http://www.zerohedge.com/fullrss2.xml/trackback en Frontrunning: May 26 http://www.zerohedge.com/news/2016-05-26/frontrunning-may-26 <ul> <li>Wall Street Crime: 7 Years, 156 Cases and Few Convictions (<a href="http://www.wsj.com/articles/wall-street-crime-7-years-156-cases-and-few-convictions-1464217378">WSJ</a>)</li> <li>Japan's Abe points to 2008 crisis as G7 leaders debate global risk (<a href="http://www.reuters.com/article/us-g7-summit-idUSKCN0YH016">Reuters</a>)</li> <li>Brent Crude Rises Above $50 a Barrel (<a href="http://www.wsj.com/articles/brent-crude-rises-above-50-a-barrel-1464229441">WSJ</a>)</li> <li>New York financial regulator gearing up to probe online lenders (<a href="http://www.reuters.com/article/us-lending-new-york-probe-exclusive-idUSKCN0YG31O">Reuters</a>)</li> <li>At Swinging Wall Street Parties, the Feds Are Now on the Prowl (<a href="http://www.bloomberg.com/news/articles/2016-05-26/at-swinging-wall-street-parties-the-feds-are-now-on-the-prowl">BBG</a>)</li> <li>Do U.S. Killings of Militant Leaders Work? (<a href="http://www.wsj.com/articles/do-u-s-killings-of-militant-leaders-work-1464255002">WSJ</a>)</li> <li>Fed's Bullard: global central bank policy divergence has been priced in (<a href="http://www.reuters.com/article/us-usa-fed-bullard-policy-idUSKCN0YH16A?il=0">Reuters</a>)</li> <li>Insurers Seek Big Premium Boosts (<a href="http://www.wsj.com/articles/insurers-seek-big-premium-boosts-1464220397">WSJ</a>)</li> <li>The Little-Known Alibaba Unit That Prompted an SEC Probe (<a href="http://www.bloomberg.com/news/articles/2016-05-26/the-little-known-alibaba-affiliate-that-prompted-an-sec-probe">BBG</a>)</li> <li>No Treasuries Left for Wall Street Dealers Amid Blowout Auctions (<a href="http://www.bloomberg.com/news/articles/2016-05-25/no-treasuries-left-for-wall-street-dealers-amid-blowout-auctions">BBG</a>)</li> <li>Migrant numbers growing again at Calais camp (<a href="http://www.reuters.com/article/us-europe-migrants-calais-idUSKCN0YH0U3">Reuters</a>)</li> <li>China's economic planner warns against irregular offshore debt issuance (<a href="http://www.reuters.com/article/us-china-debt-irregularities-idUSKCN0YH15G?il=0">Reuters</a>)</li> <li>China central bank to keep policy slightly loose (<a href="http://www.reuters.com/article/us-china-economy-policy-idUSKCN0YH14Q?il=0">Reuters</a>)</li> <li>Qatar Stuns Mideast Debt Market With Record $9 Billion Bond (<a href="http://www.bloomberg.com/news/articles/2016-05-26/qatar-stuns-gulf-debt-market-with-record-9-billion-eurobond">BBG</a>)</li> <li>Greece’s Journey to Redemption Remains a Long One After Aid Deal (<a href="http://www.bloomberg.com/news/articles/2016-05-25/greece-s-journey-to-redemption-remains-a-long-one-after-aid-deal">BBG</a>)</li> <li>Atomic bomb survivors to attend Hiroshima event for Obama visit (<a href="http://www.reuters.com/article/us-japan-obama-hiroshima-idUSKCN0YH0KT">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>- Hillary Clinton's use of a private email server and her lax record keeping while secretary of state violated the department's policies, an independent watchdog said, a rebuke that keeps the issue alive as she campaigns for president. (<a href="http://on.wsj.com/1WkWoYk" title="http://on.wsj.com/1WkWoYk">http://on.wsj.com/1WkWoYk</a>)</p> <p>- Twitter Inc on Wednesday confirmed it is curtailing an advertisement effort that encouraged people to purchase products from merchants without leaving the social-media service. (<a href="http://on.wsj.com/25iWph3" title="http://on.wsj.com/25iWph3">http://on.wsj.com/25iWph3</a>)</p> <p>- Eleven states, led by Texas, are suing the Obama administration over a new policy saying public schools must let transgender students use the bathroom of their choice - calling the directive "a massive social experiment" running roughshod over "common-sense policies", according to the complaint. (<a href="http://on.wsj.com/1WkWvDf" title="http://on.wsj.com/1WkWvDf">http://on.wsj.com/1WkWvDf</a>)</p> <p>&nbsp;</p> <p><em><span style="text-decoration: underline;">FT</span></em></p> <p>* British Prime Minister David Cameron urged young people to register to vote for the EU referendum scheduled next month.</p> <p>* Microsoft Corp said on Wednesday it will cut back and take a charge of about $950 million for its smartphone business, just two years after it bought handset maker Nokia.</p> <p>* Citigroup Inc has agreed to pay $425 million to resolve civil charges that it tried to manipulate foreign exchange and interest rate benchmarks</p> <p>&nbsp;</p> <p><em><span style="text-decoration: underline;">NYT</span></em></p> <p>- Alibaba Group Holding Ltd, the e-commerce giant, said Wednesday it was under investigation by U.S. securities regulators over its accounting practices, a potential setback for a company long seen as a symbol of China's growing technological might. (<a href="http://nyti.ms/1sAor9J" title="http://nyti.ms/1sAor9J">http://nyti.ms/1sAor9J</a>)</p> <p>- Volkswagen AG is challenging allegations made by the Justice Department over its diesel emissions scandal, questioning the American authorities' jurisdiction and contending that the accusations against it do not justify penalties. (<a href="http://nyti.ms/248JVX1" title="http://nyti.ms/248JVX1">http://nyti.ms/248JVX1</a>)</p> <p>- The French pharmaceutical company Sanofi SA said on Wednesday it would seek to replace the board of Medivation Inc after the American drug maker's directors rejected a $9.3 billion takeover offer. (<a href="http://nyti.ms/1qKPi1u" title="http://nyti.ms/1qKPi1u">http://nyti.ms/1qKPi1u</a>)</p> <p>- Citigroup Inc on Wednesday became the latest big bank accused of trying to manipulate global interest rates, a reminder of Wall Street's wide-ranging abuse of power in these markets. The Commodity Futures Trading Commission, a federal regulator that oversees Wall Street, announced $425 million in penalties against Citigroup, covering two overlapping cases. (<a href="http://nyti.ms/1U90U5Z" title="http://nyti.ms/1U90U5Z">http://nyti.ms/1U90U5Z</a>)</p> <p>- Takata Corp, the Japanese airbag maker embroiled in a huge recall, has hired the investment bank Lazard and is seeking a cash infusion. The company said it was also seeking to work out a deal with affected automakers on sharing the costs of replacing millions of airbags, a move it said was crucial to "enabling Takata to remain a viable and valued global supplier." (<a href="http://nyti.ms/1XUQnB9" title="http://nyti.ms/1XUQnB9">http://nyti.ms/1XUQnB9</a>)</p> <p>&nbsp;</p> <p><em><span style="text-decoration: underline;">Canada</span></em></p> <p>THE GLOBE AND MAIL</p> <p>** Canada's Competition Bureau is setting its sights on the booming condominium sector in the Greater Toronto Area, ordering more than 100 condo boards to hand over records as part of a sweeping criminal investigation. The bureau is probing what it calls "allegations of bid-rigging and conspiracy" involving the region's multimillion-dollar condo renovation industry. (<a href="http://bit.ly/248YtpD" title="http://bit.ly/248YtpD">http://bit.ly/248YtpD</a>)</p> <p>** Canada Goose Inc is investing in its first branded stores later this year. A 4,500-square-foot location at Yorkdale Shopping Centre in Toronto will be the first to open in October, followed by a 4,000-square-foot store in the SoHo neighborhood of Manhattan, scheduled to open in November. (<a href="http://bit.ly/248YbyW" title="http://bit.ly/248YbyW">http://bit.ly/248YbyW</a>)</p> <p>** A cloud of noxious particles brewing in the air above the Alberta oil sands is one of the most prolific sources of air pollution in North America, often exceeding the total emissions from Canada's largest city, federal scientists have discovered. (<a href="http://bit.ly/25hO8tQ" title="http://bit.ly/25hO8tQ">http://bit.ly/25hO8tQ</a>)</p> <p>NATIONAL POST</p> <p>** Canada police have arrested 55 people and laid more than 300 charges following a joint investigation aimed at disrupting drug distribution networks in northeastern Ontario. Drugs have been blamed for fuelling a suicide and overdose crisis in Attawapiskat and other remote First Nations communities along the James Bay coast. (<a href="http://bit.ly/1TCih4Z" title="http://bit.ly/1TCih4Z">http://bit.ly/1TCih4Z</a>)</p> <p>** Bank of Montreal kicked off the latest bank earnings season by substantially increasing provisions for energy-related credit losses in the second quarter. At the same time, the bank took a C$132 million ($101.8 million) after-tax restructuring charge to cover severance costs to reduce the workforce by 4 percent as more customers shift to mobile and online banking. (<a href="http://bit.ly/1WPzubt" title="http://bit.ly/1WPzubt">http://bit.ly/1WPzubt</a>)</p> <p>** The Chinese insurance company Anbang Insurance Group Co Ltd is set for a major purchase in Canada. Sources indicate that the Beijing-based company with a reported $114 billion in assets has a deal to buy what amounts to a 34 percent stake in Bentall I, II, III and IV - a sprawling commercial 1.5-million-square-foot office complex, in the heart of Vancouver. (<a href="http://bit.ly/20FAmOl" title="http://bit.ly/20FAmOl">http://bit.ly/20FAmOl</a>) </p> <p>&nbsp;</p> <p><em><span style="text-decoration: underline;">Britain</span></em></p> <p>The Times</p> <p>The sale of Tata Steel's UK assets has been thrown into confusion after speculation that the business secretary has offered Tata a deal so attractive that it may yet keep Port Talbot and a dozen other facilities around the country. (<a href="http://bit.ly/1TAsAGK" title="http://bit.ly/1TAsAGK">http://bit.ly/1TAsAGK</a>)</p> <p>The Guardian</p> <p>UK tax officials must "urgently" liaise with the French authorities to see if they have evidence of wrongdoing by Google that relates to the company's UK tax affairs, John McDonnell has said. (<a href="http://bit.ly/1TAthjk" title="http://bit.ly/1TAthjk">http://bit.ly/1TAthjk</a>)</p> <p>The watchdog for global trade has said leaving the European Union would push back trade barriers at a cost of 9 billion pounds a year to British consumers. (<a href="http://bit.ly/1TAtm6G" title="http://bit.ly/1TAtm6G">http://bit.ly/1TAtm6G</a>)</p> <p>The Telegraph</p> <p>A pair of BHS suppliers have toppled into administration, resulting in 350 job losses, as the pain caused from the collapse of the retailer spreads through the sector. (<a href="http://bit.ly/1TAt0gr" title="http://bit.ly/1TAt0gr">http://bit.ly/1TAt0gr</a>)</p> <p>Shell will axe almost twice as many jobs as planned following its controversial takeover of BG Group by cutting a further 2,200 from its global workforce. (<a href="http://bit.ly/1TAuzuL" title="http://bit.ly/1TAuzuL">http://bit.ly/1TAuzuL</a>)</p> <p>Sky News</p> <p>Ministers will this week unveil proposals that would slash billions of pounds from the liabilities of the British Steel pension scheme as they seek to smooth a path for a buyer of Tata Steel's UK operations. (<a href="http://bit.ly/1TAu1VN" title="http://bit.ly/1TAu1VN">http://bit.ly/1TAu1VN</a>)</p> <p>In an exclusive interview, Jon Woods, Coca-Cola's general manager for the UK and Ireland, said while no decisions had been made yet it was likely that shoppers would have to pick up the bulk of the cost. (<a href="http://bit.ly/1TAuwPD" title="http://bit.ly/1TAuwPD">http://bit.ly/1TAuwPD</a>)</p> <p>The Independent</p> <p>Accountants have accused the government of seeking to raise hundreds of millions of pounds from the public in accidental overpayments in the new era of online returns, citing HMRC's botched handling of a shift to digital tax filings as fresh evidence of the dangers. (<a href="http://ind.pn/1TAtnri" title="http://ind.pn/1TAtnri">http://ind.pn/1TAtnri</a>)</p> <p>Cabin crew staff at travel operator Thomas Cook have voted to strike in a dispute over health and safety, the union Unite has said. (<a href="http://ind.pn/1TAu9V4" title="http://ind.pn/1TAu9V4">http://ind.pn/1TAu9V4</a>)</p> <p>&nbsp;</p> http://www.zerohedge.com/news/2016-05-26/frontrunning-may-26#comments Bond China Citigroup Commodity Futures Trading Commission Crude European Union Google Ireland Lazard Obama Administration Reuters Tata Twitter Twitter Volkswagen Thu, 26 May 2016 11:29:07 +0000 Tyler Durden 561923 at http://www.zerohedge.com Obama: "World Leaders Are Rattled By Donald Trump" http://www.zerohedge.com/news/2016-05-26/obama-world-leaders-are-rattled-donald-trump <p>While the G7 summit in Japan continued to press well-known themes, with the general consensus being that world leaders would continue pushing against competitive FX devaluations (a jab pointed once again at Japan as suggested by this weekend's meeting of finance ministers and central bankers), Merkel adding that there is hardly any leeway left for monetary policy and Abe saving some face by adding that the G7 agreed the global economy is facing big risks, the biggest surprise out of this latest statement was Obama's comments on Donald Trump.