Australia

There is little sign that Washington and its vassals care about life on Earth.

This conflict is not about Ukraine but about the future of the planet. There is no “Novorussian” or even “Ukrainian” solution. The only possible outcome is a strategic victory of either Russia or the USA which will affect the entire planet. In the following, Rostislav Ishchenko provides a superb overview of the risks and options for both sides and offers the first comprehensive “key” to the apparently incomprehensible behavior of Russia in this conflict.

Yogi Berra, one of the keenest observers of the human condition, is said to have once remarked "It is tough to make predictions, especially about the future."  And so it is.

Hookers for Brazilians, and MiGs for Russians... what cost is your country obsessed with?

• Marchers protest police violence in Baltimore, New York (Reuters)
• Majority of Financial Pros Now Say Greece Is Headed for Euro Exit (BBG)
• Greece signals concessions in crunch talks with lenders (Reuters)
• Greece, Euro-Area Partners Target Deal by Sunday (BBG)
• Iglesias Says EU Risking Right-Wing Backlash With Greek Pressure (BBG)
• Student-Loan Surge Undercuts Millennials’ Place in U.S. Economy (BBG)
• Majors’ Quandary: Why Drill for Oil When They Can Buy Somebody Else’s? (WSJ)

• Police enforce curfew in Baltimore, disperse protesters (Reuters)
• Saudi king resets succession to cope with turbulent times (Reuters)
• Euro-Area Bank Lending Increases for First Time Since 2012 (BBG)
• Riksbank Increases Bond Purchases as Key Rate Left Unchanged (BBG)
• Greek Banks Get More Funds as ECB Weighs Collateral Discount (BBG)
• Greek bank deposits drop 1.36 pct in March for sixth month in a row (Reuters)
• Sarao Remains in Jail After Failing to Pay Bail at Hearing (BBG)

Following yesterday's early MNI rumor that a Chinese QE is being "considered" and which sent the Shanghai Composite surging 3% and led to an initial boost in US stock futures, overnight the PBOC scrambled to once again deny such speculation. Of course, going full "cold Turkey" on Chinese stimulus would be too much for the market to handle, so in a piece by the WSJ also released overnight, the author said the PBOC would pivot from outright QE to mere LTRO, which is also not new and was reported over a week ago here in "China Floats QE Trial Balloon, PBoC May Launch LTROs." In any event, for now at least, Asian stocks are not happy despite Apple's latest blockbuster results, and neither is Europe, with the Stoxx 600 down 1%, and even the E-mini is hugging 2100 unable to levitate on any imminent central bank intervention.

As we recently noted, the US government is in the process of launching an all-out war on truth. Those who express views contrary to the party line out of Washington will be labeled a threat. But Washington's propaganda isn't working at all well in the rest of the world, be it Russia or China or Latin America. In all of these places, Washington's message control has more or less failed. This is why the people in Washington are in a bit of a panic, and labeling internal dissidents as a “threat” is just them flailing in search of an answer. They can't stop lying, and they can't even pretend to rule the world if everyone knows that they are lying, so their only option is to try to squelch every voice except their own. They may succeed at this within the US (some would say they already have) but as far as the rest of the world - good luck!

This new nothingness is creating a youth, a political system and an economic outlook which is based more in peoples’ heads and minds than it is in reality.

At a certain point, even central bankers will realise they can go no further.

Following meetings with Sec. of State John Kerry, Defense Sec. Ashton Carter, Japanese officials, it appears, have been shown the endgame now that the Keynesian farce is over... As AFP reports, Japan’s military to take on more assertive role, according to Japanese officials as Japan and US bolster their alliance for the first time in 18 years. Noting the alliance "serves as the cornerstone of peace in AsiaPac," and that the Senkakus will fall under protection of this new treaty, we suspect the Chinese will have more than a few things to say about this.

It feels like not a single soul is worried about the increasing amount of negative interest rates around the world. Ignorance or indifference?

The day after the crash (and thereafter), what will be the currency that is used to buy a bag of groceries, a tank of petrol, a meal at a restaurant? Certainly, the need will be immediate and will be on a national level in each impacted country, affecting everyone. Many believe the US will be prepared ahead of time with a new, electronic currency - US citizens will then become the most economically controlled people in the world, overnight. A further possibility is taking place in Mexico today. Mexico is remonetising silver. As the Great Unravelling proceeds, we would be wise to monitor what happens with the Libertad in Mexico and watch for a similar return to precious metals in other jurisdictions.

A government that cannot survive truth and must resort to stamping out truth is not a government that any country wants. But such an undesirable government is the government that Clinton-Bush-Cheney-Obama-Hillary-Lack-Royce have given us. Does it satisfy you? Are you content that in your name and with taxes on your hard-earned and increasingly scarce earnings, Washington in the 21st century has murdered, maimed, and displaced millions of peoples in eight countries, has set America on the path to war with Russia and China, and has declared truth to be an enemy of the state?

"The EU and US need to hear the pleas coming from the southern European countries, as well as those of the refugees. The humanitarian catastrophe has reached large scale, with profound and irreversible consequences. Greece is paying a disproportionately high price, although Greece played no role in triggering this catastrophe. The EU and the US have the moral obligation, which is also consistent with their long-term interests, to take the necessary steps to put an end to the suffering of those in war zones, while at the same time preventing Greece’s collapse under the mounting pressure of refugees."

Moments ago the NY Department for Financial Services announced that, in what is the largest Libor settlement in history, Deutsche Bank would pay $2.5 billion "in connection with the manipulation of the benchmark interest rates, including the London Interbank Offered Bank ("LIBOR"), the Euro Interbank Offered Rate ("EURIBOR") and Euroyen Tokyo Interbank Offered Rate ("TIBOR") (collectively, "IBOR")."  Most importantly for DB's 98,138 employees is that while DB will "terminate and ban individual employees who engaged in misconduct" nobody will go to jail. Again. In other words it just cost DB's about $25,474 per employee to keep its Libor-manipulating employees (and thus, senior level management because the stench always goes to the very top) out of prison.