en General McInerney Says Obama Was 'Heavily Listening to What Was Going on in the Trump Campaign' <p>GUILTY of the espionage act.</p> <p>Lt. Gen. Thomas Mcinerney weighed in on <a href="">Devin Nunes' bombshell revelations</a> that said the Trump team were being spied on by the NSA/CIA -- and it wasn't Russia related. The whole cover for the surveillance was supposed to be because Trump had a bunch of Ivans working for him, but that simply wasn't the case, or the concern, inside the Obama White House. </p> <p>McInerney believes when all of the evidence comes out, Obama will rue the day he decided to spy on Trump. Moreover, he said the democrats are chimping out and fabricating a Russian spy novel in order to avoid Trump investigating the Clinton server and how both Hillary and Obama violated the espionage act, a crime punishable by heavy fines and up to 10 years in prison.<br /> &nbsp;</p> <blockquote><div class="quote_start"> <div></div> </div> <div class="quote_end"> <div></div> </div> <p>Section 793(f) of the federal penal code (Title 18): With lawful access to highly classified information she acted with gross negligence in removing and causing it to be removed it from its proper place of custody, and she transmitted it and caused it to be transmitted to others not authorized to have it, in patent violation of her trust.</p></blockquote> <p>&nbsp;</p> <object width="475" height="381"><param value=";ap=%2526fmt%3D18" name="movie" /><param value="window" name="wmode" /><param value="true" name="allowFullScreen" /><embed width="475" height="381" wmode="window" allowfullscreen="true" type="application/x-shockwave-flash" src=";ap=%2526fmt%3D18"></embed></object><p><a href="" target="_blank">View on YouTube</a></p> <p><strong>Content originally generated at <a href=""></a></strong></p> <p>&nbsp;</p> American people of German descent Central Intelligence Agency Climate change skepticism and denial Devin Nunes Donald Trump Espionage Law National Security Agency Politics Politics Politics of the United States SPY The Apprentice United States White House White House WWE Hall of Fame Fri, 24 Mar 2017 12:12:37 +0000 The_Real_Fly 591667 at Gartman: "We Covered Our Short" <p>Just two days after <a href="">Gartman </a>said the "this is the first time in a very, very long while we have actually gone short of equities, but it is our intention to become even shorter of them, hoping to sell a bounce that might develop intra-day" following the Tuesday slump, the "world renowned commodity expert" has once again covered his short.</p> <p>As a reminder, this is what he <a href="">said on Wednesday</a>:</p> <blockquote><div class="quote_start"> <div></div> </div> <div class="quote_end"> <div></div> </div> <p>STOCK PRICES ARE DOWN MARKEDLY AND UNIVERSALLY as every market of the ten markets comprising our International Index has fallen with five of the ten having fallen by more than 1% and with two markets…. Japan’s and Brazil’s… have fallen by more than 2%. Allow us to be quite blunt here and acknowledge <strong>that something “broke” in the markets across the board yesterday, </strong>and we said in an interview earlier today with CNBC Europe, it is not just that stocks broke to the downside, but that precious metals “broke” to the upside along with bonds, and that the base metals broke to the downside following equities. The psychology of the market has taken a very real and very severe beating and we fear, of a sudden, that something more than a mere long-awaited correction has fallen upon our shoulders. </p> </blockquote> <p>To which we responde that this means one thing: "both Goldman and Gartman are now short stocks, and expecting further selling - perhaps just the catalyst bulls were waiting for to step in and BTFD." To be sure, the selloff ended there and then. </p> <p>Fast forward just 48 hours later when whatever was broken is now unbroken, with stocks at the same level or higher compared to where Gartman put on his short. </p> <blockquote><div class="quote_start"> <div></div> </div> <div class="quote_end"> <div></div> </div> <p>Regarding positioning… and <strong>please do remember that the only money we manage is our own retirement fund and although it is only a few small millions </strong>it is still our money and we do indeed value it!... we came into yesterday’s session modestly net short of equities. However <strong>considering that the passage or non-passage of the health care legislation was a veritable coin toss circumstance we moved to cover those short derivatives positions early in the day and took to the sidelines. We remain there this morning.</strong> In our retirement account are long of several monthly dividend paying closed end short term bond funds; we are long of gold in EUR and Yen denominated terms and at the very close of trading yesterday we took small “punts” on the long side of crude oil.</p> </blockquote> <p>And then this amusing tangent on the NSA spying on Trump:</p> <blockquote><div class="quote_start"> <div></div> </div> <div class="quote_end"> <div></div> </div> <p>Regarding the FBI/Russia/Trump Administration officials events of the past several days, <strong>it does appear that we had it wrong and we shall admit that as more “information” is made available to us. </strong>For our readers outside the US, what has apparently happened is that the NSA had indeed been “bugging” the Russian embassy and other building where those associated with Russian espionage operations were known to frequent. This is the NSA’s duty. It is the organizations reason for existence, and in the process of gathering “intelligence” apparently the NSA over-heard and taped conversations that had included Americans… some of whom were associated (perhaps rather highly) with the Trump transition team in the weeks after the election. The NSA, by law, is prohibited from taping or “spying” upon US citizens, and when in the course of normal intelligence gathering it does so in an ancillary fashion it is supposed to redact the names of the Americans involved and for all intents is supposed to destroy those tapes and that intelligence. Further, the tapes or intelligence in question are never supposed to leave the NSA’s offices. Those sources are off-limits to everyone… even the President!</p> </blockquote> <p>In any event, the selling may now resume.</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="310" height="162" alt="" src="" /> </div> </div> </div> Bond Central Intelligence Agency Crude Crude Oil Donald Trump FBI Federal Bureau of Investigation Government Mass surveillance National Security Agency Politics Politics of the United States Precious Metals Russian embassy United States government secrecy Yen Fri, 24 Mar 2017 12:09:35 +0000 Tyler Durden 591665 at Frontrunning: March 24 <ul> <li>Trump Says If Vote on Health Bill Fails, Obamacare Stays (<a href="">WSJ</a>)</li> <li>Risky House healthcare vote to test Trump's negotiating skills (<a href="">Reuters</a>)</li> <li>Trump Dares GOP in High-Stakes Vote on Troubled Health Bill (<a href="">BBG</a>)</li> <li>All drill, no frack: U.S. shale leaves thousands of wells unfinished (<a href="">Reuters</a>)</li> <li>Twitter explores subscription-based option for first time (<a href="">Reuters</a>)</li> <li>EU's Juncker Says U.K. Brexit Bill Will Be About $62 Billion (<a href="">BBG</a>)</li> <li>House Intelligence Committee Clash Over Nunes Clouds Future of Probe (<a href="">WSJ</a>)</li> <li>Washington talks end without agreement on Israeli settlements (<a href="">Reuters</a>)</li> <li>Britain to fire starting gun on Brexit talks (<a href="">Reuters</a>)</li> <li>Credit Suisse Increases Bonus Pool 6%, CEO Thiam Gets $12 Million (<a href="">BBG</a>)</li> <li>Blackstone sells 21 percent stake in SeaWorld to China's Zhonghong Zhuoye (<a href="">Reuters</a>)</li> <li>PwC settles with MF Global over Corzine brokerage's collapse (<a href="">Reuters</a>)</li> <li>Too much misconduct goes undetected: ex-CFTC chief (<a href="">Reuters</a>)</li> <li>Microsoft-Probe Blunder Said to Haunt EU as Google Risks Fines (<a href="">BBG</a>)</li> <li>Putin meets