Germany

"This Scares The Hell Out Of Me" - ISIS Claims Responsibility For First German Suicide Bombing In Years

The suicide bomber who blew himself up outside a German concert, injuring 15, had declared allegiance to the leader of Islamic State, Bavarian Interior Minister Joachim Herrmann said. "A video with a corresponding threat of an attack made by the assailant was found on his cellphone, in which he declares in Arabic…in the name of Allah allegiance to Abu Bakr al-Baghdadi, a known Islamist leader, and threatens vengeance against Germans because they stand in Islam’s way."

"Don't Panic" German Minister Urges Population, Claims Surge In Attacks Has "No Link To Merkel Refugee Policy"

Pouring cold water on speculation that Merkel may take responsibility for the past week's events,  German Interior Minister Thomas de Maiziere said that "the attacks are unrelated to Merkel's refugee policy." He urged people "not to panic." And to help them do just that, the interior minister said that he has ordered increased security presence at airports, train stations and other public places, adding that the "German army can play a domestic role in special cases." Cases such as these.

Why We're Ungovernable: Debt & The Sudden Outbreak Of Utter Insanity

Debt works the same way for countries as it does for individuals and families: When you borrow too much your life spins out of control. And civil unrest becomes the rule rather than the exception. This sudden outbreak of apparent insanity doesn’t seem closely tied to the recent change in our borrowing habits. But it is, in several ways...

Key Events And Earnings In The Coming Week

The key economic releases this week include consumer confidence on Tuesday, the durable goods report on Wednesday, and the advance release of 2nd quarter GDP on Friday. The July FOMC statement will be released on Wednesday at 2PM. There are several scheduled speeches from Fed officials this week. 197 S&P 500 companies are due to report (or 38% of the index market cap) with the notable names including Apple, Verizon, Facebook, Coca-Cola, Alphabet, Exxon Mobil and Chevron.

Frontrunning: July 25

  • Democrats in disarray on eve of convention to nominate Clinton (Reuters); After Gloating, Democrats Face Unity Problem of Their Own (BBG)
  • Florida nightclub shooting leaves two dead, up to 16 wounded (Reuters)
  • Yellen Still Waiting for Overwhelming Evidence to Warrant Hike (BBG)
  • Oil Trades Near Two-Month Low as Drilling Increases Amid Surplus (BBG)
  • Fraud Investigation Ricochets Through Hedge Fund Known for Ties to Jewish Community (WSJ)

US Futures Unchanged As Europe Stocks Rise; Strong Dollar Pressures Oil

There has been little notable market moves overnight, with the record rally in the S&P500 set to continue and European stocks climbing as German IFO business confidence proved more resilient than economists predicted in the month after Britain voted to leave the European Union, falling less than expected from 108.7 to 108.3, above the 107.5 consensus, with expectations printing at 102.2 above the 101.2 expected. Bonds fell with gold as the dollar gained before central bank meetings in the U.S. and Japan this week.

"Politically Correct" German MP Demands Probe Over Police Shooting Of Axe-Wielding Jihadist

After the blood-filled train - an eyewitness said it "looked like a slaughterhouse" - came to a stop, the teenager jumped off and tried to escape. Surrounded by police, he lunged at them with an axe. Police shot the attacker dead because "there was no other option." Green Party MP Renate Künast criticized the police for using lethal force, tweeting: "Why could the attacker not have been incapacitated without killing him???? Questions!" Künast's comments provoked a furious backlash.

G-20 Meeting Ends With Rising Discord Between China And US

While the G-20 group traditionally tries to put on a united front, a curious divergence emerged following the latest meeting in China, where as Bloomberg notes Chinese and U.S. officials "showed signs of being at odds on how synchronized efforts to boost global growth need to be, with China stressing the need for improved coordination more than the U.S."U.S. Treasury Secretary Jacob J. Lew on Thursday talked down the need for crisis-level coordination as he headed to Chengdu, China, for the meeting.

Munich Shooter Planned Attack For A Year Germany Alleges; May Use Military During Next "Extreme Situation"

In addition to pivoting away from a story of "radical Islam" striking again, despite objections of a narrative that just does not fit,  Germany is now doubling down on a story of a sick, mentally-troubled individual, who played a lot of first-person shooter video games, who had been bullied by his classmates, and who decided to take out his anger on fellow children in a mass shooting which ended with his suicide.  Most importantly, Germany has now opened the doors to summoning the Bundeswehr  - the military - the next time an "extreme situation" such as this one takes place