First Russia and China, then UAE, Egypt, and Turkey... and now it appears Germany (following a phone call with Putin) is pulling the rug out from under US hegemony - just as Obama's warmongery ramps up...
*MERKEL SAYS U.S. CAN'T SOLVE ALL THE WORLD'S PROBLEMS ANYMORE
Which is odd because just yesterday, President Obama (who never lies) stated "The United States is and will remain the one indispensable nation in the world..." adding that "no other nation can do what we do." Perhaps he is wrong?
When President Obama bragged earlier that "The United States is and will remain the one indispensable nation in the world..." adding that "no other nation can do what we do," we should have guessed some more war-mongering was coming... and sure enough. As AP reports, it appears Syrian airstrikes are on their way, but there's a mind-blowing twist in US foreign policy: "In an effort to avoid unintentionally strengthening the Syrian government, the White House could seek to balance strikes against the Islamic State with attacks on Assad regime targets." In the words of the Guinness commercial, Brilliant.
The National Security Agency is secretly providing data to nearly two dozen U.S. government agencies with a “Google-like” search engine built to share more than 850 billion records about phone calls, emails, cellphone locations, and internet chats, according to classified documents obtained by The Intercept.
He's back from vacation and the teleprompter is hot... cynics - bad, economy - awesome, deficit - cut, most powerful military in the world, we have best universities... energy independent... USA USA USA... "no other nation can do what we do." "The United States is and will remain the one indispensible nation in the world..."
President Obama would have proudly proclaimed Warren Buffett a true patriot in his bailing out of the banking system with expensive loans and his 'realization' that those earning more than $1 million should be tax-tax-taxed. However, the "Buffett Rule" appears to have one caveat... if you are making over a $1 billion, you're good to go with tax-avoidance strategies. In one of his career's most hypocritical moves Warren "tax-me-more" Buffett has decided that putting his money where his mouth is no longer makes sense.. and is funding $3billion of Burger King's "tax-inversion" takeover of Canada-based Tim Hortons. Somewhere on a golf course, a Presidential Putter is being snapped across a knee...
- Jackson Hole Theme: Labor Markets Can’t Take Higher Rates (BBG), or anything else for that matter
- Kidnappers free American missing in Syria since 2012 (Reuters)
- More unpatriots: Burger King in merger talks with Canada's Tim Hortons (Reuters)
- California Quake to Cost Insurers Up to $1 Billion, Eqecat Says (BBG)
- Congo declares Ebola outbreak in northern Equateur province (Reuters)
- Missouri Governor Defends Ferguson Prosecutor (BBG)
- Kuroda Douses Japan Stimulus Expectations (WSJ)
- London Jihadi Call Vies With Banks in Canary Wharf Shadow (BBG)
- Netanyahu Signals Expansion of Air Attacks in Gaza (WSJ)
- Libya's Islamist Militias Claim Control of Tripoli (WSJ)
With Russia pushing to end its government's dependency on Microsoft's Operating System, it is perhaps not surprising (especially following the various raids that have been undertaken) that another BRICS member, as Reuters reports, China could have a new homegrown operating system by October to take on imported rivals such as Microsoft, Google, and Apple, Xinhua news agency said on Sunday. A spokesperson stated, China hoped domestically built software would be able to replace desktop operating systems within one to two years and mobile operating systems within three to five years.
Last night it was SecDef Chuck Hagel who warned ISIS was a bigger threat to America than 9/11 and primed the narrative for the next round of defense-spending (and this deficit-boosting, QE-enabling money printing). Today it is Senate Armed Services Committee member Jim Inhofe who told Fox that "we're in the most dangerous position we've ever been in as a nation." While that seems a little bit of stretch (oh and hasn't the Senator seen stocks?) he adds - rather ominously, "they're crazy out there and they're rapidly developing a method of blowing up a major U.S. city and people just can't believe that's happening." But then again, when have we ever needed to 'believe' anything anyway (especially without YouTube clips to prove it).
In the four months since we last wrote about the upcoming midterm election, the outlook has changed only incrementally. As Goldman notes, although there were a few surprising retirements and primary election results over the last few months, none of these seem to have significantly affected the overall prospects for control of the House or Senate. However, as the election draws near, the potential effects of a Republican Senate majority seem likely to become more of a focus for market participants.
Presented with no comment...
As President Obama tees off in Martha's Vineyard, The State Department has decided that its diplomats should not be allowed to have fun (for a good cause). As AP reports, US Diplomats have been barred from undertaking the #IceBucketChallenge ... there goes CNBC's ratings...
If there was one thing the Obama administration did not need as it is careening from one international crisis to another, was compounding comparisons to the Carter administration and its botched attempt to rescue US hostages in 1980 Iran also known as Operation Eagle Claw. Well, as of moments ago, that comparison is now in play following what the Pentagon just revealed was a botched attempt to recue a number of American hostages held by ISIS, "early this summer." The reason why the mission failed: "tho hostages were not there." Why? "We don’t know. And that’s the truth. When we got there, they weren’t there. We don’t know why that is." At least we tried to rescue some folks.
While it is not clear what President Obama will discuss this morning in his daily dictation; we suspect, on the heels of yesterday's gruesome American journalist beheading video from ISIS, that he will explain why 'humanitarian' airstrikes in Iraq will continue until morale improves. Perhaps he will re-dip his toe back into the ongoing Ferguson riots - noting his right hand man Holder is on the case? Or finally, perhaps he will opine on the surge in US stocks recently as proof America is beating Putin back? As a reminder, the President is back in Martha's Vineyard...