France's Le Pen in Moscow, says won't interfere in election (<a href="">Reuters</a>)</li> <li>Theranos Offers Shares for Promise Not to Sue Company (<a href="">WSJ</a>)</li> <li>The Controversial Chinese Economist Uncovering Tough Truths (<a href="">BBG</a>)</li> <li>Greece to support Rome EU declaration, but wants backing on labor reforms (<a href="">Reuters</a>)</li> <li>Egypt's former leader Mubarak freed, six years after overthrow: lawyer (<a href="">Reuters</a>)</li> <li>BOJ chief Kuroda says 'no reason' to withdraw stimulus now (<a href="">Reuters</a>)</li> </ul> <p>&nbsp;</p> <p><strong>Overnight Media Digest</strong></p> <p><em><span style="text-decoration: underline;">WSJ</span></em></p> <p>- Theranos Inc plans to give additional shares to investors who pledge not to sue the battered blood-testing company or Elizabeth Holmes, its founder and chief executive, people familiar with the matter said. <a href="" title=""></a></p> <p>- WikiLeaks released new documents it says describe hacking tools used by the Central Intelligence Agency over the past decade to infect Apple Inc devices. <a href="" title=""></a></p> <p>- Businesses, particularly those in the tech sector, are watching closely a case to be argued in the Supreme Court next week challenging a system that has led to a concentration of patent cases in plaintiff-friendly jurisdictions such as eastern Texas. <a href="" title=""></a></p> <p>- Google's commitment to better police the millions of websites and videos across its advertising networks is complicated by the very scale and diversity that has made the network so attractive to marketers. <a href="" title=""></a></p> <p>- Inc prevailed over the Internal Revenue Service in a more than $1.5 billion dispute over the online retailer's transactions with a Luxembourg subsidiary. <a href="" title=""></a></p> <p>- Walt Disney Co said Robert Iger has extended his contract for a third time and will stay on at least one additional year as chairman and CEO, giving the world's largest media company another year to find a new chief executive. <a href="" title=""></a></p> <p>- The U.S. ban on many carry-on electronics aboard Middle East flights is another powerful headwind for the once-highflying club of Persian Gulf airlines — a group that relies more than many on the laptop-toting business traveler. <a href="" title=""></a></p> <p>- Videogame chain GameStop Corp, hit hard by a shift to digital downloads, plans to close at least 150 stores this year and expand non-gaming businesses. <a href="" title=""></a></p> <p>- Tronc Inc agreed to buy all the stock held by one of its largest outside shareholders at a substantial premium amid an increasingly bruising public fight between its two biggest investors. <a href="" title=""></a></p> <p>&nbsp;</p> <p><em><span style="text-decoration: underline;">FT</span></em></p> <p>Britain's markets watchdog has resumed its investigation into payments made by Barclays Plc in the course of a 2008 emergency fundraising, after reviewing new evidence that could see it reconsider a 50 million-pound ($62 million) fine imposed in 2013.</p> <p>Deutsche Bank AG has chosen a new office for its London headquarters, signalling a vote of confidence in Britain's capital despite the country's decision to leave the European Union.</p> <p>One of Britain's biggest water companies, Thames Water, was scrutinized on Thursday by Ian Byatt, a former head of regulator Ofwat, who said the problem in the water companies is their "complicated corporate structures." A fine of 20 million pounds was imposed on Thames Water on Wednesday for pumping sewage into the River Thames.</p> <p>&nbsp;</p> <p><em><span style="text-decoration: underline;">NYT</span></em></p> <p>- Republican senators moved Thursday to dismantle landmark internet privacy protections for consumers in the first decisive strike against telecommunications and technology regulations created during the Obama administration, and a harbinger of further deregulation. <a href="" title=""></a></p> <p>- Ride-sharing service Lyft became the latest company, along with AT&amp;T and Johnson &amp; Johnson, to remove their advertisements from YouTube following ads appearing next to racist videos on YouTube. <a href="" title=""></a></p> <p>- A lawyer for the Las Vegas sports gambler William Walters, who is on trial in Manhattan on insider trading charges, attacked the credibility of one of the government's main witnesses on Thursday, saying that the witness had lied repeatedly to investigators. <a href="" title=""></a></p> <p>- The C.I.A. developed tools to spy on Mac computers by injecting software into the chips that control the computers' fundamental operations, according to the latest cache of classified government documents published on Thursday by WikiLeaks. <a href="" title=""></a></p> <p>&nbsp;</p> <p><em><span style="text-decoration: underline;">Canada</span></em></p> <p>THE GLOBE AND MAIL</p> <p>** Ontario Premier Kathleen Wynne has convened a meeting of senior auto sector executives to make sure the government and the industry are on the same page amid the looming renegotiation of the North American free-trade agreement. <a href="" title=""></a></p> <p>** China's new envoy says Beijing is seeking unfettered access for Chinese state-owned firms to all key sectors of the Canadian economy during free-trade talks now under way with Ottawa - including an end to restrictions barring these enterprises from investing in the oil sands. <a href="" title=""></a></p> <p>** Ottawa's plan to end tax allowances for oil firms seeking to drill new wells is riling the energy sector - especially small and medium-sized producers who have already been hit hard by the oil-price drop and increasing competition from the United States. <a href="" title=""></a></p> <p>NATIONAL POST</p> <p>** The U.S. State Department is expected to approve TransCanada Corp's Keystone XL pipeline as early as Friday, eliminating a crucial hurdle for the project after years of political wrangling. <a href="" title=""></a></p> <p>** Investors at two of Canada's biggest banks, Royal Bank of Canada and Toronto-Dominion Bank, will vote soon on whether shareholders with smaller holdings should have a bigger voice when choosing directors for the board — a move that investor advocates say would, if successful, be a big step towards "shareholder democracy". <a href="" title=""></a></p> <p>** The government of Canada will play the role of venture capitalist and booster to clean technology companies with billions of dollars in funding and outright share purchases budgeted over the next several years. <a href="" title=""></a> </p> <p>&nbsp;</p> <p><em><span style="text-decoration: underline;">Britain</span></em></p> <p>The Times</p> <p>The Financial Conduct Authority has reopened its investigation into Barclays Plc's 7.3 billion pound ($9.13 billion) Middle East capital raising in 2008 that helped the lender avoid falling into government ownership. <a href="" title=""></a></p> <p>The terrorist who killed four people and injured scores more at Westminster on Wednesday has been identified as Khalid Masood, a 52-year-old who was born in Kent. <a href="" title=""></a></p> <p>The Guardian</p> <p>Royal Bank of Scotland is axing 158 branches, most of them NatWest outlets, with the loss of up to 362 jobs. <a href="" title=""></a></p> <p>Shareholders in Crest Nicholson Plc have voted against a pay deal for the company's directors because of concerns that the performance targets were too easy. <a href="" title=""></a></p> <p>The Telegraph</p> <p>The ruling party of Hungarian Prime Minister Viktor Orban has filed a bill to ban the vintage red-star logo featured on Heineken's products including the beermaker's iconic green bottles. <a href="" title=""></a></p> <p>Sky News</p> <p>Fears grow for 1,100 high street jobs amid doubts over Jones Bookmaker deal. <a href="" title=""></a></p> <p>Deutsche Bank AG has signed an agreement with Land Securities Group Plc to&lrm; take a large chunk of a new building being constructed near the Moorgate tube station. <a href="" title=""></a></p> <p>The