decision, claiming that the US “had done something stupid.” Washington, he added, “showed what its sworn assurances about protecting freedom of speech, access to information, and so on are really worth.”

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“If an official summons is ignored, MPs may consider it a lack of respect for parliament, but this sanction is only symbolic..”

• Elon Musk May Be Summoned to UK Parliament for Questioning on X Activities (Sp.)

The British parliament may summon US entrepreneur Elon Musk to testify about the activities of his social network X, in particular on the issue of moderation and the fight against hateful content, Financial Times reported on Monday. Ruling Labour Party parliamentarian Dawn Butler told the newspaper that the American entrepreneur would be invited as a witness. Butler is running to head the parliamentary science and technology committee, the publication said. Such committees examine the activities of ministers, civil servants and leading figures in a particular field within the framework of a certain issue. “It is vital for the committee to formally examine the use of algorithms in pushing hateful material — and the moderation of such content — on X and other social media platforms,” Butler said.

The British lawmakers can summon someone to answer questions from the committee, but they cannot force them to attend. If an official summons is ignored, MPs may consider it a lack of respect for parliament, but this sanction is only symbolic, the publication says. In August, British officials complained that X did not cooperate with the authorities in removing posts that posed a threat to national security during the wave of unrest. Musk himself, against the backdrop of mass protests in Britain, predicted a civil war in the country, a statement that caused discontent in London.

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“..the US would have to pay over $1.2 trillion in interest on the debt in the coming 12 months, which is reportedly equal to about 25% of government revenue..”

• US ‘Going Bankrupt Extremely Quickly’ – Musk (RT)

The cost of servicing the vast US federal debt now outstrips the defense budget, Tesla and SpaceX CEO Elon Musk has claimed in an interview with the All-In podcast. He added that the country is “going bankrupt extremely quickly.” The US Treasury announced in late July that the national debt had surpassed $35 trillion, having soared by a trillion in a six-month period. In June, the US House Of Representatives passed its version of the annual defense policy bill that authorizes a record $895 billion in spending, marking an increase of 1% compared to the previous fiscal year. “Interest payments on the national debt are now higher than the entire Defense Department budget and rising,” Musk said, warning that the US is “going bankrupt extremely quickly.”

The tycoon stressed that every trillion dollars of debt added is money that “our kids and grandkids are going to have to pay somehow.” Earlier this week, the tech billionaire shared a post on his X platform (formerly Twitter) by an account focused on finance and economics, stating that the US would have to pay over $1.2 trillion in interest on the debt in the coming 12 months, which is reportedly equal to about 25% of government revenue. Earlier this month, Musk warned that the current rate of government spending was putting the US in the fast lane to bankruptcy, and that government overspending was stoking inflation. In August, the US Labor Department reported that annual inflation had dipped below 3% in the previous month for the first time since 2021. Prices of goods and services went up by 2.9%, while core inflation, which excludes the food and energy industries, rose by 3.2% over the previous 12 months.

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Barry Soetoro

 

 

Vaxx
https://twitter.com/i/status/1833228842967679054

 

 

Swan

 

 

Horse

 

 

 

 

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

 

 

 

 

 

Debt Rattle August 24 2024

Aug 242024
 
 August 24, 2024  Posted by at 8:50 am Finance Tagged with: , , , , , , ,  50 Responses »


Salvador Dali Galatea of the Spheres 1952

 

• I Throw My Support Behind Donald Trump – RFK Jr (ZH)
• The 2024 DNC In 2 Words – ‘Not Trump’ (ZH)
• RFK Jr Addresses The Nation (ZH)
• Why Kamala Harris Won’t Sit For An Interview (Bridge)
• End of Hoaxes (Jim Kunstler)
• CIA Endorses Harris as Democrats Promise More War, Foreign Intervention (Sp.)
• US Running Out Of Ammo – Trump (RT)
• US Preparing To Lift Ban On Strikes Deep Inside Russia – Moscow (RT)
• India Is Not Neutral But Stands For Peace, Modi Tells Zelensky (RT)
• Crackdown on Ukraine’s Largest Church Is ‘Full-fledged Satanism’ – Medvedev (RT)
• Ukraine Sells Its Orthodox Heritage Out to West. But Wait, It’s Russian (Sp.)
• Confusion And Chaos At Factory That Built Two Doomed 737 MAX Planes (ZH)
• Tale of Two Pipelines… Europe Loses, China Gains (SCF)
• US House Oversight Asks TSA Why Tulsi Gabbard Is on Terror Watchlist (Sp.)
• JK Rowling Reportedly Sued by Olympic Boxer Over Gender Criticism (Turley)

 

 

 

 

 

 

https://twitter.com/i/status/1826835677759013348
https://twitter.com/i/status/1826812669640462518

 

 

Vivek will be a force

 

 

RFK jr

 

 

 

 

 

 

Who needs a policy if you hate Donald Trump?

• I Throw My Support Behind Donald Trump – RFK Jr (ZH)

“Democrats have become the party of war, censorship, corruption, big pharma, big tech, big ag, and big money wanting to abandon democracy by canceling the primary to conceal the cognitive decline of the sitting president. I left the party to run as an independent… The DNC and its media organs engineered a surge of popularity for VP Harris based upon nothing. No policies, no interviews, no debates. Only smoke and mirrors.””A Chicago circus that is based on NOTHING. Who needs a policy if you hate Donald Trump?” “How did the Democratic Party choose a candidate that has never done an interview or debate during the entire election cycle?” Kennedy asked. “We know the answer: They did it by weaponizing the government agencies. They did it by abandoning democracy. They did it by suing the opposition and by disenfranchising American voters.

What most alarms me isn’t how the Democratic Party conducts its internal affairs or runs its candidates. What alarms me is the resort to censorship and media control and the weaponization of the federal agencies.” Kennedy refuses to be a spoiler… “Many months ago, I promised the American people that I would withdraw from the race if I became a spoiler… In my heart, I no longer believe that I have a realistic path to electoral victory in the face of this relentless, systematic censorship and media control.” “I am simply suspending it and not ending it. My name will remain on the ballot in most states. I encourage you to vote for me. In an honest system, I believe that I would have won the election. After all, the polls consistently showed me beating each of the other candidates. In about 10 battleground states where my presence would be a spoiler, I’m going to remove my name.”

[..] I throw my support behind Donald Trump.” Kennedy said that in a series of meetings with Trump and his team, he realized he shared more in common with the former president than he thought. He compared their potential partnership to President Lincoln’s famous “Team of Rivals,” which saw him stock his Cabinet with former foes. “In a series of long, intense discussions, I was surprised to discover that we are aligned on many key issues. In those meetings, he suggested that we join forces as a unity party. We talked about Abraham Lincoln’s team of rivals. That arrangement would allow us to disagree publicly and privately and fiercely if need be on issues over which we differ while working together on the existential issues upon which we are in concordance.” “I was a ferocious critic of many of the policies during his first administration, and there are still issues and approaches upon which we continue to have very serious differences.”

“But we are aligned with each other on other key issues like ending the forever wars, ending the childhood disease epidemics, securing the border, protecting freedom of speech, unraveling the corporate capture of our regulatory agencies, getting the US intelligence agencies out of the business of propagandizing and censoring and surveilling Americans and interfering with our elections.” “Suspending my candidacy is a heartrending decision for me. But I’m convinced that it’s the best hope or ending the Ukraine War and ending the chronic disease epidemic that is eroding our nation’s vitality from the inside and for finally protecting free speech.” “I feel a moral obligation to use this opportunity to save millions of American children above all things.” Most notably, RFK Jr. admitted in front of the nation that he attempted to contact VP Harris first and that she neither wanted to talk or meet with him is a strong message to Independent voters:

“Following my first discussion with President Trump, I tried unsuccessfully to open similar discussions with Vice President Harris. Vice President Harris declined to meet or even to speak with me.” “Democrats want nothing to do with you, Republicans will at least give you a seat at the table.” RFK addressed details on the Russia-Ukraine war (via Kyle Becker): “We have pushed Russia closer to China and Iran. We are closer to the brink of nuclear exchange than at any time since 1962. And the Neocons in the White House don’t seem to care at all.” “Our moral authority and our economy are in shambles. And the war gave rise to the emergence of BRICS, which now threatens to replace the dollar as the global reserve currency.” “This is a first class calamity for our country.” “Judging by her bellicose, belligerent speech last night in Chicago, we can assume that President Harris will be an enthusiastic for this and other Neocon military adventures.”

“President Trump says he will reopen negotiations with President Putin and end the war overnight as soon as he becomes president.” “This alone would justify my support for his campaign.” “Last summer, it looked like no candidate was willing to negotiate a quick end to the Ukraine War, to tackle the chronic disease epidemic, to protect free speech, our Constitutional freedoms, to clean corporate influence out of our government or to defy the Neocons on their agenda of endless military adventurism.” “But now, one of the two candidates has adopted these issues as his own to the point where he has asked to enlist me in his administration.” “I am speaking, of course, of Donald Trump.”

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‘Kamala Harris, for the people.’

• The 2024 DNC In 2 Words – ‘Not Trump’ (ZH)

Objectively, if prediction sites can be trusted in any way (perhaps more so than biased polls), the last four days of speeches, musical performances, and delegate celebrations were a ‘failure’ of sorts for the Democratic Party as during the DNC, Kamala Harris odds of success in November dropped while Trump’s improved (though we note the incumbent VP remains a favorite)… Perhaps, ‘we the people’ realized that the goal of the whole week was for party lawmakers, community leaders, past presidents, and cultural figures to convince Americans that Kamala Harris is not Joe Biden… and has not been in The White House for the last almost-four-years… is the not the lowest-approval-rated VP in history… and is not in any way responsible, or tied to any of the policies that left the vast majority of Americans questioning the direction of the country just a week or two before the mainstream media anointed her ‘Mamala’

Most directed pointed attacks at former President Donald Trump, tying his candidacy and campaign to the controversial Project 2025, which Trump has disavowed, while illustrating differences between a potential second Trump term and a Harris White House. While light on specific domestic and foreign policy discussions, the convention highlighted the Democratic Party’s commitment to ensuring abortion access after the 2022 Dobbs decision overthrew Roe v. Wade. For four straight days, protesters rallied in the streets against the Biden/Harris administration’s support for Israel during the Israel–Hamas war, pushing for a Palestinian speaker at the Chicago convention. As Jacob Burg and Nathan Worcester detail below via The Epoch Times, here are the key takeaways from the 2024 Democratic National Convention.

After securing enough delegate support to become the party’s presidential nominee earlier this month, the convention served as a coronation ceremony for Harris and her running mate, Minnesota Gov. Tim Walz. With a little more than 70 days remaining in the election, Harris is moving fast to define herself, her platform, and her vision for America. Speaking about her family and their impact on her life, she said it was those who loved and believed in her the most that “told us we could be anything and do anything.” In her acceptance speech, Harris described her parents meeting at a civil rights gathering and attorneys like Thurgood Marshall and Constance Baker Motley, who inspired her to become a lawyer. When Harris’ best friend revealed sexual abuse by a parent, Harris set out to be a prosecutor.

“And every day in the courtroom, I stood proudly before a judge, and I said five words, ‘Kamala Harris, for the people.’” She added, “And to be clear, my entire career. I’ve only had one client, the people.” “On behalf of the people, on behalf of every American, regardless of party, race, gender or the language your grandmother speaks … I accept your nomination to be president of the United States of America,” Harris said. In a coalition-building effort as her campaign inches closer to election day, Harris vowed to unite a divided country. “Our nation, with this election, has a precious, fleeting opportunity to move past the bitterness, cynicism, and divisive battles of the past, a chance to chart a new way forward. Not as members of any one party or faction, but as Americans.”

Read more …

Articles were updated on the fly last night as things happened. This is one of the older parts of the opening article.

• RFK Jr Addresses The Nation (ZH)

While Richard Truesdell and Keith Lehmann point out that RFK Jr. was never a serious candidate, he had a famous name (to those of us old enough to remember), a tinge of legitimacy, and a wealthy billionaire running mate to keep the train going. It wasn’t enough to reach office but it got his foot in the door after RFK Jr. was shunned by Democrat Party insiders in their initial effort to prop up husk of a president, Joe Biden. Now they are stuck with Biden’s insurance policy, Kamala Harris. It terrified the Dems to have RFK Jr. in the running, so they rigged the rules, banned him from state ballots, and vilified him as extreme. And to dampen his impact on the Harris-Walz ticket, after trying to deny him ballot access and remove RFK Jr. from the state ballots he made his way to, Democrats will now attempt to keep him on ballots to hurt Trump. Such hypocrites.

He’s an environmental attorney, about as Lefty Democrat as you can get! He was expected to capitulate, kiss the crown, and get in line with everyone else. Instead, he went rogue. He showed them by unexpectedly running as an Independent. In exchange for his potential endorsement, what can Trump promise? A cabinet post? Being named director of the FBI to clean up that mess? Or ironically, heading up the CIA? Maybe after six decades, we’ll find out exactly what was the role of the agency in assassinating his uncle and if it had any role in his own father’s assassination. He’s now rumored to be ready to endorse Trump and is expected to announce his campaign suspension in Phoenix, where Trump is scheduled to hold a rally nearby. Coincidence? Unlikely. If this happens, it will take much of the post-DNC momentum away from Harris-Walz and focus attention on the PR value of RFK Jr.’s endorsement.

Imagine the son of RFK and the nephew of JFK, endorsing a Republican candidate for the presidency, Donald Trump no less. It will be a net positive gain for Trump, although not much and only for so long. But it could make all the difference in a race that’s expected to be tight in the all-important swing states—especially Pennsylvania. After spending millions to keep him off the ballot, the Democratic National Committee released a memo Friday dismissing the potential impact Robert F. Kennedy Jr.’s endorsement of Donald Trump will have on the presidential race. The DNC claimed, without evidence, that the only reason Kennedy was in the race was to be a spoiler candidate to help former President Trump, but derided him as “a near-negligible factor” with “no meaningful base of support.” The DNC memo purported, again without evidence, that Trump was “at a low point and acting out of desperation.”

“Embracing RFK Jr. now —when he has nothing to offer but months of disqualifying revelations—is not a decision a campaign makes when they’re acting from a position of strength.” The memo went on to accuse RFK Jr. as having an “unsavory and reckless past, ties to MAGA donors, and MAGA-lite positions on abortion bans and January 6th pardons,” and assert that “his support has dwindled to make him a near-negligible factor.” “The little support that remains is soft, split across ideologies, and disproportionately among lower propensity voters. With no meaningful base of support and sky-high negatives among Democrats, RFK Jr.’s threat to VP Harris was neutralized,” the DNC memo stated. The DNC memo argued Kennedy could actually hurt Trump because of his allegedly “controversial” positions on the Jan. 6 Capitol riot, the Sept. 11 attacks and vaccines. Right now, in their post-DNC euphoria, Democrats believe that they have positioned Harris to win.

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It would end her campaign.

• Why Kamala Harris Won’t Sit For An Interview (Bridge)

The US media has once and for all proven that it is in the pocket of the Democratic Party. It continues to fawn over the greatly flawed Kamala Harris while the presidential candidate has steadfastly refused to do interviews or press conferences for weeks. Taking the lead in this media-backed coup d’état is Time magazine, whose latest issue features a powerful portrait of Kamala Harris on the cover bearing the glowing caption “Her Moment.” Unfortunately, it wasn’t ‘her moment’ for a little chat with the media, although it was certainly the perfect opportunity. In one of the only lines of criticism against Harris in the 3,000-word puff piece, Time writer Charlotte Alter admitted that “Harris has yet to do a single substantive interview or to explain her policy shifts.” Shockingly, Harris even refused a single comment to Time, despite offering gratuitous promotion of the vice president.

That speaks volumes about Harris, who refuses to speak to a publication that is absolutely committed to providing kid-glove treatment to the Democrats. Alter’s description of Harris provided little substance on the vice president’s track record and oceans of ink spewing vacuous allusions to the carnivalesque atmosphere that now accompanies Harris’ political rallies. Many have suggested that this is the only way she is able to fill stadiums and inject a feeling of enthusiasm. “The soundtrack suggested a Beyoncé concert,” Alter opened in the very first paragraph of her article titled ‘The Reintroduction of Kamala Harris’. “The light-up bracelets evoked the Eras Tour. And the exuberant crowd – more than 14,000 strong, lining up in the rain – resembled the early days of Barack Obama.” The name Taylor Swift, certainly no political scientist, popped up several paragraphs later: “More than 38,000 people registered on Vote.org in the 48 hours after she became the presumptive nominee, eclipsing the voter-registration surge encouraged by Taylor Swift last year.”

And if that wasn’t enough, Alter came up with this ridiculous allusion to Hollywood starlets in an effort to explain Harris’ inexplicable rise: “Mass enthusiasm for a woman is nothing new: Harris’s run comes just a year after the blockbuster summer of Barbie, Beyoncé, and Swift.” Finally, Time provided an absurd quote from Senator Cory Booker, who invoked Star Wars imagery to argue that Harris has “mastered the art of ‘arm twisting’ required to pass major legislation” for Democrats. “She has gone,” he said, “from being a Padawan to a Jedi master.” Too bad the force was not with Harris when it came to securing the southern border, or helping working class Americans survive some of the worst inflation the US has experienced in decades. Compare all of that mindless puffery to Donald Trump, who Time interviewed for a cover story in April that was an 83-minute read, while the nitpicking factchecking following the piece took over 20 minutes to digest.

Eric Cortellessa, the journalist who conducted the interview, asked Trump a dozen questions about the Trump prosecutions, five questions about the January 6 ‘insurrection’, four on battling the ‘deep state’, three on his “dictator for a day” joke, two about the possibility of right-wing violence if Trump loses the election, and four on whether he’d seek to overturn the 22nd Amendment to serve a third term in office. It seems that the only reason Trump agrees to sit through these tortuous liberal inquisitions is to have the ability to say he is doing what Kamala Harris conspicuously refuses to do – talk to the media. Whether this strategy will work in his favor is highly debatable given the overwhelming support Harris receives regardless of what she does or doesn’t do. Yet even the Democrats must understand that the media are the gatekeepers to our aspiring politicians. Without the ability of journalists to sit down and grill officials on policy matters, the American people will remain in the dark.

Moreover, sitting in the media hot seat allows the audience to determine if a person has the mettle required for leadership. Many believe that Harris, who has demonstrated an inability to convey complex ideas – ‘word salads’, as they’ve been called – without the assistance of a teleprompter, is perfectly aware of her personal shortcomings, and that is why she is content to remain in the shadows while the media pumps her up into a political tour de force. This could also explain why the Democrats waited until the 11th hour to replace feebleminded Joe Biden with Harris on the presidential ticket – the less time the American people have to listen to Harris’ convoluted arguments (and grating cackle), the better. The rise of Harris from basement-level popularity ratings just four years ago to some sort of political genius proves the undeniable power of the corporate media complex to turn the greatest mediocrity into anyone they like.

“The way the US corporate media transformed Kamala Harris from a national embarrassment to a transformative pioneer overnight – without even pretending to care about anything that she thinks or believes – is a powerful testament to how potent the science of propaganda is,” journalist Glenn Greenwald posted on X (formerly Twitter). [..] Trump and Harris are set to debate on ABC on September 10, an event that the former president, barring some unforeseen disaster, has essentially already won. The final result, however, will depend on whether the audience will side with the snake-oil media and ‘believe their lying ears’, or will they be able to think past their media mind controllers and make an honest judgement of Harris’ performance. The future of the United States hinges on that question.

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“..this year’s Democratic Convention, their Cluster-B personality disorder freak show..”

• End of Hoaxes (Jim Kunstler)

Get this: there is one thing, one lurking terror, behind every fake and desperate move the Democratic Party has made this dire election cycle: the fear that hundreds of high officials might have to pay for their crimes of recent years if they lose on November 5. That’s why they lie about everything, and work so hard to construct false narratives, and struggle to obliterate the memory of Joe Biden’s ruinous term in power. Of course, they can’t talk about it. It’s like the darkest secret in a wrecked human soul that has lost itself in mental illness, some abscess of shame and guilt sealed off in the mind’s attempt to protect itself — like the memory of an incest or an unsolved family murder — which explains the rich show of various derangements actually highlighted at this year’s Democratic Convention, their Cluster-B personality disorder freak show. It is an anguished, guilt-ridden collective mind leaking clues to its own disordered debasement.

So, the deed is done now. The odious “Joe Biden,” fake president, is dumped in the ditch of history, and a mighty operation is mounted to put over Veep Kamala Harris, who ignored “JB’s” incapacity to head the US government for four years, carrying out no duties meanwhile, hiding from the public, answering nothing, going nowhere, abetted by a treasonous news media bent on hiding her as she drank away the months in the old Naval Observatory. The conventions are over and the contest is on. Have you heard enough of their fake war-cry: “defending our democracy?” From a party that has tortured the law to jail and silence its critics and scrape its challengers off every ballot. The pretense is perfect. Their “democracy” is actually a colossal “spoils” system — to the victor goes the spoils! — a grotesque political machine funneling trillions of federal dollars to their client voter groups, and especially to the non-profit orgs and NGOs that form a sinister secondary bureaucracy accountable to nobody.

And all done with direct connivance of the federal intel blob at war with everyone outside this matrix of turpitude. And, by the way, the money is gone. Trillions. And nothing to show for it. This is what Mr. Trump opposes, and has been fighting against since 2016. No wonder it wants to stuff him in prison or kill him. It is a mighty enemy because it holds the levers of official power, especially the federal prosecutors and the state and county prosecutors put in place by the Democrats’ chief “influencer,” the George and Alex Soros NGO empire. And the big picture includes the monumental crime against our country — against all the countries of Western Civ, really — which was the Covid-19 operation that left millions disabled or dead from a phony, poisonous “vaccine.”

And now we hear — as I write early this Friday morning, hours before any official announcement — that Robert F. Kennedy, Jr. is about to suspend his campaign, kneecapped by the Democratic Party so busy “defending our democracy,” and perhaps throw his support to Donald Trump in order to defeat this mafia of the mentally ill. I hope he does that. And I hope he denounces the party of his ancestors in the most vividly opprobrious terms so that no one can misunderstand the gravity of what has been going on. I’d also look forward to Mr. Kennedy playing an important role in the second Trump government. Mr. Kennedy knows probably better than anyone in America exactly how the gigantic racketeering operation was constructed that grafted pharma onto the US public health agencies, the FDA, CDC, NIAID, and others.

This monster that has left so many Americans dead and injured, and wrecked the health of the nation’s young people especially, must be slayed. It must be disassembled and its pieces reconstructed into institutions that actually serve the public. This includes the hospital holding companies, the private equity pirates out to asset-strip medicine, the insurance-driven, overgrown doctors’ practices, and the mendacious medical boards, professional orgs, and journals that unjustly punished dissident doctors and nurses who tried to oppose the extralegal Covid-19 vaxx mandates. If it happens that Mr. Kennedy joins forces with Mr. Trump, it could be a momentous turn in an election so far marred by Democratic Party hoaxes, coups, and lawfare ops. Naturally, The New York Times played the story this morning in a tiny headline below-the-fold, saying nothing about the rumored stunning alliance between the Kennedy and Trump campaigns.

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Leon Panetta. Sweet Jesus.

Trump wants peace. Kamala wants whatever the Deep State wants.

• CIA Endorses Harris as Democrats Promise More War, Foreign Intervention (Sp.)

A former chief of the controversial intelligence agency voiced his support for the vice president at the Democratic National Convention Thursday. US Vice President Kamala Harris signaled she would continue her predecessor’s hawkish foreign policy in Gaza and Ukraine Thursday as an ex-CIA director publicly endorsed the Democratic presidential candidate. “As president I will stand strong with Ukraine and our NATO allies,” Harris declared during her acceptance speech, voicing strong support for Kiev’s US-backed proxy war against Russia. Former intelligence chief Leon Panetta also delivered a speech praising Harris during which the controversial figure claimed he was “proud” to have served in the US Army and CIA director. US military aggression throughout the Middle East during the so-called “War on Terror” is estimated to have caused the deaths of at least 4.5 million people while the CIA has been implicated in numerous human rights violations.

“The Democrats really showed that this is a hawkish party and really neoconservatives are in charge of the party,” noted CovertAction Magazine managing editor Jeremy Kuzmarov on Sputnik’s The Final Countdown program. “I mean, they brought out Leon Panetta earlier tonight. He’s a former CIA director who was a key mastermind of the drone war and a key figure behind Russiagate and a key supporter of Hillary Clinton and chief of staff in the Bill Clinton White House.” “In her speech [Harris] was talking about how [former US President Donald] Trump supposedly coddled [foreign leaders] like Putin, and that’s totally false,” he continued. “Trump had a pretty hardline policy toward Russia. He pulled out of the INF Treaty. He ramped up weapons supplies to Ukraine. So that’s just like an extreme right-wing position that they’re adopting.”

“They’re celebrating this war in Ukraine [that] siphoned off billions of hard-earned taxpayer dollars into a sinkhole just like Afghanistan, and a lot of those weapons have been stolen. And this party is cheerleading for that. So that’s where they are.” Corruption has long been recognized as endemic in Ukraine, which experts have noted is “the most corrupt nation in Europe.” Earlier this year, a massive corruption scandal was uncovered that saw almost $40 million in US aid stolen by officials in the country’s defense ministry. In June, it was revealed that Western military-grade weapons supplied to Ukraine have been sold on the black market, ending up in the hands of terrorists and European drug cartels. Various neoconservative figures such as Iraq War architect Bill Kristol have shifted allegiances to the Democratic Party in recent years as Republicans have become increasingly critical of foreign intervention under the banner of Trump’s “America First” ethos. Recent polling shows increasing numbers of Americans believe the US has spent too much money funding Ukraine’s quixotic proxy war on Russia.

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“You know why. We gave it all up to Ukraine and various other places. We gave them everything.”

• US Running Out Of Ammo – Trump (RT)

The US military is running out of ammunition as President Joe Biden’s administration has bled stockpiles dry to arm Ukraine and other nations, Republican presidential nominee Donald Trump has claimed. The GOP firebrand pledged to turn the tide and make a “historic investment in rebuilding” the American military, if elected. Speaking by phone to Ukraine’s Vladimir Zelensky last month, Trump reiterated his long-standing promise to swiftly end the conflict between Kiev and Moscow if elected in November. Back in June, the former US president also made it clear that he would stop donating tens of billions of dollars’ worth of handouts to Ukraine. Addressing his supporters, along with his vice presidential pick, Senator J.D. Vance, in Asheboro, North Carolina on Wednesday, Trump lamented: “They released a report talking about all of the vulnerable areas… we’re weak here, we’re weak there.”

“That’s like saying: ‘We have no ammunition,’” he said. “You know why. We gave it all up to Ukraine and various other places. We gave them everything.” According to the former president, billions of dollars’ worth of weaponry and ammunition has been donated free of charge. While it is not clear what report exactly Trump was referring to, experts on the congressional Commission on the National Defense Strategy released a 312-page assessment in late July, warning that the US military “lacks both the capabilities and the capacity required to be confident it can deter and prevail in combat.” According to the report, in a hypothetical future conflict with China, the latter would likely be aided, at least economically and possibly also militarily, by the likes of Russia, Iran, or North Korea. This would make the odds of a US victory increasingly slim, military experts predicted.

“Unclassified public wargames suggest that, in a conflict with China, the United States would largely exhaust its munitions inventories in as few as three to four weeks, with some important munitions (e.g. anti-ship missiles) lasting only a few days,” the document concluded. Experts on the commission attributed the current state of affairs to serious inadequacies in America’s defense industry that they said would require significant investment to rectify.