</p> <p>In a statement to the press, Obama said that world leaders are "rattled" by Republican nominee Donald Trump’s public statements.<strong> </strong>"They are paying very close attention to this election," the president told reporters. <strong>"I think it’s fair to say they are surprised by the Republican nominee. They are not sure how seriously to take some of his pronouncements, but they are rattled by it."</strong></p> <p>Obama added that Republican nominee has displayed "ignorance of international affairs or a cavalier attitude or an interest in tweets and headlines rather than thinking through what is required" to keep the world safe. </p> <p>On the other hand, Obama confirmed that both Hillary Clinton and Bernie Sanders would be a continuation of the status quo by saying "both pointing in the same direction" with policy proposals. "I guarantee you that the eventual nominee sure wishes it were over now because this is a grind. It’s hard."</p> <p>And as has been repeatedly the case, in further bracketing Trump as not only an anti US establishment candidate, but one who is disliked by the entire global community, Obama likely just earned the New York billionaire some more votes; it will also provide Trump with further ammo to push his own specific policy agenda. </p> <p><iframe src="https://www.youtube.com/embed/OamtlKl-KKU" width="560" height="315" frameborder="0"></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="916" height="529" alt="" src="http://www.zerohedge.com/sites/default/files/images/user5/imageroot/obama%20g7.jpg?1464261050" /> </div> </div> </div> http://www.zerohedge.com/news/2016-05-26/obama-world-leaders-are-rattled-donald-trump#comments Bernie Sanders Donald Trump Global Economy headlines Japan Monetary Policy Thu, 26 May 2016 11:10:52 +0000 Tyler Durden 561921 at http://www.zerohedge.com When a Dollar is Not a Dollar http://www.zerohedge.com/news/2016-05-26/when-dollar-not-dollar <p><a href="http://www.financialjuice.com/zerohedge" style="font-family: 'Lucida Grande', Verdana, sans-serif; font-size: 13.3333px; line-height: 17.3333px; text-decoration: underline; color: rgb(0, 0, 0);"><span style="color: rgb(30, 67, 154); font-size: 13.3333px; font-weight: bold; line-height: 17.3333px;">One Place to Follow All Your Favourite Financial Sites Including ZeroHedge</span></a></p> <p>A buck&rsquo;s a buck, right? Well, it should be. The value of a greenback in the United States should have the same value all over the country. Except, depending on where you live that dollar bill will get you more&hellip;or less&hellip;of what you need every day. So, no <em>a dollar just ain&rsquo;t a dollar</em>, is it? Data from the Bureau of Economic Analysis provides statistic for the entire country to determine just how far that dollar can go for goods and services everywhere. Whatever it is you&rsquo;re buying, the price of food, drink, housing, and local services all differ according to the income levels of people in the state. So, if you earn more, then your dollar isn&rsquo;t going to go as far as somewhere where the inhabitants of the state are earning a lot less.</p> <p>So where would your dollar get you more for your money? That doesn&rsquo;t necessarily mean that you&rsquo;re going to want to live there, because if you do, you&rsquo;ll be earning less. So, which would you prefer: earning more and end up paying through the nose for something or getting it on the cheap and earning a lot less than you would maybe like to?</p> <p><strong><u>States where your dollar goes a little bit further&hellip;or not at all!</u></strong></p> <p>50. <strong>Hawaii</strong>: the value of the dollar here is the lowest in the country. It&rsquo;s only worth $0.86 by comparison with all of the other states in the USA for food, goods and services, as well as housing. The value of the dollar changed by +9.3% between 2008 and 2013. That means that the price of housing affected the value of the dollar, probably. The fall in the housing market meant that the value of the dollar increased. But, at the same time, the people lost their money despite the increase because they lost their homes or the price of them plummeted. Median household income stands at $69,592 and it is the 5<sup>th</sup> highest in the country. The poverty rate is just 11.4% and that means it&rsquo;s the 7<sup>th</sup> lowest in the United States today.</p> <p>49. <strong>New York</strong>: The value of the dollar is only marginally better than in Hawaii here at $0.87. The change in the value of the dollar was +7.3% for the period 2008 to 203 and the median household income stands at $58,878 (the 16<sup>th</sup> highest in the country). The poverty rate is just 15.9%.</p> <p>48. <strong>New Jersey</strong>: here the dollar is worth $0.87 and the change that occurred over the period 2008-2013 stands at +6%. This state has the 2<sup>nd</sup> highest median household income, standing at $71,919 and the 4<sup>th</sup> lowest poverty rate (11.1%).</p> <p>47. <strong>California</strong>: The value of the dollar here is $0.89 and there is the 14<sup>th</sup> largest increase (+8.3%) in the value of that dollar over the period 2008-2013. Median household income is the 9<sup>th</sup> highest at $61,933 and the poverty rate stands at 16.4%</p> <p>46. <strong>Maryland</strong>: The value of the dollar here is $0.90 and the change that took place in that value over the period 2008-2013 amounted to +6.9%. The median household income stands at $73,971 and that is the highest income in the entire country. The poverty rate is also one of the lowest in the USA (2<sup>nd</sup> lowest) at just 10.1%.</p> <p>45. <strong>Connecticut</strong>: The value of the dollar here is $0.92 and that saw a change of +.97% (5<sup>th</sup> highest over the period 2008-2013). The median household income stands at $70,048 and that&rsquo;s the 4<sup>th</sup> best in the country, with a poverty rate that is one of the lowest in the country (10.8%).</p> <p>44. <strong>Massachusetts</strong>: The value of the dollar here stands at $0.93 (with an increase for 2008-2013 of +8.5%). The median household income amounts to $69,160 and the poverty rate is 11.6%.</p> <p>43. <strong>Alaska</strong>: this state has a value of $0.94 for a dollar by comparison with the others and it increased between 2008 and 2013 by +8.4%. The poverty rate is 11.2% and the household median income stands at $71,583 (3<sup>rd</sup> best).</p> <p>42. <strong>New Hampshire</strong>: This state has a dollar value of $0.94 (increasing by +8.8% over the period 2008-2013). The median household income is the 7<sup>th</sup> highest at $66,532 and the poverty rate is the lowest in the entire country (9.2%).</p> <p>41. <strong>Washington</strong>: this state has a dollar value while works out to $0.97 and it saw an increase (2008-2013) of +7.5%. The poverty rate is 13.2% and the median household income is $61,366.</p> <p>40. <strong>Virginia</strong>: the value of the dollar here is $0.97 and that increased by +7.3% over the period 2008-2013. The median household income is $64,902 and the poverty rate is 11.8% (12<sup>th</sup> lowest).</p> <p>39. <strong>Colorado</strong>: This state has a dollar value that is $0.98 (increasing from 2008 to 2013 by an average of +5.6%). The median household income is $61,303 and a poverty rate of 12%.</p> <p>38. <strong>Delaware</strong>: Tis state sees a value of the dollar working out to $0.99 (increasing by +8.1% over the period 2008-2013). The median household income is $59,716 and the poverty rate stands at 12.5%.</p> <p>37. <strong>Illinois</strong>: The value of the dollar here is also $0.99 and it increase by +6.7% over the period 2008-2013. The median household income is $57,444 and the poverty rate 14.4%.</p> <p>36. <strong>Vermont</strong>: This state has a value that is exactly $1. That increased in value by +7.7% over the five &ndash;year period of 2008-2013. The poverty rate is 12.2% and the household median income is $54,166.</p> <p>35. <strong>Florida</strong>: This state is the first state in the list where you start to get more value for your money. The dollar gets you $1.01 here. That increased by +9.7% over the period 2008-2013 (6<sup>th</sup> highest increase in the country). The median household income stands at $47,463 and the poverty rate is 16.5%.</p> <p>34. <strong>Oregon</strong>: the value of the dollar here also stands at $1.01. That increased by +7.1 over the period 2008-2013. The poverty rate is 16.6% and the median income for households stands at $51,075.</p> <p>33. <strong>Pennsylvania</strong>: The value of the dollar here is $1.01 (increasing by +7.1%). The median household income is $53,234 and the poverty rate is 13.6%.</p> <p>32. <strong>Nevada</strong>: This state will give you $1.02 for a dollar (increasing by +10.3% over the period 2008 and 2013, which is the 2<sup>nd</sup> highest increase for that period in the country). Median household income stands at $51,450 and the poverty rate is 15.2%.</p> <p>31. <strong>Rhode Island</strong>: This state will give you $1.02 for a dollar (increase of +9.8%, the 4<sup>th</sup> highest in the country). The median income stands at $54, 891 and the poverty rate is 14.3%</p> <p>30. <strong>Maine</strong>: This state has a dollar value of $1.02 and an increase for the period of +7.8%. The median income for households is $49,462 and the poverty rate stands at 14.1%.</p> <p>29. <strong>Minnesota</strong>: The dollar value here is also $1.02 (increasing by +7.3% over the period 2008-2013). The poverty level here is 11.5% and the median income is $61,481 (10<sup>th</sup> highest in the country).</p> <p>28. <strong>Utah</strong>: In Utah your dollar would be worth $1.03 (+7.1 increase between 2008 and 2013). The poverty rate stands at 11.7% and the median household income is $60,922.</p> <p>27. <strong>Arizona</strong>: in this state the dollar is worth $1.03 (up by 11.4%, which is the highest in the country for the period 2008-2013). The median household income is $50,068 and the poverty rate is 18.2% which is the tenth highest in the country).</p> <p>26. <strong>Texas</strong>: in this state the value of the dollar is also $1.03 and that saw an increase of +7.3% over the same period of five years. The poverty rate is 17.2% and the median household income is $53,035.</p> <p>25. <strong>Wyoming</strong>: The value of the dollar here is $1.04 (up +7.8% from 2008-2013). The median household income is $57,055 and the poverty rate is the 6<sup>th</sup> lowest in the country at 11.2%.</p> <p>24. <strong>New Mexico</strong>: The value of the dollar stands at $1.05 (up 6.8% over the period 2008-2013). The median household income is $44,803 and the poverty rate is 21.3% (which is the 2<sup>nd</sup> worst in the country).</p> <p>23. <strong>Montana</strong>: the dollar here will get you $1.06 (up +8.5% or the 11<sup>th</sup> highest). Median household income stands at $46,328 (10<sup>th</sup> lowest in the country) and the poverty rate is 15.4%.</p> <p>22. <strong>Michigan</strong>: The value of the dollar here is $1.06 (up by +8.9%, or the 9<sup>th</sup> largest increase for 2008-2013). The poverty rate is 16.2% and household income stands at $49,847.</p> <p>21. <strong>Wisconsin</strong>: here the dollar is worth $1.08 (an increase of +7.6%). The median household income stands at $52,622 and there is a poverty rate in this state equal to 13.2%.</p> <p>20. <strong>Idaho</strong>: here the dollar is worth $1.08 (the 3<sup>rd</sup> largest increase of +10.3% over the period 2008-2013). The median household income stands at $47,861 and the poverty rate is 14.8%.</p> <p>19. <strong>Georgia</strong>: Georgia has a dollar value equal to $1.09 (up by +9.4%, or the 7<sup>th</sup> largest increase in the country). Median household income stands at $49,321 and the poverty rate is the 7<sup>th</sup> worst in the country (18.3%).</p> <p>18. <strong>North Carolina</strong>: This state has a value of the dollar equal to $1.09 (increasing by +7.9% for the period 2008-2013). Median household income is $46,556 and the poverty rate is 17.2%.