Independent</p> <p>Brexit could undermine British efforts to clamp down on bribery and corruption, the OECD has warned. <a href="" title=""></a></p> <p>The boss of British Gas owner Centrica Plc collected a 1 million pound pay rise last year, taking his total package to 4.15 million pounds. <a href="" title=""></a></p> <p>&nbsp;</p> <p>&nbsp;</p> <p>&nbsp;</p> Apple Bank of Canada Bank of Japan Barclays Barclays Bitly Business Central Intelligence Agency Computing Corruption Credit Suisse Department of State Deutsche Bank eastern Texas European Union European Union Financial Conduct Authority Google Greece Insider Trading Internal Revenue Service Las Vegas MF Global Middle East Middle East Obama Administration Obama administration Obamacare OECD Persian Gulf Republican Party Reuters Reuters Royal Bank of Scotland Software SPY Supreme Court Theranos Twitter Twitter Twitter WikiLeaks World Wide Web Fri, 24 Mar 2017 11:50:41 +0000 Tyler Durden 591664 at Trump Approves TransCanada's Keystone XL Pipeline <p>It's official: moments ago TransCanada said the U.S. Department of State issued a presidential permit for the construction of the Keystone XL Pipeline, ending a multi-year controversial, at times acrimonious debate over the future of the pipeline. The pipeline linking Canadian oil sands to U.S. refiners had been blocked by Barack Obama, who said the pipeline would do nothing to reduce fuel prices for U.S. motorists and would contribute emissions linked to global warming. </p> <p>"This is a significant milestone for the Keystone XL project," said Russ Girling, TransCanada's president and chief executive officer, said in a statement. "We greatly appreciate President Trump's administration for reviewing and approving this important initiative and we look forward to working with them as we continue to invest in and strengthen North America's energy infrastructure."</p> <p><img src="" width="500" height="313" /></p> <p>Transcanada also said it would continue to work with Nebraska, Montana and South Dakota to get necessary permits and approvals to advance project to construction</p> <p><em>Full <a href=";t=">statement is below</a>:</em></p> <blockquote><div class="quote_start"> <div></div> </div> <div class="quote_end"> <div></div> </div> <p><strong>TransCanada Receives Presidential Permit for Keystone XL </strong></p> <p>&nbsp;</p> <p>TransCanada Corporation (TSX:TRP) (NYSE:TRP) (TransCanada) today announced that the U.S. Department of State has signed and issued a Presidential Permit to construct the Keystone XL Pipeline.<strong>&nbsp;</strong> </p> <p>&nbsp;</p> <p>"This is a significant milestone for the Keystone XL project," said Russ Girling, TransCanada's president and chief executive officer. "We greatly appreciate President Trump's Administration for reviewing and approving this important initiative and we look forward to working with them as we continue to invest in and strengthen North America's energy infrastructure." </p> <p>&nbsp;</p> <p>Keystone XL is an important piece of TransCanada's comprehensive U.S. growth portfolio driving an investment of more than US$15 billion in liquids and natural gas projects that will create thousands of well-paying jobs and generate substantial economic benefits across the U.S. </p> <p>&nbsp;</p> <p>TransCanada will continue to engage key stakeholders and neighbors throughout Nebraska, Montana and South Dakota to obtain the necessary permits and approvals to advance this project to construction. </p> <p>&nbsp;</p> <p>In conjunction, TransCanada has discontinued its claim under Chapter 11 of the North American Free Trade Agreement (NAFTA) and will end its U.S. Constitutional challenge. </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="284" height="177" alt="" src="" /> </div> </div> </div> Barack Obama Business Canada–United States relations Economy of Canada Energy Global Warming Keystone Pipeline Natural Gas Oil sands Petroleum industry Russ Girling Toronto Stock Exchange TransCanada Corporation Trump's administration U.S. Department of State Fri, 24 Mar 2017 11:33:27 +0000 Tyler Durden 591663 at Biggest US Equity Outflows Since Brexit; US Banks Hit The Hardest <p>The latest evidence that rumors of Trumpflation trade's death are <em>not </em>greatly exagerated came overnight from Bank of America which reported that based equity funds saw net outflows of $8.9 billion, <strong>the largest in 38 weeks. </strong>The most impacted sector was, not surprisingly, banks - the biggest beneficiary of the post-Trump election victory rally, which suffered the biggest outflows in over a year. </p> <p>Where was the withdrawn money paked? The usual place: <strong>bonds</strong>. <a href="">According to Lipper</a>, U.S.-based taxable bond funds absorbed $8.3 billion in cash during the week ended March 22, <strong>the most in eight months, </strong>while investors withdrew $1.3 billion from financial sector funds in the worst week of net sales for those funds since July 2015, Lipper said.</p> <p>As <a href="">Reuters notes</a>, in both cases, the latest week's results are an about-face from the popular trades that followed U.S. President Donald Trump's election victory in November and come as investors questioned whether the new U.S. administration can soon deliver the fiscal and regulatory changes needed to support the "Trump trade" of higher equity prices and rising bond yields. The bearish-bond and bullish-bank trades have both diminished since November, and on Tuesday investors delivered a body blow to U.S. stocks and fled to safe-haven bonds. The S&amp;P 500 and Dow Jones Industrial Average indexes lost over 1 percent that day in their worst one-day performances since before Trump's election victory.</p> <p>"As investors have become more skeptical or wary of the ability of the president to drive through his policy agenda that's started to have negative impact on some of the areas in the U.S. which had benefited from that hope," said Richard Turnill, BlackRock Inc's global chief investment strategist.</p> <p>While investors fled the US, they remain optimistic on EMs and Europe: while overall stock funds posted $1 billion in net withdrawals, the first week of outflows since January, equity funds invested abroad attracted $3.8 billion in the largest haul since December 2015. Emerging markets stock funds attracted $2.2 billion in their best week since August 2016 according to Lipper, while European stock funds gathered $636 million in their best week since December 2015. Japanese stock funds posted $593 million in withdrawals, their largest outflows since last July.</p> <p><strong>More details from the BofA report, broken down by region </strong>(EPFR <em>not </em>Lipper): </p> <ul> <li>Europe equity funds see outflows of $0.8BN </li> <li>Emerging markets equity funds see inflows of $2.8BN </li> <li>Japanese stocks see inflows of $2.5BN</li> </ul> <p><strong>By investment style: </strong></p> <ul> <li>largest redemptions from U.S. value funds in 66 weeks, </li> <li>largest outflows from U.S. small caps in 24 weeks</li> </ul> <p><strong>By sector: </strong></p> <ul> <li>inflows to materials, utilities, tech, energy, real estate; outflows from financials, consumer, health-care</li> <li>In fixed income, bonds see inflows of $7.8b, with inflows in 12 of past 13 weeks</li> <li>IG bond funds see inflows of $5.7b; HY bond funds see outflows of $1.3b; EM debt funds see inflows of $2.7b</li> </ul> <p>On the FICC side, the biggest winners continue to be EM debt and gold and silver, while Junk bonds remain the most impacted.</p> <p><img src="" width="416" height="298" /></p> <p>Finally, some more insight from Michael Hartnett:</p> <p><strong>Risk-off week for flows</strong></p> <ul> <li>$7.8bn inflows to bonds, $1.1bn inflows to gold (largest in 5 weeks), $1.1bn outflows from equities.