The G30 court

There is an issue, an issue that we are all missing, more for the reason that after January 17th the media is steering clear of this with all the might and options they had. I reckon that they will spin this in a setting that it is ‘uninteresting‘, but when was it ever uninteresting to look at a group of 30 that has the alleged advantage of getting their fingers into a pool that has 0% risk worth billions?

The more important part is that there was one mention, or at least only one that was found, on July 7th 2017 and November 3rd 2017, both come from Reuters, the media has become that much of a bean flicking, pole pulling grape flocked bunch of pussies as I personally see it. Yet, the fact is that even as the impact is speculated, the setting given is that a group of 30 had an optional exclusive insight in the 3 trillion dollar ECB spending. Consider that each of these 30 got a 1% portfolio, where 75% of it was set at 0% whilst the remaining 25% might have op to 3% risk, in this setting the underwritten $31 billion for each member would set a speculated sanctified security of a multiple factors of $31 billion each. An elite group of 30 all having the top of the financial services cream at zero risk with the optional massive returns none of us ever had insight to. Now I can see that a mere 0.01% of that 1% would set me up for life, and that is merely the one source, the ‘in-crowd’, now would that be the incestuous insider towards untapped ‘considerations of investment‘ and they would all be bringing their own portfolios and economic insight on how to maximise that? Adding the man (read: Mario Draghi) spending Europe’s $3.1 trillion would happily be allowed into their midst, it is merely the setting that this rigs the game towards 30 participants whilst giving a weighted disadvantage to all other bankers is still an issue not covered by anyone.

So as we saw last November ‘ECB says not its call to publish content of Draghi’s meetings with financiers‘ (at https://www.reuters.com/article/us-ecb-banks-ethics/ecb-says-not-its-call-to-publish-content-of-draghis-meetings-with-financiers-idUSKBN1D327U) whilst we also see “At issue is Draghi’s membership of the so-called Group of 30, where policymakers meet bankers, fund managers and academics behind closed doors to discuss economic issues. He sits alongside former and current central bankers, such as Bank of England Governor Mark Carney and the Bank of Japan’s Haruhiko Kuroda, as well as Nobel laureate Paul Krugman

Yet even as we see “Ombudsman Emily O’Reilly had asked whether the ECB would “consider proactively informing the public of the content of these meetings” in response to “a complaint by activist group Corporate Europe Observatory, which said in January it was concerned about proximity at the G30 of ECB officials and bankers they are meant to supervise“, I cannot help but wonder what both Emily O’Reilly and Corporate Europe Observatory left unmentioned. It was also mentioned by the Dutch Volkskrant where the Corporate Europe Observatory (CEO) member Olivier Hoedeman added comment.

I tried to find more, so even as we have found Mario Draghi, Mark Carney, Haruhiko Kuroda and Paul Krugman as confirmed names (from the media), I initially believed that Groupe Credit Agricole (most likely Dominique Lefebvre) would be a member, I am also speculating that Peter Smith (as director of N M Rothschild & Sons) might have been a member of that group. There are a few other players, but it becomes increasingly less certain even from a speculated point of view. What does matter is that this is not merely some ‘secretive’ babble group. Even as we see last July “In a letter to Draghi that was published on Friday, European Ombudsman Emily O’Reilly said the meetings of the Group of Thirty, where central bankers, economists and financiers talk behind closed doors, are “not transparent” and questioned the ECB president’s membership of the club” as well as “Draghi has until September to reply to the letter in writing“, in that, the media and so called journalism stayed clear of this for the largest extent and the ECB did respond in October 2017 in the attached part. In my view, it all sounds nice but a select group of 30 with a pool of a number in excess of 6 trillion, where 30 people get first dibs on a risk bonus that goes beyond the comprehension of many and the media buries it on page 62 is a much larger issue, especially when the response on page 9 gives us “Moreover, Article 130 of the Treaty on the Functioning of the European Union safeguards the independence of the ECB and of the members of its decision-making bodies” whilst we all know that a mere fraction of $6 trillion has been a case for shifted morals and readjusted (read: weighted morals) in many regards, there are countless hours on C-SPAN that saw those liquid morals and settings in regards to the 2008 events, so the idea of ’30’ members ending up with golden parachute the size of Australia is not that much of a leap, speculated or not. So when we look back to the 2008 events and we see in January 2017, nine years later “The credit rating agency Moody’s has agreed to pay nearly $864m to settle with US federal and state authorities over its ratings of risky mortgage securities in the run-up to the 2008 financial crisis, the department of justice said on Friday“, whilst the damage from the 2008 crash was set to top $22 trillion, we should ask the US Justice department on where the remaining 21.991 trillion is and who was supposed to pay for that. So in all this the fact that the media is steering clear from the G30 and asking, or actually not asking anything past the Reuters articles seen should give alarm bells on many sides, not merely the media.

The EU Parliament magazine (at https://www.theparliamentmagazine.eu/articles/news/mario-draghi-under-fire-g30-membership), also gives us “CEO’s monetary and financial policy researcher Kenneth Haar said, “The Ombudsman’s decision is timely and very positive. Draghi’s involvement with the G30 was ill-advised from the start. Since 2016, when the ECB’s mandate for banking supervision was extended, the close ties between the president and the bankers’ group has become absolutely unacceptable“, or is that gave, because it is past tense and so far the media has remained silent since January 17. It seems to me (extremely speculative) that these 30 members are either connected or involved with the shareholders, stakeholders or advertisers in the media, because the media seems to be at all times protective of these three groups, whilst merely informing on those three groups in a filtered way, or to the smallest degree unless it was already out there in the field. The fact that this group has such a global hold is an issue and I might have been a lot less speculated on this, but the lack of transparency as well as the fact that we see “Tyga Gives Kim Kardashian A Hilarious Spelling Lesson On Social Media” and other Kim Kardashian on a daily basis, whilst the media remains silent on the speculated distributors of no risk trillions is a weird setting, especially when those sources have their fingers in thousands of billions. So when we see the BBC with: ‘Is it time we all unfollowed Kim Kardashian?‘, we might wonder whether it is yea or nea, yet there is a speculated 99.9999% likelihood that the G30 members will not make the cut towards monitored inclusion on following, I am certain that the first one that acts on that is has a boss who is likely (again speculated) to get a quick phone call from a shareholder, stakeholder or large advertiser to wonder if they have any grasp on their staff members and whether they want to manage or become managed.

Do you think that this is a stretch?

From my personal point of view I would give to you Sony (2012) issues, in regards to the change to the Terms of Service. The media ignored it, even as it would impact a group of 30 million consumers. Most of those players merely just trivialised it via ‘there is a memo‘ on it. The rest did even less; some even ignored it all together. With Microsoft (2017/2018) we see even more (at https://www.computerworld.com/article/3257225/microsoft-windows/intel-releases-more-meltdownspectre-firmware-fixes-microsoft-feints-an-sp3-patch.html)

You’d have to be incredibly trusting — of both Microsoft and Intel — to manually install any Surface firmware patch at this point. Particularly when you realize that not one single Meltdown or Spectre-related exploit is in the wild. Not one“, the amount of visibility (apart from marketed Microsoft Central views) is close to null, a system with no more than 17 million users is marketed and advertised to the gills, so the media seems to steer clear, merely two examples in a field that is loaded with examples.

Back to the group

So as I gave the speculated view earlier on the ‘whom’, we can see the full list (at http://group30.org/members), these members are according to the website:

  • Jacob A. Frenkel, Chairman, JPMorgan Chase International
  • Tharman Shanmugaratnam, Deputy Prime Minister, Singapore
  • Guillermo Ortiz, Chairman, BTG Pactual Latin America ex-Brazil
  • Paul A. Volcker, Former Chairman, Federal Reserve System
  • Jean-Claude Trichet, Former President, European Central Bank
  • Leszek Balcerowicz, Former Governor, National Bank of Poland
  • Ben Bernanke, Former Chairman, Federal Reserve System
  • Mark Carney, Governor, Bank of England
  • Agustín Carstens, Former Governor, Banco de México
  • Jaime Caruana, Former Governor, Banco de Espana
  • Domingo Cavallo, Former Minister of Economy, Argentina
  • Mario Draghi, President, European Central Bank
  • William C. Dudley, President, Federal Reserve Bank of New York
  • Roger W. Ferguson, Jr., President and CEO, TIAA
  • Arminio Fraga, Founding Partner, Gavea Investimentos
  • Timothy Geithner, President, Warburg Pincus
  • Gerd Häusler, Chairman of the Supervisory Board, Bayerische Landesbank
  • Philipp Hildebrand, Vice Chairman, BlackRock
  • Gail Kelly, Global Board of Advisors, US Council on Foreign Relations
  • Mervyn King, Member, House of Lords
  • Paul Krugman, Distinguished Professor, Graduate Center, CUNY
  • Christian Noyer, Honorary Governor, Banque de France
  • Raghuram G. Rajan, Distinguished Service Professor of Finance
  • Maria Ramos, Chief Executive Officer, Barclays Africa Group
  • Kenneth Rogoff, Professor of Economics, Harvard University
  • Masaaki Shirakawa, Former Governor, Bank of Japan
  • Lawrence Summers, Charles W. Eliot University Professor at Harvard University
  • Tidjane Thiam, CEO, Credit Suisse
  • Adair Turner, Former Chairman, Financial Services Authority
  • Kevin Warsh, Lecturer, Stanford University Graduate School of Business
  • Axel A. Weber, Former President, Deutsche Bundesbank
  • Ernesto Zedillo, Former President of Mexico
  • Zhou Xiaochuan, Governor, People’s Bank of China

They also have senior members, which is interesting as they are younger than at least one of the current members, as well as the fact that most of the members in the current, senior and emeritus group have multiple titles.

  • Stanley Fischer, Former Governor of the Bank of Israel
  • Haruhiko Kuroda, Governor, Bank of Japan
  • Janet Yellen, Former Chair, Federal Reserve System

And the Emeritus members:

  • Abdlatif Al-Hamad, Former Minister of Finance and Planning, Kuwait
  • Geoffrey L. Bell, President, Geoffrey Bell and Associates
  • Gerald Corrigan, Managing Director, Goldman Sachs Group, Inc.
  • Guillermo de la Dehesa, Chairman, Aviva Grupo Corporativo
  • Jacques de Larosière, Former Director, IMF
  • Richard A. Debs, Former President, Morgan Stanley International
  • Martin Feldstein, Professor of Economics, Harvard University
  • Gerhard Fels, Former Member, UN Committee for Development Planning
  • Toyoo Gyohten, Former Chairman, Bank of Tokyo
  • John Heimann, Senior Advisor, Financial Stability Institute
  • Sylvia Ostry, Former Ambassador for Trade Negotiations, Canada
  • William R. Rhodes, President and CEO, William R. Rhodes Global Advisors
  • Ernest Stern, Former Managing Director; The World Bank
  • David Walker, Former Chairman, Barclays
  • Marina v N. Whitman, Professor; University of Michigan
  • Yutaka Yamaguchi, Former Deputy Governor, Bank of Japan

So this group of 30 is slightly larger and in the group each of these members would have the power and economic impact to tell any member of the Fortune500 what to do, or better stated and more important ‘what not to do!‘ It is in that instance that we see the first impact. A game that now looks as I personally see it rigged in several ways; so even as I was allegedly wrong about Dominique Lefebvre or a direct peer, we see Christian Noyer. So in my view, in a 2015 French article on the issue of “Who will succeed Christian Noyer as head of the Banque de France?“, we see “Mario Draghi, the president of the ECB, seems to have had the idea to see his right arm go. Benoît Coeuré would be an important ally for the Italian in the Council of the Governor“, yet in the light of the G30, it seems to me that such a discussion would have been set into a pre-emptive conclusion of who would needed to have been made king in that castle. When we see that in light of a previous article, namely ‘The Global Economic Switch‘ (at https://lawlordtobe.com/2018/03/06/the-global-economic-switch/), were well over 500 billion is to be invested and grown, in addition to the fact that the SAMA has oversight to well over 2 trillion dollars, how come that they do not have a seat at the table? In the same way that the Rothschild’s are not there, but they might be ‘represented‘ through Bernanke or Frenkel, whilst it is not impossible that Mario Draghi might be giving them the low-down to some degree, yet the Kingdom of Saudi Arabia with that much money on the ladle of expansion, that they are not part of it. In a world where that group is about (according to their own website) “The Group of Thirty, established in 1978, is a private, non-profit, international body composed of very senior representatives of the private and public sectors and academia. It aims to deepen understanding of international economic and financial issues, and to explore the international repercussions of decisions taken in the public and private sectors“, where the foundation of Saudi Arabia has been the power of OPEC and the power to instil the push to be a global player in many fields, in that sight in represented value that the repercussions of decisions are set at, to see the Bank of Israel yet not some link to SAMA (Saudi Arabian Monetary Authority) makes equally less sense in the line of thinking that the ‘about‘ section gives us, which makes me wonder what these members are about. they might be all about that, yet what else they are about, or what else they have a useful value in gives rise to my train of thought on where this train with less than 55 occupants is heading off to, and more so, in light of the power that these ‘30’ members have, the fact that the G30 is not the cover talk of many newspapers, especially the Financial Times is beyond me, because anyone coming to you with ‘No News’ or outdated news, or even worse that there is no real issue in play is clearly told what not to write.

It seems to me that not only is there more in play, the personal speculated view that I have in light of learning more and more about the G30 merely confirms my suspicions, as well as the insight that I am getting (a speculated one) where the media is steering clear from all this is a much larger issue. To what and in which direction is one I am not willing to go into, because I know that the ice is wafer thin at this point and skating on water is a realistic ‘no no’, yet the feeling that these members are getting a first view and optionally the option to dip their cups on plenty into a grape juice barrel of risk-less profit is one that I feel is very much in play. This G30 group is networking on an entirely new level, one that I have never seen before. This is not some kingmaker into presidency; this is a long term group where the optional billions will keep on flowing for decades to come. And this all in a setting of non-transparency, because this goes way beyond the 3 publications in 2016 and of course all those papers published before that. In the 2016 publication ‘Shadow Banking and Capital Markets: risks and opportunities‘, (at http://group30.org/images/uploads/publications/ShadowBankingCapitalMarkets_G30.pdf), we see in the conclusion on page 49: “Moreover, growing leverage across the global Economy can create important risks to macroeconomic stability even if the financial system itself is more resilient. And two developments are particularly concerning: the growth of emerging market foreign currency debt and the rapid growth of Chinese leverage accompanied by a proliferation of shadow banking activities are ominously reminiscent of precrisis developments in the advanced economies“, which is in view of the experts would be nothing new, yet resources available and the 36 exhibits and the recommendations would have been available to the G30 group much earlier than anyone else. In that light, we need to wonder not merely on the setting, in Exhibit 36 we see mortgage losses and the fact that there is the US, Canada and Europe, so in that light the fact that the fourth one is the Netherlands, is that not odd? In light of several settings, France, Germany, Italy and the UK, any of these four would have made perfect sense, so why the Netherlands? Exhibit 33 might have been a reason for this, yet in equal measure the absence of Scandinavia and Italy in this setting now adds to the questions. I think it is not merely choice and presentation, the absence of those players give rise to questions, perhaps even speculated questions and as there are none to be given, it makes me wonder what else is missing, what other data was filtered because in the light of data and presentation there is one golden rule I have always kept in the back of my mind.

