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FI01, becoming offensive

I will leave the entire Novichok alone for now, there is rustling in the weeds and it is important to look at it, but only when more actual quality information is available. It is time to take a look at the FI protocols. It is time for FI01.

This might not be the article for many of my readers, I will not shun hash words and I will not shun those wading in hypocrisy. Yet to do that, we need to look at certain definitions too and that is the part we get to after we look at the Guardian article (at https://www.theguardian.com/media/2018/sep/13/social-media-firms-could-face-huge-fines-over-terrorist-content). The article ‘Remove terror content quickly or be fined, EU tells social media firms‘. the setting given is “Social media platforms such as Facebook and Twitter will be forced to take terrorist content off their sites within an hour or face multimillion-pound fines under EU proposals“, is probably the biggest part, but let’s look on; when we see some of the parts given by Julian King, the British security commissioner in Brussels. We are given a few truths that matter. “We have got a problem with content; it is not an entirely new problem, we are not starting from scratch, we have agreed to do some voluntary stuff, and we got some good progress – but not enough” is the first part and I will get back to that, yet the more important part is “Every attack over the last 18 months or two years or so has got an online dimension. Either inciting or in some cases instructing, providing instruction, or glorifying“. I get it, something needs to be done. In the first we need to see the list and the proper setting of evidence. I get it that this is not offered online for several reasons. Yet there needs to be a lot more scrutiny. As we see the utter screw up regarding Novichoks, the lack of evidence and linked statements without evidence. We also need to state clearly that the press (to a larger extent) is part of the problem, not part of the solution. Julian King needs to realise that if his peers are dragging their heels on one side, he cannot be part of anything acceptable stating the utter impossibility of: ‘take terrorist content off their sites within an hour‘.

From my point of view, this is about something else; this is about giving governments’ direct access to social media to filter ALL content (at their leisure). To get anything done within the hour is just not realistic and they know it. It is also very clear that when 5G is here, it will be too late and that is what they fear even more, and being stupid about it is just not a solution in any place.

It becomes an even more laughable setting with: “Parties could be fined up to 5% of their annual budgets for breaching data protection rules in order to deliberately influence the outcome of the European elections, including those for the European parliament in May 2019“. So instead of making it illegal and rejecting that party from elected consideration, they get a fine? Allowing for big business to sacrifice via some small institution to cop a few million whilst still getting what they want. So when we see Julian King state: “given the track record, there has to be a chance, and we have to up our game and be more resilient“. How about setting the stage that the use of social media for elections is just out of bounds? Limit it to TV, Newspapers and magazines?

We see the problem a lot clearer when we consider the ‘High-Level Commission Expert Group on Radicalisation (HLCEG-R)‘ report from May 18th 2018. Where exactly is the definition of ‘terrorist content’? You see, the EC is all about definitions all the time. Yet here we see an interaction and a level of interchangeability of ‘terrorist content‘ and ‘illegal content‘. It is found to some extent in the report referred to in footnote 19 where we see the report ‘COMMISSION RECOMMENDATION of 1.3.2018 on measures to effectively tackle illegal content online’. So is all ‘illegal content’ ‘terrorist content’? It seems to me that this sudden trivialisation is about something else entirely (at least to some degree).

When we look at the second report, we see: “At the collective level, important progress has been made through voluntary arrangements of various kinds, including the EU Internet Forum on terrorist content online, the Code of Conduct on Countering Illegal Hate Speech Online and the Memorandum of Understanding on the Sale of Counterfeit Goods. However, notwithstanding this commitment and progress, illegal content online remains a serious problem within the Union

This is reference to Article 292. Yet now we see Illegal Hate Speech Online, the Sale of Counterfeit Goods as well as terrorist content online. So is this about a Nina Ricci bottle or a Prada backpack, because the devil is not in the details, the devil wears Prada plain and simple. We see to some extent the ‘aggregation’ of stupidity (as I personally see it) in item 32, where we are treated to: “In light of the particularities related to tackling terrorist content online, the recommendations relating to tackling illegal content generally should be complemented by certain recommendations which specifically relate to tackling terrorist content online, building on and consolidating efforts undertaken in the framework of the EU Internet Forum“, so when illegal content is online, we now see the implicated setting that these people could be regarded as terrorist. With ‘be complemented by certain recommendations‘, which now becomes a rather weird setting. You see ‘political opinion’ cannot be seen as illegal speech, so not getting to barrier one, also avoids barrier two. In this setting, any political drive must be proven to give the reading of proven the need that the speech instils the drive to act illegally. Until a clear act is connected, there will be no success.

This now gets us to paragraph 33, where we see: “Considering the particularly grave risks associated with terrorist content and hosting service providers’ central role in the dissemination of such content, hosting service providers should take all reasonable measures so that they do not allow terrorist content and if possible prevent hosting it“. So at this point what exactly is ‘terrorist content‘? And the reference to that paragraph refers to ‘without prejudice to Article 14 of Directive 2000/31/EC’, are you effing kidding me? That is the privacy part on a section in ‘legal aspects of information society services, in particular electronic commerce, in the Internal Market‘.

So we get this mess presented?

In that regard when we see: ‘Commission proposes new rules to get terrorist content off the web‘ It is my personal agitated view in the matter that protocol FI01 is set to President Jean-Claude Juncker, he is the Eff…ing Idiot number 1.

When we again look at the headline: “Terrorist content is most harmful in the first hours after it appears online because of the speed at which it spreads. This is why the Commission is proposing a legally binding one-hour deadline for content to be removed following a removal order from national competent authorities“, a one hour deadline? Really? Most EC parts have not been able to clean their act in years, so now social media gets sliced and cut? Is Europe so broke that they want the millions from the three social media providers because they cannot clean their own stables?

Consider the Statistics, Facebook has 2 billion active users a month, and this is not static. We see from sources that Five new profiles are created every second, there is a registered amount of photo uploads approaching 300 million per day as well as the setting that every minute on Facebook: 510,000 comments are posted, 293,000 statuses are updated, and 136,000 photos are uploaded and that is ignoring languages and expressions. The entire setting of removal in an hour is so unrealistic it is close to hilarious. When we are confronted with that, whilst ‘the Conservative’ (not the greatest source, I admit) gives us: “The structural defects of the European Commission are plentiful: an insurmountable democratic deficit; not a hint of accountability; and an opaque process of legislative formulation to name but a few“, that whilst labelled individual FI01 is also connected to: “The president of the European Commission is embroiled in a new criminal investigation into claims that “tampered” evidence misled an inquiry into phone-tapping. Jean-Claude Juncker faces accusations that his officials presented inaccurate information under oath in a case involving an alleged illegal wiretap more than ten years ago when he was prime minister of Luxembourg” (source: The Times, December 13th 2017), that is the person giving social media providers an ultimatum of an hour? You have got to be kidding me. The Telegraph gave us in addition: “The new evidence, which led to the postponing of a trial of three senior formers members of Luxembourg’s SREL intelligence service, according to The Times, showed that a key telephone transcript had apparently been doctored

That’s the person who is part of throwing ‘illegal content’ and ‘terrorist content’ on one pile?

Good to know!

So now we get to the fact sheet!

Here we see (at https://ec.europa.eu/commission/sites/beta-political/files/soteu2018-factsheet-terrorist-content_en_0.pdf) the setting of ‘How does the new procedure for removing terrorist content work?‘ We now see the following

  1. National authority detects and makes assessment
  2. If considered terrorist content, removal order issued to host
  3. Host must remove content within one hour

That seems almost harmless, does it not?

Yet we also see:

  • Right to challenge: Hosting service or content provider may appeal the removal order. If the appeal is successful, the content is restored; if the appeal is rejected or the deadline lapses, the removal order stands and the content must be permanently removed.
  • Obligation to report: If issued with a removal order, the host must report on proactive measures taken to address terrorist content online three months after receiving the removal order.

I am missing any level of accountability, too much ambiguity. So from my point of view, anyone abusing the ‘terrorist content’ for mere filtering and censoring on behalf of anyone else needs to be held criminally liable. I reckon that after 2-3 cases there will be suddenly a large need for postponed trials.

When we investigate the member states part in all this, we see no fine for the state when wrongful removal was done, we see a pressure on removing (or else), yet there is a shallow point when it comes the other way around. In addition, we see “coordinate with other Member States and Europol to ensure that evidence of online terrorist content is flagged, and that duplication and interference in national investigations is avoided“, yet there is no registration on who ordered the removal, also, there is no registration per removal id and in that stage set penalties for those having set the stage for recurring unjustified removals giving ample voice to the earlier: “not a hint of accountability“, if this is about terrorist content, is that part not equally important?

I am all for getting all terrorist content removed, yet the systems cannot get it all, that is too unrealistic and pushing a one hour timestamp whilst the other side has no accountability at all is just a discriminating joke in the making. It is also still interesting to see that they claim to fight terrorism and terrorist online activities, whilst Iran state sponsor of terrorism in still a welcome debate and trade partner in the EU. In addition, the entire matter of Iranian diplomat Asadollah Assadi and terrorist was given light a week before the EU approved plans for the European Investment Bank to do business with Iran. So you want to stop social media, whilst still doing business with these people? How unacceptable is that part in all this? If the EU cannot clean its stables, it has no business enforcing anything on social media that is how I personally see it. Yes, we can agree that terrorist content must be removed ASAP, yet what is that? One hour? 24 Hours? 72 hours? The fact that the EU does business as usual with a terrorist funding government implies that they are clueless on several grounds and the fact that we see an increasing amount of evidence growing on the matter of Iranian Missiles fired into Saudi Arabia is further evidence still that the EU is merely the pot calling the kettle black. It is in that setting that we should conclude that they have no business ‘fine giving’ any social media, especially in light of such a massive funding failure.

