http://www.zerohedge.com/fullrss2.xml/news en "No Violence": Boston Mayor Promises Barricades, 500 Cops At "Free Speech" Rally http://www.zerohedge.com/news/2017-08-18/boston-mayor-promises-barricades-500-cops-todays-free-speech-rally <p>Boston Police are bracing for violence to break out at Saturday&rsquo;s &ldquo;free speech&rdquo; rally and have taken precautionary measures to prevent it from devolving into a clash between extremists and demonstrators on both sides of the ideological spectrum. To enhance public safety, police have put up road blockades and gone so far as to ban food vendors from the historic Boston Common, where the demonstration is expected to take place, as they hope to prevent a repeat of the Charlottesville attack last weekend according to <a href="http://www.reuters.com/article/us-usa-trump-idUSKCN1AX1HF">Reuters.</a></p> <p><iframe allowfullscreen="" frameborder="0" height="281" mozallowfullscreen="" scrolling="no" src="http://w3.cdn.anvato.net/player/prod/v3/anvload.html?key=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%3D%3D" webkitallowfullscreen="" width="500"></iframe></p> <p>&ldquo;Some 500 police officers will be on the streets around the popular tourist destination. They are planning to close some roadways to vehicles, mindful of the car attacks that killed a woman in Charlottesville and 13 in an attack in Barcelona on Thursday.</p> <blockquote><div class="quote_start"><div></div></div><div class="quote_end"><div></div></div><p>&quot;We all know the tragedy that happened in Barcelona. That only makes us more vigilant,&quot; said Boston Police Commissioner William Evans, who was the department&#39;s second-in-command during the 2013 Boston Marathon bombing.&rdquo;</p> </blockquote> <p>Boston Mayor Marty Walsh said the city would ban demonstrators from carrying anything that could be used as a weapon, adding that violence would not be tolerated.</p> <blockquote><div class="quote_start"><div></div></div><div class="quote_end"><div></div></div><p><strong>&quot;We are going to respect their right to free speech. In return, they have to respect the safety of our city,&quot;</strong> Walsh said. &quot;If anything gets out of hand, we are going to shut it down.&quot;</p> </blockquote> <p>The flash point will likely arrive when a &ldquo;Fight White Supremacy&rdquo; march set to begin in the historically black Roxbury neighborhood collides with the demonstrators on the Commons Saturday afternoon.</p> <blockquote><div class="quote_start"><div></div></div><div class="quote_end"><div></div></div><p><strong>&ldquo;Our job is to make sure that as the peace rally enters into Boston Common that the folks that come in there feel safe, that we don&#39;t have an incident that happened like last week in Virginia,&rdquo; </strong>Walsh said.</p> </blockquote> <p>Organizers of the free speech event have denounced the type of violence that took place at the rally in Charlottesville.&nbsp; Speakers at Saturday&rsquo;s event include Kyle Chapman, a California activist who was arrested at a Berkeley rally earlier this year, and Joe Biggs, formerly of Infowars. Mayor Walsh is warning anyone who doesn&rsquo;t plan on taking part in the demonstration on the Common to avoid the area, according to<a href="http://boston.cbslocal.com/2017/08/18/boston-free-speech-rally-security-preparations/"> CBS Boston. </a></p> <blockquote><div class="quote_start"><div></div></div><div class="quote_end"><div></div></div><p>&ldquo;They say that interacting with these groups just gives them a platform to spread their message of hate,&rdquo; said Walsh. &ldquo;They recommend that people should not confront these rallies. So we&rsquo;re urging everyone to stay away from the Common.&rdquo;</p> </blockquote> <p>Somehow, we doubt the &quot;everyone&quot; will heed the mayor&#39;s advice.</p> <div class="field field-type-filefield field-field-image-teaser"> <div class="field-items"> <div class="field-item odd"> <img class="imagefield imagefield-field_image_teaser" width="909" height="609" alt="" src="http://www.zerohedge.com/sites/default/files/images/user245717/imageroot/2017.08.19martywalsh.JPG?1503085780" /> </div> </div> </div> http://www.zerohedge.com/news/2017-08-18/boston-mayor-promises-barricades-500-cops-todays-free-speech-rally#comments Activism Antifa Boston Police Community organizing Demonstration flash Reuters Sat, 19 Aug 2017 11:53:09 +0000 Tyler Durden 601940 at http://www.zerohedge.com Bannon Speaks: "I'm Going To War For Trump" http://www.zerohedge.com/news/2017-08-18/bannon-speaks-im-going-war-trump <p><em><strong>Update: </strong></em>that was quick. As Breitbart&#39;s Charlie Spiering reports, Bannon jas returned to Breitbart News as Executive Chairman of Breitbart News &quot;and chaired our evening editorial meeting&quot;</p> <blockquote class="twitter-tweet" data-lang="en"><p dir="ltr" lang="en">????Siren???? Steve Bannon returned to Breitbart News as Executive Chairman of Breitbart News and chaired our evening editorial meeting</p> <p>&mdash; Charlie Spiering (@charliespiering) <a href="https://twitter.com/charliespiering/status/898666290956709888">August 18, 2017</a></p></blockquote> <script async src="//platform.twitter.com/widgets.js" charset="utf-8"></script><p>As The Hill adds, Bannon reclaimed the title of Breitbart&#39;s executive chairman and directed the outlet&rsquo;s Friday editorial meeting, the website said in a statement on Friday.</p> <p><strong>&ldquo;The populist-nationalist movement got a lot stronger today,&rdquo; </strong>said Breitbart News Editor-in-Chief Alex Marlow. &ldquo;Breitbart gained an executive chairman with his finger on the pulse of the Trump agenda.</p> <p>As chairman, Bannon oversaw massive growth of the populist website before leaving to be chairman of Trump&rsquo;s campaign. Bannon never settled into his role as chief strategist in the White House, where he feuded bitterly with ideological rivals like Trump&rsquo;s son-in-law Jared Kushner, economic adviser Gary Cohn and national security adviser H.R. McMaster.</p> <p>Breitbart eagerly accepted Bannon back into the fold. &ldquo;Breitbart&rsquo;s pace of global expansion will only accelerate with Steve back,&rdquo; said Breitbart president Larry Solov. &ldquo;The sky&rsquo;s the limit.&rdquo;</p> <p>* * *</p> <p>While <a href="http://www.zerohedge.com/news/2017-08-18/theyre-going-thermonuclear-breitbart-declares-war-white-house">Breitbart has warned of war &#39;against&#39; Trump</a> - <em>should he break from the policies upon which he was elected</em> - former White House Chief Strategist Steve Bannon has spoken for the first time since being fired today.</p> <p>In an interview with Bloomberg, Bannon said he was &quot;going to war&quot; for Trump...</p> <blockquote><div class="quote_start"><div></div></div><div class="quote_end"><div></div></div><p>&ldquo;<strong>If there&rsquo;s any confusion out there, let me clear it up.</strong></p> <p>&nbsp;</p> <p><strong>I&rsquo;m leaving the White House and going to war for Trump against his opponents... on Capitol Hill, in the media, and in corporate America,</strong>&rdquo;</p> </blockquote> <p>So, war it is!</p> <p><a href="http://www.zerohedge.com/sites/default/files/images/user3303/imageroot/2017/08/17/20170818_warbnan1.jpg"><img height="297" src="http://www.zerohedge.com/sites/default/files/images/user3303/imageroot/2017/08/17/20170818_warbnan1_0.jpg" width="600" /></a></p> <p>Presumably, being outside The White House allows him more freedom to pursue his tactics. The question is - <em>given the narrative being spun is he resigned by mutual agreement </em>- does Bannon stil have Trump&#39;s ear? And if so, will Cohn, Kelly, and Kushner stand for it? <a href="http://www.zerohedge.com/news/2017-08-16/bannon-breaks-silence-slams-far-right-clowns-goldman-lobbyists-vows-economic-war-chi">We already know his agenda is anything but in line with theirs.</a></p> <p>Notably The White House formally launched a probe of China&#39;s intellectual property practices tonight -<strong> invoking Section 301 just as Bannon had said.</strong></p> <p>With regard his <strong><u>internal adversaries</u></strong>, at the departments of State and Defense, who think the United States can enlist Beijing&rsquo;s aid on the North Korean standoff, and at Treasury and the National Economic Council who don&rsquo;t want to mess with the trading system, Bannon was ever harsher...</p> <blockquote><div class="quote_start"><div></div></div><div class="quote_end"><div></div></div><p><strong>&ldquo;Oh, they&rsquo;re wetting themselves,&rdquo;</strong> he said, explaining that the Section 301 complaint, which was put on hold when the war of threats with North Korea broke out, was shelved only temporarily, and will be revived in three weeks. As for other cabinet departments, Bannon has big plans to marginalize their influence.</p> <p>&nbsp;</p> <p><strong>&ldquo;That&rsquo;s a fight I fight every day here,&rdquo; he said. &ldquo;We&rsquo;re still fighting. There&rsquo;s Treasury and [National Economic Council chair] Gary Cohn and Goldman Sachs lobbying.&rdquo;</strong></p> <p>&nbsp;</p> <p>&ldquo;We gotta do this. The president&rsquo;s default position is to do it, but <strong>the apparatus is going crazy.</strong> Don&rsquo;t get me wrong. It&rsquo;s like, every day.&rdquo;</p> </blockquote> <p><u><strong>Bannon dismissed the far-right as irrelevant:</strong></u></p> <blockquote><div class="quote_start"><div></div></div><div class="quote_end"><div></div></div><p>&ldquo;Ethno-nationalism&mdash;it&#39;s losers. It&#39;s a fringe element. I think the media plays it up too much, and we gotta help crush it, you know, uh, help crush it more.