The Analyst shows you which investment needs to be made, the presentation makes you look forward to the invoice.

So what invoice is the G30 group making you look forward to and where did it need to go? Two questions with optionally very different results, and in that setting, whilst you know the impact the European economy has had over the last 15 years, whilst we also know that Mario Draghi has been spending $3 trillion, in that setting the G30 does not make the news?

Who is getting fooled by all this and who is getting fooled by making sure that you do not get to notice this?

It is a much larger playing field that is from whatever point of view you have a field of inclusion, or a field of exclusion, yet in all this there are questions that are not asked at all, questions that even I am not asking because I decided to go into technology, engineering and law whilst giving a pass on the Economic subjects. Yet the Financial Media is not asking them either and that is an issue, especially in light of that ‘secretive‘ group set to a stage of networking inclusion, or is it networking through filtered exclusion?

I’ll let you decide on that.

 

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The Global Economic Switch

There is a shift going on, now this shift is still in the planning stages, but the switch is very real and as we see the crumbling switch from enabler and entrepreneur, the US is moving towards becoming a mere consumer and dependent user. That is a switch some might have seen coming, others have not seen it at all and some are still in denial, claiming it is a short term inconvenient stage. I have no idea which is true, but the events that are a given are showing to be more than a mere short term event and the diplomatic impact will equally show to be a long term impact on what the US had and what it will become. Now there are indicators, but the image is not seen in a single view, so let’s paint this picture for you whilst adding the sources.

Saudi Arabia

The Saudi Arabian announced investment (at https://www.cnbc.com/2018/03/05/saudi-arabia-and-egypt-agree-to-a-10-billion-deal-to-build-a-new-mega-city.html), is actually a lot more than the $10 billion forecasted, because the value as I showed in over the last year is more than becoming a reality, it is now in a planned stage, and planned much larger than I foresaw it going. It starts with “Saudi Arabia and Egypt have agreed to create a $10 billion joint fund to develop a mega-city in Egypt’s southern Sinai Peninsula, with both countries committing more than 1,000 square kilometres (386 square miles) of land to the new project“, you see, depending on the distance from Sharm-El-Sheikh the infrastructure will grow much faster and even as they will rely on what Sharm-El-Sheikh has, the growth of this new Mega-city could be the start of the tech-hub that benefits both Egypt and Saudi Arabia. As the technology hubs grow, so will the economy. It is also the first part to start getting combined 4G/5G preparation in place, because as this technology becomes available Saudi Arabia now has a first advantage in both upgrading its services and that gives optional access to 23-32 million out of a 95 million population. With the tech hubs, both the Sinai one as the half a trillion dollar NEOM, there will be a massive growth in dependency and requirements for technology. There is in addition, the Barcelona World Mobile Congress where on February 26th Huawei announced its full range of end-to-end (E2E) 3GPP-compliant 5G product solutions, now the other players will be following, yet Huawei has an advantage for now. With “The featured products are also the only available options within the industry to provide 5G E2E capabilities” we see that Huawei has chosen a path that allows them to grow and they will not be alone, but for now they are ahead of the crowds, so even as we see now “Huawei partnered with Zain Saudi Arabia, signing a Memorandum of Understanding promising to develop a new network strategy in the Kingdom. The aim of the MoU is to accelerate the realization of 5G networks and assist Zain in building the most advanced end-to-end networks in the region. The two companies will work together to accelerate the deployment of 4.5 to 5G networks, make further advances towards full cloudification, and produce additional strategy and planning in the field of ICT Synergy Cloud” (at https://www.arabtimesonline.com/news/huawei-outlines-vision-5g-future-co-unveils-latest-innovative-products-solutions-mwc/) merely a day ago. I gave that indication almost two weeks earlier, so how is that for a prediction. So even as the US is setting the bar at “Chicago, Los Angeles, Dallas, Atlanta, Washington, DC and Houston” to be the first with 5G at the end of the year, what happens when you need to reach out to Wall Street and Manhattan? Will that be merely 4G, or will you suddenly experience other issues (between providers, reception issues and so on; oh, and as you go from protocol to protocol switching per cell tower on the move, watch that battery power drain as the battery percentage goes down like a timer in seconds 75, 74, 73, 72, 71 and so on. Please do not take my word on this, it is much better when your own eyes see the battery counter go down, it adds to the dramatic effect when you hear me howl with laughter (stating: ‘I told you so’). So even as the article ended with “Ken Hu, Huawei Rotating CEO, said: “The intelligent world is drawing near, filled with potential and possibilities. Ground-breaking technologies like 5G and IoT promise to solve complex business challenges and improve the lives of the population. Yet challenges remain on our path before these dreams are realized. MWC 2018 was an excellent opportunity for us to meet with other leading companies and discuss how together we can overcome these obstacles, achieve sustainable business growth, and Build a Better Connected World.”“, I will admit that I have an issue with that part, you see with ‘IoT promise to solve complex business challenges‘, we see the implied solution, but the IoT (Internet of Things) is merely the applied hype word in a solution that has not been designed yet. It is true that the application of IoT is a solution in itself towards a whole shoal of options and challenges, but as we consider that the 4G smartphone brings solutions, it requires the apps to be there and solve actual settings and that takes time, like all other needs. In that regard I see the IoT as the old sales technique of selling a concept before the product exists and I always thought that to be a broken non resolving approach to the greedy salespeople coming with a ‘pay it forward’ solution that is paid for before the product has been completed. It is a dodgy need, because in the end the (business) consumer needs and actual product to work with. Yet that might just be me imagining things.

United States of America

The view here starts with the Financial Times, who brought us ‘Currency markets send a warning on the US economy‘ (at https://www.ft.com/content/de57a6a2-1e32-11e8-a748-5da7d696ccab). So even as this is about the financial markets, there are a few points to take away from that. First there is “The pattern of higher interest rates and a weakening currency suggests that on multiple dimensions US assets now have to be put on sale to convince foreigners to hold them or induce Americans not to diversify into overseas assets. This pattern is relatively uncommon in the US though it happened in the Carter administration before Paul Volcker’s appointment as chair of the Federal Reserve and in the Clinton administration before Treasury secretary Robert Rubin’s invocation of the “strong dollar” policy. It is fairly ubiquitous in emerging markets where it reflects anxiety over a country’s policy framework“. The dangerous part here is ‘convince foreigners to hold them or induce Americans not to diversify into overseas assets’; you see it is a move of limitation, either the non-American buyer holds onto the for a much longer time, which needs convincing (usually with higher yields), as well as stopping Americans to go overseas into other markets, so it is not actually an ‘or’ situation, it is actually an ‘and’ setting where the inclusion needs to be both to remove doubt and volatility. The article ends with “The confidence of global markets is much easier to maintain than to regain. Currency markets are sending a signal that the US is not on a healthy path. Its time for the US to strengthen the strong fundamentals on which a strong dollar and healthy economy depends“, you see that view is set not merely in the war of tariffs, it is set where the global markets have been seeing a decline in US activity and more important acts that show that the US economy is feeble and the US infrastructure is not in strength, it is merely getting by and that is a dangerous place to be in. Even as I predicted that the inactions and the inability to act against Russia will be felt when Russia calls the bluff of America, it is now showing that the US on a larger scale is showing to be set towards a series of hurdles that will stagnate its economy and over the long haul (within two years) will show the danger of another recession, so when that happens and projects get halted, how will Sprint and other players pay for 5G? Entrepreneurial innovation tends to demand buckets of cash, cash that is not available, certainly not readily. Protectionism is merely the first hurdle and one of at least three in the setting of the tariff war. The Financial times gave the people the biggest fear and doubt on February 21st with “US ‘too big to fail’ regime set for Trump overhaul“, that ‘too big to fail‘ has been used before and a whole bunch of billionaire grapes got bitten rather badly in Europe. It is not merely the Chapter 14 implementation with the by-line ‘to shield the tax payers’, it is the text “Both Wall Street and overseas regulators have warned the administration over the dangers of dismantling the system but the Treasury said it wanted to narrow its use so it could serve only as a last resort“, the fact that ‘narrow’ and ‘Wall Street’ imply that the Chapter 14 will lack the teeth it needs and as such it is another parachute for the 1% bankers, banks and those making upwards of $253 million a year. So how much will this marker cost the tax payers in the end? Even as there is an abundance of recession fear articles and announcements by the media at large, that part even as it is likely to happen, it is not certain to happen and that fear needs to be removed (by other means than the Chapter 14 messages). You see, the problem is that the 1% has enough wealth to survive the next two recessions, whilst the quality of life of the other 99% has not been pushing forward towards the level it needed to be. So they will get hurt really bad if another recession happens within the next 16 months, which is close to all speculated views by the media at large. Whilst that is not much of an indication, the events in Saudi Arabia is only one element, the other elements is the one we will see next

Other players

There is more than one player in all this. The first is seen by CNBC (at https://www.cnbc.com/2018/03/05/saudi-russia-oil-deal-leads-to-bigger-russia-role-in-middle-east.html), where we are treated to “The partnership with OPEC, led by Saudi Arabia, allows Russia to strengthen its hand in the Middle East at the same time the U.S. role has been diminished“, the diminishing of the US as stated by other sources closes doors to the US on several shores, a dangerous change that comes at one of the least fortunate times. The quote “it is now the foundation for a broader relationship that has the potential to reduce already waning U.S. influence in the Middle East” is foremost set to the chilling friendships with Syria and Iran, it is not merely there. Turkey has been out of control for the longest of times and now that Turkey is smelling blood, it is trying to get much more out of the US, making them a very expensive ‘friend’, more so, the question becomes was Turkey ever a friend? In that whatever bites there could hinder the US with its access to the Middle East at large. Should Incirlik and Izmir become an issue, the economic print of the US would drastically change, because that would require the US to find a way to grow the option to get a base in Saudi Arabia and optionally in Israel. Whilst neither is a given, the costs of that will be staggering and the economic footprint of the US will equally become an issue down the road. Even if there would be an option to get one in Western India (who would like that economic windfall in their region), it would be a drastic fund pressuring move for the US.
Another option would be in Egypt and if that becomes an option it would in the longer term benefit both Egypt and Saudi Arabia, whilst Egypt gets to grow its stability in the Sinai, the US would become a much larger target in Egypt, wherever its base would be placed. So that too would come at a cost for the US in a time it needs to turn over every dollar it spends. Another is Jordan, but there is no way to tell the impact, the costs and the options in that regard as I have no clear information or sources to give at this time. You see, the memorandum of understanding was signed with Jordan with Rex Tillerson a mere 3 weeks ago, so adding a conversation of adding a US base there might not be the one that would work (pure speculation from my side). In addition, the EU News (and others) who gave us “Commissioner for Trade Cecilia Malmström added: “These US measures will have a negative impact on transatlantic relations and on global markets. In addition, they will raise costs and reduce choice for US consumers of steel and aluminium, including industries that import these commodities”” gives rise that there is a cooling of ‘friendliness’ between the EU nations and the US to some degree, so there is that impact as well. I am not talking about the tariff, I am talking to the diplomatic language where Dutch Prime Minister Mark Rutte gave us “Relations with the United States can no longer be taken for granted“, which is not a good thing as the Dutch port of Rotterdam is the gateway to Germany and its industrial heart, in addition the US pressures on France regarding the Iran nuclear deal could impact the two, but that is not a given, even better, it is unlikely to be an issue, which is a plus point, for the US for now as the Italian elections are over and the anti-EU parties made a massive gain (from 4% to 18%, whilst they surpassed the Berlusconi party) is still an issue in play. I agree with the Guardian that stated that the EU-issue is not in play, but as we see (at https://www.theguardian.com/commentisfree/2018/mar/03/italian-elections-european-union-populism), the need for Berlusconi was the man to save them from populism has now become a non-reality, the impact will grow and in that matter the US would need to play nice, very nice with Italy. You see there was always going to be an issue with Matteo Salvini, yet the fact that they became the largest party with 37% was unforeseen. There is no issue with iExit as the Italian version of Brexit is called, but its anti-immigration policies will give headaches for many EU nations and as the impact of US-EU nations is cooling, becoming an enabler for Italy might be the wiser of solution for the US. The BBC (at http://www.bbc.com/news/world-europe-43294041) gives much more, but the power is at the end with “Voter frustration here in Italy but evident and ongoing in Germany too surely shows it’s time for Brussels to sit up and really pay attention“, the shown fact that Brussels have not been doing that is the anchor around the neck for the EU and that will impact the US numbers as well. Even as Germany was the biggest friend of the US in the EU, the tariff and, the EU army and the need by America for Germany to play a larger role in the EU borders (taking some pressures from the US) are all elements that put more and more pressures on the US, even as some of the needs by the US are very valid, we need to realise that Newsweek gave us “Germany’s top diplomat has told foreign policy experts that his country’s relationship with the U.S. has suffered irreparable damage under the administration of President Donald Trump“, even as the damage began in the previous administration (to a small extent), the chosen path by the Trump administration has been adding negativity to it all. Syria must be seen as the largest of catalysts in that regard, it is merely my sense of humour that the Germans see the forced ‘friendship‘ with the French as a larger issue than the actual absence of the US in all that, but that is just my take on humour.