</li> </ul> <p><strong>The TARP moment</strong></p> <ul> <li>Failure of AHCA (American Health Care Act) is unlikely to cause a "TARP moment" (GT30 -25bps, SPX -9% on Sept 29th 2008), but could cause final flush in "reflation trades", especially given CTA positioning. </li> </ul> <p><strong>Where's the Beef? </strong></p> <ul> <li>In our view, the Trump trade was always going to have a "where's the beef?" moment. Hard data recovery and renewed optimism on tax reform (only 10% think passage by Aug) catalysts to inspire final capitulation into risk assets spring/summer. Reflation trades will likely rally again. We continue to believe the Big Top happens Q3 at earliest. </li> </ul> <p><strong>New theme: synchronized monetary tightening</strong></p> <ul> <li>Synchronized global recovery past 2-3 quarters now being followed by synchronized central bank tightening next 2-3 quarters…end of excess liquidity is the major reason we think markets are likely to enter a major "topping process" in 2017.</li> </ul> <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="416" height="298" alt="" src="" /> </div> </div> </div> Bank of America Bank of America Blackrock Bond Bond Business Donald Trump Dow 30 Dow Jones Industrial Average Economy Equity securities Finance Financial markets Financial services fixed Funds Inventory Lipper Money Real estate recovery Reuters S&P 500 Stock and flow Systems theory TARP US Administration Fri, 24 Mar 2017 11:20:59 +0000 Tyler Durden 591662 at Russia Unexpectedly Cuts Interest Rates For The First Time In Seven Months <p>The Russian Central Bank surprised markets when it unexpectedly cut interest rates by 25 bps to 9.75% (30 economists expected no change, 8 predicted a 25 bps cut), its first rate cut in four meetings or 7 months, as inflation, which has dropped from a peak of 17% to just 4.6% last month, appears to be under control, while growth is returning to the oil-dominated economy driven by the steady price of oil. </p> <p><a href=""><img src="" width="500" height="316" /></a></p> <p>In the statement after the decision, the central bank said the risk it would miss the 4% inflation target this year had “abated” with further rate cuts a possibility over in the third and fourth quarters, while boosting its 2017 GDP forecast to 1-1.5%: </p> <p>“Bank of Russia admits the possibility of cutting the key rate gradually in coming 2Q-3Q” the bank said in a statement while noting that it still plans to keep monetary policy moderately tight as inflation risks have declined, but remain elevated. It also said the risk of missing 2017 inflation target of 4% have “slightly abated”</p> <p>Quoted by the <a href="">FT</a>, Timothy Ash, at Bluebay Asset Management, who notes Russia has some of the highest real interest rates of the world’s major emerging markets said that with GDP growth expected to come in at a still moderate 1-1.5% this year, there is still “significant scope for rate cuts."</p> <p>“With no prospect for sanctions being removed this year, one might expect the CBR to try and help with the heavy lifting by giving a bump to the economy before the elections [in 2018],” said Mr Ash. </p> <p>Curiously, despite the easing, the ruble strengthens 0.4% to 57.2175 per dollar after initially erasing gains as central bank cuts key rate; it stoodat a three-day high against the dollar after the decision. Meanwhile, Russian five-year bonds steady at 8.11% as the Micex Index of stocks declined modestly by 0.4%. </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="1000" height="541" alt="" src="" /> </div> </div> </div> Business Central banks Economy Financial economics Inflation Interest rate Macroeconomics Micex Monetary Policy Monetary policy Money Real interest rate Real Interest Rates Russian central bank Fri, 24 Mar 2017 10:57:02 +0000 Tyler Durden 591661 at All Eyes On Washington: US Futures Rise On Hope Healthcare Vote Will Pass <p>Asian shares and S&amp;P futures rose on optimism that today's rescheduled U.S. vote on health care will pass following Trump's Ultimatum to the Freedom Caucus. European stocks gave up some of Thursday’s gains, falling for the fourth time in five days, and moving further away from a 15-month high reached a week ago while the yen weakened for the first time in nine days before the long awaited U.S. health-care vote that has dominated market sentiment this week. Oil was headed for a third weekly drop this month. Economic data include durable goods orders, Markit U.S. manufacturing PMI. Companies due to report earnings include Finish Line. </p> <p>As Reuters notes, all eyes in global financial markets were fixed on stuttering Republican efforts to pass a replacement for Obamacare on Friday, with failure likely to undermine faith in Donald Trump’s promise to deliver a "phenomenal" U.S. tax reform. The White House's ability to get legislation through Congress is crucial to "Trumpflation" bets on fiscal stimulus, tax cuts and capital repatriation that markets late last year assumed would drive inflation and growth higher. Below are the latest developments on the House vote on American Health Care Act, aka Trumpcare. </p> <ul> <li><strong>The House delayed the vote on the AHCA bill amid doubts whether it could pass, with House GOP leaders later confirming the vote is to occur on Friday afternoon. </strong></li> <li><strong>President Trump reportedly warned House Republicans he would leave Obamacare in place and will move onto tax reform if the healthcare bill fails in today's vote.</strong></li> <li><strong>US Freedom Caucus Chairman Meadows said the Freedom Caucus is to meet and discuss the revised health bill and that the bill has improved. Meadows also stated that he is a 'no' right now, but has not made the final decision.</strong></li> <li><strong>Congressional Budget Office released its scoring on the amended GOP healthcare bill which showed smaller savings over the next decade with the projected deficit reduction declining to USD 150bIn from USD 337b1n, while it maintained guidance that 14mln will lose coverage by 2018.</strong></li> </ul> <p>“No one has any idea what’s going to happen with this vote so they are sitting there waiting for actual information rather than theory,” said Ben Kumar, a London-based investment manager at Seven Investment Management, which oversees about 10 billion pounds ($12 billion). “In general you can ignore the politics and trade on the underlying fundamentals. The market is still fundamentally intact.”</p> <p>"There is still a risk that the vote fails today, (and) there are numerous other uncertainties that suggest anything but a smooth course ahead for implementing the much anticipated tax reform reflation program," said MUFG currency strategist Derek Halpenny, in London. "We still expect a much smaller tax cutting program simply due to the inability to agree on how a large program could be financed. The Trump reflation trade could still reverse course in a more meaningful way, resulting in dollar weakness."</p> <p>In Europe, the STOXX 600 Index dropped 0.5%, extending its weekly decline, with insurers and energy companies the biggest losers, as trading volumes dropped by almost a third from the previous week. The drop comes despite stronger than expected PMIs across the board for both Germany and France. </p> <ul> <li>France Manufacturing PMI, actual 53.4, est. 52.4, prior 52.2</li> <li>France Services PMI, actual 58.5, est. 56.1, prior 56.4</li> <li>Markit France Composite PMI, actual 57.6, est. 55.8, prior 55.9</li> <li>Germany Manufacturing PMI, actual 58.3, est. 56.5, prior 56.8</li> <li>Germany Services PMI, actual 55.6, est. 54.5, prior 54.4</li> <li>Germany Composite PMI, actual 57, est. 56, prior 56.1</li> </ul> <p><a href=""><img src="" width="500" height="376" /></a></p> <p>The yen halted its longest rally since 2011 as U.S. lawmakers hurtled toward a vote on an amended health-care bill after a delay that fueled speculation President Donald Trump may struggle with other policies. Bonds were mixed, and oil rose for the first time this week even as a rotation out of growth sectors into safe utilities continued.