&rdquo;</p> <p>&nbsp;</p> <p><strong>&ldquo;These guys are a collection of clowns,&rdquo;</strong> he added.</p> </blockquote> <p>And finally, Bannon scoffed at The <u><strong>Democrats</strong></u>...</p> <blockquote><div class="quote_start"><div></div></div><div class="quote_end"><div></div></div><p>&ldquo;...<strong>the longer they talk about identity politics, I got &rsquo;em.</strong> I want them to talk about racism every day. If the left is focused on race and identity, and we go with economic nationalism, <strong>we can crush the Democrats.</strong>&rdquo;</p> </blockquote> <p>*&nbsp; *&nbsp; *</p> <p>Kurt Bardella, a Republican communications specialist who worked for Bannon at Breitbart but later denounced him, predicts the strategist would &quot;feel liberated&quot; by his departure.</p> <blockquote><div class="quote_start"><div></div></div><div class="quote_end"><div></div></div><p><em><strong>&quot;Now, he will be able to operate openly and freely to inflict as much damage as he possibly can on the &lsquo;globalists&rsquo; that remain in the Trump Administration.&quot;</strong></em></p> </blockquote> <div class="field field-type-filefield field-field-image-teaser"> <div class="field-items"> <div class="field-item odd"> <img class="imagefield imagefield-field_image_teaser" width="234" height="125" alt="" src="http://www.zerohedge.com/sites/default/files/images/user3303/imageroot/20170818_warbnan.jpg?1503091473" /> </div> </div> </div> http://www.zerohedge.com/news/2017-08-18/bannon-speaks-im-going-war-trump#comments Alt-right Bannon Breitbart Breitbart News Business China Conservatism in the United States Corporate America default Donald Trump Donald Trump presidential campaign First 100 days of Donald Trump's presidency goldman sachs Goldman Sachs Jared Kushner National Economic Council national security Nationalism North Korea Politics Politics of the United States Presidency of Donald Trump Steve Bannon Tea Party movement Trump Administration United States War White House White House White House Chief Strategist Sat, 19 Aug 2017 03:55:09 +0000 Tyler Durden 601948 at http://www.zerohedge.com "They're Going Thermonuclear": Breitbart Declares "War" On The White House http://www.zerohedge.com/news/2017-08-18/theyre-going-thermonuclear-breitbart-declares-war-white-house <p>The love affair between Breitbart, whose former head Steve Bannon was just fired by Donald Trump, just turned to hate, as confirmed by Joel Pollak, a Breitbart Editor, who moments ago tweeted one word:</p> <blockquote class="twitter-tweet"><p dir="ltr" lang="und"><a href="https://twitter.com/hashtag/WAR?src=hash">#WAR</a></p> <p>— Joel B. Pollak (@joelpollak) <a href="https://twitter.com/joelpollak/status/898595085247324161">August 18, 2017</a></p></blockquote> <script src="//platform.twitter.com/widgets.js"></script><p>As Axios' Jonathan Swan explains, "<strong>Joel is a Breitbart editor. They're going thermonuclear, I'm told. </strong>"</p> <blockquote class="twitter-tweet"><p dir="ltr" lang="en">Joel is a Breitbart editor. They're going thermonuclear, I'm told. Story tk on Axios. <a href="https://t.co/92z4nrZnbT">https://t.co/92z4nrZnbT</a></p> <p>— Jonathan Swan (@jonathanvswan) <a href="https://twitter.com/jonathanvswan/status/898598100901576704">August 18, 2017</a></p></blockquote> <script src="//platform.twitter.com/widgets.js"></script><p>Separately, as iBankCoin reports, investigative journalist and former Breitbart employee, Lee Stranahan, offered a quick quip on today’s news that Bannon has resigned from the White House, suggesting that Steve would ‘unleash the beast’ through his online publication and call out those working against the Trump agenda in the White House.</p> <blockquote class="twitter-tweet"><p dir="ltr" lang="en">Dear <a href="https://twitter.com/POTUS">@POTUS</a> : </p> <p>You have not yet figured out who your real enemies in the White House are. Best of luck without Bannon. <a href="https://twitter.com/hashtag/FireMcMaster?src=hash">#FireMcMaster</a></p> <p>— Lee Stranahan (@stranahan) <a href="https://twitter.com/stranahan/status/898595717542928384">August 18, 2017</a></p></blockquote> <script src="//platform.twitter.com/widgets.js"></script><p>Stranahan has been a long time loyalist to Bannon and ardent opponent to several people inside Trump’s White House, namely McMaster, Powell and Cohn. The theory he’s putting forth is that Bannon will have more power outside the White House than inside. While that might be true for Steve, I fail to see how fomenting more internal strife inside the Trump White House will be constructive at this point.</p> <p>Nevertheless, it’s about to get real interesting soon. Watch</p> <p> <iframe src="https://www.youtube.com/embed/ifFTtOnzTOI?rel=0" width="500" height="281" frameborder="0"></iframe></p> <p>&nbsp;</p> <p>As for what Steve Bannon's next steps would be, <a href="https://www.axios.com/bannons-next-move-2474479917.html?utm_source=twitter&amp;utm_medium=social&amp;utm_campaign=organic&amp;utm_content=textshort&amp;utm_term=politics">Axios reports </a>that it "will be all about the billionaire Mercer family."</p> <blockquote><div class="quote_start"> <div></div> </div> <div class="quote_end"> <div></div> </div> <p> I'm told Bannon, who visited New York this week, met with Bob Mercer and together they will be a well-funded force on the outside.</p> <ul> <li><strong>Bannon has felt liberated since it became clear he was being pushed out</strong>, according to friends. He's told associates he has a "killing machine" in Breitbart News, and it's possible he returns to lead their editorial operation.</li> <li><strong>A source familiar with Breitbart's operations told me they would go "thermonuclear" </strong>against "globalists" that Bannon and his friends believe are ruining the Trump administration, and by extension, America.</li> <li><strong>Watch for Breitbart's Washington Editor Matt Boyle to be a central figure in this war </strong>— which has already begun — against White House officials like HR McMaster, Dina Powell, Gary Cohn, and Jared and Ivanka.</li> </ul> </blockquote> <p>Then again, Trump may be spared. As Politico's Robert Costa tweets, "<strong>One theme I'm picking up: Bannon believes next battle is *not* w/ Trump but w/ Kushner/Cohn/Dina/HR McMaster. "Save Trump," as one R put it.</strong>"</p> <blockquote class="twitter-tweet"><p dir="ltr" lang="en">One theme I'm picking up: Bannon believes next battle is *not* w/ Trump but w/ Kushner/Cohn/Dina/HR McMaster. "Save Trump," as one R put it.</p> <p>— Robert Costa (@costareports) <a href="https://twitter.com/costareports/status/898598473016016896">August 18, 2017</a></p></blockquote> <script src="//platform.twitter.com/widgets.js"></script> <div class="field field-type-filefield field-field-image-teaser"> <div class="field-items"> <div class="field-item odd"> <img class="imagefield imagefield-field_image_teaser" width="524" height="262" alt="" src="http://www.zerohedge.com/sites/default/files/images/user5/imageroot/bannon%20war%20teaser.jpg?1503078602" /> </div> </div> </div> http://www.zerohedge.com/news/2017-08-18/theyre-going-thermonuclear-breitbart-declares-war-white-house#comments Alt-right B+ Bannon Breitbart News Dina Powell Donald Trump Donald Trump Fail Joel Pollak Lee Stranahan Politics Politics of the United States Presidency of Donald Trump Steve Bannon Stranahan Trump Administration United States White House White House Sat, 19 Aug 2017 03:49:14 +0000 Tyler Durden 601933 at http://www.zerohedge.com Pat Buchanan Asks "In This Second American Civil War - Whose Side Are You On?" http://www.zerohedge.com/news/2017-08-18/pat-buchanan-asks-second-american-civil-war-whose-side-are-you <p><a href="https://townhall.com/columnists/patbuchanan/2017/08/18/americas-second-civil-war-n2370179"><em>Authored by Patrick Buchanan via Townhall.com,</em></a></p> <blockquote><div class="quote_start"><div></div></div><div class="quote_end"><div></div></div><p><em><strong>&quot;They had found a leader, Robert E. Lee -- and what a leader! ... No military leader since Napoleon has aroused such enthusiastic devotion among troops as did Lee when he reviewed them on his horse Traveller.&quot;</strong></em></p> </blockquote> <p>So wrote Samuel Eliot Morison in his magisterial &quot;The Oxford History of the American People&quot; in 1965.</p> <p><strong>First in his class at West Point, hero of the Mexican War, Lee was the man to whom President Lincoln turned to lead his army. But when Virginia seceded, Lee would not lift up his sword against his own people, and chose to defend his home state rather than wage war upon her.</strong></p> <p>This veneration of Lee, wrote Richard Weaver, &quot;appears in the saying attributed to a Confederate soldier, &#39;The rest of us may have ... descended from monkeys, but it took a God to make Marse Robert.&#39;&quot;</p> <p>Growing up after World War II, this was accepted history.</p> <p><strong>Yet, on the militant left today, the name Lee evokes raw hatred and howls of &quot;racist and traitor.&quot; </strong>A clamor has arisen to have all statues of him and all Confederate soldiers and statesmen pulled down from their pedestals and put in museums or tossed onto trash piles.</p> <p><u><strong>What has changed since 1965?</strong></u></p> <p>It is not history. There have been no great new discoveries about Lee.</p> <p>What has changed is America herself. She is not the same country. We have passed through a great social, cultural and moral revolution that has left us irretrievably divided on separate shores.