All these elements are part of the economic switch in all this, in support of this, there are sources that show that Saudi Arabia wants to grow its arms industry and as SAMI (Saudi Arabian Military Industries) is sitting down with the Russian who are eager to accommodate, I need to wonder why the hell Raytheon and Northrop Grumman were asleep at the wheel, or decided to remain vacant from that setting. So even as Remington (American outdoor Brands) has a product of sheer excellence, they are now not at the middle Eastern table, but in a novel mentioned in Chapter 11 and seeking a quick sale, perhaps someone can tell me how much could have been gained at the Riyadh SAMI conference table? So even as we read (at http://www.business-standard.com/article/international/saudi-arabia-wants-to-make-their-own-weapons-russia-eager-to-help-118030300622_1.html) that “likely to alarm American policy makers, who worry about losing ground to Russia and China in the Middle East“, where we see that this is understated to the largest degree. With “They’re already planning to buy the Russian S-400 air-defense system, under a deal that would let them manufacture related products at home” as well as “Half of Saudi procurement is supposed to be done locally by 2030, from about 2 per cent today” we see the extent of the market lost for both Raytheon and Northrop Grumman as two of the largest players in that field. Someone (more than one player) was asleep at the helm and by playing the card of exclusivity the ended up playing the card of exclusion, which takes them out of the game as such and that is the issue in this, because as far as I see it we have not seen such a large shift of plays optionally towards Russia and away from the US since before WW2, perhaps it might be more correct that this has never happened to this degree in history, that too is a factor that must be considered; so, suddenly the extended play changes. I mentioned part of this on Feb 24th (at https://lawlordtobe.com/2018/02/24/losing-values-towards-insanity/) in ‘Losing values towards insanity‘, yet I only had some unconfirmed parts and no idea why I had some parts, I had these parts a week ago, yet all these parts came to me over the last 24 hours with 1-2 exceptions, now we see a shifted picture. When we consider LLC Megaline (as well as Concord Management and Consulting) where Yevgeniy Prigozhin and Dmitry Utkin allegedly have been preparing to grow an ICT/Mobile infrastructure in Syria, that whilst construction fortunes would be coming their way too, the entire growth with Saudi Arabia as an optional side allows those two to split a few billions between the two of them, whilst at the same time growing the other fields they have access to and get a seat at the Saudi Arabian table at the same time. A side I never saw as I did not have the information I have read over the last 24 hours. To get any additional part in that play could set me up for life within 3 years, to get a 400% better lifestyle in 36 months than the 36 years of hard work allowed me to get is what would get any person to change their pupils to dollar signs and that is merely in their need for ICT, Data farms, Mobile facilitation, Data systems, forecasting, reporting and logistical infrastructures. In all this we see the clear evidence as given by several players that is now on route in a place where the US has a setting that is diminishing, so as those currencies go elsewhere, do you think it will not impact the US economy. That is apart from the greedy pharmaceuticals that are now pushing on India for the longest time. It is an additional place where non-US players will have options to gain market share. All that because certain players in the patent field were enablers towards the few greedy US pharmaceuticals as they increasingly ‘demanded‘ more and more outside of the patent scope that was once given (the attempted Trans Pacific Partnership was clear evidence of that), now we see hat impact and the US is at the axis of an economic switch where someone else will soon decide whether that switch will be switched on or off, no longer as the setting where the US sets the status, which is something the US has not faced before ever as far as I can tell, even the 2004 and 2008 events did not remove that option from them, but that is now a reality from sources like Bloomberg, Reuters, the Financial Times, CNBC, BBC and other players are setting the view that we are getting now. Even as none as saying it outright, the news as given provides a speculated picture where that may become a reality. I do believe that it could be prevented to some extent, but at the current course of the US ‘Kingmakers’ and ‘Wall Street regents’, that reality is slowly being removed from the US table of decision makers and once that reality hits, when they have to report that the Switch is set to ‘OFF‘, the impact will hit pretty much every market where the US is policy maker.

A world where the US player involved goes from being exclusive to excluded!

I wonder how the media will then cover it and who will they blame, because they will always be about laying the blame.

 

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That’s entertainment

Today is a weird day, it is globally weird. You see, today billions will focus on who is getting an Academy Award, some are hoping to see the idol of their life, like Chris Hemsworth or Scarlett Johansson. Some hope that Stan Lee will be asked to hand out an Oscar and others (many ladies) are hoping to see the extravagant post fashion styles that the ladies will cloth themselves in. Among them millions of movie fans that get to see if it is the movie that they liked will win the Oscar. Now with Saudi Arabia opening cinemas in Saudi Arabia, will the MBC Group be there this year or will they start broadcasting the event next year? Another optional group of 34 million viewers in a group that currently is set to billions.

So whilst we wonder which one will become the best movie, my vote is on the Shape of Water, yet I believe the statue is likely to go to Three Billboards Outside Ebbing, Missouri. No matter who will win, we see that in Syria ‘forces loyal to the Syrian president, Bashar al-Assad, have captured six villages and towns bordering the besieged rebel-held enclave of eastern Ghouta, as hopes that a long-planned humanitarian convoy might enter the area were dashed again‘, so as we learn that the death toll of 103 since Saturday highlighted the paralysis of an international community that had demanded the ceasefire and the delivery of humanitarian aid, we need to realise that the UN and the UNSC has become nothing more than a paper tiger that has the ability to roar towards the media, but without claws and teeth, it can no longer be the legislation that bites, or the shield that scratches. Just like the Wonder Woman 1:1 figurine (at https://www.cbr.com/life-size-wonder-woman-statue/), that is for sale for $1990, pretty, nice, but basically something you can walk around and unless you have real space in your apartment space that remains wasted but for the true Wonder Woman fan. It is a shame that the once mighty organisation has lost its impact on the world, well that is how the 475,000 fatalities in Syria feel about it. Oh, no, they do not. They are dead, they no longer feel anything.

So whilst we look back on the Oscars, wondering who best actor and actress will be, I have to admit that I am clueless. I had not seen Margot Robbie, or Saoirse Ronan, but both Francess McDormand and Meryl Streep did shine in their parts, my money will this time be on the 3 billboards main character, but it is anyone’s guess, I can’t even be sure if the experts in acting can figure out who will win that one. So as we are in that part, we need to realise that Danny Danon is quoted by the Jerusalem Post (at http://www.jpost.com/Arab-Israeli-Conflict/UN-Ambassador-Danny-Danon-decries-UN-inaction-on-Iran-at-AIPAC-544188) to do something about Iran. Now, this is not the first time that Israel has issues with Iran. So when we see “While speaking at the AIPAC Committee Policy Conference in Washington on Sunday, Danon said it was crucial that the international community recognizes the threat Iran poses to regional stability. “It is vital that the UN focus on the real problems of the world, like Iran,” the ambassador said. “We all know just how dangerous this threat is, but the UN is wasting time and energy on votes and reports against Israel.”” we see nothing new, yet in the opposition, we see (at https://www.cnbc.com/2018/03/03/iran-calls-on-us-europe-to-scrap-nuclear-arms-missiles.html), that Iran has a warped sense of needs. With “Iran will not negotiate over its ballistic missiles until the United States and Europe dismantle their nuclear weapons, a top Iranian military official said on Saturday“, so not China, or Russia, or India. Merely that the US and Europe dismantle is. From my point of view, the ‘top Iranian military official‘ was born stupid and the man stopped evolving after birth. Naive and stupid in one efficiently compact package, could we get it any better? So when we see “Iran says its nuclear program is defensive because of its deterrent nature“, should we consider its delivery to Yemen as a defensive posture? And what happens when the Iranians ‘accidently‘ (due to their lack of intelligence) send the wrong missile to Yemen? Will we get to see the UN representative go ‘oops!‘? I am merely asking because of the short-sighted situation here and in all this the stage of the theatres in politics and the theatres of war seem to overlap, none of them worthy of an Oscar in this particular setting, but we thank the nominees for playing their part. So whilst we saw the Paper Tiger called ‘United Nations’ in other settings, we see that the acts by the “UN Human Rights Council’s “blacklist” of Israeli and international companies operating in Jerusalem, Judea and Samaria and the Golan Heights” is setting the premise in a different light. So whilst we see “a US delegation visiting the West Bank had to be rescued by Palestinian Authority policemen on Thursday after being attacked“, we see that Palestine is still demanding to be recognised by the UN, whilst still sending rockets into Israel. Some things will never change I reckon, but it is a sad state of affairs across the decades.

When it comes to the supporting acts in the Oscars, my hopes are for Sam Rockwell and Octavia Spencer, that whilst the others would be equally deserving, especially Richard Jenkins, yet in the end, we can only cast out votes once and that is how I would have voted. In that same light as the United Nations Security Council cast its vote a week ago on a Russian sponsored resolution regarding Yemen, we see that the Toronto Star reported that 55 people dies in the clash in Yemen, so whilst we see (at https://www.defensenews.com/congress/2018/03/01/us-senators-want-vote-to-end-support-for-saudi-arabia-in-yemen-war/), that we see ‘US senators want vote to end support for Saudi Arabia in Yemen war‘, that whilst the rightful ruler asked for the help of Saudi Arabia, in all this, where was America? Oh and where is America in regards to the Syrian war? Perhaps some will remember the attack on 21st of August 2013, so when the UN inspection got there and they confirmed “clear and convincing evidence” of the use of Sarin delivered by surface-to-surface rockets; in addition a 2014 report by the UN Human Rights Council found that “significant quantities of sarin were used in a well-planned indiscriminate attack targeting civilian-inhabited areas, causing mass casualties. The evidence available concerning the nature, quality and quantity of the agents used on 21 August indicated that the perpetrators likely had access to the chemical weapons stockpile of the Syrian military, as well as the expertise and equipment necessary to safely manipulate large amount of chemical agents“. Yet the American satellites were useless, even as they got the IMAX view with stereo sound of the speculated 1600 bodies, who all screamed a horrible death as they died, the American saw nothing, or so they say. Perhaps it is like Turkey and the Armenian genocide. They were just too worried to kick the wrong political pile, or as the NY Times stated it “A bill to that effect nearly passed in the fall of 2007, gaining a majority of co-sponsors and passing a committee vote. But the Bush administration, noting that Turkey is a critical ally — more than 70 per cent of the military air supplies for Iraq go through the Incirlik airbase there — pressed for the bill to be withdrawn, and it was” (at http://www.nytimes.com/ref/timestopics/topics_armeniangenocide.html) and Bush was not alone The Obama administration did the same with “Ben Rhodes and Samantha Power, key foreign policy advisers to Obama, say his administration was too worried about offending Turkey” (at https://www.politico.com/story/2018/01/19/armenian-genocide-ben-rhodes-samantha-power-obama-349973), pussies, the whole bloody lot of them on both sides of the isle. So as we get “As a presidential candidate in 2008, Obama promised that he would formally recognize an Armenian genocide as historical fact. But as president, he passed up multiple chances to do so, including in 2015, when Armenians marked the 100th anniversary of the atrocities“, we need to recognise that recognition is no way to commerce and cash is king, especially in a bankrupt America, or so say the rulers from Wall Street. So in light of the inactions, will Hollywood make it up by making ‘Last Men in Aleppo‘ documentary of the year? I cannot tell because I did not see any of the documentaries, I do believe that Inside Job in 2010 was the last documentary I saw and that one actually gives more rise to the rumours that Wall Street is the actual ruler of America. The fact that Kim Kardashian, yes Kim Kardashian of all people who ended up bitch slapping the Wall Street Journal for denying the Armenian genocide must be the highlight for the WSJ to set in stone, sometimes the people you ignore because they are outside of ones scope of entertainment are the ones surprising you beyond belief. So as we are getting close to the start of the Oscars, as we wonder if there is going to be the crossing of dictionaries between Jimmy Kimmel and Matt Damon, we wonder if Jimmy is going to get a few jabs in against Mrs Damon’s favourite Martian.

As we wonder whether the UN has any values left by targeting Israel whilst ignoring Iran, whilst their actions regarding Syria are unanswered and unnoticed by Syria and Russia, we also see the accusations via Haaretz (at https://www.haaretz.com/us-news/allegation-kushner-punished-qatar-resurfaces-in-mueller-probe-1.5869124), that ‘Kushner Punished Qatar for Not Investing in Real-estate Deal Resurfaces in Mueller Probe‘, where we see “Special Counsel Robert Mueller has asked witnesses about Kushner’s attempts to secure financing for his family’s real estate ventures, focusing specifically on his talks with people from Qatar and Turkey, as well as Russia, China and the United Arab Emirates, NBC News said“, so even as it is about Qatar, the smallest part with ‘talks with people from Qatar and Turkey‘, so even here we see actions that involve Turkey somehow. The question becomes what did Turkey get out of it, because going back to 2001, we have seen that Turkey only acts when it (largely) benefits Turkey, a stance that cannot be faulted, but we can wonder if the other side has any business trying to do business with Turkey in the first place. so when we look at the Global Magnitsky Act (at https://www.hrw.org/news/2017/09/13/us-global-magnitsky-act), where we see: “In an important step for global accountability, Congress built on the original Russia-focused Magnitsky law in 2016 and enacted the Global Magnitsky Act, which allows the executive branch to impose visa bans and targeted sanctions on individuals anywhere in the world responsible for committing human rights violations or acts of significant corruption. The act received widespread bipartisan support. Senator Ben Cardin, a Maryland Democrat, introduced a version of the bill, and five Republican senators and five Democratic senators signed on as co-sponsors. President Barack Obama signed the law on December 23, 2016“, yet as far as I have been able to find, there are no Turkish Parties in any of this, is that not odd. When we see the acts in Syria, or even closer to Turkey, the 6 journalists that have been ‘praised’ with life imprisonment, how humane has Turkey shown itself to be?

Yet in the end, we can see all this as a mere form of entertainment, there are the Oscars, we have the Raspberries where (unsurprisingly) this year the Emoji movie took a near clean sweep of all possible wins, we could get the Golden Bazooka, or the golden Rack (that device that adds 6 inches to your length in 5 minutes), is there any doubt who would win those trophies? I wonder if people would stay at home for that. Eating popcorn, watching the atrocities and voting who was the worst of the worst. It entertainment, that is how our lives are minimised and scrutinised to, because actually improving the overall state of the world might no longer be an option, in that we can see that the financial sector on a global scale removed all available funds for that endeavour.

That’s life, that’s entertainment and it is the way we now choose to live!

Through acts of inaction, shame on us!

 

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The red lights of death

It has been one year, one year since the doors opened to the consumers to become the owner of the Nintendo Switch. Nintendo has been a true gaming company that has focussed on gaming since the beginning of time. Even as we loved their journey and whilst we globally disliked the WiiU; that what followed is a machine that has been embraced by pretty much every gamer young and old. The numbers are giving a picture, one that is not yet complete, yet Nintendo has had one year, Sony and Microsoft have both had 6 years and the numbers are actually quite scary. The analytical site Statistica (at https://www.statista.com/statistics/687059/nintendo-switch-unit-sales-worldwide/) gives us that after a year, the Switch has now surpassed 14 million consoles sold, in one year it is close to 45% of the Xbox One lifetime sales over 6 years, and the Nintendo is still rising its sales numbers. Another source (VGChartz, at http://www.vgchartz.com/article/272742/ps4-vs-xbox-one-vs-switch-global-lifetime-salesjanuary-2018/) gives us more, the monthly numbers are that Nintendo has close to 225% of what Microsoft is doing and it is getting close to nipping the Sony sales numbers at the heels. Even as the PlayStation 4 is now set to 75 million gamers, the achievement of Nintendo is noticed. It is noticed to the extent that in the market share, the PlayStation 4 managed to achieve 48 percent. The Nintendo Switch accounted for 37 percent of the consoles sold, and the Xbox One 15 percent. So even as the total numbers are not yet equalled, Nintendo has defeated the Microsoft market share by well over 2:1, I predicted that Nintendo would surpass the total sales numbers, but the fact that the Microsoft share numbers would be outdone 2:1 in just one year is a little more positive than even I imagined.