</p> <p>17. <strong>North Dakota</strong>: The value of the dollar here is also worth $1.09 (up by just 4.1%, which works out the smallest increase over the period 2008-2013). Median income for households is $59,029 and the poverty rate is the 9<sup>th</sup> lowest (11.5%).</p> <p>16. <strong>Indiana</strong>: Indiana also has a dollar value equal to $1.09 (increasing by +7.3%). Median household income is $49,446 and the poverty rate is 15.2%.</p> <p>15. <strong>Louisiana</strong>: The value of the dollar here is $1.10 (+6.9% over the period 2008-2013). The poverty rate is the 3<sup>rd</sup> worst in the country (19.8%) and the median household income is the 7<sup>th</sup> lowest ($44,555).</p> <p>14. <strong>Kansas</strong>: Here the dollar is worth $1.10 (+5.7%, the 4<sup>th</sup> lowest increase). The median household income stands at $52,504 and the poverty rate is 13.6%.</p> <p>13. <strong>Tennessee</strong>: The value of the dollar here is also $1.10 (up +7.4%). Median household income is $44,361 and the poverty rate is the 7<sup>th</sup> highest in the country at 18.3%.</p> <p>12. <strong>South Carolina</strong>: The value of the dollar is $1.11 (up +8.2%). Median household income is $45,238 (9<sup>th</sup> lowest) and the poverty rate is 18%.</p> <p>11. <strong>Nebraska</strong>: here the dollar is worth $1.11 and that saw an increase of +6.6% for the period 2008-2013. Median household income stands at $52,686 and the poverty rate is 12.4%.</p> <p>10. <strong>Iowa</strong>: the value of the dollar here is $1.11 (up 5.5%, or the 2<sup>nd</sup> smallest increase). Median household income is $53,712 and the poverty rate is 12.2%.</p> <p>9. <strong>Oklahoma</strong>: The dollar here is worth $1.11 (up 6.3% or the 8<sup>th</sup> lowest increase in the country for 2008-2013). The poverty rate is 16.6% and the median household income here is $47,529.</p> <p>8. <strong>Ohio</strong>: the dollar here is worth $1.12 (up +8%). The poverty rate is 18.8% and household income has a median of $49,308.</p> <p>7. <strong>Missouri</strong>: The value of the dollar is $1.12 (up 5.8% or the 6<sup>th</sup> lowest increase for 2008-2013 in the country). Median household income is $48,363 and the poverty rate is 15.5%.</p> <p>6. <strong>Kentucky</strong>: the value of the dollar here is $1.12 (up by +7.3%). The poverty rate is the 5<sup>th</sup> highest in the country (19.1%) and the median household income here stands at $42,958.</p> <p>5. <strong>West Virginia</strong>: the dollar here is worth $1.13 (up 5.8% or the 5<sup>th</sup> lowest increase for 2008-2013 in the country). Median household income is $41,059 and the poverty rate is the 7<sup>th</sup> highest at 18.3%.</p> <p>4. <strong>Alabama</strong>: the value of the dollar is $1.14 (up by +7.4% for 2008-2013). The median household income here works out to $42,830 (the 4<sup>th</sup> worst in the country) and the poverty rate is 19.3%, which is the 4<sup>th</sup> highest in the country.</p> <p>3. <strong>South Dakota</strong>: the value of the dollar here stands at $1.14 (up by +6.6% between 2008 and 2013). Median household income stands at $50,979 and the poverty rate is 14.2%.</p> <p>2. <strong>Arkansas</strong>: The value of the dollar stands at $1.14 and that saw an increase of +6.8% between 208 and 2013. The 3<sup>rd</sup> lowest income for households in the country is here and stands at $41,262. The poverty rate is 18.9%.</p> <p>1. <strong>Mississippi</strong>: Here the value of the dollar stands at $1.15, the highest in the entire country. It saw an increase in value between 2008 and 2013 equal to +7%. Median household income is also the lowest in the country ($39,680). The poverty rate is also the highest at 21.5%.</p> <p>&nbsp;</p> <p>If we compare the national average of goods and services and then compare how far a dollar would go in each state, it&rsquo;s <strong>Mississippi</strong> that will get you the best value for your money. It&rsquo;s the state in which you can get more for a dollar than in any other state in the USA. But, you&rsquo;ll be earning far less than anywhere else. Which would you prefer? Would you like to live in <strong>Mississippi</strong> where your dollar turns out being worth <strong>$1.15</strong> by comparison with the national average of goods and services? Or would you prefer to live in <strong>Hawaii</strong>, which is the most expensive state in the USA for goods and services? You&rsquo;ll only get <strong>$0.86</strong> for your dollar by comparison with the national average there and so end up forking out more than you might like. Mississippi has the highest poverty rate in the country, anyhow. In the states that have the highest cost of living like in Hawaii, the average income exceeds the national average. Money attracts money, doesn&rsquo;t it? The more you earn, the more they charge you. Isn&rsquo;t that so? Never let on that you have millions stashed away in the banks, people will just start overcharging you more and bumping up the prices.</p> <p>But, hey, what&rsquo;s a dollar these days? Even around the world it doesn&rsquo;t have the same value, does it?</p> <p><strong>What would that dollar get you around the world?</strong></p> <p>1.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; <strong>Hungary</strong> &ndash; you could buy a bottle of wine in this country for just $1.</p> <p>2.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; In <strong>Hong Kong</strong> it would only get you a single slice of bread though.</p> <p>3.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; If you were in <strong>India</strong>, you would be able to buy six cups of tea in a single day.</p> <p>4.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; In <strong>China</strong> you would be able to eat a whole meal of 10 veggie dumplings.</p> <p>5.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; You would be able to sit at a café in <strong>Italy</strong> and get an expresso coffee.</p> <p>6.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; And in the <strong>Czech Republic</strong> you get drink a couple of bottles of beer.</p> <p>7.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Or a baguette of bread in <strong>France</strong>.</p> <p>8.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; If you were travelling in <strong>Poland</strong>, you could knock back a shot of Vodka in a bar.</p> <p>9.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; In the UK you would be in a position to buy two cigarettes.</p> <p>10.&nbsp;&nbsp; Or a foot massage for half an hour in the Philippines.</p> <p>Wherever you are going in the world and wherever you are, the <a href="http://www.tothetick.com/death-of-the-dollar"><strong>dollar</strong></a> isn&rsquo;t worth the same. If we were to up the ante, and you started talking about <strong>a million dollars</strong>, then you would get a lot more in some places than at home in the USA. That million dollars would get you just <strong>17 square feet</strong> of property space in <strong>Monaco</strong>, which is the world&rsquo;s most expensive place for property! In <strong>Hong Kong</strong>, the second most expensive place in the world for real estate prices, it wouldn&rsquo;t bring in more than <strong>20 square feet</strong>. <strong>London</strong> fairs hardly any better with <strong>just 21 square feet</strong> of property space. Maybe it&rsquo;s better to sticking to the places like <strong>Cape Town</strong> in South Africa, where you could get <strong>284 square feet</strong> of property, or <strong>Dubai</strong> with <strong>145 square feet</strong>.</p> <p>It&rsquo;s not just the money that counts in the world; it&rsquo;s the value of that money and just how far it can go every day for living expenses. What about in your city, <a href="http://www.tothetick.com/its-not-the-dollar-thats-dead-its-the-usa"><strong>what can you get for a dollar these days</strong></a>? Probably not a lot!</p> <p><body id="cke_pastebin" style="position: absolute; top: 8.32813px; width: 1px; height: 1px; overflow: hidden; left: -1000px;"></body></p> <div class="clear-block clear" style="font-family: 'Lucida Grande', Verdana, sans-serif; font-size: 13.3333px; line-height: 17.3333px;">&nbsp;<a href="http://www.financialjuice.com/zerohedge" style="font-size: 13.3333px; font-weight: bold; line-height: 17.3333px; text-decoration: underline; color: rgb(0, 0, 0);">One Place to Follow All Your Favourite Financial Sites Including ZeroHedge</a></div> <p></p> <div style="font-family: 'Lucida Grande', Verdana, sans-serif; font-size: 13.3333px; line-height: 17.3333px;"> <p style="font-size: 13.3333px; line-height: 17.3333px;"><strong style="font-size: 13.3333px; line-height: 17.3333px;"><a href="http://www.financialjuice.com/zerohedge">Follow ZeroHedge in Real-time on FinancialJuice&nbsp;</a></strong></p> <p style="font-size: 13.3333px; line-height: 17.3333px;"><a href="http://www.financialjuice.com/zerohedge" style="color: rgb(0, 0, 0);"><img src="http://www.zerohedge.com/sites/default/files/images/user22400/imageroot/2013/08/ZH.png" style="border: 0px; max-width: 100%; height: auto; font-size: 10pt; line-height: 1.3em;" /></a></p> </div> <p style="font-family: 'Lucida Grande', Verdana, sans-serif; font-size: 13.3333px; line-height: 17.3333px;">&nbsp;</p> http://www.zerohedge.com/news/2016-05-26/when-dollar-not-dollar#comments 8.5% China Czech Dubai Florida France Hong Kong Housing Market Hungary Illinois India Indiana Italy Mexico Michigan Ohio Oklahoma Poland Real estate South Carolina Thu, 26 May 2016 10:55:36 +0000 Pivotfarm 561918 at http://www.zerohedge.com Futures Levitation Continues As Brent Rises Above $50 For First Time Since November http://www.zerohedge.com/news/2016-05-26/futures-levitation-continues-brent-rises-above-50-first-time-november <p>In what has been another quiet overnight session, which unlike the past two days has not seen steep, illiquid gaps higher in US equity futures (the E-mini was up 3 points and accelerating to the upside as of this writing so there is still ample time for the momentum algos to go berserk), the main event was the price of Brent rising above $50 for the first time since November with WTI rising as high as $49.97. </p> <p>As shown in the chart below, Brent crude surpassed $50 a barrel for the first time since November, lifting commodity companies and buoying currencies where oil is produced.</p> <p><a href="http://www.zerohedge.com/sites/default/files/images/user5/imageroot/2016/05/13/brent%2050%20bbg.png"><img src="http://www.zerohedge.com/sites/default/files/images/user5/imageroot/2016/05/13/brent%2050%20bbg_0.png" width="600" height="338" /></a></p> <p>A drop in U.S. stockpiles and shrinking output in Nigeria and Venezuela contributed to the gains in Brent, which is up more than 80 percent from January’s low of $27.10. The Bloomberg Commodity Index rose to the highest in a week as metals also advanced, and miners in the Stoxx Europe 600 Index headed for their biggest three-day jump in more than a month. </p> <p>Brent is recovering after tumbling to a 12-year low in January. Now, the International Energy Agency and Goldman Sachs Group Inc. say a glut is dissipating as low prices take their toll on supplies. That may leave prices high enough to alleviate the threat of deflation and still low enough that they don’t impinge on economic growth. "It could well be that we have arrived at a ‘sweet spot’ -- low enough to support consumers and curtail industry job cuts, but not high enough to rile central banks and bond markets." said Michael Ingram, a market strategist at BGC Partners.</p> <p>Well, if US consumers didn't benefit from low oil, they sure will benefit from higher "sweet spot" soil, supposedly.</p> <p>As for markets, even the bulls are looking for an end to the latest torrid short squeeze: "It’s to be expected after the gains we’ve seen this week,” said Michael Hewson, a market analyst at CMC Markets in London. "The real test is whether or not we can sustain the gains of the last two days. There is a lack of conviction on the part of investors with respect to the overall direction of European stocks. I don’t see where that catalyst is coming from at the moment."</p> <p>And yet, the levitation continues, driven by hope that Yellen will give some further indication of what the Fed will do tomorrow when she speaks at Harvard. And, much to Jeff Gundlach's dismay, the narrative has again shifted to "rate hikes are bullish" in a market which can't remember what happened even 5 months ago. "Markets are now more accepting of a U.S. rate increase,” said Mitsushige Akino, a Tokyo-based executive officer at Ichiyoshi Asset Management Co. “The thought is that an increase won’t stop the U.S. economy from growing, but if the global economy slows, they have the means to change their policy."