</p> <p><u><strong>And the politicians are in panic.</strong></u></p> <blockquote><div class="quote_start"><div></div></div><div class="quote_end"><div></div></div><p><strong>Two years ago, Virginia Gov. Terry McAuliffe</strong> called the giant statues of Lee and &quot;Stonewall&quot; Jackson on Richmond&#39;s Monument Avenue<strong> &quot;parts of our heritage.&quot; </strong></p> <p>&nbsp;</p> <p><strong>After Charlottesville, </strong>New York-born-and-bred McAuliffe, entertaining higher ambitions, went full scalawag, <strong>demanding the statues be pulled down as &quot;flashpoints for hatred, division, and violence.&quot;</strong></p> </blockquote> <p><strong>Who hates the statues, Terry? </strong>Who&#39;s going to cause the violence?</p> <p>Answer: The Democratic left whom Terry must now appease.</p> <p>McAuliffe is echoed by Lt. Gov. Ralph Northam, the Democratic candidate in November to succeed McAuliffe. GOP nominee Ed Gillespie wants Monument Avenue left alone.</p> <p><strong>The election is the place to decide this, but the left will not wait.</strong></p> <p>In Durham, North Carolina, our Taliban smashed the statue of a Confederate soldier. Near the entrance of Duke University Chapel, a statue of Lee has been defaced, the nose broken off.</p> <p>Wednesday at dawn, Baltimore carried out a cultural cleansing by taking down statues of Lee and Maryland Chief Justice Roger Taney who wrote the Dred Scott decision and opposed Lincoln&#39;s suspension of the right of habeas corpus.</p> <p><u><strong>Like ISIS, which smashed the storied ruins of Palmyra, and the al-Qaida rebels who ravaged the fabled Saharan city of Timbuktu, the new barbarism has come to America.</strong></u> This is going to become a blazing issue, not only between but within the parties.</p> <p>For<strong> there are 10 Confederates in Statuary Hall in the Capitol,</strong> among them Lee, Georgia&#39;s Alexander Stephens, vice president to Jefferson Davis, and Davis himself. The Black Caucus wants them gone.</p> <p>Mount Rushmore-sized carvings of Lee, Jackson and Davis are on <strong>Stone Mountain</strong>, Georgia. Are they to be blasted off?</p> <p>There are <strong>countless universities, colleges and high schools </strong>like Washington &amp; Lee named for Confederate statesmen and soldiers. Across the Potomac from D.C. are Jefferson Davis Highway and Leesburg Pike to Leesburg itself, 25 miles north. Are all highways, streets, towns and counties named for Confederates to be renamed? What about Fort Bragg?</p> <p><strong>On every Civil War battlefield, there are monuments to the Southern fallen. </strong>Gettysburg has hundreds of memorials, statues and markers. But if, as the left insists we accept, the Confederates were traitors trying to tear America apart to preserve an evil system, upon what ground do Democrats stand to resist the radical left&#39;s demands?</p> <p>What do we do with those battlefields where Confederates were victorious: Bull Run, Fredericksburg, Chancellorsville?</p> <p><u><em><strong>&quot;Where does this all end?&quot; President Trump asked.</strong></em></u></p> <p><u><em><strong>It doesn&#39;t.</strong></em></u></p> <p><strong>Not until America&#39;s histories and biographies are burned and new texts written to Nazify Lee, Jackson, Davis and all the rest, will a newly indoctrinated generation of Americans accede to this demand to tear down and destroy what their fathers cherished.</strong></p> <p>And once all the Confederates are gone, one must begin with the <strong>explorers</strong>, and then the slave owners like Presidents Washington, Jefferson and Madison, who seceded from slave-free Britain. White supremacists all.</p> <p>Andrew Jackson, Henry Clay of Kentucky and John Calhoun must swiftly follow.</p> <p>Then there are all those <strong>segregationists</strong>. From 1865 to 1965, virtually all of the great Southern senators were white supremacists.</p> <p>In the first half of the 20th century, Woodrow Wilson and FDR carried all 11 states of a rigidly segregationist South all six times they ran, and FDR rewarded Dixie by putting a Klansman on the Supreme Court.</p> <p><em><strong>While easy for Republicans to wash their hands of such odious elements as Nazis in Charlottesville, will they take up the defense of the monuments and statues that have defined our history, or capitulate to the icon-smashers?</strong></em></p> <p><u><strong>In this Second American Civil War, whose side are you on?</strong></u></p> <div class="field field-type-filefield field-field-image-teaser"> <div class="field-items"> <div class="field-item odd"> <img class="imagefield imagefield-field_image_teaser" width="203" height="135" alt="" src="http://www.zerohedge.com/sites/default/files/images/user3303/imageroot/20170818_civil.jpg?1503089933" /> </div> </div> </div> http://www.zerohedge.com/news/2017-08-18/pat-buchanan-asks-second-american-civil-war-whose-side-are-you#comments al-Qaeda American Civil War Confederate States of America Duke University Military personnel Napoleon Politics Randolph family of Virginia Republican Party Stateless people Supreme Court Taliban Terry McAuliffe United States War Sat, 19 Aug 2017 02:00:00 +0000 Tyler Durden 601944 at http://www.zerohedge.com Only In Cali: New Bill Would Imprison Healthcare Workers For Using Incorrect Pronouns With Patients http://www.zerohedge.com/news/2017-08-18/only-cali-new-bill-would-imprison-healthcare-workers-using-incorrect-pronouns-patien <p>California has a well-earned its reputation for introducing wacky legislation. Jerry Brown's bill specifically written to regulate cow farts is a personal favorite of ours.&nbsp; For those who missed it the first time around, here is a brief recap of our post entitled "<a href="http://www.zerohedge.com/news/2016-09-19/only-california-governor-jerry-brown-signs-bill-regulate-cow-flatulence">Only In California - Governor Jerry Brown Signs Bill To Regulate Cow Flatulence</a>":</p> <blockquote><div class="quote_start"> <div></div> </div> <div class="quote_end"> <div></div> </div> <p>In yet another attack on California businesses, yesterday Governor Jerry Brown signed into law a bill (<a href="http://leginfo.legislature.ca.gov/faces/billNavClient.xhtml?bill_id=201520160SB1383">SB 1383</a>) that <strong>requires the state to cut methane emissions from dairy cows and other animals by 40% by 2030</strong>.</p> <p>&nbsp;</p> <p>According to a <a href="http://westernuniteddairymen.com/air-resources-board-to-rein-in-cow-flatulence/">statement </a>from Western United Dairymen CEO, Anja Raudabaugh, California's Air Resources Board wants to regulate animal methane emissions even though it admits there is no known method for achieving the the type of reduction sought by SB 1383.</p> <p>&nbsp;</p> <p>"The California Air Resources Board wants to regulate cow emissions, even though its <a href="https://www.arb.ca.gov/cc/shortlived/shortlived.htm">Short-Lived Climate Pollutant</a> (SLCP) reduction strategy acknowledges <strong>that there’s no known way to achieve this reduction.</strong>"</p> <p>&nbsp;</p> <p>Among other things, compliance with the bill will likely require California dairies to install "methane digesters" that convert the organic matter in manure into methane that can then be converted to energy for on-farm or off-farm consumption.&nbsp; The problem, of course, is that methane digesters are expensive and with <strong>California producing 20% of the country's milk</strong> we suspect that means that <strong>California has just passed another massive "food tax" on the country</strong>.</p> </blockquote> <p>But a new bill penned by Senator Scott Wiener of San Francisco, dubbed the <a href="http://leginfo.legislature.ca.gov/faces/billNavClient.xhtml?bill_id=201720180SB219">Lesbian, Gay, Bisexual, and Transgender Long-Term Care Facility Resident’s Bill of Rights</a> (or SB-219 if you're into the whole brevity thing), takes wacky California legislation to a whole new level.&nbsp; <strong>Among other things, the bill makes it illegal for employees of any "long-term care facility" to "willfully and repeatedly fail to use a resident’s preferred name or pronouns after being clearly informed of the preferred name or pronouns."</strong></p> <blockquote><div class="quote_start"> <div></div> </div> <div class="quote_end"> <div></div> </div> <p>This bill would enact the<strong> Lesbian, Gay, Bisexual, and Transgender Long-Term Care Facility Resident’s Bill of Rights.</strong> Among other things, the bill would make it unlawful, except as specified, for any long-term care facility to take specified actions wholly or partially on the basis of a person’s actual or perceived sexual orientation, gender identity, gender expression, or human immunodeficiency virus (HIV) status, including, among others, <strong>willfully and repeatedly failing to use a resident’s preferred name or pronouns after being clearly informed of the preferred name or pronouns,</strong> or denying admission to a long-term care facility, transferring or refusing to transfer a resident within a facility or to another facility, or discharging or evicting a resident from a facility.</p> </blockquote> <p><img src="http://www.zerohedge.com/sites/default/files/images/user230519/imageroot/2017/08/18/2017.08.18%20-%20Wiener_0.JPG" alt="Wiener" width="600" height="326" /></p> <p>&nbsp;</p> <p>Meanwhile, here are couple of other actions that will now be considered a crime for healthcare workers in California:</p> <blockquote><div class="quote_start"> <div></div> </div> <div class="quote_end"> <div></div> </div> <p>(2) <strong>Deny a request by residents to share a room.