So if the Xbox360 users might remember the red lights of death, we can now say that for Microsoft as a gaming provider, they too are now facing the red lights of death, because at present Microsoft will be surpassed by Nintendo well before December 2019, even Sony who is still ahead by 400K systems per month is feeling some pressure growing. As I stated in the past, Microsoft can pretend whatever they want to in the business world, gamers demand results and excellence and in that regard, both the Xbox One and Xbox One X have faltered the gamer at large. Did they actually think that hiding behind ‘the most powerful console‘ would help them? That system can store no more than at most 50% of a Nintendo Switch? Who were they kidding?

Forbes had a go at Microsoft on more than one occasion and their views are not good, even as they ‘hide’ it with ‘rough’ time, with “Sony is coming out swinging next year with games like Spider-Man, God of War, The Last of Us Part 2, Death Stranding, Days Gone and more. Exclusives remain Sony’s most important advantage over Microsoft, and the company’s 2018 line-up is one of its strongest yet” we see the first part, the second part was given by Forbes a month later with “I can’t really get into specifics because Microsoft no longer shares sales information on Xbox One consoles, but common estimates put it at about half of what the PS4 has sold, maybe around 30-35 million units. The Xbox One is not a failure, I don’t think anyone but Sony die-hards would say that, as we are miles past something like the scant 13 million sales of the Wii U, but it is clear that if we had to pick an odd man out in this current climate, it’s Microsoft“. Forbes is partially right. I see it in two parts; the first one is that the Xbox offers merely 80% of what the Xbox360 offered, which is a really bad thing. What is more important is that Microsoft refused to listen to the gamers and when they pretend that they did, they still harassed gamers to do what Microsoft wanted against the express desire of the gamer, so how long was that EVER going to work? Some took the $150 loss and traded in for the PS4Pro, others (like me) left to old Xbox to gather dust and played and enjoyed their PS4 and some their Switch on the side too. One console they could not keep up with, the other has surpassed them in market share and will within the next year also surpass their total console sales.

In this the only losers will be the independent game designers who will now have to see if Sony and Nintendo offer a better deal. Two of the most amazing ones have been Astroneer and Subnautica. Astroneer would be a great Switch addition and Subnautica might make it, If they can get this playable on Switch too, it is a long shot, but it would be a unique experience to say the least. And that also triggers another part. As independent designers are now looking if their game can be ported, Microsoft will be losing out in all three fields, meaning that the red lights of death for Microsoft in gaming would soon be heralded. That is the consequence of not listening to gamers and selling short what gamers need. You see, all that Microsoft Azure pep talk sounds nice, but there they have rough competition, to bank in that direction whilst short selling a $125 billion market was perhaps one of the most stupid acts that Microsoft could have tried, they tried and they are getting fried!

Even now, as we saw only a week ago (at https://www.windowscentral.com/new-xbox-one-preview-build-spring-update), on how there are improvements, we see “As with any pre-release update, expect bugs – a lot of them. Current known issues include black screens, update errors and various issues across the Xbox One experience. These will soon clear up in forthcoming builds, though caution should be taken, especially when installing on your daily driver“, so apart from non-stop updates, the fact that the largest console is 1TB, how much space will be wasted in that regard? In that side there is one issue that both Sony and Microsoft share, or is it? With ‘Fortnite’s new 60fps mode is the real deal‘ (at http://www.eurogamer.net/articles/digitalfoundry-2018-fortnites-new-patch-really-does-deliver-60fps), where we see “Now, we’ve seen a range of ‘performance’ modes in the past that target 60fps on Sony and Microsoft’s enhanced consoles, but generally, they fail to deliver. The good news here is that Epic’s work is the real deal – and it’s by no means exclusive to the more powerful consoles, with owners of the standard models getting an equally impressive boost“, so both PS4pro and Xbox One X have issues and as the most powerful system cannot deliver at present as implied by multiple parties, the issue remains why that was not properly addressed before launch? That is still a dangerous subject as several games (example Forza: Horizon) do promise to deliver 60fps, so there is still an issue there. Still as the Switch is showing more and more games that get a much larger appreciation than other consoles tend to have for titles give even more rise to the Switch, which Nintendo will see as a handsome extra to the setting as given at present.

So in how much death danger is Microsoft?

That is the whole picture and until the 12th-14th June 2018, when the E3 will explode in our faces there will be no way to tell. The Microsoft marketing engine will continue to boast and boost what it can, but the E3 will be the first true test where Microsoft is and if they have any serious intentions to listen to the gamers and please their needs to the minimum, which is at present essential for their survival, Sony learned that lesson in 2017 and their adjusted views are back on the positive side for the most (they had less issues to deal with), in addition, the new exclusive game line-up that Sony has for this year is much stronger than before, so they are likely to rule the show. Although, there is no saying what Bethesda hits us with and they are on all systems, so Microsoft will have a benefit there. I also predict that they will be more and more dependent on Ubisoft stealing the show (whilst including the Xbox One X as much as possible) , more than ever before, so there will be information coming from several sides in all this and that should not be ignored.

The one thing that is at present almost a given, that is that the tickets to the Nintendo E3 show might be the hottest tickets in town because whatever they bat out of the park is also the size of the market share that Microsoft could lose to Nintendo, a side they never had to fear before. The game of gaming changed and Microsoft missed at least two exits from that road to nowhere. The E3 which is of course still rumours for the most as it is 12 weeks away is still an issue as it also rumoured to include a new Pokémon, Kirby, Yoshi and Metroid Prime 4 on Switch, whilst the Xbox One has 3 titles at present (no exclusives rumoured or announced) but does include the long awaited Cyberpunk 2077 by the makers that gave us Witcher 3, so there is that to desire. Bethesda had a teaser with references to Elder scrolls, Fallout and Doom, so there is more behind that whilst Sony might be stealing the show in regards to exclusives and it includes a conformed The Last of Us Part II, so there is enough to see that the Xbox might need to be placed in the ICU sooner than thought. Yet, in that last part, it will be at least another 5-7 weeks until there is a stronger confirmed list of games and gamers. The one part that is missing for now is the list of indie developers, because they can actually change the landscape by a lot, so I wonder what we will see. what is now clear and what is being shown by data, by the evidence out in the field is that Microsoft has lost the benefits they had and unless there is a massive overhaul and a large course adjustment by the Microsoft board of directors it is not impossible that the E3 2019 is one that will happen without Microsoft, or with them not getting noticed at all. I wonder which they think will be worse, but hey, they have ‘the most powerful console’, so this speculation might just be me with no chance of this becoming a reality, or will it?

 

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Is it merely timing?

When I looked into some off the Mario Draghi matters two days ago, I made a reference to his little kart, a kart full of tricks or is it a kart of indiscretion? So let’s take a look at the alphabet, the alphabet of ABLV

A is for Actuality

You see, the European Central Bank publishes a list where all the supervised entities are and the list starts with “Cut-off date for significance decisions: 1 January 2018“, so as we are in March (way past January 1st) and that same attached list gives us on the 81st position the ABLV Bank, AS, with the mention of ‘Among the three largest credit institutions in the Member State‘, whilst there is also (non-supervised) the ABLV Bank Luxembourg, S.A. in Luxembourg, yet stated and linked to the ABLV, should we wonder if we are being had? In light of the news two days ago when we were treated to “Draghi did address a question on why ABLV Bank received emergency support from the Latvian central bank before the ECB declared it failing or likely to fail. He said that the Emergency Liquidity Assistance policy – under which national central banks rather than the ECB decide to provide support to troubled lenders – is a “remnant of a past time” and should be reformed” (Source: Australian Financial Review), whilst the bank was being supervised according to the ECB, the fact that they are grasping at the notion that the left hand does not know what the right hand is doing, is that not an indication on how massively useless and overpaid the members of the ECB are? Just so that we are all in clear and that we all understand what is going on, let’s look at ‘supervision’, which the dictionary calls ‘the action of supervising someone or something‘, and with ‘supervising’ we get ‘observe and direct the execution of (a task or activity)‘, it seems to me that the ECB was not doing any observing or directing, so if the ABLV did not inform the supervising entity, I have a hard time to comprehend the Bloomberg article (at https://www.bloomberg.com/news/articles/2018-03-02/latvia-analyzing-rimsevics-s-role-at-ecb-as-he-returns-to-work), where we see: “Latvia is still considering the ramifications of central bank Governor Ilmars Rimsevics’s status as a suspect in a bribery probe, as he returned to work this week and weighs up how to continue his role at the European Central Bank“, in my view, either the ECB knew in advance certain matters, or we have a different puppy in our midst. Now let us be clear, one is a setting of corruption, the other is the ‘receiving of emergency support from the Latvian central bank‘, yet the fact that this all happened during the oversight of the ECB makes it twice the size of the issue. The ABLV went to the Latvian Central Bank (Governor Ilmars Rimsevics) and got emergency funds, yet what was the origin of those funds? So when we see “Both ABLV and Rimsevics deny the accusations in cases that the authorities say aren’t linked“, my response would be ‘Really? So who are exactly those authorities?’ It seems like a simple question but it is one that we will never see an honest answer to I reckon. The links are not clear, but consider the following accusations.

First we have “The U.S. Treasury Department alleges ABLV engaged in institutionalized money laundering and violated sanctions put in place to counter North Korea’s weapons program

Second we get “Rimsevics has denied any wrongdoing, and Latvia’s Defence Ministry said that the allegations were part of a “massive information operation” by an external actor.” I used them in the article (at https://lawlordtobe.com/2018/03/01/the-failing-mario-draghi-kart/), yet who exactly was the external actor?

It is the second one that is weird, so how did the Defence Ministry get involved in a banking issue? Did it come from the office of Minister Raimonds Bergmanis, it would be an interesting tug of war between him and me, because I have my own centre of gravity and he is a three time Olympic contender in the category of weightlifting. I did not have all the information I needed in that piece, and I was juggling a few issues, so I moved it all along to today.

B is for Bloomberg

Bloomberg ends with “there are no signs other Latvian banks are experiencing outflows after the ECB decided to close ABLV on the grounds that it was failing or likely to fail. What happened to ABLV is a signal to other banks to follow the rules, she said“. Yet is Finance Minister Dana Reizniece-Ozola giving us the goods? Why did the Defence Ministry get involved? Was it to emphasize the weapons accusation? Clearly that would have been an issue that resides with Latvian Intelligence. So as Reuters gives us “Ainars Latkovskis, the head of the national parliament’s anti-corruption committee of lawmakers, who also urged Rimsevics to step down” as well as “Latkovskis, who is authorized to listen to reports from the heads of the Latvian intelligence agencies, dismissed hints by some local officials and politicians that a Russian campaign of disinformation might be behind the case“, it seems that the Intelligence official is either trying to stay out of this or we can see this as a sign that the SVR RF (the Foreign Intelligence Service of the Russian Federation) has been whispering in someone’s ear and the culprits have overplayed their hand. Now no matter what has happened in that tier of the industry, it still gives us that the ABLV made a deal for funds with the Latvian Central Bank and the news as shown by the media is giving us that the ECB was either unaware or was informed after the fact with ‘Good news, we solved the problem‘ and now we see that the banks who are on the oversight list are either not getting supervised or they are ignoring their supervisors, I wonder which scenario is worse for the ECB.

L is for Liable

If you think it does not matter, think again. We pump billions into the UN and it cannot arrange a ceasefire (Syria), we pump billions into the European Union and the ECB is casually unwilling or unable to do their job and those people are fetching a lot of money every year. Two entities who are now proving to be more and more facilitators for the wealthy as well as paper tigers with a fluidic agenda that merely spells ‘compromise to keep the engine going’. So when did wee surrender our tax funds to those ends?

So was this all done through the allowed whisper via Sergey Yevgenyevich Naryshkin? I am merely speculating here, but the parts and numbers currently do not add up. You see, as Reuters gives us “The ECB appears to have been blindsided by the ABLV case, highlighting how thinly it is spread in supervising Europe’s biggest lenders and raising questions about a system of euro zone supervision just three years old“, this is seen (at https://www.reuters.com/article/us-ecb-russia-vtb/ecb-drops-supervision-of-russias-vtb-arm-in-the-euro-zone-idUSKCN1GE2N8), can we say that it is that simple? It remains pure speculation from my side, yet when we see “The European Central Bank has stopped supervising the Austrian arm of Russian state bank VTB after it slimmed down its European operations, the ECB said on Friday. A spokeswoman for the ECB said VTB’s new set-up in Europe no longer warranted direct supervision, which was now in the hands of Germany’s national regulators, Bafin and the Bundesbank” I wonder if there was anything simple on this. We could argue that Sergey Yevgenyevich Naryshkin did exactly what he was supposed to do, to serve HIS country. Yet the information gives me the feeling that this looks like a line of banks with Latvia between the Latvian ECB and the Russian ‘SVCR RF‘ bank. The two outside parties agree to keep each other afloat by shaking hands and pushing at the same time the ABLV over the edge in a combined effort. What some did in primary school (the old tactics are usually the best).

Still, this is all merely speculation from my side mind you!

V is for Voter

The question that remains is how the US authorities got to that jump and where is the evidence? Apart from the fact that one accused of bribery is allowed back into his office until the dust (read: investigation) settles is also cause for concern. You see, the news (at http://www.mod.gov.lv/Aktualitates/Preses_pazinojumi/2018/02/20-01.aspx) gives a part, but when we consider it and dissect “Latvia’s security-sector personnel have raised the alarm that outside actors could be using these current financial and banking scandals against Riga. The Latvian Ministry of Defence has pointed out that the AP news agency’s reporting on Latvia’s connection to various international financial corruption schemes has been reposted with unusual frequency on numerous websites known for distributing messages supporting Russia. As such, the defence ministry has called this media blitz a possible “hybrid”-style operation within a broader information war against Latvia“, we could agree that part of this is an issue. Yet is the foundation wrong? Is the bribery a fact? If so, why the hell is Ilmars Rimsevics allowed back in his office? If we see statements that there is proof, why not give that out to the open? So who were the outside actors? You see, accusation of bribery requires evidence and it is not out of the blue that Russia would expose bribery so that their operations could profit. That is not merely Russia, American politics and Wall Street have operated on that premise for decades, so it is not altogether weird to see Russia play a similar game, if that was the case. So even if there was an ‘information war against Latvia‘, it was done under the noses of the ECB and Mario Draghi. It was not merely a “remnant of a past time that should be reformed“, it was an option where the ‘the Emergency Liquidity Assistance policy‘ was overlooked by overpaid ECB executives, especially in light of the fact that by their own reports that the ABLV was under supervision.

