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Thursday, July 31, 2014

US will feel ‘tangible losses’ from ‘destructive, myopic’ sanctions



The new round of American economic sanctions imposed against Russia over the Ukrainian crisis will only further worsen relations between Washington and Moscow, the Russian Foreign Ministry said.


“Washington will gain nothing from such decisions except for further complication of Russian-American relations and the creation of an unfavorable atmosphere in international affairs, where the cooperation between our countries often plays a key role,” the statement by the ministry reads.

“We have repeatedly spoken about the illegitimacy and groundlessness of the US sanctions against Russia,” it said, commenting on a new package of sanctions announced by Washington on Tuesday.

In addition to steps taken earlier, the US has now added four new names to the list of Russia-affiliated entities sanctioned by Washington, including the Bank of Moscow, the Russian Agricultural Bank and VTB Bank OAO, as well as the state-owned United Shipbuilding Corporation.

Also, the US will be “blocking the exports of specific goods and technologies to the Russian energy sector”, “expanding sanctions to more banks” and “suspending credit that encourages exports to Russia,” President Barack Obama said on Tuesday.

The move came just hours after the EU announced its own economic measures targeting the Russian economy. Both the US and the EU accuse Moscow of supporting anti-Kiev militias in eastern Ukraine.

Moscow, in response, said that the US is only pretending to be consistent in its current behavior. In fact, “it is only trying to escape responsibility for the tragic development of the events in Ukraine,” the Russian Foreign Ministry said Wednesday.

“It is not Russia but the Kiev regime and its foreign patrons that can be blamed for the increasing number of casualties among civilians in eastern [Ukrainian] regions,” the ministry said in a statement.

The White House – in its “pretentious, prosecutor-like manner” – continues to put forward groundless charges against Russia, the ministry said. At the same time, the US is covering up “the bloody operation by the Kiev military who, in violation of international laws, have launched missile strikes against peaceful cities.”

In Moscow’s view, “the only goal” that the US is pursuing by imposing sanctions is to “settle accounts”with Russia for its policies that are “independent and unfavorable for Washington.”

“The losses that Washington will sustain from such a destructive and myopic policy will be very tangible,” the Foreign Ministry added.

VTB, Russia’s second-largest bank and one of the institutions targeted by US sanctions, has called them “politically motivated, unfair, legally dubious and economic damaging for all parties.”

The bank said in a statement that the “move appears particularly misguided, given that VTB strictly adheres to all applicable international laws and regulations, including those set out by the US authorities, which they are well aware of.”

It assured the clients that despite the US’s “discriminatory decision” it will continue to meet all of its obligations, adding that the move will not affect the bank’s “operational performance and creditworthiness.”

Another leading Russian bank targeted in the sanctions, Bank of Moscow, also said that its customers would not be harmed by them as the bank is focused on the internal Russian market.

The United Shipbuilding Corporation, in response to the sanctions, said it is considering switching from US dollars to other currencies in its payments with foreign customers, the corporation’s head Aleksey Rakhmanov told Kommersant FM radio station. He added that the sanctions may cause more harm to the company’s civilian customers rather than the military sector.

Credit to RT

Wednesday, July 30, 2014

Portuguese Regulator Bans Short-Selling After Banco Espirito Santo Unveils Massive $5 Billion Loss


Having waited until after the US equity markets closed, Portugal's troubledBanco Espirito Santo unveiled an enormous EUR 3.577 Billion loss - that is 15 times larger than the loss the bank suffered a year earlier. The data - to end-June, before the crisis really got going - already shows notable deposit flight, a 73.1% plunge in banking income, and a EUR 3 billion collapse in repoable assets (i.e. liquidity). On the heels of this Portugal's securities regulator has enforced a short-selling ban on BES... we suspect they would not have done that if all was systemically well in Portugal.

For some context on the loss... BES market cap at the close today was less than EUR 2 billion...

Highlights (or lowlights) of the data as of June 30th - before the crisis escalated

A collapse in banking income





Plunge in liquidity, collapse in Net Income, jump in operating costs, and tumble in total equity...