You see, what angers me so is the mere filtering of politicians and that needs to stop too! In this I present two elements. The first part comes from Bloomberg last year. We are given (at https://www.bloomberg.com/news/articles/2017-11-29/facebook-says-99-of-is-al-qaeda-content-spotted-by-ai) where we are treated to: “Today, 99 percent of Islamic State and Al Qaeda-related content Facebook removes is detected by the company’s AI before any user flags it, Monika Bickert, Facebook’s head of global policy management, and Brian Fishman, head of counter-terrorism policy, said Wednesday. They said in some cases the software was able to block the content from ever being posted in the first place“. Yet the other part that the Guardian gives us is: “We have got a problem with content; it is not an entirely new problem, we are not starting from scratch, we have agreed to do some voluntary stuff, and we got some good progress – but not enough“. Now we get to the good part, what EXACTLY is ‘not enough’? From my point of view Either Bloomberg lied to us, or Julian King is what some might consider as: ‘an unacceptable piece of trash’. If he wants 100%, he better give us clearly add a few elements of EC accountability and holding them criminally liable when they abuse their power. Also is any abuse of that ‘filtering content’ is found, he is to be dishonourably discharged and shamed in the entire EU, with a clear banning from ALL official positions in the EU and the Commonwealth.

Why the overreaction?

We have been fed two versions again and again and we see a lack of accountability on the EU side too often; for example the elitist banking group of 30 with Mario Draghi as a member. When the Financial Times gave us: “the close links between central bankers and the private sector have aroused public suspicion since the global financial crisis triggered a series of bank bailouts” we see suspected levels of nepotism that raises more issues than 50 successful Islamic State attacks. The article (at https://www.ft.com/content/dc64b6e2-8060-11e8-bc55-50daf11b720d) also gives us “The Ombudsman has also attacked the ECB’s argument that it was standard practice for top central bankers to join the club. The central bank chiefs of Germany, France, Italy, Spain, Poland, India, Brazil, Russia, Canada, and Australia are not members and Janet Yellen suspended her membership during her time at the helm of the US Federal Reserve”, showing that the European Commission has a truckload of issues, it is my personal view that it has no business acting in the way it does.

Yet, defence of the actions instigated by Julian King can be seen in Forbes. The article (at https://www.forbes.com/sites/kalevleetaru/2018/05/15/the-problem-with-using-ai-to-fight-terrorism-on-social-media), an Article from last May gives us: “the general public would be forgiven for believing that Facebook’s algorithms are vastly more effective. The New York Times summarized the statement above as “Facebook’s A.I. found 99.5 percent of terrorist content on the site, leading to the removal of roughly 1.9 million pieces of content in the first quarter,” while the BBC offered “the firm said its tools spotted 99.5% of detected propaganda posted in support of Islamic State, Al-Qaeda and other affiliated groups, leaving only 0.5% to the public.” In fact, this is not at all what the company has claimed. When asked about similar previous media characterizations of its counter-terrorism efforts, a company spokesperson clarified that such statements are incorrect, that the 99% figure refers exclusively to the percent of terrorist content deleted by the company that had been flagged by AI.

This could be easily tested and as such I decided to do so and with ‘ISIS images’ I got hundreds and hundreds of images, videos and other matters in my browser and I got even more with the search term ‘Jihad Islamic state’. The video (at https://www.youtube.com/watch?v=jzCAPJDAnQA) shows actions of Islamic State, with sounds, vision and comments. It is News from Vice News, a video from 2014, still online today. At some point you need to as just how ludicrous and useless actions are. We get it that there are actions, we see that numbers become debatable. Yet in all this the mere reported numbers are already an issue, and if I added Vice News articles to me Facebook news feed, would that constitute ‘Terrorist Content’? This small part alone shows us that this is about something else and as such we better take a real hard look at the Actions of the EC, demanding that the censoring side should be held equally liable and prosecutable for their overreaction and inaction. Yet that is never ever going to happen, is it? This is making the EC actions (in my personal opinion) a lot more questionable in all this. It was the overreaction and the emphasis of ‘One Hour’ that set the tone of mistrust, I wonder what else we will see over the coming week.

 

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A new danger

There is a setting of dangers, the dangers are not merely setting, and for the US it is inequal discussion on how many allies they have left in the near future. It is not a new danger; the actions have been under scrutiny for some time. Yet last night something changed. We understand that electing the 45th president, a ‘former’ greed driven billionaire would always have consequences, yet the amount of consequences shown is now escalating.

The Washington Post gave uis 90 minutes ago ‘GOP fundraiser Broidy under investigation for alleged effort to sell government influence, people familiar with probe say‘, the article (at https://www.washingtonpost.com/politics/gop-fundraiser-broidy-under-investigation-for-alleged-effort-to-sell-government-influence-people-familiar-with-probe-say/2018/08/17/c9e55792-a185-11e8-8e87-c869fe70a721_story.html?utm_term=.774c7a3358da) a different setting. We always knew that there are two sides and the ‘less progressive’ republican side was always a little of a hot potato to some. Yet with “The Justice Department is investigating whether longtime Republican fundraiser Elliott Broidy sought to sell his influence with the Trump administration by offering to deliver U.S. government actions for foreign officials in exchange for tens of millions of dollars“, that hot potato has now turned into a handgranate. With the quote “As part of their efforts, prosecutors have subpoenaed casino magnate Steve Wynn, the former RNC finance chairman and longtime Trump friend, for copies of records and communications related to Broidy” we see that there is a much larger net being used. It is not merely about Broidy, with names like Steve Wynn we see that there are several names involved, all people with almost direct access to the President of the United States, and with names like Jho Low and Guo Wengui we see another side of ‘entrepreneurship’ hitting the limelight.

Yet how real is the setting?

Part of it is seen in the Wall Street Journal, and with “through June and into July, Mr. Low had been living freely in China, a person aware of his travels said”, as well as “Mr. Low had a close relationship with former Malaysian Prime Minister Najib Razak, who in turn was courted by China. Malaysia’s new government suspects Mr. Low helped arrange infrastructure projects, financed by China, from which funds were diverted to cover debts”, the second part now giving us that America as well as other players wanted access to Mr. Low, yet that in itself is not evidence against Elliott Broidy. What it does tell us that multiple players want access to this billionaire, all for their own reasons and with the US with a debt surpassing 21 trillion, we can only wonder what some people want Mr. Low for. The additional part is that Malaysia is now pulling all the plugs. This is seen as Channel NewsAsia is reprting that “The Bombardier Global 5000 aircraft, estimated to cost US$35 million was allegedly bought with money belonging to 1Malaysia Development Berhad (1MDB)” (at https://www.channelnewsasia.com/news/asia/malaysia-to-prove-jho-low-private-jet-bought-stolen-money-1mdb-10621726). It seems so flaky and weird to merely focus on one plane. The amounts are massively larger then the $35 million, so in that case, if that evidence falls over, will the case on that side against Jho Low collapse? When we look in that direction and look at Malaysian Prime Minister Mahathir Mohamad, we see that hsi platform is set upon anti-Chinese activities and when we see the accusation “critic on Chinese ventures in his home country for being too expensive and has suspended three China-backed projects worth around $22 billion that were signed under the previous administration”, we see that there might be  case in that part, yet why focus on $35 million in a $22,000 million setting? We also see an additional stage in “Explaining his decision at a news conference last month, the veteran politician said the contract and loan terms behind the deals were unfair, noting that the interest rates on China’s loans were much higher than the 3 percent figure at which the government normally borrowed, the Associate Press reported“, is this all about the money, or merely a way to set the stage for re-negotiation. In that setting, the sound strategy becomes that Elliott Broidy was setting the stage for the United States to poach the finance deals away from China and in that setting, getting Jho Low to give the goods would help the US pretty decent. In addition, when we look at the education of Jho Low, we see that he is an alumni of the Wharton School of the University of Pennsylvania, the same school that has President Trump, as well as the bulk of CEO’s that at one stage were the captains of the Fortune 500 lists, it includes dozens of airline CEO’s, so in that setting the Malaysian government goes looking for a $35 million plane?

So what is exactly the danger?

It is not on merely the setting of Elliott Broidy in all this, it is the setting where we all need to realise that there is a cost to doing business and it has transgressed borders for the longest of times that, whilst we accepted that in Europe to some degree, Americans never accepted or comprehended that. The media players used that part in all kinds of election setting and fear mongering for the longest of times. From my point of view (optionally a wrong one), we see how people like John Brennan is a danger to that setting. People dedicated to the protection of that their nation will not accept the global cost of doing business; they are in line with monarchists and devoted workers to their nations like we see in the Netherlands, the United Kingdom, Sweden, Denmark, as well as Canada. In republics, republicans are in a setting that this time is gone; it is the age of the corporate setting of common sense towards pragmatism. The problem as I see it is that those of no use to the needs of such a republic lose value overnight, that whilst the monarchist setting is to embrace all the citizens and protect them all. It is done at a cost, one that those people tend to accept. Yet in the republican view, these costs are counterproductive to corporate profit, the non-consumers are a cancer, needed to be cut out. When globalisation sets in to the business degree that will be a lot easier and that is where we see the stage. So when we see “In the 48 hours since President Trump revoked the security clearance of former CIA director John Brennan, over 70 former intelligence officers and leaders have come forward denouncing the president’s decision to revoke or threaten to take away security clearances from former government officials, including a list of 60 former CIA officers who signed a statement today, obtained by Axios“, we also see that America (or is that Wall Street) are confronted with a change no one was ready for, so the economy becomes a stagnant danger to them, one where they do not make profit.