</p> <p><a href=""><img src="" width="500" height="281" /></a></p> <p>The Stoxx Europe 600 Index was down 0.5 percent as of 6:34 a.m., trimming the previous day’s brisk gains. Aegon NV weighed down insurers after it cut its Solvency II ratio. Japan’s Topix trimmed some losses for a week that included the biggest one-day drop since Trump’s election. The index finished with a 1.4 percent decline for the week. The MSCI Asia Pacific fared better, with a 0.1 percent decrease. Futures on the S&amp;P 500 climbed 0.1 percent. The index fell 0.1 percent on Thursday.</p> <p>The dollar recovered some ground against the yen, however, after U.S. Treasury yields inched higher in Asian time, halting an eight-day losing streak that is its worst since the end of 2010. </p> <p>Bank of Japan Governor Haruhiko Kuroda told a Reuters event on Friday that there was "no reason" to raise the bank's bond yield targets now with inflation so far from its 2 percent target.</p> <p>A sell-off in a number of commodities markets has also been a factor in the weakness of share prices this week. Iron ore prices fell for a fourth day on Friday and are on course for their worst week since December. Crude inched higher, supported by a fall in Saudi exports to the United States, but remained under pressure from a glut of supply that OPEC curbs has broadly failed to stem. Thomson Reuters data shows <strong>OPEC shipments to Asia, the world's biggest and fastest-growing oil-consuming region, are up more than 5 percent since January, </strong>suggesting the group of producers is shielding its main customers from the reductions. Unless OPEC extends the curbs beyond June or makes bigger cuts, traders say oil prices are at risk of falling further.</p> <p>"OPEC's goal of drawing down inventories to normal levels is not going to be reached before their agreement expires on June 30," said U.S. investment bank Jefferies in a note to clients.</p> <p>Leaders from European Union countries except the U.K. meet Saturday on the 60th anniversary of the bloc’s founding Treaty of Rome to discuss the way forward after Brexit. Meanwhile, representatives from five OPEC and non-OPEC members gather for a meeting of the Joint Ministerial Monitoring Committee to oversee oil production cuts. </p> <p>* * * </p> <p><strong>Bulletin Headline Summary from RanSquawk</strong></p> <ul> <li>Stocks reside modestly negative in Europe as participants await news regarding the litmus test of Trump's power in the form of his healthcare bill</li> <li>EUR gains with Europe encouraged by strong PM! surveys</li> <li>Today's highlights include Eurozone and US manufacturing and services PMIs, US Durable Goods Orders and comments from Fed's Evans, Williams, Bullard and Dudley</li> </ul> <p style="text-align: justify;">House vote on American Health Care Act</p> <p><strong>Market Snapshot</strong></p> <ul> <li>S&amp;P 500 futures up 0.1% to 2,341.75</li> <li>STOXX Europe 600 down 0.5% to 375.7</li> <li>MXAP up 0.4% to 148.01</li> <li>MXAPJ up 0.08% to 478.73</li> <li>Nikkei up 0.9% to 19,262.53</li> <li>Topix up 0.9% to 1,543.92</li> <li>Hang Seng Index up 0.1% to 24,358.27</li> <li>Shanghai Composite up 0.6% to 3,269.45</li> <li>Sensex up 0.5% to 29,488.44</li> <li>Australia S&amp;P/ASX 200 up 0.8% to 5,753.55</li> <li>Kospi down 0.2% to 2,168.95</li> <li>German 10Y yield rose 1.0 bps to 0.441%</li> <li>Euro up 0.1% to 1.0798 per US$</li> <li>Brent Futures up 0.3% to $50.69/bbl</li> <li>Italian 10Y yield rose 0.9 bps to 2.272%</li> <li>Spanish 10Y yield rose 2.2 bps to 1.753%</li> <li>Brent Futures up 0.3% to $50.69/bbl</li> <li>Gold spot down 0.2% to $1,242.62</li> <li>U.S. Dollar Index down 0.1% to 99.71</li> </ul> <p><strong>Top Overnight News via BBG</strong></p> <ul> <li>Trump Dares GOP Into High-Stakes Vote on Troubled Health Bill</li> <li>Uber Rival Grab Said Raising $1.5 Billion in New Funding Round</li> <li>EU’s Juncker Says U.K.’s Brexit Bill Will Be Around $62 Billion</li> <li>Bayer Says Not Aware of Rejection of Monsanto Deal From India</li> <li>Monsanto Roundup Users to Question Ex-EPA Manager in Cancer Suit</li> <li>U.S. Equities See Biggest Outflows Since Brexit Vote: BofAML</li> <li>Watchmakers Like Mondaine Confront U.S. ‘Consumer Blockage’</li> <li>Euro-Area Economic Momentum Bodes Well for Wage Growth and Jobs</li> <li>Fed’s Kaplan Says MBS and Treasuries Should Both Be Rolled Off</li> <li>U.S. Biodiesel Producers File Trade Case Against Argentina</li> <li>Atanor Said to Sell Second Sugar Mill to Argentine Grocery Mogul</li> <li>Indonesian Govt Sees ‘Good Progress’ in Talks With Freeport</li> </ul> <p>* * * </p> <p><strong>Asian markets trade mostly higher in the last day of the week </strong>as local stocks shrugged off a cautious tone on Wall Street where a delay in the healthcare bill vote dampened sentiment. ASX 200 (+0.8%) was led by the Healthcare and Financial sectors, while Nikkei 225 (+0.9%) benefited as USD/JPY recovered some ground. Elsewhere, Hang Seng (-0.1%) and Shanghai Comp. (+0.2%) traded choppy as participants digested earnings including CNOOC which posted its worst results in 5 years, while the PBoC also refrained from open market operations and stated that liquidity in China's banking system is relatively high. Finally, 10yr JGBs were lower amid the increased risk appetite in Japan and after the latest weekly securities transactions data showed foreign investors upped their selling of Japanese bonds, while underperformance in the curve was seen in the belly.</p> <p><em>Top Asian News</em></p> <ul> <li>BOJ Sells Bonds With Repurchase Agreements First Time Since 2008</li> <li>Kuroda Sees No Problems for BOJ Bond Purchases in the Future</li> <li>Huishan Dairy, Muddy Waters Target, Sinks 85% in Hong Kong</li> <li>Two-and-20 Era Cedes Way to No Fees Upfront as Hedge Funds Adapt</li> <li>Carlyle, Tiger Global Buy Stake in Delhivery for More Than $100m</li> <li>Nippon Yusen Cancels 2 Boeing 747 Airplane Orders</li> <li>Japan’s JR East Pitches Minimal Delays to Win U.K. Rail Bid</li> <li>Iron’s Rally Gives Way to Rout as China Futures Post Record Loss</li> </ul> <p><strong>Europe's final session of the week kicked off with major bourses trading in the red, </strong>albeit modestly so, with risk mood steady as the US healthcare vote moved to late Friday. Newsflow throughout the European morning has been light, with energy names leading the way lower, while the material sector outperforms. In credit markets, price action is rather muted with the next focal point for the market being next week's approach to quarter end, particularly given the recent squeeze in repos over year-end. Consequently, it is likely that positioning will take place ahead of this event.</p> <p><em>Top European News</em></p> <ul> <li>Credit Suisse Increases Bonuses; Bank Said to Weigh Stock Sale</li> <li>Deutsche Bank Commits to London With New U.K. Headquarters</li> <li>German Output Growth Accelerates as Costs, Employment Spike</li> <li>French Companies Bet on Favorable Post-Election Business Outlook</li> <li>Fillon Accuses French President of Plot to Destroy His Candidacy</li> <li>U.K. Police Make Two More Arrests in London Terror Attack Probe</li> <li>End of Winter Pushes U.K. Natural Gas to Longest Slide in Decade</li> <li>Eni Becomes First Oil Major to Find Crude in Mexico Waters</li> <li>Schaeuble: Greece Can Only Stay in Euro If It Undertakes Reforms</li> <li>Nordea Cuts Correspondent Banking in Half as High Risk Area</li> <li>Biotest to Seek New Partner for Drug Rejected by ImmunoGen</li> </ul> <p><strong>Currency markets have been relatively subdued this morning, </strong>with traders looking for drivers given we must now wait until the end of Friday for the vote on healthcare in the US. This is set to resume just after the London close, so the JPY pairs in particular look set for some range bound trade ahead. USD/JPY continues to hold above 111.00, but is struggling for traction on the upside, despite US Treasury yields rising 3-4bps in the belly of the curve. EU PMIs came in strong this morning, and although much of this was to be assumed given the weakness of the EUR of late, traders bought the spot rate back up to 1.0800 in an isolated move, with USD/CHF moving the other way to suggest a USD based move. EUR/CHF was camped in the low 1.0700's, though we did see some modest upside in EUR/GBP, which is back around the 0.8650 level. Cable is still struggling with selling interest through the 1.2500 mark, so the EUR/GBP reaction is partially a result of this, with next week's triggering of Article 50 likely to limit the upside, but dip buying notable here in the wake of yesterday's much stronger than expected retail sales release. Indeed at time of writing, the spot rate is still pushing for 1.2500+. but resistance ahead of 1.2600 is very strong.