Credit to Zero Hedge

Muslims Create A Literal River Of Human Blood By Butchering

SHOEBAT EXCLUSIVE
By Walid Shoebat and Theodore Shoebat
river of blood copy
ISIS just released a video showing what they claim are Iraq’s Army POWs captured by ISIS, driven away in truck loads and then shot them all dead. The video caption stated that there were 1,500 individuals. The video shows their end being shot at point blank in several horrific mass slaughters reminiscent to what we see during Nazi Germany. The young teens begged for their lives as they were made to curse Al-Maliki but to no avail while they were forced to chant “long live the Muslim nation”. Shoebat.com were the first to discover the video:
The voice speaks how they captured soldiers covering their uniforms with civilian cloths. Then they show soldiers pleading cursing Maliki while other chant “long live Islamic Nation”. The last man they slapped as they went down to the river had part of his back showing as his shirt was short and they blurred his skin lest it was sexually arousing. Then they are seen shooting the captives in the head and tossing them in the river under a pool of blood as the narrator from the ISIS stated victoriously:
We will revenge and will return measure with measures … soon the Muslim will walk everywhere dignified with his head high …
After the men were executed and tossed in the river the voice goes to say “Here was the spark ignited in Iraq. It will arise Allah willing until they burn the armies of the cross in Dabiq“.
According to Islam, Dabiq is a prophetic battle which speaks of the Last Hour (Day of Judgment) would not come until the Christian masses would land at Dabiq (in Syria) and they will be defeated and then the cross is finally destroyed and all Christian survivors that are left will convert to Islam.
The reason for throwing victims in the river stems from Khalid bin Walid. When the Christians and Persians from Ullays turned down a peace offer by Khalid bin Al-Walid, the most respected Muslim general in Muslim history.
The story goes that when Khalid made a vow to Allah during the battle that if he defeated these resistors, he would make the canal that surrounded their village literally run with their blood. When the outcome was in Khalid’s favor, it actually took a day and a half to behead all of the captives. The obstacle for Khalid was that the ravine of blood coagulated and Khalid’s troops were forced to eventually release water into the canal in order that it would run red with the blood of the slain lest Khalid’s vow be left unfulfilled.
Some of Khalid’s men wanted to meticulously fulfill his wishes:
Even if you were to kill all the population of the earth, their blood would still not run… Therefore send water over it, so that you may fulfill your oath.
Khalid had blocked the water from the canal. Now Khalid brought the water back, so that it flowed with spilled blood. Owing to this it has been called Blood Canal to this day. (1)
But this is not an ancient phenomenon. Today the world can watch it in the clip.
Credit to Shoebat.com

EBOLA’S Patient ZERO HAS BEEN IDENTIFIED: GLOBAL TRANSMISSION HAS BEGUN





It  is now being reported that Patrick Sawyer, whose sister also died from Ebola, was allowed on two ASKY Airlines flights in Liberia while infected witht he deadly virus, Ebola, which painfully kills 90% of its victims.
Patient Zero, Patrick Sawyer, had a layover in Ghana then changed planes in Togo and flew to an international travel hub of Lagos, located in Nigeria. Nigeria is also the site of an Ebola outbreak.  “The dad-of-three died five days after arriving in the city”.  His sister, with whom Sawyer had contact, died of Ebola. He should never have been allowed to board any plane.
A desperate search is on to find the hundreds of passengers who flew on the same jets as Sawyer.  A total of 59 passengers and crew are estimated to have come into contact with Sawyer and effort is being made to track each individual down. There is an inherent problem with this “track down”. Presumably, some of the passengers connected to other flights, which known to be the case. Let’s just say for the sake of argument that only 20 people, a low estimate given the nature of the airports that Sawyer was traveling in, were connecting to other flights, the spread of the virus would quickly expand beyond any possibility of containment because in less than a half a day, nearly a half a million people would be potentially exposed. Within a matter of a couple of hours, Sawyer’s infected fellow travelers would each have made contact with 200 other passengers and crew. Hours later, these flights would land and these people would go home to the friends, families and coworkers across several continents.
The fact is that the window for tracking down Sawyers initial point of contact with the traveling public, has closed. Patient Zero has tipped the very first dominoes in what could prove to be the worst epidemic in human history.