When we see names like:

  • Jeremy Bash, former CIA and DoD chief of staff
  • Bob Flores, former CIA chief technology officer
  • Kent Harrington, former national intelligence officer for East Asia and CIA director of public affairs
  • George Little, former chief spokesman, CIA and DoD
  • Phillip Mudd, former CIA analyst
  • John Nixon, former CIA analyst
  • Greg Vogel, former CIA deputy director for operations

We see that the USA is in an upcoming setting of polarisation and that is just within the republican side of government and its administration. There is a change coming and the outcome is hoped for (on both sides) but the outcry gives us that this is a round that Wall Street is likely to lose this battle and that changes the game. In addition, when we see the required application of intelligence data and who gets access to it sets a new border, the fact that others (like France and UK) need to realise that shared intelligence data is no longer safe, because the data shared within corporations while used to set a very different stage of what is regarded as needed for security. The corporate side is already countering the advantage that a national intelligence system has. We see this in part when we look at Business Wire (at https://www.businesswire.com/news/home/20180806005526/en/Global-Database-Valuable-Italian-Business-Intelligence-Data), where we see ‘Global Database Makes Valuable Italian Business Intelligence Data Available – Completely Free‘, before you dismiss this, also consider that “Any registered user can now access key information about 7,564.575 registered companies in Italy“, registration is free and that is merely one of close to a dozen places where this is happening. All connected, it is an optional setting of open source intelligence that is merely a foundation pillar. You merely have to add LinkedIn and Facebook to have a dataset that will allow you to extrapolate data that will make plenty of intelligence groups envious. You see, this is not about finding the criminal, or the terrorist. They are either known or not an issue. This is the setting of finding economic opportunities, the setting to see who is connected and interacting with the alumni of places like the Wharton School of the University of Pennsylvania. A group of people with connection and access to funds totaling well over 157 trillion Euro, so whilst we wonder on the fear of where is the terrorist (whilst the danger of getting run over in the street is 20 times more likely, we forgot that our futures, any future is set in the stage where there is economic viability and availability.

That is the part that we see to forget, or even worse actively avoid contemplating. In the time when we are led to believe that there is economic upturn everywhere, we seem to forget that as the river of economy changes, we will either be in a place of plenty, or we are set into the next stage of drought and it will be the one view we have until the end of our lives. It is about ability to live with a level of expected comfort which is likely no longer set to national boundaries, it will be set to the boundary of the corporation or business group that we work for and facilitate for, it will be as cold as that, and until we get past this greying generation, which is optional until 2035, that is how it will be for those in this era. The man behind the Global Database, namely Nicolae Buldumac has figured parts of that out, so that is why he and 30 others in London are doing this. When we look at the article (at https://medium.com/@buldumak/cookie-audience-vs-data-audience-which-is-better-44971ad12ee4), we also see ‘Cookie Audience Vs Data Audience: Which is Better?‘, he found a way to not create the best of both worlds, he found out how he can make both work for him and that is where he created more than economic opportunity. He has found the stage where he can optionally get the facilitators work for him and that seems to be exactly what he is doing. When he is done he will have a similar setting for France, Germany, the UK and Spain. So basically the 5 largest European economies are opportunities where he has the keys and data to.

So when we get to look at the US again, do you think that this will be about Elliott Broidy or people like him in an outdated setting? No, they are the garnishing of economic times that surpassed them and it is the data makers and facilitators like Nicolae Buldumac where the republican mindset of corporations will rely on next, they are the future and their path for enablement is what sets the stage for Europe. This is not clever technology (well in a way it is), it is about the quality of data and what it allows for and that is where we see that the moment that data hits a critical point, it will equal the value of Facebook or more. Some will argue that most of that is all in any Chamber of Commerce and they would be right, but those entities do not talk to each other, they are founded on borders of a national level or lower and in the entire euro setting they for the most never aligned, so someone did it for them and on their own dime, optionally replacing them, or better stated, reducing those previous players to mere data entry points. Governments had to realign their data dimensionality a decade ago, but everyone was so busy keeping their own pond clean that they forgot that the pond is only important to the land surrounding it, when that floods, the ponds become merely crevices of a lake, Lake Europa, that is where Nicolae Buldumac it taking them, so soon others (like Asia and America) they will look at the parts of Lake Europa and see where fishing is the best, those land borders no longer matter and that is the stage we find ourselves in. A changing setting of what sets the identity.

Am I the first?

Hell no! This was all done before. Forbes in 2013 gave us an article by George Bradt. The article called ‘How Army Intelligence Techniques Apply to Business Leads‘. Here we see “Marketing may have a bias to giving sales people a large number of leads, while sales people seek potential customers they can engage with. The answer is to move from big, unstructured data sets to “finding that guy” that really cares. This was Mishor’s ah-ha moment, realizing that army intelligence techniques could be applied to business“, yet it goes further, when you consider one, and the other, you should also realise that the parameters are bidirectional with the proper data flags. So when we see the two streams lead to the same insight. “On the one hand, Mishor is creating value with a systemic, scalable way to connect seemingly unconnected data to identify the most valuable target customers. On the other hand, Mishor built his business by connecting seemingly unconnected hopes and needs of his prospects” we see the solution at both ends, and in addition we see that we can define the need much more precise. From my point of view we can see a third direction. That part is not easily seen, so I will give an alternative example.

In factor analyses we go from many to one. We get the setting that the numbers equate to a factor, it is basic statistics. When we go into the other direction we see the foundation of a discriminant analyses. The third part is seen in that the data setting when something is proven in a factor analyses, it should almost always fail as a discriminant analyses and vice versa. I tend to use humour on that and state ‘It is sarcasm, when it backfires it is merely irony‘. The intelligence data was always on finding the person, yet in a stage of lacking resources, being able to safely remove a person as a threat is equally valuable. If you cannot find that one person, reducing the 5,000,000 stack to a mere 5,000 with 99% certainty is just as valuable, because the one final link could reduce that to 50 whilst not having to revisit the previous 4,995,000 considerations. As I see it in this day and age, not only is the stage of military intelligence and business intelligence not mutually exclusive, they are more and more overlapping. The overlapping field becomes an insightful pool of data where it will no longer be about the one person, it will be more and more about a setting where the value of Analysis of covariance will be important.

In the intelligence it could be seen that it is not merely about the terrorist and its connections. It will be about the moneyman and who else links, both optionally to the mastermind. In business intelligence that setting is not merely see as to where a person studied. It is more and more important on where the patents are and who has them as well as the people creating those patents. In this economy the economic value of a patent over overwhelmingly important. That part is seen when we get back to the 5G race, we saw that last march when we were confronted with “U.S. President Donald Trump has blocked microchip maker Broadcom Ltd’s (AVGO.O) $117 billion takeover of rival Qualcomm (QCOM.O) amid concerns that it would give China the upper hand in the next generation of mobile communications, or 5G“, in addition Forbes gives us within the article ‘Ericsson Vs Huawei: Who’s Winning The 5G Race?‘ Yet there we see two parts. The first is “However, two of particularly significant scale and market presence are Ericsson and Huawei. Will one conquer overall?“, as well as “Financial strength matters. Ericsson will have to turn the ship towards profitability and growth waters, in order to continue the required investment in product development”, which relies on “Ericsson recently announced what seems on the surface to be an impressive 5G patent application. Calling it an “end-to-end” submission, the filing combines the work of 130 Ericsson inventors and promises to include everything needed to build a complete 5G network“, the ability to set 600 million will give the optional 60 billion in return and it will in addition set the stage for European growth to a recently unprecedented (or was that non-presidential?) scale and America wants slices of that pie, if not the whole pie. The stage of corporate setting versus national setting in direct exposure of what is to come and the 5G battle theatre will be a big one, because the winners there will be the next kingmakers and everyone will want parts of it; that was never in doubt. The evidence is all over the place.

Forbes also gives us the new danger setting with the question ‘Does a global geographic footprint matter?‘ It is close to everything in this game, if only that the global footprint lets corporations walk all over government. Amazon, Apple, IBM and Microsoft have been doing that for the longest of times.

There is one part with Forbes that I do not agree with. They state “I would give Ericsson the edge here, considering its global presence includes North America“, I believe that Europe is the much larger powerhouse. You see, America is a mere 325 million, whilst the EU represents 512 million with direct access to India, China and Russia. All stages that America denied itself; if the setting of data (amounts and quality) determines their value; which players and where would they be able to grow this path the fastest and longer? The fact that Ericsson is not merely in the US, but they are showboating in Saudi Arabia is also a sign that they realise that stronger growth everywhere matters, the presented quote “Saudi telecom operator Mobily and Ericsson held a 5G demo at the Mall of Arabia in Jeddah, Saudi Arabia, showcasing the functionalities of the next-generation mobile technology. Ericsson supplied Mobily with a standalone 5G system, including a prototype 3.5GHz radio, baseband, and prototype UE device for the 5G demo, which showcased 5G throughput, targeting speeds of up to 1Gbps. The demo is part of Mobily’s plan to highlight expected 5G benefits consumers and industries across Saudi Arabia“, is merely one of many.

The question now becomes: ‘is exponential growth, growing too fast in all directions not a danger all on itself?’

 

