Category Archives: News

Worldwide news. News is information about current events. This may be provided through many different media: word of mouth, printing, postal systems, broadcasting, electronic communication, or through the testimony of observers and witnesses to events. News is sometimes called “hard news” to differentiate it from soft media

Graham: US, Saudis Cannot Move on Until Prince ‘Dealt With’

Republican U.S. Senator Lindsey Graham said Saturday the relationship between the United States and Saudi Arabia cannot move forward until Saudi Crown Prince Mohammed bin Salman is “dealt with,” without being more specific.

Speaking in Ankara a day after meeting with Turkish President Recep Tayyip Erdogan, Graham also said Congress will reintroduce sanctions against those involved in the killing of Saudi journalist Jamal Khashoggi.

“The relationship between the U.S. and Saudi Arabia cannot move forward until Crown Prince Mohammed bin Salman is dealt with,” Graham said.

Khashoggi was a prominent Saudi journalist and U.S. resident who wrote opinion columns for The Washington Post. He was killed in the Saudi consulate in Istanbul in October.

Riyadh initially denied knowledge of Khashoggi’s disappearance, then offered contradictory explanations, including that he was killed in a rogue operation.

Saudi officials have said the crown prince knew nothing of the killing. Saudi Arabia said last year that 21 Saudis were taken into custody in relation to the Khashoggi case, 11 of whom have been indicted and referred to trial.

Crown Prince Mohammed’s top aide Saud al-Qahtani was dismissed after overseeing the operation.

The United States imposed economic sanctions on 17 Saudi officials in November for their role in the Khashoggi killing.

The Senate voted in December to move ahead with a resolution to end U.S. military support for the Saudi-led coalition in the war in Yemen, and lawmakers vowed to push for sanctions against the kingdom in the new year.

James Webb Telescope Prepping for Launch

Humanity’s efforts to move into and peer into space seem to be experiencing something of a renaissance in the past few weeks. NASA’s pictures of Ultima Thule continue to astound, as do Chinese pictures from their probe on the far side of the moon. Coming soon, the James Webb Telescope will allow NASA to look even farther into the great beyond. VOA’s Kevin Enochs reports.

Stocks Rally on Trade Hopes, Dollar Has 1st Weekly Gain of 2019

World stock indexes jumped on Friday, with Wall Street posting a fourth straight week of gains, and the dollar had its first positive week since mid-December as optimism increased that an end is in sight to the U.S.-China trade conflict.

Stocks were boosted by a Bloomberg report that said China sought to raise its annual goods imports from the United States by more than $1 trillion in order to reduce its trade surplus to zero by 2024.    

That followed a report on Thursday that U.S. Treasury Secretary Steven Mnuchin was considering lifting some or all tariffs imposed on Chinese imports. The Treasury denied Mnuchin had made any such recommendation.

Progress in trade talks

While the equity rally lifted all major sectors, trade-sensitive industrials posted among the biggest S&P 500 sector gains, up 1.9 percent on the day. The Philadelphia SE semiconductor index rose more than 2 percent and Germany’s exporter-heavy DAX was up 2.6 percent.    

“There seems to be some progress going in the trade negotiations,” said Bucky Hellwig, senior vice president at BB&T Wealth Management in Birmingham, Alabama.

While that was the biggest influence, “we’ve still got momentum since the first of the year,” he said. “Some of the money that came out of the market at year-end, whether it was high frequency traders or tax-loss selling, is coming back in.”

Adding to strength in equities and supporting U.S. Treasury yields was data that showed U.S. manufacturing output increased the most in 10 months in December. 

Some strategists said relatively light equity trading volume this week indicated that some investors were still waiting on the sidelines.    

The Dow Jones Industrial Average rose 336.25 points, or 1.38 percent, to 24,706.35, the S&P 500 gained 34.75 points, or 1.32 percent, to 2,670.71 and the Nasdaq Composite added 72.77 points, or 1.03 percent, to 7,157.23.