Bloomberg supports my views (at https://www.bloomberg.com/news/articles/2018-03-02/draghi-confronts-limit-of-his-powers-as-latvian-standoff-endures), where we see ““This reveals the impressive lack of power of the ECB in such circumstances,” said Stanislas Jourdan, the director of Positive Money Europe, an advocacy group calling for more transparency and accountability on economic policy“, which on one side is just as it should be about the sovereignty of a nation, but the fact that the ECB are confronted with their own foot in mouth protocol at the expense of millions, if not billions is a larger worry, because they already pushed a $3 trillion debt on the people of Europe. I also support the view we see at: “Draghi already expressed dissatisfaction to ECB officials in the week after Rimsevics’s detention that enough details from Latvia hadn’t been forthcoming, according to people familiar with the matter, and that may still be the case. Latvian Finance Minister Dana Reizniece-Ozola said on Friday that the anti-corruption office is “in the process” of giving the ECB all relevant information“, it is not about the ECB, it is a Latvian situation and in this Mario Draghi gets to do what most EU puppeteers do so well, they can bloody well wait (whilst still getting paid high amounts of money). Yet, in part this is not merely a waiting game, the fact that the voters are taking more notice of this mess is not helping him any, but that is the way life works and it is not always working in your favour. So when the Globe and Mail gives us “Did European Central Bank boss Mario Draghi save Italy or merely set up the world’s third biggest debtor for permanent zombie status? As Italians head to the polls on Sunday, the parties, big and small, are showering voters with promises of goodies galore“, we see the deadlines that the ECB has, it has a few and even as there is unlikely to be a stable Italian government, the fact that they won’t worry the ECB like Frexit Marine Le Pen or Brexit Nigel Farage, so they are not too worried, but the overall financial issues will remain and Latvia is not helping any with the news that they are the cause of at present. In the end, the question should become, how come that a supervised bank was able to do this? Because the answer needs to be coming from the people who are seemingly overpaid for work they basically did not achieve and that is not merely Mario Draghi; that list is a lot larger and in this case it might just exclude the one man at the top.

 

 

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A windmill concussion

That was the first thought I had whilst looking at the Guardian (at https://www.theguardian.com/technology/2018/mar/01/eu-facebook-google-youtube-twitter-extremist-content) where Andrus Ansip was staring back at me. So the EU is giving Facebook and Google three months to tackle extremist content. In what relation is that going to be a workable idea? You see, there are dozens of ways to hide and wrongfully classify video and images. To give you an idea of what Mr Ansip is missing, let me give you a few details.

YouTube
300 hours of video is uploaded every minute.
5 billion videos watched per day.
YouTube gets over 30 million visits a day.

Facebook
500+ terabytes of data added each day.
300 million photos per day
2.5 billion pieces of content added each day

This is merely the action of 2 companies. We have not even looked at Snapchat, Twitter, Google+, Qzone, Instagram, LinkedIn, Netlog and several others. The ones I mentioned have over 100,000,000 registered users and there are plenty more of that size. The largest issue is not the mere size, it is that in Common Law any part of Defamation and the defence of dissemination becomes a player in all this, in Australia it is covered in section 32 of the Defamation Act 2005, the UK, the US and pretty much every Common Law nation has its own version of it, so the EU is merely setting the trend of all the social media hubs to move out of the EU and into the UK, which is good for the UK. The European courts cannot just blanket approve this, because it is in its core an attack on Freedom of Speech and Freedom of expression. I agree that this is just insane, but that is how they had set it up for their liberal non-accountable friends and now that it works against them, they want to push the responsibility onto others? Seems a bit weird does it not? So when we see “Digital commissioner Andrus Ansip said: “While several platforms have been removing more illegal content than ever before … we still need to react faster against terrorist propaganda and other illegal content which is a serious threat to our citizens’ security, safety and fundamental rights.”“, my question becomes whether the man has any clue what he is doing. Whilst the EC is hiding behind their own propaganda with “European governments have said that extremist content on the web has influenced lone-wolf attackers who have killed people in several European cities after being radicalised“, it pretty much ignored the reality of it all. When we look to the new-tech (at https://www.theverge.com/2017/4/18/15330042/tumblr-cabana-video-chat-app-announced-launches-ios), where a solution like Cabana allows for video and instructions whilst screen does not show an image of the watchers, but a piece of carton with texts like “مجنون”, “الجن”, “عسل”, “نهر”, “جمل” and “تاجر”. How long until the threshold of ‘extreme video‘ is triggered? How long until the system figures out that the meeting ended 3 weeks ago and that the video had encryption?

It seems to me that Andrus Ansip is on a fool’s errant. An engineering graduate that went into politics and now he is in a place where he is aware but not clued in to the extent he needs to be (OK that was a cruel comparison by me). In addition, I seriously doubt that he has the largest clue on the level of data parsing that such systems require to be, not merely to parse the data but systems like that will raise false flags, even at 0.01% false flags, that means sifting through 50Mb of data sifted through EVERY DAY. And that is not taking into account, framed Gifs, instead of video of JPG, or text, languages and interpreting text as extreme, so there will be language barriers as well. So in all this even with AI and machine learning, you would need to get the links. It becomes even more complex when Facebook or YouTube start receiving 4chan Video URL’s. So when I see “and other internet companies three months to show that they are removing extremist content more rapidly“, I see the first piece of clear evidence that the European Commission has lost control, they have no way of getting some of this done and they have no option to proceed. They have gone into blame mode with the ultimatum: ‘Do this or else‘. They are now going through the issues that the UK faced in the 60’s with Pirate radio. I remember listening to Radio Caroline in the evening, and there were so many more stations. In that regard, the movie The Boat That Rocked is one that Andrus Ansip should watch. He is the Sir Alistair Dormandy, a strict government minister who endeavours to shut down pirate radio stations in all this. A role nicely played by Kenneth Brannagh I might add. The movie shows just how useless the current exercise is. Now, I am all for finding solutions against extremist video, but when you consider that a small player like Heavy.com had an extreme video online for well over a year (I had the link in a previous article), whilst having no more than a few hundred video’s a week and we see this demand. How ludicrous is the exercise we see now?

The problem is not merely the online extremist materials, it is also the setting of when exactly it becomes ‘extremist‘, as well as realising that when it is a link that goes to a ‘dedicated’ chat group the lone wolves avoid all scrutiny and nothing is found until it is much too late, yet the politicians are hiding behind this puppet presentation, because that is what they tend to do.

So when we look at “It also urged the predominantly US-dominated technology sector to adopt a more proactive approach, with automated systems to detect and remove illegal content, something Facebook and Google have been pushing as the most effective way of dealing with the issue. However, the European Digital Rights group described the Commission’s approach as putting internet giants in charge of censoring Europe, saying that only legislation would ensure democratic scrutiny and judicial review“, we see dangers. That is because, ‘automated systems aren’t‘, ‘censoring can’t‘ and ‘democratic scrutiny won’t‘; three basic elemental issues we are confronted with for most of our teenage life and after that too. So there are already three foundational issues with a system that has to deal with more stored data than we have seen in a history spanning 20 years of spam, yet here we see the complication that we need to find the needle in a field full of haystacks and we have no idea which stack to look in, whether the needle is a metal one and how large it is. Anyone coming to you with: ‘a simple automated system is the solution’ has no idea on what a solution is, has no idea how to automate it and has never seen the scope of data in the matter, so good luck with that approach!

So when we are confronted with “The UK government recently unveiled its own AI-powered system for tackling the spread of extremist propaganda online, which it said would be offered to smaller firms that have seen an increase in terrorist use as they seek to avoid action by the biggest US firms“, I see another matter. You see, the issues and options I gave earlier are already circumventing to the larger degree “The technology could stop the majority of Isis videos from reaching the internet by analysing the audio and images of a video file during the uploading process, and rejecting extremist content“, what is stated (at https://www.theguardian.com/uk-news/2018/feb/13/home-office-unveils-ai-program-to-tackle-isis-online-propaganda), until that upload solution is pushed to 100% of all firms, so good luck with that. In equal measure we see “The AI technology has been trained by analysing more than 1,000 Isis videos, automatically detecting 94% of propaganda with a 99.99% success rate” and here I wonder that if ISIS changes its format, and the way it gives the information (another reference to the Heavy.com video), will the solution still work or will the makers need to upgrade their video solution.

They are meaningless whilst chasing our tails in this and even as I agree that a solution is required, we see the internet as an open system where everyone is watching the front door, but when one person enters the building through the window, the solution stops working. So what happens when someone starts making a new codec encoder that has two movies? Remember the old ‘gimmicky‘ multi angle DVD’s? Was that option provided for? how about video in video (picture in picture variant), the problem there is that with new programming frameworks it becomes easier to set the stage into multi-tier productions, not merely encoding, but a two stage decoder where only the receiver can see the message. So the setting of “extremist content on the web has influenced lone-wolf attackers who have killed people in several European cities after being radicalised” is unlikely to be stopped, moreover, there is every chance that they never became a blip on the radar. In that same setting when we see “If the platform were to process 1m randomly selected videos, only 50 would require additional human review“, from the Daily statistics we get that 300 hours of video is uploaded every minute, so in that regard, we get a total of 26 million hours of video to parse, so if every movie was 2 minutes, we get to parse 21 million videos every day and that means over 1000 movies require vetting every day, from merely one provider. Now that seems like an optional solution, yet what if the signal changes? What if the vetting is a much larger problem? Don’t forget it is not merely extremist videos that get flagged, but copyrighted materials too. When we see that the average video length was 4 minutes and 20 seconds, whilst the range is between 42 seconds and 9:15, how will the numbers shift? This is a daily issue and the numbers are rising, as well as the providers and let’s not forget that this is ONE supplier only. That is the data we are confronted with, so there are a whole lot of issues that are not covered at all. So the two articles read like the political engines are playing possum with reality. And all this is even before the consideration that a hostile player could make internet servers available for extremists, the dark web that is not patrolled at all (read: almost impossible to do so) as well as lazy IT people who did not properly configure their servers and an extremist sympathiser has set up a secondary non indexed domain to upload files. All solutions where the so called anti-ISIS AI has been circumvented, and that is merely the tip of the iceberg.

So I have an issue with the messaging and the issues presented by those who think they have a solution and those who will callously blame the disseminators in all this, whilst the connected players know that this was never a realistic exercise in any part of this, merely the need and the desire to monitor it all and the articles given show that they are clueless (to some extent), which is news we never wanted ISIS to know in the first place. In that regard, when we see news that is a year old, where ISIS was mentioned that they use Twitter to recruit, merely through messaging and monitoring, we see another part where these systems have failed, because a question like that could be framed in many ways. It is almost the setting where the creative mind can ask more questions than any AI can comprehend, that first realisation is important to realise how empty the entire setting of these ‘solutions’ are, In my personal view is that Andrus Ansip has a job that has become nothing more than a temporary castle in the sand before it is washed away by the tide. It is unlikely that this is his choice or desire, but that is how it has become, and there is supporting evidence. Take a look at the Washington Post article (at https://www.washingtonpost.com/news/the-intersect/wp/2014/09/25/absolutely-everything-you-need-to-know-to-understand-4chan-the-internets-own-bogeyman/?utm_term=.35c366cd91eb), where we see “participants can say and do virtually anything they want with only the most remote threat of accountability“, more important, monitoring that part is not impossible yet would require large resources, 4chan is equally a worry to some extend and what happens when ISIS merely downloads a 4chat or 4chan skeleton and places it on the dark web? There is close to no options to ever find them at that point, two simple acts to circumvent the entire circus, a part that Andrus Ansip should have (and he might have) informed the EC commissioners on, so we see the waste of large amounts of money and in the end there will be nothing to show for. Is that what we want to happen to keep ourselves safe? So when the ISIS person needs nothing but a mobile phone and a TOR browser how will we find them and stop the content? Well, there is a two letter word for that. NO! It ain’t happening baby, a mere realisation that can be comprehended by most people in the smallest amount of time.

By the way, when 5G hits us in less than 18 months, with the speeds, the bandwidth and the upload options as well as additional new forms if media, which optionally means new automated forms of Social Media, how much redesign will be required? In my personal book this reads like: “the chance that Europe will be introduced to a huge invoice for the useless application of a non-working solution, twice!” How you feel about that part?

In my view it is not about stopping the upload, it is about getting clever on how the information reaches those who desire, want and optionally need the information. We need to get a grip on that reality and see how we can get there, because the current method is not working. In that regard we can take a grip towards history, where in the Netherlands Aage Meinesz used a thermal lance to go through the concrete next to the vault door, he did that in the early 70’s. So when we see the solutions we saw earlier, we need to remember that this solution only works until 10 seconds after someone else realises that there was a way to ignore the need of an upload, or realise that the system is assuming certain parts. You only need to look through Fatal Vision Alcohol goggles once, to realise that it does not only distort view, it could potentially be used to counter a distorted view, I wonder how those AI solutions comprehend that and consider that with every iteration accuracy decreases, human intervention increases and less gets achieved, some older gimmicks in photography relied on such paths to entice the watchers (like the old Betty Page books with red and green glasses). I could go on for hours, and with every other part more and more flaws are found. In all this it is equally a worry to push this onto those tech companies. It is the old premise of being prepared for that what you do not know, that what you cannot see and that what is not there. The demand of the conundrum, one that Military Intelligence was faced with for over 30 years and the solution needs to be presented in three months.

The request has to be adhered to in three months, it is ludicrous and unrealistic, whilst in addition the demands shows a level of discrimination as there is a massive size of social media enablers that are not involved; there are creators of technology providers that are not accountable to any level. For example Apple, Samsung, Microsoft and IBM (as they are not internet companies), yet some of them proclaim their Deep Blue, Azure and whatever other massive data mining solution provider in a box for ‘everyone’, so where are they in all this? When we consider those parts, how empty is the “face legislation forcing them to do so” threat?

It becomes even more hilarious, when you consider the setting in full, so Andrus Ansip, the current European Commissioner for Digital Single Market is giving us this, whilst we see (at https://ec.europa.eu/commission/priorities/digital-single-market_en) that the European Commission for Digital single market has there on its page the priority for ‘Bringing down barriers to unlock online opportunities’, which they use to create barriers, preferably flexible barriers and in the end it is the creation on opportunities for a very small group of designers and whilst we see that ‘protect children and tackle hate speech‘ is the smallest part of one element in a setting with 7 additional setting on a much larger scale. It seems to me that in this case Andrus Ansip is trying to extent his reach by the size of a continent, it does not add up on several sides, especially when you consider that the documents setting in that commission has nothing past September 2017, which makes the entire setting of pushing social media tech groups as a wishful thinking one, and one that was never realistic to begin with, it’s like he merely chasing windmills, just like Don Quichotte.

