ECONOMY | WHAT REALLY HAPPENED


ECONOMY

May 16 13:28

U.S. Dollar Rally Is Doomed

May 16 12:04

France’s Total to quit Iran gas project if no US sanctions waiver

Total will pull out of a multibillion-dollar gas project in Iran if it cannot secure a waiver from US sanctions, the French energy company said on Wednesday. The announcement shows how European companies are starting to take matters into their own hands as their leaders struggle to save the nuclear deal with Iran, Reuters said.

May 16 12:00

Putin HITS BACK at US sanctions with bizarre plan to BAN FRENCH FRIES from Russia

RUSSIANS might not be able to eat imported French fries anymore as Putin is considering to ban them completely from the market in a furious response to sanctions the US and other Western countries have imposed against Moscow.

May 16 10:02

Trump's Iran gamble won't topple regime, but could start ‘war’ with EU

Trump’s plans are not about starting a war with Iran but trying to bring about regime change by draining it financially. It’s a plan which is doomed to fail, and could also create a costly trade war with the EU.

You have to go back quite some time in contemporary history to find a policy decision taken by a superpower so spectacularly wrong, that it compares to the decision by Donald Trump to pull out of the so-called Iran deal. One tends to think more recently of the decision by George W. Bush to not only invade Iraq with no real plan, but to also cancel all pay to the Iraqi army – a move which perhaps our grandchildren will still feel the impact of, in decades to come. Another one, perhaps, could be the decision in 1956 for Britain to plough ahead with the military campaign in Suez, an all-time low in British history which still produces red faces from bewildered politicos and historians today.

May 16 09:56

The US pulled out of Iran Nuclear Deal because it’s too broke

Here’s a perspective on Trump’s decision to pull out of JCPOA, a.k.a. the Iran Nuclear Deal, that definitely doesn’t get enough airtime. It’s all about money. Following the Iranian revolution of 1978-79, Jimmy Carter froze Iran’s assets in the US. Ever since then, the US has been holding on to between $100 and $120 billion in Iranian assets, which have been accruing rent and interest. After the JCPOA, which stipulated the lifting of sanctions on Iran, Washington has been doing its best to drag its feet on releasing these assets, but they would have had to be returned to Iran sooner or later… unless the US pulled out of the deal, which it just did.

May 16 09:23

Amazon and Starbucks blast Seattle council's controversial new tax that would see large businesses pay for programs for the homeless

Starbucks and Amazon have come out swinging against a new tax in Seattle that would see large corporations pay $275 in tax for every employee.

Any firm earning more than $20 million a year will be asked to pay a head tax, which will raise up to about $48million to help battle the city's homelessness problem.

Amazon, which employs about 45,000 people in Seattle, will shoulder most of the burden - and they're not happy about it, instead claiming the city is anti-business and has a spending efficiency problem.

May 16 09:22

It gets worse: Tesla now has to compete with $50,000 electric BMWs going for $54/month

As if things weren’t bad enough for beleaguered Tesla…

The company lost $1.1 billion in cash in the last quarter, executives are leaving the company in droves, it’s facing production issues with its Model 3 and, as I recently discussed, Elon Musk insulted analysts on the latest earnings call by dismissing their questions – regarding the company’s survival – as “boring” and “boneheaded,” (just after shareholders approved his obscenely large pay package).

Now, in addition to all that, the company has to compete with BMW leasing its $50,000 i3 electric vehicle for only $54 a month. That’s not a typo. Bloomberg recently confirmed you could lease an i3 for less than your monthly cable bill.

Lest you think BMW is making money on that lease, I assure you it’s not. The entire EV sector is losing money.

May 16 08:08

Central Banks Prepare For The Collapse By Creating A Database Of Who Owes What

Banks are now turning towards blockchain technology. HSBC completes its first trade-finance using blockchain. NYSE plans to settle bitcoin futures using physical bitcoins instead of fiat currency.

May 16 07:40

Europe to ditch US dollar in payments for Iranian oil – source

Donald has sold what little soul he has to Israel and the chickens are coming home to roost!

The European Union is planning to switch payments to the euro for its oil purchases from Iran, eliminating US dollar transactions, a diplomatic source told RIA Novosti.
Brussels has been at odds with Washington over the US withdrawal from the Iran nuclear deal, which was reached during the administration of Barack Obama. President Donald Trump has pledged to re-impose sanctions against the Islamic Republic.

May 16 07:36

'With friends like that who needs enemies’: Tusk lashes out at Trump over recent US moves

Looks like the EU will be ditching the dollar for oil payments.