The S&P 500 registered its biggest four-week percentage gain since October 2011. The index is now 8.9 percent below its Sept. 20 record close after dropping 19.8 percent below that level — near the 20-percent threshold commonly considered to confirm a bear market — on Christmas Eve.

STOXX 600 index is up

The pan-European STOXX 600 index rose 1.80 percent and MSCI’s gauge of stocks across the globe gained 1.23 percent.

Chinese Vice Premier Liu He will visit the United States on Jan. 30 and 31 for another round of talks aimed at resolving the trade dispute between the world’s two largest economies.

Recent indicators show signs that the Chinese economy is losing momentum.

The trade optimism boosted the dollar against other major currencies.

The dollar index rose 0.31 percent, with the euro down 0.26 percent to $1.1365.

U.S. Treasury yields rose to three-week highs as investors piled back into Wall Street.  

Oil prices jump

Benchmark 10-year notes last fell 12/32 in price to yield 2.7878 percent, compared with 2.747 percent late on Thursday.

Oil prices jumped about 3 percent, rising after OPEC detailed specifics on its production-cut activity to ease global oversupply.   

Brent crude gained $1.52 to settle at $62.70 a barrel, or 2.48 percent higher. U.S. WTI crude futures added $1.73 to settle at $53.80 a barrel, or 3.32 percent up.

 

Report: Facebook’s Privacy Lapses May Result in Record Fine

Facebook may be facing the biggest fine ever imposed by the U.S. Federal Trade Commission for privacy violations involving the personal information of its 2.2 billion users.

The FTC is considering hitting Facebook with a penalty that would top its previous record fine of $22.5 million, which it dealt to Google in 2012 for bypassing the privacy controls in Apple’s Safari browser, according to The Washington Post. The story published Friday cited three unidentified people familiar with the discussions.

In an automated response, the FTC said it was unable to comment, citing its closure due to the U.S. government shutdown. Facebook declined to comment.

The potential fine stems from an FTC investigation opened after revelations that data mining firm Cambridge Analytica had vacuumed up details about as many as 87 million Facebook users without their permission.

The FTC has been exploring whether that massive breakdown violated a settlement that Facebook reached in 2011 after government regulators had concluded the Menlo Park, California, company had repeatedly broken its privacy promises .

The FTC decree, which runs through 2031, requires Facebook to get its users’ consent to share their personal information in ways that aren’t allowed by their privacy settings.

Since the Cambridge Analytica erupted 10 months ago, Facebook has vowed to do a better job corralling its users’ data. Nevertheless, its controls have remained leaky. Just last month, the company acknowledged a software flaw had exposed the photos of about 7 million users to a wider audience than they had intended.

The FTC’s five commissioners have discussed fining Facebook but haven’t settled on the amount yet, according to the Post.

Facebook’s privacy problems are also under investigation in other countries and the target of a lawsuit filed last month by Washington, D.C., Attorney General Karl Racine.

US Consumer Morale at Two-year Low; Factory Output Surges

U.S. consumer sentiment tumbled in early January to its lowest level since President Donald Trump was elected more than two years ago as a partial shutdown of the federal government and financial market

volatility stoked fears of a sharp deceleration in economic growth.

The drop in confidence reported by the University of Michigan on Friday was the clearest sign yet that the impasse in Washington over Trump’s demands for $5.7 billion to help build a wall on the U.S. border with Mexico was negatively affecting the economy.

Trump has touted high consumer confidence as an indication of the good job he is doing on the economy. While consumer sentiment remains relatively high, the gathering clouds over the economy could make households

more cautious about spending, leading to slower growth. Consumer spending accounts for more than two-thirds of the U.S. economy.

“This report on consumer sentiment is the first concrete evidence that the economy is going to fall and fall hard if Washington does not end the shutdown,” said Chris Rupkey, chief economist at MUFG in New York. “It is going to be hard to see real GDP growth of more than 1 to 1½ percent in the first quarter if the consumer goes on a buying strike.”