</p> <p><strong>Commodities traders will be looking to tonight's vote on healthcare </strong>in the US as a measure of how president Trump's spending plans will fare through Congress going forward. We see few material moves of note other than palladium, which has extended to near 2 year highs. Gold has come back in line with the USD, but is pushing higher —modestly — as the greenback trickles back, but US Treasuries seeing little movement against this. Interesting news for Copper as the strikes in the Escondida mine look to end of 43 day run of inactivity. This looks to be a temporary measure though as workers agree to extend current contracts. WTI is still struggling below the USD50.00 mark, with all eyes and ears on the OPEC meeting towards the end of May to see whether the production cut agreement can be extended.</p> <p><strong>Looking at the day ahead, </strong>in the US the main focus is likely to be on the February flash durable and capital goods orders data where market expectations is for a +1.3% mom rise in headline durable goods orders and +0.5% mom rise in core capex orders. The flash PMI’s will also be out in the US this afternoon. Away from the data there is plenty of Fedspeak with the Fed’s Evans (12pm GMT), Bullard (1.05pm GMT), Dudley (2pm GMT) and Williams (5.30pm GMT) scattered throughout the day.&nbsp; Of course the main focus will be on the healthcare bill developments.</p> <p><strong>US Event Calendar</strong></p> <ul> <li>8:30am: Durable Goods Orders, est. 1.3%, prior 2.0%; </li> <li>Durables Ex Transportation, est. 0.6%, prior 0.0%; </li> <li>Cap Goods Orders Nondef Ex Air, est. 0.5%, prior -0.1%</li> <li>9:45am: Markit US Manufacturing PMI, est. 54.8, prior 54.2</li> <li>US Services PMI, est. 54, prior 53.8</li> <li>US Composite PMI, prior 54.1</li> <li>10am: Revisions: Wholesale sales and inventories</li> </ul> <p><strong>Central Banks </strong></p> <ul> <li>8am: Fed’s Evans Speaks at Community Development Event</li> <li>9:05am: Fed’s Bullard to Speak to Economic Club of Memphis</li> <li>10am: Fed’s Dudley Speaks in New York at York College</li> <li>1:30pm: Fed’s Williams Speaks in Q&amp;A</li> </ul> <p>* * * </p> <p><strong>DB's Jim Reid concludes the overnight wrap</strong></p> <p>So it turns out we’ll have to wait a little bit longer for our first glimpse at how successful Mr Trump's legislative agenda might be. The breaking news yesterday was that House GOP leaders postponed Thursday’s planned vote on the Obamacare replacement bill. Following a behind closed doors meeting late last night between Republican lawmakers the White House said that a vote is planning to go ahead this afternoon in Washington although there is still no suggestion that Trump has garnered sufficient support at this stage following the discussions last night. Indeed the most significant comment that we’ve heard came from Republican representative Chris Collins who confirmed that there will<br />be “no more negotiations” and that “if it loses, we just move on to tax reform”. <strong>In other words, it sounds like Trump has issued his final ultimatum.</strong></p> <p>According to various news reports centrist Republicans were said to have balked at proposed changes to the minimum insurance benefits which had been negotiated between the President and Freedom Caucus. At the same time the Freedom Caucus are also said to still be unhappy about some of the finer details. In another twist, the Congressional Budget Office announced last night that the latest version of the AHCA (as of March 22nd) is estimated to result in a reduction in the deficit of $150bn over the next 10 years which compares to the $337bn reduction in the original version. The plan is also estimated to still result in 24 million more people being uninsured in 2026. The scope of any last minute changes is clearly not reflected in these figures but nonetheless, it’s hard to see the results as boosting the GOP’s cause at what is clearly a very tense time for negotiations.</p> <p>While the announcement of a delay to the vote caused a little bit of retracing for risk yesterday, the actual magnitude of the moves wasn’t particularly eye catching. The S&amp;P 500 finished -0.11% with healthcare stocks underperforming after the index traded as high as +0.44% in the early going while the Dow closed -0.02% having also been up a similar amount. There’s no doubt that the intraday ranges have been a lot more exciting over the last few days however. </p> <p><strong>The average of the last 3 days has been a 1.03% swing in the high to low points which compares to an average of just 0.53% for the rest of the year to date</strong>. Meanwhile credit retraced just less than 1bp of the move tighter yesterday while Treasuries and the Greenback were actually fairly unperturbed. The 10y finished at 2.419% which was +1.4bps on the day while the intraday range was 5bps. The US Dollar index closed +0.08% although didn’t really budge much in and around the headlines. The VIX did however finish nearly 8% up from the day’s lows, closing at 13.12 and with that, closing at the highest level this year. In commodities Gold faded to end the day down -0.29% while WTI Oil finished below $48/bbl again after dipping -0.71%.</p> <p>Before we look at how the Asia session has followed up, it’s worth noting that as well as the obvious focus on the healthcare bill developments, or lack thereof, the release of the global flash March PMI’s today should make for a bit of a welcome distraction. In Europe the consensus is for a modest tick lower in the composite Euro area reading to 55.8, albeit a level which would still suggest a possible uplift in growth from recent levels. In the US the consensus is for a lift in both the services (to 54.0 from 53.8) and manufacturing (54.8 from 54.2) readings. So keep an eye on those later today.</p> <p>To Asia now then where for the most part it’s been a fairly mixed session again, although there are no obvious signs of concern ahead of the health bill vote later today. While there are decent gains for the Nikkei (+0.99%) and ASX (+0.99%), the Shanghai Comp and Kospi are both little changed while the Kospi (-0.32%) is down slightly. US equity index futures are a touch higher while Treasuries have weakened a bit further following comments from the Fed’s Kaplan who said that 3 hikes this year remains a “reasonable” baseline. Kaplan also said that the Fed should begin to roll off both mortgage backed securities and Treasury holdings when it begins the process of letting its balance sheet shrink.</p> <p>Moving on. While markets were unsurprisingly occupied with the health care bill developments there was also some focus on the ECB’s TLTRO II auction. Take up was higher than expected at €233.5bn compared to the consensus forecast for €110bn. A total of 474 bidders also took part which compares to 200 bidders in December. While we didn’t get a country breakdown we did see equity markets in Europe strengthen following the news with the Stoxx 600 finishing up +0.85% and the peripherals up a little more. European Banks also rose +0.75% while bond yields generally finished higher (2y Bunds +2.9bps, 10y Bunds +2.3bps, 10y Peripherals +1bp to +5bps). Financials credit also tightened with the iTraxx Senior and Sub indices rallying 2bps and 5bps respectively, outperforming iTraxx Main which finished 1bp tighter.