Donald Tusk
?
@eucopresident
Looking at latest decisions of @realDonaldTrump someone could even think: with friends like that who needs enemies. But frankly, EU should be grateful. Thanks to him we got rid of all illusions. We realise that if you need a helping hand, you will find one at the end of your arm.

5:36 AM - May 16, 2018
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May 15 15:22

Nothing To Sweat Here.....Not!

May 15 14:56

How the Danger of Debt Looms Large

May 15 13:34

EAEU enhances integration, accepts Moldova as observer

Leaders of the Eurasian Economic Union (EAEU) member-states agreed to grant observer status to Moldova, Russian President said when opening a broad meeting of the Supreme Eurasian Economic Council. Putin extended a welcome to Moldovan President Igor Dodon who joined the meeting. "We expect that as an observer state, the Republic of Moldova will actively participate in our union’s activities," Putin said. Igor Dodon stressed that he considers the move to grant observer status to Moldova to be a historic event for the country... The meeting of the Supreme Eurasian Economic Council that took place in Sochi on Monday has become an important step towards boosting comprehensive collaboration and integration of Russia, Armenia, Belarus, Kazakhstan and Kyrgyzstan. Leads of the EAEU (Eurasian Economic Union) member-states discussed cooperation in energy, digital economy, medicine and ecology.

May 15 13:31

Talks on free trade zone between EAEU and Egypt to start in autumn of 2018

Negotiations on the creation of a free trade zone (FTA) between the Eurasian Economic Union (EAEU) and Egypt will begin in autumn of 2018, Russian Foreign Minister Sergey Lavrov said on Monday. Speaking after the talks between the heads of the Foreign Ministries and the Ministry of Defense of Russia and Egypt in the 2 + 2 format, he said: "This is a very important, qualitative step for deepening relations between Russia and Egypt, between other members of the EAEU and Egypt". The Eurasian Economic Union (EAEU) comprises Russia, Belarus, Kazakhstan, Kyrgyzstan and Armenia. The agreement on the establishment of the Russian industrial zone in Egypt will be signed within a week, according to Lavrov...

May 15 11:56

America Spends About Half of World’s Military Expenditures

The National Priorities Project headlines “U.S. Military Spending vs. the World” and reports: “World military spending totaled more than $1.6 trillion in 2015. The U.S. accounted for 37 percent of the total.” But it can’t be believed, because, even if other nations aren’t under-reporting their military expenditures, the U.S. certainly is — under-reporting it by about 50%. The reality is approximately twice the official figure, so that America’s current annual military expenditures are around $1.5 trillion, which is to say, almost equal to that entire global estimate of “more than $1.6 trillion in 2015.”

Webmaster's Commentary: 

So, if you were wondering where all your tax money goes ... now you know!

May 15 11:01

RUSSIAN BANK HELPS VENEZUELA DEFY US SANCTIONS ON CRYPTOCURRENCY

In March, Washington prohibited trade in the petro in the US with President Donald Trump calling the cryptocurrency a 'scam supporting a dictatorship.' The executive order signed by Trump banned “all transactions related to, provision of financing for, and other dealings in, by a United States person or within the United States, any digital currency, digital coin, or digital token,” issued by Venezuela's government.

Maduro vowed that, despite the sanctions, Venezuela would continue pushing forward the domestic blockchain technology and “make the petro one of the most solid and trustworthy cryptocurrencies in the world.”

He added that the digital currency will be traded for several global currencies, including the Russian ruble. The president also announced four “exclusive economic zones” in the country, in which it will be possible to use the petro “for the sale of goods and [payment] of services.”

Webmaster's Commentary: 

Russia's President Putin... is, at least, one hundred chess moves ahead of President Trump on this issue; and there is nothing President Trump can do, short of an invasion of Venezuela, which can change that.

May 15 11:01

How the Rich Get Richer!

May 15 10:52

Reasons Trump Breaks Nuclear-Sanction Agreement with Iran, Declares Trade War with China and Meets with North Korea

We will examine the reason why Trump has embraced three strategic decisions which have world-historic consequences, namely: Trump’s reneging the nuclear accord with Iran; Trump’s declaration of a trade war with China; and Trump’s meeting with North Korea.

In brief we will explore the political reasons for his decisions; what he expects to gain; and what is his game plan if he fails to secure his expected outcome and his adversaries take reprisals.

May 15 10:51

Switzerland - A Once-in-a-Lifetime Chance to Spreading Positive Banking News to the World

It’s called “Vollgeld Initiative” – in German, meaning more or less “Referendum for Sovereign Money”. What is “Sovereign Money”? – Its money produced only by the Central Bank, by the “Sovereign”, the government, represented by its central bank. Money created in accordance with the needs of the economy, as contrasted to the profit and greed motives of the banking oligarchy – wat it is today; money creation at will, by private banking.