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“..Russia must therefore “act decisively, increasing our military-industrial potential, because only our army and navy will protect our country..”

• US Preparing To Lift Ban On Strikes Deep Inside Russia – Moscow (RT)

Claims by Washington that it has banned Ukraine from using US-supplied long-range weapons for strikes deep inside Russian territory cannot be trusted, Moscow’s ambassador to the US, Anatoly Antonov, has said. Ukrainian leader Vladimir Zelensky has resumed his calls for the country’s Western backers to allow long-range strikes on Russian territory during Kiev’s ongoing incursion into Kursk Region. The Pentagon stated last week that its stance remains unchanged, and that Ukraine is still banned from using US-supplied ATACMS missiles, which have a range of up to 300km (186 miles), for attacks deep inside Russia. Speaking to journalists on Friday, Antonov claimed that the US authorities “seem to be constantly teasing us by saying that today it is allegedly not allowed to use long-range systems to strike at Russian territory.” “But in reality, they are essentially preparing the ground to simply remove all existing restrictions, at a certain point,” the Russian envoy added.

Judging by Washington’s previous assistance to Kiev, including its training of pilots to fly F-16 jets, it is almost certain that Ukraine will “fight with US-made [long-range] weapons against us,” the ambassador said, as cited by TASS. “Where exactly will it happen? We cannot say or foretell,” he stressed. According to Antonov, the administration of US President Joe Biden is becoming increasingly unpredictable. “There is no guarantee that the whole world will not change tomorrow when you and I wake up. How the Americans will behave in this situation is very hard to tell,” he said. Russia must therefore “act decisively, increasing our military-industrial potential, because only our army and navy will protect our country,” the ambassador insisted.

Antonov also made a live appearance on Russia’s Channel One on Thursday, where he rejected claims by the US authorities that they had been unaware of the Ukrainian plans to attack Kursk Region.“I am firmly convinced that in Kiev they do nothing without the go-ahead from their masters… They wouldn’t have dared to move a finger… in our direction without consent from Washington,” he said. Commenting on the fate of Ukrainian troops who have entered Russian territory, the ambassador insisted that “no one has any doubts that they will be destroyed, not pushed back, but destroyed.” Russia’s Defense Ministry estimated on Thursday that Ukraine has lost more than 4,700 troops and several hundred units of military equipment, including 68 tanks and 53 armored personnel carriers, since the start of the incursion in Kursk Region on August 6.

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“New Delhi stopped short of signing the joint communiqué emerging from the Swiss-hosted event, as the event didn’t include Russia..”

• India Is Not Neutral But Stands For Peace, Modi Tells Zelensky (RT)

Indian Prime Minister Narendra Modi visited Kiev on Friday, marking the first visit by an Indian premier to the country. During a meeting with Ukrainian leader Vladimir Zelensky, Modi stated that India has not been “neutral or an indifferent bystander” as the Russia-Ukraine conflict persists, and has always been “on the side of peace.” The joint communique issued by the two sides after the leaders’ meeting noted that Modi reiterated its “principled position and focus on peaceful resolution through dialogue and diplomacy.” According to Indian foreign minister S. Jaishankar, who briefed the media in Kiev, Modi and Zelensky had a detailed and open discussion and New Delhi promised it was ready to make proactive contributions towards efforts for peace. The joint statement noted that India had attended the ‘peace summit’ hosted by Switzerland in June this year as part of this commitment.

However, New Delhi stopped short of signing the joint communiqué emerging from the Swiss-hosted event, as the event didn’t include Russia. On Friday, Jaishankar noted that Modi called for “practical engagement” between all stakeholders” to work out “innovative solutions” that could lead to peace. “President Zelensky knows we mean well by Ukraine, we want this conflict to come to an end. If there is anything we can do in any way in sort of upfront, behind or supporting anybody, we are willing to do whatever we can. This conflict must end, we believe,” Jaishankar said. Modi’s visit was the first-ever visit by an Indian premier to Ukraine since the establishment of diplomatic relations between the two countries after the dissolution of the Soviet Union in 1991. Upon his arrival in Kiev, he was greeted by members of the Indian diaspora there. Later, he and Zelensky honored the memory of children who died in the conflict in a visit to the Martyrologist Exposition tribute, and paid tribute to Mahatma Gandhi in the ‘Oasis of Peace’ park in the capital.

Modi’s Ukraine visit comes nearly six weeks after he traveled to Russia for a bilateral summit with Russian President Vladimir Putin. Since the beginning of the conflict, India has abstained from condemning Moscow over the conflict or from downgrading trade and diplomatic ties with it, despite pressure from the West. New Delhi has maintained robust ties with Russia despite the West’s scrutiny of the relationship. Bilateral trade crossed $60 billion last year, largely bolstered by Indian imports of discounted Russian coal and oil. The premier’s visit to Moscow in July came under intense scrutiny from Washington and other global capitals. Biden administration officials were uncomfortable with the optics of the visit, which coincided with a crucial NATO summit that featured Zelensky. Ukraine’s leader himself termed Modi’s meeting with Putin a “huge disappointment” and a “blow” to peace efforts, prompting New Delhi to summon the Ukrainian envoy over the remark.

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A 10 year old regime vs a 1000 year old religion.

• Crackdown on Ukraine’s Largest Church Is ‘Full-fledged Satanism’ – Medvedev (RT)

Kiev’s Western backers are supporting its “satanic” crackdown on the Ukrainian Orthodox Church (UOC), former Russian President Dmitry Medvedev claimed on Friday. On Tuesday, the Ukrainian parliament passed a law that prohibits “Russia-linked” religious organizations. The self-governed UOC, which has historical and spiritual ties with the Russian Orthodox Church (ROC), is understood to be the primary target of the legislation. Medvedev, who serves as deputy chair of the Russian Security Council, said he holds Ukrainian leader Vladimir Zelensky accountable for the crackdown. Pyotr Poroshenko, Zelensky’s predecessor, caused a major religious schism in Ukraine when he orchestrated the creation of the so-called Orthodox Church of Ukraine in late 2018 as part of his failed reelection campaign, Medvedev pointed out.

Under Zelensky, however, “the destruction of the Orthodox faith in Ukraine and the persecution of Christians for their faith started,” culminating in the new law, the former Russian leader argued. Zelensky “has no religious identity” and the crackdown is “full-fledged satanism” supported by people in his government, Medvedev alleged. “The civilized West” backed both Poroshenko’s ploy and the ongoing persecution “to inflict maximum damage to Russia and its citizens,” he added. Ukraine “will be destroyed, like Sodom and Gomorrah were, and the demons will inevitably fall,” Medvedev said, referring to the Old Testament story of two cities obliterated by divine intervention for their wickedness. He added a biblical quote describing the Jewish conquest of Canaan and the punishment that Joshua exacted on the leaders of conquered tribes.

Viktor Elensky, the head of the Ukrainian service for ethnic policy and freedom of conscience, claimed on Thursday that the new law “has the legitimate goal of stopping the subversive activities of the Russian Orthodox Church in Ukraine.” Kiev has no intention of forcing clerics and the faithful to join any other denomination, but if the UOC wishes to exist, it has to abide by the new rules and disavow any ties with Moscow, the official added. Clement, the UOC bishop who serves as the spokesman for the church, wondered if schismatic leaders would have to overcome bureaucratic barriers to prove their loyalty. Among other things, the law demands public affirmation by Ukrainian clerics that they have cut all ties with the Russian church. The UOC will “keep living as a true church recognized by the majority of practicing Ukrainian believers and the world’s independent Orthodox churches,” he told the media. Any attempt to ban it will merely tarnish the reputation of the people pushing for it, Clement argued.

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The church is rich. Ukraine is corrupt.

• Ukraine Sells Its Orthodox Heritage Out to West. But Wait, It’s Russian (Sp.)

The Kiev regime tends to view its common religious heritage with Russia as exclusively Ukrainian and sells to the West invaluable Christian artifacts, religion expert Roman Lunkin told Sputnik. Historical and cultural artifacts, including Orthodox icons, are taken out of Ukraine and transferred to Western countries where some of them are sold, according to Roman Lunkin, head of the Center for the Study of Religion and Society of the Institute of Europe at the Russian Academy of Sciences (RAS). “It is not rational and not at all ethical to treat the heritage this way,” Lunkin told Sputnik. Last year, the rarest 6th and 7th-century Byzantine icons were secretly transferred from the territory of Ukraine to France under the pretext of safety issues, and then displayed at the Louvre Museum in Paris. All in all,16 invaluable artifacts were brought to France through Poland and Germany.

Still, the crux of the matter is that these Christian Orthodox icons were gifted to the head of the Russian Ecclesiastical Mission in Jerusalem by the Sinai Monastery of St. Catherine in the mid-19th century, according to Bishop Porfiry, a Russian theologian and byzantinologist. In 1940, the Soviet government transferred the icons to the Kiev Museum of Western and Oriental Art (now known as the Khanenko Museum of Art), where they were kept after the Great Patriotic War. It is unclear whether and when the icons will be returned. On June 26, 2023, Russia’s Foreign Intelligence Service (SVR) reported on Kiev’s plans to remove Christian valuables and relics from the Kiev-Pechersk Lavra, and send them to Europe under the pretext of “saving them from Russian missile attacks”, despite the fact Russian forces are not targeting civilian facilities, let alone Orthodox holy places.

Still, there is more to the Kiev regime’s readiness to squander its heritage, and the West’s eagerness to keep Ukraine’s Christian valuables under the auspices of the International Alliance for the Protection of Heritage in Conflict Areas (ALIPH), chaired and overseen by US billionaires. Russian Foreign Ministry Spokeswoman Maria Zakharova last year linked the alleged plot, described by the SVR, as well as the secret removal of Byzantine icons from the Kiev museum, to the old Western colonial trend: “Western countries have stolen national valuables throughout the world, and their museums can be described as the ‘safekeepers’ of valuables stolen from their colonies, as you can see in the Ancient Egypt exhibit in the Louvre or the British Museum… The West has always plundered its colonies. Ukraine is no exception. There is no doubt that no one was going to return the valuables they had taken away from other countries,” Zakharova stressed.

The problem is that the Kiev regime considers this historical and cultural heritage “exclusively Ukrainian”, regardless of its true origin, Lunkin underscored. “Icons that are kept in the [Kiev-Pechersk] Lavra and other museums, including cultural monuments in Ukraine, are the common property of Russian culture and the culture of Kievan Rus, which was created from the moment of the Baptism of Russia more than 1000 years ago. Accordingly, this is the common and inseparable heritage of our countries because it was created at a time when Rus existed, before Ukrainians and Ukraine did. Therefore, it is wrong to call these icons exclusively Ukrainian,” the pundit said. The Kiev-Pechersk Lavra was founded in 1051, during the rule of the Russian Duke Yaroslav the Wise, who reigned in Rostov, Novgorod, and later in Kiev. The Lavra has always been considered part of the common historical and religious heritage of Russians and Ukrainians.

However, in the aftermath of the 2014 coup in Ukraine, which illegitimately brought to power Western-backed nationalist authorities, the Kiev regime doubled down on creating a separate “Ukrainian history” to “appropriate” the Kievan Rus history. In May 2017, then President Petro Poroshenko claimed that Duke Yaroslav and his daughter, Anna, who became Queen of France in 1051 upon marrying King Henry I, were “Ukrainians”, regardless of the fact that this East Slavic ethnic group had not been formed at that time. Volodymyr Zelensky has gone even further, according to Lunkin. In addition to creating a myth about a separate Ukrainian history and a separate Ukrainian Orthodoxy, “the Ukrainian authorities and the Orthodox Church of Ukraine (OCU), which they created [in 2018], are trying to separate the saints, who were born on the territory of modern Russia,” the pundit pointed out.

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When Boeing merged with McDonnell Douglas, the entire new company became focused on cost saving. Accountants for engineers.

• Confusion And Chaos At Factory That Built Two Doomed 737 MAX Planes (ZH)

New documents released Thursday reveal that ‘confusion and chaos’ reigned in the company’s Renton factory that built two 737 MAX planes that later crashed, killing 346 people in 2018 and 2019, the Seattle Times reports. According to a prominent whistleblower Ed Pierson, production issues from back then still affect MAX planes flying today. The new documents reveal multiple electrical issues that were discovered as Boeing assembled the Ethiopian Airlines jet that crashed in 2019. The Times notes that in 2018, the FAA found that employees in another Boeing facility in Everett, WA – where electrical components for integration – had been pushed to move to fast, and produced defective pieces. Communications between Boeing and Ethiopian Airlines show the plane that later crashed experienced an in-flight safety incident months before the fatal accident. Boeing told the airline that the December 2018 incident was likely the result of an electrical error, the records show.

The whistleblower, Pierson, said the records and the earlier safety incident bolster his view that the deadly crash of the Ethiopian jet may have been initiated by an electrical problem. That problem traces back to production issues with electrical wire bundles that Pierson has highlighted. Pierson, who worked at Boeing for more than a decade and served as a senior manager coordinating fixes for assembly problems on the 737 program, released the new documents through an advocacy group he formed after the crashes, the Foundation for Aviation Safety – and said that Boeing withheld the documents from regulatory investigators looking into the two deadly crashes. Following the deadly incidents, he repeatedly alleged that manufacturing defects played a role. The FAA, NTSB, and international regulators are in disagreement over the cause.

In both crashes, an error with then-new software — the Maneuvering Characteristics Augmentation System or MCAS — caused the plane to nosedive. Boeing recently pleaded guilty to misleading safety regulators about MCAS and how much training pilots would need to fly safely. In the case of the Ethiopian crash, the NTSB and its French counterpart concluded that it wasn’t an electrical error but a bird strike damaging a sensor that likely triggered the MCAS software. The U.S. agency disputed a report from Ethiopian authorities that said the sensor was triggered by “production quality defects.” Pierson sent the newly disclosed records to the NTSB, the FAA and the Department of Justice in July, he said. Meanwhile, the FAA and NTSB are playing hot potato over the new documents, and have suggested that questions should be directed to Ethiopian authorities.

Boeing, in a statement, said that it “fully cooperated and provided relevant information to the investigation” regarding the Ethiopian Airlines flight 302 crash, adding “We defer to the investigative agencies for further information.” The new documents also reveal that from communications between Boeing and Ethiopian Airlines, in December 2018, the airline’s 737 MAX experienced an “uncommanded roll”—a situation where the plane rolls unexpectedly, potentially disorienting the pilot and risking loss of control. This incident occurred just weeks after Ethiopian Airlines took delivery of the aircraft, and only a few months before it tragically crashed, killing all onboard.

Boeing’s communication with the airline at the time indicated that the uncommanded roll was likely caused by an electrical fault. The company advised Ethiopian Airlines to inspect the plane’s wiring for issues, raising questions about the broader electrical integrity of the 737 MAX fleet. Further complicating matters, the Foundation for Aviation Safety released a copy of Boeing’s Shipside Action Tracker from the 2018 production of the ill-fated Ethiopian Airlines plane. This internal database, used by Boeing to document and resolve issues during aircraft assembly, revealed a series of misinstalled and mislabeled electrical components. The records also pointed to significant miscommunication among Boeing employees regarding the work performed on the aircraft.

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Power of Siberia.

• Tale of Two Pipelines… Europe Loses, China Gains (SCF)

The Power of Siberia pipelines transporting natural gas from Russia to China were back in the news this week, as was the ill-fated Nord Stream pipeline, the Russian-European counterpart. First, it was announced the Power of Siberia 2 was on track for completion this year. When operational, the new pipeline will augment existing trans-Siberian delivery to China, bringing the total gas supply from Russia to 100 billion cubic meters per year. That awesome gas supply figure is significant. For not too long it was projected that the Nord Stream 1 and 2 pipelines would have a combined capacity to deliver 100 bcm to Europe. Alas, that energy project was sabotaged in September 2022 when the gas pipes were blown up on the Baltic seabed.

Veteran investigative reporter Seymour Hersh and other writers have provided the most compelling account of the sabotage. It was carried out by American military and CIA operatives with the approval of President Joe Biden. See our weekly editorial published on September 30, 2022, days after the incident in which we outlined strong evidence inculpating Washington. It was an audacious act of international state terrorism carried out by the Americans to destroy the decades-old energy trade between Russia and Europe. In particular, Germany’s postwar economic prowess was powered by relatively cheap and abundant Russian hydrocarbons. Now, the United States has stepped in as a supplier of much more expensive Liquefied Natural Gas to Europe. Incredibly, no serious investigation has been carried out by European states to find the culprit.

Russia, which was the main owner of the multi-billion euro project, has offered to cooperate with European states to investigate the blast, but all of Moscow’s offers have been rebuffed. You could hardly make this criminal farce up. For years, the Americans enviously griped about Russia being the strategic energy supplier to Europe. With the escalation of the proxy war against Russia in Ukraine in February 2022, the Americans and their European NATO lackeys had a convenient pretext for blowing up the Nord Stream pipes. The net result is that Germany’s economy – once the powerhouse of the European Union – has been dragged to its knees from the loss of its vital energy input from Russia. Germany is teetering on recession and its famed export-led industries are no longer competitive.

Yet despite this blatant crime, the political establishments in Germany and other countries directly affected by the Nord Stream vandalism – Sweden and Denmark – remain pathetically beholden to Washington. Two years after a huge transgression against Europe and Russia by the obvious culprit, the European authorities have dissembled and procrastinated. Last week, Germany issued an arrest warrant for a Ukrainian diver whom it claims was involved in the undersea attack. This is a variant of previous claims in the American media that the Nord Stream sabotage was carried out by Ukrainian operatives. This narrative is absurd and an obvious distraction from the real story. There is no way that such a difficult operation could have been achieved by a bunch of amateurs. The Nord Stream sabotage required state-level expertise. The Americans also had an imperative motive – to force their way into the lucrative European energy market.

All of this is a tragicomedy. Russia’s fair and advantageous services have been perversely spurned by Europeans under the malign spell of American overseers. The European governments and media can’t even muster the courage or independence to conduct a proper investigation into the wanton destruction of their economies. However, Russia has not been deterred or undermined. Far from it, unlike Germany and other recession-hit European states, Russia is growing at a robust rate. A large part of the benefit stems from the Russian energy trade now being directed to Asia. China is gaining where Europe lost. The expanding Power of Siberia projects represent the loss of Nord Stream.

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We know why this is happening. Insulting Kamala is not tolerated.

• US House Oversight Asks TSA Why Tulsi Gabbard Is on Terror Watchlist (Sp.)

US House Oversight Committee Chairman James Comer sent a letter on Friday to Transportation Security Administration (TSA) chief David Pekoske regarding whistleblower allegations that the agency placed former US Congresswoman Tulsi Gabbard on a terror watchlist. A whistleblower from the Federal Air Marshals Service (FAMS) disclosed to Congress that the TSA allegedly targeted Gabbard under its Quiet Skies program, which is designed to mitigate threats posed by higher risk passengers, the letter said. The TSA added Gabbard to the Quiet Skies program on July 23, 2024 – one day after she criticized the Biden administration in an interview, the letter said. A whistleblower also disclosed that his wife was targeted with “special mission coverage” because she attended former US President Donald Trump’s January 6, 2021 speech in Washington, but was “nowhere near” the US Capitol that day, the letter said.

Moreover, the whistleblower claims that the TSA classified the protected disclosures as a leak and initiated a retaliatory investigation. “It is alarming that TSA is wasting its resources to surveil an air marshal’s wife and Ms. Gabbard – a high-profile, American public figure – when the threat of terrorist attacks on the United States is high,” the letter said. The letter requests information from TSA on actions taken with respect to employees linked to the disclosures regarding Gabbard and the air marshal’s wife, as well as all information related to Gabbard and the Quiet Skies program. The letter also requests a briefing for committee staff no later than August 30.

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“..My objection, and that of many others, is to male violence against women becoming an Olympic sport.”

• JK Rowling Reportedly Sued by Olympic Boxer Over Gender Criticism (Turley)

We have previously discussed the cancel campaigns targeting JK Rowling, the author of the Harry Potter series. Rowling was not only the greatest selling author of all time but a wildly popular writer until she publicly opposed certain transgender policies as inimical to the advances in feminism. Now, she is the target of a lawsuit by Algerian boxer Imane Khelif, the gold-medal winning athlete who had previously failed a gender test to confirm that she is a female fighter. We previously discussed that global debate, but Khelif is now accusing Rowling out of many thousands of critics of being a cyberbully. X owner Elon Musk has also been named in the lawsuit. Rowling has been the target of a global campaign due to her rejection of transgender laws and policies. Many on the left have unleashed book bans and burnings. I have been critical of that campaign.

Even third parties who have supported Rowling’s right to free speech have been targeted in cancel campaigns. She held her ground after Scotland passed a draconian law, the Hate Crime and Public Order (Scotland) Act 2021. The new crime under the law covers “stirring up hatred” relating to age, disability, religion, sexual orientation, transgender identity or being intersex. That crime covers insulting comments and anything “that a reasonable person would consider to be threatening or abusive.” Rowling previously posted various responses to the controversy on her X account on August 7, including: “For the record, bombarding me with pictures of athletic women to ‘teach’ me that women don’t all look like Barbie is like spamming me with pics of differently-shaped potatoes to prove rocks are edible. I can still see the difference and you look frankly bonkers.”

She later also posted: “Commentators pretending critics of the IOC’s reliance on documents rather than sex testing think Khelif is trans are straw-manning. I don’t claim Khelif is trans. My objection, and that of many others, is to male violence against women becoming an Olympic sport.” She further wrote on X how she was concerned over both boxers challenged over their gender at the Olympics: “What will it take to end this insanity? A female boxer left with life-altering injuries? A female boxer killed?” France has eviscerated free speech protections over the last few decades with speech criminalization laws. There is some question whether the French laws would apply to tweets made outside of the country. These laws criminalize speech under vague standards referring to “inciting” or “intimidating” others based on race or religion. For example, fashion designer John Galliano has been found guilty in a French court on charges of making anti-Semitic comments against at least three people in a Paris bar.

At his sentencing, Judge Anne Marie Sauteraud read out a list of the bad words used by Galliano to Geraldine Bloch and Philippe Virgitti, including using ‘dirty whore” in criticism. In another case, the father of French conservative presidential candidate Marine Le Pen was fined because he had called people from the Roma minority “smelly.” A French teenager was charged for criticizing Islam as a “religion of hate.” The question of the extraterritorial application of such laws is the question. Conversely, the United Kingdom and the European Union are asserting the right to regulate speech in any country, including political speech in American presidential elections. Rowling has every right to be heard on the Olympic boxing controversy. This debate raises core issues that touch on a wide array of political speech. Khelif has the ability to refute these claims through the exercise of her own free speech. As in the past battles fought by Rowley, her effort to advocate for women’s rights is also a major test over free speech in Europe.

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Legend

 

 

 

 

Tantrum

 

 

Rottweiler

 

 

Caprice No. 24 Paganini

 

 

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Debt Rattle September 18 2022

Sep 182022
 
 September 18, 2022  Posted by at 8:51 am Finance Tagged with: , , , , , , , ,  52 Responses »


Marcel Duchamp Sonata 1911

 

• Ukraine Is No Longer a “Limited Military Operation” (Paul Craig Roberts)
• Ukraine Fumes Over ‘Unnatural Borders’ Claim (RT)
• Ukraine Once Again Endangering Nuclear Plant – Moscow (RT)
• Russia Can Declare Victory ‘Whenever It Wants’ – Budapest (RT)
• Biden Warns Russia Against Nuclear Option In Ukraine (RT)
• Kremlin Responds To Western Nuclear Claims (RT)
• The Real Reason The US Wants To Sanction China (Marsden)
• London Delusions (Milacic)
• Angry Customers Demand Explanation As German Energy Bills Soar (ZH)
• Zugzwang – Are We On The Brink Of A Central Banking Paradigm Shift? (Tooze)
• The Simple Facts On Equities And Debt (Denninger)
• ‘Fauci Knows’ He Funded Gain-of-function Research – Redfield (JTN)
• No, DeSantis Is Not A Human Trafficker Or Kidnapper (Turley)
• Epstein Victims Angered By ‘Public Rehabilitation’ Of Prince Andrew (RT)
• India PM Modi Reintroduces Extinct Cheetahs On Birthday (BBC)

 

 

This is just too perfect.

 

 

Child myocarditis ad

 

 

 

 

Putin fertilizer

 

 

 

 

 

 

How Maidan turned into War
https://twitter.com/i/status/1570832651405361152

 

 

 

 

PCR wanted a quicker resolution. Putin wanted to minimize civilian casualties. Maybe he trusted too much that others wanted that too.

• Ukraine Is No Longer a “Limited Military Operation” (Paul Craig Roberts)

I was criticized as “blood-thirsty” by commentators incapable of strategic thought when I said that a limited operation would result in a wider war and more casualties to both sides than a swift conquest of Ukraine before the US and NATO had a chance to get involved. What Southfront calls the “unpredictable results” of the widening war will continue to prove me correct. Everyone who watched Washington’s limited involvement in Vietnam grow into a full-fledged long war should have known better than to repeat the folly. Apparently, the lesson escaped the Kremlin. Perhaps Putin won’t be able to stomach war with his “Western partners,” or the NATO countries will back out of the war in order to secure Russian energy and forestall economic and political collapse. But perhaps not.

I don’t think the Ukraine/NATO offensive in the Kharkov region was a success, but the media has played it as one and this will encourage the Washington neoconservatives, who have controlled US foreign policy since the George W. Bush regime, to push harder. As the US and NATO are already deep into the conflict, providing weapon systems, intelligence and targeting information, training, and now military personnel, it is easier for them to get in deeper than to withdraw. Putin might like to withdraw as he watches a dangerous wider war creep up on him, but he can’t without being regarded as a failure who led Russia to defeat. I conclude that the odds seem to be in favor of a larger war. To be clear, my purpose is not to pillory Putin or to produce a Russian victory. My purpose is to avoid a conflict that neither side can afford to lose. The only way to insure that outcome would have been a swift Russian victory over the entirety of Ukraine, not a “military intervention” in one corner of the country that festers month after month.

A convincing demonstration of Russian military prowess would have dissuaded Finland and Sweden from joining NATO as it would have demonstrated the inability of the limited forces at NATO’s disposal to defend anyone against the kind of attack Russia could have unleashed on Ukraine. I even entertain the possibility that NATO would have dissolved as Europe realized that its real interest is to be at peace with Russia. Unfortunately, those opportunities have passed untaken, and now we are faced with an interminable conflict unless the Kremlin abandons its failed policy and acts decisively. With winter approaching Europe will soon be overwhelmed with economic and political problems produced by being cut off from Russian energy by Washington’s sanctions. Unless Putin rushes to Europe’s rescue, Europe will soon be out of the conflict.

As the Western media functions as a Propaganda Ministry, few people in the world understand that Russia has committed few troops to the conflict. The Russian force has always been outnumbered by Ukraine’s forces, but superior Russian firepower has made the difference. If Putin were to commit another 100,000 soldiers and deprive Kiev and Western Ukraine of power and communication, he could still bring the conflict to an end before it widens out of hand. What is required is acceptance that the war has widened and requires decisive Russian action to bring the war to an end before the war widens further and becomes uncontrollable.

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“.. It should cede Transcarpathia to Hungary, Galicia to Poland, Bukovina to Romania, Donbass and Crimea to Russia. These are the territories of other countries..”

