The next time you are stuck alone in a room with Vladimir Putin and that awkward silence strikes, just ask him about NATO's missile shield being for protection against Iran (and not Russia)... and that should break the ice nicely. As the following interviewer found, the iron fist of Russia has a lighter side... we think...
To summarize: the US was arming and training the same Al Qaeda/ISIS groups of Jihadists, that it concurrently gave Iraq weapons to fight. And since the Iraq army has so far proven utterly incapable of any resistance, it is now up to US drones to "fight" the same "rebels" that the US itself was collaborating with until a month or so ago.
Yet again, headlines are scrolling fast with details of another school shooting; this time at Reynolds High School in Oregon. It is unclear how many students were shot or injured but police report the shooter is dead. However, in a clear indication of the growing anger among the American people at the frequency (and responses) to these shooting sprees, one father of a student trapped in the school explained that his wife was "in culture shock;" being from Iran, he said, "if this happened there, all the families would show up with guns and take care of it."
In today's abnormally quiet overnight session one could hear a pin, or the USDJPY, drop: with everyone focusing on the ECB announcement in one hour, not a single algo is willing to make any big moves, or even start some momentum ignition, ahead of Draghi's announcement, which absent launching full scale QE, which it won't, will be a disappointment which means the EUR will ultimatly move higher after a kneejerk lower as the market forces Super Mario to do even more next time. As Bloomberg adds, a cut in refi and deposit rates is fully priced in and latest price action suggests investors brace for disappointment if ECB stops short of signaling asset purchases or other liquidity measures to combat deflation.
How The West Spies On The Middle East: The Location Of The GCHQ's Top Secret Internet Spy Base RevealedSubmitted by Tyler Durden on 06/04/2014 21:44 -0400
Until yesterday, a piece of the global spying puzzle was missing: not because it did not exist, but because certain of Snowden's preferred outlets had refused to reveal it. That piece, as Duncan Campbell of The Register (incidentally Campbell has been breaking exclusives for more than three decades: he was the first journalist to reveal the existence of GCHQ in 1976) revealed yesterday, is the GCHQ's (and thus indirectly the NSA's) top secret middle eastern Internet spy base located in Seeb, Oman (officially known as Oman Comms Link Site 1), smack in the middle of the middle east, located southwest of the Straits of Hormuz, and in close proximity to America's closest petroleum-exporting "friends": Kuwait, Saudi Arabia, and the United Arab Emirates.
The best lies contain elements of truth. The truth here is that the East is forming alliances in opposition to the West, the West is involved in underhanded covert operations all over the planet, and both “sides” are in fact on the verge of a catastrophic battle for supremacy. The great lie is that important details have been left out of our little story. Both sides are merely puppet pieces in a grand game of global chess, and any conflict will ultimately benefit the small group of men standing over the board. They include the international financiers who have influenced the very policy fabric of each government toward a climactic crisis which they hope will finally give them the “New World Order” they have always dreamed of.
It seems like it was only yesterday when the US, under the guise of a fabricated WMD threat, was invading Iraq to liberate its oil deposits. Fast forward to this week, when as Reuters reports, the US will deliver the first of 36 F-16 fighter jets to Iraq in what Baghdad's envoy to the United States called a "new chapter" in his country's ability to defend its vast borders with Iran and other neighbors. Which merely shows that since the US has "sanctioned" virtually every other potential customer of US weapons, it now has no choice but to invoice defense machinery deliveries (and boost factory orders and GDP) to former enemies. It also means that in several years, when Iraq reverts to a posture that is unfriendly to the US, and when the US shale boom is long gone and foreign sources of petroleum are once again all the rage, the US will have to fight its own fighter jets in the name of yet another war of democratic liberation and emancipation.