Not to Worry Says the U.S. Government

United States health officials say they are not worried because Ebola is transmitted through exposure to bodily fluids.
“…Witnesses say Sawyer, a 40-year-old Liberian Finance Ministry employee en route to a conference in Nigeria, was vomiting and had diarrhea aboard at least one of his flights with some 50 other passengers aboard. Ebola can be contracted from traces of feces or vomit, experts say”.  I would submit that it is time to get worried. And given the fact that we now know that Ebola detection kits have been deployed in National Guard unit kits in all 50 states.
We are either looking at gross negligence or a well-planned conspiracy.
Credit to Common Sense

Iran's Khamenei calls for arming Gaza to fight Israel




Iran's supreme leader on Tuesday called on Muslims from around the world to help arm Gaza Palestinians in their fight against Israel.

The call by Ayatollah Ali Khamenei was his latest such message during the ongoing war between Gaza's Hamas rulers and Israel. 

Khamenei claims that while Israel and America seek to disarm Hamas, Iran says "the opposite ... the Muslim World has a duty to arm the Palestinian nation by all means."

Iran, a staunch Hamas ally, does not recognize Israel and supports anti-Israeli groups such as Hamas and Lebanon's Shiite Hezbollah group.

Iran does not recognize Israel and has considered the Jewish state its archenemy since the 1979 Islamic Revolution that toppled the Western-backed monarchy and brought clerics to power.