</strong></p> <p>&nbsp;</p> <p>(3) Where rooms are assigned by gender, assigning, reassigning, or refusing to assign a room to a transgender resident other than in accordance with the transgender resident’s gender identity, unless at the transgender resident’s request.</p> <p>&nbsp;</p> <p>(4) <strong>Prohibit a resident from using, or harass a resident who seeks to use or does use, a restroom available to other persons of the same gender identity, </strong>regardless of whether the resident is making a gender transition or appears to be gender-nonconforming. Harassment includes, but is not limited to, requiring a resident to show identity documents in order to gain entrance to a restroom available to other persons of the same gender identity.</p> <p>&nbsp;</p> <p>(5) Willfully and repeatedly fail to use a resident’s preferred name or pronouns after being clearly informed of the preferred name or pronouns.</p> <p>&nbsp;</p> <p>(6) Deny a resident the right to wear or be dressed in clothing, accessories, or cosmetics that are permitted for any other resident.</p> <p>&nbsp;</p> <p>(7) <strong>Restrict a resident’s right to associate with other residents or with visitors, including the right to consensual sexual relations,</strong> unless the restriction is uniformly applied to all residents in a nondiscriminatory manner. This section does not preclude a facility from banning or restricting sexual relations, as long as the ban or restriction is applied uniformly and in a nondiscriminatory manner.</p> </blockquote> <p>So what is the punishment for failing to observe someone's preferred pronouns?&nbsp; <strong>Oh, just a year in prison and a $1,000 fine</strong>, according to <a href="http://www1.cbn.com/cbnnews/us/2017/july/california-proposes-jail-time-for-using-the-wrong-pronoun-for-senior-transgenders">CBN</a>...</p> <p>Just to clarify, 'choosing' your own gender and imprisoning people for failing to observe that 'choice' is wholly consistent with 'science' but Republicans are 'science deniers' for having the audacity to even question inconsistencies in climate change data....got it.</p> <p>&nbsp;</p> <p><em><strong>Here is the full text of <a href="http://leginfo.legislature.ca.gov/faces/billNavClient.xhtml?bill_id=201720180SB219">SB-219</a>:</strong></em></p> <p><iframe src="https://www.scribd.com/embeds/356637108/content?start_page=1&amp;view_mode=scroll&amp;access_key=key-Q0WYQjRFxIz0bHPM9hbX&amp;show_recommendations=true" width="100%" height="600" frameborder="0" scrolling="no"></iframe></p> <div class="field field-type-filefield field-field-image-teaser"> <div class="field-items"> <div class="field-item odd"> <img class="imagefield imagefield-field_image_teaser" width="718" height="366" alt="" src="http://www.zerohedge.com/sites/default/files/images/user230519/imageroot/Gender%20Fluid.JPG?1503078556" /> </div> </div> </div> http://www.zerohedge.com/news/2017-08-18/only-cali-new-bill-would-imprison-healthcare-workers-using-incorrect-pronouns-patien#comments Air Resources Board California's Air Resources Board Fail Gender Gender identity Gender studies Gender variance Genderqueer Identity Legal recognition of non-binary gender Social Issues Third-person pronoun Transgender Transitioning Sat, 19 Aug 2017 01:35:00 +0000 Tyler Durden 601936 at http://www.zerohedge.com Dilbert's Scott Adams Explains "How To Know You're In A Mass Hysteria Bubble" http://www.zerohedge.com/news/2017-08-18/dilberts-scott-adams-explains-how-know-youre-mass-hysteria-bubble <p><a href="http://blog.dilbert.com/post/164297628606/how-to-know-youre-in-a-mass-hysteria-bubble"><em>Authored by Scott Adams via Dilbert blog,</em></a></p> <p><strong>History is full of examples of <a href="http://t.umblr.com/redirect?z=https%3A%2F%2Fwww.google.com%2Fsearch%3Fq%3Dmass%2Bhysteria%26rlz%3D1C5CHFA_enUS724US724%26oq%3Dmass%2Bhysteria%26aqs%3Dchrome..69i57j69i61l3.4078j0j4%26sourceid%3Dchrome%26ie%3DUTF-8&amp;t=Njg2MDE1MWIzMWI5OTE4MDE5N2MyYWQwYmNiNjNhNDc1ZTEyNzA0YixaZ2Jac1N6VA%3D%3D&amp;b=t%3ATA_nNgSP4kCXBxItG5afUg&amp;p=http%3A%2F%2Fblog.dilbert.com%2Fpost%2F164297628606%2Fhow-to-know-youre-in-a-mass-hysteria-bubble&amp;m=1">Mass Hysterias</a>.</strong> They happen fairly often. The cool thing about mass hysterias is that <strong>you don&rsquo;t know when you are in one.</strong> But sometimes the people who are <em><strong>not</strong></em> experiencing the mass hysteria can recognize when others are experiencing one, if they know what to look for.</p> <p><strong>I&rsquo;ll teach you what to look for.</strong></p> <p><img alt="" src="http://www.zerohedge.com/sites/default/files/images/user3303/imageroot/2017/08/17/20170817_lib_0.png" style="width: 487px; height: 278px;" /></p> <p><strong>A mass hysteria happens when the public gets a wrong idea about something that has strong emotional content and it triggers cognitive dissonance that is often supported by confirmation bias.</strong> In other words, people spontaneously hallucinate a whole new (and usually crazy-sounding) reality and believe they see plenty of evidence for it. The Salem Witch Trials are the best-known example of mass hysteria. The McMartin Pre-School case and the Tulip Bulb hysteria are others. The dotcom bubble probably qualifies. We might soon learn that the Russian Collusion story was mass hysteria in hindsight. The curious lack of solid evidence for Russian collusion is a red flag. But we&rsquo;ll see how that plays out.</p> <p><strong>The most visible Mass Hysteria of the moment involves the idea that the United States intentionally elected a racist President.</strong> If that statement just triggered you, it might mean you are in the Mass Hysteria bubble. The cool part is that you can&rsquo;t fact-check my claim you are hallucinating if you <em><strong>are</strong></em> actually hallucinating. But you can read my description of the signs of mass hysteria and see if you check off the boxes.</p> <p>If you&rsquo;re in the mass hysteria, recognizing you have all the symptoms of hysteria won&rsquo;t help you be aware you are in it. <strong>That&rsquo;s not how hallucinations work. </strong>Instead, your hallucination will automatically rewrite itself to expel any new data that conflicts with its illusions.</p> <p><strong>But if you are <em>not</em> experiencing mass hysteria, you might be totally confused by the actions of the people who are. </strong>They appear to be irrational, but in ways that are hard to define. You can&rsquo;t tell if they are stupid, unscrupulous, ignorant, mentally ill, emotionally unstable or what. It just looks frickin&rsquo; crazy.</p> <p><strong>The reason you can&rsquo;t easily identify what-the-hell is going on in the country right now is that a powerful mass hysteria is in play.</strong></p> <blockquote><div class="quote_start"><div></div></div><div class="quote_end"><div></div></div><p>If you see the signs after I point them out, you&rsquo;re probably not in the hysteria bubble.</p> <p>&nbsp;</p> <p>If you read this and do NOT see the signs, it probably means you&rsquo;re trapped inside the mass hysteria bubble.</p> </blockquote> <p><u><strong>Here are some signs of mass hysteria. </strong></u>This is my own take on it, but I welcome you to fact-check it with experts on mass hysteria.</p> <h3><strong>1. The trigger event for cognitive dissonance</strong></h3> <p>On November 8th of 2016, half the country learned that everything they believed to be both true and obvious turned out to be wrong. The people who thought Trump had no chance of winning were under the impression they were smart people who understood their country, and politics, and how things work in general. When Trump won, they learned they were wrong. They were so very wrong that they reflexively (because this is how all brains work) rewrote the scripts they were seeing in their minds until it all made sense again. The wrong-about-everything crowd decided that the only way their world made sense, with their egos intact, is that either the Russians helped Trump win or there are far more racists in the country than they imagined, and he is their king. Those were the seeds of the two mass hysterias we witness today.</p> <p>Trump supporters experienced no trigger event for cognitive dissonance when Trump won. Their worldview was confirmed by observed events.</p> <h3><strong>2. The Ridiculousness of it&nbsp;</strong></h3> <p>One sign of a good mass hysteria is that it sounds bonkers to anyone who is not experiencing it. Imagine your neighbor telling you he thinks the other neighbor is a witch. Or imagine someone saying the local daycare provider is a satanic temple in disguise. Or imagine someone telling you tulip bulbs are more valuable than gold. Crazy stuff.</p> <p>Compare that to the idea that our president is a Russian puppet. Or that the country accidentally elected a racist who thinks the KKK and Nazis are &ldquo;fine people.&rdquo; Crazy stuff.</p> <p>If you think those examples don&rsquo;t&nbsp;<em><strong>sound</strong></em> crazy &ndash; regardless of the reality &ndash; you are probably inside the mass hysteria bubble.</p> <h3><strong>3. The Confirmation Bias</strong></h3> <p>If you are inside the mass hysteria bubble, you probably interpreted President Trump&rsquo;s initial statement on Charlottesville &ndash; which was politically imperfect to say the least &ndash; as proof-positive he is a damned racist.