The longest government shutdown in U.S. history has left 800,000 government workers without paychecks. Private contractors working for many government agencies are also without wages.

The University of Michigan said its consumer sentiment index fell 7.7 percent to a reading of 90.7 this month, the lowest reading since October 2016 and the steepest drop since September 2015. Economists had forecast a reading of a 97.0.

The survey’s measure of current economic conditions decreased to 110.0 from a reading of 116.1 in December. Its measure of consumer expectations tumbled to a reading of 78.3, the lowest since October 2016, from 87.0 in late December.

Several factors

The University of Michigan attributed the decline in sentiment to “a host of issues including the partial government shutdown, the impact of tariffs, instabilities in financial markets, the global slowdown, and the lack of clarity about monetary policies.”

It said that half of the survey’s respondents “believed that these events would have a negative impact on Trump’s ability to focus on economic growth.”

Economists estimate the partial shutdown of the government, which started Dec. 22, is subtracting as much as two-tenths of a percentage point from quarterly GDP growth every week.

Other surveys have also shown an ebb in business sentiment.

“Sentiment among both households and businesses has been coming off the sugar highs, which were caused by tax cut hopes at the beginning of the Trump presidency,” said Harm Bandholz, chief U.S. economist at UniCredit in New York.

U.S. financial markets shrugged off the fall in sentiment, with investors focusing on another report Friday that showed manufacturing output had surged by the most in 10 months in December, and on hopes for progress in the U.S.-China trade row.

Stocks on Wall Street rallied, while the dollar rose against a basket of currencies and U.S. Treasury prices fell.

Factory activity

The broad-based jump in manufacturing output in December reported by the Federal Reserve could allay fears of a sharp slowdown in factory activity.

Manufacturing activity, which accounts for about 12 percent of the economy, is slowing as some of the boost to capital spending from last year’s $1.5 trillion tax cut package fades.

In addition, a strong dollar and cooling growth in Europe and China are hurting exports. Lower oil prices are also slowing purchases of equipment for oil and gas well drilling.

Production at factories increased at a 2.3 percent annualized rate in the fourth quarter after expanding at a 3.7 percent pace in the July-September period. It increased 2.4 percent in 2018, the largest gain since 2012, after advancing 1.2 percent in 2017.

“While the manufacturing strength in December is a favorable signal for the economy, we should keep in mind that it came after soft results in earlier months,” said Daniel Silver, an economist at JPMorgan in New York. “A broad range of manufacturing surveys also have been weakening lately, so the strength in the manufacturing output in December may prove to be short-lived.”

Last month, motor vehicle production surged 4.7 percent after gaining 0.2 percent in November. Excluding motor vehicles and parts, manufacturing advanced a solid 0.8 percent last month after gaining 0.1 percent in November.

December’s surge in manufacturing output, together with a rise in mining production, offset a weather-related drop in utilities, leading to a 0.3 percent increase in industrial production. Industrial output rose 0.4 percent in November. It increased at a 3.8 percent rate in the fourth quarter after

notching a 4.7 percent gain in the third quarter.

Technology Near for Real-Time TV Political Fact Checks

A Duke University team expects to have a product available for election year that will allow television networks to offer real-time fact checks onscreen when a politician makes a questionable claim during a speech or debate.

The mystery is whether any network will choose to use it.

The response to President Donald Trump’s Jan. 8 speech on border security illustrated how fact-checking is likely to be an issue over the next two years. Networks briefly considered not airing Trump live and several analysts contested some of his statements afterward, but nobody questioned him while he was speaking.

Duke already offers an app, developed by professor and Politifact founder Bill Adair, that directs users to online fact checks during political events. A similar product has been tested for television, but is still not complete.

The TV product would call on a database of research from Politifact, Factcheck.org and The Washington Post to point out false or misleading statements onscreen. For instance, Trump’s statement that 90 percent of the heroin that kills 300 Americans each week comes through the southern border would likely trigger an onscreen explanation that much of the drugs were smuggled through legal points of entry and wouldn’t be affected by a wall.