</p> <p>Away from that the data in the US was once again fairly second tier in nature. New home sales were reported as rising +6.1% mom in February and more than the +1.6% expected by the market, perhaps reflecting the relatively mild winter. Initial jobless claims ticked up to 258k last week which was a rise of 18k, although the four-week average continues to hover around the 240k area. Meanwhile the Kansas City Fed’s manufacturing index rose 6pts to 20 in March which is in fact the highest reading since March 2011. Elsewhere, in Europe the European Commission’s flash consumer confidence reading rose 1.2pts to -5.0 in March which was a little better than expected. In the UK retail sales excluding fuel also surprised to the upside after printing at +1.3% mom (vs. +0.3% expected) in February. The CBI’s Distributive Trades Survey for March also revealed that 32% of respondents reported growth which was up from 27% in February. </p> <p>There was also a little bit of Fedspeak yesterday although nothing that particularly moved the dial. Fed Chair Yellen didn’t touch on either monetary policy or the economy. San Francisco Fed President Williams did however and said that three “or maybe even more” rate increases this year makes sense, but depends on how the data comes in.</p> <p>Looking at the day ahead, this morning in Europe we’re kicking off in France where the final revisions to Q4 GDP will be made. Thereafter we will get the aforementioned flash PMI’s for the Euro area, Germany and France. This afternoon in the US the main focus is likely to be on the February flash durable and capital goods orders data where market expectations is for a +1.3% mom rise in headline durable goods orders and +0.5% mom rise in core capex orders. The flash PMI’s will also be out in the US this afternoon. Away from the data there is plenty of Fedspeak with the Fed’s Evans (12pm GMT), Bullard (1.05pm GMT), Dudley (2pm GMT) and Williams (5.30pm GMT) scattered throughout the day.&nbsp; Of course the main focus will be on the healthcare bill developments.</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="1200" height="675" alt="" src="" /> </div> </div> </div> ASX 200 Bank of Japan Bank of Japan Boeing Bond Business Business Capital Repatriation Central Banks China Commodity markets Congress Congressional Budget Office Consumer Confidence Copper Crude Donald Trump Donald Trump Dow 30 Economic Club of Memphis 10am Economy Environmental Protection Agency Equity Markets European Central Bank European Commission European Union European Union Eurozone federal government Fedspeak fixed flash Foreign exchange market France Futures contract Germany Greece Hang Seng 40 headlines Initial Jobless Claims Japan Jim Reid Kansas City Fed Kospi Market Sentiment Markit Mexico Ministerial Monitoring Committee Monetary Policy Monsanto Mortgage Backed Securities Natural Gas New Home Sales Nikkei Nikkei 225 Obamacare OPEC OPEC Open Market Operations Organization of Petroleum-Exporting Countries Patient Protection and Affordable Care Act People's Bank of China Price Action Price of oil Republican Party Reuters S&P 500 S&P/ASX 200 San Francisco Fed San Francisco Fed STOXX Stoxx 600 STOXX Europe 600 Topix U.S. Treasury US Dollar US Dollar Index White House White House Yen York College Fri, 24 Mar 2017 10:41:13 +0000 Tyler Durden 591660 at NSA To Provide "Smoking Gun" Proof Obama Spied On Trump <p>Yesterday, Republican Devin Nunez Nunes held an explosive press conference outside the White House in which he told reporters that communications from the Trump team were picked up and disseminated within the government during the 2016 campaign.&nbsp; </p> <p>Not surprisingly, the comments ruffled some liberal feathers and the mainstream media launched an immediate smear campaign calling for Nunes to resign his post immediately.&nbsp; </p> <p>Now, according to<a href=""> Fox News</a> sources, <strong>congressional investigators expect that a potential “smoking gun” from the NSA establishing that the Obama administration spied on the Trump transition team, and possibly the president-elect himself, will be produced to the House Intelligence Committee as early as tomorrow.</strong></p> <blockquote><div class="quote_start"> <div></div> </div> <div class="quote_end"> <div></div> </div> <p><strong>The intelligence is said to leave no doubt the Obama administration, in its closing days, was using the cover of legitimate surveillance on foreign targets to spy on President-elect Trump,</strong> according to sources.</p> <p>&nbsp;</p> <p>The FBI hasn’t been responsive to the House Intelligence Committee’s request for documents, but the <strong>National Security Agency is expected to produce documents to the committee by Friday.</strong> The NSA document production is expected to produce more intelligence than Nunes has so far seen or described – <strong>including what one source described as a potential “smoking gun” establishing the spying.</strong></p> <p>&nbsp;</p> <p>Classified intelligence showing incidental collection of Trump team communications, purportedly seen by committee Chairman Devin Nunes, R-Calif., and described by him in vague terms at a bombshell Wednesday afternoon news conference, came from multiple sources, Capitol Hill sources told Fox News. The intelligence corroborated information about surveillance of the Trump team that was known to Nunes, sources said, even before President Trump accused his predecessor of having wiretappedhim in a series of now-infamous tweets posted on March 4.</p> <p>&nbsp;</p> <p>The key to that conclusion is the unmasking of selected U.S. persons whose names appeared in the intelligence, the sources said, <strong>adding that the paper trail leaves no other plausible purpose for the unmasking other than to damage the incoming Trump administration.</strong></p> </blockquote> <p>Because Nunes’s intelligence came from multiple sources during a span of several weeks, and he has not shared the actual materials with his committee colleagues, he will be the only member of the panel in a position to know whether the NSA has turned over some or all of the intelligence he is citing.</p> <p>If true, of course, this could put a 'slight' taint Obama's claim of a "scandal free" eight years in the White House.</p> <p>* * * </p> <p>For those who missed it, here was Nunes's press conference from yesterday:</p> <p><iframe src=";userid=6379&amp;playercolor=black&amp;playersize=520&amp;code=3491d253712b02da08c694e61a5a219e" width="520" height="293"></iframe></p> <p>The FBI is not cooperating with the House of Representatives' investigation into the NSA's surveillance of the Trump campaign during the 2016 election, the chairman of the U.S. House Permanent Select Committee, Devin Nunes said in a press conference on Wednesday afternoon.</p> <p>In the aftermath of today's most stunning news report, namely the confirmation that Trump may have been right all along following the admission of House Intel Committee Chair Devin Nunes that the communications of Trump's aides and the president himself had been "incidentally" monitored, Nunes held an explosive press conference outside the White House in which told reporters that communications from the Trump team were picked up and disseminated within the government during the 2016 campaign. Nunes said sources within the intelligence community presented him with the information. He spoke to the press after briefing the administration.</p> <p>Nunes said that he had briefed the president about his concerns over the "incidental" collection of data, adding that the president "needs to know" that these intel reports exist, and adding ominously that "<strong>some of what I've seen seems to be inappropriate.</strong>" </p> <p>Nunes also said that Trump, others in the transition team were put into the intelligence report and asked if Trump should be in these "normal" reports.</p> <p>But what was perhaps most troubling in Nunes presser is that in the aftermath of Monday's Congressional hearing with James Comey in which the FBI director said on the record there had been no surveillance of Trump, is the House Intel Commission chair's statement that the FBI is not cooperating with the investigation. </p> <p>"We don’t actually know yet officially what happened to General Flynn," Nunes said of how communications from Gen. Flynn's calls were leaked to the press. "We just know that his name leaked out but we don't know how it was picked up yet. That was one of the things that we asked for in the March 15th letter, was for the NSA, CIA, and FBI to get us all the unmasking that was done." </p> <p><strong>"And I'll tell you, NSA is being cooperative," </strong>Nunes continued,<strong> "but so far the FBI has not told us whether or not they’re going to respond to our March 15th letter, which is now a couple of weeks old.”