</p> <p>If you are outside the mass hysteria bubble you might have noticed that President Trump never campaigned to be our moral leader. He presented himself as &ndash; in his own words&nbsp;&ldquo;no angel&rdquo; &ndash; with a set of skills he offered to use in the public&rsquo;s interest. He was big on law and order, and equal justice under the law. But he never offered moral leadership. Voters elected him with that knowledge. Evidently, Republicans don&rsquo;t depend on politicians for moral leadership. That&rsquo;s probably a good call.</p> <p>When the horror in Charlottesville shocked the country, citizens instinctively looked to their president for moral leadership. The president instead provided a generic law and order statement. Under pressure, he later named specific groups and disavowed the racists. He was clearly uncomfortable being our moral lighthouse. That&rsquo;s probably why he never described his moral leadership as an asset when running for office. We observe that he has never been shy about any other skill he brings to the job, so it probably isn&rsquo;t an accident when he avoids mentioning any ambitions for moral leadership. If he wanted us to know he would provide that service, I think he would have mentioned it by now.</p> <p>If you already believed President Trump is a racist, his weak statement about Charlottesville seems like confirmation. But if you believe he never offered moral leadership, only equal treatment under the law, that&rsquo;s what you saw instead. And you made up your own mind about the morality.&nbsp;</p> <p><em><strong>The tricky part here is that any interpretation of what happened could be confirmation bias. But ask yourself which one of these versions sounds less crazy:</strong></em></p> <blockquote><div class="quote_start"><div></div></div><div class="quote_end"><div></div></div><p>1. A sitting president, who is a branding expert, thought it would be a good idea to go easy on murderous Nazis as a way to improve his popularity.</p> <p>&nbsp;</p> <p>or&hellip;</p> <p>&nbsp;</p> <p>2. The country elected a racist leader who is winking to the KKK and White Supremacists that they have a free pass to start a race war now.</p> <p>&nbsp;</p> <p>or&hellip;</p> <p>&nbsp;</p> <p>3. A mentally unstable racist clown with conman skills (mostly just lying) eviscerated the Republican primary field and won the presidency. He keeps doing crazy, impulsive racist stuff. But for some reason, the economy is going well, jobs are looking good, North Korea blinked, ISIS is on the ropes, and the Supreme Court got a qualified judge. It was mostly luck.</p> <p>&nbsp;</p> <p>or&hellip;</p> <p>&nbsp;</p> <p>4. The guy who didn&rsquo;t offer to be your moral leader didn&rsquo;t offer any moral leadership, just law and order, applied equally. His critics cleverly and predictably framed it as being soft on Nazis.</p> </blockquote> <p>One of those narratives is less crazy-sounding than the others. That doesn&rsquo;t mean the less-crazy one has to be true. But normal stuff happens far more often than crazy stuff. And critics will frame normal stuff as crazy whenever they get a chance.</p> <h3><strong>4. The Oversized Reaction</strong></h3> <p>It would be hard to <em><strong>over</strong></em>react to a Nazi murder, or to racists marching in the streets with torches. That stuff demands a strong reaction. But if a Republican agrees with you that Nazis are the worst, and you threaten to punch that Republican for not agreeing with you exactly the right way, that might be an oversized reaction.&nbsp;</p> <h3><strong>5. The Insult without supporting argument</strong></h3> <p>When people have actual reasons for disagreeing with you, they offer those reasons without hesitation. Strangers on social media will cheerfully check your facts, your logic, and your assumptions. But when you start seeing ad hominem attacks that offer no reasons at all, that might be a sign that people in the mass hysteria bubble don&rsquo;t understand what is wrong with your point of view except that it sounds more sensible than their own.&nbsp;</p> <p>For the past two days I have been disavowing Nazis on Twitter. The most common response from the people <em><strong>who agree with me</strong></em> is that my comic strip sucks and I am ugly.</p> <p>*&nbsp; *&nbsp; *</p> <p><em><strong>The mass hysteria signals I described here are not settled science, or anything like it. This is only my take on the topic, based on personal observation and years of experience with hypnosis and other forms of persuasion.</strong></em></p> <p>I present this filter on the situation as the first step in dissolving the mass hysteria. It isn&rsquo;t enough, but more persuasion is coming.</p> <blockquote><div class="quote_start"><div></div></div><div class="quote_end"><div></div></div><p><strong>If you are outside the mass hysteria bubble,</strong> you might see what I am doing in this blog as a valuable public service.</p> <p>&nbsp;</p> <p><strong>If you are inside the mass hysteria bubble,</strong> I look like a Nazi collaborator.</p> </blockquote> <p>How do I look to you?</p> <p>*&nbsp; *&nbsp; *</p> <p><em>Adams wrote a <a href="http://t.umblr.com/redirect?z=http%3A%2F%2Famzn.to%2F2myAGon&amp;t=YjhhYjZkMjVmNjc2NWM1ZGU5ZWMwYWViNjRiNjgyYzk2MzBiNzg3MSxaZ2Jac1N6VA%3D%3D&amp;b=t%3ATA_nNgSP4kCXBxItG5afUg&amp;p=http%3A%2F%2Fblog.dilbert.com%2Fpost%2F164297628606%2Fhow-to-know-youre-in-a-mass-hysteria-bubble&amp;m=1">book</a> about how to persuade yourself to success. Based on reader comments, it is working. His upcoming book, <a href="http://t.umblr.com/redirect?z=https%3A%2F%2Fwww.amazon.com%2FWin-Bigly-Persuasion-World-Matter%2Fdp%2F0735219710%2F%3Ftag%3Ddilguy2009-20&amp;t=YjA0MGUxZjRhNTA3YjE0OGIxMTFlYTM0N2M4ZWRhYjcyNTc2Y2EzYSxaZ2Jac1N6VA%3D%3D&amp;b=t%3ATA_nNgSP4kCXBxItG5afUg&amp;p=http%3A%2F%2Fblog.dilbert.com%2Fpost%2F164297628606%2Fhow-to-know-youre-in-a-mass-hysteria-bubble&amp;m=1">Win Bigly</a>, tells you how to persuade others. (For good.) That comes out October 31st.</em></p> <div class="field field-type-filefield field-field-image-teaser"> <div class="field-items"> <div class="field-item odd"> <img class="imagefield imagefield-field_image_teaser" width="487" height="278" alt="" src="http://www.zerohedge.com/sites/default/files/images/user3303/imageroot/20170817_lib_0.png?1503092685" /> </div> </div> </div> http://www.zerohedge.com/news/2017-08-18/dilberts-scott-adams-explains-how-know-youre-mass-hysteria-bubble#comments Behavioural sciences Cognitive Dissonance Cognitive dissonance Donald Trump Emotions Fear Group processes Hysteria Ku Klux Klan Mass hysteria North Korea Psychology Reality Social Issues Supreme Court Trigger Event Twitter Twitter Uterus Sat, 19 Aug 2017 01:10:00 +0000 Tyler Durden 601949 at http://www.zerohedge.com The Real Story Behind Goldman's Q2 Trading Loss: How A $100M Gas Bet Went Awry http://www.zerohedge.com/news/2017-08-18/real-story-behind-goldmans-q2-trading-loss-how-100m-gas-bet-went-awry <p>Goldman Sachs FICC-trading income was an unexpectedly ugly blemish on what was already a <a href="http://www.zerohedge.com/news/2017-07-18/goldman-ficc-revenue-plunges-40-worst-2015-blames-low-client-activity">poor Q2 earnings report</a>. And while the FDIC-backed hedge fund initially blamed the decline on lower trading revenues, lack of volatility and depressed client activity...</p> <p><img height="351" src="http://www.zerohedge.com/sites/default/files/images/user5/imageroot/2017/07/17/goldman%20revenue%20decline%20q2_0.jpg" width="500" /></p> <p>... there was more to the story. T<a href="https://www.wsj.com/articles/wrong-way-gas-bet-fueled-goldmans-second-quarter-swoon-1503048600">he Wall Street Journal</a> has uncovered what really happened: A $100 million bet on regional natural-gas prices gone awry after production problems at a local pipeline sent prices soaring, decimating Goldman&rsquo;s position.</p> <blockquote><div class="quote_start"><div></div></div><div class="quote_end"><div></div></div><p>&ldquo;Goldman wagered that gas prices in the Marcellus Shale in Ohio and Pennsylvania would rise with the construction of new pipelines to carry gas out of the region, said people familiar with the matter. <strong>Instead, prices there fell sharply in May and June as a key pipeline ran into problems.&rdquo;</strong></p> </blockquote> <p>More specifically&hellip;</p> <blockquote><div class="quote_start"><div></div></div><div class="quote_end"><div></div></div><p>&ldquo;Goldman&rsquo;s key miscalculation last quarter was betting that natural-gas prices in the Marcellus Shale would rise relative to the national benchmark price in Louisiana known as the Henry Hub, <strong>the people familiar with the matter said.&rdquo;</strong></p> </blockquote> <p>The quarter was the worst ever for the bank&rsquo;s commodities unit, which, as <a href="https://www.wsj.com/articles/wrong-way-gas-bet-fueled-goldmans-second-quarter-swoon-1503048600">WSJ </a>notes, has been one of the firm&rsquo;s most consistent profit centers, and a training ground for many of its top executives, including Chief Executive Lloyd Blankfein. The trading loss <strong>&ldquo;extended a broader slump at a company once known as Wall Street&rsquo;s savviest gambler.&rdquo;</strong></p> <p><a href="http://www.zerohedge.com/sites/default/files/images/user245717/imageroot/2017/07/27/2017.08.08goldman.JPG"><strong><img alt="" src="http://www.zerohedge.com/sites/default/files/images/user245717/imageroot/2017/07/27/2017.08.18goldman_0.JPG" style="width: 500px; height: 352px;" /></strong></a></p> <p>Goldman shares fell 2.6% on the day of the report, which analysts largely attributed to the miss in trading revenues, despite a stronger-than-expected bottom-line profit.