• Ukraine Fumes Over ‘Unnatural Borders’ Claim (RT)

The Ukrainian Embassy in Romania has accused the EU country’s former foreign minister, Andrei Marga, of undermining the“basic principles of international law,” after he claimed that the borders of modern Ukraine are “unnatural,” and suggested that Kiev should cede parts of its territory to the neighboring states. The embassy has voiced its “regret” that a former top official of a “democratic European state” would make a statement that is not just “unacceptable under any circumstances,” but also represents a “particularly blatant deviation at a time when Ukraine heroically defends its independence and the security of Europe.”

The former Romanian diplomat made the controversial remark earlier on Saturday at the Alba Transylvania book fair, where he presented his new book ‘The Fate of Democracy’ and suggested that leading world powers should come together and agree on a new “security structure” in Europe and worldwide. “We are in a very special situation here, and I take this with all responsibility, Ukraine exists in unnatural borders. It should cede Transcarpathia to Hungary, Galicia to Poland, Bukovina to Romania, Donbass and Crimea to Russia. These are the territories of other countries,” he said, listing the regions that were incorporated into then-Soviet Ukraine by the Communists, but which he thinks should be relinquished. Over the course of the ongoing conflict between Russia and Ukraine, Kiev has repeatedly vowed to return to its control all of the territories it ended up with following the collapse of the Soviet Union.

After the 2014 Maidan coup, Ukraine lost Crimea, which ended up re-unifying with Russia after a referendum. In February 2022, the Kremlin recognized two Donbass republics as independent states, citing Kiev’s failure to implement the Minsk agreements, designed to give the regions special status within the Ukrainian state. Kiev insists the Russian offensive was completely unprovoked, even as Former Ukrainian President Pyotr Poroshenko had admitted that Kiev’s main goal was to use the ceasefire to buy time and “create powerful armed forces.” Moscow has since demanded that Ukraine officially declare itself a neutral country that will never join any Western military bloc.

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With NATO support, they will try and shell it until Russia leaves.

• Ukraine Once Again Endangering Nuclear Plant – Moscow (RT)

Ukraine has again shelled the area around the Zaporozhye Nuclear Power Plant in an effort to undermine the facility’s safety, Russia’s Defense Ministry claimed on Saturday. The ministry said that “the Kiev regime has resumed provocations to create the threat of a man-made disaster” at the plant. Within the last 24 hours, the Russian military registered two Ukrainian artillery strikes, one on a suburban settlement and the other on a thermal substation in the vicinity of the facility, which has been under Russian control since March. “In total, 15 artillery shells were fired from the Nikopol area of the Dnepropetrovsk region. The artillery units of the Ukrainian Armed Forces were suppressed by retaliatory fire,” the statement read. According to the Defense Ministry, the radiation situation at the plant remains normal.

Moscow has repeatedly accused Ukrainian forces of shelling the grounds of the plant, warning that the attacks could trigger a disaster that would eclipse the Chernobyl incident. Earlier this week, the head of Russia’s Security Council, Nikolay Patrushev, accused Washington of supplying Kiev with crucial intelligence to designate targets for shelling around the facility. “The consequences of these provocations could be very catastrophic not only for the majority of the population of Ukraine and Russia but also for Europe, and in terms of their scale they could surpass the tragedies that occurred at the nuclear power plants in Chernobyl and Fukushima,” he said at the time.

Ukraine has blamed Russia for the incidents, alleging that Moscow has been carrying out the strikes to frame Ukraine, even though its military eventually admitted to targeting the area. Following the International Atomic Energy Agency (IAEA) mission that visited the Zaporozhye plant in early September, the UN’s nuclear watchdog adopted a resolution demanding that Russia “immediately cease all actions against and at” the plant. Russian officials, however, criticized the document, saying that it failed to mention Ukraine’s attacks on the station. Blasting the resolution as “anti-Russian,” Moscow also accused Western nations of “supporting and shielding” Kiev in “every possible way.”

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“..Moscow “has such an advantage” in the conflict that it could define what would constitute victory and declare it “almost at any time.”

• Russia Can Declare Victory ‘Whenever It Wants’ – Budapest (RT)

Given Russia’s clear upper hand in Ukraine, the Kremlin can define what constitutes victory and declare that it has been achieved whenever it sees fit, a Hungarian minister has claimed. On Friday, Gergely Gulyas, the minister in charge of the Hungarian Prime Minister’s Office, shared his view of the conflict in Ukraine at a roundtable discussion at the University of Public Service in Budapest, which was held to promote a new book titled ‘Russian Great Power Policy 1905-2021.’ The official said that Ukraine and Russia have both found themselves in a situation that they are having a hard time getting out of. He added that the “chances of peace” right now are “poor” – though Moscow “has such an advantage” in the conflict that it could define what would constitute victory and declare it “almost at any time.”

He went on to warn against any direct involvement by NATO, adding that the EU sanctions on Russia have so far backfired, hurting the bloc more than the intended target. Gulyas noted that the Western restrictions have “brought incredible income” for Moscow so far. Furthermore, the EU’s policies, he believes, could result in Russia drifting further away from Europe while becoming closer with Asia. While Budapest joins the US in condemning Russia’s military operation in Ukraine, this does not mean that Hungary is prepared to impose similar sanctions on Moscow, as this would go against the country’s own national interests, the minister noted.

On the topic of Ukraine, Gulyas accused Kiev of failing to protect the basic rights of ethnic minorities, particularly Hungarians. In 2017, the Ukrainian government adopted a law aimed at removing minority languages from Ukrainian schools, which Budapest sees as discriminatory. Kiev has long accused its Western neighbor of fanning secessionism among Ukraine’s Hungarian diaspora, including by allegedly secretly granting citizenship to ethnic Hungarians.

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“..should a nuclear or chemical attack take place, Russia would “become more of a pariah in the world than they ever have been..”

You mean, just like the US?

• Biden Warns Russia Against Nuclear Option In Ukraine (RT)

US President Joe Biden has warned Russia of harsh consequences should it use nuclear or chemical weapons in Ukraine. In an interview with CBS News, a part of which was released on Friday, Biden was asked what would he say if he learned that Moscow is considering the use of weapons of mass destruction to counter what Kiev calls a successful counter-offensive in the east. “Don’t. Don’t. Don’t. You will change the face of war unlike anything since World War II,” he said. The president, however, declined to outline what the US’ response would be. “You think I would tell you if I knew exactly what it would be? Of course I’m not gonna tell you. It’ll be consequential.”


However, he said that should a nuclear or chemical attack take place, Russia would “become more of a pariah in the world than they ever have been,” and America’s response would depend “on the extent of what they do.” In mid-August, Russian Defense Minister Sergey Shoigu dismissed claims that Moscow might use nukes in Ukraine as “absurd,” saying there are no targets in Ukraine that would warrant doing so. Russia’s current nuclear posture allows their use only when “the very existence of the state is threatened.”

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Of course, this is all blah. Clickbait. Russia’s doctrine is crystal clear, and there’s no sign they would violate it.

• Kremlin Responds To Western Nuclear Claims (RT)

Moscow has reiterated that its nuclear doctrine is self-explanatory as top Russian officials repeatedly stated that the conflict in Ukraine does not meet any of its criteria. The statement followed US President Joe Biden’s threat of a harsh, “consequential” response should Russia use the weapons of mass destruction. “Read the doctrine, everything is written there,”Kremlin Press Secretary Dmitry Peskov told RIA Novosti on Saturday, when asked about the possibility of Russia using nuclear weapons in Ukraine. According to Russia’s nuclear posture, Moscow reserves the right to use nukes only “in response to the use of nuclear and other weapons of mass destruction against Russia or its allies,” as well as “in response to a conventional attack that threatens the very existence” of Russia as a sovereign state.

The latest update to the doctrine, made in 2020, clarified two more scenarios for the possible use of nukes: in case of receiving “credible information about the launch of ballistic missiles” targeting the territory of Russia or its allies, or an attack “on critical infrastructure that controls nuclear weapons,” potentially rendering the deterrent inoperable. However, none of these hypothetical scenarios is relevant to the situation in Ukraine, Russian officials told the UN Non-Proliferation Treaty (NPT) review conference in New York on several occasions last month. In mid-August, Russian Defense Minister Sergey Shoigu also dismissed as “absurd” claims that Moscow might use nukes in Ukraine, saying there are no targets there that would warrant doing so.

Russian President Vladimir Putin told reporters on Friday that so far, Moscow has demonstrated a reserved reaction to actions by the Ukrainian authorities, such as attempts to target vital infrastructure on Russian soil or to stage “terror attacks.” “We’re witnessing attempts to stage terror attacks, attempts to damage our civilian infrastructure. We respond to this with restraint, but only for the time being,” Putin stated, triggering speculation that the approach may change in the future.

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To cripple Europe?!

• The Real Reason The US Wants To Sanction China (Marsden)

The impact of anti-China sanctions on the EU would be devastating, particularly in light of the economic blow that the bloc has already taken from anti-Russian sanctions slapped on its own cheap Russian energy supply as a result of being egged on by Washington to stand in solidarity with Ukraine. China is one of Germany’s top customers, and Berlin is already facing near-deindustrialization as a result of the anti-Russian sanctions impact on its industrial sector. Washington has previously issued exemptions to its own restrictions for American entities. For instance, even in the case of its sanctions on Moscow, “the U.S. is issuing a number of “authorized-transaction notices and general licenses” to shield some corporate targets from the harsh economic measures contained in the sanctions,” according to a LexisNexis report.

But the path to any such US sanctions exemption for foreign entities is less clear. In the case of Russian oil, for example, the EU is dependent on the good graces of Washington if it wants to keep importing US-sanctioned Russian fuel. So basically Washington can use the restrictions to control and dictate trade in the EU and beyond. Unless, of course, enough countries get fed up with it and seek out an alternative system. Which is exactly what seems to be evolving in the wake of the West’s Ukraine-related sanctions, with Russia, China, Iran, and the global south deepening cooperation that could ultimately bypass the Western financial sphere.

It’s hardly surprising that the China sanctions talk comes in the wake of a US State Department visit to Mexico City this month, to pitch Mexican semiconductor manufacturing as part of a $50 billion investment that would facilitate US independence from the approximate $1 billion worth of semiconductors that America imports annually from China. The US is working to secure its own interests – as every country should. It’s clearly willing to pull out every stop to maximize its global competitiveness. Perhaps one of these days its allies will start following suit and doing strictly what’s best for themselves and their own citizens, even if it means diversifying their interests away from Washington’s.

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“Britain has assumed an extremely tough anti-Russian position, not bothering to see into the causes of the war, or think about its own interests.”

• London Delusions (Milacic)

[..] since the 1950s, London has mastered the role of “Washington’s junior partner,” which implies a bigger role in NATO and exclusivity towards Europeans. Decades later, Liz Truss continues to play this very card in Ukraine, just as Boris Jonson did before her. Britain has assumed an extremely tough anti-Russian position, not bothering to see into the causes of the war, or think about its own interests.

It support a president who banned the official use of his country’s most widely spoken minority language, who sanctioned the torture of prisoners and persecution of ethnic minorities, a president whom Britain supplies with weapons and military instructors, and writes off debts. Taking a cue from the Johnson Cabinet, Liz Truss will try to convince Britons that since the struggle for England and its age-old imperial interests is now going on in the Ukrainian steppes, the British people must prepare for hardships – heating problems, rising tariffs, inflation and increased defense outlays. At the same time, the conflict in Ukraine will give London a chance to put a temporary damper on such controversial issues with Europe, as fishing quotas, relations with the EU in Northern Ireland, the situation around the economic status of Gibraltar, etc.

Meanwhile, the Russian market is closed to Western countries, the Russians turned to the East, where they quickly redirected the flow of raw materials supplies. Western arms deliveries to Ukraine allow Kyiv to fight on, but the Ukrainian economy is no longer able to support the very existence of the Ukrainian state, which requires monthly financial infusions from its Western allies. British mercenaries captured in Ukraine are tried and sentenced to death in the Donbass republics, and London cannot do anything to get them out. Of course, already the second British government in six months cannot be accused of waging a proxy war against Russia, which is a time-tested way to weakening the enemy. But is Russia weakening? And how will the British gain from this war? Will Ukraine ever be able to repay all the investments that London has sunk in it since February 2022?

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Governments will fall. But how many? How long can the EU survive?

• Angry Customers Demand Explanation As German Energy Bills Soar (ZH)

Utilities in Germany have had to handle a surge in customer service calls in recent weeks from clients angry or desperate about their sky-rocketing energy bills, Reuters reports.The biggest utility, E.ON, has ramped up its capacity to handle calls from consumers who are shocked to find just how much their energy bills have surged in recent months. Gas prices in Europe are very high and power prices in many countries, including Germany, have hit record levels this summer after Russia choked pipeline gas supply to Europe and shut down indefinitely the key gas export pipeline to Germany, Nord Stream, at the beginning of this month.

“Some become aggressive out of frustration, others are in tears and need psychological support,” Ingbert Liebing, head of local utilities organization VKU, told Reuters, commenting on the spike in customer calls to utilities’ service centers. Apart from already high energy bills, German customers will have a surcharge as of October, as part of a government plan to implement a so-called gas levy on consumers in order to help struggling energy firms. Germany has recently announced it would impose a gas levy on consumers from October 1 through March 2024 as it aims to help energy providers and importers of natural gas, which are struggling with low Russian gas supply and very expensive alternatives to Russian gas. The new natural gas tax is set to cost German families, who will have to foot the bill for the tax, an extra $500 a year.

Meanwhile, the German government is in talks with the biggest German importer of natural gas, Uniper, to potentially lift its 30% stake in the company to majority participation or to nationalize the firm. The German government agreed in July on a $15 billion bailout package to help the energy giant, which has been reeling from reduced Russian gas supply and soaring prices of non-Russian gas. Under the package, the German government bought a 30% stake in Uniper and made available further capital to help the company. “The deteriorating operating environment and Uniper’s financial situation have to be taken into account while Fortum, the German government and Uniper continue their discussions on a long-term solution for Uniper,” Uniper’s parent firm, Finland-based Fortum, said in a statement earlier this week.

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“The proper description for what is happening in Europe is really an energy and food price shock rather than a general inflation.”

• Zugzwang – Are We On The Brink Of A Central Banking Paradigm Shift? (Tooze)

Central banks around the world are under pressure. Surging prices stoke fears of inflation. Central bankers, who commonly define themselves as guardians of price stability, feel forced to react. Interest rates are their preferred tool. Higher rates take steam out of the economy. That should lower inflation. The price is pain for borrowers and the risk of a recession and rising unemployment The choice for central bankers is easier where price increases are taking place across many sectors, meaning that the economy is undergoing a general inflation. This includes wages rising along with prices. The correlation between wages and prices should be regarded neither as anomalous nor as a dangerous “second round effect”. It should, in fact, be definitional of a general inflation.


Wages are the price of labour. If wages are not rising along with other prices, then you are not dealing with a general inflation at all, but rather a one-sided redistributional push by capital at the expense of labour. A truly general inflation will commonly go hand in hand with a relatively strong economy with low unemployment. In this respect there is a big difference between the situation on either side of the Atlantic. In the US, the Fed is facing a general inflation, modest in pace, but broadly based. Price increases are not uniform, they never are. But they now extend from bottleneck sectors, such as energy and food, to rents and house prices. Wages are also rising broadly in line with prices.

The situation in Europe is quite different. Price increases are far less broad-based. The proper description for what is happening in Europe is really an energy and food price shock rather than a general inflation. The energy price shock is sufficiently serious, to threaten a socio-political crisis as household expenditures and business budgets are wrenched out of balance by the price of gas and electricity. But to insist that this is an “inflation” problem and thus properly the domain of central bank interest rate policy is, to say the least, question-begging. What good will interest rate increases do in slowing down a surge in gas prices caused by the uneven COVID recovery, Putin’s war in Ukraine and the lack of integration in the global gas market?

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Roll over.

• The Simple Facts On Equities And Debt (Denninger)

Corporations basically never pay off debt; they always roll it over. Since 1980, roughly, the cost of money has always been cheaper, so every time that bond comes due and has to be rolled over the amount of money you must pay in interest on the new one is less. This in turn means the amount the corporation pays in interest goes down and that means “E”, or earnings, go up. But — this cycle presumes that rates will never rise. That is, at worst the downward movement will cease, but never go the other way. Why? Because if it does (and it is and has for the last six months or so) then every time your bond comes due now you need to pay more in interest on the new one that replaces the old and that makes “E” go down. “E” is simply what’s left of what you take in after you pay expenses, of course, and if you have debt outstanding interest is one of your expenses.

People say The Fed “can’t” raise rates. Well, they are. And worse, the TNX, 10 year Treasury, broke range and is likely headed to about 5% which means a “AAA” corporate bond should carry a coupon of somewhere between 5.5-6% because no matter how good that credit may be it is inferior to the US Treasury. When the best credits out there roll over the next time, which they all will within the next couple to ten years, they will pay that 6% where they were paying 2 or 3%! The only other option is to redeem the bond entirely which means forking up the face value in cash. Take a firm that is regard as very well-managed — Berkshire. They have $119 billion in debt outstanding, and are certainly a AAA credit. Let’s assume that $119 billion currently carries a 2% coupon, so $2.38 billion in interest expense a year.

The firm’s net income is $11.7 billion so what happens if the cost of carrying that debt doubles (say much less triples.) That’s a 20% whack off the earnings; if the cost triples its a massive 40%. How does the “current” 58 P/E sound to you or even the so-called “forward projection” (commonly called a guess) if the earnings crash by nearly half? Yeah, that’s what I thought. Oh, and this ignores input costs, which of course you can’t. As another example look at FedEx which reported last night. Revenues largely met expectations but EPS missed by a third. Where’d that come from? Costs, obviously. And, I might add, roll costs, that is, the spike higher in interest expense on outstanding debt are not yet showing up in any material size – but they most-certainly will over coming quarters and years; it is unavoidable for anyone with outstanding paper.

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But he’s still your friend?!

• ‘Fauci Knows’ He Funded Gain-of-function Research – Redfield (JTN)

The former Center for Disease Control and Prevention director who was cast as a conspiracy theorist for saying the evidence supported the lab-leak explanation for COVID-19 – allegedly provoking death threats – claims that the real “conspiracy is Collins, Fauci, and the established scientific community.” Robert Redfield told former Senate Finance Committee investigator Paul Thacker that National Institute of Allergy and Infectious Diseases Director Dr. Anthony Fauci “knew” he funded gain-of-function research that makes viruses more dangerous, and “misled Congress” when he denied it,” but “[n]othing’s going to happen as long as the Biden administration is here.” “Tony and I are friends, but we don’t agree on this at all,” Redfield said in an interview published in Thacker’s Disinformation Chronicle newsletter.

“Everyone had to agree to the narrative” pushed by Fauci and then-National Institutes of Health Director Francis Collins that SARS-CoV-2 emerged from a “wet market” in Wuhan, not the Fauci-funded Wuhan Institute of Virology miles away, to avoid becoming a public target of the two officials, he said. The virologist Redfield told the immunologist Fauci from the “second or third week in January” 2020 that “I’m very concerned that he was championing this theory that it came from animals.” The particulars of the novel coronavirus, such as the furin cleavage site and the “human” sequence in it, make clear that it’s not from bats, he said. “This thing was manipulated, orchestrated. That cleavage site was created.”

Transmission doesn’t make sense under natural evolution, according to Redfield. “You have a virus that is one of the most infectious viruses in the history of humanity, and yet that virus no longer can infect the bat? … No, this is highly abnormal.” Redfield said he believes The Lancet spring 2020 letter that lumped in the lab-leak hypothesis with “conspiracy theories” was “orchestrated … under direction of Fauci and Collins, trying to nip any attempt to have an honest investigation of the pandemic’s origin.” “There was nothing scientific about that letter. It was just an attempt to intimidate people,” he also said.

“Tony had over a year looking for an intermediate host” to explain the natural-evolution theory of COVID-19 “and still hadn’t found one” when Redfield went on CNN in 2021 to defend the lab-leak hypothesis, Redfield continued. Scientific American accused Redfield of promoting a conspiracy theory based on “xenophobia,” which Redfield suspects was due to Fauci’s influence at that publication. “I was threatened, my life was threatened,” he said. “I have letters I got from prominent scientists, that previously gave me awards, telling me that the best thing I could do for the world was to shoot myself because of what I said.”

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Kyle Shideler @ShidelerK: “The Feds shipping literally hundreds of thousands of illegal aliens around the country in the middle of the night and then threatening to sue/jail @RonDeSantisFL for sending 50 is the perfect encapsulation of the Biden Administration’s primary ethos.”

Stephen Miller @StephenM: “In 2020, under Trump, there were zero discretionary releases on the border—all illegals were either deported (expedited removal), expelled (Title 42), sent to Mexico (return to territory) or sent to a third nation (Safe 3rd). Biden replaced a policy of removal with MASS RELEASE.”

• No, DeSantis Is Not A Human Trafficker Or Kidnapper (Turley)

Most migrants do not intend to remain in border communities with a huge influx of migrants and limited opportunities — one reason why the Biden administration has moved migrants elsewhere. Thus, if the administration pursued Newsom’s allegation of a possible “civil rights conspiracy in violation of 42 U.S.C. section 1985,” it would potentially make a case against itself. If these governors are discriminating on the basis of national origin, so is the administration. Let’s consider a few of the other alleged crimes suggested by politicians and pundits:

Kidnapping, human trafficking The claim by Newsom and others that this could constitute kidnapping is absurd. Kidnapping requires that the culprit “unlawfully seizes, confines, inveigles, decoys, kidnaps, abducts, or carries away and holds for ransom or reward or otherwise any person.” There is nothing unlawful in conveying individuals who are lawfully in the country pending their immigration hearings; the trips are voluntary, and most migrants appear eager to accept free passage to cities like New York or Chicago. Human trafficking — a charge suggested by some law professors — is prosecuted by the Justice Department when you exploit “a person for labor, services, or commercial sex.” Gov. DeSantis may have overt political motives for transporting migrants to Martha’s Vineyard, but even cable-news programs have not suggested he is doing so for sexual or labor exploitation.

Racketeering RICO was designed to combat organized crime by allowing criminal charges based on a pattern of underlying criminal acts. Under 18 U.S.C. § 1961 there is a list of “predicate offenses,” and at least two of those crimes can create the needed pattern for prosecution. But there is no established RICO pattern here because there are no established predicate crimes. An effort by the Biden administration to designate political opponents as “racketeers” would raise deeply troubling concerns about weaponizing the criminal justice system.

Illegal transport One of the most-cited bases for criminal prosecution has been 8 U.S. Code § 1324, which prohibits transporting or attempting to transport undocumented migrants. The law is designed to combat smugglers, not states offering free trips to those released into the country by the federal government. It requires an act of “knowing or in reckless disregard of the fact” that the migrant “has come to, entered, or remains in the United States in violation of law.” These trips, however, are not in violation of law or “in furtherance of such violation of law.” The Biden administration’s controversial “catch and release” policy means migrants are free to go anywhere or accept trips from public interest groups, the federal government or the states.

In theory, public interest groups arranging for transportation or individuals giving rides to migrants could be prosecuted on the same basis under Section 1324. In reality, if transporting undocumented migrants after they are released into the country is to be judged criminal, then the Biden administration would be the largest “coyote” in history.

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Charles has so far done everything wrong. I give him 5 years as king. If that. He’s a danger to the family, the concept, the immeasurable riches.

• Epstein Victims Angered By ‘Public Rehabilitation’ Of Prince Andrew (RT)

Lawyers who represented victims of deceased pedophile Jeffrey Epstein told The Independent that their clients are angry and upset after seeing Prince Andrew – an associate of Epstein who was also accused of abuse – return to public life following the death of his mother, Queen Elizabeth II. Andrew was stripped of his royal patronages and honorary military titles earlier this year after he settled a civil lawsuit with Virginia Giuffre, who accused him of sexually assaulting her while she was still a minor in 2001. Andrew refrained from public appearances after the settlement, but the disgraced royal has returned to the spotlight following the death of his mother, walking in the Queen’s funeral procession and standing vigil at her coffin in Westminster Hall.

“For the victims that are involved, seeing him in these types of public appearances and being praised by the public, it’s frustrating to them,”Spencer Kevin, a Florida-based lawyer who represented nine of Epstein’s victims, told The Independent. “This is a man they see as someone who is, at the very least, disrespectful to the victims, by his friendship with a pedophile. And for him to be lauded in public, as he’s doing, and to be praised by the public, which is what he’s seeking, is insulting.” Kevin suggested that Andrew may be attempting to “rehabilitate his image in the public,” and said that the Duke of York should have grieved in private instead. Mariann Wang, a New York-based lawyer who represented up to a dozen of Epstein’s victims, agreed, calling Andrew’s appearance in public “quite outrageous.”

Epstein’s victims aren’t the only people upset at Andrew’s recent appearances. As the Queen’s funeral cortege made its way through Edinburgh last weekend, a young man was arrested after he called the prince a “sick old man.” Epstein and Andrew were friends, and the British royal admitted to staying at Epstein’s properties even after the American financier had been jailed in 2008 for soliciting a child for prostitution. Epstein was arrested again in 2019 and accused of sexually abusing dozens of underage girls, but was found dead in his Manhattan jail cell before he could be brought to trial. His death was officially ruled a suicide.

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Bit of hopeful news. Love the way they painted the plane for the occasion.

• India PM Modi Reintroduces Extinct Cheetahs On Birthday (BBC)

Cheetahs are set to roam in India for the first time since they were declared officially extinct in 1952. A group of eight cats arrived from Namibia on the occasion of Prime Minister Narendra Modi’s birthday on Saturday. They will undergo a month-long quarantine before being released in a national park in central India. Cheetahs formerly shared jungles with other big cats like lions and tigers but disappeared 70 years ago. They are the world’s fastest land animals, capable of reaching speeds of 70 miles (113km) an hour. This is the first time a large carnivore is being moved from one continent to another and being reintroduced in the wild.

At least 20 cheetahs are coming to India from South Africa and Namibia, home to more than a third of the world’s 7,000 cheetahs. The first batch of eight – five females and three males, aged between two and six years – arrived from Windhoek in Namibia to the Indian city of Gwalior on Saturday. Wildlife experts, veterinary doctors and three biologists accompanied the animals as they made the transcontinental journey in a modified passenger Boeing 747 plane. From Gwalior, the cheetahs were transferred by helicopter to Kuno National Park in Madhya Pradesh state, where they were released by a delegation led by Mr Modi.

Spread over a 289-square-mile area, the Kuno National Park is a sprawling sanctuary with prey like antelope and wild boars for the wild cats. An electrified enclosure, with 10 compartments ranging in size, has been built for the animals to quarantine before being released in the wild. Each cheetah will be given a dedicated team of volunteers, which will monitor it and keep tabs on the animal’s movement. Satellite radio collars have been put on each cheetah for their geolocation updates.

Read more …

 

 

 

Putin grain

 

 

The poorest in the UK and US are now poorer than the poorest in Slovenia.