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Cheese Pizza with Oregano

I love Pizza, I hardly ever get it, merely because the people here tend to rely on Domino’s and Pizza Hut and neither tends to be a true pizza (as I personally see it). As I walked through Sydney over the last week, it dawned on me just the massive lack of actual decent Pizza places in Sydney. It is almost like they are no longer in a sustainable environment. People got used to the cheap solutions two chains bring and they call it Pizza. All the people in the neighbourhood accepted it as the real deal and now, we forgot what true awesome Pizza is like. Now, I am a little off the wall here. I love my Cheese Pizza, with the 5 cheeses and loads of Oregano on top. So when I think Pizza, I always think of the Bravo Trattoria Pizza’s at Crow’s Nest, they are my favourite! Yet, is it about pizza, or the place, or what Pizza actually is? You see, it does matter when we consider the Financial Review (at https://www.afr.com/personal-finance/italys-debt-barely-sustainable-ubs-chief-economist-20180601-h10uun), we see here what I said weeks ago and last week to some degree. When we see “Italy’s debt-to-GDP ratio of 130 per cent is “borderline sustainable”, the UBS top economist says. There is a level of the primary budget surplus which keeps debt stable, and above which you can begin to pay down your obligations, Kapteyn explains. For Italy this figure is a surplus of 1.3 per cent of GDP, versus the actual surplus of 2 per cent. It’s a skinny buffer of around 0.8 percentage points which at current debt levels “doesn’t inspire confidence”, Kapteyn says“. That is merely the tip of the iceberg. The issue is not that it is Italy, it matters more that it is one of the big four. UK, France, Germany and Italy are the large economic suppliers of a 27 nation bloc where they basically represent well over 50% of the EU economy, the fact that they all are in deep debt does not help and the fact that the UK is getting out, or is that ‘was trying to get out‘? So when we see add the issues of the UK and now we see how the Italian issues are growing and France is not far behind. A 27 nation failure due to the inability to set proper budgets, deal with debt levels and add to that a failed economy jump start that is now close to 3 trillion Euro printed with no real prospects to pay for any of it. That revelation is why Italy seems to be vacating the union. The action by President Sergio Mattarella by rejecting the Eurosceptic finance minister and put in his place Giovanni Tria a pro-EU professor. This is perhaps the first setting where we see that voting is no longer an issue for any government, the holier than thou setting of protecting the Euro and the EU against all odds, whilst those in the EU commissions are massively overpaid is setting the foundation of a dangerous mindset. The issue that the AFR is bringing to light is “markets are not pricing in the risk of an Italian exit, they are repricing the risk of a Italian default“. I always rated the Iexit (aka iLeave) setting very low, the two populist parties in charge was not that realistic in 2016 and when Marine Le Pen was ‘surpassed’ by a former investment funds manager we were all wondering what would come next and I thought it would lower the chances of the populists in Italy. And the news is not getting any better. We see that with “The European economy hit a wall over the final months of last year, with growth dropping from a quarterly growth rate of 0.7 per cent to more like 0.4 per cent. Economists are unclear of the reasons for the slowdown, but broadly believed the European economy would quickly rebound“, the issue I personally see is ‘broadly believed the European economy would quickly rebound‘, not the slowdown. You see there is no evidence that there is an actual quick rebound. There is every chance that there will be a rebound, but it will not be quick. The fact that these so called experts are all thumbs when it comes to their forecasting and with 0.3% unaccounted for, we can see that they are in the dark or playing the bad news cycle. I personally believe it to be the second one. And the Italian issues are increasing. Not merely the debt settings, it is a changed political landscape. Even as Paolo Savona was replaced by Giovanni Tria, there is still “Mr Di Maio will be vice-premier and minister for labour and economic development, including trade policy. Matteo Salvini, head of the League, will also be vice-premier and interior minister in charge of immigration“. This we got from the Financial Times (at https://www.ft.com/content/79cf905c-64a8-11e8-90c2-9563a0613e56). This duo is going to be a lot more important than even I initially thought. They now have a handle on labour economic development and immigration will see larger changes. There is no way to predict whether that is good or bad. If we listen to people like George Soros we are instantly rejecting liberalism, because it is easy to be a liberalist when you are a multi billionaire, yet he had no issues to short sell US$10 billion worth of Pound sterling, earning a billion in the process during the 1992 Black Wednesday UK currency crisis. He did nothing wrong, he played the system when he could and make a billion. Things like that never go away and he must regard the EU zone as a very profitable short sell opportunity, which makes whatever he is trying to do dangerous, so in that light all his settings for “Best for Britain pushes for second referendum on Theresa May’s deal with EU“, a cause he is backing is very dangerous. In this by pushing the UK away from Brexit, the pressure on Italy decreases. The dangers become that irresponsible spending in the big four can go on for several more years and there is no way to control the ECB and their puppet masters. Unelected people deciding on the descent of financial futures in 27 nations that is how I personally see it. You can agree or disagree, yet ask yourself when was the last time that any European got a decent explanation on who of how the 3 trillion euro spend was going to be dealt with? You see over a decade in an economic setting that is close to the late 90’s, whilst keeping strict austerity in play all over Europe. There is quite literally no way that this will happen, because politicians will adjust their policy towards any speculative proclaimer of ‘the European economy would quickly rebound‘ economists, whilst not prosecuting them when they get it wrong (merely because making any claim of expectation is not a crime, is it?). A setting that the people have no chance of winning, hell, they won’t ever be able to break even on this. This shows that Brexit will be a hard, but the better way to go. When billionaires start proclaiming how bad it is and how ‘we all’ can get a better deal that is when you become afraid for your life and that is what is at stake. And we see this in the Australian Financial Review with ““creeping into the market”, Kapteyn says – “a potentially dangerous one”. After the glory days of 2017 in which investors basked in a globally synchronised upswing, markets are now faced with the potential return of the two-speed world economy: the US vs the rest“, so when we get “America’s economy is growing around 3.5 per cent; some independent analysts estimate growth as fast as 4 per cent. Europe is “at best” growing by 2 per cent“, that shows the dangers, because as George Soros is getting the winnings, the other players do not, from my point of view it is a form of leeching, leeching Europe dry for the term of a generation or better. You see again it is a personal view, it is why Best for Britain is getting the support, it is about delaying Brexit at the very least for as long as possible, merely because it stops the game people like George Soros are likely to be playing and when that stops Europe can start bringing things about, hopefully for the better, especially as the ECB will be forced to print money for all kinds of dubious reasons, dubious because kick-starting the economy after you printed 3 trillion to try it twice is just ridiculous, that money has to be paid back at some point and everyone is in denial about the latter part.

Yet this is still about Italy, not the UK. You see, Italians want what is best for Italy and I am fine with that, I believe in a healthy sense of national pride. Yet with “Italy’s debt-to-GDP ratio of 130 per cent is ‘borderline sustainable’” they are facing an ugly truth, Italy needs to face 5-15 years of Austerity, yet with the ECB trying to economically equalise Europe, at the cost of the big four, so it amounts to Italy trying on top of an economy for 60 million Italians, whilst they are weighted with invoices for close to 250 million Europeans who can’t be bothered to get their house in order. it amounts to giving an addicted gambler $500 whilst they are only allowed to use $10 for gambling, you tell me how long it takes for things to go really wrong, and that is pretty much a given on this situation. It was seen in the Netherlands 2012 and 2013, and now we see, when we look at the Dutch government statements with in September 2017 we see “The economy will grow by 3.3% in 2017 and a projected 2.5% in 2018“, we see the EU commission giving the Netherlands a ‘mere’ 3.2% last month for that same timespan. Now the 0.1% is actually pretty good, but it is still dangerous when it is a 0.1% in Italy, the issue is seen when we see that the Netherlands has a 65% debt level against Italy at 130% of GDP, and the Dutch are actually in a much better position, so the 0.1% is no actual pain level. Portugal, Spain, Greece, Belgium and Italy all have debt levels well over 100% of GDP, several other nations are somewhere between 60% and 80% of GDP, whilst France is at 99.8%. It is the debt levels that are excellent for banks and not so good for the people. You see, when the big four are required to pay €254 billion in interest each year and that is just the large 4, how do you think that this gets paid for? A decade of inability to set a proper budget and all this is before we consider the €3,000 billion that the ECB printed for what they call Quantative Easing. That is what Italy needs to get away from and at 135% they have the hardest job of all. So when you see that all that money goes all to the banks, short sold loans that they never had the money for to pay for can you see just how dangerous the George Soros setting is in all this? It all impacts Italy to some degree. These are not merely the facts; there is also presentation, representation and misrepresentation. The issue is in the Australian Review, it is the view of Arend Kapteyn. Yet where is he at when he gives us “We are only now at the beginning to find out how responsible or irresponsible [the new coalition government] are going to be on the fiscal side“, you see, the setting then becomes what is irresponsible? Being not pro Eurozone, being forced to default whilst the alternatives are just too unacceptable for the Italian people? So is he the pro greed setting, or the pro solution setting, because with such debt levels we can almost unanimously accept that these two choices are mutually exclusive. The most interesting political part is that Enzo Moavero Milanesi is now Minister of Foreign Affairs. I would have thought that the populists wanted that part for themselves, the fact that this post is now with an Italian independent is an interesting choice, if the populists can work with this setting and use it to maximise their economy by setting new option and opportunities, Italy gets an optional path where minimised immigration and maximised economy could have a setting where the Italian unemployment rates could fall to a number below 10% over the next 24 months (highly speculative on my side). If they pull that off, the entire euro sceptic setting could grow a lot faster than would have been possible with Paolo Savona in the mix.

No matter how you slice the Pizza, the factual and actual quality Italian dish is under massive amounts of pressure on several sides and any Italian thinking that their life will get better in the short run is just gobbling down a [Unnamed Franchise] Pizza, bland food that look like a UFO and tastes not as great. The fact is that like Germany did earlier this decade, Italy will know 5-10 years of hardship, yet when persevered Italy could have an actual growing economy for a much longer time, something to look forward to (if you are Italian). Can this government pull it off? That is hard to say because it has been shown that the actions of the ECB are close to non-stoppable and that will still impacts the bottom line. It is good for America and George Soros in the short term, yet after that they will not care and Europe will not be going anywhere ever soon. That danger is just ignored all over the place. Just 2 days ago the Financial Times also gave us “There are still two weeks to go before Riga, but naming an end date for QE right now would be like the ECB shooting itself in the Italian boot,” said Carsten Brzeski, economist at ING-DiBa. “The Italian situation has tilted the balance towards the doves [and] clearly calls for the ECB to keep its options open and even to make clear that they will extend QE at least until December” (at https://www.ft.com/content/dd6b5d70-6413-11e8-90c2-9563a0613e56), which is already an extension of well over a year. so when we see “The ECB has pledged to reinvest an average of €15bn a month over the first four months of next year, using the proceeds of government bonds bought under QE that have now matured” in that same article, we need to consider ‘bonds that have now matured‘, so that danger is seen in the Spanish setting where we see from some sources: “Spain will have refinancing requirements that exceed €300 billion per annum before 2022. In 2018, 41.2 billion euro, in 2019, 82.4, in 2020 83.9 and in 2021 58.5 billion euro, with 60.4 billion maturing in 2022“, so this fiscal year Spain will be required to find €41 billion, or increase taxes or cut services, and it will be twice that amount next year around, so how exactly is Spain in a setting to get the economy back whilst the debts are rising beyond normal control? Italy faces “84 billion euro maturities in 2018, 161 billion in 2019, 164 billion in 2020 and 172.5 billion euro in 2021” do the Italian people know that they are in such deep and hot waters? I wonder, and when they get confronted with that part of the bad news cycle, what will the previous and opposition then proclaim? I wonder if we will see true honest coverage on that blame game. I will order a decent Pizza to watch that unfold, because there are merely the two larger players in the EU-debt zone bloc confronted with the hardships that will hit them hard. Pushing these debts forward is just not a workable solution, not when the debt exceeded 130% of GDP, if you doubt my words, just talk to the average Greek in Athens and ask him how his quality of life is nowadays.