</p> <p>The investment bank has held on to its commodities-trading business even as most other American banks exited following the financial crisis. It is currently the seventh-largest market maker for natural gas in North America, larger than some energy giants like Exxon Mobil. According to <a href="https://www.wsj.com/articles/wrong-way-gas-bet-fueled-goldmans-second-quarter-swoon-1503048600">WSJ</a>, <strong>trading oil, metals and other physical commodities is increasingly dominated by smaller firms like Glencore PLC and Gunvor Group Ltd. that don&rsquo;t face as much government regulation.</strong></p> <blockquote><div class="quote_start"><div></div></div><div class="quote_end"><div></div></div><p>&ldquo;The loss highlights the trade-offs Goldman made in sticking with the risky commodities-trading business, even as other large banks retreated following the financial crisis. Goldman is the seventh-biggest marketer of natural gas in North America, up from 13th in 2011, according to Natural Gas Intelligence&mdash;bigger than U.S. energy giants such as Exxon Mobil Corp. and Chesapeake Energy Corp. <strong>It has been the only U.S. bank in the top 20 since 2013, when J.P. Morgan Chase &amp; Co. left the business.&rdquo;</strong></p> </blockquote> <p>WSJ explains that Goldman&rsquo;s position would&#39;ve produced a profit if a pipeline being built to carry natural gas out of the Midwest had been completed on time.<strong> Instead, it faced multiple delays after a series of fluid spills and the accidental bulldozing of a historic Ohio home. </strong></p> <p><a href="http://www.zerohedge.com/sites/default/files/images/user245717/imageroot/2017/07/27/2017.08.18goldmantwo.JPG"><strong><img alt="" src="http://www.zerohedge.com/sites/default/files/images/user245717/imageroot/2017/07/27/2017.08.18goldmantwo_0.JPG" style="width: 500px; height: 311px;" /></strong></a></p> <blockquote><div class="quote_start"><div></div></div><div class="quote_end"><div></div></div><p>&ldquo;Essentially, it was a bet on the timely completion of pipelines under construction to ferry a glut of gas out of the region.</p> <p>&nbsp;</p> <p><strong>But one of those pipelines ran into trouble this spring: the 713-mile Rover, which would transport gas from the Marcellus to the Midwest and beyond.</strong></p> <p>&nbsp;</p> <p>Its developer, Energy Transfer Partners, in February bulldozed a historic Ohio home without notifying regulators, and scrambled to finish clearing trees before the roosting season for a protected bat species. In May, federal regulators barred Energy Transfer from drilling on some segments of the route after a series of fluid spills.</p> <p>&nbsp;</p> <p>The first leg of the pipeline, which had been set to come online in July, isn&rsquo;t expected until at least September. Energy Transfer said it has &ldquo;been working efficiently and nonstop to remediate&rdquo; problems and expects to have the entire pipeline operational in January.&rdquo;</p> </blockquote> <p>In all likelihood, part of Goldman&rsquo;s position was accumulated to offset the risk-management needs of the bank&rsquo;s clients, <a href="https://www.wsj.com/articles/wrong-way-gas-bet-fueled-goldmans-second-quarter-swoon-1503048600">WSJ</a> reported. <strong>Goldman&rsquo;s counterparties, the drillers operating in the Marcellus shale, reported strong gains in their derivatives books.</strong></p> <blockquote><div class="quote_start"><div></div></div><div class="quote_end"><div></div></div><p>&ldquo;Goldman was in part likely catering to gas producers in the region that wanted to lock in steadier revenue through swaps and other contracts. <strong>Many Marcellus drillers reported big gains in the value of their derivatives portfolios in the second quarter&mdash;meaning their trading partners lost money in that period, at least on paper.&rdquo;</strong></p> </blockquote> <p>Of course, the bank&rsquo;s executives would have you believe the loss was solely the result of Goldman fulfilling its duty to help its clients manage risk, and that the bank&rsquo;s trades didn&rsquo;t violate the Volcker Rule (a ban on proprietary trading that was part of Dodd-Frank). As <a href="https://www.wsj.com/articles/wrong-way-gas-bet-fueled-goldmans-second-quarter-swoon-1503048600">WSJ</a> notes, whether or not a trade violates the Volcker rule depends on who initiated it, how long the bank held the position, and myriad other factors.</p> <p>But with President Trump in the White House and with future Fed Chairman Gary Cohn&#39;s only nemesis getting the boot earlier today, soon Goldman will be empowered to take much more trading risks with the explicit blessings of 1600 Pennsylvania.</p> <div class="field field-type-filefield field-field-image-teaser"> <div class="field-items"> <div class="field-item odd"> <img class="imagefield imagefield-field_image_teaser" width="883" height="394" alt="" src="http://www.zerohedge.com/sites/default/files/images/user245717/imageroot/2017.08.18goldmanthree.JPG?1503060982" /> </div> </div> </div> http://www.zerohedge.com/news/2017-08-18/real-story-behind-goldmans-q2-trading-loss-how-100m-gas-bet-went-awry#comments Business Business Chesapeake Energy Counterparties Economy Economy of New York City Economy of the United States Exxon ExxonMobil FDIC Glencore goldman sachs Goldman Sachs Goldman Sachs Lloyd Blankfein Natural Gas Natural gas Natural Gas Intelligence Ohio Rockefeller Center Rockefeller family Standard Oil Subprime mortgage crisis US Federal Reserve Volatility Wall Street Journal White House White House Sat, 19 Aug 2017 00:45:00 +0000 Tyler Durden 601904 at http://www.zerohedge.com 'Art Of The Deal' Co-Author Slams "Racist" Trump, Says "Endgame Is On, Amazed If He Survives Til Year-End"" http://www.zerohedge.com/news/2017-08-18/art-deal-co-author-slams-racist-trump-says-endgame-amazed-if-he-survives-til-year-en <p><a href="http://www.shtfplan.com/headline-news/art-of-the-deal-coauthor-says-trump-will-resign-by-end-of-the-year-presidency-is-effectively-over-the-circle-is-closing-at-blinding-speed_08182017"><em>Authored by Mac Slavo via SHTFplan.com,</em></a></p> <p><strong>Tony Schwartz, the man who co-authored <a href="http://amzn.to/2fS1XQD" target="_blank">Art of the Deal</a> with Donald Trump in 1987, now says that the President will likely resign before the end of the year.</strong></p> <p><img height="273" src="http://www.zerohedge.com/sites/default/files/images/user3303/imageroot/2017/08/17/20170818_art.jpg" width="543" /></p> <p>In a series of Tweets earlier this week <strong>Schwartz showed his disdain for the President and echoed the sentiments of top Democrats who have claimed that Trump will either <a href="http://www.shtfplan.com/headline-news/does-she-know-something-that-we-dont-mike-pence-is-planning-an-inauguration-according-to-maxine-waters_07312017" target="_blank">be impeached</a> or voluntarily step away from the Presidency</strong>:</p> <blockquote class="twitter-tweet" data-lang="en"><p dir="ltr" lang="en">I said some time ago I wasn&rsquo;t going to tweet about Trump anymore. He hadn&rsquo;t yet raised the stakes to the point of survival. He has now.</p> <p>&mdash; Tony Schwartz (@tonyschwartz) <a href="https://twitter.com/tonyschwartz/status/895783446865477632">August 10, 2017</a></p> </blockquote> <p><script async src="//platform.twitter.com/widgets.js" charset="utf-8"></script></p> <blockquote class="twitter-tweet" data-lang="en"><p dir="ltr" lang="en">Understand this: Trump will never do what&rsquo;s ethical and decent because he has no conscience. That&rsquo;s why I called him a sociopath a year ago.</p> <p>&mdash; Tony Schwartz (@tonyschwartz) <a href="https://twitter.com/tonyschwartz/status/896784844621041666">August 13, 2017</a></p> </blockquote> <p><script async src="//platform.twitter.com/widgets.js" charset="utf-8"></script></p> <blockquote class="twitter-tweet" data-lang="en"><p dir="ltr" lang="en">Is Donald Trump a racist? Yes.</p> <p>&mdash; Tony Schwartz (@tonyschwartz) <a href="https://twitter.com/tonyschwartz/status/896825862095597568">August 13, 2017</a></p> </blockquote> <p><script async src="//platform.twitter.com/widgets.js" charset="utf-8"></script></p> <blockquote class="twitter-tweet" data-lang="en"><p dir="ltr" lang="en">Trump&rsquo;s base: Nazis, white supremacists, far right wing lunatics, people who live to hate. A rogue president enabling the worst of humanity.</p> <p>&mdash; Tony Schwartz (@tonyschwartz) <a href="https://twitter.com/tonyschwartz/status/897091692440027136">August 14, 2017</a></p> </blockquote> <p><script async src="//platform.twitter.com/widgets.js" charset="utf-8"></script></p> <blockquote class="twitter-tweet" data-lang="en"><p dir="ltr" lang="en">Understand this: Trump will destroy anything &amp; anyone to protect against feeling weak &amp; out of control. It&rsquo;s not a choice but a compulsion.</p> <p>&mdash; Tony Schwartz (@tonyschwartz) <a href="https://twitter.com/tonyschwartz/status/897462533094879232">August 15, 2017</a></p> </blockquote> <p><script async src="//platform.twitter.com/widgets.js" charset="utf-8"></script></p> <blockquote class="twitter-tweet" data-lang="en"><p dir="ltr" lang="en">The more humiliated &amp; threatened Trump feels, the more wildly &amp; impulsively he lashes out . Only love he can find is from far right whackos</p> <p>&mdash; Tony Schwartz (@tonyschwartz) <a href="https://twitter.com/tonyschwartz/status/897580298560577536">August 15, 2017</a></p> </blockquote> <p><script async src="//platform.twitter.com/widgets.js" charset="utf-8"></script></p> <blockquote class="twitter-tweet" data-lang="en"><p dir="ltr" lang="en">The end game is on: Trump goes down or we do. He will blow up world to prove he matters. We must stand up in opposition every day.