The Duke Tech & Check Cooperative conducted a focus group test in October, showing viewers portions of State of the Union speeches by Trump and predecessor Barack Obama with fact checks inserted. It was a big hit, Adair said.

“People really want onscreen fact checks,” he said. “There is a strong market for this and I think the TV networks will realize there’s a brand advantage to it.”

Networks mum

If that’s the case, the networks aren’t letting on. None of the broadcast or cable news divisions would discuss Duke’s product when contacted by The Associated Press, or their own philosophies on fact checking.

Network executives are likely to tread very carefully, both because of technical concerns about how it would work, the risk of getting something wrong or the suspicion that some viewers might consider the messages a political attack.

“It’s an incredibly difficult challenge,” said Mark Lukasiewicz, longtime NBC News executive who recently became dean of Hofstra University’s communications school.

Adair said the system will be automated. Mindful that many politicians repeat similar claims, the database will be triggered when code phrases that have been fact-checked before come up. An onscreen note would either explain that a claim is false or misleading and direct viewers to a website where they can find more information, or provide a succinct explanation of why it is being challenged. He envisions an average of one fact check popping up every two minutes. A network using the service would likely air the speech or debate on a delayed basis of about a minute.

Lukasiewicz said network executives would likely be wary of letting an outside vendor decide what goes on their screen. Adair said anyone who uses the system would be given veto power over what information is being displayed.

CNN and MSNBC have been most aggressive in using onscreen notes, called chyrons, to counter misleading statements by Trump, although neither did during the border speech. Among the post-speech analyses, Shepard Smith’s rapid-fire reality check on Fox broadcast during the three-minute pause before Democrats spoke was particularly effective. But critics like the liberal watchdog Media Matters for America said anyone who turned the coverage off when Trump stopped speaking was exposed to no questioning of his words.

Complicated, cumbersome

“There is a responsibility to not just be a blind portal and just let things go unchallenged,” said David Bohrman, a former CNN Washington bureau chief who consulted on MSNBC’s 2016 election coverage. “The goal is a good one. The execution is a challenge.”

A technical junkie, Bohrman said he explored different approaches for real-time TV fact-checking while at CNN, but they ultimately proved too complicated and cumbersome.

For networks, an incorrect onscreen fact-check would be a public relations disaster. Politicians also make many statements that a critic might question but isn’t necessarily factually incorrect. For example, Trump’s contention that there is a “crisis” at the southern border: Is that a fact or matter of interpretation?

Rest assured, people will be watching. Very carefully.

Even Tim Graham, director of media analysis at the conservative Media Research Center, concedes that “we all understand that President Trump has a casual approach to factivity.”

But conservatives are deeply suspicious that Trump’s words are being watched more carefully than those of Democrats. They will notice and take offense if Trump is corrected on the air much more than his rivals, he said, no matter if Trump actually makes more false or misleading statements.

“People aren’t going to trust you,” he said, “because they know what the objective is. The objective is to ruin the president.”

Adair stressed that his product is nonpartisan. He believes television networks will catch on at some point because they will realize that their viewers want quick fact-checking.

“Anyone who criticizes will get criticized for criticizing,” Bohrman said. “But the reality is we may be able to help the viewers.”

US House to Probe Report Trump Directed Lawyer to Lie to Congress

The Democratic chairmen of two House committees pledged Friday to investigate a report that President Donald Trump directed his personal attorney to lie to Congress about negotiations over a real estate project in Moscow during the 2016 election.

House Intelligence Committee Chairman Adam Schiff, D-Calif., said “we will do what’s necessary to find out if it’s true.” He said the allegation that Trump directed Michael Cohen to lie in his 2017 testimony to Congress “in an effort to curtail the investigation and cover up his business dealings with Russia is among the most serious to date.”

The chairman of the House Judiciary Committee, Rep. Jerrold Nadler of New York, said directing a subordinate to lie to Congress is a federal crime.