</p> <p>Also notable was the drop in European peripheral bank shares after<br /> Spain's Banco Popular tumbled 20% on a €2BN share sale. As a result Spain’s benchmark IBEX 35 Index was the biggest decliner among western-European markets. World equities were little changed after the MSCI All-Country World<br /> Index staged a 2 percent recovery in the previous two days after weeks<br /> of stagnation. The Stoxx 600 was unchanged after its biggest two-day jump in three months. Futures on the S&amp;P 500 were up 0.1%</p> <p>The U.S. has durable goods orders data for April due as well as weekly jobless claims figures. In addition, leaders from the Group of Seven nations are meeting in Japan to discuss topics including economic policy, climate change and boosting infrastructure investment.</p> <p><strong>Market Wrap</strong></p> <ul> <li>S&amp;P 500 futures up than 0.1% to 2090</li> <li>Stoxx 600 down 0.1% to 348</li> <li>FTSE 100 up less than 0.1% to 6267</li> <li>DAX up 0.2% to 10226</li> <li>S&amp;P GSCI Index up 0.4% to 372.3</li> <li>MSCI Asia Pacific up 0.3% to 127</li> <li>Nikkei 225 up less than 0.1% to 16772</li> <li>Hang Seng up 0.1% to 20397</li> <li>Shanghai Composite up 0.3% to 2822</li> <li>S&amp;P/ASX 200 up 0.3% to 5388</li> <li>US 10-yr yield down less than 1bp to 1.86%</li> <li>German 10Yr yield up less than 1bp to 0.16%</li> <li>Italian 10Yr yield up less than 1bp to 1.36%</li> <li>Spanish 10Yr yield up 2bps to 1.49%</li> <li>Dollar Index down 0.15% to 95.21</li> <li>WTI Crude futures up 0.5% to $49.83</li> <li>Brent Futures up 0.6% to $50.02</li> <li>Gold spot up 0.3% to $1,228</li> <li>Silver spot up 0.5% to $16.40</li> </ul> <p><strong>Top Global News</strong></p> <ul> <li>Lenovo Profit Misses Estimates as Motorola Smartphones Struggle</li> <li>UniCredit Said to Seek Buyers for $838 Million of Bad Loans</li> <li>Ubisoft Said to Seek White Knight to Fend Off Vivendi Approach</li> <li>Abe Warns G-7 Leaders of Risk of Lehman-Scale Economic Crisis</li> <li>Qatar Stuns Mideast Debt Market With Record $9 Billion Bond</li> <li>Hedge Funds May Lose 25% of Assets, Blackstone’s James Says</li> </ul> <p><strong>Looking at regional markets, Asian equities traded in modest positive territory underpinned by the continued oil increase. </strong>ASX 200 (+0.3%) was supported by the fresh YTD highs in crude futures in which Brent rose above USD 50/bbl, but the index then pared most of its advances following mixed Capex data. Nikkei 225 (+0.1%) is also positive although off its best levels as JPY strength clouds sentiment. Elsewhere, the Shanghai Comp (+0.3%) underperformed for much of Asian trade amid debt and financial sector concerns, as brokerages are seen to suffer from weaker activity, however did see a turnaround late on to conform with its counterparts.&nbsp; This morning has seen thin volumes from a fixed income perspective with Bunds relatively flat for the session as some participants observe the Corpus Christi holiday while some remain on the side lines until the conclusion of the G7 summit. Additionally, the persistent upside in crude prices have weighed on the long end, subsequently reversing some of the bull flattening seen yesterday.</p> <p><em>Top Asian News</em></p> <ul> <li>India Said to Require Local Sourcing by Apple to Open Stores: Minister said to rule Apple must comply with sourcing rules</li> <li>Macau Economy Seen at Risk as Moody’s Downgrades Gaming Hub: Agency expects Macau GDP to continue shrinking in 2016, 2017</li> <li>New Zealand Leaves Door Open to Tax Cuts as Budget Surplus Grows: Govt forecasts 2016-2017 budget surplus of NZ$719m</li> <li>Takata Said to Hold Talks With Possible Buyers Including KKR: Shares surged by daily limit after earlier report by Nikkei</li> <li>One Year After Bubble Burst, China’s Stock Market Has Gone Quiet: Volatility on the Shanghai Composite is lowest since 2014</li> </ul> <p><strong>European equities trade in mixed fashion with the Euro Stoxx 50 (+0.1%) modestly higher</strong>. Notable underperformance has been observed in periphery banks, particularly the Spanish banking sector after Banco Popular (-20%) reported that they are seeking to raise EUR 2Bn through a share sale. Elsewhere, energy and material names have been among the best peroformers amid the upside in the commodity complex with Brent crude futures continuing to hover around YTD highs to remain above USD 50/bbl, while WTI crude trades slightly south of that mark having earlier reached a high of USD 49.95/bbl.</p> <p><em>Top European News</em></p> <ul> <li>Europe’s Troubles Pile Up at Home as Leaders Cross Globe for G-7: Cameron, Merkel, Renzi and Hollande facing domestic challenges. Brexit to French strikes, refugees and elections occupy voters</li> <li>Podemos Wants to Talk to Investors About Easing Spain’s Debt: Anti-establishment group wants longer duration, lower interest. Party seeking alliance with Socialists after June election</li> <li>VW Says Bonds Meet ECB Purchase Criteria Ahead of Market Return: Potential for ECB acquisitions ‘can only be good’ for carmaker. Company shut out of debt market following emissions scandal</li> <li>French Strikes Intensify as Government Holds Firm on Labor Law: CGT Union ‘doesn’t make the law,’ Prime Minister Valls Says. Unions split over protest as business warns of slowdown</li> <li>Telecom Italia Approves $45 Million Incentive Plan for CEO: Payout tied to turnaround plan for former phone monopoly. Two months into job, Cattaneo almost tripled cost-cut goals</li> </ul> <p><strong>In FX, the yen strengthened 0.2 percent. The Bloomberg Dollar Spot Index declined 0.2 percent following a 0.2 percent drop in the last session. </strong>The MSCI Emerging Markets Currency Index rose 0.2 percent, led by<br /> currencies from commodity-producing countries. Russia’s ruble climbed<br /> for a third day, advancing 0.4 percent. Higher oil prices supported the Norwegian krone, which rose 0.9 percent versus the greenback, and Malaysia’s ringgit, which advanced 0.5 percent.&nbsp;&nbsp; A measure of volatility in the pound versus the dollar covering the period when the result of the referendum on European Union membership will be known jumped to its highest level in six years. The pound was little changed. The kiwi touched its weakest level since March after Fonterra Cooperative Group Ltd., the world’s largest dairy exporter and New Zealand’s biggest company, forecast a lower-than-expected payout to its farmer shareholders.</p> <p><strong>In commodities, Brent crude rose 0.3% at $50.06 a barrel at 10:39 a.m. in London and West Texas Intermediate climbed as high as $49.97 before retreating modestly. </strong>Bloomberg’s index of commodity returns gained 0.5 percent, rising for a second day. U.S. inventories slid by 4.23 million barrels last week, exceeding an expected drop of 2 million barrels. Attacks in Nigeria have cut production to a 20-year low and Venezuela is struggling to maintain output amid power cuts. Producers in Canada are beginning to restart oil-sands operations halted by wildfires.</p> <p>French power for delivery in June climbed as much as 3.4 percent to 25.70 euros a megawatt-hour, the highest price since March 31, as a strike that has halted refineries across the nation spread to nuclear power plants. Output at 11 reactors operated by Electricite de France SA was reduced by the protests against a new labor law. Copper advanced 0.8 percent to $4,691 a metric ton, a third day of gains. The metal used in wires and cables is heading for the first weekly gain this month. Nickel added 0.6 percent and zinc rose 1.9 percent. Gold halted six days of losses to rebound from the lowest level in seven weeks as a rally in the dollar paused.</p> <p>In the US, the big focus will be on the durable and capital goods orders for April. Current expectations are for a +0.5% mom in headline durable goods and +0.3% mom in core capex orders. Elsewhere, also due to be released this afternoon will be pending home sales for April which is expected to continue the run of strong housing market data, while last week’s initial jobless claims data will also be released (275k expected). The calendar will be rounded off with some more regional manufacturing data in the form of the Kansas City Fed’s manufacturing activity index. Fedspeak wise today we’ve got Bullard (at 6.10am) speaking at an event in Singapore, while Powell (at 12pm) is due to talk on ‘recent economic developments and monetary policy’.</p> <p><strong>Bulletin Headine Summary From Bloomberg and RanSquawk</strong></p> <ul> <li>Underperformance observed in periphery banks after Banco Popular shares fall over 20% as they seek a EUR 2bIn share sale.</li> <li>GBP pares gains following downward revisions in the UK GBP Y/Y reading, while commodity linked currencies remain firm amid the persistent upside in crude prices.</li> <li>Later in the day we will be looking out for US Pending Home Sales, Durable Goods Orders and Initial Jobless Claims</li> <li>Treasuries slightly higher along with global equities as crude oil flirts with $50 a barrel mark; week’s auctions conclude with $28b 7Y notes, WI yield 1.68%, compares with 1.634% awarded in April. </li> <li>Japanese PM Shinzo Abe presented documents to his fellow G-7 leaders Thursday that he said indicated a risk of the world economy falling into a crisis on the scale of the 2008 Lehman shock if appropriate policy measures weren’t taken</li> <li>Qatar sold $9 billion of Eurobonds on Wednesday, helping push 2016 offerings from the Middle East and North Africa to $29.3 billion, a record for the first half of a year</li> <li>Bill Gross said he is moving to sell credit risk and insurance on market volatility rather than buying long-term debt, because he believes a day of reckoning will come when central banks will no longer be able to prop up asset prices</li> <li>U.S. billionaire Wilbur Ross said he’s considering investing in nonperforming loans in China, as Moody’s Investors Service said that the nation has the tools to prevent a financial crisis in the near term</li> <li>Spanish consumer strength boosted by job creation helped maintain growth momentum in the first quarter as the nation grappled with political deadlock. Household consumption rose 0.9% from the previous three months</li> <li>Sovereign 10Y yields mixed; European, Asian equities higher; U.S. equity-index futures rise; WTI crude oil higher, precious metals rally</li> </ul> <p><strong>US Event Calendar</strong></p> <ul> <li>8:30am: Initial Jobless Claims, May 21, est. 275k (prior 278k) <ul> <li>Continuing Claims, May 14, est. 2.142m (prior 2.152m)</li> </ul> </li> <li>8:30am: Durable Goods Orders, Apr P, est. 0.5% (prior 0.8%) <ul> <li>Durables Ex-Transportation, Apr P, est. 0.3% (prior -0.2%)</li> <li>Cap Goods Orders Non-defense Ex Air, Apr P, est. 0.3% (prior 0.1%, revised -0.8%)</li> <li>Cap Goods Ship Non-defense Ex Air, Apr P, est. 0.1% (prior 0.5%, revised 0%)</li> </ul> </li> <li>9:45am: Bloomberg Consumer Comfort, May 22 (prior 42.6)</li> <li>10:00am: Pending Home Sales m/m, April, est. 0.7% (prior 1.4%) <ul> <li>Pending Home Sales NSA y/y, April, est. 0.2% (prior 2.9%)</li> </ul> </li> <li>11:00am: Kansas City Fed Mfg Activity, May, est. -3 (prior -4)</li> <li>12:15pm: Fed’s Powell speaks in Washington</li> </ul> <p><strong>DB's Jim Reid concludes the overnight wrap</strong></p> <p>At the moment the Fed look like they have super powers. A week on from a hawkish set of FOMC minutes one would have to say that they have won the first round in the fight to raise rates in June or July. We're still not convinced they'll be able to and it seems reasonable to expect tougher rounds in the battle ahead but it's worth highlighting the performance of a few global variables since just before the minutes were released last Wednesday night. Indeed, looking firstly at the moves in the US, the S&amp;P 500 is up +1.62% from the moment just prior to the minutes despite what was an initial 24 hours of weakening, while the S&amp;P 500 Banks sector has outperformed the wider equity index with a +3.34% gain. Meanwhile the US Dollar index has strengthened +0.81% and 2y and 10y Treasury yields are 7bps and 5bps higher respectively. Of course in that time we’ve also seen the probability of a June rate hike move from 12% to 34% and a July hike move from 28% to 54%.