</p> <p>&mdash; Tony Schwartz (@tonyschwartz) <a href="https://twitter.com/tonyschwartz/status/897598716407885826">August 15, 2017</a></p> </blockquote> <p><script async src="//platform.twitter.com/widgets.js" charset="utf-8"></script></p> <blockquote class="twitter-tweet" data-lang="en"><p dir="ltr" lang="en">The circle is closing at blinding speed. Trump is going to resign and declare victory before Mueller and congress leave him no choice.</p> <p>&mdash; Tony Schwartz (@tonyschwartz) <a href="https://twitter.com/tonyschwartz/status/897874152039821312">August 16, 2017</a></p> </blockquote> <p><script async src="//platform.twitter.com/widgets.js" charset="utf-8"></script></p> <blockquote class="twitter-tweet" data-lang="en"><p dir="ltr" lang="en">Trump&rsquo;s presidency is effectively over. Would be amazed if he survives till end of the year. More likely resigns by fall, if not sooner.</p> <p>&mdash; Tony Schwartz (@tonyschwartz) <a href="https://twitter.com/tonyschwartz/status/897900928023412736">August 16, 2017</a></p> </blockquote> <p><script async src="//platform.twitter.com/widgets.js" charset="utf-8"></script></p> <p><strong>There seems to be a renewed interest from Democrats who are <a href="http://www.zerohedge.com/news/2017-08-17/there-are-no-good-klansman-lawmaker-hopes-impeach-trump" target="_blank">actively working on articles of impeachment</a>&nbsp;that could lead to the President&rsquo;s removal from office. </strong>And though such a move would require a majority vote in the House of Representatives and two-thirds of the Senate, it appears that many Congressional Republicans are now publicly speaking out against the President, suggesting that such a measure could have legs.</p> <p>Coupled with an&rdquo;independent&rdquo; investigation targeting the President as well as members of his administration and former business partners, it is becoming ever more likely that, as <a href="http://amzn.to/2vKPns2" target="_blank">Rich Dad Poor Dad</a> author Robery Kiyosaki recently noted, <em><strong><a href="http://www.shtfplan.com/headline-news/rich-dad-poor-dad-robert-kiyosaki-warns-trump-of-deep-state-takedown-my-concern-for-my-friend-the-president-they-are-going-to-find-something_07012017" target="_blank">they are going to find something</a>.</strong></em></p> <p>While <strong>author Tony Schwartz has an obvious beef</strong> to pick with the President and may simply be pandering to the liberal left,&nbsp;the pressure being put on Trump&nbsp;could force him to resign in order to avoid impeachment and/or criminal charges, whether real or imagined.</p> <p><strong>The <a href="http://www.shtfplan.com/headline-news/they-are-taking-out-trumps-lieutenants-deep-state-intelligence-ops-sabotaging-the-white-house_02162017" target="_blank">war to take out Trump&rsquo;s closest lieutenants</a> has been raging since before he was even sworn in and will&nbsp;continue until&nbsp;the goals of The Deep State have been accomplished.</strong></p> <p>As Brandon Smith of <a href="http://alt-market.com/" target="_blank">Alt Market</a> has warned, Donald <strong>Trump may well be first <a href="http://www.shtfplan.com/headline-news/the-trump-collapse-scapegoat-narrative-has-now-been-launched_05242017" target="_blank">used as a scapegoat by the elite in order to usher in the next phase of crisis</a> and a reorganization of the global order:</strong></p> <blockquote><div class="quote_start"><div></div></div><div class="quote_end"><div></div></div><p>I have been warning since long before the election that Trump&rsquo;s presidency would be the perfect vehicle for central banks and international financiers to divert blame for the economic crisis that would inevitably explode once the Fed moved firmly into interest rate hikes. Every indication since my initial prediction shows that this is the case.</p> <p>&nbsp;</p> <p>The media was building the foundation of the narrative from the moment Trump won the election. Bloomberg was quick to publish its rather hilariously skewed propaganda on the matter, asserting that Trump was lucky to inherit an economy in ascendance and recovery because of the fiscal ingenuity of Barack Obama. This is of course utter nonsense.</p> <p>&nbsp;</p> <p>Obama and the Fed have created a zombie economy rotting from the inside out, nothing more. But, as&nbsp;Bloomberg noted rightly, any downturn within the system will indeed be blamed on the Trump administration.</p> <p>&nbsp;</p> <p>Fortune Magazine, adding to the narrative, outlined the view that the initial stock rally surrounding Trump&rsquo;s election win was merely setting the stage for a surprise market crash.</p> <p>&nbsp;</p> <p>I continue to go one further than the mainstream media and say that the Trump administration is a giant cement shoe designed (deliberately) to drag conservatives and conservative principles down into the abyss as we are blamed by association for the financial calamity that will occur on Trump&rsquo;s watch.</p> </blockquote> <p><u><em><strong>If Smith is correct, and all signs seem to be pointing to such a scenario, Trump will blamed for what will likely be the most epic financial collapse in world history. Once those goals are accomplished, a push to remove him from office may become reality.</strong></em></u></p> <div class="field field-type-filefield field-field-image-teaser"> <div class="field-items"> <div class="field-item odd"> <img class="imagefield imagefield-field_image_teaser" width="543" height="273" alt="" src="http://www.zerohedge.com/sites/default/files/images/user3303/imageroot/20170818_art.jpg?1503090585" /> </div> </div> </div> http://www.zerohedge.com/news/2017-08-18/art-deal-co-author-slams-racist-trump-says-endgame-amazed-if-he-survives-til-year-en#comments American people of German descent Barack Obama Bibliography of Donald Trump Business Central Banks Climate change skepticism and denial Donald Trump Donald Trump Donald Trump presidential campaign House of Representatives Market Crash Politics Reality recovery Senate The Apprentice Trump Administration Trump: The Art of the Deal United States US Federal Reserve WWE Hall of Fame Sat, 19 Aug 2017 00:20:00 +0000 Tyler Durden 601947 at http://www.zerohedge.com "Almost Cataclysmic": Barclays Reveals Which Restaurants Are Most Exposed To Collapsing Malls http://www.zerohedge.com/news/2017-08-17/almost-cataclysmic-barclays-reveals-which-restaurants-are-most-exposed-collapsing-ma <p>We've spent a lot of time this year discussing the complete collapse of mall-based retailers, a collapse which has resulted in more store closures in Q1 2017 than all of 2016 and will likely claim more victims by the end of this year than any year since the great recession nearly a decade ago.&nbsp; Here are a couple of recent examples:</p> <ul> <li><a href="http://www.zerohedge.com/news/2017-05-06/visualizing-americas-retail-apocalypse">Visualizing America's Retail Apocalypse</a></li> <li><a href="http://www.zerohedge.com/news/2017-06-14/2017-will-be-worst-retail-apocalypse-us-history-over-300-retailers-have-already-file">2017 Will Be The Worst Year For US Retail In History</a></li> <li><a href="http://www.zerohedge.com/news/2017-04-22/retail-bubble-has-now-burst-record-8640-stores-are-closing-2017">"The Retail Bubble Has Now Burst": A Record 8,640 Stores Are Closing In 2017</a></li> </ul> <p>But those mall-based apparel companies aren't the only ones suffering the dire consequences of collapsing mall traffic.&nbsp; For years, the casual dining space has become more and more saturated with new concepts resulting in thinner and thinner margins for the restaurant industry.&nbsp; Now, with foot traffic in malls collapsing these same restaurants are about to experience the <strong>brutal realization that declining traffic, massive fixed costs, rising minimum wages and razor thin margins aren't a great combo.</strong>&nbsp; </p> <p>Thankfully, Barclays' restaurant team, led by Jeffrey Bernstein, has identified which publicly-traded restaurants are about to get screwed the most.&nbsp; Here's a summary:</p> <p>Of the large publicly-traded casual dining chains, Cheesecake Factory 'wins' the 'most screwed' award with 93% of their locations heavily dependent on mall traffic.</p> <p><a href="http://www.zerohedge.com/sites/default/files/images/user230519/imageroot/2017/08/17/2017.08.17 - Rest 1.JPG"><img src="http://www.zerohedge.com/sites/default/files/images/user230519/imageroot/2017/08/17/2017.08.17%20-%20Rest%201_0.JPG" style="width: 600px; height: 243px;" /></a></p> <p>&nbsp;</p> <p>Meanwhile, proving they went full mall-tard (something you should never do, btw), CAKE's second largest casual dining concept, Grand Lux, is also over 90% dependent on mall traffic.&nbsp; </p> <p><a href="http://www.zerohedge.com/sites/default/files/images/user230519/imageroot/2017/08/17/2017.08.17 - Rest 2.JPG"><img src="http://www.zerohedge.com/sites/default/files/images/user230519/imageroot/2017/08/17/2017.08.17%20-%20Rest%202_0.JPG" style="width: 600px; height: 319px;" /></a></p> <p>&nbsp;</p> <p>Here are more details from Barclays:</p> <blockquote><div class="quote_start"> <div></div> </div> <div class="quote_end"> <div></div> </div> <p><strong>Cheesecake Factory (CAKE) operates 90%+ of their stores in a location we define as mall dependent.</strong> To be fair, CAKE is often viewed as a destination, with its own separate entrance, and therefore less mall-dependent. And most are in ‘A’ malls which house high-end retailers that draw a more affluent consumer. But the consumer shift to on-line shopping is less about affluence, and more about a change in behavior.