 

 

Sagan budget

 

 

 

Pool party
https://twitter.com/i/status/1571061288561774599

 

 

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Debt Rattle February 24 2020

Feb 242020
 
 February 24, 2020  Posted by at 10:43 am Finance Tagged with: , , , , , , , , , , , , , ,  29 Responses »


John Vachon Rain. Pittsburgh, Pennsylvania 1941

 

 

• Wuhan Eases Coronavirus Lockdown As Xi Warns Of Historic ‘Crisis’ (G.)
• Large Parts Of China Relax Coronavirus Curbs, Many Report Zero New Cases (R.)
• Coronavirus China’s Fastest-Spreading Public Health Crisis – Xi Jinping (SCMP)
• Chinese Workers Refuse To Go Back To Work Despite Beijing’s Demands (ZH)
• Coronavirus Credit Crunch Hits Millions Of Chinese Firms (BBC)
• 85% Of Chinese Businesses Set To Run Out Of Cash In 3 Months (ZH)
• “Tsunami-Like” Coronavirus Floods South Korea With New Cases (ZH)
• COVID19 Did Not Originate In Wuhan Seafood Market – Chinese Scientists (SCMP)
• Austria Stops Passenger Train Traffic With Italy Amid Coronavirus Panic (RT)
• North Korea Quarantines Foreigners Amid Virus Fears (BBC)
• Record Two Million Britons At Risk Of Type 2 Diabetes (Ind.)
• What If Bernie Has Already Won This Thing? (Hill)
• Chris Matthews Faces Calls For Resignation (Hill)
• Chief Magistrate In Assange Case Was Funded By Shadowy Groups (DMav)
• An End of Aboriginal Rights and Title (IC)

 

 

Before we get to the virus news, an observation: I was watching Trump arrive in India today on CNN, and thought: poor CNN, they have no choice but to cover this. How can they make him look bad now? Imagined Jeff Zucker, who wanted ONLY impeachment news as that circus went on, pacing up and down his office trying to find an angle. Then they found it: one of the talking heads said Trump and Modi are both right-wing populists who don’t like Muslims! AND they made sure that during Trump’s speech a bit later, there was always a talking head talking, so nobody could hear what Trump said. Well done!

 

As the virus continues to spread, rapidly, China starts to relax lockdown measures in certain regions, citing zero new cases there. For some reason this coincides with plummeting western stock markets and an incredible surge in gold (almost 3%). “As virus fears mount” says the media. “As China relaxes lockdown measures”, says I.

In reality, China makes a Russian roulette (Chinese roulette?) kind of gamble. Beijing realizes that if it doesn’t restart the economy real fast now, problems risk becoming insurmountable. So they say: no new cases in 1-2 days? Let’s go! Workers are less eager to get back, however. After all, they see President Xi declaring this the biggest health crisis, and 2 minutes later telling them it’s safe to take the subway or bus to work.

South Korea (red alert, 800 cases), Italy (152 cases) and Iran (12 deaths) are in various stages of exponential outbreak, and maybe Japan should be in that list as well, if only because infections aboard the Diamond Princess rose to 691. Oh well, maybe it’s good news that the Worldometer mortality rate has dropped to 9% (see below).

Turkey, Pakistan have closed borders with Iran, while Austria and soon others closed them with Italy. Note that the Schengen Treaty is under severe threat from this. Oh, and Axios reports shortages of 150 essential drugs likely.

 

• Cases 79,707 (+ 841 from yesterday’s 78,866).

• Deaths 2,626 (+ 162 from yesterday’s 2,464, a sharp rise from 102)

 

From SCMP:

 

 

Note: Worldometer mortality rate has dropped to 9%

 

 

 

 

The vast majority of cases and deaths are still in Hubei province, but who cares, we must produce. The economy forces us into the worst possible decisions.

• Wuhan Eases Coronavirus Lockdown As Xi Warns Of Historic ‘Crisis’ (G.)

Wuhan, the centre of the coronavirus outbreak in China, has loosened lockdown measures and several provinces have lowered their emergency alert levels, as top officials sought to assure the public that the virus is being contained. On Monday, China’s National Health Commission reported its highest number of deaths in 11 days, with another 150 dead and 409 new cases, bringing the total number of confirmed cases of Covid-19 in China to 77,150. All but one of the fatalities and 11 of the new infections were in Hubei province, the centre of the outbreak.


Officials had delayed the daily announcement of the data, a day after a major speech and meeting held by China’s leader, Xi Jinping. Xi warned the Covid-19 crisis was “both a crisis and a big test” for the country, according to Xinhua News agency. Xi said the virus was a major public health emergency, which had spread quickly, causing the most extensive and difficult-to-contain infection since the founding of the People’s Republic of China. “The outbreak of novel coronavirus pneumonia will inevitably have a relatively big impact on the economy and society,” Xi said, but added that the impact would be temporary and generally manageable. Some observers greeted Monday’s figures with scepticism and as part of efforts to project a sense of control over the crisis. Chinese officials have twice changed the criteria for confirmed infections, making the data harder to parse.

Read more …

Key: “China’s GDP may slow in the first quarter, possibly easing to 3% growth or even lower..”

• Large Parts Of China Relax Coronavirus Curbs, Many Report Zero New Cases (R.)

Urged to restore economic activity by President Xi Jinping, large parts of China relaxed curbs on transport and movement of people on Monday as reported new cases of the coronavirus outside the worst-hit province fell to the lowest in a month. Figures released by the national health authority on Monday showed 24 out of China’s 31 provinces and regions – including Beijing, Shanghai and populous provinces such as Henan and Anhui – reported zero cases of new infections on Feb. 23, the best showing since it began publishing nationwide figures on Jan. 20. There were just 11 new cases in six other provincial-level jurisdictions, while in Hubei province, the epicenter of the epidemic, the number of new cases fell to 398 from 630 a day earlier.

On Sunday, President Xi hailed the positive trend, and urged businesses to resume work and safeguard jobs. He also told low-risk provinces to restore economic activity and output, while high-risk regions focused on controlling the epidemic. Yunnan, Guangdong, Shanxi and Guizhou on Monday lowered their coronavirus emergency response measures from the most serious level, joining the provinces of Gansu and Liaoning in relaxing restrictions on traffic and movement of people. The coronavirus has infected nearly 77,000 people and killed more than 2,500 in China in one of the most serious public health crises in decades. The pathogen has also spread to other countries such as South Korea, Italy and Iran. Whether or not China can defeat the epidemic is “a major test of (Communist) Party organizations, party members and cadres of all levels,” Xi said, warning officials to avoid complacency.

In the rest of China, factories, businesses and construction sites have already gradually restarted. Large state-owned enterprises have been told to spearhead a recovery in industry while policymakers roll out measures to support struggling small and medium-sized companies. China’s GDP may slow in the first quarter, possibly easing to 3% growth or even lower, from 6% in the previous quarter – which was already the weakest pace in nearly 30 years, economists estimated. “The risk is that, with the emphasis on the economy and a differentiation of regions based on the number of new infection cases, the quality of new infection data reported by local governments could be compromised again,” Nomura wrote in a research note. “Cover-ups could lead to slack preventions…” it said.

Read more …

But do go to work!

• Coronavirus China’s Fastest-Spreading Public Health Crisis – Xi Jinping (SCMP)

In a meeting on an unprecedented scale, Chinese President Xi Jinping said the coronavirus epidemic was the country’s most serious public health crisis and promised more pro-growth policies to help overcome it. According to state news agency Xinhua, Xi’s address via teleconference on Sunday was open to every county government and every military regiment throughout the country. He said the epidemic was “the fastest spreading, with the most infected and was the most difficult to prevent and control” since the founding of the People’s Republic. “This is a crisis for us and it is also a major test,” he said, acknowledging that the country needed to learn from the “obvious shortcomings exposed” in its response, so it could improve its ability to handle future crises. But Xi also told the Communist Party cadres that “the party Central Committee’s assessment of the epidemic is accurate, all the work arrangements are timely, and the measures adopted are effective”.


“The effectiveness of the prevention and control work has once again demonstrated the significant advantages of the leadership of the Communist Party of China and the socialist system with Chinese characteristics,” he said. He said that controlling the outbreak in the central Chinese city of Wuhan and the wider province of Hubei as well as preventing the epidemic from spreading to Beijing, China’s political centre, were the country’s top two strategic goals. “First, [we must] resolutely curb the spread of epidemic … increase the rate of treatment and cure, and reduce the infection and death rates effectively in Hubei and Wuhan,” he said. “Second, [we need to] make every effort to prevent and control the spread in Beijing … strengthen joint defenses and control in the Beijing-Tianjin-Hebei region, and cut off the source of infection as much as possible.”

Read more …

Your virus or your money…

• Chinese Workers Refuse To Go Back To Work Despite Beijing’s Demands (ZH)

When we commented earlier that the coronavirus pandemic means that the vast majority of Chinese small and medium enterprises (SMEs) have at most 2-3 months of cash left, a potentially catastrophic outcome that will not only crippled China’s economy but its $40 trillion financial system, we summarized the circular quandary in which Beijing finds itself, to wit: “… unless China reboots its economy, it faces an economic shock the likes of which it has never seen before in modern times. Yet it can’t reboot the economy unless it truly stops the viral pandemic, something it will never be able to do if it lies to the population that the pandemic is almost over in hopes of forcing people to get back to work. Hence the most diabolic Catch 22 for China’s social and economic system, because whereas until now China could easily lie its way out of any problem, in this case lying will only make the underlying (viral pandemic) problem worse as sick people return to work, only to infect even more co-workers, forcing even more businesses to be quarantined.”

Shockingly (or perhaps not at all in light of China’s tremendous human rights record), Beijing has picked output over life expectancy, and in a furious scramble to restart its economy, which as we showed earlier remains flatlined… … according to most high-frequency metrics, it has been “advising” people to get back to work, even as new coronavirus cases are still coming in, in the process threatening to blow out the current epidemic with orders of magnitude more cases as places of employment become the new hubs of viral distribution.

As Bloomberg picked up late on Sunday, following what we said earlier namely that “local governments around the country face a daunting question of whether to focus on staving off the virus or encourage factory reopenings” China’s central and local governments are one again easing the criteria for factories to resume operations “as they walk a tightrope between containing a virus that has killed more than 2,400 people and preventing a slump in the world’s second-largest economy.” This schizophrenic dilemma for a government which faces two equally terrible choices, was best summarized by the following two banners observed in China:

And yet, even with both options equally terrible, Beijing also has no choice but to pick one. As a result, as Bloomberg writes, “the rush to restart has been propelled by China’s leader Xi Jinping and top leaders, who are urging companies to resume production so the country can continue to meet lofty goals for growth and economic development in 2020.” Regular Zero Hedge readers know the rest: with most of Chinese economic output paralyzed, officials in China’s provinces have taken up Xi’s call, with one region after another relaxing rules that had kept more than half the nation’s industrial base idle following the Lunar New Year holiday.

Read more …

Why I warn for too much focus on Apple and iPhones: “Small- and medium-sized companies account for 60% of the economy and 80% of jobs..”

• Coronavirus Credit Crunch Hits Millions Of Chinese Firms (BBC)

Mounting debts have hit Chinese companies struggling to pay workers and suppliers amid the coronavirus outbreak. President Xi Xinping said on Sunday that China faces a “big test” to combat the virus. The government has asked banks to offer more credit for an economy stunned as the virus spreads rapidly. But a survey of small and medium Chinese firms found millions at the edge of survival. The Chinese Association of Small and Medium Enterprises said around 60% could cover regular payments for only one to two months before running out of cash. Only 10% said they could hold out six months or longer. At the same time, the industry group said that “nearly 60% of the enterprises (surveyed) have resumed work.” Small- and medium-sized companies in China are a particular focus because they account for 60% of the economy and 80% of jobs, according to the People’s Bank of China.

Read more …

“..as of last Monday, only about 25% of people had returned to work in China’s tier-one cities..”

• 85% Of Chinese Businesses Set To Run Out Of Cash In 3 Months (ZH)

And here is the stark reality of China’s T-minus 3 months countdown: 85% of 1,506 SMEs surveyed in early February said they expect to run out of cash within three months, according to a report by Tsinghua University and Peking University. And forget about profits for the foreseeable future: one-third of the respondents said the outbreak is likely to cut into their full-year revenue by more than 50%, according to the Nikkei. “Most SMEs in China rely on operating revenue and they have fewer sources for funding” than large companies and state-owned enterprises, said Zhu Wuxiang, a professor at Tsinghua University’s School of Economics and Management and a lead author of the report.

The problem with sequential supply chains is that these also apply to the transfer of liquidity: employers need to pay landlords, workers, suppliers and creditors – regardless of whether they can regain full production capacity anytime soon. Any abrupt and lasting delays will wreak havoc on China’s economic ecosystem. “The longer the epidemic lasts, the larger the cash gap drain will be,” Zhu said, adding that companies affected by the trade war face a greater danger of bankruptcy because many are already heavily indebted. “Self-rescue will not be enough. The government will need to lend help.”

So where are we nearly two months after the epidemic started? Well, as of last Monday, only about 25% of people had returned to work in China’s tier-one cities, according to an estimate by Japanese brokerage Nomura, based on data from China’s Baidu. By the same time last year, 93% were back on the job. And making matters worse, as we first noted several weeks ago, local governments around the country face a daunting question of whether to focus on staving off the virus or encourage factory reopenings, as the following tweet perfectly captures.

Read more …

“..bringing the total of 763, a 25-fold increase in cases in one week,..”

• “Tsunami-Like” Coronavirus Floods South Korea With New Cases (ZH)

Update (2200ET): In a release that was about 4 hours late, China’s Hubei province said it has 398 New Coronavirus Cases As Of Feb 23 and 149 New Coronavirus Deaths. Overall, China reported an additional 409 coronavirus cases across the entire nation, and 150 additional deaths as of February 23 vs. 648 additional cases and 97 deaths on February 22. This brings the total number of cases across China to 77,150, and total deaths to 2592. None of these numbers are even remotely credible any more, and serve merely the propaganda purpose of giving the impression that Beijing is winning the war against the spread of the Coronavirus, when in reality nobody has any idea anymore what is going on on the ground in China, and is why workers refuse to show up to their place of business.

Consider this: two days ago, WaPo reporters pointed to a clear case of manipulation where the authorities suppressed the true number of cases. Authorities in Hubei province reported good news Thursday: There were only 349 new coronavirus cases the previous day, the lowest tally in weeks. The bad – and puzzling – news? Wuhan, the capital of Hubei, reported 615 new cases all by itself. And then there was the Hunan doctor who said he had treated no less than 50 patients with coronavirus on the same day official data reported just one new case.

Update (2015 ET): The epidemic in South Korea is accelerating exponentially, with the country reporting 161 additional virus cases, bringing the total of 763, a 25-fold increase in cases in one week, along with two more deaths bringing the death toll there to seven. The Kospi is continuing its decline and is down 3.0% and approached the 2100 level on the downside. More ominously, the number of cases under inspection is nearly 10,000. Earlier in the day, S.Korea elevated the virus alert level to “red”, the highest in its four-tier system. According to Yonhap, in escalating the virus alert level, President Moon said, “a few days from now is a watershed moment.” In the first 30 days, S. Korea seemed to have been effectively combating the Covid-19. But within the past few days, the number of confirmed cases spiked, first linked to a religious sect and now starting to spread across the country. Yet, the city of Daegu and the Gyeongbuk area have a higher concentration of virus cases – representing 84% of the total number of infections – than other regions.

Read more …

Let’s check that lab, shall we?

• COVID19 Did Not Originate In Wuhan Seafood Market – Chinese Scientists (SCMP)

The novel coronavirus that has claimed the lives of more than 2,400 people did not originate at a seafood market in the central China city of Wuhan as was first thought, according to a new study by a team of Chinese scientists. The severe acute respiratory syndrome coronavirus 2 (SARS-CoV-2) was instead imported from elsewhere, said researchers from Xishuangbanna Tropical Botanical Garden under the Chinese Academy of Sciences and the Chinese Institute for Brain Research. The team, led by Dr Yu Wenbin, sequenced the genomic data of 93 SARS-CoV-2 samples provided by 12 countries in a bid to track down the source of the infection and understand how it spreads.

What they found was that while the virus had spread rapidly within the Huanan Seafood Wholesale Market in Wuhan, there had also been two major population expansions on December 8 and January 6. According to the study, which was published on the institute’s website on Thursday, analysis suggested that the coronavirus was introduced from outside the market. “The crowded market then boosted SARS-CoV-2 circulation and spread it to the whole city in early December 2019,” it said. Earlier reports by Chinese health authorities and the World Health Organisation said that the first known patient showed symptoms on December 8, and that most of the subsequent cases had links to the seafood market, which was closed on January 1.

The research went on to say that based on the genome data it was possible that the virus began spreading from person to person in early December or even as early as late November. “The study concerning whether Huanan market is the only birthplace of SARS-CoV-2 is of great significance for finding its source and determining the intermediate host, so as to control the epidemic and prevent it from spreading again,” the research team said.

Read more …

Note the use of the word “panic”.

• Austria Stops Passenger Train Traffic With Italy Amid Coronavirus Panic (RT)

Authorities in Austria have stopped an incoming train at the Italian border, after it emerged that two passengers may be infected with the Covid-19 coronavirus. Later, all train traffic to and from Italy was halted.
The Eurocity 86 train was stopped at the Brenner Pass border crossing on Sunday, after officials at Italian State Railways told their Austrian counterparts that two passengers on board had fever symptoms consistent with the Covid-19 coronavirus.The train, bound for Munich in Germany, was halted and returned to the Italian side of the alpine crossing, Interior Minister Karl Nehammer confirmed.

Austrian authorities later stopped all train traffic to and from Italy, tabloid newspaper OE24 said on its website. The stoppage marks the first time European borders have been shut following the outbreak of the deadly disease, which surfaced in the Chinese city of Wuhan in late 2019 and has to date spread to more than 30 countries worldwide, killing nearly 2,500 people. At least 100 cases and three deaths have been recorded in Italy, making the Mediterranean country Europe’s coronavirus hotspot, and the only European country to see fatalities. Cities and towns in the northern regions of Lombardy and Veneto have been placed on lockdown, and Venice’s world-famous carnival has ended two days early, as authorities grapple to stop the spread of the illness.

In Milan, grocery stores were emptied by panic-stricken shoppers, and shortages of disinfectant and respirators have been reported. Europe’s largely porous borders could pose a serious risk for further transmission across the continent. However, EU officials have told the public that “there is no need to panic.” “The EU has full confidence in the Italian authorities and the decisions they are taking,” the bloc’s economic affairs commissioner, Paolo Gentiloni, said on Sunday.

Read more …

If they have an outbreak, will we ever know?

• North Korea Quarantines Foreigners Amid Virus Fears (BBC)

North Korea has quarantined 380 foreigners in a bid to stop the coronavirus from breaking out. The foreigners are mostly diplomats stationed in the capital Pyongyang, said news agency Yonhap, quoting the Korean Central Broadcasting Station. Around 200 foreigners had already been confined to their compounds for the past 30 days – but as that came to an end, the quarantine has been extended. There have not been any reported cases of Covid-19 in North Korea. It’s not known how long the new quarantine for foreigners will last. [..] North Korea has not confirmed any cases – but there are clearly fears of it spreading, as the country shares a border with China.


All foreigners coming into the country must be quarantined for 30 days. There are relatively few foreigners in North Korea, and only around 200 westerners, according to one expert. North Korean authorities have also cancelled the annual Pyongyang marathon, which typically sees people from all over the world participating. Around 3,000 people in North Pyongan province – a north-western region bordering China – are also now under monitoring for reportedly showing suspected symptoms, said state media.

Read more …

Reminds me of a doctor in the southern States who said a few years ago: We’re raising a generation of blind amputees.

• Record Two Million Britons At Risk Of Type 2 Diabetes (Ind.)

A record number of people are at risk of developing type 2 diabetes, increasing their chances of suffering a heart attack or stroke, the NHS has warned. A “growing obesity crisis” has led to nearly two million people in England being exposed to the condition that causes the level of sugar in the blood to become too high. As part of efforts to tackle the problem, a radical new liquid diet will be available on the NHS to put type 2 diabetes into remission. Five thousand patients will be restricted to 800 calories per day for three months in a pilot to be rolled out from April.


This will be followed by a further nine months of support to help them maintain weight loss. According to new NHS figures, there are 1,969,610 patients registered with a GP who have non-diabetic hyperglycaemia, a condition that puts people at risk of type 2 diabetes. The health service warned the problem could become greater still due to the rise in obesity levels. Projections indicate the growing number of diabetes sufferers could lead to 39,000 extra people suffering a heart attack in 2035 and more than 50,000 experiencing a stroke. One in six hospital beds are now occupied by someone with diabetes, the NHS said.

Read more …

If it were just about the votes, sure.

• What If Bernie Has Already Won This Thing? (Hill)

Virtually all of the political oxygen in the room over the past two weeks has been consumed by former NYC mayor Mike Bloomberg’s recent rise in the polls. After skipping almost an entire year of campaigning, more than half a dozen debates, as well as the first four caucuses and primaries, suddenly Bloomberg is finding himself taken seriously. Spending nearly half a billion dollars will buy you some attention, it turns out. Certainly, Bloomberg is due for scrutiny, with his extensive history of horrifying statements about the trans community, the financial collapse, stop and frisk, sexual harassment, the NSA — honestly pick a topic and Bloomberg has been on the wrong side of it…

…but I want you to consider the possibility that this 24/7 Bloomberg media frenzy is hiding the real story of the 2020 Democratic primary: Has Bernie Sanders already won this thing? I know. I know. I’m probably getting ahead of myself. We hit Nevada, but we’re still waiting on a Super Tuesday and the truly delegate-rich states. There’s a lot of campaign left to be had, and any number of twists and turns could develop between now and the (possibly contested) Dem convention. But hear me out. By every traditional standard, Bernie Sanders is in a stronger position at this point in the primary process than any Democratic candidate stretching back decades. Bernie received the most votes in the disastrous Iowa caucuses and won the New Hampshire primary as well.

South Carolina follows, and while Bernie is not yet positioned to definitively take first there, he has turned Biden’s once-dominant lead into an effective tie. In the most delegate-rich Super Tuesday states, the RealClearPolitics polling average for California has Bernie up by 12, and Texas effectively tied between Sanders and Biden. He’s looking quite strong in a number of other states. Nationally, Bernie Sanders now holds a 15 point lead over second-place Joe Biden. That’s a jump of 8 points in just one month, as Biden has plummeted. The story is effectively the same when you turn to the much talked about “electability” measure, with Bernie now leading at 30 percent when asked who has the best chance to defeat Donald Trump.

Read more …

Bernie the Jewish anti-semite.

• Chris Matthews Faces Calls For Resignation (Hill)

MSNBC’s Chris Matthews is under fire after comparing Sen. Bernie Sanders’s (I-Vt.) decisive win in the Nevada caucuses to the Nazi invasion of France in 1940, with some on social media calling for the “Hardball” host to resign. “I was reading last night about the fall of France in the summer of 1940,” Matthews said during MSNBC’s live coverage of the caucuses on Saturday. “And the general, Reynaud, calls up Churchill and says, ‘It’s over.’ And Churchill says, ‘How can that be? You’ve got the greatest army in Europe. How can it be over?’ He said, ‘It’s over.'” Criticism quickly poured in on social media over Matthews using the analogy.


Sanders, who is Jewish, had most of his family killed in the Holocaust. One such response came from Mike Casca, who serves as Sanders’s 2020 communications director. “..never thought part of my job would be pleading with a national news network to stop likening the campaign of a jewish presidential candidate whose family was wiped out by the nazis to the third reich…but here we are.”

Read more …

Please let something good come out of Julian’s extradition hearing today. Only 16 spots for the media, that’s not a good sign.

• Chief Magistrate In Assange Case Was Funded By Shadowy Groups (DMav)

The senior judge overseeing the extradition proceedings of WikiLeaks publisher Julian Assange received financial benefits from two partner organisations of the British Foreign Office before her appointment, it can be revealed. It can further be revealed that Lady Emma Arbuthnot was appointed Chief Magistrate in Westminster on the advice of a Conservative government minister with whom she had attended a secretive meeting organised by one of these Foreign Office partner organisations two years before. Liz Truss, then Justice Secretary, “advised” the Queen to appoint Lady Arbuthnot in October 2016. Two years before, Truss — who is now Trade Secretary — and Lady Arbuthnot both attended an off-the-record two-day meeting in Bilbao, Spain.

The expenses were covered by an organisation called Tertulias, chaired by Lady Arbuthnot’s husband — Lord Arbuthnot of Edrom, a former Conservative defence minister with extensive links to the British military and intelligence community exposed by WikiLeaks. Tertulias, an annual forum held for political and corporate leaders in the UK and Spain, is regarded by the UK Foreign Office as one of its “partnerships”. The 2014 event in Bilbao was attended by David Lidington, the Minister for Europe, while the Foreign Office has in the past funded Lord Arbuthnot’s attendance at the forum. The Foreign Office has long taken a strong anti-Assange position, rejecting UN findings in his favour, refusing to recognise the political asylum given to him by Ecuador, and even labelling Assange a “miserable little worm”.

Lady Arbuthnot also benefited financially from another trip with her husband in 2014, this time to Istanbul for the British-Turkish Tatlidil, a forum established by the UK and Turkish governments for “high level” individuals involved in politics and business. Both Tertulias and Tatlidil are secretive gatherings about which little is known and are not obviously connected — but Declassified has discovered that the UK address of the two organisations has been the same. Lady Arbuthnot personally presided over Assange’s case as judge from late 2017 until mid-2019, delivering two controversial rulings. Although she is no longer personally hearing the Assange extradition proceedings, she remains responsible for supporting and guiding the junior judges in her jurisdiction. Lady Arbuthnot has refused to declare any conflicts of interest in the case.

The new revelations follow previous investigations by Declassified showing that Lady Arbuthnot received gifts and hospitality in relation to her husband from a military and cybersecurity company exposed by WikiLeaks. Declassified also revealed that the Arbuthnots’ son is linked to an anti-data leak company created by the UK intelligence establishment and staffed by officials recruited from US intelligence agencies behind that country’s prosecution of the WikiLeaks founder.

Read more …

Canada’s Supreme Court was very clear in 1997. But various governments, including Trudeau’s, piss on them. Love the photo, and the cape.

• No Surrender: An End of Aboriginal Rights and Title (IC)

The Wet’suwet’en Nation has never signed treaties or ceded territory to the Canadian government — a fact that its leaders have defended fiercely in court as well as on the ground. Its hereditary chiefs were behind a landmark Supreme Court of Canada decision in 1997 known as Delgamuukw vs. the Queen, which recognized the existence of aboriginal title, whereby Indigenous people have the right to “exclusive use and occupation” of territory. However, because of a technicality, the court did not resolve the boundaries of the Wet’suwet’en’s claim to 8,500 square miles of land, stating that title would have to be sought through separate legal or treaty-making proceedings, which were never completed.

Documents obtained by the Canadian publication The Narwhal show that the Delgamuukw decision sent chills through Canadian extractive industries. The documents indicate that the government of British Columbia, a province largely made up of unceded territory, rushed to reassure industry officials, inviting them to provide input on a treaty-making process meant to settle questions over authority on unceded land. In one memo, describing a meeting held in the wake of the ruling, Marlie Beets, then vice-president of the B.C. Council of Forest Industries, told B.C. officials that Indigenous nations must hand over their land to Canada. “The decision makes the need for certainty through surrender all the more clear,” she said. “We see no other alternative.”

Other industries echoed the alarm. “The oil and gas industry in particular has expressed concern about their ability to continue to do business in the province absent a clear direction from the government on how it will address the implications of the Delgamuukw decision,” stated a memo by a Delgamuukw strategy team formed by the government. At a meeting set up by British Columbia’s treaty officials, one lawyer, whose client is unclear, underlined that “what is needed is a clear exchange and an end of Aboriginal rights and title for a defined set of treaty rights.”


