New York Times
The race for The White House appears to have taken a backseat for a news cycle as the Republican "veepstakes" gets underway. Donald Trump said this morning that he would prefer a running mate with government experience to "help with pushing legislation through," adding that he puts a 40% chance that a former rival in the Republican race would get the nod. As The Hill reports, picking a VP could be a difficult undertaking, as some potential candidates might be hesitant to hitch their political future to a polarizing figure like Trump, but there will be plenty willing to roll the dice and join his historic outsider campaign.
While markets remain relatively subdued ahead of tomorrow's nonfarm payrolls report, after several days of losses in US stocks which pushed the S&P500 to three week lows, overnight markets ignored the latest weak data out of China where the Caixin Services PMI was the latest indicator to disappoint (dropping from 52.2 to 51.8), and instead focused on crude, which rebounded from yesterday's post inventory-build lows and briefly printed above $45/bbl over uncertainty related to the impact of Canada wildfires on production and how long will last. The bounce in WTI has meant Brent briefly traded at parity with West Texas for the first time in 6 weeks.
The Truth May Be a Wee Bit Different ...
Our health care system is going to implode under its own weight. National Health Expenditures are approaching 20 percent of gross domestic product — a figure that is expected to about double over the next half century. Obamacare didn’t start the process, but it’s expediting the end. Obamacare did not reform health care system; it merely transformed it to subsidize favored constituents. To pay for all this price gouging, employers are being forced to offer benefits that many workers themselves cannot afford or absorb in lower take home pay.
Whether the establishment likes it or not, and it evidently does not, there is a revolution going on in America.
Despite his proclamation that he "saved the world from a Great Depression," the fact is that Obama will be the first President ever to not see a single year of 3% GDP growth - but only cynical fiction-peddlers would mention facts at a time like this. In yet more legacy-defending narrative, Obama told The NYTimes today that his biggest failure was being unable to sell his success in putting the American economy back on track to the American people (no matter the actual realities) careful to blame Republicans for slowing growth "by a percentage point or two." And then in a final affront to fact, Obama dismisses the conclusion of "The Big Short" proclaiming that he reined in Wall Street, overhauled the banking system, and made water from wine "the financial system substantially more stable."
Diamond has a good thing going with Quorum: they get access to ample credit, especially for those applicants with weaker credit profiles. From a Diamond investor's perspective, it would be a shame if anything changed. The post credit-crisis strategy of focusing on esoteric lending opportunities like VOI (as well as taxi medallions, hearing aids and fertility treatments) to generate revenues and membership has run into both a broader slowdown in the consumer credit cycle as well as more specific problems, like an increasingly worried regulator.
- Trump, Clinton press closer to general election showdown (AP)
- Acela primaries: Winners, losers (Hill)
- Trump Says He's `Presumptive Nominee' as Clinton Wins Four (BBG)
- In the battle for Hollywood endorsements - and cash - Clinton rules (Reuters)
- U.S. Oil Rises Above $45 a Barrel for First Time Since November (BBG)
- Spin: Near-Zero Growth Happens Often in Slow-Motion U.S. Economy (BBG)
There really are “two Americas” in 2016, and they are getting farther and farther apart with each passing year. On the one hand, you have lots of people smiling in New York City these days because of the stock market boom, and property values have soared to ridiculous levels in San Francisco because of the tech bubble. But in between the two coasts there are vast stretches of forgotten people that the U.S. economy has left behind.
As it turns out, Hillary Clinton and Donald Trump share something pertinent in common, after all - a tax haven cozily nested inside the United States.
- Obama sending more forces to Syria to consolidate gains against Islamic State (Reuters)
- Global stocks, dollar stumble ahead of Fed, BOJ meetings (Reuters)
- The Rise and Deadly Fall of Islamic State’s Oil Tycoon (WSJ)
- Oil Producers Lock In Once-Snubbed Prices (WSJ)
- Yellen's Scope for Summer Rate Hike Widens as ECB Signals a Hold (BBG)
- 11,000 jobs at risk as BHS teeters on brink (The Times)
It seems the end really is nigh for the U.S. dollar. And the mudfight for global dominance and currency war couldn’t be more ugly or dramatic.
U.S. officials have warned of “diplomatic and economic fallout from the [looming 9/11] legislation.” So what sort of economic fallout do they envision? Part of the concern is no doubt related to the impact on global financial markets from a Saudi fire sale, but there’s a potentially even bigger concern at play. Specifically, Saudi Arabia pays Washington insiders an exorbitant amount of money to put the monarchy’s interests ahead of what’s best for the American people.
There Are Economic – As Well As Military – False Flag Attacks