</p> <p>&nbsp;</p> <p><strong>BJ’s Restaurants (BJRI) &amp; Olive Garden (DRI) are the only other portfolio leading casual diners with an outsized percentage of stores mall dependent, at ~60% &amp; ~50%, resp.</strong> With that said, we are Underweight BJRI &amp; Overweight DRI. Importantly, this analysis is just one component of a mosaic when formulating our ratings. BJRI is expanding from regional to national, and competes within a very competitive varied menu segment, both of which pose challenges. Olive Garden is already a strong national brand, and the only one competing within the Italian segment, while offering a strong value platform.</p> <p>&nbsp;</p> <p><strong>As for the remaining casual diners, all operate 25-40% of their stores mall dependent. </strong>These include the three steak chains, Outback (BLMN), Texas Roadhouse (TXRH) and LongHorn (DRI), all at 30-40%. We are Overweight all three. Steak concepts are more special occasion, and therefore less mall-reliant, with resilience demonstrated by a positive comp for all in 1H17. Otherwise, Buffalo Wild (BWLD) is also Overweight. While comps have eased and wing prices are elevated, the brand is introducing a new c-suite, has three new activist board members, &amp; potential for large refranchising / cost cutting. Lastly, Chili’s (EAT) also competes within a very competitive varied menu segment, and is viewed as over-stored, and is now looking to redefine a ‘very clear identity’. </p> </blockquote> <p>Finally, here is a list of states that should probably start preparing for higher restaurant layoffs in the near future...yes, we're looking at you and your $15 minimum wage California.</p> <p><a href="http://www.zerohedge.com/sites/default/files/images/user230519/imageroot/2017/08/17/2017.08.17 - Rest 3.JPG"><img src="http://www.zerohedge.com/sites/default/files/images/user230519/imageroot/2017/08/17/2017.08.17%20-%20Rest%203_0.JPG" style="width: 600px; height: 286px;" /></a></p> <div class="field field-type-filefield field-field-image-teaser"> <div class="field-items"> <div class="field-item odd"> <img class="imagefield imagefield-field_image_teaser" width="292" height="141" alt="" src="http://www.zerohedge.com/sites/default/files/images/user3303/imageroot/20170818_mall.jpg?1503083011" /> </div> </div> </div> http://www.zerohedge.com/news/2017-08-17/almost-cataclysmic-barclays-reveals-which-restaurants-are-most-exposed-collapsing-ma#comments Barclays Business fixed Hospitality ratings Recession Retailing Shopping mall Simon Property Group Sat, 19 Aug 2017 00:10:00 +0000 Tyler Durden 601864 at http://www.zerohedge.com 'Inconvenient' Fact: Morgan Stanley Says Electric Cars Create More CO2 Than They Save http://www.zerohedge.com/news/2017-08-18/inconvenient-fact-morgan-stanley-says-electric-cars-create-more-co2-they-save <p>For all the funds out there looking to fill their portfolio with "environmentally conscious" companies working diligently to avert an inevitable global warming catastrophe that will result in the extinction of the human race, we guess in lieu of their actual fiduciary duties to simply make money for their investors, Morgan Stanley has compiled a list of how you can get the most 'environmental healing' per dollar invested.&nbsp; </p> <p>As <a href="http://www.marketwatch.com/story/want-to-fight-climate-change-dont-invest-in-tesla-2017-08-17?mod=markets_twitter_new&amp;link=sfmw_tw&amp;mg=prod/accounts-mw">MarketWatch</a> points out, it's not terribly surprising that of the 39 publicly-traded stocks analyzed, the <strong>solar and wind generation companies landed at the very top of Morgan Stanley's environmentally friendly the list</strong>.&nbsp; </p> <blockquote><div class="quote_start"> <div></div> </div> <div class="quote_end"> <div></div> </div> <p>Morgan Stanley identified 39 stocks that generate at least half their revenue “from the provision of solutions to climate change,” something it said was a central component of investing to make a difference, as opposed to just a making a buck.</p> <p>&nbsp;</p> <p>“In our view, impact investing needs to begin with companies whose products and services have a notable positive environmental or social impact,” wrote Jessica Alsford, an equity strategist at the investment bank.</p> <p>&nbsp;</p> <p>Not surprisingly, <strong>alternative-energy companies ranked the highest in terms of their positive impact, and the “top five climate-change impact stocks” were all manufacturers of solar and wind energy</strong>: Canadian Solar, China High Speed Transmission, GCL-Poly, Daqo New Energy, and Jinko Solar.</p> </blockquote> <p><img src="http://www.zerohedge.com/sites/default/files/images/user230519/imageroot/2017/08/18/2017.08.18%20-%20Tesla_0.JPG" alt="Tesla" width="600" height="286" /></p> <p>&nbsp;</p> <p>What is surprising, however, is that<strong> publicly traded electric car manufacturers</strong>, darlings of the environmentally-conscious Left, <strong>were actually found to generate more CO2 than they save</strong>.&nbsp; As a stark reminder to our left-leaning political elites who created these companies with massive taxpayer funded subsidies, Morgan Stanley points out that while Teslas don't burn gasoline they do have to be charged using electricity generated by coal and other fossil fuels.</p> <blockquote><div class="quote_start"> <div></div> </div> <div class="quote_end"> <div></div> </div> <p>This is where Tesla, along with China’s Guoxuan High-Tech fall short.</p> <p>&nbsp;</p> <p><strong>“Whilst the electric vehicles and lithium batteries manufactured by these two companies do indeed help to reduce direct CO2 emissions from vehicles, electricity is needed to power them,”</strong> Morgan Stanley wrote. “And with their primary markets still largely weighted towards fossil-fuel power (72% in the U.S. and 75% in China) the CO2 emissions from this electricity generation are still material.”</p> <p>&nbsp;</p> <p>In other words, <strong>“the carbon emissions generated by the electricity required for electric vehicles are greater than those saved by cutting out direct vehicle emissions.”</strong></p> <p>&nbsp;</p> <p>Morgan Stanley calculated that an investment of $1 million in Canadian Solar results in nearly 15,300 metric tons of carbon dioxide being saved every year. For Tesla, such an investment adds nearly one-third of a metric ton of CO2.</p> </blockquote> <p>Ironically, as we <a href="http://www.zerohedge.com/news/2017-08-07/zero-emission-vehicle-credits-one-product-tesla-actually-earns-profit">recently pointed out</a>, Zero-Emission Vehicle (ZEV) credits (a nicer way of saying taxpayer funded corporate welfare) is pretty much the only 'product' that Tesla seems to make money selling and is the only reason they managed to 'beat' earnings in Q2.</p> <blockquote><div class="quote_start"> <div></div> </div> <div class="quote_end"> <div></div> </div> <p>I'm referring to zero-emission vehicle, or ZEV, credits.<strong> California and several other states require that a certain proportion of the vehicles sold by an automaker emit no greenhouse gases. These cars earn the automaker credits, and if they don't have enough to meet their quota, they can buy extra ones from someone who does.</strong> As Tesla only makes vehicles that run on batteries and emit nothing, it usually has a surplus for sale.</p> <p>&nbsp;</p> <p><strong>The profit margin on these is very high, perhaps 95 percent.</strong> The implied $95 million of profit equates to about 58 cents a share. Tesla reported a loss of $1.33 per share this week -- beating the consensus forecast by 55 cents.</p> <p>&nbsp;</p> <p>This isn't the only time ZEV credits have played a big role for Tesla. Looking back to early 2013, selling credits has given Tesla's earnings extra oomph in many quarters, likely taking them above consensus forecasts in some (on an implied basis, assuming that 95 percent margin):</p> </blockquote> <p><a href="http://www.zerohedge.com/sites/default/files/images/user230519/imageroot/2017/08/07/2017.08.07 - Tesla 1.JPG"><img src="http://www.zerohedge.com/sites/default/files/images/user230519/imageroot/2017/08/07/2017.08.07%20-%20Tesla%201_0.JPG" style="width: 600px; height: 411px;" /></a></p> <p>&nbsp;</p> <p>Of course, Q2 wasn't the first time that ZEV credits played a huge role in padding Tesla's cash flow...</p> <p><a href="http://www.zerohedge.com/sites/default/files/images/user230519/imageroot/2017/08/07/2017.08.07 - Tesla 2.JPG"><img src="http://www.zerohedge.com/sites/default/files/images/user230519/imageroot/2017/08/07/2017.08.07%20-%20Tesla%202_0.JPG" style="width: 600px; height: 297px;" /></a></p> <p>&nbsp;</p> <p>Ponder that for a moment...as taxpayers we're actually subsidizing a product (and an eccentric Silicon Valley billionaire) that is bad for the environment...</p> <div class="field field-type-filefield field-field-image-teaser"> <div class="field-items"> <div class="field-item odd"> <img class="imagefield imagefield-field_image_teaser" width="691" height="320" alt="" src="http://www.zerohedge.com/sites/default/files/images/user230519/imageroot/2017.08.18%20-%20Tesla%20Tease.JPG?1503064462" /> </div> </div> </div> http://www.zerohedge.com/news/2017-08-18/inconvenient-fact-morgan-stanley-says-electric-cars-create-more-co2-they-save#comments Business California Air Resources Board Carbon Emissions China Electric car Electric vehicle Environment Global Warming Morgan Stanley Nikola Tesla Private transport Sustainable transport Tesla Tesla Model S Tesla, Inc. Transport Zero-emissions vehicle Fri, 18 Aug 2017 23:55:00 +0000 Tyler Durden 601914 at http://www.zerohedge.com