“The @HouseJudiciary Committee’s job is to get to the bottom of it, and we will do that work,” Nadler tweeted.

The report by BuzzFeed News, citing two unnamed law enforcement officials, says that Trump directed Cohen to lie to Congress and that Cohen regularly briefed Trump and his family on the Moscow project — even as Trump said he had no business dealings with Russia.

The Associated Press has not independently confirmed the BuzzFeed report.

An adviser to Cohen, Lanny Davis, declined to comment on the substance of the article, saying that he and Cohen wouldn’t answer questions out of respect for special counsel Robert Mueller’s Russia probe. Mueller is investigating Russia meddling in the election and contacts with the Trump campaign.

The BuzzFeed story says that Cohen told Mueller that Trump personally instructed him to lie about the timing of the project in order to obscure Trump’s involvement.

Trump’s lawyer, Rudy Giuliani, scoffed at the report, saying in a statement, “If you believe Cohen I can get you a good all cash deal on the Brooklyn Bridge.”

Cohen pleaded guilty in November to lying to Congress in 2017 to cover up that he was negotiating the real estate deal in Moscow on Trump’s behalf during the heat of his presidential campaign. The charge was brought by Mueller and was the result of his cooperation with that probe.

Cohen was recently sentenced to three years in prison after pleading guilty to tax crimes, bank fraud and campaign violations. He is scheduled to testify before the House Oversight and Reform Committee February 7.

The report comes as House Democrats have promised a thorough look into Trump’s ties to Russia. Though House Speaker Nancy Pelosi has discouraged any talk of impeachment in the early days of her new majority, some senior Democrats said that if the BuzzFeed report is true, Trump’s actions could rise to that level.

“If the @BuzzFeed story is true, President Trump must resign or be impeached,” tweeted Texas Rep. Joaquin Castro, a member of the House intelligence panel.

Rhode Island Rep. David Cicilline, a member of the House Judiciary Committee, tweeted that if Trump directed Cohen to lie, “that is obstruction of justice. Period. Full stop.”

William Barr, Trump’s nominee for attorney general, said at his Senate confirmation hearing Tuesday that a president or anyone else who directs a witness to lie is illegally obstructing an investigation. That statement attracted attention given Barr’s expansive views of presidential powers and his belief that presidents can’t be scrutinized by prosecutors for acts the Constitution allows them to take.

Pelosi Delays Afghan Trip After Trump Leaks Travel Plans

U.S. House Speaker Nancy Pelosi cancelled plans Friday to fly commercially to Afghanistan after her office said President Donald Trump announced the sensitive travel plans, significantly increasing the security threat on the ground according to a State Department assessment.

A spokesperson for Pelosi’s office said in a statement “the administration had leaked the commercial travel plans as well.”

Trump revoked the use of a military plane for Pelosi and Democratic members of Congress’ planned trip to Afghanistan and Brussels late Thursday, the latest maneuver in a bitter political battle over the longest government shutdown in U.S. history.

In a letter to the speaker of the House, the president denied Pelosi and members of Congress the use of a military plane to meet with NATO allies in Brussels and U.S. troops in Afghanistan, writing “in light of the 800,000 great American workers not receiving pay, I am sure you would agree that postponing this public relations event is totally appropriate.”

 

A spokesperson for Pelosi’s office said the trip would have provided “critical national security and intelligence briefings” as well as served as an opportunity for Pelosi to thank the troops.

The speaker’s office said “in light of the grave threats caused by the president’s action, the delegation has decided to postpone the trip so as not to endanger our troops or security personnel.”

The president’s letter did not directly address Pelosi’s call Wednesday for Trump to delay his scheduled Jan. 29 State of the Union address until government funding is restored and the shutdown ends.

 

“This is completely inappropriate by the president,” House Intelligence Committee Chairman Adam Schiff told reporters outside Pelosi’s office Thursday. “We’re not going to allow the president of the United States to tell the Congress it can’t fulfill its oversight responsibilities.”