So as you wanted that your slice of life included a slice of pizza, consider the 99% in Italy who soon face the reality that they are no longer able to afford that for a long time to come.

 

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Business will be booming

There are all kinds of settings in the tech industry, some we like and some we like a lot less. It is the most visible in the mobile industry, the clear discriminatory setting there is almost unheard of. No matter what the reason is, a person for the most is iOS (Apple) minded, or they tend to go the way of the Android (Google, Huawei et al). There is for the most no in-between there. The reasons are as wide as the drops of water in a lake on a rainy day and for some these reasons make sense, or they do not. Yet we all tend to have them. I have been and remain an Android follower. I have nothing against apple. The initial setting was done by their marketing departments. Where Apple gave us: ‘You can do all these things and it is a phone too‘ and Android gave us: ‘This phone can do all kinds of things, some you will not have believed was even possible‘. I went the way of Android. You see, they are stating the same thing, yet Android focussed on a phone that can do other things. Apple went towards the things they could do, including being a phone. So from my point of view, I needed a phone, so I went the non-iOS way.

I know that in the end the difference is negligible, but it did matter. So it is a little over three years when I got myself (because it was a bargain) the Huawei P7. The difference from the previous phone (Motorola) was so distinct I became a Huawei fan overnight. Now that it is time to put that phone to bed and switch it off for the last time, I find myself clinging onto the idea that I need a new Huawei. Let me be clear, apart from my distinct non liking Samsung (a past issue I had with them), I do think that the other brands are decent too. Yet, when you have the option for a Google Pixel 2 XL, or a Huawei P20 close to $500 cheaper, what will you choose? Let’s also consider that the difference is almost nil, well it is not nil but the real differences do not stand out too much, not worth $500 as I see it. For me, if I get that phone, it will be a 300% improvement of what I have now and I am not dissatisfied with what I have, it merely has been acting up and after 3 years of working 24:7, that makes perfect sense. The little workhorse has earned its retirement. So when I started to look around, and I took a new look at the P20 and P20 pro, which is a $300 difference, I wondered why I would want the P20 pro for the usage I have. I have been able to do everything I needed with 2 GB RAM, so the 4 GB and  6GB RAM issue is not one I need to worry about. Both come with 128 GB storage, which is 800% more than I have now and even as I ran out of storage merely once, it did not worry me to any degree. The camera options are not the same, yet the PRO has an additional 40 MP camera option, which is slightly over the top need for someone who uses an EOS 1 Camera. The only issue is the battery, it is 3400 mAh versus 4000 mAh and I am not sure that this constitutes the value of $300 difference, not on my budget. More important, the P20 holds its own against the $1500 phones out there and when you consider the fact that it is 30% cheaper, what would you choose? This constitutes a difference that is well over a week’s rent for some people, so there is that to consider as well.

Yet, it is not about that part, it is that Huawei has seen the light of opportunity in both Saudi Arabia and Egypt, so when we see (at https://www.albawaba.com/business/pr/huawei-announces-%E2%80%98vip%E2%80%99-service-p20-pro-saudi-arabia-1135384), the fact that branding is getting momentum in the Middle East with their Huawei Consumer Business Group and their “a ‘VIP’ service for its customers in Saudi Arabia through its authorized service centres for any customer buys Huawei P20 Pro with Huawei KSA warranty”. Some call it marketing, which in all fairness it actually is, yet with 95 million people in Egypt and 33 million in the KSA, the market could be booming for Huawei, even as an Apple store is coming in 2019, the Apple SA store is pointing towards “Apple-designed outlets located within selected Apple resellers and other retail shops. Many are staffed with Apple-trained experts who can help you to find the right solution for you“, which is a perfectly valid and acceptable text. Yet, when you can consider an ‘outlet’ versus “Huawei has announced “Huawei Flex” which is a free drop off service in which customer can drop his device for service in more than 300 locations across kingdom for Huawei device under Saudi Arabia warranty to be send for Huawei Authorized service centre for warranty repair and return“, we see that Huawei is on the ball (I am not saying that Apple is not), but the service minded sales pitch is clearly there and as we see: “Pablo Ning, President of Huawei Consumer Business Group Saudi Arabia said: “The Kingdom is a strategic market for us, and this announcement reflects our commitment to doing business in the region. It is our effort to always cater to the specific needs of the markets we operate in. Recognising the needs of our loyal customers in the Kingdom, we are very pleased to announce these services and we are looking forward to announcing many more unique offers for them in the future”“, we see that even as we realise that too is a marketing setting, it also states that Huawei means business. With a chunk of a 125 million customer base, these two alone could drive sales even further in the Middle Eastern nations; in addition, the Huawei centre is rumoured to be coming to Neom, which could drive the brand even further. Even Forbes was recognising the growth Huawei had in 2017, even though we do take notice of the fact that anti-Chinese sentiments in the US barred the phone from the US markets, we need to realise that the planet is a lot bigger than the 325 million in the US. Also consider the fact that Huawei does a lot more than merely smartphones and the opening of the market that is a third of the US population matters, in addition the 740 million Europeans are now more than ever looking for a good deal. So the group of people who have the cash to go all out and get a phone $500 more expensive is shrinking fast. Yet Huawei is not out of the woods there either. It is up against Samsung and Samsung is doing a good job of gaining ground. In there we see that Apple is losing their footing, losing sales share in the UK, France and Spain. So even as some had growth, iOS was merely growing at 0.1%, against Android 2.8%, that is a massive difference, and Huawei is tinkering very effectively on these two markets. Although, I have to admit (speculatively) that the largest growth was due to the release of the Google Pixel family. Still Huawei remains in the fight of growth and its setting in the Middle East is as assertive as it gets. I reckon that if Pablo Ning pulls it off, he might be looking forward to his new apartment overlooking Chaoyang Park in Beijing. It is that extreme because the market share that Huawei has to grow is pretty astounding. You see, not everyone is looking towards the coolest marketed phone that most cannot normally afford, in the Middle East revenue is often set towards pragmatism and that is a setting that Marketing on a global basis tends to be unfocussed on. It is in this setting that mobile phones will gain traction in sales. So when we consider the progress that Huawei is making towards growth by going via the support and customer care path, or as Pablo Ning phrases it “the needs of our loyal customers in the Kingdom“, we see not some message on selling a phone like ‘iPhone X, Say hello to the future‘ with after that ‘Sales, Apple Authorized Resellers‘ or ‘Sales, Apple Authorized Resellers‘ but with ““Huawei Flex” which is a free drop off service in which customer can drop his device for service in more than 300 locations across kingdom for Huawei device under Saudi Arabia warranty to be send for Huawei Authorized service centre for warranty repair and return“, we see that Huawei means business. It is not about the initial sale, it is putting to bed any worry the consumer has afterwards and the Huawei version sells much stronger than the other messages and that is how commercial traction leaps forward making it market share gain. The lower sales threshold only speeds it up. In that we see that “aiming of strengthening its business base, its operations and customer service in the Kingdom“, is not just vital for growth of Huawei, the commitment of 5G in Saudi Arabia as it is at present, will only fuel the need for the Huawei smartphone (and smart phones in general); with its upcoming Huawei Mate 30 (Q3 2019) Huawei could give a further boost, as those buying today would be ready for a new phone just as the Mate 30 will be released and it will drive it a lot faster if it is both 4G and 5G enabled (which is not officially confirmed), so as Apple and others are looking to open a shop at that point, we will see that if (consider that it is an ‘if) Huawei kept its services and exceeded the expectations of the consumer, they will have a much larger advantage and as such Google might profit with their own Android phones on the coattails of Huawei. This is shown in another way too. Statista (at https://www.statista.com/statistics/271774/share-of-android-platforms-on-mobile-devices-with-android-os/) gives a view that takes some mulling. When we consider the Android market share, we see that the largest part is owned by Marshmallow (v6) and Nougat (v7), so that means that those who update now to Oreo (v8) will be most likely to update the moment 5G is out, those who delay more than 6 months are not likely, or better stated less likely to update more than once, so either they miss out on 5G or are in a much smaller segment (not serious smartphone users). So they use it as a phone and that is it, which is fair enough, because a phone is a phone and for that 5G is not essential. Yet when we consider that this group is almost 37%, there is an option for smartphone sales everywhere to evolve those users towards a more smartphone driven use of apps and data, yet what are these consumers made of? There is no data that I had at my disposal, yet finding out is actually a lot more important here. If we know what the consumer needs, we can see if there is a better solution in new hardware, not merely because of the security risk that older phones hold, the fact that smartphone functionality is optionally missed out on is basically a sales opportunity missed and when it affects an optional 37% slice of smartphones it starts to matter as that involves a serious amount of cash. Now we need to accept that it is not merely the phone, for the larger places like the island of Australia mobile data was until last year pretty expensive, so why upgrade when the data used will monthly kill your budget? to go from 15GB a month for $65 in 2016 to 200Gb for $70 in 2018 is actually a massive leap and not all places have made such changes, so not everyone is on board yet, but with 5G that will change by a lot, not only will they drive down the 4G data prices, but the mobile setting in places like Egypt and Saudi Arabia (outside of Cairo and Riyadh) will drive the need of people much larger. The fact that Egyptian TV outside of the large cities is not fabulous, for these people to suddenly get a clear reception of matches of Al Ahly SC or Zamalek SC could drive sales, so the larger the part of that 37% slice is actually found in the Middle East, the easier the upgrade sales will get; when we consider the joke (that is how I personally see the Vodafone Egypt site), as well as the clarity of http://www.egyptsim.com/, we see that there is still space to improve it all and Huawei is in an interesting place to make that happen. In addition, the Egyptsim site shows a setting that was almost the 2016 setting in Australia, so they are not that far behind, so when we see the evolution where the prices reflect 500% if what they offer now (which is what we can get in places like Australia nowadays), we see a more competitive setting where upgrading any smartphone will become the essential need of anyone wanting to use such amounts of bandwidth. Even a mere 50 GB at €15 could change the game, it will drive app use, phone use and more important, the need for phone upgrades and competitive phones will become more and more desired. This is shown in direct opposition to the anti-Huawei feelings that we see from America (at https://www.politico.eu/article/huawei-china-ghost-in-europe-telecom-machine/), a story from last January. So in all this when we see “The Chinese tech giant is banned from bidding for government contracts in the U.S. over concerns that its telecommunication equipment could be used for spying by Beijing“, that whilst it refers right next to it a story regarding ‘Mark Zuckerberg hearing: As it happened‘, in all this Huawei is a concern? As the US has not even got clear legislation on data and as we see the Facebook events, I can state that some people have their mindset in the wrong place. In addition, if we can believe the Daily Mail who gave us “Google caught using $580 million worth of Australians’ phone data to spy on them by monitoring their movements“, so in that, is Google getting government contracts? And if the second is true, why is there no outcry in that setting? Is it about the company, or where the revenue is going to? It is a multiple facetted setting of greed, technology and whose ego is the largest to present. How does that help the consumer who wants a good affordable phone, if the Google Pixel and Huawei phones offer the same thing, yet Huawei can do it 30% cheaper, why would we want the more expensive one, our privacy? Facebook gave that away and there is no actual act in place to thwart that, in addition, the US senate hearing gave more and more reluctance as we seem to get the impression that these senators do not even comprehend technology in its basic foundation. We merely have to look back at the moment with Senator Orrin Hatch (R-UT), who asks on: ‘how do you sustain a business model where users don’t pay for your services‘, the answer by Mark Zuckerberg was priceless: ‘Senator, we run ads!“. When we are confronted with such a level of what I regard to be ignorance towards business reality, that is the not party we should rely on when they state to us: “its telecommunication equipment could be used for spying by Beijing“, yet in that foundation, not one piece of evidence has been presented that this is actually the case. The “potential for secret ‘backdoors’” is astounding. Not one piece of evidence, not one setting that gives any level of reliability on ‘potential‘. I wonder how many of these gentlemen have been receiving calls from Cisco, Apple, IBM and other parties on their fear of China getting a slice of American business, or perhaps it is even more simple. With American firms the government of the USA can make tax deals, because the inability of paying invoices can always get bartered on a national level, not international. And there is where Huawei has its opportunity. As it grows its segments in both Europe and the Middle East it can potentially grow the services they offer as the reach of those services and in that light and the next level of growth towards 5G, we see that Huawei has a growing distinction against all competitors. It can offer a new price range, one that consumers have not had for the longest of times and it can place a setting where customer loyalty can grow towards Huawei as it offers something affordable, now when the providers think it is time, but when the consumers need them, which is always a war that works in favour of the consumer. It is a war of settings between optionally, actually, and eventually. The first one offering it has the benefit. Yet is Huawei ready to make that commitment? I do not know, yet should Huawei grace the settings and be announced as a participant of the new high tech city Neom, at that point you can be decently certain that Huawei will become a much larger player in the Middle East and from that, growth in Europe will be a near certainty. Business for Huawei will be booming and it all started by making high end mobiles an affordable item for those not in high paying jobs, or forced to get themselves chained to a two year contract with a telecom provider.