</p> <p>Interestingly moves in Europe have actually been more impressive although the positive developments around Greece and the ECB commentary concerning banks has largely fuelled that, along with the weaker Euro (-1.21%). The Stoxx 600 is +3.26%, DAX +2.64% and Spanish and Italian equities are +3.96% and +2.77% (although we’d stress that much of this has come in the last two days) while Stoxx 600 Banks are up an impressive +7.24%. Emerging markets have been the obvious laggard with the MSCI EM equity index down -0.86%. WTI Oil (+0.38%) initially tumbled with the strength in the USD from $49.50/bbl to a low of $47.26/bbl, but has recovered all of that loss and a little more to test that $50/bbl mark again. Unsurprisingly it’s Gold (-3.90%) which is the main underperformer.</p> <p>So you have to imagine that moves in the last week or so will be of reasonable comfort to the Fed. The last 48 hours in particular has been a strong one for risk assets with indices yesterday including the S&amp;P 500 (+0.70%), Dow (+0.82%), Stoxx 600 (+1.29%) and DAX (+1.47%) all rallying again. Banks were again at the forefront of the moves although this time it was energy stocks which led all other sectors as both WTI and Brent edged closer and closer to the elusive $50/bbl level. This morning in fact has seen Brent just tip over that mark, currently hovering around $50.10/bbl and it’s managed to hold above $50/bbl for a couple of hours or so now. The move has been helped by the latest EIA stockpile data, along with a slightly weaker US Dollar which fuelled yesterday’s gains. Indeed crude stockpiles were reported as falling 4.2m barrels last week with the WSJ journal highlighting that a poll showed that ‘just’ a 2.5m decrease was expected. At the same time US output was also reported as falling for an 11th consecutive week. It wasn’t just equities which benefited from the move as credit markets also extended their strong run of gains. In Europe we saw the iTraxx Main and Crossover indices end 3bps and 12bps tighter while in the US CDX IG was 2.5bps tighter, meaning it is nearly 7bps tighter this week alone which compares to the S&amp;P 500 which is just shy of 2% firmer. It’s also worth noting that all of a sudden US HY energy cash spreads are 18bps tighter in the last three sessions and 72bps tighter in the month of May. They are currently hovering around 904bps in spread terms which compares to the wides in spread of 1932bps back in February.</p> <p>Back to markets and despite the positive lead from the US last night and the moves for Oil, it’s been a bit of a mixed start for equity bourses in Asia this morning. Japanese equities are shrugging off a reasonable strengthening in the Yen (+0.5%) to post modest gains (Nikkei +0.29%). Elsewhere the ASX and Kospi are flat, however the Hang Seng (-0.23%) and Shanghai Comp (-0.90%) have weakened despite minimal newsflow. Meanwhile we’re seeing decent gains for Oil-sensitive currencies (Norwegian Krone leading the way) while US equity index futures are modestly in the red.</p> <p>Moving on. Yesterday’s economic data was a bit of a mixed bag across the pond. The advance goods trade balance for April showed a very modest widening in the deficit to $57.5bn from $57.1bn although expectations had been for a widening to $60bn. While imports rose as expected (by +1.9% mom), the surprise was the +2.4% mom increase in exports which will be seen as positive for Q2 GDP. Meanwhile the remainder of the flash May PMI’s were released too, with the services reading (51.2 vs. 53.0 expected) disappointing after declining 1.6pts from April. When combined with the manufacturing data earlier in the week, the flash composite print of 50.8 is also down 1.6pts from April. The only other data of note in the US yesterday was the FHFA house price index which was reported as increasing a higher than expected +0.7% mom in March.</p> <p>Over in Europe the highlight was the better than expected German IFO survey for May. The business climate reading was up a full point from April to 107.7 (vs. 106.8 expected) thanks to similar gains in the current assessment (+1pt to 114.2) and expectations (+1.1pts to 101.6) components. This means that the business climate reading has now made up more than half of the decline it had seen from November (109.1) to February (105.8). Our economists in Europe noted that the data supports their expectation that GDP growth should bounce back in Q3 (they expect +0.5% qoq) after a weak Q2 (+0.1% qoq expected) that is impacted by seasonal factors and one-offs.</p> <p>Staying in Europe and a bit more on the Greece announcement 24 hours ago. Most will have seen the details by now, with the €10bn disbursement having been approved with the first tranche due to be delivered in June, as well as the commitment for future debt relief in 2018. What appears to be more debated however is the IMF’s participation in all of this. While the Fund stated that it is willing to continue participating financially in the program, the decisions will be taken by the ‘end of this year’ subject to an ‘updated debt sustainability analysis’. As DB’s George Saravelos pointed out, the key muddle through aspect of the agreement is the fact that the IMF has managed to delay participation by another six months, so the ambiguity on whether the IMF ends up participating remains. Indeed the IMF’s main negotiator at the talks, Paul Thomsen, said that ‘we will need to assess the adequacy of the measures, and we will only go ahead if there is an assessment that they are adequate’. That said, yesterday’s announcement is still very much significant progress and keeps Greece on a familiar track of year-by-year deal making.<br />Before we look at today’s calendar, the latest stop on the Fedspeak tour saw Dallas Fed President Kaplan (moderately hawkish usually) say that should the economic data keep going the way it is then ‘I will advocate for an increase in the near future’. He also said that his view was unchanged relative to that in March when he indicated that two hikes this year could be appropriate. Kaplan refused to comment specifically on timing but did make mention of the UK EU referendum as representing ‘some amount of tail risk’.</p> <p>Turning now to the day ahead, this morning in Europe the main highlight is the second reading for Q1 GDP in the UK where no change from the initial +0.4% qoq estimate is expected. Over in the US the big focus will be on the durable and capital goods orders for April. Current expectations are for a +0.5% mom in headline durable goods and +0.3% mom in core capex orders. Our US economists are more optimistic and are looking for a +1.0% mom rise in headline durable orders which should be propped up by Boeing orders. They do however expect ex-transportation orders to be flat for the month continuing the trend of weak business investment. Elsewhere, also due to be released this afternoon will be pending home sales for April which is expected to continue the run of strong housing market data, while last week’s initial jobless claims data will also be released (275k expected). The calendar will be rounded off with some more regional manufacturing data in the form of the Kansas City Fed’s manufacturing activity index. Fedspeak wise today we’ve got Bullard (at 11.10am BST) speaking at an event in Singapore, while Powell (at 5.15pm BST) is due to talk this afternoon on ‘recent economic developments and monetary policy’.</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="http://www.zerohedge.com/sites/default/files/images/user5/imageroot/brent%2050%20bbg.png?1464259705" /> </div> </div> </div> http://www.zerohedge.com/news/2016-05-26/futures-levitation-continues-brent-rises-above-50-first-time-november#comments Apple Boeing Bond Central Banks China Continuing Claims Copper Crude Crude Oil Dallas Fed European Union fixed France Global Economy goldman sachs Goldman Sachs Greece Housing Market Initial Jobless Claims International Energy Agency Japan Jim Reid KKR Lehman Middle East Motorola Nikkei Nuclear Power Precious Metals recovery Trade Balance US Dollar Index Volatility Wilbur Ross Yen Thu, 26 May 2016 10:48:23 +0000 Tyler Durden 561917 at http://www.zerohedge.com A Crisis Unlike We Have Seen In Human History http://www.zerohedge.com/news/2016-05-25/crisis-unlike-we-have-seen-human-history <p>&nbsp;</p> <p>&nbsp;</p> <p>&nbsp;</p> <p>&nbsp;</p> <p>&nbsp;</p> <p>&nbsp;</p> <p><a href="https://www.sprottmoney.com/blog/john-rubino-a-crisis-unlike-we-have-seen-in-human-history-rory-hall.html"><br /></a></p> <h1><a href="https://www.sprottmoney.com/blog/john-rubino-a-crisis-unlike-we-have-seen-in-human-history-rory-hall.html"><span style="text-decoration: underline;"><em>A Crisis Unlike We Have Seen In Human History</em></span></a></h1> <p><a href="https://www.sprottmoney.com/blog/john-rubino-a-crisis-unlike-we-have-seen-in-human-history-rory-hall.html"><span style="text-decoration: underline;"><strong><em>Posted with permission and written by Rory Hall, The Daily Coin (CLICK FOR ORIGINAL)</em></strong></span></a></p> <p>&nbsp;</p> <p>&nbsp;</p> <p><a href="https://www.sprottmoney.com/blog/john-rubino-a-crisis-unlike-we-have-seen-in-human-history-rory-hall.html"><img src="http://www.zerohedge.com/sites/default/files/images/user196978/imageroot/2016/05/25/shutterstock_380330941_710.jpg" width="710" height="392" /></a></p> <p>&nbsp;</p> <p>&nbsp;</p> <p>I sat down with John Rubino of <a href="http://dollarcollapse.com" target="_blank">Dollar Collapse</a> to discuss the current state of our economic world. In a very lively conversation, we hit some of the more pressing items of the day. John has done a fantastic job of documenting the demise of the dollar since he co-authored ”<a href="http://www.amazon.com/Collapse-Dollar-How-Profit-Investing/dp/0385512244/ref=sr_1_2?s=books&amp;ie=UTF8&amp;qid=1463596472&amp;sr=1-2&amp;keywords=john+rubino" target="_blank">The Collapse of the Dollar</a>” with James Turk back in 2004. John’s insights and analysis are top shelf and he should be on everyone’s list of people to follow. </p> <p>&nbsp;</p> <p>How many “emergency” “secret” meetings do the central planners around the world need to have before the citizens of the respective countries begin to fully understand and take notice that something is very, very wrong? This year alone there have been several off-calendar meetings with, at least, one more now added to the docket. </p> <p>&nbsp;</p> <p>The G-20 central planners have scheduled an “emergency” meeting for summer 2016. What will the topics be? Could it possibly be the fact the global economy is on the verge of total collapse? With the Baltic Dry Index, Shanghai Containerized Freight Index, not to mention commodities, all spiraling out of control to the downside, do you think there may be a reason for these people to be concerned? My guess is they could care less and are simply meeting in order to determine how the remaining wealth, in their respective countries, will be divided as the global economy continues grinding to a halt. </p> <p>&nbsp;</p> <p>If one simply looks at the following line-items, it is clear for anyone to see something is about to hit the fan and it’s not anything anyone wants hitting the fan. </p> <p>&nbsp;</p> <ul> <li><span>&nbsp;</span>45 million people in the U.S. on food stamps</li> <li> some estimates as high as 10 million refugees flooding into the European Union </li> <li><span>&nbsp;</span>non-stop wars of aggression involving NATO, Russia, Syria and several other countries </li> <li> financial crisis that began in 2008 has not been addressed and the problems that started that year have grown larger and far deeper </li> <li><span>&nbsp;</span>banking system in the European Union, especially Italy, is under enormous stress due to faulting/fraudulent accounting </li> <li><span>&nbsp;</span>Federal Reserve balance sheet at $4 TRILLION – U.S. debt at $20 TRILLION and counting </li> <li><span>&nbsp;</span>United Kingdom/Britain and the Brexit movement that is taking root </li> <li><span>&nbsp;</span>U.S. Presidential candidates, Donald Trump and Bernie Sanders, garnering global attention as the citizens of the U.S. seek alternatives to the current embedded criminal politicians. </li> <li> Japan instituting a Negative Interest Rate Policy (NIRP) for their sovereign bonds – Japan has basically been in a recession for over 20 years </li> <li><span>&nbsp;</span>China is