May 15 10:40

'DUP ready to TOPPLE May over Brexit betrayal!' Fury at EU deal that would 'DESTROY trade'

The DUP would "happily bring down" Theresa May as Prime Minister if she continues to backtrack on Brexit, according to Brexit Central deputy editor David Scullion.

The Brexiteer told Julia Hartley-Brewer that the Prime Minister needs to be careful about "backsliding" on Brexit, amid growing frustration on the DUP and Tory benches.

Speaking on talkRadio, he warned Mrs May against pushing for the "trade-destroying" customs partnership, which "no-one really wants".

This comes ahead of a crucial Brexit sub-committee meeting led by the Prime Minister today, tasked to resolve the customs union dispute.

May 15 10:32

How university economic theories are failing us all

The economist John Maynard Keynes said “When the facts change, I change my mind. What do you do, sir?” But many students continue to be deceived by their professors who, even after the great financial crisis, refuse to change their mind and continue to actively peddle theories that are plain wrong.

May 15 10:32

Duma envoy comments on countersanctions bill

The Kremlin is likely to support the bill on criminal liability for compliance with western sanctions against Moscow, says the presidential envoy to the State Duma

May 15 10:31

Beijing: Anti-Moscow Sanctions Won’t Harm Chinese Investors’ Interest in Russia

Anti-Russian sanctions imposed by Washington will not affect Chinese investors’ interest in the Russian market, Beijing will continue to support bilateral cooperation in trade and investment, Liu Xuesong, the deputy director general of the Chinese Commerce Ministry’s Eurasia Affairs Department, said on Tuesday.

"Over the years, the United States has repeatedly imposed sanctions against other states unilaterally. The Chinese side is firmly against this. At present relations between Russia and China are developing very successfully, cooperation in trade and investment will not be affected by external factors… The interest of Chinese investors in Russia will not diminish," Liu told reporters.

The official added that Beijing would support Chinese companies' investments in the Russian market.

May 15 10:30

Staff are leaving Tesla in droves as confidence in increasingly erratic Elon Musk wavers amid falling share price and failure to deliver ‘game changing car’

Tesla has seen top executives depart the company in recent months as CEO Elon Musk has come under fire for erratic behavior at a crucial moment for the company.

Musk told employees Monday the electric carmaker is being reorganized to speed up production of Model 3 vehicles - a key to profitability at the fast-growing firm - as executives are reportedly leaving the company after losing confidence in the CEO.

'To ensure that Tesla is well prepared for the future, we have been undertaking a thorough reorganization of our company,' the memo obtained by AFP said.

'As part of the reorg, we are flattening the management structure to improve communication, combining functions where sensible and trimming activities that are not vital to the success of our mission.'

May 15 10:28

Ellen Brown on Why We Should Own the Banks

May 15 09:57

Sparks Fly Toward The Debt Powder Keg

The narrative that the economy continues to improve is a myth, if not intentional mendacious propaganda. The economy can’t possibly improve with the average household living from paycheck to paycheck while trying to service hopeless levels of debt. In fact, the economy will continue to deteriorate from the perspective of every household below the top 1% in terms of income and wealth.

Theoretically, the Trump tax cuts will add about $90 per month of extra after-tax income for the average household. However, the average price of gasoline has risen close to 40% over the last year (it cost me $45 to fill my tank last week vs about $32 a year ago) For most households, the tax cut “windfall” will be largely absorbed by the increasing cost to fill the gas tank, which is going to continue rising. The highly promoted economic boost from the tax cuts will, instead, end up as a transfer payment to oil companies.

May 15 09:41

US wants China trade deal as talks resume, says White House adviser Kudlow

The United States is not seeking a trade war with China and top US officials are looking to make a deal with Beijing, White House economic adviser Larry Kudlow said on Tuesday. The statement came as talks between the two nations were set to resume.

May 15 09:39

More than $100 million in (TAXPAYER) cash left Airport in carry-on luggage to terrorist groups

This fraud is suspected of costing Minnesota taxpayers as much as $100 million a year.

May 15 09:06

43 million Live in Poverty: Poor People’s Campaign Headed to Washington

Eddie Conway speaks to people on the ground who are leading the poor people’s march, which will culminate in Washington DC on June 23rd. The Poor People’s Campaign is a coalition of organizations led by Rev. Dr William Barber II and Reverend Dr Liz Theoharis, inspired by the historic march lead by MLK Jr. 50 years ago

May 15 08:28

Millennial Explanations on Rising Oil Prices

May 15 05:05

TSLA WILL BE THE 2018 LEHMAN BROTHERS?