 

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Milestones

We all hope to make certain milestones, some through fantasy, some through luck and some through anticipation. Your first threesome, the moment you joined the mile high club and for governments they have their own achievements, for example when they join the 100% debt club. So when we realise that Japan has well over 200% of GDP in debt, the US has passed the 100% marker and it joins those they looked down on for the longest of times. Italy, Iceland, Granada, Eritrea, Greece, Jamaica and Lebanon, all members of that 100% debt club, so when we see the Arabian Business (at http://www.arabianbusiness.com/politics-economics/395741-100-debt-club-set-to-get-new-member-from-oil-rich-gulf), treat us to the facts that Bahrain will soon join Libya and the Sudan as their debt exceeds their 100% GDP. We see more and more messages at present and even the IMF is setting a different atmosphere. We see part of that in equities.com. There we see “IMF (Page 10): Against a backdrop of mounting vulnerabilities, risky asset valuations appear overstretched, albeit to varying degrees across markets, ranging from global equities and credit markets, including leveraged loans, to rapidly expanding crypto assets.
MY TRANSLATION: In the last two major bubbles, the problems were mostly contained to dot-com stocks and housing. That is 100% not the case now. Almost every single asset on the planet – from stocks to bonds to loans and more – is wildly overpriced. There is zero room for error with prices at such dizzying heights
“. This is merely one setting; the field is expanding on a larger field and in all this, the nations that are passing the debt bar. France is set at 99%, so if they cannot contain the debt growth they will pass it this following financial year, leaving only Germany as one of the four large economies that is in a containable situation and there is where we get a partial ‘I told you so!‘ You see I wrote on part of this 5 years ago. (at https://lawlordtobe.com/2013/05/15/a-noun-of-non-profit/), I made a reference in regards to Brexit, but the setting of it all was a lot larger than merely Brexit. So as you get to contemplate “Consider a large (really large) barge, that barge was kept in place by 4 strong anchors. UK, France, Germany and Italy. Yes, we to do know that most are in shabby state, yet, overall these nations are large, stable and democratic (that matters). They keep the Barge EU afloat in a stable place on the whimsy stormy sea called economy. If the UK walks away, then we have a new situation. None of the other nations have the size and strength of the anchor required and the EU now becomes a less stable place where the barge shifts. This will have consequences, but at present, the actual damage cannot be easily foreseen. Any claim that there is no consequence and they predict no issues, remember this moment! The Barge (as is), will lose stability and the smaller members thinking they are on a big boat are now thrown left to right then left again as the storm rages on. The smaller nations will get damaged and in addition, the weaker ones (Cyprus and Greece) could still collapse, especially if the UK takes a non EU gander“, this was predominantly regarding Brexit. Yet the implications are larger as I stated. The UK is taking on Brexit and now we see that the German anchor it the only anchor giving some stability, the UK is taken away, Italy has lost its footing as it surpassed the 100% debt and now France is pushing that boundary as well. All because it was easier to play the popular fool than taking a hard stance on their debts, France is not alone, Italy and the UK are all there, the smaller ones have no options to give strength to the large 4 and as the UK figured out that going it alone is much better for the economy, we see a dangerous setting.

Even now, when we merely consider Spain in all this (not the smallest economy), we see (at https://www.southeusummit.com/europe/spain/spanish-economy-returns-grade/) that Standard & Poor’s is still playing (what I personally see) as ‘their little game’. Perhaps you remember ‘S&P reaches $1.5 billion deal with U.S., states over crisis-era ratings‘ (at https://www.reuters.com/article/us-s-p-settlement-idUSKBN0L71C120150203) the one quote (one of many) needs to be considered “S&P parent McGraw Hill Financial Inc MHFI.N said it will pay $687.5 million to the U.S. Department of Justice, and $687.5 million to 19 states and the District of Columbia, which had filed similar lawsuits over the ratings“. So when I see “S&P notes that Spain’s overall economic and budgetary performance has not been hampered by political tensions in Catalonia, as many had feared. The country’s GDP increased by 3.1% in 2017 and last week the Bank of Spain raised its economic forecast for this year to 2.7%, up from a December forecast of 2.4%“, you see, the numbers are not really in question, yet when we see the image below (source: Trading Economics).

When we realise that none of the EU nations has a grasp on their debts, in addition, the GDP for Spain went down whilst it is still below the numbers of 2016 and before, there is actually no reason to see the credit rating for Spain go up. I am personally speculating that the EU will be so much more hardship when France hits the 100% debt marker. It matters, because this will soon become the academic exercise that the question: ‘What is the difference between cooking the books and creating a false positive wave through inflated credit scores?‘ I actually do not have the answer here, but I guarantee you that the quality of life in Europe is not moving forward any day soon, not until some issues are seriously reconsidered. In addition, the US-China trade war isn’t helping anyone, not even the Europeans so that will also become a factor of debate soon enough. It partially relates to “We have revised upwards our GDP forecasts, with an intense rate of employment creation and an economic model based on the external competitiveness of our companies. With this scenario, we will achieve our objective for 20 million employed people by 2020“, the issue is that it is misrepresentation, you cannot rely on the unemployment figures and then state we will have 20 million employed, because on a population of 46 million, he might be implying that the unemployment numbers will skyrocket from 17.4% in 2017 to 56%, that would be crazy, yet that is what we are told, is it not? The best lies (read: miscommunications) are done through statistics, so that the feather matches the bird one would say. Still, back to my speculation, I believe that Spain is not the only nation in this setting; I think that some numbers in pretty much every EU nation are beefed, weighted and set to make Europe (or basically themselves in the European setting) look much better, so when the UK leaves they will not look as weak and feeble as they have actually become. It is a setting that is way too dangerous. There is no way that Mario Draghi is not part of this, so when we look at the Financial Times of last week we see ‘Mario Draghi acknowledges ‘moderation’ in Eurozone growth‘ (at https://www.ft.com/content/3e20b49e-4939-11e8-8ee8-cae73aab7ccb). So with “Analysts said that Mr Draghi’s guarded language suggested that the ECB may wait until July — a month later than previously expected — to provide the markets with updated “forward guidance” on its plans to phase out the crisis-era stimulus“. I am a little less optimistic in regards to the quotes, and when we see ““Better safe than sorry was the motto of the day,” said Dirk Schumacher, economist at Natixis“. I personally tend to see that as:

Better safe than sorry
It allows for another day without worry
As we pile the worries and woes
To a stack we can blame on crows
Those at the London Tower are best
Because when they leave the EU we can make them the jest
And when our barge is no longer secure
We move to Wall Street where we can endure

You might think that I am merely making light of all this. The issue is that people in Europe seem to ignore that over €2,000,000,000,000 was printed without the validation of treasuries or consent of the people whose funds got devaluated even further. Do you think that printing money has no cost? It is money that the EU never had, so why did you think it came without consequence?