 

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The failing Mario Draghi Kart

Just yesterday, the Deutsche Welle (at http://www.dw.com/en/eurozone-economy-still-requires-stimulus-ecbs-mario-draghi/a-42751327), gave us that the ‘Eurozone economy still requires stimulus‘, so after these years the stupid and the rich still will not learn and the people are about to pay for it dearly. That is, not the UK, they might have gotten out just in time, if they don’t add delay upon delay. Even as we are sussed to sleep with: “The bank is gradually reducing its bond purchase program but it may continue past September”, the people are sussed to sleep, in a situation, where they sleep on a luxury liner and it is going down. Like having a nice cabin on the Titanic and you decided to sleep in on April 15th and you did. You never woke up, you could if there was oxygen, yet oxygen is 3786 meters away, 3786 meters straight up!

So when we are pointed at the ECB’s asset purchase program, which began three years ago, and which has seen the central bank spend €2.55 trillion ($3.14 trillion) to buy government bonds and other financial assets. The people are not given clarity on where that money went EXACTLY, in other news, that news we got months ago on Mario Draghi being a member of a very exclusive 5 mile high club. So when we got 6 weeks ago: “European Central Bank President Mario Draghi should give up his membership of the opaque Group of 30 consultative body because it risks hurting public confidence in the ECB’s independence, the European Ombudsman said on Wednesday“, how come the near entire bloody media has not followed up on this? After that one day it was silenced, the ECB will not respond, Mario Draghi apparently keeps on getting away with whatever he needs and there are no questions, not even on an international level which is unsettling in so many ways as it leaves us with the indication that the media may be as unreliable as the politicians they are reporting on.

A program that has sunk 3 trillion dollars and everyone is just stating that the economy is great, yet nobody is asking the number one question and that is ‘How will we pay it back?

The theory of printing money

Mario Draghi, president of the ECB has profiled his place and his ‘bank’ as awesome, marketing on a near supreme level, like a politicians stating on how honest he is. Excellent standards, great breeding and stellar academic excellence, and you know that expression about a story being too good to be true?

So they have their ‘Quantative Easing’, they use it to buy government bonds and other financial assets. The purchases have helped keep borrowing costs low, which in turn have boosted spending and investment in the Eurozone economy. But is this true? You see, there are now two levels of problems and dangers. When we consider that the bond is a debt security, under which the issuer owes the holders (so the government that issued the bonds now owes the ECB), a debt and (depending on the terms of the bond) is obliged to pay them interest and to repay the principal at a later date, termed the maturity date.

So over $3 trillion is bought from these governments and those governments are paying the ECB interest until they pay back the amount at the date of maturity (could be up to 30 years). So basically they are pushing massive debts forward, it is almost like the Greek debt mess, but now close to 173 times more intense in regards to the outstanding amount. The current makers in charge get a free pass and leave the mess to the next person whilst they enjoy the millions they earned as well as the multimillions they got by being a member of an exclusive group of 30, as they get the results before any other publication and they get to the cream all without ever running the risks other ‘investors’ face.

So whilst everyone sees the interest only part, we are kept in the dark on the fact that an additional $3 trillion would be outstanding and with the UK out of play, the other nations will get to pay for it all, so when we consider that last week nations like the Netherlands told the EU that they want a freeze on EU contributions, so now we read: “Rutte has said he does not want the Dutch contribution to the EU to increase, despite the European Commission’s call for higher spending on climate change and border controls, and the gap left by Britain after Brexit. Like the Netherlands, Britain is a net payer into the EU’s coffers and will leave a large hole when it pulls out. The Commission wants to fill the gap through a combination of spending cuts and higher contributions, something which the Dutch strongly oppose” (at https://www.dutchnews.nl/news/archives/2018/02/dutch-prime-minister-begins-campaign-to-freeze-eu-contributions/), what no one is looking at, or mentioning is that the outstanding $3 trillion is going to be an additional matter to deal with, even if that is placed in a very separate part of the books. Payment will be due!

So as they give the mention how Brexit will be one reason to increase payment, the absence of the QA plan and outstanding amount remains unmentioned, it is an impact, but that is exactly why the UK got out in the first place. In this the contribution for the Dutch will go up by $4500 per person, so where is that coming from? Now consider that the impact of the matured bonds will be massive for the positive contributing nations, Germany, France, Italy, Sweden, Belgium, Denmark and Austria would end up getting a blow to their budgets unlike any they have had. The question becomes how intense depends on certain elements. So when we consider the bad curve. So, when the bonds bought reduce in value by 30%, the ECB is not hit, it might lose the value, but that means that the government it was bought from ends up with a smaller invoice to pay, and the losses for the investor (the ECB) loses 30% of their investment, now the EU nations as a bloc will have to come up with that money. So depending on where it was invested in, that government get to laugh as the other EU members need to pay for the ‘losses’, which amounts to the positive paying nations. This is one of the foremost reasons why I was all for the UK getting out as soon as possible. So these nations could end up paying an additional $1 trillion divided amongst them. So how was this ever going to be fair? Of course that is if the value of these bonds depreciates, if that does not happen, than there is no additional issue, but the fact that the outstanding amount is still due for payment and in light of the bulk of these EU nations not being able to keep a decent budget and almost no ability to pay such amounts does not help us in any way in raising confidence in regards to the EU moving forward. Greece is to the smallest extent some indication, even as many sources are positive, I have an issue with “The 2017 primary balance target of 1.75 percent of GDP is expected to be reached with a significant margin. For 2018 the primary balance target of 3.5 percent is considered achievable“, so there are two parts. The first is the use of ‘expected to be reached‘, margin or not, these numbers are not yet set in stone, so there could be a bad news cycle. The second part is ‘target of 3.5 percent is considered achievable‘, which means an almost 100% increase towards the positive result, which has never been realistic. Even as the unemployment numbers are down from 27% a few years ago, to 21%, this still implies that one out of 5 is without a job, that means the stresses on the Greek infrastructure remains and it will remain for several years to come. So when it comes to the larger nations, Spain, Italy and France are still a downward drag here in regards to the overall EU and their drag is draining their infrastructure and options towards pushing the EU economically forward, some others like the Netherlands and Sweden are ahead of the curve, but we forget that they are merely 26 million, whilst the three dragging us down represent close to 185 million people, in that regard we forget the weight that the larger nations have. So in that both the UK and Germany are the positive sides, but the UK is leaving and adding Germany only gets that group of 3 at 50% of the ones slowing the EU down, so even as the slowdown is a good thing, it is still a negative result in the end. So it is in that light that there is a growing risk to the entire Quantative Easing plan that Mario Draghi gave the EU and even as they are all on how ‘the economy is so much better‘, I agree that compared to two years ago, the people are more positive and jobs are getting better, yet this has been at the expense of unrealistic levels of spending and there is no given on when that will be resolved, so those people have a $3 trillion bill hanging over their heads.

You see, part of the problems is infrastructure, EU infrastructure mind you. So as the Australian Financial Review (at http://www.afr.com/news/economy/monetary-policy/mario-draghi-keeps-focus-on-monetary-accommodation-20180226-h0wos8) gave us “Draghi did address a question on why ABLV Bank received emergency support from the Latvian central bank before the ECB declared it failing or likely to fail. He said that the Emergency Liquidity Assistance policy – under which national central banks rather than the ECB decide to provide support to troubled lenders – is a “remnant of a past time” and should be reformed

Say What?

So basically a bank got support from its national bank, whilst the ECB had it as ‘likely to fail‘, so is this how Quantative Easing is ‘miss-spent’? It is not completely clear or fair to state it in that way, yet when we see Reuters with “The ECB said at the weekend that privately held ABLV is likely unable to pay its debts or other liabilities as they fall due. “We believe our bank will be able to settle with all of our clients in full,” ABLV, Latvia’s third-biggest bank by assets, said in a statement. “Voluntary liquidation is an important condition for it – the process has to be done as professionally and as transparently as possible, given the history of Latvian insolvency and liquidation processes”“, yet in all that is there any mention whether that included the emergency support funds? The text does not include that part, so that is money down the drain. That whilst it is not the only scandal that Latvia faces. If we consider the Stratfor view (at https://worldview.stratfor.com/article/what-watch-two-banking-scandals-unfold-latvia), we see “On Feb. 17, the Latvian anti-corruption agency detained the head of the country’s central bank, Ilmars Rimsevics, after Grigory Guselnikov, the Anglo-Russian owner of Latvia’s Norvik bank, accused him of taking bribes. Rimsevics has denied any wrongdoing, and Latvia’s Defense Ministry said that the allegations were part of a “massive information operation” by an external actor. Latvian Finance Minister Dana Reizniece-Ozola said that the corruption allegations would be investigated“, as well as “a report issued Feb. 13 by the U.S. Treasury Department detailing the results of its investigation that found ABLV had facilitated transactions linked to “large-scale illicit activity connected to Azerbaijan, Russia, and Ukraine” as well as activities circumventing sanctions on North Korea. In the wake of that report, significant assets were withdrawn from ABLV“. Now we can see that for what it is, yet we also get “the ECB’s Single Resolution Board has rebuffed ABLV’s efforts to seek financial assistance, determining that shoring up the bank “was not in the public interest.”“, so in light of the mention by Mario Draghi with ‘under which national central banks rather than the ECB decide to provide support to troubled lenders‘, I see it as instead of money wasted from the left trouser pocket, it came from right cheek pocket. How does that solve anything? The fact that the trousers came from the old tailor, the fact that the damage was not contained and allowed certain parties to take their cash out of Latvia is still cause for concern for those wearing the trousers.

That reflects also when we add the Greek issue that is playing right now with “the resignation on Monday of economy minister Dimitris Papadimitriou and his wife, the alternate labour minister, Rania Antonopoulou. Antonopoulou gave her notice after it was revealed that she had accepted €23,000 in housing benefits at a time of immense hardship for Greeks” (source: the Guardian). The issues playing do not seem like much, but it is like mopping the floor in a room where the water main has burst, it is close to pointless. In all this, especially when we hear Alexis Tsipras come with ‘praising the couple, in a speech late on Tuesday, for the “sensibility” they had exhibited in stepping down‘. To me it reads like ‘I am happy you vacated the premises as the people now know what you did and they are angry, thank you for that!‘ Is there any way that the Greeks are not getting fuming mad on that issue?

That is the part that does matter, because that is linked to whatever bonds were purchased, where they were purchased and how much is in play. We see none of that; merely that the invoice at present is set at 30 billion Euros per month, down from 60 billion per month earlier and 80 billion per month before that. So there is no way to tell how unrealistic my 30% loss is, it could be as low as 1% or as much as 41.3%, there is at present no way to tell. It is a long term gamble instigated by those in power now and left to solve for whoever gets to hold that seat when those spending’s mature and payment is due. Yet the chance of breaking even (best case scenario) is almost statistically impossible and no one has answers how to deal with it the moment it happens.

Can the Draghi failing be proven as a failure?

That remains the main event in all this and the fact is that the proof is nowhere near complete because the transparency in the spending and the path to repayment is missing. The fact that the money is printed and that the payment of the printed money is due at some point is not dealt with, by none of the media. Is it because it is not due now, or are we kept in silence because it stops us from asking questions? Perhaps like the elite group of 30 bankers, only initial questions are allowed and no response will be coming. That are merely factors in all of this and it does NOT sets any premise to the failure or success of the acts by Mario Draghi. Part of it is shown by Bloomberg a mere 15 hours ago, as they gave us: “The rate of price growth slowed to 1.2 percent this month from 1.3 percent, dropping to its weakest since 2016. The core measure was unchanged at 1 percent. The figures follow a series of releases that have checked the economy’s thundering momentum at the start of 2018, which had emboldened policy makers who want a faster unwinding of the central bank’s crisis-era monetary stimulus“, so even as that is not evidence, it seems to me that people are stalling and delaying stopping the QA wave, until the QA wave shows a positive. It is like watching a person throw more and more money in the pokeys until that person breaks even. In gambling terms it is watching a fool bleed dry. Even when we accept that a pokey returns 90% over its lifetime, that means that at the very least there is a loss of 10%, even if that person is getting lucky, the small wins are still used up whilst the player is trying to break even and in the end that money too is gone. That is how we could see the QA program to go and if that is true, a loss of 41.3% might have been optimistic, but it remains speculation. The article (at https://www.bloomberg.com/news/articles/2018-02-28/slowing-euro-area-inflation-helps-draghi-push-back-exit-debate) now gives the other parts I mentioned earlier too. With “consumer price growth almost halved in Italy and slowed in Germany” giving the line I had that with unemployment in Germany being an asset, but this slowing and 50% less gives rise to more without a job, or halted in economic growth for Italy, whilst Germany is halting to some degree their forward momentum, which translates in upcoming bad economic news cycles, or better stated less positive ones, so how will that impact the outstanding $3 trillion? The impact is only seen when that amount is due, but the impact will be there and those who pushed it onto us will no longer be around and they end up washing their hands off the dangers and leave us to pay the outstanding invoice, it makes for the most dangerous of market karts.

With ‘Buy now and pay when we make the most profit!‘ is an economic standard that has never been good commerce, or realistic for that matter; but that is exactly what Europeans signed up for, and the people in Europe end up not getting a say in the matter. That is the issue I opposed all that time and that is why I hope that the UK got out in time, because that part will drag the EU economy down to a degree it has not seen before. The only worry is what happens when that issue hits the European tax payers, because it will! No doubt about that!

 

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Guns on a plane

The Washington post is giving us another look at a situation we saw but most of us (including me) in the light it deserves. I mentioned it a week ago to some degree, but in this (at https://www.washingtonpost.com/blogs/post-partisan/wp/2018/02/27/hypocrisy-takes-flight-in-georgia/), we see that Karen Tumulty takes an interesting look at hypocrisy. She starts pretty hardcore direct with “Republicans have been trying for years to convince us that corporations have First Amendment rights — at least, that is, when it works in their favor“, although in this light the wooden spoon should hit the democrats with equal vigour. So when we see “Protecting free speech was the principle behind the Supreme Court’s 2010 decision in the Citizens United v. FEC case, which lifted the ban on corporate spending in elections and opened the spigot for unlimited outside spending” we see the first part, and with “Religious freedom is the rallying cry in a raft of efforts to give businesses the ability to deny birth control to their employees or to refuse service to customers based on their sexual orientation” part two. Yet we see the power that Karen has a much stronger point with “I will kill any tax legislation that benefits @Delta unless the company changes its position and fully reinstates its relationship with @NRA. Corporations cannot attack conservatives and expect us not to fight back”, in that instance I agree with the sentiment to the smallest degree and less with the action that Casey Cagle, ‘replacement’ (read: secondary) Governor of Georgia is making. You see, I saw the Delta move not in regards to enticing NRA members, as guns are not allowed on a plane, but the fact that they decided to cater to 5 million members, basically the discount was wooing almost 2% of the American to choose Delta instead of the other company that owns planes. It was just a good business strategy. In light in all this, when we use the Delta information with “Adjusted pre-tax income for the September 2017 quarter was $1.7 billion, a $182 million decrease from the September 2016 quarter”, so why they are given a $50 million jet fuel sales tax exemption t begin with is beyond me, it is not like the US government with 20 trillion in debt should be able to give tax exemptions to begin with. It does remain a matter that America is a populist culture that is emotionally blaming the largest target that makes them short sighted, a failing skill in marksmanship and overall they are not too clued in, which still remains their right to have.