May 14 19:40

Retailers suffer worst slump in visitors since the recession as one in ten High Street premises stands empty

Cold weather and a continued squeeze on Britons' finance has seen footfall at UK shops drop to levels not seen since the recession, new data show.

Footfall dropped by 3.3 per cent in April, following on from a 6 per cent decline in March, which resulted in an 'unprecedented' drop of 4.8 per cent over the two months, according to figures by the British Retail Consortium.

'Not since the depths of recession in 2009, has footfall over March and April declined to such a degree, and even then the drop was less severe at -3.8 per cent,' said Diane Wehrle, Springboard marketing and insights director.

May 14 14:55

We're vulnerable': Business expert warns budget fails to insulate Australia against another GFC

Australia isn't prepared for a global economic downturn and should be doing more to pay down debt, the chair of the peak body for company directors says.

May 14 14:31

Is This Why Trump Folded: China Holds Up U.S. Pork, Auto Imports

President Trump surprised pundits and assorted watchers of the ongoing simmering trade war between China and the US on Sunday, when he pledged to help China’s telecom giant ZTE Corp “get back into business, fast” after a U.S. ban crippled the technology company, offering a job-saving concession to Beijing ahead of high-stakes trade talks this week.

May 14 12:35

The IMF’s Reprehensible Campaign for Continued Poverty in Sub-Saharan Africa

The IMF’s agenda of bigger government and higher taxes is a recipe for continued poverty.

A couple of months ago, I thought I did something meaningful by sharing six separate examples of the International Monetary Fund pressuring sub-Saharan African nations to impose higher tax burdens. This was evidence, I suggested, that the IMF had a disturbing agenda of bigger government for the entire region.

I didn’t imply the bureaucrats were motivated by racism. After all, the IMF has pushed for higher taxes in the United States, in China, in Latin America, in the Middle East, and in Europe. (Folks who work at the IMF don’t pay taxes on their own salaries, but they clearly believe in equal opportunity when urging higher taxes for everyone else.)

Nonetheless, I thought it was scandalous that the IMF was systematically agitating for taxes in a region that desperately needs more investment and entrepreneurship. And my six examples were proof of a continent-wide agenda!

May 14 11:23

Bitcoin Still Blazing Trail for Stocks

May 14 09:49

Looks Like 2008 All Over Again

May 14 09:02

US Treasury Shorts Hit Record High As Foreign Banks Dump Bonds

A roller-coaster week for rates and the dollar did not stop large speculators adding to their already record-high short positions across the entire term structure.

May 14 09:02

Trump Backs Down On China Threat: Instructs Commerce Dept To Rescue ZTE

It appears the impact of "unintended consequences" has hit the Trump administration once again. Following the 'rescue' of Rusal - driven almost into the ground by Trump's aluminum tariffs and oligarch sanctions (which sent aluminum prices skyrocketing, crushing margins for end-users); it appears China's threats of retaliation against Trump's ban on giant Chinese telecoms company ZTE have sunk in.

As a reminder, in response to Trump's 7-year ban of component sales by US companies to China's ZTE (in retaliation for "tech IT theft and distribution"), a tide of angry populist rhetoric swept across China's social media and press, amid warnings from Chinese officials (and the company itself) that

"The Denial Order will not only severely impact the survival and development of ZTE, but will also cause damages to all partners of ZTE including a large number of U.S. companies."

Webmaster's Commentary: 

Apparently, yes!

May 14 08:40

How State Government fanned flames of volcano disaster

As lava engulfs the homes of many unfortunate Hawaii Island residents, it’s important to remember that the state originally encouraged the building of homes in this dangerous area by offering lava insurance where no private company would.

In the 1990s, the town of Kalapana was destroyed by lava, and soon afterward, private insurance companies, after suffering millions of dollars in losses, stopped insuring land in Lava Zones 1 and 2.

May 14 08:38

Third of US stock market may be wiped out as consumer spending ‘maxed out’

American stocks could see a significant decline in the coming months due to a number of trends that point to a downturn in the global economy, according to Saxo Bank Chief Economist Steen Jakobsen.

Citing several factors including growing credit loans and a widening fiscal deficit in the US, he expressed doubts over infrastructure spending plans and a potential global trade war.

“All the data we've seen over the last few weeks has basically been that the consumer is maxed out, we've seen that in credit card loans as well, so I think the consumer is done spending the money,” said Jakobsen.

Webmaster's Commentary: 

I've been telling you that for the last 6 months!