This partially (and I mean partially) is seen in different ways when we look at an article from Reuters merely two weeks earlier (at https://uk.reuters.com/article/uk-ecb-policy-draghi/stock-volatility-no-big-factor-for-ecb-so-far-draghi-idUKKBN1HG1VR) ‘Stock volatility no big factor for ECB so far – Draghi‘, now I agree that volatility will come and go, so the ‘so far’ part is perfectly fine. When we see ““While we remain confident that inflation will converge towards our aim over the medium term, there are still uncertainties about the degree of slack in the economy,” Draghi said in the ECB’s annual report“, now I can agree with that. There will always be a certain amount of uncertainty, that is all good, no issues there, but it is set on a certain premise. When we see that Spain (the only visible one) suddenly in opposition of what I see as real has its credit score increased and as such we see the start of an optional bubble, when others do the same we see the forecast on unreal values, so we see the bubble is not set to the reality of the actuality, at that point, when a lot more start realising that some numbers do not make sense, the uncertainty grows and the closer the UK is to leaving the stronger that uncertainty becomes. At that point we see a run and a total collapse, when that happens, when the people realise that pensions before 78 is no longer optional, do you think that the people will remain calm? When they realise the impact of €2 trillion printed cash is impacting the 26 nations, how much value decline will they face? When that happens, how will people react in all this? Now we get to two elements, one is the mention in the Financial Times where we see: “But the weak economic data for the first quarter have triggered increasing speculation that the first interest rate rise will be delayed until later in 2019. A smaller number of analysts are expecting the bank to continue QE into the new year“, the second is that the entire stimulus was to set the economy right, which did not happen, now set that against inflated credit scores, inflated economies and the downturn that follows, that will happen, it can no longer be contained, merely delayed to some extent. When it does hit Europe would not have a penny left to balance against and it will leave the bulk of Europe destitute. There would be no defence against the next downturn and that is when disaster will truly strike. So as the story is pushing towards ‘protectionism’ and ‘patent values’, we should also consider that impact. Now, as a University graduated Master on Intellectual Property rights, I do comprehend some of the issues, yet I am not a patent attorney, so there are parts that I will ignore or not look at. Consider that a national economy is now more and more dependent on the national patents and the represented value that they hold. Now we get European Patents, the Unified Patent Court (UPC) allows for a simpler way to get it all registered and to some extent enforced. So it is a good thing overall, there was never too much fuss about that side, yet the one strong economy (Germany) is now setting the stage to oppose the UPC, we see this (at http://www.ippropatents.com/ippropatentsnews/europenewsarticle.php?article_id=5725), where we also see “Alternative für Deutschland (AFD) has called for the repeal of the convention on a Unified Patent Court (UPC). AFD “rejects the EU patent law reform”, according to the German Bundestag, which announced the motion on 7 March“, I believe that overall the UPC is a good thing, but there will always be small interests that are not perfect, no EU setting is 100% positive, yet overall, to get one filing for all EU nations, in light that even the UK agreed (and ratified) is a good thing. So when we see “It was based on three grounds, mainly how the UPC Agreement violates EU law, the majority requirements of basic law, and does not comply with the rule of law principle related to judicial impartiality. The complaint was scheduled to be heard in 2018 by the second Senate, appearing as the 11th item on its agenda. In Germany’s 2017 federal election, the AFD won 12.6 percent of the vote and received 94 seats, the first time it had won seats in the Bundestag“, there is an academic setting, yet with 12.6 of the council in hands of the AFD, a very Brexiting minded party, or is that Berlout or Deutchleave, we need to realise that the patent issue is a lot more biting in Germany and that cannot be ignored, as they give rise to uncertainties. So when we get back to the uncertainty there, as well as other uncertainties, and whilst we saw Mario Draghi accept that uncertainty results in stagnation, how much more stagnations are required for the next downturn, even a short term one, whilst the economic reserves have been already been drained.

Now we have a much larger setting, the EU was never about everyone agreeing on everything and the economic setting that requires that to happen at present is also making the dangers of waves that sinks the barge called EU. Now, that seems like an exaggeration, but when you realise that the German anchor is the only one giving stability, you can see the dangers the EU faces and more important, the dangers of no reserves and an utter lack to keep proper budgets in place, a setting now in more danger for the reasons that I gave supported by the economic views of many others. I believe some are downplaying the impact, yet when we realise that EVERY European Union government is downplaying the economic impact (as every nation always wants to look as good as possible, which is a PowerPoint setting of the human ago) we get a much more dangerous setting. We accept that the smaller nations have a negligible impact on the whole, but on a ship that can only remain truly stable with four anchors, losing three is a much bigger disaster than anyone realises, and that downplay will hurt all the players that are part of the EU, so when the downturn starts, we will see kneejerk movements from all the nations, all the big players and we can only speculate the fear mongering speculations that the IMF will treat the European audience to. I have no idea what form it will take, but when it happens I will take a deeper look. In a setting where every negative economic milestone could lay waste to whatever reserves its citizens wrongfully thought they had in the first place.

 

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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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Removing the right of choice

Fox News had an opinion piece 2 days ago that only now met my eyes. Now, for the most, apart from some Guardian opinion pieces, I tend to stay away from them. Yet, this one caught my eye because not only was the situation upsetting. The issue that Americans use their right to free speech to deny others the right to choose (to some degree) is another matter and it became clear that I should give my view in all this.

The title ‘Is the West finally pushing Saudi Arabia to squelch its version of radical Islam?‘ First off, why on earth do we see the need ‘forcefully silence or suppress‘ the choice of Islam? Now, I am merely a Christian in this, but I do not see any reason here. In the second, the setting of ‘radical Islam‘ is equally an issue. What makes it radical? That is not me being clever, it is an actual question. When does any religion become ‘radical’?

Now, I am merely quoting Wiki here (just the easiest part), and important that as a Christian and not armed with a knowledge of Arabic, I might wrongfully quote her, so be aware of that. With: “In the 18th century, a pact between Islamic preacher Muhammad ibn Abd al-Wahhab and a regional emir, Muhammad bin Saud, brought a fiercely puritanical strain of Sunni Islam first to the Najd region and then to the Arabian Peninsula. Referred to by supporters as “Salafism” and by others as “Wahhabism”, this interpretation of Islam became the state religion and interpretation of Islam espoused by Muhammad bin Saud and his successors (the Al Saud family), who eventually created the modern kingdom of Saudi Arabia in 1932“, you see, my issue, perhaps partially better stated as my grievance with Nina Shea is not that she is a lawyer or a Christian, but that she is both. That one nation that has been hypocrite towards empowering outspoken Christians and Christian puritans at nearly every twist and turn of every American administration since WW1 is now speaking out against another puritan based religion? How screwed up is that?

And the fact that we also see in the Fox News pages that she currently is a leader of a campaign for Christians threatened with genocide by ISIS, is even worse. As American Presidents have refused to name the Armenian Genocide as such because of concerns over alienating Turkey, with former president Barack Obama being the latest weakling in that long line of individuals in denial. And when we get to alienating Turkey? Turkey alienated them self for a long time, going all the way back to 2001 and they only alienated themselves stronger with nearly everyone after that. So genocide is only recognised when it is in the interest of US political policies? How hypocrite is that? So even as this happened less than a year ago, we see: “But although ISIS’ genocidal intent has long been clear, the extent of the group’s atrocities has remained murky. Local authorities and human rights organizations have made some attempts to compile lists of victims. According to those lists, between 2,500 and 5,000 Yazidis had been killed by ISIS while over 6,000 had been kidnapped. But the UN has not yet been able to independently verify these figures” (source: www.foreignaffairs.com), so how should we see these differences?

Personally I have no issue with people and their religion, you see they can be a puritan as they want to be, and until they start pushing that onto us (read: me) they are fine. I have absolutely no regard for any Christian pushing their values onto others, in that I am quite happy to see the separation of state and church to be forever. There is in equal measure another issue, you see, puritan is often seen as ‘against pleasure‘, which is not always the case and that makes that discussion a lot harder, for what sets the definition of Puritan?

So when we see the quote from Nina Shea that gives us: “Now Europe is finding its voice with a new willingness to pressure the Saudi Arabian government to end its spread of extreme Islamic ideology, known in the West as Wahhabism“, so she has set ‘puritan‘ as ‘extreme version of‘. The question is on one side is what constitutes a puritan version as such and even if so, the Vatican forced Christianity into the world, whilst under its flag committed genocide by removing no less that 11 civilisations. The church and greed have gone hand in hand for centuries whilst the nobility, or should that be in modern tongue ‘Big Business’ have not been held accountable since before World War 1. The bible approved of slavery and in Matthew 19:14 and Mark 10:13 stated ‘Let the children come to me‘, Catholic priests saw that as an optional clear signal to fuck every young boy in town (whenever possible). So as the Holy See was considering thousands of priests actively taking the cherry from young boys for over 50 years, how many went to prison? In that light the media is equally to blame, until the movie Spotlight got the limelight in the Academy Awards, millions of Americans remained in denial. Even as the Boston Globe exposed it in 2002, it would take 13 years, until after the movie was released that the larger part of the media changed their tunes, the church still has that much power. So as we oppose one form of puritan religion, we see the outrages acts of our own religions and in that regard I have an issue with certain settings.