manufacturer to the world and with economies slowing down or shutting down, there is no reason to manufacture products </li> </ul> <p>&nbsp;</p> <p>These are just a few of the items that are currently hampering growth for individual citizens and individual Western nations. Currently, there are just too many holes that need to be filled and the central bankers are losing control and the people are losing faith in the narratives they are being fed. Once faith is lost, en masse, the show will become a lot more interesting and a lot more dangerous. </p> <p>&nbsp;</p> <p>In order for the show to remain at arm’s length, people need to understand their role in what is happening. We must have certain items in our possession at all times in order to avoid being swept away in the wave of economic collapse. Will this be a wave like you would see on TeeVee? Of course not. The “wave” was launched in 2008 and has been gathering momentum ever since. It will simply wash over your remaining wealth and leave you even more destitute than in your current situation. </p> <p>&nbsp;</p> <p>Silver, gold and lead are must-haves for the rising tide of uncertainty. Long term food storage and the usual storable items that make your house a home need to be at the top of the list. There is plenty of information to help you get your house in order and there has never been a better time to keep the shelves stocked than right now. </p> <p>&nbsp;</p> <p>Will this implode tomorrow or next week or next month? Who’s to say? What can be said is this: it is happening - your wealth is being drained at this moment. The central planners are absolutely terrified of something, otherwise, the continual “emergency” “secret” meetings would stop. </p> <p>&nbsp;</p> <p><span lang="EN-CA">When an animal senses danger, they become</span> irrational, their behavior becomes erratic and their actions unpredictable. This is exactly what we are witnessing with the central planners around the world. It is time to begin taking these signs seriously and putting into place personal protection, at all levels, in order to weather the storm and don’t forget the popcorn.</p> <p>&nbsp;</p> <p><a href="https://www.sprottmoney.com/blog/john-rubino-a-crisis-unlike-we-have-seen-in-human-history-rory-hall.html"><img src="http://www.zerohedge.com/sites/default/files/images/user196978/imageroot/2016/05/25/roryhalljohnrubino.png" width="562" height="316" /></a></p> <p>&nbsp;</p> <h1 style="padding: 0px; margin-top: 0px; margin-bottom: 0.25em; line-height: 1.15; font-size: 24px; font-weight: normal; font-family: Roboto, sans-serif; max-width: 90%;"><em style="margin: 0px; padding: 0px;"><span style="font-family: 'Lucida Grande', Verdana, sans-serif; font-size: 20.3333px; line-height: 17.3333px;">Please email with any questions about this article or precious metals</span></em><em style="line-height: 1.15; margin: 0px; padding: 0px;"><span style="font-family: 'Lucida Grande', Verdana, sans-serif; font-size: 20.3333px; line-height: 17.3333px;">&nbsp;</span><strong style="font-family: 'Lucida Grande', Verdana, sans-serif; font-size: 20.3333px; line-height: 17.3333px;"><span style="text-decoration: underline;"><a href="mailto:bgreen@sprottmoney.com?subject=From%20Zero%20Hedge: A Crisis Unlike Any We Have Seen In Human History Article">HERE</a></span></strong></em></h1> <p><em style="line-height: 1.15; margin: 0px; padding: 0px;"><strong style="font-family: 'Lucida Grande', Verdana, sans-serif; font-size: 20.3333px; line-height: 17.3333px;"><span style="text-decoration: underline;"><br /></span></strong></em></p> <p>&nbsp;</p> <p>&nbsp;</p> <h1><a href="https://www.sprottmoney.com/blog/john-rubino-a-crisis-unlike-we-have-seen-in-human-history-rory-hall.html"><span style="text-decoration: underline;"><em>A Crisis Unlike We Have Seen In Human History</em></span></a></h1> <p><a href="https://www.sprottmoney.com/blog/john-rubino-a-crisis-unlike-we-have-seen-in-human-history-rory-hall.html"><span style="text-decoration: underline;"><strong><em>Posted with permission and written by Rory Hall, The Daily Coin (CLICK FOR ORIGINAL)</em></strong></span></a></p> http://www.zerohedge.com/news/2016-05-25/crisis-unlike-we-have-seen-human-history#comments Baltic Dry Bernie Sanders China Donald Trump European Union Federal Reserve Global Economy Italy Japan Precious Metals Recession United Kingdom Thu, 26 May 2016 09:58:18 +0000 Sprott Money 561858 at http://www.zerohedge.com Former McDonalds CEO Crushes The Minimum Wage Lie: "It's Cheaper To Buy A Robot Than Hire At $15/Hour" http://www.zerohedge.com/news/2016-05-25/former-mcdonalds-ceo-crushes-minimum-wage-lie-its-cheaper-buy-robot-hire-15hour <p>While this should come as no surprise to any rational non-establishment-teet-suckling economist (and <a href="http://www.zerohedge.com/news/2016-04-06/mcdonalds-responds-minimum-wage-hikes-launches-mccafe-coffee-kiosk">certainly </a>not to our <a href="http://www.zerohedge.com/news/2015-09-07/happy-15-minimum-wage-labor-day-mcdonalds">readers</a>), former McDonalds' CEO Ed Rensi continued his crusade against the naive "solution" to poor living standards that has been peddled by a clueless administration in the form of a higher federal minimum wage, and after he <a href="http://www.zerohedge.com/news/2016-04-29/former-mcdonalds-ceo-warns-minimum-wage-will-wipe-out-1000s-jobs">patiently explained one month ago </a>that "the $15 minimum wage demand, which translates to $30,000 a year for a full-time employee, is built upon a fundamental misunderstanding of a restaurant business <em>just do the mat</em>h" Rensi found that nobody has still done the math. </p> <p>Which is perhaps why the ex-CEO reappeared on Fox Business yesterday to explain to Maria Bartiromo that as fast-food workers across the country vie for $15 per hour wages, many business owners have already begun to take humans out of the picture, McDonalds most certainly included. </p> <p><a href="http://www.zerohedge.com/sites/default/files/images/user5/imageroot/2016/05/13/MCD%20robots.jpg"><img src="http://www.zerohedge.com/sites/default/files/images/user5/imageroot/2016/05/13/MCD%20robots_0.jpg" width="560" height="313" /></a></p> <p>As Rensi admitted, "I was at the National Restaurant Show yesterday and if you look at the robotic devices that are coming into the restaurant industry - <strong>it’s cheaper to buy a $35,000 robotic arm than it is to hire an employee who’s inefficient making $15 an hour bagging French fries </strong>- it’s nonsense and it’s very destructive and it’s inflationary and <strong>it’s going to cause a job loss across this country like you’re not going to believe."</strong></p> <p><a href="http://www.zerohedge.com/sites/default/files/images/user3303/imageroot/2016/04/28/20160429_mcd.jpg"><img src="http://www.zerohedge.com/sites/default/files/images/user3303/imageroot/2016/04/28/20160429_mcd.jpg" width="567" height="381" /></a></p> <p>“It’s not just going to be in the fast food business. Franchising is the best business model in the United States. It’s dependent on people that have low job skills that have to grow. <strong>Well if you can’t get people a reasonable wage, you’re going to get machines to do the work</strong>. It’s just common sense. It’s going to happen whether you like it or not. And the more you push this it’s going to happen faster,” the former McDonalds Chief Executive added.</p> <p>Rensi also said that we should do away with the federal minimum wage and <strong>leave it up to the states</strong>, which is quite logical. It's also why it will never happen. </p> <p>"I think we ought to have a multi-faceted wage program in this country. If you’re a high school kid, you ought to have a student wage. If you’re an entry level worker you ought to have a separate wage. <strong>The states ought to manage this because they know more [about] what’s going on the ground than anybody in Washington D.C</strong>." Spot on.</p> <p><iframe src="https://www.youtube.com/embed/Noh4_foXOXU" width="560" height="315" frameborder="0"></iframe></p> <p>As a reminder, this is how Rensi concluded his tirade against the minimum wage last month: "I suspect that the labor organizers behind this campaign for a $15 minimum wage are less interested in helping employees, and more interested in helping themselves to dues money from their paycheck. <strong>They’re unlikely to succeed in their goal of organizing the employees of McDonald’s franchisees, but they may well succeed in passing $15 into law in other sympathetic locales.</strong>"</p> <p>And that's the whole truth. You’ll see their legacy every time you visit the Golden Arches, where "would you like fries with that" will soon be an ubiquitous button on a computer screen telling a robotic arm in the kitchen what to prepare, all at a wage of $0.00/hour. </p> <script src="http://video.foxbusiness.com/v/embed.js?id=4909432413001&amp;w=560&amp;h=316" type="text/javascript"></script><p><noscript>Watch the latest video at <a href="http://video.foxbusiness.com">video.foxbusiness.com</a></noscript></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="480" height="268" alt="" src="http://www.zerohedge.com/sites/default/files/images/user5/imageroot/MCD%20robots.jpg?1464223271" /> </div> </div> </div> http://www.zerohedge.com/news/2016-05-25/former-mcdonalds-ceo-crushes-minimum-wage-lie-its-cheaper-buy-robot-hire-15hour#comments Fox Business McDonalds Washington D.C. Thu, 26 May 2016 09:18:00 +0000 Tyler Durden 561881 at http://www.zerohedge.com Least Transparent Ever - The Truth About Obama's Liberal Potemkin Village http://www.zerohedge.com/news/2016-05-25/least-transparent-ever-truth-about-obamas-liberal-potemkin-village <p class="ap-story-p"><a href="http://libertyblitzkrieg.com/2016/05/25/least-transparent-ever-barack-obama-hasnt-agreed-to-a-washington-post-interview-since-2009/"><em>Submitted by Mike Krieger via Liberty Blitzkrieg blog,</em></a></p> <blockquote><div class="quote_start"><div></div></div><div class="quote_end"><div></div></div><p class="ap-story-p"><strong><em>WASHINGTON (AP) &mdash; The Obama administration set a record for the number of times its federal employees told disappointed citizens, journalists and others that despite searching they couldn&rsquo;t find a single page requested under the Freedom of Information Act, according to a new Associated Press analysis of government data.</em></strong></p> <p class="ap-story-p">&nbsp;</p> <p><strong><em>In more than one in six cases, or 129,825 times, government searchers said they came up empty-handed last year.</em><em>Such cases contributed to an alarming measurement:</em><em>&nbsp;People who asked for records under the law received censored files or nothing in 77 percent of requests, also a record. In the first full year after President Barack Obama&rsquo;s election, that figure was only 65 percent of cases.</em></strong></p> <p>&nbsp;</p> <p>&ndash; From the post:&nbsp;<strong><a href="https://libertyblitzkrieg.com/2016/03/18/obama-administration-denied-or-censored-information-in-77-of-foia-requests-during-2015/" rel="bookmark" target="_blank" title="Permanent Link to Obama Administration Denied or Censored Information in 77% of FOIA Requests During 2015">Obama Administration Denied or Censored Information in 77% of FOIA Requests During 2015</a></strong></p> </blockquote> <p><em>New York Times</em> public editor Margaret Sullivan recently had some choice words for the liberal Potemkin Village that is President Barack Obama.</p> <p>What follows are some excerpts from her cutting&nbsp;<a href="https://www.washingtonpost.com/lifestyle/style/obama-promised-transparency-but-his-administration-is-one-of-the-most-secretive/2016/05/24/5a46caba-21c1-11e6-9e7f-57890b612299_story.html?postshare=3121464123569692&amp;tid=ss_tw" target="_blank"><em>Washington Post</em> op-ed</a>, published yesterday.</p> <blockquote><div class="quote_start"><div></div></div><div class="quote_end"><div></div></div><p><strong><em>After early promises to be the most transparent administration in history, this has been one of the most secretive. And in certain ways, one of the most elusive. It&rsquo;s also been one of the most punitive toward whistleblowers and leakers who want to bring light to wrongdoing they have observed from inside powerful institutions&hellip;</em></strong></p> <p>&nbsp;</p> <p><em>On Monday, during a visit to Vietnam, the president spent some quality time with the media &mdash; in the form of Anthony Bourdain, the celebrity chef. A couple of years ago, he did a heavily publicized interview with the comedian Zach Galifianakis on the faux talk show &ldquo;Between Two Ferns,&rdquo; and last year he made a visit to podcaster Marc Maron&rsquo;s garage for a chat about fatherhood and overcoming fear.