The top news long-term, continues to be the following ISSUES:
* Financial Crisis
* GWOT
* Cultural War (between the left and right)
* Politics
Short-term top news centers on the following EVENTS:
* Election day
* Life’s Rich Pageant
Financial Crisis: Today’s information is BIG, both in terms of story quantity and implications. We strongly recommend you read closely, and re-read if necessary, to make sure you understand all the implications.
China is now officially—and publicly—pissed with the United States after this irate statement from their commerce ministry today: “The continued and drastic US dollar depreciation recently has led countries including Japan, South Korea, and Thailand to intervene in the currency market, intensifying a 'currency war'. In the mid-term, the US dollar will continue to weaken and gaming between major currencies will escalate” (QE2 risks currency wars and the end of dollar hegemony).
While G20 ministers stuck to the script words during last month’s summit, they will continue to fight and protect their individual currencies. As a result, collapse of the Western financial ‘system’ will accelerate: “‘It is becoming harder to mop up the liquidity flowing into these countries,’ said Neil Mellor, of the Bank of New York Mellon. ‘We fully expect more central banks to impose capital controls over the next couple of months. That is the world we live in,’ he said. Globalisation is unravelling before our eyes.” At some point the 40-odd countries pegged to the dollar or closely linked by a “dirty float” will realize they do NOT have to go down this ‘Only Way’ road, “these countries are under mounting pressure to break free from the dollar. They are all asking themselves whether these pegs are a relic of the past," said David Bloom, currency chief at HSBC.
The cost of the crisis continues to rise in Europe as Britain and France, historical antagonists, enter a defense partnership today (France and UK plan unprecedented military cooperation). This agreement comes as Britain cuts its defense budget by 8 percent in real terms over the next four years.
EU leaders have acknowledge a temporary eurozone crisis facility set up in May had to be replaced with a permanent mechanism to avert the possibility of a recurrence of the problems faced by the eurozone earlier this year (Merkel secures major victory). The agreement, however, seems counterproductive: “The deal was secured, however, only after a number of important concessions on other demands. Germany had to give up demands for member states that break eurozone budget rules to lose voting rights and face automatic sanctions.” Clearly Germany is betting the entire ranch Europe can dig itself out of the current financial crisis.
Economists surveyed by Bloomberg believe the Fed will introduce at least $500 billion in “an unprecedented second round of unconventional monetary easing tomorrow” (Fed Will Probably Start $500 Billion of Bond Buys, Survey Shows). Some expect a severe penalty for the action: “‘I think a 20 percent decline in the dollar is possible,’ said Bill Gross, adding the pace of the currency's decline was also an important consideration for investors. “‘When a central bank prints trillions of dollars of checks, which is not necessarily what (a second round of quantitative easing) will do in terms of the amount, but if it gets into that territory—that is a debasement of the dollar in terms of the supply of dollars on a global basis,’ Gross told Reuters in an interview at his PIMCO headquarters.” Remember, "The dollar is being trashed, we've actually had effectively devaluation of about 14 percent in the last two months," according to Robin Griffiths, technical strategist at Cazenove Capital (Dollar at Risk of Becoming 'Toxic Waste').
More economic data supports the projection of a double-dip recession (Mid-America economy staggers amid weak job growth): Creighton University's Business Conditions Index fell to 52.3 in October from 56.3 in September (A reading of 50 is considered growth neutral, while a reading above that signals expansion over the next three to six months.). "Since July, the leading economic indicator has been trending downward and indicates slower growth in the months ahead. Even so, surveys are not pointing to a double dip recession," said Creighton University Economics Professor Ernie Goss in a statement.
Journalism 101 teaches students the three ‘Bs’ (babies, beauties and beasts) are what sell. So American Media Inc., publisher of the tabloid National Enquirer, announcing plans Monday to file for bankruptcy protection is another strong indicator of the severity of the financial crisis (National Enquirer publisher seeking bankruptcy protection).
At an individual level, increasing longevity and the financial crisis are forcing new realities (In Their 90s, Working For More Than Just A Paycheck), especially if Bill Gross’s projections (above) are accurate: “between 1985 and 2008, the percentage of Americans working past the age of 65 rose from 11 percent to 17 percent. According to Caitrin Lynch, an associate professor of anthropology at Olin College in Needham, it doesn't make sense anymore for people to retire at 65.”
To mitigate the effects of the financial crisis you might consider going on a Debt Diet (Overwhelmed by Debt? Go on a Debt Diet), especially since the average American ‘weighs in’ at $16,000 in debt, not including the mortgage.