In addition we see: “As I told Congress in testimony last July, 16 years after the 9/11 attacks – led and carried out primarily by Saudis” we see yet another issue. In the first, this attack was done by Al-Qaeda, under the leadership of Osama Bin Laden, who was indeed born Saudi, yet he was banished from Saudi Arabia in 1992, 9 years before the event. More important, their family came from the Yememi Kindah, so another ‘faith’ altogether, in that regard, when we consider that Kindites converted to Judaism following the conversion of the Ḥimyarite kings, which happened roughly 1500 years ago, so why is she not blaming Israel in all this? It seems to me that Nina Shea has no religious agenda; she has a political one and is willing to play Saudi Arabia towards her needs. In the part that we accept that Al-Qaeda was made up from Islamic Extremists and Salafists, there is the legitimate question on how many of the members of Al-Qaeda are (still) Saudi, but is that even possible to grasp? There are so many splinter organisations, active all over the Middle East, In Yemen is gets even more of an issue where they are fighting the Houthi’s. The New York Post gave us two weeks ago: “An immigrant from Saudi Arabia suspected of applying to join an al-Qaeda training camp has been arrested on a visa fraud charge in Oklahoma, according to a report. The FBI recently discovered Naif Abdulaziz Alfallaj after his fingerprints matched those taken from a document found in Afghanistan“, it makes matters worse and less clear. It is not a clear picture for those getting all the information, for people like Nina Shea who are willing to ‘filter’ data before their presentation make matters worse, we do not only get a distorted picture, we get more non-truths (at times non-verifiable truths, or speculations) and as such the picture shift a little more. We can argue that to some Saudi citizens desire a life of ‘action’ in perhaps the wrong direction is preferred over whatever they had before. We have all had those moments. I myself have argued within myself to find 1-2 paedophilic priests and hang them in the nearest tree without trial, so should I join some anti-religion and blow up churches? Of course not, that would be just insane, but some might do just that.

So when we consider ‘members of the Ku Klux Klan planted and detonated dynamite at the 16th Street Baptist Church‘ we also need to see that J. Edgar Hoover had secret recordings that proving the involvement of guilty parties (according to some sources), he also ensured that a court could not use them as evidence to prosecute the attackers, making it more difficult to convict. For 14 years after the bombing, none of the men were prosecuted for their crime. The first one to be arrested (and convicted) was Robert Edward Chambliss in 1977. So we, Americans and non-American Christians alike have closets full of skeletons, perhaps when it comes to certain matters we should not be the judging or reforming parties in the matters of other nations.

Now, there are a few sides that do bare consideration.

Even if we agree with: “In 2010, a top U.S. Treasury counterterrorism official warned that without Saudi education reform “we will forever be faced with the challenge of disrupting the next group of terrorist facilitators and supporters.”“, Saudi Arabia is a sovereign state, it has its rights and it has forever been a Muslim state. You see, until the oil prices went down and the profits declined, America remained unwilling to hear any level of criticism on Saudi Arabia, making a lot of the matters in play hypocrite at best.

The next ‘wrongful representation‘ is “The West seems to be finally waking up. The new assertiveness shows official recognition of the link between Islamist ideology and terror, and our governments must keep it up“, you see, I see this as “as the profits are declining and as Saudi Arabia is now set to be a growing force beyond the petrochemical industry” we see issues because the ‘link between Islamist ideology and terror’ has been known for a long time and seen as such. Hamas, Hezbollah are the clearest ones. There is the Muslim Brotherhood, and plenty of others, whilst the PLO was delisted as a terrorist organisation is now again rearing its tail by no longer recognising the state of Israel, so that could escalate again. In addition we see that only the UK saw the Orange Volunteers as a terrorist organisation, I wonder why the US did not see it that way. So whatever makes that list is also very dependent on how they cross the United States of America (speculation on my side), so as the sovereign nation of Saudi Arabia is becoming a growing centre of commerce and an economic power we start seeing more anti-Saudi events. Yet the US will happily sell all the weapons and planes they can for now. Nina also refers to a report that was classified and forced into the open in 2016 regarding the Saudi textbooks (at https://www.nytimes.com/interactive/2016/08/17/international-home/document-state-dept-study-on-saudi-textbooks.html), it is 148 pages, so read it there (the PDF was too large to place here).

My issue in this is not the paper; it is the chance of comprehending it all, it is linked to hundreds of books, to hundreds or issues all linked to the Koran and to the rights that Saudi Arabia has as a sovereign nation. We might not agree and as Christians we might to a certain degree oppose outside of Saudi Arabia, but its sovereign rights are as they wanted it, linked to the Muslim faith. We need to recognise that we are not all alike, that others have their rights and they need not be based on democracy. However we must also recognise that ‘democracy’ in America and largely in Europe is set towards what the rich and powerful want it to be. If you disbelief that then try to change laws in America that makes Wall Street criminally accountable. Good luck getting that done within the next 50 years!

You see, in support of my view, I would like to call attention to page 3, where we see “The national identity of Saudi Arabia is deceptively simple. It is an absolute monarchy“, so what makes a monarchy absolute? The Netherlands is a monarchy, so is Sweden, Norway, Denmark, the United Kingdom, Belgium, Spain and a few others. So as these are predominantly Christian monarchies, are they not absolute or dangerous? Perhaps they are merely seeing eye-to-eye with the US and not that much of an economic threat? The EU and the ECB simmered down the European nations as threats is another view and it is for people with better economic degrees than mine to make a call on that. Again a speculation from my side, but it seems to me that the US would prefer every nation to be a republic, so that the larger corporations can sweep in and reduce that national population into a spreadsheet and reduce the abilities of those being a hindrance, a non-consumer or a liability.

We can take any view on these matters, but in the end we see a person with a rightful opinion get the centre stage all the way to the US Congress, whilst we consider her quote: “Germany finally pressed Saudi Arabia to close the King Fahd Academy in Bonn in spring 2017, according to a 2016 Deutsche Welle report. It first came under investigation 14 years earlier for alleged ties to al Qaeda“. The question that is here is ‘It first came under investigation 14 years earlier for alleged ties to al Qaeda‘, so was that ever proven? That is the part that Nina Shea does not want you to know; in addition there is the part that was in the Deutsche Welle. ‘Now, the King Fahd Academy is about to close its doors of its own accord‘, which she did not mention. In addition (at http://www.dw.com/en/controversial-saudi-school-in-bonn-to-close/a-19511109), we see the clear mention of ‘Moving beyond oil‘, it seems that Europe and the US stayed very silent whilst the oil profits were flowing their way making a lot Nina states even more hypocrite. So as Saudi Arabia’s Crown Prince Mohammed bin Salman is pushing stronger towards his “Vision 2030“, we see that slowly his reforms are catching hold, there is momentum and there is additional evidence that it is a worry for the United States, particularly the people who were having benefits on the matters before Vision 2030. When we consider the rumour from last month when we were introduced to “The new policy means Apple is administering collection and remittance of tax to authorities at a rate of 20 percent in Armenia and Belarus; 5 percent in Saudi Arabia; 18 percent in Turkey; and 5 percent in United Arab Emirates” we see the clear benefit for Apple to grow in Saudi Arabia, yet in that it could cost the US 20 cents to every dollar pushed to Saudi Arabia and as Apple tends to think in tens of billions, the US is about to lose out of a pretty penny they desperately need. In addition with Amazon and Google gaining tech hubs there, the loss of revenue and data is about to cost the US a lot more and in this greed driven economy that is what has been setting plenty of people over the rails and into the sea of chaos, frustration and outcry. So as Saudi Arabia ends up getting 5 data centres, how many will not be upgraded in the US or Europe in the near future? How much is that going to cost them?

These are all matters linked to the opinion of Nina Shea, because if that was not the case we would not have seen “These events are being driven by Western governments that are now pushing hard for the government of King Salman bin Abdulaziz Al Saud to pull back from Wahhabist support – a push that appears to be working“, you see, the fact that (some) schools closed on their own accord was not mentioned, neither is any part of Vision 2030 which has been on the front page of the Saudi plans of actions for almost 2 years now and in addition, when we see “For decades European and U.S. leaders bit their tongues while the Saudi governments spent billions of dollars indoctrinating Sunni Muslim communities“, whilst not stating that the oil money flowing into these places was too good to ignore is equally an issue because it shows us to be hypocrite and it shows Saudi Arabia to be business oriented. OK, I will give you that the last part is not entirely correct, but why did Europe and the US bite their tongues? If they were so morally high we would have seen a lot more, an issue that never happened.

So who will Nina Shea blame for that? I reckon we will leave it non-mentioned (for now).

Finally we need to look at her statement “Tiny Belgium, population 11.27 million, has sent more Islamic fighters to Syria per capita than any other European country“, so when we see the Wall Street Journal (at https://www.wsj.com/articles/europe-balks-at-taking-back-isis-fighters-1518557328) where we see the quote “An estimated two to three dozen Belgian foreign fighters are in detention in Syria and Iraq, another Belgian official said“, so as we consider an unrelated statistic like “Hospital medical errors are the third leading cause of death in the United States. That’s 700 people per day, notes Steve Swensen“, the fact that we see the mention of 36 Belgium fighters in Syria in a pool of 5000, seems to be too irrelevant to use as a focal point in her presentation, whilst in the US 700 people a day die in Hospitals through mere errors. She has the wrong focus as illumination in her presentations. You see, it would not have mattered if she had mentioned the number of Belgium fighters and the total pool of ‘extremists’ but she did not want that, she wanted the hypocrite limelight, so I will happily keep a focus on her and how she tries to misinform the people around her next.

In all this Fox News should get an equal share in the blame by not setting the stage properly. By leaving too much unstated we should consider that the reliability of Fox News and what they present is equally taking a turn downwards.

In the end

In the end this was less about speaking for Saudi Arabia (they can do that themselves perfectly well), then speaking against Nina Shea. I find this a hatched job that should not have been placed on Fox News the way it was. Whatever points she could have made was drowned out by the misrepresentation that I see them to be and in several fields in many ways. This requires me to add her mention of ‘Islamist terror has replaced chocolate as Belgium’s best known export‘, you see the best export the Belgium ever had was beer, the finest in the world. And even as we agree that their chocolates are the best, we need to see that terrorism is not their export, or their best known export. Perhaps their flaw was to have the most cordial of borders in Europe, together with Sweden, yet as Sweden is up in the north and Belgium is caught between the Netherlands, Germany and France, there is no doubt that whatever they get came initially from one of the three other nations and guess what, Nina made no mention of that either. Perhaps because she was in doubt whether it was a good idea to piss the other three nations off? Again, merely speculation from my side, but in the end, we have seen in evidence from reputable sources that the economy has been a central reason in creating extremism, a part that has hit Belgium and several other nations. That too remains unmentioned.

 

 

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