May 14 08:37

US govt lost more money last year than entire Australian economy produced

An annual financial report released by the US Treasury this month showed the government lost over a trillion dollars in 2017. That is more than Australia’s GDP.

“The Government’s “bottom line” net operating cost increased $105.0 billion (10.0 percent) during [fiscal year (FY)] 2017 to $1.2 trillion,” said the report.

The huge sum constitutes the size of the entire Australian economy; it amounts to a loss of more than $2.2 million per minute. Despite that, the report noted that during FY 2017, the US economy continued to grow and the unemployment rate declined.

May 14 08:37

America on its way to $30 trillion debt by 2028 as military expenditure soars

The mounting US debt is likely to grow by another $10 trillion in the next decade, according to estimates contained in the recent budget proposal.

According to the White House Office of Management and Budget, the national debt will hit $29.9 trillion by 2028. The deficit will be equal to 101 percent of America’s GDP, the Watchdog Committee for a Responsible Federal Budget forecasts. The country’s current debt stands at a record $20.6 trillion – its highest level since shortly after World War II.

If current laws stand, widening budget deficits will increase that debt sharply over the next 30 years, with the deficit reaching 150 percent of GDP in 2047, the Congressional Budget Office (CBO) predicted last year.

Under the new budget, President Donald Trump is requesting a record $686 billion for the Pentagon – a 13-percent increase compared to the 2017 budget.

May 14 08:35

Quality of Chinese-built cars better than European ones, Volvo executive admits

Swedish car maker Volvo says its vehicles built in China might actually be superior in quality to those it makes in Europe.

In an interview with Australia’s Go Auto, Volvo's senior vice-president of design, Robin Page, admitted that some were concerned about the automaker’s decision to build many of its vehicles in China.

“What we’re finding is that the quality of the cars is actually better in China than in Europe. Everyone was worried about quality, but as soon as they [the Chinese – Ed.] started the quality was even higher than in Europe,” Page said.

May 14 08:24

Petition to the president & congress to remove the privately owned federal reserve as our central bank

WE THE PEOPLE insist that:

1) Any authority previously given to the Federal Reserve be immediately terminated;

2) The President and Congress fully reestablish Congress' singular power to mint, regulate, print, or otherwise control the form, amount, and backing of all U. S. legal tender;

3) Our U.S. Government undertake all necessary means to assure the ongoing operation and stability of U.S. currency;

4) Presidential Executive Order #13818 be applied to any Federal Reserve-affiliated person or entity involved in corruption, trafficking, etc., and that all assets thereof be frozen; and

5) All assets held by the Federal Reserve, and any and all of its holders of value, be nationalized and applied to reducing the federal deficit.

For more, Please Visit: http://www.endthefedreserve.com/

May 14 08:20

EU ‘Nightmare Scenario’ As Popular Anti-Euro and Anti-EU Government Takes Power In Italy

Firebrand populists of Left and Right are poised to take power in Italy, forming the first “anti-system” government in a major West European state since the Second World War.

Leaders of the radical Five Star Movement and the anti-euro Lega party have been meeting to put the finishing touches on a coalition of outsiders, the “nightmare scenario” feared by foreign investors and EU officials in equal measure.

The unlikely allies vow a blizzard of contentious measures, threatening to cancel VAT rises, overturn key market reforms, introduce a universal “basic income” for the poor, and launch a fiscal blitz in open defiance of EU spending rules.

May 14 07:51

Walmart boss earns 1,200 times as much as the company’s median worker

In its latest filing, Walmart disclosed that company CEO Doug McMillon’s total compensation rose two percent in 2017 to $22.8 million. Meanwhile, the firm’s median employee earned $19,177 in the same period.

May 14 07:42

Trump doesn't know what he's talking about on trade: Gasparino

May 14 07:26

US may sanction EU companies who trade with Iran - Bolton

US National Security Advisor John Bolton has said the US could sanction European companies that continue to trade with Iran following the Trump administration’s decision to withdraw from the Iran deal.

Bolton made the remarks during an appearance on CNN's State of the Union Sunday. Asked if Trump would hit the EU with sanctions for continuing to deal with Iran, Bolton said: ”It's possible. It depends on the conduct of other governments.”

May 14 07:19

Will Trump Torch the Global Economy on the Bonfire of his Vanity?

At least it is confirmed for us. Donald Trump wants regime change in Iran. His cancellation of the JCPOA was a decision born his myopia. He has surrounded himself with people who reinforce his view and manipulate him via his vanity.

And the price of implementing his current plan will be a global debt crisis which no one will escape. The problem will be very few will see the links.

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