Ts’akë ze’ Howihkat, Freda Huson, passes an installation of red dresses as she waits for police to enforce Coastal GasLink’s injunction at the Unist’ot’en healing center on Feb. 9, 2020. The red dresses are a symbol of the thousands of missing and murdered Indigenous women and girls. Photo: Amber Bracken

Read more …

 

 

 

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Debt Rattle April 10 2019

Apr 102019
 
 April 10, 2019  Posted by at 8:59 am Finance Tagged with: , , , , , , , , , , , ,  16 Responses »


Marcel Duchamp The chess game 1910

 

• Putin Derangement Syndrome After Mueller (SCF)
• ‘Mountain Brought Forth A Mouse’: Putin On Mueller Report (RT)
• Same People Behind Iraq War Lies Pushed Russian Collusion (Kelly)
• May’s Hopes Dashed As EU Targets Brexit Delay Of Up To A Year (G.)
• UK Finance Minister Says Lawmakers Might Revoke Brexit To Prevent No Deal (R.)
• Democracy Is Overrated – Let The Queen Sort Out Brexit (Jan Fleischhauer)
• Brexit Explained In Two Words: Basil Fawlty (G.)
• IMF Says No-Deal Brexit Risks Two-Year Recession For UK (G.)
• China To Join FAA’s Review Panel On Boeing’s 737 MAX (R.)
• Boeing Shareholders Sue Over 737 MAX Crashes (R.)
• India’s Modi Rides Nationalist Fervor Ahead Of Election (R.)
• Two-Thirds Of Glacier Ice In The Alps ‘Will Melt By 2100’ (G.)

 

 

Like this. Contains dozens of links in the original.

• Putin Derangement Syndrome After Mueller (SCF)

The West – its governments and its governments’ scribes – are obsessed with Russian President Vladimir Putin. “Obsessed” is probably too weak a word to describe the years of impassioned coverage, airy speculation and downright nonsense. He is the world’s leading cover boy: military hats, Lenin poses, imperial crowns, scary red eyes, strait-jackets, clown hats; anything and everything. He’s the avatar of Stalin, he’s the avatar of the Tsars, he’s the Joker, he’s Cthulhu, he’s Voldemort, he’s Satan. He’s the palimpsest for the New World Order’s nightmares. Putin is always messing with our minds. He weaponises information, misinformation and sexual assault accusations. Childrens’ cartoons, fishsticks, Pokemon and Yellow Vests, “Putin’s warships” are lurking when they aren’t stalking; “Putin’s warplanes” penetrate European airspace; “Putin’s tanks”, massing in 2016, massing in 2018, still massing. His empire of rogue states grows. All Putin, all the time.


[..] The entire ramshackle construction is collapsing: if Mueller says there was no collusion then even the last ditch believers will have to accept it: Robert Mueller Prayer Candles are out of stock, time to toss the other tchotchkes, it wasn’t a Mueller Christmas after all. Clinton’s fabrication had two parts to it: 1) Putin interfered/determined the election 2) in collusion with Trump. When the second part is blown up, so must the first be. And then what will happen to all the loyal little allies crying “ours were interfered with too”!? The two halves of the story had the same authors and the same purpose: if one dies, so must the other. Now that Trump is secured from the obstruction charges that hung there as long as Mueller was in session, he is free to declassify the background documents that will show the origin, mechanics, authors and extent of the conspiracy. And he has said he will. In the process, both halves of the story will be destroyed: they’re both lies.

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Can we get back to talking now? Don’t hold your breath.

• ‘Mountain Brought Forth A Mouse’: Putin On Mueller Report (RT)

The Mueller probe has caused much fuss but predictably did not find any evidence to prove Donald Trump colluded with Russia, Vladimir Putin has said, sarcastically likening it to a “mountain bringing forth a mouse.”
“We said from the very beginning that this Mueller commission will find nothing because we know it better than anyone: Russia did not meddle in any US election, there was no collusion between [US President Donald] Trump and Russia that Mr. Mueller was looking for,” Putin told the International Arctic Forum on Tuesday.


Taking a lighter tone, the president said that the outcome was predictable, likening it to “a mountain that has brought forth a mouse.” According to Putin, US President Donald Trump “knows better what witch hunts are.” This was “a dark chapter in American history,” and no one wants to see it “come back.” The long-awaited report from the Mueller probe was submitted in late March to Attorney General William Barr. The inquiry specifically targeted alleged collusion between Trump’s 2016 presidential campaign team and Moscow. However, its key conclusions mentioned no evidence of a conspiracy.

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This is the same as me saying Trump’s enemies are the same as Assange’s enemies.

• Same People Behind Iraq War Lies Pushed Russian Collusion (Kelly)

In between the two scandals was more than a decade of recriminations against once-trusted experts on the Right who led our nation into battle. The Iraq war cost the lives of more than 4,400 U.S. troops, maimed tens of thousands more and resulted in an unquantifiable amount of emotional, mental, and physical pain for untold numbers of American military families. Suicide rates for servicemen and veterans have exploded leaving thousands more dead and their families devastated. And it has cost taxpayers more than $2 trillion and counting. So, these discredited outcasts thought they found in the Trump-Russia collusion farce a way to redeem themselves in the news media and recover their lost prestige, power, and paychecks.

After all, it cannot be a mere coincidence that a group of influencers on the Right who convinced Americans 16 years ago that we must invade Iraq based on false pretenses are nearly the identical group of people who tried to convince Americans that Donald Trump conspired with the Russians to rig the 2016 election, an allegation also based on hearsay and specious evidence. It cannot be an innocent mistake. It cannot be explained away as an example of ignorance in the defense of national security or democracy or human decency. It cannot be justified as a mere miscalculation based on the “best available information at the time” nor should we buy any of the numerous excuses that they offered up to rationalize the war.

So why did they do it? Why did Kristol, McCain, Frum, Boot, et. al., dive headlong and without shame into a domestic political war with just as much thoughtless braggadocio as they brought to the disastrous Iraq war? Clearly, this war did not have the same deadly results as the war in Iraq but, nonetheless, it fueled an unprecedented degree of anger and division among our countrymen and toward our new president. It ensnared innocent people who suffered real-life consequences, their fate grotesquely cheered by these mendacious fraudsters. Why?

If you had the blood of so many young Americans and more than 100,000 Iraqis on your hands because you peddled a lie, wouldn’t you be a tad more cautious before repeating that kind of mistake? If you assured Americans that the Iraq war would last just a few months, as Bill Kristol said in 2002, but instead it ended up lasting eight years, wouldn’t you be chastened about making more predictions? If your actions led directly to the election of a Democratic president who launched his winning campaign based on your egregious failures, wouldn’t you hesitate before inserting yourself in another scandal that gave fodder to your political opponents at your expense?

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The EU has zero reason to grant another short delay. Nothing has changed.

• May’s Hopes Dashed As EU Targets Brexit Delay Of Up To A Year (G.)

Theresa May’s request for a short Brexit delay has been torn up, putting the EU on track to instead extend Britain’s membership until 2020.Despite the prime minister’s desperate dash to Paris and Berlin to convince leaders of her plan to break the Brexit impasse, the European council president, Donald Tusk, signalled EU politicians’ lack of faith in her cross-party talks. Against a backdrop of growing support among the EU27 for a lengthy Brexit delay, Tusk picked apart May’s appeal for a shorter delay to 30 June in a letter to the leaders inviting them to Wednesday’s summit, where they will agree the new end date.


An EU diplomat said on Tuesday, following a late-night meeting of ambassadors, that the two end dates crystallising in EU capitals were the end of December or the end of March 2020. A cabinet source voiced doubts over whether May could survive after presiding over such a long delay to Brexit, after previously having said she could not “as prime minister” accept a longer delay than 30 June. The source said some in No 10 now accept it is nearly game over and described all options as very difficult for the prime minister, raising questions about whether she can keep her warring party together much longer. May is facing a bitter backlash within her party over the likelihood of a long delay to Brexit and participation in EU elections, especially if that leads to any sort of deal with Labour involving a customs union.

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May was very careless in signing Article 50 when she did. But it made the Brexiteers happy.

• UK Finance Minister Says Lawmakers Might Revoke Brexit To Prevent No Deal (R.)

British finance minister Philip Hammond raised the prospect of lawmakers revoking Article 50 this week rather than allowing Britain to leave the European Union without a deal if talks collapse, the Telegraph reported on Tuesday. Hammond warned that the value of the pound could fall significantly if Prime Minister Theresa May fails to reach agreement on a Brexit delay with Brussels, the Telegraph said. He made the comments during a meeting on Tuesday with other ministers in which various scenarios were discussed, the paper said, without citing sources. May invoked Article 50 to give notice that Britain was leaving the EU over two years ago, but the details of how, when and even if Brexit will happen are still far from clear.

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From Der Spiegel columnist.

“When she was born, the British empire stretched from Newfoundland to Papua New Guinea and covered almost a quarter of the world’s population. Today, Britain is a lovely island in the middle of the North Sea..”

• Democracy Is Overrated – Let The Queen Sort Out Brexit (Jan Fleischhauer)

From Germany, it looks like the UK monarch is in the perfect position – after all, she has always responded to crises with dignity …

If there is someone who still reacts in the most difficult situations with dignity and decency, it is Queen Elizabeth II. I mean, this is the woman who survived Hitler and his V2s, the Great Smog, the “winter of discontent” and all the other trials and tribulations of her kingdom over the last nine decades. Surely, some well-placed words from her and this whole mess can be resolved. I often wonder how, sitting in Buckingham Palace, the Queen views the situation. When she was born, the British empire stretched from Newfoundland to Papua New Guinea and covered almost a quarter of the world’s population. Today, Britain is a lovely island in the middle of the North Sea that is rapidly becoming the size of Iceland in terms of political importance.

What does the Queen think of people who blithely painted a nation’s future in the rosiest colours and are now surviving from day to day? Royal courts traditionally indulged clowns who were permitted to make fools of them. But no self-respecting monarch would have come up with the idea of entrusting the fool with the fate of the country. I know there are narrow limits to the power of the Queen in a constitutional monarchy. But if you ask John Bercow to take a close look at the archives, he may find a precedent – moments when the power of government was transferred to the Queen when the country’s destiny is on the line. That’s the advantage of looking back on a few centuries of monarchist tradition: somewhere there is always a clause that legitimises you.

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“At moments, we all wish to retreat to an imaginary place: a womb with a view, if you will.”

• Brexit Explained In Two Words: Basil Fawlty (G.)

In a crumbling edifice, a farce plays out. The hapless central character fawns on an aristocrat who turns out to be a conman. He then fails to disguise his unease when confronted with his European neighbours, doesn’t bother to mask a thorough contempt for the Irish, and enters a love-hate relationship with ostentatiously wealthy Americans. Meanwhile, there are questions over food safety and supply (specifically kippers, duck and veal cutlets) as workers scurry around trying to pretend that nothing out of the ordinary is happening. Always disaster hovers at the edge of vision.


[..] Fawlty Towers was, above all, an ensemble piece about isolation. It was a portrait of rage and frustration, an exploration of the impotence that results when the world as we wish it to be is so agonisingly at odds with the world as it is. It was the Brexit mindset incubating in the shabby surroundings of a down-at-heel hotel that had seen far better days. [..] Fawlty Towers now appears to have something of the downright prophetic about it. But let’s try to extract a moment of hope for these bleak times. In the end, whether clonked by a moose’s head, thrashing a recalcitrant car with a branch, derailed by a drunken Greek chef or outwitted by a wily Irish builder, Basil doesn’t get his way. His peculiar aspirations are curtailed and forced to conform to the realities of a complex, nuanced world.

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2-3-5-10-25, the IMF doesn’t know more than you and I.

• IMF Says No-Deal Brexit Risks Two-Year Recession For UK (G.)

Britain’s already struggling economy would be pushed into a two-year recession by a no-deal Brexit, the International Monetary Fund has warned. Ahead of Theresa May’s plea to EU leaders for a further delay to Britain’s departure, the IMF used a downbeat half-yearly assessment of the global economy to predict that the UK economy could be 3.5% smaller than expected by 2021 if trade barriers were swiftly erected. The World Economic Outlook – completed in March before the latest developments in Brexit – predicted UK growth of 1.2% in 2019 on the assumption that a Brexit deal is done.


Growth in 2020 has also been revised down – by 0.1 points to 1.4% – since the fund’s last WEO in October, but the IMF said its projections were surrounded by uncertainty. It said there were alternative no-deal scenarios in which the UK would be hit by trade barriers, customs delays, barriers to financial services firms and the loss of preferential access to non-EU countries under trade deals negotiated by Brussels. The impact of these would be enough to cause output to decline in 2019 and 2020. It stressed that “a no-deal Brexit that severely disrupts supply chains and raises trade costs could potentially have large and long-lasting negative impacts on the economies of the United Kingdom and the European Union”.

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They’ll bring their Huawei phones I’m sure.

• China To Join FAA’s Review Panel On Boeing’s 737 MAX (R.)

China has decided to accept an invitation to join the U.S. Federal Aviation Administration’s (FAA) review panel on the Boeing 737 MAX, an official at the Chinese aviation regulator said on Tuesday. The FAA said last week it was forming an international team to review the safety of the aircraft, grounded worldwide following two deadly crashes – in Indonesia in October and in Ethiopia last month – that killed nearly 350 people. China was the first to ground the newest version of Boeing’s workhorse 737 model last month following the Ethiopian Airlines crash, prompting a series of regulatory actions by other governments worldwide.


The Civil Aviation Administration of China (CAAC) has decided to send experts to be part of the FAA panel, the official, in the regulator’s media relations department, told Reuters. The CAAC said last week that it has been invited to join the panel. Chinese airlines operated 97 of the 371 737 MAX jets in service before the grounding, the most of any country, according to Flightglobal data. Canada, the United Arab Emirates, and Singapore have already confirmed that they will join the panel. The European Aviation Safety Agency did not respond immediately to a request for comment on whether it would join the panel.

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Wait till the victims’ families start suing.

• Boeing Shareholders Sue Over 737 MAX Crashes (R.)

Boeing Co’s legal troubles grew on Tuesday as a new lawsuit accused the company of defrauding shareholders by concealing safety deficiencies in its 737 MAX planes before two fatal crashes led to their worldwide grounding.The proposed class action filed in Chicago federal court seeks damages for alleged securities fraud violations, after Boeing’s market value tumbled by $34 billion within two weeks of the March 10 crash of an Ethiopian Airlines 737 MAX. Chief Executive Dennis Muilenburg and Chief Financial Officer Gregory Smith were also named as defendants.


According to the complaint, Boeing “effectively put profitability and growth ahead of airplane safety and honesty” by rushing the 737 MAX to market to compete with Airbus SE, while leaving out “extra” or “optional” features designed to prevent the Ethiopian Airlines and Lion Air crashes. It also said Boeing’s statements about its growth prospects and the 737 MAX were undermined by its alleged conflict of interest from retaining broad authority from federal regulators to assess the plane’s safety. Richard Seeks, the lead plaintiff, said Boeing’s compromises began to emerge after the Ethiopian Airlines crash killed all 157 onboard, five months after the Lion Air crash killed 189.

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900 million voters. 4x US?! Did Modi antagonize Pakistan to boost his chances?

• India’s Modi Rides Nationalist Fervor Ahead Of Election (R.)

India’s prime minister is rallying his nationalist base as the world’s biggest democracy begins a general election on Thursday, but it has become tighter than anticipated, thanks to dwindling incomes for farmers and scarce jobs. Polls predict Narendra Modi’s Bharatiya Janata Party-led (BJP) alliance will just win a parliamentary majority, a sharp drop from his commanding mandate five years ago, when he vowed to turn India into an economic and military power. But his government’s inability to create a million jobs every month, and ease farmers’ distress over low product prices, has taken the shine off what is still the world’s fastest growing major economy.

From sugar farmers in northern Uttar Pradesh going unpaid for produce, to small businesses in the south shut because they are unable to meet the requirements of a new, unifying national tax, discontent has brewed for months. “The election has become a lot closer than we think, sitting in Delhi,” said Nilanjan Mukhopadhyay, author of a Modi biography and books on Hindu nationalist groups. “There is anger and disillusionment in the countryside.” In December, alarm bells rang for Modi’s Hindu nationalists after it lost three key states to the main opposition Congress and its allies, led by Rahul Gandhi. But a surge in tension with traditional foe Pakistan in February has pushed Modi ahead, as he projects himself as a defender of national security and paints his rivals as weak-kneed, sometimes even questioning their patriotism.

“People were very unhappy, angry that Modi makes tall promises and doesn’t deliver,” said Shiv Chandra Rai, an Uber driver in the commercial capital of Mumbai. “Everyone said there are no jobs, everywhere farmers are struggling. But on this issue of Pakistan we are confused now. Some people feel we have to vote for Modi on this issue, it is a national problem.” Modi ordered air strikes on a suspected camp of a militant group in Pakistan after it claimed responsibility for a deadly bombing in Indian Kashmir, launching the first such raid since the neighbors’ last war in 1971. The nuclear-armed foes engaged in a dogfight after Pakistan sent warplanes into India the next day. They also threatened each other with missile strikes, before Western powers, led by the United States, pulled them back.

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So many millions of Europeans who depend on the Alps for drinking water.

• Two-Thirds Of Glacier Ice In The Alps ‘Will Melt By 2100’ (G.)

Two-thirds of the ice in the glaciers of the Alps is doomed to melt by the end of the century as climate change forces up temperatures, a study has found. Half of the ice in the mountain chain’s 4,000 glaciers will be gone by 2050 due to global warming already baked in by past emissions, the research shows. After that, even if carbon emissions have plummeted to zero, two-thirds of the ice will still have melted by 2100. If emissions continue to rise at the current rate, the ice tongues will have all but disappeared from Alpine valleys by the end of the century. The researchers said the loss of the glaciers would have a big impact on water availability for farming and hydroelectricity, especially during droughts, and affect nature and tourism.


“Glaciers in the European Alps and their recent evolution are some of the clearest indicators of the ongoing changes in climate,” said Daniel Farinotti, a glaciologist at ETH Zurich in Switzerland and one of the research team. “In the pessimistic case, the Alps will be mostly ice-free by 2100, with only isolated ice patches remaining at high elevation, representing 5% or less of the present-day ice volume,” said Matthias Huss, a senior researcher at ETH Zurich. In February, a study found that a third of the huge ice fields in Asia’s towering mountain chains were also doomed to melt because of climate change, with serious consequences for almost 2 billion people downstream. Glaciers along the Hindu Kush and Himalayan range are at higher, colder altitudes, but if global carbon emissions are not cut, two-thirds of their ice will melt by 2100.

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Debt Rattle January 12 2017

Jan 122017
 
 January 12, 2017  Posted by at 10:24 am Finance Tagged with: , , , , , , , , , ,  5 Responses »


Matisse Icarus 1944

• Trump Slams BuzzFeed As “Failing Pile Of Garbage”, CNN As “Fake News” (ZH)
• Scorching Press Conference Shows Trump Won’t Have An Easy Presidency (GT)
• Tillerson Says China Can’t Have Access to South China Sea Isles (BBG)
• The Deep State Goes to War with President-Elect (Greenwald)
• America Versus the Deep State (Jim Kunstler)
• 160 Million Americans Can’t Afford To Treat A Broken Arm (BI)
• Suddenly, Home Sale Agreements Are Falling Apart Across the US (BBG)
• Perils Of The Icarus Trade As The World Runs Short Of Dollars (AEP)
• China’s $34 Trillion Experiment Is Exploding (Kyle Bass)
• China To Merge State Media For Stronger Voice In Financial News (R.)
• Bitcoin Collapses, Chinese Latecomers Get Fleeced (WS)
• VW Officials Destroyed Files, E-Mails as Diesel Scheme Unraveled (BBG)
• India Central Bank Won’t Share Details Of Modi Cash Ban, Mystery Deepens (BBG)
• Greece Sends Navy Ship To Lesbos To House Freezing Refugees (AP)
• Weather Wreaks Havoc In Northern Greece (Kath.)
• Refugees In Greece Defy Extreme Cold To Help The Homeless (AJ)

 

 

Well, I was entertained..

• Trump Slams BuzzFeed As “Failing Pile Of Garbage”, CNN As “Fake News” (ZH)

In an epic (mutual) trolling between president-elect Trump on one hand and BuzzFeed and CNN, on the other, the two media organizations which issued yesterday’s unsubstantiated report about Russia having compromising information on the president-elect, Trump first addressed the question of why he referred to Nazi Germany, saying it is “disgraceful” that intelligence communities would allow the release of any information. “That’s something Nazi Germany would have done and did do,” he says. He then unleashed on Buzzfeed which alone published the 35-page memo behind the Russian allegations, saying “Buzzfeed which is a failing pile of garbage… will suffer the consequences” .

And then, in an even more stunning episode, Trump slammed CNN reporter Jim Acosta, who he also called out during the presser over their report on a two-page synopsis they claim was presented to Trump. With Trump looking to call on other reporters, Jim Acosta yelled out, “Since you are attacking us, can you give us a question?” “Not you,” Trump said. “Your organization is terrible!” Acosta pressed on, “You are attacking our news organization, can you give us a chance to ask a question, sir?” Trump countered by telling him “don’t be rude.” “I’m not going to give you a question,” Trump responded. “Don’t be rude. I’m not going to give you a question. You are fake news!” Trump responded, before calling on a reporter from Breitbart.

A snubbed Jim Acosta then tweeted the following: “Fortunately ABC’s Cecilia Vega asked my question about whether any Trump associates contacted Russians. Trump said no.”These exchanges followed an initial statement by Trump spokesman Sean Spicer who said that “for all the talk lately about ‘fake news,’ this political witch hunt by some in the media…is frankly shameful & disgraceful…. Highly irresponsible for a left-wing blog… to drop highly salacious and flat out false information on the Internet.” Following this, we expect the war between Trump and the media in general, or at least CNN in particular, to reach biblical proportions.

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View from China offical media.

• Scorching Press Conference Shows Trump Won’t Have An Easy Presidency (GT)

US President-elect Donald Trump, who will officially take office on January 20, held his first press conference since winning the presidency on Wednesday local time. In about an hour, the most questions raised were regarding reports of Russia having compromising information on Trump. He also spent some time responding to how he will handle ties between his business and his presidency. Trump insisted on building a wall on US border with Mexico and the latter is going to pay for it. He also reiterated the future abolishment of Obamacare and will replace it with a new medical reform plan. Trump mentioned China six times on four issues, including describing Jack Ma of Alibaba as an incredible person and that they are going to do tremendous things together.

He said the US is losing hundreds of billions of dollars every year due to trade imbalance with China, Japan, Mexico and other countries. On the issue of Russia hacking the 2016 election, he noted his nation gets hacked by other countries as well, including China, which resulted in the loss of personal information of 22 million employees who work for the US government. He said that “Russia and other countries — and other countries, including China, which has taken total advantage of us economically, totally advantage of us in the South China Sea by building their massive fortress, total. Russia, China, Japan, Mexico, all countries will respect us far more, far more than they do under past administrations.” During the conference, which attracted widespread attention, Trump did not mention the Taiwan question, nor did he articulate how he will handle Sino-US ties. Relevant questions were not raised by reporters either.

It looks like that US mainstream public opinion still finds it hard to accept the fact that Trump has been elected as their new president. They are suspicious about and alert to Trump’s friendly attitude toward Russia, his family businesses and how he would transform Obama’s medical policy. US media outlets are particularly eager to hype Trump’s relations with Russia and the Kremlin’s alleged influence on the election. It seems they are, intentionally or unintentionally, restricting Washington’s ability to improve ties with Moscow under Trump.

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Tillerson said many things, but I can’t find a good report on it. Watched the first bit, before the Trump show, wrote some stuff to a friend:

Watching the conformation thing, Unreal.  All these senators saying stuff about Russia, and he can’t really tell them they’re wrong, or they won’t confirm him. But he himself knows much more about Russia than they do, yet that’s not what they’re looking for. They just want him to say bad things about Putin. 

Marco Rubio asks: Do you think Putin is a war criminal. (Tillerson: I would not use that word.) And now goes off listing all the atrocities Russia is supposed to have committed in Aleppo.  As reported by US fake media. Without sources on the ground… Next list of “countless” people supposedly killed by Putin in Russia. All Tillerson can say on all these things is “i don’t have sufficient information”.  Next: Sen. Menendez. Topic? Russia!

Tillerson had interesting views on climate change too. Yeah, he has a mind of his own, not a blind Trump follower. Does that surprise anyone? Certainly not Trump.

• Tillerson Says China Can’t Have Access to South China Sea Isles (BBG)

President-elect Donald Trump’s nominee for secretary of state said China must be denied access to artificial islands built in the South China Sea, a move that would raise the risk of conflict between the world’s biggest economies. Hours into a confirmation hearing with the Senate Foreign Relations Committee, where he was grilled extensively about his views on Russia, former Exxon Mobil Corp. chief Rex Tillerson said that a failure to respond to China’s actions had allowed it to “keep pushing the envelope” in the South China Sea. “We’re going to have to send China a clear signal that first the island-building stops and second your access to those islands is also not going to be allowed,” he said when asked whether he would support a more aggressive posture in the South China Sea. He compared China’s actions to those of Russia in the Crimea.

The remark is the latest from Trump’s administration to signal a more aggressive defense posture against China in addition to calls for a tougher line on trade. Trump earlier questioned the U.S.’s policy of recognizing Beijing over the government in Taiwan, and criticized China’s ties with North Korea. China pushed back against Tillerson’s comments on Thursday even while saying it agreed with him on areas of cooperation between the two countries. On Monday, Alibaba Group Holding Ltd. Chairman Jack Ma met with Trump and discussed plans to create 1 million new jobs in the U.S. by helping small businesses sell goods to China. “Like the U.S., China has the right within its own territory to carry out normal activities,” Chinese Foreign Ministry spokesman Lu Kang said at a regular briefing in Beijing in response to a question on Tillerson’s remarks. “That is within the limits of its sovereignty.”

Tillerson offered no detail about how the U.S. could stop China from building islands, or prevent access, but in recent years the U.S. has consistently conducted freedom of navigation operations throughout the area. “This is the sort of off-the-cuff remark akin to a tweet that pours fuel on the fire and maybe makes things worse,” said Malcolm Davis, a senior analyst at the Australian Strategic Policy Institute in Canberra. “Short of going to war with China, there is nothing the Americans can do.”

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“.. there is no bigger favor that Trump opponents can do for him than attacking him with such lowly, shabby, obvious shams, recruiting large media outlets to lead the way. When it comes time to expose actual Trump corruption and criminality, who is going to believe the people and institutions who have demonstrated they are willing to endorse any assertions no matter how factually baseless..”

• The Deep State Goes to War with President-Elect (Greenwald)

In January, 1961, Dwight Eisenhower delivered his farewell address after serving two terms as U.S. president; the five-star general chose to warn Americans of this specific threat to democracy: “In the councils of government, we must guard against the acquisition of unwarranted influence, whether sought or unsought, by the military-industrial complex. The potential for the disastrous rise of misplaced power exists and will persist.” That warning was issued prior to the decadelong escalation of the Vietnam War, three more decades of Cold War mania, and the post-9/11 era, all of which radically expanded that unelected faction’s power even further.

This is the faction that is now engaged in open warfare against the duly elected and already widely disliked president-elect, Donald Trump. They are using classic Cold War dirty tactics and the defining ingredients of what has until recently been denounced as “Fake News.” Their most valuable instrument is the U.S. media, much of which reflexively reveres, serves, believes, and sides with hidden intelligence officials. And Democrats, still reeling from their unexpected and traumatic election loss as well as a systemic collapse of their party, seemingly divorced further and further from reason with each passing day, are willing — eager — to embrace any claim, cheer any tactic, align with any villain, regardless of how unsupported, tawdry and damaging those behaviors might be.