</em></p> <p>&nbsp;</p> <p><em>But his on-the-record interviews with hard-news, government reporters have been relatively rare &mdash; and, rather than being wide-ranging, often limited to a single subject, such as the economy.</em></p> <p>&nbsp;</p> <p><strong><em>Remarkably, Post news reporters haven&rsquo;t been able to interview the president since late 2009. Think about that. The Post is, after all, perhaps the leading news outlet on national government and politics, with no in-depth, on-the-record access to the president of the United States for almost all of his two terms.</em></strong></p> <p>&nbsp;</p> <p><em>I couldn&rsquo;t get anyone in the White House press office to address this, despite repeated attempts by phone and email &mdash; <strong>which possibly proves my point.</strong></em></p> <p>&nbsp;</p> <p><em><a href="http://www.realclearpolitics.com/articles/2015/08/29/obama_meets_the_press_--_on_his_terms_127907.html" target="_blank">But a thorough study from Martha Joynt Kumar</a>, a retired Towson University professor, describes the administration&rsquo;s strategy. The president does plenty of interviews, she writes &mdash; far more than any other president in recent history. <strong>But these interviews are tightly controlled and targeted toward specific topics, and, it seems to me, often granted to soft questioners</strong>. (All of this is a major shift from a time when news conferences and short question-and-answer sessions allowed reporters to pursue news topics aggressively and in real time.)</em></p> </blockquote> <p>There&rsquo;s a more colloquial word for the above technique: <strong>propaganda</strong>.</p> <blockquote><div class="quote_start"><div></div></div><div class="quote_end"><div></div></div><p><em>More interviews, less accountability. Feet kept safe from the fire.</em></p> <p>&nbsp;</p> <p><em><strong>Meanwhile, on media rights generally, the Obama administration hasn&rsquo;t walked its talk. It has set new records for stonewalling or rejecting Freedom of Information requests. And it has used an obscure federal act to prosecute leakers.</strong> It continued the punishing treatment of a National Security Agency whistleblower,<a href="https://www.washingtonpost.com/blogs/checkpoint-washington/post/prosecution-of-ex-nsa-official-thomas-drake-was-ill-considered-former-agency-spokesman-acknowledges/2012/03/12/gIQAXE6L7R_blog.html" target="_blank">&nbsp;Thomas Drake&nbsp;</a>(dismaying new details have emerged recently in&nbsp;<a href="http://www.theguardian.com/us-news/2016/may/22/how-pentagon-punished-nsa-whistleblowers" target="_blank">book excerpts by John Crane</a>, a former Pentagon investigator), and threatened to send the New York Times investigative reporter James Risen to jail for his good-faith insistence on protecting his confidential source.</em></p> </blockquote> <div> <p>Incredible how quickly &ldquo;Yes We Can&rdquo; turned into&hellip;</p> </div> <p><img alt="Screen Shot 2016-05-25 at 2.49.42 PM" class="alignnone wp-image-34545" height="83" src="http://libertyblitzkrieg.com/wp-content/uploads/2016/05/Screen-Shot-2016-05-25-at-2.49.42-PM.jpg" width="263" /></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="319" height="85" alt="" src="http://www.zerohedge.com/sites/default/files/images/user3303/imageroot/220160525_no.png?1464230408" /> </div> </div> </div> http://www.zerohedge.com/news/2016-05-25/least-transparent-ever-truth-about-obamas-liberal-potemkin-village#comments Barack Obama FOIA Freedom of Information Act national security New York Times Obama Administration White House Thu, 26 May 2016 08:00:00 +0000 Tyler Durden 561889 at http://www.zerohedge.com "Did We Go To War?" Terrified Indiana Residents Woken By Unannounced Military Exercise http://www.zerohedge.com/news/2016-05-25/did-we-go-war-terrified-indiana-residents-woken-unannounced-military-exercise <p>After <a href="http://www.zerohedge.com/news/2015-07-16/jade-helm-begins-complete-texas-takeover-guide">last summer&#39;s Jade Helm military drills</a>, and just <a href="http://www.zerohedge.com/news/2016-04-22/first-time-ever-fema-trains-texas-police-how-deal-riots-conduct-mass-arrests">weeks after FEMA&#39;s mass arrest drills in Texas</a>, it is little wonder that the <strong>residents of Beech Grove, Indiana were terrified upon being awoken last night by the sound of bombs and helicopters, and flooded the emergency 911 call network</strong> with requests for information and reports of explosions. <a href="http://sputniknews.com/us/20160526/1040256447/indiana-midnight-military-drill.html?utm_source=https%3A%2F%2Ft.co%2FEwsTyRE3YH&amp;utm_medium=short_url&amp;utm_content=bubz&amp;utm_campaign=URL_shortening">As Sputnik News reports,</a> police officials quickly confirmed to alarmed residents that it was a<strong> scheduled military training exercise</strong>.</p> <p>While some residents reported being forewarned of the late night drill, many others were taken by surprise. Members of the community reported hearing what sounded like bombs and seeing low-flying helicopters.</p> <p><a href="http://www.zerohedge.com/sites/default/files/images/user3303/imageroot/2016/05/24/220160525_elk.png"><img height="285" src="http://www.zerohedge.com/sites/default/files/images/user3303/imageroot/2016/05/24/220160525_elk.png" width="516" /></a></p> <p>&nbsp;</p> <p><a href="http://fox59.com/2016/05/24/military-training-wakes-beech-grove-residents-early-tuesday-morning/"><em>As FOX59 reported,</em></a> Beech Grove residents say they saw helicopters flying low over the area and heard what sounded like several loud explosions.</p> <blockquote><div class="quote_start"><div></div></div><div class="quote_end"><div></div></div><p>According to police officials, this activity was <strong>part of a scheduled military training exercise</strong> near the old St. Francis Hospital.</p> <p>&nbsp;</p> <p>Police say this was training exercise was scheduled and <strong>there is no threat to anyone in the area.</strong></p> <p>&nbsp;</p> <p><strong>Many viewers were upset about the drills, saying they didn&#39;t have any advance warning and were alarmed by the loud noises. </strong>Some people said they received a knock on the door letting them know what was going on.</p> </blockquote> <p>Local news covered the event...</p> <p><script height="433px" width="770px" src="http://player.ooyala.com/iframe.js#ec=FsdnhvMzE6GvID15MGQiJLv9cN9Ca-fs&pbid=eb6ba12b8e8a4e72b590a076c86d82fe"></script></p> <p>&nbsp;</p> <p>Several residents took to social media to write about the training exercises and what they saw...</p> <blockquote class="twitter-tweet" data-lang="en"><p dir="ltr" lang="en">Anyone know what&#39;s going on in the sky above Beech Grove right now? Did we go to war and no one mention it?</p> <p>&mdash; Mary @ Trusty Chucks (@themarygraham) <a href="https://twitter.com/themarygraham/status/734959163202142208">May 24, 2016</a></p></blockquote> <script async src="//platform.twitter.com/widgets.js" charset="utf-8"></script><blockquote class="twitter-tweet" data-lang="en"><p dir="ltr" lang="en">it sounds like bombs are going off in beech grove...</p> <p>&mdash; miranda cochran (@mirandaxcochran) <a href="https://twitter.com/mirandaxcochran/status/734958161237417985">May 24, 2016</a></p></blockquote> <script async src="//platform.twitter.com/widgets.js" charset="utf-8"></script><blockquote class="twitter-tweet" data-lang="en"><p dir="ltr" lang="en">anybody else see about half a dozen black choppers flying super low over the beech grove area? Also sounded like shots or explosions?</p> <p>&mdash; Brian Forrester (@BrianForrester1) <a href="https://twitter.com/BrianForrester1/status/734961123875643393">May 24, 2016</a></p></blockquote> <script async src="//platform.twitter.com/widgets.js" charset="utf-8"></script><blockquote class="twitter-tweet" data-lang="en"><p dir="ltr" lang="en">Beech Grove was just <a href="https://twitter.com/hashtag/underfreakingattack?src=hash">#underfreakingattack</a> <a href="https://twitter.com/hashtag/wtf?src=hash">#wtf</a></p> <p>&mdash; Rick Frank (@rfrank911) <a href="https://twitter.com/rfrank911/status/734966394463227904">May 24, 2016</a></p></blockquote> <script async src="//platform.twitter.com/widgets.js" charset="utf-8"></script><p> </p><p><em><strong>&ldquo;We&rsquo;re sorry people were startled,&rdquo; </strong></em>Beech Grove Police Capt. Robert Mercuri told the Indianapolis Star.<em><strong> &ldquo;We hope they understand that the city of Beech Grove was trying to help the people who protect us everyday.&rdquo;</strong></em></p> <p>&nbsp;</p> <p>Are these increasingly regular training sessions a harbinger of things to come?With Anti-Trump protesters being arrested en masse just today, one wonders.</p> <p>For now it is unclear, however as Paul Joseph Watson <a href="http://www.infowars.com/report-authorities-buying-more-riot-control-gear-over-fear-of-riots-sweeping-america/">notes</a>, &quot;<strong>police departments across the country are buying riot gear in expectation of more Ferguson-style civil unrest sweeping the country.</strong>&quot;&nbsp; Maybe they know something.</p> <p><em><strong>&nbsp;</strong></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="516" height="285" alt="" src="http://www.zerohedge.com/sites/default/files/images/user3303/imageroot/220160525_elk.png?1464225562" /> </div> </div> </div> http://www.zerohedge.com/news/2016-05-25/did-we-go-war-terrified-indiana-residents-woken-unannounced-military-exercise#comments Indiana Thu, 26 May 2016 07:00:00 +0000 Tyler Durden 561884 at http://www.zerohedge.com Imminent Intervention? Greece, Italy, & Malta Close Airspace For Aircraft From Libya http://www.zerohedge.com/news/2016-05-25/imminent-intervention-greece-italy-malta-close-airspace-aircraft-libya <p><a href="http://www.keeptalkinggreece.com/2016/05/25/imminent-intervention-greece-italy-malta-close-their-airspace-for-aircraft-departing-from-libya/"><em>Via KeepTalkingGreece.com,</em></a></p> <p><span id="result_box" lang="en"><span title="????????????? ??? ?? ?? ????????? ???? ?? ????? ??? ???????? ????? ?? ???????? ???????????? ??? ???????, ??? ??????? ??? ??? ??????, ?? ?????? ????? ??????? ???? ????????? ?????? ???? ??? ????????? ??? ??????????? ??? ??? ?????. "><strong>Weird things are happening in the Mediterranean Sea. </strong>Almost simultaneously three countries in the Mediterranean have closed their airspace and territories for aircraft departing from Libya. The exceptions are very few and involve the transport of military and evacuees. <strong><em>At the same time, three NATO exercises are taking place but the airspace closure and directly little to do with that.</em></strong></span></span></p> <p><span id="result_box" lang="en"><span title="????????????? ??? ?? ?? ????????? ???? ?? ????? ??? ???????? ????? ?? ???????? ???????????? ??? ???????, ??? ??????? ??? ??? ??????, ?? ?????? ????? ??????? ???? ????????? ?????? ???? ??? ????????? ??? ??????????? ??? ??? ?????. ">The first country to close its airspace for aircraft departing from Libya&rdquo; was Italy, followed by Malta. Today it was Greece&rsquo;s turn. All three countries issued relevant NOTAMs:</span></span></p> <p><span id="result_box" lang="en"><span title="????????????? ??? ?? ?? ????????? ???? ?? ????? ??? ???????? ????? ?? ???????? ???????????? ??? ???????, ??? ??????? ??? ??? ??????, ?? ?????? ????? ??????? ???? ????????? ?????? ???? ??? ????????? ??? ??????????? ??? ??? ?????. ">Italy on May 11 and closes the airspace May 11 &ndash; August 8 2016, consequently at the same period Malta that issued the NOTAM on May 12.</span></span></p> <p><img height="107" src="http://www.onalert.gr/files/Image/aphotos/LIBYA/libya%20italy%20notam.JPG" width="640" /></p> <p><span id="result_box" lang="en"><span title="????????????? ??? ?? ?? ????????? ???? ?? ????? ??? ???????? ????? ?? ???????? ???????????? ??? ???????, ??? ??????? ??? ??? ??????, ?? ?????? ????? ??????? ???? ????????? ?????? ???? ??? ????????? ??? ??????????? ??? ??? ?????. "><img height="78" src="http://www.onalert.gr/files/Image/aphotos/LIBYA/libya%20malta%20notam.JPG" width="640" /></span></span></p> <p>Greece&rsquo;s NOTAM was issued today, May 25th and the period for banning aircraft departed from Libya to overflight and land&nbsp; is given as May 25th &ndash; September 8, 2016.