The back-and-forth between the White House and the speaker of the House meant there is no end in sight for a partial federal government shutdown, which will soon enter its fifth week. The shutdown was triggered by a standoff between Democrats and Republicans over funding for construction of a wall along the U.S.-Mexican border.

“While many Democrats in the House and Senate would like to make a deal, Speaker Pelosi won’t let them negotiate,” Trump said in a speech at the Defense Department. “Hopefully, Democrat lawmakers will step forward to do what is right for our country, and what’s right for our country is border security at the strongest level.”

 

Democrats insist they will negotiate stronger, more effective border security measures once the government reopens, but that a border wall would be wasteful, ineffective and a blight on America’s image.

 

Pelosi, the top-ranking congressional Democrat, said Trump’s “insistence on the wall is a luxury we can no longer afford.”

Later Thursday, Trump also canceled a planned trip by a U.S. delegation to the World Economic Forum in Davos, Switzerland.  The delegation, consisting  of Treasury Secretary Steve Mnuchin, Secretary of State Mike Pompeo, Secretary of Commerce Wilbur Ross, U.S. trade representative Robert Lighthizer and assistant to the president Chris Liddell, was scheduled to travel next week.

White House Press Secretary Sarah Sanders said the president wanted to make sure “his team can assist as needed” during the government shutdown.

Hundreds of thousands of federal workers missed a paycheck last week and are set to miss another next week.

 

“Not only are these workers not paid, they are not appreciated by this administration,” said Pelosi, who leads the Democratic majority in the House of Representatives. “We should respect what they do for their country.”

 

Pelosi’s move on the State of the Union drew sharp criticism from Senate Republicans.

 

“By disinviting POTUS for SOTU, Pelosi erased any pretext for her unwillingness to negotiate an end to the shutdown. It is personal, petty, and vindictive,” Senator John Cornyn from Texas tweeted Thursday.

 

Trump has called for more than $5 billion in taxpayer funding for the wall, while Democrats have offered $1.3 billion in new money for border security, but none specifically for a wall.

 

EU Wants to Exclude Agriculture From Trade Talks With US

The European Union insisted Friday that agriculture be kept out of the EU-U.S. trade negotiations, despite Washington’s wishes to include the vast sector, and said any overall deal will be limited in scope.

The EU Commission announced its pro posals for a negotiating mandate from the 28 member states and said that the EU negotiations will be “strictly focused on the removal of tariffs on industrial goods, excluding agricultural products.”

EU Trade Chief Cecilia Malmstrom also said that she is preparing a target list of American products it will hit with punitive tariffs if the Trump administration goes through with its threat to impose duties on European auto imports.

Last July, during a period of heightened tensions over trade, U.S. President Donald Trump and EU Commission President Jean-Claude Juncker agreed to start talks meant to achieve “zero tariffs” and “zero subsidies” on non-automotive industrial goods.

With the U.S. criticizing the Europeans for allegedly dragging their feet in the talks, Malmstrom said “the EU is committed to upholding its side of the agreement reached by the two Presidents.”

Any agreement would fall well short of the scope of the free trade deal that had been discussed in recent years — but paused in 2016 after Trump slammed such wide-ranging international deals as unfair to the U.S.

Instead, Malmstrom said, the deal both sides are now looking at could be concluded “quite quickly. We could finalize this and it would be beneficial to all of us.”

 

Tesla Plans 7 Percent Staff Cut, Says Bumpy Road Ahead

Electric car and solar panel maker Tesla said Friday it plans to cut its staff by about 7 percent.

“The road ahead is very difficult,” the company’s founder and CEO Elon Musk said in an email to employees posted on the company’s website.

He said Tesla Inc. hopes to post a “tiny profit” in the current quarter but that after expanding its workforce by 30 percent last year, it cannot support that size of staff.

Musk said in a tweet in October that Tesla had 45,000 employees. A 7 percent cut would involve laying off about 3,150 people.

Tesla’s shares tumbled earlier this month after it cut vehicle prices by $2,000 and announced fourth-quarter sales figures that fell short of Wall Street estimates.