The serious dangers posed by a Trump presidency are numerous and manifest. There are a wide array of legitimate and effective tactics for combatting those threats: from bipartisan congressional coalitions and constitutional legal challenges to citizen uprisings and sustained and aggressive civil disobedience. All of those strategies have periodically proven themselves effective in times of political crisis or authoritarian overreach. But cheering for the CIA and its shadowy allies to unilaterally subvert the U.S. election and impose its own policy dictates on the elected president is both warped and self-destructive. Empowering the very entities that have produced the most shameful atrocities and systemic deceit over the last six decades is desperation of the worst kind.

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I like Jim’s thinking that since WalMart parking lots are the new town square, and WalMart sells pitchforks and patio torches…..

• America Versus the Deep State (Jim Kunstler)

The bamboozlement of the public is nearly complete. The Deep State has persuaded 80% of Americans that all news is propaganda, especially the news emanating from the Deep State’s own intel department. They’re still shooting for 100%. The fakest of all “fake news” stories turns out to be… “Russia Hacks Election.” It was reported conclusively Saturday on the front page of The New York Times, a wholly-owned subsidiary of the Deep State: “Putin Led a Complex Cyberattack Scheme to Aid Trump, Report Finds: WASHINGTON — President Vladimir V. Putin of Russia directed a vast cyberattack aimed at denying Hillary Clinton the presidency and installing Donald J. Trump in the Oval Office, the nation’s top intelligence agencies said in an extraordinary report they delivered on Friday to Mr. Trump.”

You can be sure that this is now the “official” narrative aimed at the history books, sealing the illegitimacy of Trump’s election. It was served up with no direct proof, only the repeated “assertions” that it was so. In fact, it’s just this repetition of assertions-without-proof that defines propaganda. It can also be interpreted as a declaration of war against an incoming president. The second civil war now takes shape: It begins inside the groaning overgrown apparatus of the government itself. Perhaps after that it spreads to the WalMart parking lots that have become America’s new town square. (WalMart sells pitchforks and patio torches.) Did the Russians make Hillary Clinton look bad? Or did Hillary Clinton manage to do that herself? The NSA propaganda was designed as a smokescreen to conceal the veracity of the Wikileaks releases.

Whoever actually rooted out the DNC and Podesta emails for Wikileaks ought to get the Pulitizer Prize for the outstanding public service of disclosing exactly how dishonest the Hillary operation was. The story may have climaxed with Trump’s Friday NSA briefing, the heads of the various top intel agencies all assembled in one room to emphasize the solemn authority of the Deep State’s power. Trump worked a nice piece of ju-jitsu afterward, pretending to accept the finding as briefly and hollowly as possible and promising to “look into the matter” after January 20th — when he can tear a new asshole in the NSA. I hope he does. This hulking security apparatus has become a menace to the Republic.

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This is the America that Obama leaves for Trump.

• 160 Million Americans Can’t Afford To Treat A Broken Arm (BI)

A lot of Americans are really struggling. The precarious personal finance situation of Americans has made news for years. It is something we’ve written about a lot at Business Insider. Elevate’s Center for the New Middle Class wanted to look into the issue to find when an unexpected expense becomes a crisis for ordinary Americans. And the results were pretty depressing. Elevate carried out a study based on a 10-minute online questionnaire surveying 502 nonprime (credit score below 700) and 525 prime Americans (credit score of 700 or above). It turns out that nonprime Americans with credit scores below 700 are likely to be hit harder, and more often, by unexpected expenses than prime Americans. 160 million Americans come under the nonprime category, according to the study.

“A bill becomes a crisis for nonprime Americans at $1,400. For Prime, it’s $2,900,” the study said. “An unexpected expense becomes a significant disruption to prime Americans when it is 53% of their monthly income. Nonprime Americans can only swallow a 31% impact to their income.” The study noted that many common expenses, such as covering the out-of-pocket on a broken arm, an apartment security deposit, or replacing a vehicle transmission, cost more than $1,400. “It’s hard for many to believe that unexpected car repairs can cause a major upset in a household’s finances,” Jonathan Walker, executive director of Elevate’s Center for the New Middle Class, said. “Unfortunately, it happens all too often, simply because nonprime Americans don’t have the available resources to help absorb some of these financial shocks. This can cause a downward spiral on their daily finances as well as their credit history.”

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If it quacks like a bubble…

• Suddenly, Home Sale Agreements Are Falling Apart Across the US (BBG)

Spending months to find the perfect home in your price range, only to have your mortgage application rejected, or a home inspection turn up expensive repairs, is a nightmare—one that is coming true with increasing frequency, according to a new report from real estate listings website Trulia. A Trulia analysis of U.S. listings shows that 3.9% of homes that moved from for-sale to pending moved back to for-sale again, nearly double the rate in 2015. Such “failed sales” increased in 96 of the 100 biggest U.S. metros, with big swings in areas large and small, rich and poor. That includes Los Angeles and Charleston, S.C., as well as San Jose and Akron, Ohio.

In Ventura County, Calif., where the median home value is $548,000, 11.6% of prospective sales failed to close in 2016. That’s the highest in the U.S., up from 3.1% in 2015. Tucson, where the median home price is $176,000, had the second-highest rate of failed sales, at 10.8%, up from 3.5% the year before. The problem of failed sales has been most acute for cheaper homes and older ones: Some 6.3% of sales of starter homes fell through last year, according to Trulia’s analysis, compared with 3.6% of so-called premium home sales. Homes built in the 1960s had the highest fail rates, while sales of newer and older houses were more likely to go through.

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“There will certainly be tax cuts but circumstances are nothing like the Reagan stimulus of the early 1980s when the US was coming out of recession.”

• Perils Of The Icarus Trade As The World Runs Short Of Dollars (AEP)

The great unknown is where the pain threshold lies in a global system with debt ratios that are now roughly 40pc of GDP higher than just before the Lehman crisis. Bank of America fears a further rise in yields of 50 to 75 basis points may be enough to trigger a “financial event”. HSBC’s latest global outlook is even darker. Indeed, it is astonishing. The bank expects yields on 10-year US Treasuries to push a little higher to 2.5pc before crashing back to historic lows of 1.35pc by the end of the year, taking global yields with them. Markets will conclude by the summer that Trumpian stimulus does not add up to much, and that the reflation narrative is a hoax. “We believe that equities are walking a tightrope, and there is a fairly long way to fall,” said the bank.

While I do not take a view on stock prices, HSBC’s outlook is broadly in line with my own. The world cannot easily withstand the sort of Fed tightening now being etched into forecasts by the macro-economic fraternity. The Institute of International Finance says debt has reached $217 trillion, a record ratio of 325pc of GDP. What is remarkable is that even in mature economies – trying to ‘deleverage’ – the ratio jumped by 6pc of GDP to 390pc over the first nine months of last year. There is almost nowhere left to hide. Corporate debt in emerging markets has risen from $6.5 trillion to $25.5 trillion since Lehman, with the ‘credit gap’ signalling danger in China, Hong Kong, Singapore, Thailand, Saudi Arabia, Chile, Turkey, and Indonesia. Total off-shore dollar debt has risen fivefold to $10 trillion since 2000.

The financial system is clearly out of kilter. The pattern of the last 35 years is a steadily falling “natural” rate of interest, requiring ever more radical action by central banks at the trough of each cycle. The policy elites badly misjudged the force of this ‘Wicksellian’ slide in the build-up to the global crisis in 2008. While the subprime saga makes for electrifying Holywood films, it was not the reason why the Western banking system collapsed. The trigger of the crash was overly tight money. The ECB raised rates into the teeth of the storm. Hawkish Fed rhetoric from March to August 2008 pushed up US borrowing costs sharply, ignoring warnings from some of their own staff that the money supply was by then imploding. Both banks under-estimated the fragility of the system.

Central bankers are more alert this time but they have not scrapped their infamous ‘DSGE’ models, and I suspect that political pressure – from Congress, or regional Fed banks, or from Germany – will cause them to over-tighten again. We may find that three US rate rises and even a smidgeon of ECB tapering are all it takes to detonate the next crisis. Markets seem to be betting that Donald Trump’s fiscal largesse will be large enough to break the deflationary grip. HSBC says they are “cherry-picking the good bits” from his campaign. We do not yet know whether his infrastructure plan really exists. There will certainly be tax cuts but circumstances are nothing like the Reagan stimulus of the early 1980s when the US was coming out of recession.

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Excellent by Bass. Recommended. h/t Valuewalk

• China’s $34 Trillion Experiment Is Exploding (Kyle Bass)

Over the past decade, we have worked diligently to identify anomalies in financial systems, governments, and companies around the world. We have been vigorously studying China over the last year, with the view that the rapid credit expansion in the Chinese banking system will result in significant credit losses that will require the recapitalization of Chinese banks and materially pressure the Chinese currency. This outcome will have many near-term and long-term effects on countries and markets around the world. In other words, what happens in China will not stay in China. The unwavering faith that the Chinese will somehow be able to successfully avoid anything more severe than a moderate economic slowdown by continuing to rely on the perpetual expansion of credit reminds us of the belief in 2006 that US home prices would never decline.

[..] China has allowed (and encouraged) its banking system to grow into a gargantuan $34 trillion behemoth (a whopping 340% of Chinese GDP). For context, consider what the United States banking system looked like going into the GFC of 2007-2009. On-balance sheet, the US banking system had about $1 trillion of equity and $16.5 trillion of banking system assets (100% of US GDP). If non-banks and off-balance sheet assets are included, it would add another $12.5 trillion to get to about 175% of GDP. US banks lost approximately $650 billion of their equity throughout the GFC. We believe that Chinese banks will lose approximately $3.5 trillion of equity if China’s banking system loses 10% of assets.

Historically, China has lost far in excess of 10% of assets during a non-performing loan cycle (The Bank for International Settlements estimated that Chinese banking system losses throughout the 1998-2001 cycle exceeded 30% of GDP). We expect losses in this cycle to exceed prior cycles. Remember, 30% of Chinese GDP approaches $3.6 trillion today. Think about how much quantitative easing (QE) the US Fed had to create in order to entice $650 billion of common and preferred equity into the US banks and prevent a Japanese-style deflationary bust. The Fed had to expand its balance sheet by roughly $4.5 trillion.

How significantly will the Chinese central bank have to expand its balance sheet in order to compensate for $3.5 trillion of lost bank capital? What will that do to the renminbi? What will happen to Chinese credit growth and broader Asian credit growth while this happens? If the US Fed’s experience serves as a proxy for what could happen in China, we believe that China will likely have to print in excess of 10 trillion US dollars’ worth of yuan to recapitalize its banking system. The weakening renminbi is the product of larger banking system problems. By the time the loss cycle has peaked, we believe the renminbi will have depreciated in excess of 30% versus the US dollar.

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What country does this remind me of?

• China To Merge State Media For Stronger Voice In Financial News (R.)

China is set to consolidate five state media companies to create a “modern financial media group” to increase the state’s voice in economic and financial news coverage, the state-run Xinhua news agency said on Wednesday. Since taking power in 2012, President Xi Jinping, who has called for Beijing to take a bigger role in a global governance system, has stepped up media control and scrutiny to project China’s “soft power” and better communicate its message. The State Council, China’s cabinet, has given Xinhua permission to acquire and consolidate China Securities Journal, Shanghai Securities News, Economic Information Daily and Xinhua Publishing House and launch a new company under the banner China Fortune Media Corporation Group.

The move aims at “deepening the central authority’s reforms of the cultural system” and “increasing mainstream media’s influence in the area of financial information,” Xinhua said in a notice. The new financial news-focused company will be launched in Beijing on Thursday next week, it said. While visiting three major state news agencies in February last year, Xi ordered the organizations to strictly follow the Communist Party’s leadership and focus on “positive reporting”, Xinhua reported at the time. “All news media run by the Party must work to speak for the Party’s will and its propositions and protect the Party’s authority and unity,” Xi was quoted as saying. The three media Xi visited – Xinhua, People’s Daily and state-owned broadcaster CCTV – are considered by the central leadership as the “throat and tongue” of the party.

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“No one is going to bail out these folks that got in late and are losing a ton of money on their bitcoin bets, or those that tried to catch that knife and got their fingers sliced off. On the contrary. Learn your lesson – that’s what Chinese authorities seem to say..”

• Bitcoin Collapses, Chinese Latecomers Get Fleeced (WS)

The People’s Bank of China announced on Wednesday that it is probing the major bitcoin exchanges in Beijing and Shanghai – BTCC, Huobi, and OKCoin – for a list of violations, including market manipulation, money laundering, and unauthorized financing. This is part of the PBOC’s efforts to crack down on capital flight, a major escalation from last week, when Chinese officials warned investors – if you can call them “investors” – to be careful with bitcoin. That warning came at the peak of the spike and tipped the whole thing over. Ironically, China’s many other crackdowns on capital flight have pushed the hapless Chinese, who want their capital to flee, into bitcoin. It was seen as a way of converting their yuan into something other than yuan, which they fear will depreciate relentlessly.

The yuan lost 6.5% against the dollar last year, its worst year since 1994, which is nothing compared to some other major currencies, such as the British pound which lost 16.3% against the dollar, and the Mexican peso which lost 17%. But the Chinese are not used to getting whacked by a depreciating currency. It spooks them. So the promise of convenient capital flight along with the lure of bitcoin’s semi-anonymity and the hope of quickly doubling their money have just been too much to resist. The rest of the world lost interest in bitcoin after it transferred a lot of money to those that got in early and got out in time from the latecomers that ended up holding the bag when it began to crash in late 2013. It went from over $1,100 to a range of around $250 in 2015. But recently, the Chinese have picked up the baton and in an insane frenzy drove it to $1,140 all over again.

And just in time, bitcoin crashed again. As of Wednesday evening, as I’m writing this, it plunged 14.5% to $772, just in one day. In the five days since its peak of $1,140 on January 6, it has crashed 32% against the dollar. What a crazy spike! In terms of yuan, it’s even worse: It plummeted 19% against the yuan on Wednesday and 41% over those five misbegotten days! No one is going to bail out these folks that got in late and are losing a ton of money on their bitcoin bets, or those that tried to catch that knife and got their fingers sliced off. On the contrary. Learn your lesson – that’s what Chinese authorities seem to say..

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6 arrests now?!

• VW Officials Destroyed Files, E-Mails as Diesel Scheme Unraveled (BBG)

Volkswagen’s nearly decade-old plot to cheat U.S. emissions tests – all while marketing its diesel cars as environmentally friendly – was quickly unraveling by 2015. A campaign to mislead regulators was failing so badly that top executives signed off on a script for employees to use when questioned. It didn’t work. The next day, Aug. 19, 2015, an employee went off script and told regulators for the first time that its diesel cars were designed to behave differently during emissions tests, according to court documents. In the home office in Germany, some executives and engineers began deleting documents related to U.S. emissions and the company’s head of engine development told an assistant to dispose of a hard drive containing e-mails from him and other supervisors.

All this was laid out by U.S. prosecutors on Wednesday as they announced charges against five officials they said had been key to developing and carrying out the scheme. As part of the carmaker’s settlement concluding criminal and civil probes in the U.S., VW agreed to plead guilty to conspiracy to defraud the government and consumers and obstruction of justice, and to pay $4.3 billion in penalties. Prosecutors continue to look into the roles individuals played and the investigation is still open, U.S. Attorney General Loretta Lynch said at a press conference Wednesday.

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“..citing danger to life and national security..” Does this imply it wasn’t Modi who took the decision? Whose life is at risk?

• India Central Bank Won’t Share Details Of Modi Cash Ban, Mystery Deepens (BBG)

India’s central bank refused to share specific details of Prime Minister Narendra Modi’s ban on high-value banknotes citing danger to life and national security, as the mystery deepens over who took the unprecedented decision. The Reserve Bank of India recommended the move, which was accepted by the cabinet and announced by Modi on Nov. 8, Power Minister Piyush Goyal told parliament in November. The RBI board approved the ban three hours before Modi’s speech and hadn’t discussed the matter before, a slew of responses to Bloomberg News’s Right to Information requests show. However, the RBI told a lawmakers’ panel this week that the government had “advised” the monetary authority to “consider” the ban a day before the RBI board made its recommendation. The government then “considered the recommendations” and decided to withdraw the notes, culminating in Modi’s address that blindsided the nation.

The cloak of secrecy that has shrouded the currency ban decision is likely to bolster the view that authorities, both on Mint Street and in New Delhi, were not prepared for such a decision and the way it was announced. It risks undermining perceptions of the central bank’s independence and raises questions about Modi’s decision-making style and his communication with the RBI. More clarity may emerge when RBI Governor Urjit Patel deposes before a parliamentary committee on Jan. 20. Details are essential to help assess the success of the shock move as well as gauge the impact of the decision “It is very perplexing that the RBI doesn’t answer questions about how the decision was arrived at,” said Shilan Shah, Singapore-based India Economist at Capital Economics. “There are concerns that in the whole process the RBI has been sidelined by the government and that raises questions about its independence,” he said, adding that authorities have not been transparent.

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They have horses and barns in Greece too. Now the worst cold seems to pass, here’s the cavalry.

• Greece Sends Navy Ship To Lesbos To House Freezing Refugees (AP)

Greece’s navy has sent a tank landing ship to the island of Lesvos to house refugees and migrants during a cold snap that has triggered public health warnings. The vessel has docked and is due to provide accommodation for about 500 migrants. A medical association on Lesvos said Tuesday that conditions at the main camp there were “inhuman” with migrants in tents exposed to freezing temperatures. Schools have been closed on Lesvos because of the bad weather, as a state of emergency was expanded to other areas in northern Greece, where snow has blocked roads and caused power and water outages.

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This country is not prepared for any kind of snow. Saw footage of Evia island, which had 10 feet. Luckily, no refugees there.

• Weather Wreaks Havoc In Northern Greece (Kath.)

Transport Minister Christos Spirtzis has ordered an administrative investigation into why hundreds of passengers remained trapped in trains in northern Greece on Wednesday in the freezing weather. Two trains carrying around 600 passengers came to a halt at Thermes and Larissa in central Greece while traveling from Thessaloniki to Athens because of icy conditions, while another Intercity train stopped in Tithorea and Larissa’s suburban railway ran into mechanical problems in Platy Imathias. Rail management company Trainose said on Wednesday that the problems were due to heavy snowfall in northern and central Greece and announced that it will be cancelling several services between Athens and Thessaloniki, as well as local services in the area, on Thursday.

Heavy snowfall has also caused problems with public transport in the northern port city of Thessaloniki, where bus company OASTH said that 11 neighborhoods are too snowed in to allow service. It also said that around 50 buses have been fitted with snow chains so they can navigate icy streets along their routes. Meanwhile on Thursday morning, fog and low-lying clouds led to flight cancellations and delays at Thessaloniki’s Makedonia airport, while freezing temperatures caused problems in the city’s natural gas and electricity network, leaving thousands of residents without heat or power as temperatures dropped to as low as -14 Celsius.

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Look, if nobody else helps out, people find ways. But it’s still wholly unnecessary suffering. Konstantinos and his crew have scoured the streets of Athens with tea and bread and blankets.

• Refugees In Greece Defy Extreme Cold To Help The Homeless (AJ)

Temperatures in northern Greece have fallen to -10. Refugees living in camps have been collecting spare food and donating it to those sleeping on the streets – including homeless Greek families.

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Debt Rattle January 5 2017

Jan 052017
 
 January 5, 2017  Posted by at 10:22 am Finance Tagged with: , , , , , , , , ,  1 Response »


Pablo Picasso The Dream 1932

• Chinese Media Say ‘Big Sticks’ Await Trump If He Seeks Trade War (BBG)
• Donald Trump Plans Revamp of Top US Spy Agency and CIA (WSJ)
• Schumer Calls Eight Trump Cabinet Picks ‘Troublesome’ (BBG)
• Ford’s Truck Trumps Mexico and Tesla (BBG)
• So What’s The Big Idea, European Union? (G.)
• Italy’s 5 Star Movement Part Of Growing Club Of Putin Sympathisers In West (G.)
• Beppe Grillo Accuses Journalists Of ‘Manufacturing False News’ (DM)
• Ukraine Moves To Blacklist Le Pen Over Crimea Comments (R.)
• UK Credit Binge Approaching Levels Not Seen Since 2008 Crash (G.)
• China Can’t Quit the Dollar (Balding)
• India’s Cash Woes Are Just Beginning (BBG)
• Head of Russian Central Bank Named European Banker of the Year (RT)
• Steve Keen: Rebel Economist With A Cause (AFR)

 

 

Xi has all the state media, and all Trump has is Twitter. Isn’t it fun? Then again, for Xi to let the Global Times come with this sort of childish language is below him.

• Chinese Media Say ‘Big Sticks’ Await Trump If He Seeks Trade War (BBG)

Chinese state media warned U.S. President-elect Donald Trump that he’ll be met with “big sticks” if he tries to ignite a trade war or further strain ties. “There are flowers around the gate of China’s Ministry of Commerce, but there are also big sticks hidden inside the door – they both await Americans,” the Communist Party’s Global Times newspaper wrote in an editorial Thursday in response to Trump’s plans to nominate lawyer Robert Lighthizer, who has criticized Beijing’s trade practices, as U.S. trade representative.

The latest salvo from state-run outlets followed others last month aimed at Peter Navarro, a University of California at Irvine economics professor and critic of China’s trade practices whom Trump last month named to head a newly formed White House National Trade Council. Those picks plus billionaire Wilbur Ross, the nominee for commerce secretary, will form an “iron curtain” of protectionism in Trump’s economic and trade team, the paper wrote. The three share Trump’s strong anti-globalization beliefs and seem unlikely to keep building the current trade order, it said, adding that they will be more interested in disrupting the world trade order.

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Don’t think they saw this coming. And that’s perhaps not so intelligent. The CIA leaked a lot of wild anti-Trump stuff during the election campaign, and now claims he MUST trust them. But if he leaves the same people in place, when will they turn on him again?

• Donald Trump Plans Revamp of Top US Spy Agency and CIA (WSJ)

President-elect Donald Trump, a harsh critic of U.S. intelligence agencies, is working with top advisers on a plan that would restructure and pare back the nation’s top spy agency, people familiar with the planning said, prompted by a belief that the Office of the Director of National Intelligence has become bloated and politicized. The planning comes as Mr. Trump has leveled a series of social media attacks in recent months and the past few days against U.S. intelligence agencies, dismissing and mocking their assessment that the Russian government hacked emails of Democratic groups and individuals and then leaked them last year to WikiLeaks and others in an effort to help Mr. Trump win the White House.

One of the people familiar with Mr. Trump’s planning said advisers also are working on a plan to restructure the CIA, cutting back on staffing at its Virginia headquarters and pushing more people out into field posts around the world. The CIA declined to comment on the plan. “The view from the Trump team is the intelligence world [is] becoming completely politicized,” said the individual, who is close to the Trump transition operation. “They all need to be slimmed down. The focus will be on restructuring the agencies and how they interact.”

In one of his latest Twitter posts on Wednesday, Mr. Trump referenced an interview that WikiLeaks editor in chief Julian Assange gave to Fox News in which he denied Russia had been his source for the thousands of emails stolen from Democrats and Hillary Clinton advisers, including campaign manager John Podesta, that Mr. Assange published. Mr. Trump tweeted: “Julian Assange said ‘a 14 year old could have hacked Podesta’—why was DNC so careless? Also said Russians did not give him the info!”

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This will dominate the news going forward. Main question: what crazy stories will the WaPo come up with to discredit the nominees? Should be interesting. Meanwhile: YOU LOST, Schumer. Big time. Stop digging.

• Schumer Calls Eight Trump Cabinet Picks ‘Troublesome’ (BBG)

Senate Democratic leader Chuck Schumer said his party views eight of Donald Trump’s Cabinet choices as being “the most troublesome” and wants at least two days of hearings for each of them. “We have asked for fair hearings on all of those nominees,” Schumer of New York told reporters Wednesday in Washington. “There are a lot of questions about these nominees.” Confirmation hearings begin next week for a number of the president-elect’s Cabinet picks, and several already overlap on a single day, Jan. 11. Majority Leader Mitch McConnell said minutes earlier that he hopes the Senate would be ready to confirm some of the nominees shortly after Trump is inaugurated on Jan. 20, just as it did when President Barack Obama first took office.

Under current Senate rules, Democrats can delay Senate confirmation of nominees but can’t block them on their own. Schumer’s office said the eight nominees targeted by Democrats for extra scrutiny are Rex Tillerson for secretary of State, Betsy DeVos for Education, Steven Mnuchin for Treasury, Scott Pruitt for the Environmental Protection Agency, Mick Mulvaney for budget director, Tom Price for Health and Human Services, Andy Puzder for Labor and Wilbur Ross for Commerce. Schumer said he wants their full paperwork before hearings are scheduled, adding that only a few have turned it in while most haven’t. Schumer said he also wants their tax returns, particularly because some are billionaires and given the potential for conflicts of interest.

The hearing for DeVos is scheduled for Jan. 11, “and we don’t have any information on her, and she in addition has a $5 million fine outstanding that she’s refused to pay,” Schumer said. Democrats have called on a political action committee led by DeVos to pay a $5.2 million fine imposed by Ohio officials over campaign finance violations in 2008. “There are so many issues about so many of them that to rush them through would be a disservice to the American people,” the Democratic leader said. While many of Obama’s nominees were confirmed quickly, his team had its paperwork in early, Schumer said.

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Our God is the car.

• Ford’s Truck Trumps Mexico and Tesla (BBG)

On its first day back from the holidays, America’s auto industry began with a Mexican standoff and ended with Tesla just being off. Ford announced early on Tuesday it was scrapping plans to build a new plant in Mexico, apparently under pressure from President-elect Donald Trump. The PEOTUS then turned his signature industrial-policy-by-tweet on General Motors, threatening them over shipping Mexican-made Chevy Cruze cars back home .Meanwhile, after the market closed on Tuesday, Tesla Motors Inc. reported it missed its (reduced) guidance for vehicle deliveries in 2016. The stock fell in after-hours trading, as some were clearly caught by surprise – a reaction that, let’s face it, is itself a bit surprising at this point. In any case, a timely tour of the Gigafactory scheduled for Wednesday will no doubt snap the market’s attention back away from those pesky number thingies.

What links these stories is Ford’s other announcement on Tuesday morning, which got a bit lost in the shuffle; namely, its plans to electrify some of its marquee models – including the F-150 pickup truck.Rather than a battery-only version or even a plug-in hybrid model, Ford is committing merely to a basic hybrid version of the F-150 by 2020 – more Priusizing than Teslarizing it. So we aren’t about to see Ford’s trucks vanish from gasoline stations anytime soon. But this is still a big deal. The F-Series is America’s biggest-selling vehicle and represents one of every three full-size pickups sold. Also, pickups are archetypal gas guzzlers, and gas guzzlers are doing really well right now because of cheap gasoline. And even as Trump lobs Twitter-bombs at the car-makers’ foreign factories, his administration also looks likely to ease up on fuel-efficiency standards.

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So What’s The Big Idea, Guardian? How can you have your own Jennifer Rankin in Brussels, Thomas Kirchner and Alexander Mühlauer of Suddeutsche Zeitung and Cécile Ducourtieux of Le Monde, all contribute to a long article, and still not touch on a single one prime issue with the EU? How do you do it?

• So What’s The Big Idea, European Union? (G.)