But it is not about them, it is about the way that corporations are running for their life because the NRA member is the preferred member to discriminate at present, which is hypocrisy gone nuts I say. There is however another side that Delta was happy to ignore. You see, when we see: “In other words, it was a business decision, made not to promote a political agenda, but to distance the airline from controversy by treating NRA members just like its other customers” is one take, but consider that up to 5 million will now NOT be flying Delta, whilst the others are not Switching to Delta (in light to a previous annual downturn of profits) gives rise to the likelihood that Delta will have to report their numbers to be down for at least another year. In light to the reference to Delta withdrawing support from the New York City’s Public Theater shows them to be not strong of character, merely weak in the back, merely paperbacks, not a hardcover among them. So when the $50 million jet fuel sales tax exemption does not pass and they lose on customers as well on reduced cost of ‘existing’, how will Delta then look at its poor record of character?

Even as we are all likely to agree on: “There is a reasonable argument to be had over whether that kind of tax break is smart economic development on the state’s part, or corporate welfare. But Cagle’s threat makes it clear that what’s really going on here is political retribution, not economic policy” we need to acknowledge that Delta basically got caught between populist shortsightedness and 17 cadavers. Yes, I am stating it that blunt, in light of the UN ceasefire failing in Syria and the 250 fatalities in Syria in the last 2 days alone. How much outrage against the Syrian government and the Russian mercenaries was shown? Oh, no! Perhaps it does not count if it is done with plane bombs and artillery shelling?

It is cruel to set the Florida victims in such light and I do apologise for that, but it is important to see that we seem to have multiple grades of values in place and that is not fair (read: acceptable) either, especially as these NRA members, those 5 million get the hatred and bullying in light of acts they never did, contributed to or set any level of approval towards. This entire matter is exploding (with exception of the family members of these victims) by people who hate people that like guns. It feels too much like the segregation and isolation of the Jews in the Germany in the 30’s as well as the Netherlands (and several other nations) during WW2 (an exaggeration, I admit). Yet in all this, I feel that the NRA spokesperson Dana Loesch is equally off her game (at http://www.news.com.au/world/north-america/florida-school-shooting-nras-response-to-parkland-attack/news-story/9f565d930e6fe7e9a6d1fd768190f696). With ““I don’t believe this insane monster should ever have been able to obtain a firearm,” Ms Loesch responded. “This individual was nuts,” she said. “None of us support people who are crazy, who are a danger to themselves, who are a danger to others, getting their hands on a firearm.””, she is right of course, but the entire mess of calling him nuts sets the mental health issue in play and even if we agree to some extent with Joe Rogan, the comedian and podcaster of ‘The Joe Rogan Experience’ as he stated in one of his podcasts on “how the “gun problem” is actually a mental health problem“, he brings a decent case, but there is an issue on several matters. You see if a person is sane enough not to trigger flags when trying to buy a gun there is a more complicated matter in play, optionally not all set towards mental health, in addition, none of the parties involved have touched on the ATF failings, which I found and continued on after the Deutsche Welle brought it to my attention. That part alone is a much bigger failing on ALL the parties involved. I raised that issue 6 days ago (at https://lawlordtobe.com/2018/02/22/united-they-grow/), with the reference to the Deutsche Welle article. At this I understand that the NRA needs a working relationship with the ATF, but that should include showing them the failure (read: fault) of certain matters, even if that causes ‘discomfort’ of the consumers towards the issues of second hand firearms sales. Dana could have conceded there to some degree showing how certain matters could have been safer, no matter if that impacted the Florida shooting or not. Any improvement is one that both sides need to grasp.

So even if we give proper acknowledgement to “To her credit, Ms Loesch did have the guts to show up to CNN’s forum, knowing she would face a hostile crowd. And the survivors of the Florida shooting grilled her“, I equally see that Broward County Sheriff Scott Israel saw things wrong. He has a point only to some degree, yet with ““I understand you’re standing up for the NRA and I understand that’s what you’re supposed to do,” he said. “But you just told this group of people that you are standing up for them. You’re not standing up for them until you say: ‘I want less weapons.’”” he shows a flaw. That is not or has ever been the function of the NRA and it is not about wanting fewer weapons, it is about stopping a person who had been flagged more than once and nothing ended up getting done, as well as keeping the American environment safer due to proper handling of firearms, as well as emphasising on the need for proper gun care and gun safety. The previous articles show that. He is correct with “stricter gun control needed to be introduced“, yet equally the ATF issue was not raised, even as the Deutsche Welle article had already hit the limelight by the time the forum happened. So why was this element not discussed there? In that regard I am happy to exclude the family and friends of the victims on that topic, but they should have been informed by the US media at large and that was not the case either.

If there is one element that Dana Loesch requires a discussion on it is given with “I had to have a security detail to get out. I wouldn’t be able to exit that if I didn’t have a private security detail. There were people rushing the stage and screaming ‘burn her’. And I came there to talk solutions, and I still am going to continue that conversation on solutions, as the NRA has been doing since before I was alive“, in that she should open the discussion on the ATF elements, as well as seeing their budget increased by close to 100%, so that the ATF can look at the current situation and get a report in place that might actually result in better gun control, because in that light not only does it serve the NRA, there is every confidence that in the end it will also serve the 5 million members that the NRA has, even if it comes with 1-2 inconveniences, in that light I can state that inconveniences have until now never resulted in fatalities, unless you are in Syria, where we see “Russian President Vladimir Putin ordered a daily five-hour humanitarian pause in hostilities in the besieged Damascus suburb of Eastern Ghouta, as bombardment has continued despite a UN resolution calling for a ceasefire“, apparently a 30 day ceasefire was too much of an inconvenience. Yet there is another side not mentioned. This was only brought to light just now by Fox News. We see (at http://www.foxnews.com/opinion/2018/02/27/nra-just-got-new-member-here-s-why-this-mom-two-joined-group.html) on how “a mom of kids in elementary school, I became a proud member of the NRA for the first time last week. I did so because the absence of common sense that I’ve witnessed recently is alarming to me as a parent“, this is to some degree to be expected, yet in light of the entire populist emotional mess that the Stoneman Douglas High School shooting is now bringing. You see the entire emotional mess that is pushed by too many ‘gun hating sides‘, not the friends and family of those victims mind you, which I see as an excluded group as they get a pass to be as emotional as they want to be, the others should have taken some level (read: any level) of a common sense road. The entire matter worsens when we realise that in the last event there is plenty of blame to go around. Even as the FBI admits to its failure, it in equal measure should have mentioned the many times it got things right, which gives us: ‘the terrorist axiom’. Any terrorist only needs to get it right once for any valid system or solution to be under attack and soon thereafter could become less effective. That danger is very much in play here and still the ATF remained off the sniper scopes of the media at large, especially in the USA, which is a rising oddness in all this.

To me the highest issue are the politicians and populists who are stealing the limelight in the guise of those poor 17 fatalities, whilst with a brazen state of illusion going after the NRA. It is in comparison almost like me calling Bill Gates a weepy geriatric softy because Apple IOS exists, and it only exists because he could not get the Windows editions, and safe affordable windows phones hack free and fast in time for Apple to be irrelevant. it is a weird and utterly obsolete way of thinking, but that is what we face and in that regard, the Fox News article which gives us “When I joined the NRA last week it was because I was tired of being preached at by people who are unwilling to look at the problem and only want to treat the symptom. It’s easy to blame the NRA, and it’s easy to blame guns. It’s the new trendy target, but it’s not the solution” and that is the truth of the matter which all the shouting parties are ignoring as well. So, as a pro gun person, am I happy with what the woman did? I cannot tell, the article does not tell me that she is a responsible gun owner, that she is clearly trained in properly using a firearm (which can be done in one weekend), but also whether she has all the right settings and safeties in place, so that when she is working, her early teens, when they are that, and find the gun and start playing with it because it looks cool and that is how ‘cops’ and ‘detectives’ hold their guns and shoot when they go after their ‘criminals’ in their playful fantasy. The Fox article is short of certain questions that should have been asked, or have been intentionally omitted from the article, I cannot tell either way, but that is also an issue here. And even when we see the trivialisation of “Timothy McVeigh used fertilizer to kill 168 people in an Oklahoma federal building in 1995“, whilst we see no mention of the technological solution to reducing the usefulness of Semtex to terrorists as well as the control and monitoring of the sale and distribution of Semtex. So in that changes has been made to some degree, we cannot tell how well it works but changes were made, so Fox News misses the target at least twice, making the article nothing but a shot in the dark at best, a worrying one, because mothers tend to get frantically neurotic when it is about keeping their children safe and as such thousands of new NRA members could come to the NRA fold, but as a gun lover, do question if they are doing it in the proper path, because the right way does not hold any water to a mother in fear of her child and too many are seeing that no guns is not a realistic option and mothers tend to look for and demand Direct Action in that regard.

And all this merely fades into nothingness when we realise “The U.N. humanitarian chief warned Tuesday that conditions in Yemen are “catastrophic” after three years of war, with a record 22.2 million people needing aid and protection“, (at https://www.washingtonpost.com/world/middle_east/un-humanitarian-chief-calls-yemen-conditions-catastrophic/2018/02/27/651660e8-1be0-11e8-98f5-ceecfa8741b6_story.html), so when we see “Undersecretary-General for Humanitarian Affairs Mark Lowcock warned the Security Council that conflict in Yemen has escalated since November, leaving more people hungry. “Famine remains a real threat,” he warned“, a nation where close to 85% of its population is now stricken with despair, famine, disease and death. As the UN reports to the people that close to nothing has been achieved, 85% of a nation approaching death. So as we relate that to the emotional and populist activities that followed a tragedy of 17 victims in regard to their limelight. We can make that into a movie and call it ‘Guns on a plane‘, in relation to its Herpetological cousin that cost $33 million to make and made $66 million in revenue, so there would be that consideration to keep.

 

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Losing business in America

The Washington Post had an interesting article during the weekend. The article (at https://www.washingtonpost.com/world/national-security/supreme-court-case-centers-on-law-enforcement-access-to-data-held-overseas/2018/02/25/756f7ce8-1a2f-11e8-b2d9-08e748f892c0_story.html) gives us ‘Supreme Court to hear Microsoft case: A question of law and borders‘ where the issue debated is: “At issue is whether a U.S. company must comply with a court order to turn over emails, even if they are held abroad — in this case in a Dublin server. The litigation turns on a 1986 law, the Stored Communications Act, passed long before email became a ubiquitous way to communicate and before American firms began storing massive amounts of data outside U.S. borders“, in this case it goes even further then the lawmakers or lawyers have considered. Apart from the fact that the server is physically in Dublin and a case would be required to be made in Strasbourg, there is one additional need (beyond the stringent privacy laws in Europe). Microsoft is phrasing it that in opposition, “an adverse ruling would leave the government “no basis to object” when other countries demand Americans’ emails stored inside the United States, that it would “trammel” other nations’ sovereignty and erode trust in a way that poses “an existential threat” to the $250 billion cloud-computing industry“, this leads us to the Cloud Act, as we get the quote (in this case from WCCFTech) “Congress is currently considering to make it easier for the law enforcement to access international data – one of the major headaches that the prosecutors currently face. Microsoft, Google and other tech companies who have had their fair share of issues with the government have long asked for a revamp of the legislation that demands companies to hand over data stored on a foreign land“, the question is not why it is needed, but on how the changing rule of privacy is impacting those outside of the US, more important, how it could turn against the US in the long term.

The danger is seen, not in Europe, but in Saudi Arabia where banking laws are actually extremely protective of the customers. Let me explain with the following information.

There are certain secular regulations passed by government, which although not dedicated as a whole to data privacy/protection, contain specific provisions governing the right to privacy and data protection in certain contexts. Examples of such regulations include:

  • the Basic Law of Governance (no: A/90 dated 27th Sha’ban 1412 H (corresponding to 1 March 1992)), which provides that telegraphic, postal, telephone and other means of communications shall be safeguarded. They cannot be confiscated, delayed, read or breached.
  • The Anti-Cyber Crime Law (8 Rabi 1, 1428 (corresponding to 26 March 2007)) (as amended), which generally prohibits, amongst other things, the interception of data transmitted through an information network, the invasion of privacy through the misuse of camera-equipped mobile phones and the like, illegally accessing bank or credit data of another, unlawful access to computers for the purpose of deleting, destroying, altering or redistributing private data, or the production, preparation, transmission or storage of material impinging on public order, religious values, public morals, and privacy, through an information network or computers;
  • The Telecoms Act (approved pursuant to the Royal Decree No. (M/12) dated 12/03/1422H (corresponding to 3 June 2001), which states that the privacy and confidentiality of telephone calls and information transmitted or received through public telecommunications networks shall be maintained, and disclosure, listening or recording the same is generally prohibited

The Regulations for the Protection of Confidential Commercial Information (issued by Minister of Commerce and Industry Decision No. (3218) dated 25/03/1426H (corresponding to 4 May 2005), and as amended), which governs the protection of data considered to be “commercial secrets” under these regulations.
(Source: DLA Piper, at https://www.dlapiperdataprotection.com/index.html?t=law&c=SA)

So if we see Saudi Arabia push for equally protection in regards to digital privacy and digital personal data, there would soon be a jump by many people to get a futuristic @gmail.sa account.

So now we see the US pushing and they could lose out twice, first the fact that others will demand US data in the same trend for their own criminal legislation reasons (which should make the Wall Street boys nice and nervous. the second is that those who they are trying to prosecute will take their business to Saudi Arabia and protective minded nations. With Saudi Arabia looking at billions of investments coming from the Tech sector, giving in to big business like Apple, Google and Microsoft would be a small step to get the infusion of massive cash drops, infrastructure and evolution of their technological infrastructure. That alone could push the ‘Vision 2030’ plan that has been the shiny jewel for Saudi Arabia as envisioned by Crown Prince Mohammad Bin Salman Al Saud ahead by several years.