</p> <p><span id="result_box" lang="en"><span title="????????????? ??? ?? ?? ????????? ???? ?? ????? ??? ???????? ????? ?? ???????? ???????????? ??? ???????, ??? ??????? ??? ??? ??????, ?? ?????? ????? ??????? ???? ????????? ?????? ???? ??? ????????? ??? ??????????? ??? ??? ?????. "><img height="101" src="http://www.onalert.gr/files/Image/aphotos/LIBYA/libya%20notam%202.JPG" width="640" /></span></span></p> <p>The overlapping FIR closure period by the three countries is actually <strong>May 25 &ndash; August 8 2016.</strong></p> <p><strong>What is interesting in the Greek NOTAM are aircraft like &ldquo;military aircraft of other nations, state flights or other VIP flights, ambulance flights&rdquo; are not affected by the ban.</strong> Italy records also some exceptions but not of &ldquo;ambulance aircraft.&rdquo;</p> <p>Why do Greece, Italy and Malta need to close their airspace and territories to aircraft departing from Libya? Is there something the NATO allies have on their mind? Or the NATO itself? Something like an imminent intervention against Libya? It was beginning of April when US President Barack Obama and Secretary General Jens Stoltenrbg had declared that they could help Libya to face the Islamic Caliphate.</p> <p>Defense news website <a href="http://www.onalert.gr/stories/libyh-pote-tha-ginei-h-epembash-poia-h-emploki-ths-elladas/49905" target="_blank">OnAlert.gr </a>that brought up this exclusive story, notes that there is already since May 17th the NATO exercise &ldquo;<span id="result_box" lang="en"><span title="?????????, ? ?????????? ?????? ??? ???? &quot;Phoenix Express 2016&quot; (???????? 2016) ??? ????????? ??? ?? ??????? ??? ??? 17 ?????, ???????????? ??? ?? ???????? ????? ??? ???? ??? ??????. "><em><strong>Phoenix Express 2016</strong></em>&rdquo; (Phoenix 2016)</span></span> taking part off the island of Crete.</p> <p><span id="result_box" lang="en"><span title="?? ??????? ??? ??????? ??????????????? ?????????? ???? ?????? ?????? ??? ??????????? ???????? ??? ??? ???????, ??? ???????, ??? ??????, ??? ??????, ?? ?????, ?? ??????????, ?? ??????, ??? ???????, ??? ???????, ??? ??????? ??? ??? ???????? ?????????. ">The exercise scenarios focus geographically in North Africa, The forces that participate in Phoenix 2016 are: Algeria, Egypt, Greece, Italy, Malta, Mauritania, Morocco, Spain, Tunisia, Turkey and the United States.</span></span></p> <blockquote><div class="quote_start"><div></div></div><div class="quote_end"><div></div></div><p>&ldquo;The at-sea portion of the exercise will test North African, European, and U.S. forces&rsquo; abilities to combat illegal migration, illicit trafficking, and movement of materials for weapons of mass destruction. Additionally, participating forces will work together to practice procedures of search-and-rescue in cases where vessels are in distress. Participating Maritime Operations Centers (MOCs) will exercise information sharing practices.&rdquo;</p> <p>&nbsp;</p> <p>Exercise Phoenix Express is one of three U.S. Naval Forces Europe-Africa/U.S. 6th Fleet facilitated regional exercises.</p> <p>(announcement by <a href="http://www.navy.mil/submit/display.asp?story_id=94805" target="_blank">USA Navy</a>)</p> </blockquote> <p>Phoenix 2016 will conclude on May 27th.</p> <p>Right after that date, <strong>two NATO Refueling Exercises</strong> will take place, south and west of the island of Crete (May 30-21/2016) and south and west of the island of Karpathos (May 31-June 1/2016)</p> <p><a href="http://www.zerohedge.com/sites/default/files/images/user3303/imageroot/2016/05/24/220160525_libya.png"><img alt="" src="http://www.zerohedge.com/sites/default/files/images/user3303/imageroot/2016/05/24/220160525_libya.png" style="width: 625px; height: 413px;" /></a></p> <p>According to <a href="http://www.onalert.gr/stories/libyh-pote-tha-ginei-h-epembash-poia-h-emploki-ths-elladas/49905" target="_blank">Greek NOTAMs</a> refering to NATO Refueling exercises.</p> <p>According to <strong><em>OnAlert,gr</em> </strong>there has been increase of NATO exercises in the area recently.</p> <p>So it looks as if Greece will play a significant role in a possible intervention against Libya and even be able to receive aircraft that have departed from Libya carrying evacuees, VIP and other&hellip;</p> <p>Such in case that the scenario comes true and thus before summer is over.</p> <p><strong>It is not clear whether also Libya&rsquo;s neighbors Egypt, Algeria and Tunesia have issued similar NOTAMs.</strong></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="625" height="413" alt="" src="http://www.zerohedge.com/sites/default/files/images/user3303/imageroot/220160525_libya.png?1464230040" /> </div> </div> </div> http://www.zerohedge.com/news/2016-05-25/imminent-intervention-greece-italy-malta-close-airspace-aircraft-libya#comments Barack Obama Greece Italy Turkey Thu, 26 May 2016 06:00:00 +0000 Tyler Durden 561888 at http://www.zerohedge.com Trump Accidentally Reveals His Next Attack On Hillary http://www.zerohedge.com/news/2016-05-25/trump-accidentally-reveals-his-next-attack-hillary <p>Two days after Donald Trump <a href="http://www.zerohedge.com/news/2016-05-23/trump-goes-hillarys-jugular-releases-video-featuring-bill-clinton-rape-accusers">released a clip </a>in which he hinted at Bill Clinton's sexual transgressions by featuring two women - Kathleen Willey and Juanita Broaddrick - who have made rape accusations against the former president, and then promptly escalated his attacks on the <a href="http://www.zerohedge.com/news/2016-05-24/trump-escalates-clinton-attack-calls-vince-foster-suicide-very-fishy">Clintons in an interview with WaPo </a>in which Trump called the circumstances of Vincent Foster’s death "very fishy", Trump accidentally revealed what his next attack on Hillary will be.</p> <p>Whitewater. </p> <p><a href="http://www.zerohedge.com/sites/default/files/images/user5/imageroot/2016/05/13/hard%20times%20hillary.jpg"><img src="http://www.zerohedge.com/sites/default/files/images/user5/imageroot/2016/05/13/hard%20times%20hillary_0.jpg" width="500" height="659" /></a></p> <p>&nbsp;</p> <p>This is how it was accidentally revealed: Trump campaign adviser Michael Caputo on Wednesday morning emailed a researcher at the Republican National Committee asking him to "<strong>work up information on HRC/Whitewater as soon as possible. This is for immediate use and for the afternoon talking points process</strong>."</p> <p>The email was <a href="http://www.politico.com/story/2016/05/trump-target-hillary-clinton-whitewater-223570">obtained by Politico </a>when Trump campaign spokeswoman Hope Hicks, who Caputo copied on his request to the RNC, <strong>accidentally responded instead to Marc Caputo, a Politico reporter who is not related to the Republican consultant.</strong></p> <p>As Politico adds, RNC chief strategist Sean Spicer issued a statement praising his committee’s research team as “the best in the business,” but neither he nor Hicks responded to questions about how or when the Trump campaign intended to invoke Whitewater, or whether they thought that spotlighting the matter might open Trump to more scrutiny of his own mixed record in real estate. </p> <p>Considering Trump's "hesitancy" about attacking the Clintons, the questions will be promptly answered and the final product will be released shortly. </p> <p>As most are aware, Whitewater refers to a scandal involving the Clintons’ real estate investment during the late 1970s through a company they formed called the Whitewater Development Corporation. After Bill Clinton was elected president in 1992, the Justice Department and the U.S. Congress investigated various aspects of the Whitewater deal, including allegations that Clinton, as governor of Arkansas in the mid-1980s, used his influence to arrange a $300,000 loan to the Clintons’ partner in the deal.</p> <p>Some Clinton associates were convicted for their roles in the matter. However, as has happened repeatedly with the former first couple, after the DOJ looked into the involvement of the Clintons, was never prosecuted, despite the Justice Department having prepared several draft indictments of Hillary Clinton, which are the subject of an ongoing lawsuit seeking to compel their release. </p> <p>Whitewater became a fulcrum in a constellation of interconnected scandals that continued to plague the couple through Bill Clinton’s entire presidency, and that Trump, the presumptive GOP presidential nominee, is now spotlighting in an effort to damage Hillary Clinton, his likely general election rival.</p> <p>The implication that the Clintons received preferential treatment over something which CNN will call yet another "conspiracy theory", is precisely why Trump will go after Whitewater next. </p> <p>* * * </p> <p>Trump's interest in Whitewater should hardly come as a surprise. In a <a href="https://www.washingtonpost.com/politics/trump-escalates-attack-on-bill-clinton/2016/05/23/ed109acc-2100-11e6-8690-f14ca9de2972_story.html">recent interview</a>, Trump signaled his interest in both Whitewater and the death of Clinton White House counsel Vince Foster, who was involved in responding to Whitewater inquiries and filing overdue tax returns for the Whitewater Development Corporation. </p> <p>And so the triangular "constellation" of attacks takes shape: Clinton's rape allegations - Vince Foster's death - and now Whitewater. We doubt Trump will rest there. </p> <p>As for Hillary, at least she knows what's coming next. </p> <p>We can only assume that among Trump's next digs at Hillary he will take on her unprecedented cattle futures trading record. <a href="http://www.washingtonpost.com/wp-srv/politics/special/whitewater/stories/wwtr940527.htm">Recall</a>: </p> <blockquote><div class="quote_start"> <div></div> </div> <div class="quote_end"> <div></div> </div> <p>Hillary Rodham Clinton was allowed to order 10 cattle futures contracts, normally a $12,000 investment, in her first commodity trade in 1978 although she had only $1,000 in her account at the time, according to trade records the White House released yesterday. </p> <p>&nbsp;</p> <p>The computerized records of her trades, which the White House obtained from the Chicago Mercantile Exchange, show for the first time how she was able to turn her initial investment into $6,300 overnight. <strong>In about 10 months of trading, she made nearly $100,000, relying heavily on advice from her friend James B. Blair, an experienced futures trader.</strong></p> </blockquote> <p>In a <a href="http://www-marshall2.usc.edu/main/magazine/98winter/hillary.html">1998 article, Marshall Magazine</a>, a publication of the Marshall School of Business, sought to frame the trading, the nature of the results, and possible explanations for them:</p> <blockquote><div class="quote_start"> <div></div> </div> <div class="quote_end"> <div></div> </div> <p>These results are quite remarkable. Two-thirds of her trades showed a profit by the end of the day she made them and 80 percent were ultimately profitable. Many of her trades took place at or near the best prices of the day. Only four explanations can account for these remarkable results. <strong>Blair may have been an exceptionally good trader. Hillary Clinton may have been exceptionally lucky. Blair may have been front-running other orders. Or Blair may have arranged to have a broker fraudulently assign trades to benefit Clinton's account.</strong></p> </blockquote> <p>In a <a href="http://www.springerlink.com/content/g14752k164053215/">fall 1994 paper </a>for the Journal of Economics and Finance, economists from the University of North Florida and Auburn University investigated the odds of gaining a hundred-fold return in the cattle futures market during the period in question. <strong>Using a model that was stated to give the hypothetical investor the benefit of the doubt, they concluded that the odds of such a return happening were at best 1 in 31 trillion</strong></p> <p>Maybe if Hillary does not win the White House, she can join Dennis Gartman's newsletter. </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="198" height="194" alt="" src="http://www.zerohedge.com/sites/default/files/images/user5/imageroot/whitewater%20teaser.jpg?1464209438" /> </div> </div> </div> http://www.zerohedge.com/news/2016-05-25/trump-accidentally-reveals-his-next-attack-hillary#comments B+ Donald Trump Florida Futures market Real estate White House Thu, 26 May 2016 03:50:44 +0000 Tyler Durden 561862 at http://www.zerohedge.com