A few weeks ago, a significant anniversary in Maastricht slipped by almost unnoticed: 25 years ago, the historic treaty that ushered in the euro was drafted. But there was no fanfare, no commemoration in the European parliament, no mention at all by the commission. There was just a rather lacklustre speech by the EU president, Jean-Claude Juncker, in which he lamented that people were not sufficiently proud of what had been achieved on 9 December 1991. This air of resignation perfectly epitomises an EU in retreat. Battered, bothered and bewildered on all sides by a succession of crises – Brexit, the euro, refugees – the union is short of ideas, perhaps shorter than it has ever been. In his state of the union speech last autumn, the very best that Juncker could come up with was free Wi-Fi for every EU town and village by 2020, though even this sounded more like an aspiration than a concrete policy.

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Oh, wait, that hollow ‘article’ on the EU was just a lead in to this Guardian smear piece in the honored tradition of the WaPo. Up to and including “Russian interference in Italian elections”.

• Italy’s 5 Star Movement Part Of Growing Club Of Putin Sympathisers In West (G.)

Ten years ago, in the wake of the murder of the leading Russian journalist Anna Politkovskaya, a popular comedian-turned-blogger in Italy named Beppe Grillo urged tens of thousands of his readers to go out and buy Putin’s Russia, her searing exposé of corruption under the leadership of Vladimir Putin. “Russia is a democracy based on the export of gas and oil. If they didn’t export that, they would go back to being the good old dictatorship of once upon a time,” Grillo wrote in a mournful 2006 post about the journalist’s murder. But today, Grillo’s position on Russia has radically changed. He is now part of a growing club of Kremlin sympathisers in the west – an important shift given that the comedian has become one of the most powerful political leaders in Italy and his Five Star Movement (M5S), the anti-establishment party he created in 2009, is a top contender to win the next Italian election.

[..] As the M5S’s rhetoric has become pro-Russian, it is simultaneously becoming more critical of the EU, including a vow to hold a referendum on the euro. Such a vote would be likely to have a destabilising effect on European unity, even if in practice it would be difficult to execute a departure from the single currency. Grillo has also called for a “review” of the EU’s open borders under the Schengen agreement, in response to the shooting in Milan of Anis Amri, the suspected terrorist behind last month’s attack on a Berlin Christmas market.

[..] Foreign diplomats in Rome said it was easy to overestimate the M5S’s chances of winning the next Italian election and that expected changes to Italy’s electoral rules would make an M5S victory difficult. That calculation is based on the fact that the M5S has always opposed forging governing alliances with other parties, which has made it impossible so far for the party to achieve a majority coalition in parliament. But a handful of diplomats have also suggested that the ruling Democratic party, which is still led by former prime minister Matteo Renzi, may not be fully alert to the potential threat of Russian interference in Italian elections, and is not as concerned about the issue as it should be.

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This is Italy, so what does the other side say? Fascism. To propose a public jury on what news is false is fascism. As Italy is no. 77 in the World Press Freedom Index. This will get very ugly.

• Beppe Grillo Accuses Journalists Of ‘Manufacturing False News’ (DM)

The leader of Italy’s populist Five Star movement has caused a stir by accusing the country’s journalists of ‘manufacturing false news’. Comic Beppe Grillo, founder of the anti-euro movement, lashed out at print and TV journalists, accusing them of fabricating news to keep his party, the Five Stars, down. ‘Newspapers and television news programmes are the biggest manufacturers of false news in the country, with the aim of ensuring those who have power keep it,’ he said on his blog on Tuesday. He called for ‘a popular jury to determine the veracity of the news published,’ and said in cases of fake news ‘the editor must, head bowed, make a public apology and publish the correct version at the start of the programme or on the paper’s front page’.

Grillo said members of the general public ‘picked at random’ would be shown newspaper articles and programmes and asked ‘to determine their accuracy.’ The blog was accompanied by a montage of the banners and logos of Italy’s main newspapers and television news programmes. The media world was enraged by comments, as were politicians from Italy’s traditional parties. The news director of the private TG La7 channel, Enrico Mentana, said he would sue the comedian, while journalists’ union FNSI slammed the ‘lynching of all journalists’. The opposition Five Stars was running neck-and-neck with the ruling centre-left Democratic Party (PD) before Matteo Renzi’s downfall last month and Grillo is campaigning hard for the next general election, which could be held in coming months.

What Grillo is proposing ‘is called Fascism, and those who play it down are accomplices,’ PD senator Stefano Esposito said. The centre-right Forza Italia (FI) party, founded by ex-prime minister Silvio Berlusconi, said Grillo wanted a ‘minculpop 2.0’, a reference to the propaganda and censorship ministry under dictator Benito Mussolini. Grillo has had a difficult relationship with the media since launching the Five Stars (M5S) in 2009, banning members from appearing on talk shows and giving international media priority over their Italian counterparts at his rallies. His claim that journalists were to blame for the country’s poor standing on the World Press Freedom Index – where it ranks 77th – was dismissed by the editor in chief of the Repubblica daily.

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The Crimeans voted in huge numbers to join -stay with- Russia, but you can’t say that. Not even if it’s true and you live 2000 miles away. I doubt Le Pen was planning any trips to Kyiv anytime soon to begin with, but so who’s next? She can’t go to Poland anymore either soon? But still get elected president of France? Bring it on.

• Ukraine Moves To Blacklist Le Pen Over Crimea Comments (R.)

Ukraine indicated on Wednesday it would bar French presidential candidate Marine Le Pen from entering the country after comments she made that appeared to legitimize Russia’s annexation of Crimea in 2014. Le Pen’s office dismissed the threat, saying she had no intention of visiting Ukraine. Kiev is nervous about the shifting political landscape in 2017. U.S. President-elect Donald Trump has adopted a friendlier tone toward Russia while another French presidential candidate, Francois Fillon, favours lifting sanctions against Moscow. Relations between Ukraine and Russia soured after Russia’s annexation of Crimea and the subsequent outbreak of pro-Russian separatist fighting in eastern Ukraine that has killed around 10,000 people, despite a ceasefire being notionally in place.

Alluding to Le Pen, the Ukrainian foreign ministry said in a statement: “Making statements that repeat Kremlin propaganda, the French politician shows disrespect for the sovereignty and territorial integrity of Ukraine and completely ignores the fundamental principles of international law. “…Such statements and actions in violation of the Ukrainian legislation will necessarily have consequences, as it was in the case of certain French politicians, who are denied entry to Ukraine,” it said. The far right leader was quoted by French television as saying Russia’s annexation of Crimea was not illegal because the Crimean people had chosen to join Russia in a referendum, a position Kiev vehemently disputes. The referendum was also declared illegal by the United Nations General Assembly.

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What keeps Britain together. Credit and whining. And fog. Boy, what a sorrowful place it’s becoming.

• UK Credit Binge Approaching Levels Not Seen Since 2008 Crash (G.)

A credit boom that is close to levels not seen since the 2008 financial crash should set alarm bells ringing in Theresa May’s government, debt charities have warned. The latest figures from the Bank of England show unsecured consumer credit, which includes credit cards, car loans and second mortgages, grew by 10.8% in the year to November to £192.2bn, picking up pace on the previous month to grow at its fastest rate in more than 11 years. In September 2008, the month that Lehman Brothers collapsed and the banking crash triggered a worldwide recession, the level of UK consumer credit debt hit a peak of £208bn. Credit card debts, which accounted for £66.7bn of the total, hit a record high last month as Britons used the plastic to fund shopping as never before in the run-up to Christmas.

The debt charity StepChange said the rise in debt levels would leave thousands of families vulnerable to higher levels of inflation and changes in income from wage cuts, divorce or redundancy. Its head of policy, Peter Tutton, said: “Levels of outstanding borrowing are approaching the 2008 peak, and the growth rate of net lending is at its highest since 2005. Alarm bells should be ringing. “Previous experience shows how such increases in the levels of borrowing can leave households over-indebted and vulnerable to sudden changes in circumstances and drops in income that can pitch them into hardship. “Lenders, regulators and the government need to ensure that the mistakes made in the lead-up to the financial crisis are not repeated and that there are better policies in place to protect those who fall into financial difficulty.”

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All you need, as if it wasn’t obvious: “..the link between the yuan and the dollar remains as tight as ever. In November 2016, 98% of turnover in China’s foreign-exchange market took place between those two currencies.”

• China Can’t Quit the Dollar (Balding)

China’s leaders are hardly disguising their fears about money leaving the country. They’ve just imposed new disclosure rules limiting how Chinese – who are allowed to convert up to $50,000 worth of yuan into foreign currency each year – can spend that money overseas. Simultaneously, they’re striving to tamp down worries about the tumbling yuan, which has fallen to an eight-year low against the U.S. dollar. At the end of December, the government added 11 currencies to the basket against which it now values the yuan. While the Chinese currency fell 6.5% against the dollar in 2016, its value measured against the broader basket has remained largely stable since July. The idea, at least in part, is to persuade ordinary Chinese that their nest eggs are safe in renminbi. Unfortunately, this latest effort isn’t likely to work any better than earlier ones.

The yuan remains inextricably bound to the U.S. dollar – and everyone knows it. The People’s Bank of China created the exchange-rate basket roughly a year ago. The goal was twofold – to shift attention away from the yuan’s precipitous decline against the dollar and to reduce China’s dependence on the U.S. currency. The latter was widely seen as humiliating – an affront to a rising superpower and the world’s second-largest economy. That resentment helped drive China’s effort – since stalled – to internationalize its currency. Yet any cursory review makes clear that the link between the yuan and the dollar remains as tight as ever. In November 2016, 98% of turnover in China’s foreign-exchange market took place between those two currencies. Flows of capital into and out of China show an only slightly less lopsided pattern.

Between them, the U.S. and Hong Kong dollars (the latter is hard-pegged to the U.S. currency) account for 91% of China’s non-yuan international bank transactions. The smaller currencies that make up nearly half of the basket comprise only 1.7% of international bank payments and receipts. Even the BIS estimates that 80% of China’s local loans in foreign currency are denominated in dollars. That’s the number that really matters: If the yuan continues to fall against the dollar, companies are going to have a harder time paying back those loans regardless of what the renminbi is or isn’t worth against the government’s official basket. All this is clear to ordinary investors. During my nearly eight years in China, I’ve never heard any Chinese citizen worry about the value of the yuan against the Emirati dirham.

So as long as the yuan continues to depreciate in dollar terms, Chinese are going to look for ways to get their money out of the country, despite any barriers the government might throw in their way. China’s options for preventing further outflows are limited. The PBOC could continue to deplete the country’s $3 trillion in foreign exchange reserves in an effort to prop up the yuan. That’s a risky game, though, as it reduces the stockpiles of hard currency needed to repay foreign-denominated debt and provide liquidity for international trade. As others have argued, reserves should be deployed strategically, not squandered defending bad policy.

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I see helicopter money. Digital basic income will come too late. At the every least half the people don’t even have plastic. And Modi can’t afford to wait for that.

• India’s Cash Woes Are Just Beginning (BBG)

“Give me 50 days, friends,” Indian Prime Minister Narendra Modi asked citizens after he canceled 86% of the country’s currency notes. After Dec. 30, if Indians saw his decision as flawed, he promised to “suffer any punishment.” But, he said confidently, if they could bear 50 days of disruption, they would have the “India of their dreams.” It is now January. While Modi’s deadline has passed, the pain hasn’t. Indeed, it may just be beginning: Measured by the purchasing managers’ index, or PMI, Indian manufacturing actually began to contract last month for the first time in all of 2016. This can’t be blamed on sluggish global demand; the equivalent measure from China suggested that manufacturing there is expanding quicker than expected. Indian companies are suffering from supply-chain disruptions and customers with no cash in their wallets.

True, in some ways things aren’t as bad, at least in metropolitan India, as they were a few weeks ago. The lines at ATMs are shorter and the government even felt comfortable enough to raise the limits for ATM withdrawals from 2,500 rupees a pop to 4,500 rupees (from $37 to $66). But overall cash limits haven’t been eased; most Indians can still only withdraw 24,000 of their own hard-earned rupees – a little over $350 – a week, or 50,000 rupees if one has a business account. That’s simply not enough cash to keep supply chains going. Lines at ATMs thus aren’t the most useful indicator. Even if more cash is getting into the economy, the question is whether Indians are still artificially constrained in how much cash they can access. If so, things haven’t returned to “normal.” And the longer there’s a cash constraint, the larger the ripple effect on the economy.

Here’s a thought experiment, based on how informal, cash-based economies work. For the first or second month that you’re short of cash, your creditors and your debtors, the people you buy from and the people you sell to, are all short of cash as well. Plus, everyone knows the cash crunch isn’t your fault; it doesn’t reveal any adverse information about how healthy your business is or isn’t. So you extend and receive credit relatively easily. Things can run on such relationships for awhile in the informal economy. But when the outside world – the formal economy – intrudes, the system breaks down. When it comes time to pay your electricity bill, or a loan installment to the banks, you’re forced to call in your debts. You may not face enough formal demands in the first month or two to pose a problem. But as time passes, they add up.

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Way ahead of you! I wrote this in April 2015: Russia’s Central Bank Governor Is Way Smarter Than Ours.

• Head of Russian Central Bank Named European Banker of the Year (RT)

Elvira Nabiullina, the head of Russia’s central bank, has been named the best Central Bank Governor in Europe in 2016 by the international financial magazine, The Banker. The influential publication praised her for having “helped steer the country through the difficulties,” with Russia “set to return to economic growth in 2017.” “Having started 2016 with consumer price inflation of 12.9% – highs not seen since 2008 – Ms Nabiullina highlighted the need to lower inflation to improve economic growth in Russia,” the outlet writes in an article dedicated to the award. Established in 1926, The Banker is considered one of the leading international finance magazines, read in almost 180 countries.

“Ms Nabiullina’s efforts saw the rate drop below 6% by the end of 2016,” the magazine writes. This, as inflation in Russia “had never fallen under 6,1%”, according to the publication, citing figures by the International Monetary Fund going back to 1992. Nabiullina said she viewed the past year as a kind of turning point with regard to inflation. “Importantly, in 2016 there was a turning point in the sentiment of the population and professionals regarding inflation expectations,” she is quoted as saying by the outlet. “At the beginning of 2016, inflation expectations of market participants were well above our target, but now they have reduced to close to our [end-2017] 4% inflation target, at between 4.5% and 4.7%.”

In December last year, the chief of the IMF, Christine Lagarde lauded Nabiullina for doing “a fantastic job” while tackling the financial problems in Russia, and inflation in particular. Nabiullina served as economic adviser to Russian President Vladimir Putin between 2012 and 2013, when she was appointed to head Russia’s Central Bank. She was Minister of Economic Development and Trade for 5 years from September 2007 to May 2012. Forbes rates Nabiullina 56th among the world’s 100 most powerful women. In 2015, Nabiullina was named central bank governor of the year by Euromoney magazine.

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Even on vacation he still finds a way to get his face in the media.

• Steve Keen: Rebel Economist With A Cause (AFR)

Keen’s views and policy prescriptions remain firmly and proudly unconventional – unworkable even. But as somebody who saw the GFC coming when most did not, and as a long-time disciple of the now in-vogue Austrian economist Hyman Minsky, it may be that Keen’s economic views are finally entering mainstream thought. In a sign of the times, none other than the new chief economist of the World Bank, Paul Romer, has admitted that “for more than three decades, macroeconomic theory has gone backwards”. In a piece titled The trouble with macroeconomics, Romer in September wrote that “theorists dismiss mere facts by feigning an obtuse ignorance about such simple assertions as ‘tight monetary policy can cause a recession’.”


Australian private and government debt as a percentage of GDP. Steve Keen

And there is a strong need for fresh remedies. There is more debt in the world now than before the GFC – a crisis precipitated by excess borrowing. Low and zero interest rates and unconventional monetary policies such as QE have pumped up asset prices but done little to spark productivity gains or business investment in advanced economies. Private debt in Australia is now equivalent to around 210% of GDP, from 180% in 2007. Australian households are more indebted than ever, the RBA says. Keen is perhaps most critical of central bankers’ unwillingness to incorporate the link between credit growth and financial stability into their decision making. “Conventional economic thinking completely ignores where money comes from,” Keen says. “All this theory is effectively based on the idea that money is like nuts that chipmunks drop from trees and you can run out of it and if you don’t have enough of it you are going to starve over winter, and it’s a completely naive view of a monetary economy.”

While he acknowledges that RBA governor Philip Lowe has signalled a greater emphasis on “financial stability”, household indebtedness still continues to climb. “The Reserve Bank were so backward in their thinking. Their argument was, ‘oh well, the level of debt doesn’t matter because the households that have the debt are wealthy and they can continue servicing it’. But the real problem is demand for the economy comes out of turnover of the existing money plus credit. “Now, if you are relying on credit growth being equivalent to 15% of GDP, which is where it was in Australia just over six months ago, you’ve got to continue borrowing that 15% of GDP every year to maintain that trajectory. “If you simply stabilise, then, bang!, 15% of demand disappears. And that’s what we face and what I think will happen [in 2017].”

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Debt Rattle New Year’s Day 2017

Jan 012017
 
 January 1, 2017  Posted by at 11:29 am Finance Tagged with: , , , , , , , , , ,  3 Responses »


Claude Monet The Japanese Bridge 7 1924

• Trump Leaves Open Possible Taiwan Meet, Questions Russia Hacking (R.)
• Was Claim by DHS and FBI About Russian Hacking Fake News? (Spring)
• Is the “Trump Trade” Already Unwinding? (WS)
• Senator McCain Says US Stands With Ukraine Against Russia (R.)
• Here’s How Much Each EU Nation Puts In And Takes Out Of The EU Budget (BI)
• Universal Basic Income Trials Being Considered In Scotland (G.)
• China’s Xi Offers Populist Message In New Year’s Eve Address (AP)
• Narendra Modi Just Dug Himself a Great Big Hole (Varadarajan)
• Turkish Policy Sets Syria On New Path (Sayigh)
• Humanity May Self-Destruct, But The Universe Can Cope Perfectly Without Us (G.)

 

 

Trump’s been -partially- briefed: ”I also know things that other people don’t know so we cannot be sure..”. And he’s obviously not convinced, to say the least.

• Trump Leaves Open Possible Taiwan Meet, Questions Russia Hacking (R.)

U.S. President-elect Donald Trump on Saturday left open the possibility of meeting with Taiwan’s president if she visits the United States after he is sworn in on Jan. 20 and also expressed continued skepticism over whether Russia was responsible for computer hacks of Democratic Party officials. In remarks to reporters upon entering a New Year’s Eve celebration at his Mar-a-Lago estate, Trump said, “We’ll see,” when pressed on whether he would meet Tsai Ing-wen, Taiwan’s president if she were to be in the United States at any point after he becomes president. Taiwan’s president will be in transit in Houston on Jan. 7 and again will be in transit in San Francisco on Jan. 13. Beijing bristled when Trump, shortly after his Nov. 8 victory, accepted a congratulatory telephone call from the Taiwan leader and has warned against steps that would upset the “one-China” policy China and the United States have maintained for decades.

Talk of a stop-over in the United States by the Taiwan president has further rattled Washington-Beijing relations. On another foreign policy matter, Trump warned against being quick to pin the blame on Russia for the hacking of U.S. emails. The Washington Post also reported on Friday that Moscow could be behind intrusion into a laptop owned by a Vermont electric utility. U.S. intelligence officials have said that they are confident Russia was behind the hacks, which could have played a role in Trump’s defeat over Democratic presidential candidate Hillary Clinton. “I think it’s unfair if we don’t know. It could be somebody else. I also know things that other people don’t know so we cannot be sure,” Trump said. Asked what that information included, the Republican President-elect said, “You will find out on Tuesday or Wednesday.” He did not elaborate.

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Seems to depend on who reports on it.

• Was Claim by DHS and FBI About Russian Hacking Fake News? (Spring)

An important research principle is to follow the money. People around the world need to ask themselves who has the money and technical ability to be running hundreds and perhaps thousands of real servers and real IP addresses from fake corporations using fake websites in fake locations in more than 40 nations around the world? What agency has already been proven to be running mass surveillance on billions of people in more than 40 nations all around the world? Whose military cyber budget is more than 10 times larger than the cyber warfare budget of the rest of the world combined? There is certainly an elephant in the room – but it is not a Russian elephant. At a televised press conference in April 2016, former NSA agent Edward Snowden asked the Russian leader Vladimir Putin if the Russian government engaged in mass surveillance of millions of people in a manner similar to the NSA.

Putin replied that Russian law prohibited the Russian government from engaging in mass surveillance. Putin then pointed out that the Russian military budget was less than 10% of the US military budget. So even if they wanted to engage in mass surveillance, they simply did not have the money. People also need to ask themselves why the FBI/DHS chose to place their evidence in a CSV file and XML file rather than a normal document or spreadsheet. If this were real evidence, it would have been placed directly in the PDF report for everyone to read – not hidden away in a file the general public has little ability to read. Finally, for the FBI or the DHS to claim that the XML-CSV file contains evidence or even indicators of Russian hacking is simply a false statement. It is a perfect example of fake news. Any news agency promoting this claim without doing even the most basic of research that would easily confirm it is false should be listed as a fake news agency.

The real question that we should all be asking is why the DHS and FBI would destroy their reputation by posting such a fake report? Several years ago, our CIA claimed that Iraq had weapons of mass destruction. We now know that Iraq had no weapons of mass destruction – meaning that we went to war and spent over a trillion dollars on a fake report. Is this new fake report a pretext for launching a cyber war against Russia? Is it intended to justify increasing US military spending? It is hard to say what the real purpose of this fake DHS-FBI report is. But the fact that this silly list of IP addresses was the best evidence they could provide should be a strong indication that there really is no evidence of Russian hacking. Instead, it is more likely that Wikileaks is telling the truth in stating that they got the emails from a disgruntled Democratic Party insider.

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There’s so much downside there it’s scary.

• Is the “Trump Trade” Already Unwinding? (WS)

The S&P 500, after having ended 2015 down 0.7%, ended 2016 up 9.5%, including a big swoon early in the year. From February 11, when it bottomed out at 1,810, it has surged 23.6%. And bonds went on a wild ride. The 10-year Treasury yield ended 2016 at 2.445% up from 2.273% at end of 2015. It hit 2.57% at peak Trump Trade, up over a full percentage point from the summer. Over the fourth quarter, the yield jumped 84 basis points, the largest quarterly jump since 1994. And prices, which move inverse to yields, clobbered bondholders. But note the decline in yield since December 20:

And stocks partied. Since the election, financials surged, bringing the gain for the year to 29.1%, the best-performing sector in the S&P 500. Goldman Sachs, whose ex-executives are now heavily represented in the Trump administration, shot up 36% since the election and 51% since the beginning of October when Trump’s victory became more than just a possibility. GS was one of the best Trump Trades out there. Alas, it too has started to peter out. GS is now down 2.5% from peak Trump-Trade, and other banks have followed. Insiders at the banks were preparing for it, it seems, because on December 9, just before bank stocks started losing ground, we found…

Mortgage rates have soared from around 3.4% for much of the summer to 4.32%, according to Freddie Mac. This is now reverberating through the housing market in multiple ways, with some people rushing to buy to lock in the rates before they go even higher, and others waiting for rates to come down and not buying, and still others being completely priced out by mortgage rates that are nearly a percentage point higher than they’d been a few months ago, and the first red flags on home sales are now cropping up:

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Oh, go away!

• Senator McCain Says US Stands With Ukraine Against Russia (R.)

Republican U.S. Senator John McCain promised on Saturday continued support for Kiev in the face of aggression from Moscow, as he spent New Year’s Eve on the front line in Ukraine’s eastern conflict zone. McCain was one of a bipartisan group of 27 U.S. senators who sent a letter to President-elect Donald Trump in December, urging him to take a tough line against Russia over what they termed its “military land grab” in Ukraine. “I send the message from the American people – we are with you, your fight is our fight and we will win together,” McCain was quoted as saying by Ukrainian President Poroshenko’s press service. “In 2017 we will defeat the invaders and send them back where they came from. To Vladimir Putin – you will never defeat the Ukrainian people and deprive them of their independence and freedom,” McCain said after a visit to a military base in the southeastern town of Shyrokyne.

Trump signaled during his campaign that he might take a softer line in dealings with Moscow, repeatedly praising Russian President Putin’s leadership. Trump’s election caused jitters in Ukraine but officials in Kiev hope that the incoming president’s policies, influenced by Republican hawks and a Republican-voting Ukrainian diaspora, will be friendlier towards Ukraine than his campaign rhetoric might have suggested. Ukraine has relied on Western support and economic aid since street protests in 2014 which toppled a Kremlin-backed president and were followed by a war with pro-Russian separatists and Russia’s annexation of the Crimea peninsula from Ukraine.

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The enormous amounts going to France, Spain, Italy, Belgium are something to be very concerned about.

• Here’s How Much Each EU Nation Puts In And Takes Out Of The EU Budget (BI)

One of the biggest political stories of 2016 has been Brexit and much of the debate both before and after June’s vote to leave the EU has focused around whether Britain will be financially better or worse off after leaving the EU. The “Vote Leave” campaign famously emblazoned their battle bus with a figure of £350 million, claiming that was what the UK sent to Brussels each week and that sum could be spent on the NHS instead. The figure was subsequently discredited, as it was a gross sum and didn’t take into account the fact that Britain also benefits from EU grants and funding. However, a recent House of Commons briefing paper on the UK’s funding from the EU shows that Britain does, in fact, put more into the EU budget than it takes out.

The UK has averaged around €12 billion in EU funding each year between 2011-15 but over that same period made an average net contribution of €15 billion. Britain is one of nine EU members that are net contributors to the European Union’s budget (meaning they put in more money than they take out.) Here’s the House of Commons chart showing each member states net contributions against their EU funding:EU funding House of Commons Briefing Paper The fact that Britain is a net contributor means that, in theory, the UK could stand to gain money after it leaves the EU. However, this does not account for any potential economic fluctuations as a result of Brexit — if the economy suffers then any gains from not paying into the budget could easily be wiped out by falling tax receipts.

There is also a very real possibility that the UK may have to keep paying into the EU budget if it wants to maintain access to the EU Single Market. The UK will also have to continue paying into the EU budget until it formally leaves the EU and senior European negotiators have signalled they will try and make Britain pay up to €60 billion to leave, to cover previous budget commitments, pension liabilities, and other costs. In other words, while on paper it might look like leaving the EU will give Britain more money for inward investment, Brexit could end up costing the UK just as much as EU membership — or worse, more.

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I’m all for a good basic income trial. But I’m very afraid that none of them will be adequate, and that this will be used to discredit the entire idea. And please don’t use the term universal for small scale experiments, it’s misleading.

• Universal Basic Income Trials Being Considered In Scotland (G.)

Scotland looks set to be the first part of the UK to pilot a basic income for every citizen, as councils in Fife and Glasgow investigate trial schemes in 2017. The councillor Matt Kerr has been championing the idea through the ornate halls of Glasgow City Chambers, and is frank about the challenges it poses. “Like a lot of people, I was interested in the idea but never completely convinced,” he said. But working as Labour’s anti-poverty lead on the council, Kerr says that he “kept coming back to the basic income”. Kerr sees the basic income as a way of simplifying the UK’s byzantine welfare system. “But it is also about solidarity: it says that everyone is valued and the government will support you. It changes the relationship between the individual and the state.”

The concept of a universal basic income revolves around the idea of offering every individual, regardless of existing welfare benefits or earned income, a non-conditional flat-rate payment, with any income earned above that taxed progressively. The intention is to provide a basic economic platform on which people can build their lives, whether they choose to earn, learn, care or set up a business. The shadow chancellor, John McDonnell, has suggested that it is likely to appear in his party’s next manifesto, while there has been a groundswell of interest among anti-poverty groups who see it as a means of changing not only the relationship between people and the state, but between workers and increasingly insecure employment in the gig economy.