GWOT: Al-Qaida took a direct shot at Christians today, killing at least 58 and wounding at least 78 after Iraqi security forces raided Our Lady of Deliverance in Baghdad during evening Mass today to end the hostage situation (58 die in siege on Baghdad Catholic church). “Prime Minister Nouri al-Maliki also condemned the siege, saying it was an attempt to drive more Christians out of the country.”
Cultural War: “While Republicans are expected to make extraordinary gains in today's elections, the most radical Democrat members of Congress—notably a House caucus founded as an arm of a Marxist socialist organization—are expected to emerge mostly unscathed,” reports WorldNetDaily.com (Congress 'socialist bloc' expected to survive vote). Almost all of the members of the Congressional Progressive Caucus, which boasts 83 members and was founded by the Democratic Socialists of America (DSA), are expected to win their Districts.
Politics: The Middle East has another potential driver for conflict (Oil and gas discoveries produce potential Israel-Lebanon flash points). “‘This is something big and potentially landscape-changing economically, financially, and politically,’ says Nassib Ghobril, head of economic research and analysis at Byblos Bank in Beirut.” The potential tension isn’t limited to Israel (Oil and Gas Finds Fueling Tension in Eastern Mediterranean): “Complicating matters is the fact that the deposits are in international waters, historically a reason for nations to call in the gun boats in the absence of a production-sharing agreements. The potential threat is heightened by the state of war between Israel and Lebanon and tension between Turkey and Cyprus over Turkey's backing of Turkish Cypriots in their dispute with the island's Greek Cypriot majority.”
After building e-VotingBooth.com and inputting 111th Congress bills and resolutions we agree with Rep. Michele Bachmann, who will set up constitutional classes for newly-elected because “There’s so many folks that come to Capitol Hill to discuss obscure and mundane topics, but no one coming regularly to discuss bill of rights or the role of government” (Bachmann wants Constitution class). Based on just one day’s reporting (above) of the condition of our country we believe time is running out for the Executive and Legislative branches to focus on Maslow’s base level needs at a country level before we’re forced to by the Chinese, Russian, Indian and Brazilian central banks.
2010 election: We have an indication of the volume of automated political calls this election (Comcast: 'Massive' Amount Of Political Calls Lead To Phone Outages). Apparently the ‘Opt-Out’ list means nothing to the politicians as our own staff report numerous calls in the last week, providing individual confirmation of lack of respect of the law.
Nevada’s Senate race provides a prelude to post-election news (Reid and Angle fight could spill into December). After hanging chads and convicted felons providing a Senate seat to Al Franken (Investigation: Franken might not have been chosen), we agree with Radhia Al-Mutawakel, a human-rights activist and the director of Hewar Organization for Democratic Development in Yemen, not only for relations between the Muslim world and the West but between the left and right (Civil society is the best way to create real change): “My personal experience with human rights work in Yemen made me believe that civil society is the best way to create real change and to create solid common ground between communities in the Muslim world and the West.” Right now we see the incivility as part of the political calculus to both gain/maintain support, as well as provide an excuse for failures.
Life’s Rich Pageant: Researchers from the world-famous Laboratory of Molecular Biology in Cambridge claim a dramatic breakthrough (A cure for the common cold may finally be achieved as a result of a remarkable discovery in a Cambridge laboratory).
We’ll definitely need their help because Soon We'll Be Drinking Recycled Pee; Some of Us Already Are.
Today’s Darwin Award goes to Robert Leroy Johnson Jr., 40, of Byers, Colorado. Byers appeared at the Arapahoe County Jail Saturday saying he wanted to turn himself in on a minor warrant. Just one problem: he forgot the vehicle he drove to jail had a dead male body in the trunk (Body In Car Trunk Killed By Gunshot To Head)!
TAKE ACTION: Please visit e-VotingBooth.com, setup your FREE account, login and vote legislation, including any previously-enacted 111th Congress (current) bills.
Why vote a bill already enacted?
Because we’re currently building our Voting Scorecard. This tool is effectively a report card and will list all your votes alongside your representative, senators, VP and President, where applicable. The bottom line number for each public servant will be a percentage indicating how each voted with or against your personal legislative desires. For example, 80% means the public servant, or potential public servant, voted with you 80% of your total votes. This is powerful information every American should have and use when making future election decisions. Though not live on the site yet, the database has been built and is current with all Roll Calls to-date.
Why vote a bill already enacted?
Because we’re currently building our Voting Scorecard. This tool is effectively a report card and will list all your votes alongside your representative, senators, VP and President, where applicable. The bottom line number for each public servant will be a percentage indicating how each voted with or against your personal legislative desires. For example, 80% means the public servant, or potential public servant, voted with you 80% of your total votes. This is powerful information every American should have and use when making future election decisions. Though not live on the site yet, the database has been built and is current with all Roll Calls to-date.
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