Yet when we see the WCCFTech, we also see the dangerous finale. With “Tech companies have continued to hint for a legislative reform that could help them deliver data on criminals when a warrant is served but the data is stored outside of the country. What these companies feel about the Cloud Act, however, remains unclear“, we see the crucible. This test is not set in law, but in interpretation. With ‘deliver data on criminals when a warrant is served‘, you see, a person is innocent until proven guilty, so as such the warrant becomes useless if there is no conviction. Now, I feel certain that the Cloud Act will take such matters into account, but in the clarity of the Act, it is an American Act and as such, even when we get “Thomas Bossert, assistant to the president for homeland security and counterterrorism and Paddy McGuinness, deputy national security adviser for Britain wrote. “The first one would be with Britain, which already has the authority to enter into such a pact.”” I am personally not convinced of that. The entire mess of the Safe Harbour or Safe Harbour 2.0 and/or the EU-US Privacy Shield, when we see privacy, yet in some places we see “for commercial purposes”, which is causing more confusion than give clarity, the fact that a lot is not done in the open and merely between the US and big business is making plenty of people worried. So when we see “2,400 companies – including Facebook, Microsoft, Google and Alphabet Inc.” whilst we see “Facebook’s default privacy settings and use of personal data are against German consumer law, according to a judgement handed down by a Berlin regional court”, whilst at the same time we see that Facebook list a case in the Belgian courts too. So the entire setting as we are given the view by Reuters “EU justice commissioner Vera Jourova, who presented the first annual report on the agreement, the Shield is “working well”“, whilst at the same time we see that one of the three largest players in the data industry is handed their marching papers all over Europe is a much larger cause for concern and Saudi Arabia is gaining an unique position to cash in on that setting, and they are not alone, in that same view China could make equal protective leaps, enticing business and data away from the US.

In this regard, when we look back at the Washington Post where we see: “With congressional action unclear, the stakes are high for U.S. v. Microsoft, such that more than 30 friend-of-the-court briefs have been filed by the European Union, members of Congress, the U.S. Chamber of Commerce, tech firms, privacy advocates, and former law enforcement and national security officials, among others”, the issue is not merely what is in play, but with the changes towards G5 all bets are off because it is not merely more data and faster data, there will be a new dimension of machine learning and automation within the apps themselves and as such the issue on legislation on personal data and application data becomes a new and different fields of consideration. Now, this has no bearing on national borders yet, but when the value of application data grows (and it will soon enough on a near exponential scale), we will see these fields come into the view of consideration and debate.

The Saudi opportunity is seen in a much better light when we consider “E. Joshua Rosenkranz, who will argue Microsoft’s case, called the government’s position “a recipe for global chaos.” He added: “If ever there were a step that is sure to stoke international tension, it is sidestepping the treaties that were negotiated by countries precisely to protect their sovereignty, and instead unilaterally obtaining reams of personal letters”, so as we see that side in regards to the ‘sovereignty’ of accounts, we also see that if Mossack Fonseca pushes their boundaries and if they get their infrastructure and security up to scrap, they could open up new doors to alternative and additional revenues, because those who have the cash to secure their privacy will pay through the nose for it. So it will no longer merely be about tax avoidance, it will become about identity avoidance, repudiation avoidance and their cyber persona, all up for Encrypted Cyber Outsourcing. If your value in cyberspace is set to a value, being the one surfing with an economic value of $0 will be the most anonymous one and there are plenty of people who prefer to be that, out of sight of the Skip Tracers, the investigators and the media at large, in the cyber age, anonymity is becoming more and more important, especially to those who embrace anonymity.

The Washington Post gives a few alternative views and all very valid, yet in all this there is not merely the ‘criminal’ data as it is seen, it is the setting of data privacy within the persons national sovereignty set against the US, or any other nation that requests your data for whatever reason they give. We see this in the US case Blackwell, 2004, where we get “Illegally obtained evidence applies to criminal cases only and is typically “evidence acquired by violating a person’s constitutional protection against illegal searches and seizures; evidence obtained without a warrant or probable cause”“, that setting could stretch, especially when data obtained from another country is set against additional privacy laws and in addition, the proof required to set ‘or probable cause’ which might be another bump in the setting of borderlines, whether they are merely digital or physical. The law was never ready for Clouds and Cyberspace. This is seen in the unjust setting of ‘the law does not apply in Cyberspace‘, which is not true (proven on several settings), as the “conflicting laws from different jurisdictions would apply, and even as that happens for any person simultaneously, to some extent, to the same event. The Internet might not make geographical and jurisdictional boundaries clear, but Internet users remain in physical jurisdictions“. There is an agreement there, but as most systems as well as the lack of non-repudiation has been in play from even before I got my University IT degree, and since then too little changed, the failure to prove that the ‘internet user‘ is THAT ‘internet user‘ the law keeps on falling over and as that is paramount in setting the need of the warrant, the warrant should in the end go nowhere, which is exactly what the alleged criminal hopes for and legislation has remained behind the curve by a lot, optionally helping them out evading conviction.

So as we see these settings, we see that the U.S. v. Microsoft could in the end cost the US a lot more than they themselves bargained for, because that is in the end the nature of the beast of commerce, it goes where business and profit resides.

 

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A different Europe

This is something that started last week. I heard about it in passing, but I ignored it for various reasons, the most important one was that it was too ‘conspiracy theory’ and too ‘looney tunes’ like to take serious. In light of the shooting in Florida, the escalations in Syria and just now the cease fire that is not adhered to (as if that was going to be a surprise), the Danish issue is one that is slightly more unsettling at present.

The sources are the Danish news (at http://nyheder.tv2.dk/politik/2018-02-22-liste-paa-internettet-opfordrer-til-drab-paa-danske-politikere) as well as it was mentioned (at  https://www.dr.dk/radio/p1/p1-dokumentar/p1-dokumentar-2018-02-22), there is also the mention that the Politiets Efterretningstjeneste, short for PET, which is the Danish intelligence and security apparatus, where we get that the list has existed for some time.

What is going on?

The list that had been placed online is a list of the members of the Folketing with names and addresses, the list is followed by an invitation to go ‘Breivik’ on these people (a reference to the Norwegian mass murderer of 2011) and end the lives of these members. You see how this all comes across a little too ‘looney tunes’ for most people. Yet the truth is a given, this is actually going on, and even though there are no fatalities at present, in addition to the fact that most expat Danes are all in favour of alcohol in many cases, yet they lack a massive amount of internal rage, anger issues as well as a psychotic need to end lives is where this list is optionally likely to fail. The fact that the list offers in addition to some of the names, specific information about family and children and even instructions on where exactly to be to get the best look at these victims is more than a worry. Apart from the list optionally having been compiled by people who had way too much free time, the hatred we see here is something I have never seen before In Denmark, or in regards to the Danes as far as I can tell.

So what is Folketing?

Folketing is the Danish Parliament, they approve the cabinet, and they supervise the work of the government. They are also responsible for adopting the state’s budgets and approving the state’s accounts. So it is in fact the governing body of the nation. Even as Denmark is a monarchy, that monarchy has limited powers, which is almost on par with both the Dutch and the Swedish monarchies.

I have been to Denmark a few times, the people tend to be a little too nationalistic for my taste, but that is not a real mark against them; nationalistic pride is what drives a nation forward as I personally see it and they are not the only nations that have that drive. Beyond that, the food is awesome, the beer is good and the cities are almost irritatingly clean, which is unsettling when you see just how crowded Copenhagen can be. The people are polite in the shops (almost too polite) and the Danes as far as I have seen in the Capital are well educated and most are fluent in English (which is great as my Danish sucks big time). The place looks pleasant and pretty, especially when you get to the harbour area where the ferry to Malmo resides.

So why is this list there?

That is the question that most cannot answer, nor where the source is from. Even as most Danes are never in hiding, most are weirdly easy to find and track down in the easiest of ways. The fact remains that an ‘invitation’ to take Danish Parliament duck hunting whilst these members are the ducks is slightly unheard of. The biggest Danish issues I found were the refugee issues in 2016 and the crises they faced to some degree last year. None of this makes sense in a larger setting, the only part that fits is that one individual felt personally attacked and decided to spread fear in this way, making the issue an optional non-issue to begin with.

The question is how the PET addressed it. Even as we see that Denmark is gearing up for the ban on Islamic full-face veils and that in addition 2 years ago the PET failed to warn a Danish Asylum centre that a stateless Palestinian refugee was supposed to be seen as dangerous. So if that is it, than being a member of the PET must be one of the best cushiest jobs in the intelligence industry. For the rest there was not much to find, so the PET might not have regarded it as too serious. On the one hand this could be seen as good, but on the other hand, someone got creative and gave an optional handful of radicalised a list of 179 targets to dip a nation in chaos, which is equally unsettling.

So why is this issue an issue?

There is absolutely no guarantee that this is the case, yet Denmark is only 2 months away from a seminar in Copenhagen, you see on the 13th of April, this seminar will look at the role of women in extremism, with ISIS targeting recruitment of women stronger and stronger, they might see this seminar as an effort to stop their recruitment and that could spell trouble, make sure that you realise my usage of the word ‘could‘. In addition Denmark is one of the nations who has been funding and supporting efforts to increase stability in Iraq. So far this support has been in excess of $20 million, it might not seem much, but it could optionally rebuild a partial area, which means growth of commerce and as safety and stability returns such funds could grow the return of normal life to Iraq, which is very much in opposition of what ISIS wants. Past of this is shown in the charters and articles by the United States Institute of Peace (USIP). They voiced last week in an article regarding Tunisia “Young Tunisians widely voice an angry despair at being unemployed, untrained for jobs, and unable to build futures for themselves. The single democracy to have arisen from the Arab Spring uprisings is undermined by the feelings of hopelessness among many youth“, those issues are the ones that Denmark could be fighting and achieving in Iraq, but growing stability and with local shops having the option of returning to a normal pre-war life, it will spark options towards hope and resolution to join those areas. It could be in line with “a small, USIP-funded project is measuring which kinds of programs are actually effective“, which would make perfect sense, instead of pumping cash into a place not knowing what will work, Denmark’s additional assistance in Iraq could spell a path to lowering pressures and starting to get things actually done. Now, let’s be clear that Denmark and USIP are not the only players in town and that their effort is seen, in equal measure attacks on the Danish members of parliament could spell trouble and trouble is what the players like ISIS want, making that list optionally a larger issue.

The view of Iraq is equally seen in “The Kuwait conference will gather government, business and civil society leaders to consider a reconstruction that Iraq has said could cost $100 billion. USIP’s president, Nancy Lindborg, and Middle East program director, Sarhang Hamasaeed, say any realistic rebuilding plan must focus also on the divisions and grievances in Iraq that led to ISIS’ violence and that still exist” so even as 22 million is not 100 billion, yet every small victory and every success that is measured would count towards optionally lowering the 100 billion needed and could show a path to success, whilst we have seen in the past there has been no real direction to tread in, and as such Denmark is making its own journey, one step at a time.

So in the end, should this list be taken seriously?

There are two elements, the maker of the list and the list itself. Even as we might not take the maker serious, even as the PET might have come to the conclusion that the maker is a non-violent person with anger issues towards the Danish parliament, their cushy jobs are now a little less relaxed because every lone wolf nut-job with a need to get into the large limelight will be an additional worry. Even as the danger to Denmark is small, the consideration that foreign Isil fighters ‘return home with military skills‘ in 2018 will become a worry. Now, the list of Danes who went this way might be small, yet the list of German and Swedish ISIL fighters is a lot larger than zero, and larger than the Danish list, not to forget that Denmark is directly linked to these places, we should consider that there is absolutely no guarantee that those returnees will not be looking across the borders, to gain more infamy in any way, shape or form. In that regards, any of those Germans returning are in addition an optional threat to the Dutch security, so there is that issue to deal with at some point.

Shakespeare

There is no way that we can get past this without the quote from Hamlet. With: “something is rotten in the state of Denmark“, we recognise Hamlet, and we tend to only remember it there. Denmark is considered one of the least corrupt nations in the world (together with their Scandinavian siblings), In addition it has been regarded more than once to be the number one nations when it comes to the rule of law, two elements that make the Danes proud of their Denmark and rightfully so, yet in my view, is a nation so bathing in the light of ‘goodness‘ able to recognise darkness, as well as darkness in motion? You see, I moved house once from the Netherlands to Sweden and after leaving the Netherlands, I was not stopped once, not until I got into Sweden and that was a 5 minute exercise with 2 friends and a large van filled with boxes. If we consider these events, how much danger cold the Danish population (most likely the people in Copenhagen) optionally end up being in? Any answer might be sheer speculation, but the fact that the list exist makes for an issue on how the people see their government, because if one made the list, at least 30 considered making the list and that is less of a good thing, because in such places where the anger and frustration is skin-deep, the danger of radicalising such people is not zero and should be considered or better stated cannot be ignored. Yet in opposition we should equally accept that unemployment has been a large reason for pressing and pushing towards frustration and outrage, with that level in Denmark being 4.2% and on route to get lower to 4%, it is one of the best places to be able to work (if your fluent in Danish). Considering that the highest long term unemployment rate has not been above 2.5%, whilst that group tends to be mainly those who cannot work due to being a ‘ripe old age‘ with added medical conditions makes for one of the healthiest economic places to live in, so the usual paths to get lone wolves tend to not be the working path. This is only partially important as it makes the list less and less useful yet not useless to the radicalised individuals with radicalised needs to step into in the limelight.

The fact that the list exists gives reason to consider actions. Even as TV2 news at the link mentioned at the top gives us the view by Keld Vrå Andersen, which gives the quote “It is a democratic problem” is in equal term the underdog of democracy, you see, we might consider to be democratic, but when we are the losing party in a vote that might benefit 90%, when you are one of the 10%, the onset of what you lost as the smallest majority is equally a worry when the issue was important within your household. We much keep track of that distinction, yet without knowing the maker of the list and his/her reasoning, we can only hope that the list does not make it to the wrong party that got invited and it is for that reason that I will not link to the list or attach it here.

Oh, and whilst I was looking at this, just now, less than an hour ago, the ABC (at http://www.abc.net.au/news/2018-02-26/syria-conflict:-impotence-of-un-security-council-laid-bare/9484136), gave us “Air strikes by the Syrian Government and their allies continued, with pro-regime media claiming a new ground offensive had begun“, almost nullifying the Danish issue as the issues we face on a global scale as the UN will be seen as a paper tiger by more and more people give rise that we are in hot waters in several ways. So when we read that “The UN resolution stipulates that the ceasefire does not apply to a jihadist group called Nusra Front, also known as Hayat Tahrir Al Sham (HTS), a former Al Qaeda affiliate” give us exemptions, how long until exemption driven actions lead to the dangers that those return to Europe are exempt from following the rule of law, because they were taught to use a weapon and they are exempt from the UN to follow cease fires? So why would the UN intentionally phrase an international terrorist organisation as ‘exempt from the ceasefire‘?

In that I hope that the UN reveals the names of those working on that papers and who EXACTLY decided to make a terrorist organisation an exemption to the rule and why. Are you not curious? To have one person make a death list, to have one group excluded from the ceasefire conditions. There is something very wrong about all that. I just hope that the people are getting ‘less clueless’ quickly on the dangers that they expose themselves to far outside the Syrian borders, because those expat fighters will come home soon (read: this year) and it could make for a very different Europe soon enough.

 

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