Kerr accepts that, while he is hopeful of cross-party support in Glasgow, there are “months of work ahead”, including first arranging a feasibility study in order to present a strong enough evidence base for a pilot. “But if there is ever a case to be made then you need to test it in a place like Glasgow, with the sheers numbers and levels of health inequality. If you can make it work here then it can work anywhere.”

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Now Xi is designated populist too, because he said: “On this new year, I am most concerned about the difficulties of the masses: how they eat, how they live, whether they can have a good New Year, or a good Spring Festival..” And I thought when incumbents say these things, that’s not populist. I may never understand.

• China’s Xi Offers Populist Message In New Year’s Eve Address (AP)

Chinese President Xi Jinping said Saturday that his government would continue to focus on poverty alleviation at home and resolutely defending China’s territorial rights on the foreign front. Xi made the televised remarks in his annual New Year’s Eve address, in which he touted China’s scientific accomplishments, highlighting its large new radio telescope and space missions, and the country’s growing role as a leader in global affairs. Standing before a mural of the Great Wall, Xi said his administration successfully hosted a G-20 summit, pushed forward with China’s “One Belt One Road” pan-Eurasian infrastructure project and established the Asian Infrastructure Investment Bank.

China has upheld its peaceful development while resolutely defending its territorial sovereignty and maritime rights, Xi said, making a reference to an international tribunal ruling last summer against China’s claims in the contested South China Sea. “If anyone makes this an issue of question, the Chinese people will never agree!” he said, one of the few points in his 10-minute address when his voice rose noticeably. For most of his address, Xi struck a populist tone, saying he was above all concerned about the living conditions of the people and vowed that improving employment, education, housing and health care would be a responsibility that his ruling Communist Party would never shirk from. China lifted 10 million people out of poverty in 2016, Xi said.

“On this new year, I am most concerned about the difficulties of the masses: how they eat, how they live, whether they can have a good New Year, or a good Spring Festival,” Xi said, as the television broadcast cut to footage of his visits this year to impoverished rural areas. Xi also promised to shore up Communist Party discipline and “unwaveringly” maintain his anticorruption campaign against high- and low-ranking officials alike. He said that “supply-side” economic reforms were making progress and that the party would continue to push reform and rule by law during the 19th National Congress, scheduled for late 2017. “As long as the party forever stands with the people, we will be able to walk the long march of our generation,” he said.

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A Lakh is one hundred thousand. Still confusing as f**k.

• Narendra Modi Just Dug Himself a Great Big Hole (Varadarajan)

It was a speech of not just shifting goalposts but vanishing playing fields, and yet Narendra Modi couldn’t resist making a rhetorical point about black money that might well prove costly for him by the time 2019 comes around. “I wish to share some information with you, which will either make you laugh, or make you angry,” he said, with a flourish half-way through his speech. This was the point where everyone expected him to reveal how many old Rs 500 and 1000 notes had become ‘worthless paper’ thanks to demonetisation but he had another number in mind: “According to information with the government, there are only 24 lakh people in India who accept that their annual income is more than 10 lakh rupees. Can we digest this? Look at the big bungalows and big cars around you… If we look at any big city, it would have lakhs of people with annual income of more than 10 lakh.”

Until then, the prime minister had sought to sweep the growing public concerns about the effects of his demonetisation decision under a fraying carpet of nationalism. But by drawing attention to a stark statistic in an attempt to provide some justification for the chaos he has unleashed in the lives of hundreds of millions of poor Indians, Modi has unwittingly laid down a new metric by which the success or failure of his supposed drive against black money must be judged: will he manage to add the “lakhs of people” who have an income of more than Rs 10 lakh to the list of those who pay income tax? If he doesn’t, then what was the point of subjecting the whole country to so much disruption and pain? Finance minister Arun Jaitley initially claimed that a certain proportion of the demonetised notes would remain outside the banking system and get extinguished, thus providing a blow to the black economy and a fiscal boost to the government.

When they realised there was unlikely to be significant extinguishing and that most of the high denomination notes in circulation would probably end up getting deposited, Modi and Jaitley claimed the income tax authorities would be able to track down the owners of black money since their funds had entered the banking system. Now that it is apparent the IT department will not find it that easy to undertake such a massive exercise – its inefficiency is the reason the list of those with official incomes of Rs 10 lakh and over is just 24 lakh to begin with and is unlikely to grow – Modi has tried to sell another bizarre idea to the public about why the cashless hardship they are putting up with is in the national interest.

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Putin is tightening his grip on Erdogan. Who held a speech yesterday proclaiming that Turkey is in the first independence war in 93 years, or something like that. But that’s strictly for domestic use.

• Turkish Policy Sets Syria On New Path (Sayigh)

Turkish policy has been evolving at a quickening pace. The decision to lean on the opposition to allow thousands of its fighters to abandon the effort to lift the regime siege of eastern Aleppo in order to spearhead a Turkish-backed push against Kurdish-held areas to the north last August ensured the fall of one of the most important opposition strongholds in Syria four months later. Remaining opposition forces in the northwest have significant stockpiles of weapons and ammunition, but are wholly dependent on Turkey for further military resupply and for the flow of trade and international humanitarian assistance. Turkey has not abandoned the opposition completely, but it is clearly working to a new set of policy assumptions and objectives in Syria.

That these include a strategic decision to abandon the effort to force Assad from power is already plain. Talk of setting up a safe zone in northern Syria has never been credible, despite considerable bluster. Moscow insiders claim Turkish President Recep Tayyip Erdogan is also abandoning his categorical rejection of significant Kurdish autonomy in northern Syria, so long as he can block the same thing in Turkey. With President-Elect Donald Trump about to take office in the US, there is little reason for Turkey to expect to counter-balance Russian policy proposals on Syria. These calculations prompted Turkey to accept the fate of Aleppo – which it had long presented as a “red line” that the Assad regime should not cross – and then to broker a ceasefire with Russia immediately after its fall.

The alacrity with which the main political and military opposition groupings have announced their support for the latest ceasefire is the surest measure of the extent of the shift in Turkey’s policy and of its determination to enforce compliance, whatever the provocations from the government side. The real question, then, is not whether the latest ceasefire will hold, but how far Turkey will go in making the Syrian opposition accept what comes next, should the peace talks jointly sponsored by Russia and Turkey take place within the next month as officially scheduled. Indeed, even if the ceasefire fails or if the talks are unsuccessful – or not held at all – Turkish policy towards Syria is set on a new path.

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Destruction as a religious comfort zone. Oh well, people go for what feels good.

• Humanity May Self-Destruct, But The Universe Can Cope Perfectly Without Us (G.)

In a Scandinavian hotel a few years ago, I came across a documentary I didn’t expect to watch for more than a minute or two, but at least it was in English. It was past time to go to bed, but I ended up watching the whole thing. Aftermath: Population Zero imagines that overnight humanity vanishes from the planet. You may have seen it. The immediate effects of human departure are sentimentally saddening: pets die, no longer competent to fend for themselves. Some livestock fares poorly, though other domesticated animals romp happily into the wild. Water cooling fuel rods of nuclear power plants evaporate, and you’d think that would be the end of everything – but it isn’t. Radioactivity subsides. Mankind’s monuments to itself decay, until every last skyscraper has rusted and returned to dirt.

Animals proliferate, flora thrive, forests rise. Bounty, abundance and beauty abound. Antelopes leap from wafting golden grasses. It was all very exhilarating, really. I went to sleep that night with a lightened heart. Ever since, that wafting grasses image has been a comforting touchstone. We speak often of “destroying the planet” when what we mean is destroying its habitability for humans. The humblingly immense else-ness of what is, in which our species is collectively a speck, extant for an eye blink, lets us off the hook. Global warming, Syrian civil war, domestic violence, Donald Trump? This too shall pass.

I’m not a religious person. Chances are that the universe neither treasures nor regrets us. It permits us, with a marvellous neutrality, and later it may permit artificial intelligence, humanity 2.0, or a lot more bugs instead. We can’t comprehend all that phantasmagorical stuff out there, but we also can’t kill it. That gives me hope. Although we’re a remarkably successful biological manifestation – and so is mould – our aptitude for annihilation is largely limited to wiping ourselves out. The gift of self-destruction is a minor, not to mention stupid, power, and apparently humanity’s suicide would be relatively safe, like a controlled explosion. The universe would get on perfectly well without us once we’d gone.

I strongly associate the notion of aftermath with TC Boyle’s short story Chicxulub. While relating the intimate, personal account of learning that his teenage daughter has been hit, perhaps fatally, by a car, the narrator digresses to explain the shockingly high likelihood that our planet will be hit by an asteroid large enough to extinguish our species. For the narrator, his daughter’s death and the end of the world are indistinguishable. The text is shot through with a piercing sorrow, over all our pending losses – of children, of the world we’ve made together as a race. This, too, gives me hope – that I’m not a misanthrope after all. I would miss my brother, my husband; with all our shortcomings, I would also miss the family of man. The capacity for grief, the flipside of love, consoles me as much as the detached long view of aftermath.

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Debt Rattle November 28 2016

Nov 282016
 
 November 28, 2016  Posted by at 8:38 am Finance Tagged with: , , , , , , , , , , , ,  Comments Off on Debt Rattle November 28 2016


NPC Hendrick Motor Co., Carroll Avenue, Takoma Park, Maryland 1928

• US Shoppers Spend 3.5% Less Over Holiday Weekend (R.)
• Some Of The Biggest UK Banks May Not Clear New Public Stress Tests (BBG)
• China’s Bad Banks Serve Zombies, Not Investors (BBG)
• PBOC Deputy Governor Talks Up Yuan Strength (CNBC)
• Modi’s Rural Supporters May Not Hang On Much Longer (BBG)
• India’s Modi Calls For Move Towards Cashless Society (R.)
• Greek Banks Call For Taxing Cash Withdrawals (Kath.)
• Trump Faces Dilemma As US Oil Reels From Record Biofuels Targets (R.)
• Oil Trades Near $46 Amid Skepticism OPEC to Reach Output Deal (BBG)
• Fillon Would Beat Le Pen in Both Rounds of Election – Polls (BBG)
• Renzi Faces Pressure To Stay In Office As Italy Referendum Defeat Looms (R.)
• Recount: Losers Who Won’t Lose (Mehta)

 

 

There’ll be a deluge of data on this coming out where everyone can find their favorite numbers. Everybody happy!

• US Shoppers Spend 3.5% Less Over Holiday Weekend (R.)

Early holiday promotions and a belief that deals will always be available took a toll on consumer spending over the Thanksgiving weekend as shoppers spent an average of 3.5% less than a year ago, the National Retail Federation said on Sunday. The NRF said its survey of 4,330 consumers, conducted on Friday and Saturday by research firm Prosper Insights & Analytics, showed that shoppers spent $289.19 over the four-day weekend through Sunday compared to $299.60 over the same period a year earlier. The survey found that 154 million people made purchases over the four days, up from 151 million a year ago. However, there was a 4.2% rise in consumers who shopped online and a 3.7% drop in shoppers who purchased in a store.

The U.S. holiday shopping season is expanding, and Black Friday is no longer the kickoff for the period it once was, with more retailers starting holiday promotions as early as October and running them until Christmas Eve. NRF Chief Executive Officer Matt Shay said the drop in spending is a direct result of the early promotions and deeper discounts offered throughout the season. “Consumers know they can get good deals throughout the season and these opportunities are not a one-day or one-weekend phenomenon and that has showed up in shopping plans,” he said. Shay said more 23% of consumers this year have not even started shopping for the season, which is up 4% from last year and indicates those sales are yet to come. The NRF stuck to its forecast for retail sales to rise 3.6% this holiday season, on the back of strong jobs and wage growth.

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That graph is full-tard baseless and ridiculous.

• Some Of The Biggest UK Banks May Not Clear New Public Stress Tests (BBG)

The Bank of England added a new, higher bar to its third round of public stress tests. Some of the U.K.’s biggest banks will scrape through; others may not clear it. The seven major British lenders tested will probably beat the lowest measures of strength required to pass the annual BOE health check when it is released Wednesday, Autonomous Research aid in a note this month. RBS and Barclays risk a “soft fail” of tougher thresholds set for lenders deemed to be integral to the global banking system, they said. HSBC and Standard Chartered’s results may be rattled by a Chinese recession scenario.

Each bank now must top its individual hurdle rate and a new threshold, called the systemic reference point, that takes into account the potential global repercussions if the lender collapses. Firms that fall short of either measure will have to boost their capital ratios, though the BOE will force them to take “less intensive” action if they only miss the SRP. “With bank investing these days, you need to be more cognizant of the economy, the rate environment and crucially of the regulator,” especially if one bank does much worse than its peers in a stress test, said Barrington Pitt Miller at Janus Capital in Denver.

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It’s what they’re for.

• China’s Bad Banks Serve Zombies, Not Investors (BBG)

China’s zombie companies can rest easy. It’s a shame the same can’t be said for investors in the nation’s banks.The big five lenders, starting with Agricultural Bank of China, plan to set up bad banks that will convert soured debt to equity. Agricultural Bank, Industrial & Commercial Bank of China, Bank of China, China Construction Bank and Bank of Communications will fork out 10 billion yuan ($1.5 billion) each to establish the asset-management companies, Caixin magazine reported. That banks are forging ahead with debt-to-equity swap plans, albeit via asset-management firms they happen to own, is great news for all those struggling steel and construction companies facing potential closure.

State Council guidelines issued last month indicate that zombie corporations – those ailing state firms plagued by overcapacity – can’t count on bailouts, but it’s difficult to determine which ones are actually destined for the scrapheap.The nation’s top lenders, also all backed by Beijing, are unlikely to want to be seen as responsible for mass unemployment by refusing to rescue companies, no matter how dire their situation. In fact, those companies may have an even better chance of getting capital infusions, considering financial institutions will probably be keen to use their investment-banking units to help monetize equity assets.On the face of it, bank investors might also feel relieved that lenders are farming out bad debt to distinct vehicles.

Using an asset-management company should ensure that the equity resulting from the bad-debt switch doesn’t sit on a bank’s balance sheet. That will help lenders conserve precious capital: Had the equity been on their books, they would have had to apply a risk weighting of 400%, and get special approval from the State Council. Structuring it this way will also allow banks to maintain their much-coveted dividends. But dig a bit deeper and you realize this isn’t a scenario that will necessarily play out well, and not just because equity stakes, even those held at arm’s length, are inherently riskier than loans.For one, how will these asset-management firms be funded long term?

The answer is probably by the banks themselves.According to the State Council, the debt-to-equity swaps can be financed by “social capital,” a catch-all phrase that generally includes high-yielding wealth-management products. Those investment structures come with an implicit guarantee from the banks that issue them, as lenders have found in the past when they’ve had to rescue funds in trouble. It’s ironic that just as authorities have been trying to rein in shadow banking, the debt-to-equity swap plan provides an added reason to gorge.

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They even push up the yuan a tad to coincide with the publication of the remarks. All under control.

• PBOC Deputy Governor Talks Up Yuan Strength (CNBC)

Comparing the yuan’s recent moves against the dollar misses the currency’s underlying strength of the against a more appropriately watched basket, People’s Bank of China (PBOC) Deputy Governor Yi Gang said in remarks released on Chinese state-run media at the weekend. In a question-and-answer format interview with Xinhua news agency that was posted on the central bank’s website, Yi said the yuan remained a strong and stable currency in the global monetary system, while noting concerns about a slide against the dollar after Donald Trump’s victory in the Nov. 8 presidential election. The yuan plunged to eight-and-a-half year lows versus the dollar last week.

On Monday, the PBOC set the yuan’s central parity rate against the dollar at 6.9042, stronger than the 6.9168 level set on Friday. “Referencing the yuan against a basket of currencies can better reflect the overall competitiveness of a country’s goods and services,” Yi said. Given that economic structures, cycles and interest rate policies differed in various countries, fixating on a single currency was not suitable and may cause the yen to be “over-managed,” he added. Yi said the yuan’s movements were due to domestic factors in the U.S., as they reflected the rise of the greenback on the back of improvements in the U.S. economy and inflation, alongside expectations of a quickening in the pace of Federal Reserve interest rate hikes.

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By now it’s time to wonder how massive the protests will be, and where Modi’s reaction will lead.

• Modi’s Rural Supporters May Not Hang On Much Longer (BBG)

The most ardent supporters of Prime Minister Narendra Modi’s surprise currency withdrawal are those you’d least expect: India’s rural poor, who are suffering the most with the prolonged cash shortages. But the backing of many from India’s villages – based on a belief that Modi’s actions will even out the scale of inequality and reduce corruption – may be short-lived. The jury is still out on the political and economic impact of the decision to target unaccounted cash. And it will be another two months before the government releases inflation, industrial production and growth figures – key areas that may be affected by the prime minister’s shock move on Nov. 8 to ban high-denomination notes, taking out 86% of circulating currency.

Meanwhile, five states, including the most populous state of Uttar Pradesh, will go to elections, leaving the ruling Bharatiya Janata Party vulnerable to a voter backlash if one of its major support bases sees no benefit from the demonetization process. To intensify the campaign against the note ban, several opposition parties called for nationwide protests on Monday, saying the process is a political move dressed up as a fight against corruption. It is not clear whether demonetization will eliminate so-called black money, or who will pay the price if it fails, said Arati Jerath, a New Delhi-based author who has written about Indian politics for about four decades. It will take at least another three weeks to gauge the economic and political impact, she said.

Jerath points to the public reaction to Indira Gandhi’s decision to impose a state of emergency in 1975 as an example of how quickly the tide of public opinion can change. Initially people supported the emergency, welcoming improvements in law and order and the punctuality of government officials. Later they turned against Gandhi when they realized its negative effects, particularity arbitrary abuse of power by bureaucrats, she said. If the Modi government fails to address concerns around cash withdrawals and the situation worsens, there could be food shortages, farmers’ distress, layoffs, rising unemployment and a slowdown of the economy. “At the moment people are patient, they are really giving it a chance, waiting and watching,” said Jerath. “If the situation does not improve by the middle of next month, there will be a backlash against demonetization.”

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Yeah. Have them all drive Teslas too, right?

• India’s Modi Calls For Move Towards Cashless Society (R.)

Indian Prime Minister Narendra Modi on Sunday urged the nation’s small traders and daily wage earners to embrace digital payment channels, as a cash crunch following the government’s surprise ban on high-value bank notes drags on. Modi, speaking in his monthly address on national radio, said the government understands that millions have been affected by the ban on 500-rupee and 1000-rupees notes, but defended the action. The government says the bank-note ban announced on Nov. 8 is aimed at cracking down on corruption, people with unaccounted wealth, and counterfeiting of notes.

“I want to tell my small merchant brothers and sisters, this is the chance for you to enter the digital world,” Modi said speaking in Hindi, urging them to use mobile banking applications and credit-card swipe machines. “It’s correct that a 100% cashless society is not possible. But why don’t we make a beginning for a less-cash society in India?,” Modi said. “We can gradually move from a less-cash society to a cashless society.” More than 90% of consumer purchases in India are transacted in cash, Credit Suisse estimates. While a smartphone boom and falling mobile data prices have led to a surge in digital payments in recent years, the base still remains low. Modi urged technology-savvy young people to spare some time teaching others how to use digital payment platforms.

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Pushing plastic. A new global sport.

• Greek Banks Call For Taxing Cash Withdrawals (Kath.)

Banks are proposing that the government take a series of measures to combat tax evasion, which are centered around reducing the use of cash in favor of increasing online transactions. The proposal that stands out concerns the taxing of cash withdrawals. As bank executives say, cash is easily channeled to the so-called shadow economy, so imposing a tax on withdrawals would drastically reduce transactions in cash and therefore the illegal economy as well.

Lenders are also asking for the compulsory use of cards or other online means for all transactions concerning professions where there are strong indications of tax evasion or cash is used as the main means of payment. Credit and debit cards as well as the new technologies that allow for contactless transactions, such as cell phone apps, should be possible to use even for the smallest transactions, from the purchase of a newspaper to buying a bus ticket, banks argue. The illegal economy in Greece is estimated at some €40 billion every year, with state coffers losing out on tax revenues of around €15 billion per annum.

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Pitting real bad policy vs really really bad.

• Trump Faces Dilemma As US Oil Reels From Record Biofuels Targets (R.)

The Obama administration signed its final plan for renewable fuel use in the United States last week, leaving an oil industry reeling from the most aggressive biofuel targets yet as President-elect Donald Trump takes over. The Renewable Fuel Standard (RFS) program, signed into law by President George W. Bush, is one of the country’s most controversial energy policies. It requires energy firms to blend ethanol and biodiesel into gasoline and diesel. The policy was designed to cut greenhouse gas emissions, reduce U.S. reliance on oil imports and boost rural economies that provide the crops for biofuels. It has pitted two of Trump’s support bases against each other: Big Oil and Big Corn.

The farming sector has lobbied hard for the maximum biofuel volumes laid out in the law to be blended into gasoline motor fuels, while the oil industry argues that the program creates additional costs. Balancing oil and farm interests is likely to prove a challenge for Trump, who has promised to curtail regulations on the oil industry but is already being reminded by biofuels advocates of the importance of the program to the American Midwest, where he received strong support from voters on Nov. 8. Oil groups are renewing their calls to change or repeal the program following Wednesday’s announcement, when the Environmental Protection Agency (EPA) set record mandates for renewable fuels – for the first time hitting levels targeted by Congress nearly a decade ago.

The EPA plan is “completely detached from market realities and confirms once again that Congress must take immediate action to remedy this broken program,” said Chet Thompson, President of the American Fuel and Petrochemical Manufacturers, in a statement. It is unclear what Trump’s plans for the program will be and his transition team did not respond to Reuters’ requests for comment. Both camps are expecting an administration receptive to their demands, though both have expressed concern and uncertainty over Trump’s plans for the program, according to experts, industry and political sources.

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Pump baby pump.

• Oil Trades Near $46 Amid Skepticism OPEC to Reach Output Deal (BBG)

Oil halted declines near $46 amid skepticism over OPEC’s ability to reach an agreement to cut output and as representatives prepare to meet Monday amid last-minute negotiations over the deal the group aims to formalize Wednesday. Futures were little changed in New York after earlier falling as much as 2% and dropping 4% on Friday. Saudi Arabia for the first time on Sunday suggested OPEC doesn’t necessarily need to curb output and pulled out of a scheduled meeting with non-member producers, including Russia. OPEC will hold an internal meeting in Vienna Monday to resolve its differences, and as part of the final push to reach an agreement, oil ministers from Algeria and Venezuela are heading to Moscow to get the group’s biggest rival on board.

OPEC is heading into the final stretch before its November 30 meeting to adopt a deal first floated in September to collectively reduce output. Saudi Arabia, the group’s de facto leader, is seeking to reverse the pump-at-will policy it supported in 2014 and is now pushing members to agree how they will individually shoulder the first production cuts in eight years. Saudi oil minister Khalid Al-Falih said the oil market will recover in 2017 even without cuts. “The market is currently quite pressured by the uncertainties raised from various reports, including Saudi Arabia pulling out of Monday’s talks with non-OPEC nations,” Seo Sang-young at Kiwoom Securities said by phone. “It’s also highly suspicious whether OPEC will keep its promises even if it achieves an accord because the members are constantly raising production.”

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Wanna bet?

• Fillon Would Beat Le Pen in Both Rounds of Election – Polls (BBG)

Francois Fillon, the former prime minister who won the French Republican presidential nomination Sunday, would beat National Front leader Marine Le Pen in both rounds of a presidential election, two polls showed. In a scenario where incumbent Francois Hollande is running along with former Economy Minister Emmanuel Macron, Fillon would win the first round with 32% of the vote against 22% for Le Pen and 8% for Hollande, according to a poll by Odoxa for France 2 television. In the run-off two weeks later, he would defeat Le Pen 71% to 20%. A Harris Interactive poll showed Fillon winning the first round with 26% support compared with 24% for Le Pen and 9% for either Hollande or Manuel Valls as leader of the Socialists. The same survey showed him winning against Le Pen in the second round 67% to 33%.

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“What needs to be considered… is what is good for the country.” Translation: what is good for the incumbent class.

• Renzi Faces Pressure To Stay In Office As Italy Referendum Defeat Looms (R.)

When a handful of European leaders met Barack Obama in Berlin this month to say their goodbyes, Italian Prime Minister Matteo Renzi informed the group that he may well lose power before the U.S. president. While Obama leaves office on Jan. 20, Renzi has promised to resign if he does not win a Dec. 4 referendum on constitutional reform, opening the way for renewed political instability in the eurozone’s third largest economy. “I have no desire to hang around if I lose,” Renzi told the gathering, according to a diplomatic source who was at the low-key Nov. 18 meeting. Opinion polls now predict Renzi’s defeat, in what would be the third big anti-establishment revolt by voters this year in a major Western country, following Brexit and the U.S. election of Donald Trump.

Pressure is mounting on Renzi to drop his threat and instead agree to remain in power to deal with the fallout from a ‘No’ vote, including the risk of a fullblown banking crisis. Obama himself said in October that Renzi should “hang around for a while no matter what” and a number of businessmen and senior government officials contacted by Reuters said they feared the worst if the prime minister abandoned his post. “My personal opinion is that Renzi should stay,” Industry Minister Carlo Calenda said in an interview on Friday. “What needs to be considered… is what is good for the country.” The Italian president could appeal to Renzi’s sense of responsibility and ask him to seek a new mandate from parliament. His response might depend on the size of any defeat, with one advisor saying the 41-year-old premier could quit politics altogether if he suffers a huge snub next Sunday.

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Is it really that hard to throw out Soros?

• Recount: Losers Who Won’t Lose (Mehta)

President-elect Trump won 306 electoral votes versus Hillary Clinton’s 232 (24% less electoral votes). Similar to 2000, the surrendering party then reversed course and put the nation through a recount, just for the sake of it. What are the odds that such an exercise here would yield successful for Ms. Clinton? Based on statistical randomness of re-assessing voter intent, the chance of Hillary emerging as the victor is far less than 10%. Anything can happen, but these lean odds do not rise to the level of putting our peaceful democracy into the hands of a temptuous recount scheme every time a stung party loses (let alone misleadingly blame it on something else from Russia’s Putin, to sexism, to “in hindsight the popular vote would be reasonable”, to FBI Director Comey).

All Americans should instead focus on how the 6 states that flipped this election, were all economically ignored and all flipped to Donald Trump. The only viable path for a Hillary Clinton victory at this stage is to astoundingly uncover a wide-spread (across three states) fraud. And that’s equally unlikely, since the basis for the voting aberrations occurred in less populated counties and anyway the three states employ three different voting mechanisms, so the fraud would have had to somehow occur through different transmission vehicles (paper voting, and electronic voting) and we would require a speedy judicial resolution for states such as Pennsylvania that sidestepped back-up recordings from their direct voting equipment.

We should note the following statistical facts about the electoral vote in the three recount states:
10 votes, Wisconsin (Trump leads by 0.9 %age points)
20 votes, Pennsylvania (Trump leads by 1.1 %age points)
16 votes, Michigan (Trump leads by 0.2 %age points)

Given that Mr. Trump won by 74 electoral votes, Ms. Clinton would need to flip all three states noted above, in order to liquidate this deficit (i.e., >74/2 = >37 votes). The leads described above however, among 4.4 million voters from these three states, is highly statistically significant on a state-level (and certainly when all three states are combined). It would be remarkably unlikely that we would arbitrarily second-guess every one of these millions of voters’ intents and, convert any (certainly let alone all) of these three states.

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