</strong></p> <p>Nunes also reported that as of now, he <strong>"cannot rule out" President Obama ordering the surveillance. </strong></p> <p>Finally, and contrary to earlier media reports, Nunes clarified that <strong>the surveillance was not related to the FBI's investigation into possible collusion with Russia. This surveillance, he emphasized to reporters, does not "have anything to do with Russia.</strong>" As a reminder, this has been the strawman argument proposed by much of the liberal media, which has said that a wiretapping of Trump or his aides, would <strong>only </strong>confirm that his relations with Russia were suspect and thus prompted a FISA warrant. </p> <p>If Nunes is correct, and Trump was being wiretapped for reasons having nothing to do with Russia, that entire narrative falls apart, and the press will now have to spend the next few weeks building up an entirely new narrative to "justify" why Trump was being wiretapped on Obama's watch.</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="696" height="427" alt="" src="" /> </div> </div> </div> Devin Nunes FBI Federal Bureau of Investigation Federal Bureau of Investigation Fox News House Intel Commission House Intel Committee House Intelligence Committee James Comey Michael T. Flynn national security National Security Agency Obama Administration Permanent Select Committee Politics Presidency of Donald Trump President Obama SPY United States United States House Permanent Select Committee on Intelligence United States intelligence agencies White House White House Fri, 24 Mar 2017 09:43:01 +0000 Tyler Durden 591646 at Swedes Begin Construction Of Police Fortress In "Little Mogadishu" <p><strong>Rinkeby is a suburban housing estate near Stockholm, where the Swedish welfare state keeps a large number of unassimilated migrants.</strong> 90% of the population is non-Swedish and many of these are Somalians given to crime and rioting.</p> <p><a href=""><img alt="" src="" style="width: 600px; height: 365px;" /></a></p> <p>Some may remember it from the riots confirming President Trump&#39;s fears about Sweden...</p> <p><a href=""><img height="349" src="" width="600" /></a></p> <p>In June 2010, Rinkeby was the scene of riots and attacks against the local police station and <strong>Rinkeby is the region in which the &#39;60 Minutes&#39; crew were attacked in 2016.</strong></p> <blockquote><div class="quote_start"><div></div></div><div class="quote_end"><div></div></div><p><a href=""><strong>The problems Sweden faces integrating large numbers of Muslim immigrants is a subject on which Nordstjernan columnist Ulf Nilson has written many times.</strong></a> His warnings of increasing radicalization among Sweden&rsquo;s Muslims &ndash; warnings he started to broadcast a decade ago &ndash; now seem eerily prophetic in light of an Associated Press investigation that found Stockholm to be a breeding ground for jihadists among Swedish Somalis.</p> <p>&nbsp;</p> <p>According to the AP report, which first ran Jan. 24, <strong><a href="">an al-Qaida-linked group is busy recruiting anti-government fighters among Somali youths living in Rinkeby. </a></strong>A suburb of Stockholm, <strong>Rinkeby has earned the nickname of &ldquo;Little Mogadishu&rdquo;</strong> because of the number of Somalis living there. Rinkeby is also the center of the recruiting efforts of al-Shabab, a group with ties to al-Qaida.</p> </blockquote> <p>Rinkeby is a known problem area in Stockholm. It was here NRK journalist Anders Magnus was attacked with stones last spring, and here the police never go in the evenings without reinforcements from other patrols according to <a href="">Dabladet</a>.</p> <p><a href=""><em>As Alt-Right-News reports</em></a><strong>, in 2014, they had to close down the police station, as it had originally been built for an all-Swedish community,</strong> where the main job of policemen is to look for lost pets and help old ladies cross the street.</p> <p><u><strong>The&nbsp;<a href=";hl=en&amp;nv=1&amp;prev=search&amp;;sl=sv&amp;sp=nmt4&amp;u=;usg=ALkJrhiPpimrWkE52s0b3bi_bqVUNMQjrQ" target="_blank">new police station</a>, which is being built under heavy security and is scheduled to open in 2019, will cost over $40 million construction costs in addition to an annual rental cost of $1.6 million.</strong></u> The security cost for the actual construction is unknown. It is planned that 250 personnel will work there in the community of around 15,000 people. This is a ratio of one cop to 60 residents (for comparison&nbsp;<a href="" target="_blank">Chicago</a>has one cop to 270 residents).</p> <p><strong>The police station will feature bullet proof windows, walls reinforced with sheet metal, and fencing around it, possibly with electrified barbed wire.</strong> So it will look more like a military installation than anything. Also it will be<strong> designated as &quot;specially protected,&quot; which means a year in prison for anyone even throwing a stone at it.&nbsp; </strong></p> <p><a href=""><img alt="" src="" style="width: 577px; height: 390px;" /></a></p> <p>But there are problems with the police station, as <strong>none of the largely White police working there will actually live in the community and will have to commute it. </strong>This being Sweden, a disproportionate number will also be women. This raises several problems that would not be issues elsewhere. Police officers are worried about vandalism to their private cars so refuse to drive in, while using public transport is considered too dangerous, especially for female officers.</p> <blockquote><div class="quote_start"><div></div></div><div class="quote_end"><div></div></div><p><strong>&quot;Those who will be working in Rinkeby do not want to use public transport and take the subway,&quot; </strong>Local Police Area Manager Niclas Andersson told the press.</p> <p>&nbsp;</p> <p><em><strong>&quot;It&#39;s too dangerous. One suggestion is secure parking for the private cars of police personnel. Another is that the police will be driven to and from work.&quot;</strong></em></p> </blockquote> <p>A secure parking area for the private cars of police personnel can not be added without greatly inflating the already high cost of the facility, so it looks like <strong>police personnel will have to be bussed in at the start of each shift in a specially reinforced police bus with darkened windows. </strong></p> <p>This is what multiculturalism looks like, folks, and the costs are enormous.</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="577" height="390" alt="" src="" /> </div> </div> </div> al-Qaeda Culture None Police Prevention Race riots Rinkeby Rinkeby riots Safety Swedish language War White police Fri, 24 Mar 2017 09:00:00 +0000 Tyler Durden 591659 at 16 Years Of European Terrorism In One Chart <p><strong>Europe has suffered many Islamist terrorist attacks in recent years,</strong> but before the assault on Charlie Hebdo, only two of them caused more than ten deaths: the Madrid train attack in May 2004 and the London tube and bus bombings 14 months later. <strong><em>Since then, and the beginning of the global 'war on terror', things have become exponentially worse</em></strong>...</p> <p>&nbsp;</p> <p><a href=""><img src="" width="600" height="362" /></a></p> <p>Mission Accomplished?</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="922" height="557" alt="" src="" /> </div> </div> </div> Al-Qaeda Charlie Hebdo Contemporary history Crime Criticism of Islam Criticism of religion France attacks Islamic terrorism Jyllands-Posten Muhammad cartoons controversy Politics Religious terrorism Terrorism Violence War War on Terror Fri, 24 Mar 2017 08:15:00 +0000 Tyler Durden 591658 at