Credit to Todayszaman.com

The US Dollar, Stocks and Bonds Will Collectively Implode

US loses Simulated Air War with China


The Rand Corporation, one of the Defense Department’s most trusted and longest running contractors, was hired by the Pentagon to carry out a computerized and simulated war between China and the US. The results were so horrifying, they were deemed classified, but were leaked to the press. What the computer models showed was that in the most likely scenario for a US-China war, the United States was soundly defeated by the Chinese military.
Most Americans will immediately and arrogantly close their ears to any suggestion that the US could lose a war to anyone. So, it’s a good thing that war correspondent David Axe and War Is Boring published the step-by-step actions each military takes to show readers exactly how and why America loses. The account, leaked to the media and published by Medium.com, shows how the blame lies squarely on one thing - the F-35 Joint Strike Fighter’s abysmal failure in combat.
F-35 Joint Strike Fighter
According to the Rand war scenario developed for the Pentagon, the most expensive military weapon in the history of mankind is a complete and utter failure. The futuristic warplane is supposed to replace all other jet fighters in the US arsenal at a cost of $1 trillion and climbing. As one critic published a few weeks ago, that’s enough money to buy a $100,000 home for every homeless family in America for the next six generations.
The F-35 didn’t fail because of its recurring engine fires or the problems it’s still having with vertical landings and take-offs. It failed because it was designed to do too many things. And sometimes, especially in war, quantity beats quality. We used to joke as teens that you could line up the Chinese and machinegun them down all day and night and they would still reproduce faster than we could eliminate them. Ironically enough, that’s basically the tactic that leads to America’s defeat to the Chinese military in Pentagon simulations.
Military Industrial Complex
The report from Medium.com quoted Chuck Spinney, who they describe as a retired Defense Department analyst and whistleblower who one US Senator called the “conscience of the Pentagon.” Spinney explained, “What you have to understand is that problems with the F-35 are the result of pathological decision-making patterns that go back at least to the 1960s.”
A dream contract for Lockheed Martin, the F-35 is supposed to replace roughly a dozen aging US fighters and fighter-bombers produced by a half dozen different defense contractors. They include tried and true planes like the F-16 and the A-10 Thunderbolt, affectionately nicknamed the ‘warthog’.
The authors conclude, ‘Engineering compromises forced on the F-35 by this unprecedented need for versatility have taken their toll on the new jet’s performance. Largely because of the wide vertical-takeoff fan the Marines demanded, the JSF is wide, heavy and has high drag, and is neither as quick as an F-16 nor as toughly constructed as an A-10. The jack-of-all-trades JSF has become the master of none.’
How tomorrows US-China War plays out
According to the Rand Corporation’s simulations for the US Pentagon, the most likely catalyst for a military confrontation between China and America would be hostilities between China and US-ally Taiwan. Taiwan is already called Chinese Taipei by most of the world because China’s conquest of the populous island is more than half complete. The only thing left to do is neutralize the Taiwanese military so the Chinese can physically occupy their neighbor instead of just exerting political control. And that’s how Rand and the Pentagon believe a US-China war would most likely start.
The first action, they say, would be a surprise attack by China on Taiwan’s Air Forces to establish immediate control of the air. That would force the US to respond by scrambling its fighter wings based in Japan and Guam to Taiwan to protect the island from a Chinese invasion or a massive bombing campaign on its citizens and ground forces. And that’s where the computer models show the US military completely falling apart, only moments after entering combat against a less-advanced but formidable foe.
‘In the scenario, 72 Chinese jets patrolled the Taiwan Strait,’ the report described, ‘Just 26 American warplanes - the survivors of a second missile barrage targeting their airfields - were able to intercept them, including 10 twin-engine F-22 stealth fighters that quickly fired off all their missiles. That left 16 of the smaller, single-engine F-35s to do battle with the Chinese. As they began exchanging fire with the enemy jets within the mathematical models of the mock conflict, the results were shocking.’
The lesson from the simulated encounter was that the newest and most expense American joint strike fighter - the F-35, ‘was no match for Chinese warplanes. Despite their vaunted ability to evade detection by radar, the JSFs were blown out of the sky.’ The authors reluctantly conceded, “The F-35 is double-inferior.”
“Can’t turn. Can’t climb. Can’t run.”
The Lockheed Martin fighter was sold to the American people with the promise that its weapons systems were so advanced, it could shoot enemy planes out of the sky long before enemy radar even picked up the F-35s. And that’s still true. But what happens after the initial few seconds as both air forces are charging directly at each other at the speed of sound? The results were that as soon as the range closed and the F-35s lost their advantage of extreme distance, they were all shot down by Chinese fighters.
The secret Rand report for the Pentagon wrote, “Inferior acceleration, inferior climb, inferior sustained turn capability. Also has lower top speed. Can’t turn, can’t climb, can’t run.” The military analysts explained that the F-35 would function better as a long-range, mobile missile platform rather than a fighter. The computer models showed that once the jets had lost their element of surprise and launched all their missiles, remaining enemy fighters had no problem clearing them from the sky. The result was the loss of the battle and China’s successful invasion of Taiwan.
Lockheed Martin fires back
Once the secret US-China war simulation was leaked to the public, Lockheed Martin immediately released a statement saying that the exercise was not about jet-to-jet analysis and that their F-35 was, “effectively meeting” the challenges put forth by potential enemy air forces. The two lead managers of the simulation for Rand are no longer with the company. One now works for Northrop Grumman and the other went to the Center for Strategic and Budgetary Assessments.
Sensing that their trillion-dollar defense contract might be in jeopardy again, Lockheed Martin fiercely responded to the leaked Pentagon report. “It was policy people who did that report with no airplane experience,” Lockheed Martin Vice President Steve O’Bryan defended the F-35. He literally described the fighter’s critics as, “self-proclaimed experts who live in their mom’s basement and wear slippers to work.”
The two analysts who produced the simulation showing America’s defeat shot back in their own defense. Both are experienced pilots, with one having fought in Iraq flying F-15s during the Gulf War and the other having flown RF-4 recon planes for the US military. “I don’t live in my mom’s basement,” the analyst replied.
They close by quoting one Australian military analyst who recently entered the field of politics after arguing against his country’s purchase of the F-35s. He warned fellow Australians that in combat, America’s new F-35s will get, “clubbed like baby seals.” American politicians and the US military take the opposing view. They’re in the process of making the F-35 the only fighter America has.
Read the length report from War Is Boring at Medium.com.
Credit to Americanoutrage.us