If yesterday's non-record, red-tick close can be attributed to algos applying the wrong ISM seasonal factor to the day, believing it was Wednesday instead of the permabullish Tuesday, today there is no such excuse, which is why we fully expect the unallowed redness with which futures are currently trading to promptly morph into a non-red color especially with the USDJPY doing it best to ramp to 103.000 levels overnight, stopping out all shorts, and push spoos to fresh record highs. It is an algo world after all. It appears that already record low volatility is being pushed even lower in anticipation of numerous imminent data releases, including today's ADP and Services ISM (first, second and final release), tomorrow's ECB announcement and Friday's payrolls number. Which while good for low volume levitation means bank trading revenues continue to deteriorate forcing banks to pitch M&A deals to clients, which in turn result in even more synergies and more layoffs: because in order to preserve the bottom line, crushing real employment further is perfectly acceptable collateral damage.
La banque d'un monde qui KLEPTMANE!
With Eric Holder suddenly playing hardball with the banks (most notably not US banks), it has not gone unnoticed among the largest European newspapers. The potential $10 billion penalty for BNP Paribas - France's largest bank - for alleged dealings with a sanctioned Iran has been called a "masterful slap," by Le Monde and Le Figaro said the U.S. was making an example of BNP to deflect criticism it had been "lenient with the American banks responsible for the financial crisis." This could make for an awkward week for Obama, not only facing Putin as he visits Europe to celebrate D-Day but as the allies themselves turn on him with France's Hollande likely to raise the matter and, as Bloomberg reports, newly elected National Front party called on the French government to "defend the national interest" in the case.
The officially released agenda of the prestigious Bilderberg club meeting (attendees listed here) is not true, claims Russia Today show host Daniel Estulin, a longtime watcher of the ‘secret world govt’ group. He says he obtained the real agenda for this year’s gathering in Copenhagen. An insider leaked the list of talking points for the ongoing Bilderberg conference to the investigative journalist last week, he said. The list has nine items, seven of which he shared... from Nuclear diplomacy and the disturbing rise of Nationalism; it was a focus on Barack Obama's foreign policy that drew our attention most closely...
With the NSA already reigning supreme when it comes to the capture of virtually every form of instantaneous electronic communication and interchange, aka the "flow" of data, there is one final threshold that the US superspy agency needed to cross before the biggest brother of all would have full control over not only the flow of information, but its stock too: a photographic database of virtually everyone. And courtesy of not only programs like Facebook, but also its access to government photographic data, the NSA is focusing on just that. As the NYT reports, the agency is "harvesting huge numbers of images of people from communications that it intercepts through its global surveillance operations for use in sophisticated facial recognition programs, according to top-secret documents... The agency intercepts “millions of images per day” — including about 55,000 “facial recognition quality images” — which translate into “tremendous untapped potential,”
June is seasonally a poor month for gold and technical damage means gold could be manipulated lower again before half year end ... As one astute commentator said on Twitter this week, being able to acquire cheaper gold given the state of the world today is "like being given discounts on life-rafts on the Titanic ... "
With tear-gas flying in the streets of Turkey, Ukraine's civil-war raging in the south and east, US drones based in Japan to oversee the South China Sea, and Europe's extremist parties gaining significant traction, today we get one more piece of considerably worrisome geopolitical news that global stock markets must ignore. The Sunday Times reports that Israel is to deploy three submarines equipped with nuclear cruise missiles in the Persian Gulf that are meant to act as a deterrent, gather intelligence and potentially to land Mossad agents. Iran is not happy, warning that "anyone who wishes to do an evil act in the Persian Gulf will receive a forceful response from us."
Francois Hollande is not having a good week - disastrous elections over the weekend, followed by record high numbers of jobseekers (destroying his promise to deliver jobs), and now his banking system is under attack; as the WSJ reports:
US JUSTICE DEPT SEEKS >$10B BNP PENALTY FOR SANCTIONS EVASION: WSJ
A final resolution (and a guilty plea) of the yearslong investigation of the French bank is likely weeks away, WSJ notes but it does remain ironic that in flexing his enforcement muscles, DoJ's Eric Holder is about to crucify yet another non-US bank.