“Our products are too expensive for most people,” Musk said in the memo to Tesla staff saying the company has to “work harder.”

“Tesla has only been producing cars for about a decade and we’re up against massive, entrenched competitors,” he said.

The company says it delivered over 245,000 electric cars and SUVs last year, nearly as many as all previous years combined. But its 2018 production fell far short of a goal set nearly three years ago of manufacturing 500,000 vehicles for the year. That goal was announced in May of 2016 based on advance orders for its mid-range Model 3, which sells for $44,000.

Musk said Tesla plans to ramp up production of the Model 3, “as we need to reach more customers who can afford our vehicles.”

“Attempting to build affordable clean energy products at scale necessarily requires extreme effort and relentless creativity,” he said in the memo, “but succeeding in our mission is essential to ensure that the future is good, so we must do everything we can to advance the cause.”

Watchdog: Thousands More Children May Have Been Separated

Thousands more migrant children may have been split from their families than the Trump administration previously reported, in part because officials were stepping up family separations long before the border policy that prompted international outrage last spring, a government watchdog said Thursday.

It’s unclear just how many family separations occurred at the U.S.-Mexico border; immigration officials are allowed under longstanding policy to separate families under certain circumstances. Health and Human Services, the agency tasked with caring for migrant children, did not adequately track them until after a judge ruled that children must be reunited with their families, according to the report by the agency’s inspector general.

Ann Maxwell, assistant inspector general for evaluations, said the number of children removed from their parents was certainly larger than the 2,737 listed by the government in court documents. Those documents chronicled separations that took place as parents were criminally prosecuted for illegally entering the country under President Donald Trump’s “zero tolerance” policy.

“It’s certainly more,” Maxwell said. “But precisely how much more is unknown.”

Maxwell said investigators didn’t have specific numbers, but that Health and Human Services staff had estimated the tally to be in the thousands.

Lee Gelernt, an American Civil Liberties Union attorney who sued on behalf of a mother separated from her son, said the separation policy “was a cruel disaster from the start. This report reaffirms that the government never had a clear picture of how many children it ripped from their parents.”

Most of the tens of thousands of children who come into government custody cross the border alone. But the report found that in late 2016, 0.3 percent of children turned over to Health and Human Services had crossed with a parent and were separated. By the summer of 2017, that percentage had grown to 3.6 percent, officials said. The watchdog did not give exact numbers, but the total number of migrant children who passed through the agency’s care during the 2017 budget year was 40,810. The separated children had already been released to sponsors, who are generally parents or other close relatives.

The inspector general did not say why the children had been separated before the zero-tolerance policy. Immigration officials are allowed to take a child from a parent in certain cases — serious criminal charges against a parent, concerns over the health and welfare of a child or medical concerns. That policy has long been in place.

Katie Waldman, a spokeswoman for Homeland Security, said the report reinforced what officials have long said. “For more than a decade it was and continues to be standard for apprehended minors to be separated when the adult is not the parent or legal guardian, the child’s safety is at risk” or there’s a record of a “serious criminal activity by the adult,” she said.

In some cases, however, Homeland Security officials said a parent had a criminal history but did not offer details on the crimes, the watchdog reported.

The number of families coming across the border has grown even as overall illegal border crossings have decreased dramatically compared with historic trends. Over the past three months, families made up the majority of Border Patrol arrests.

The Administration for Children and Families, the division under Health and Human Services that manages the care of unaccompanied minors, said it generally agreed with the findings and noted the report did not find that the agency lost track of children under its care. It also noted new policies were in place to help track newly separated children. And the court never instructed officials to determine the number of children separated before the June 26 ruling.

Last spring, then-Attorney General Jeff Sessions said anyone caught crossing the border illegally would be criminally prosecuted. Families were brought into custody by U.S. Border patrol officials, then their parents taken to criminal court. If the parents were gone longer than 72 hours — the length of time Border Patrol is allowed to hold children — the children were transferred to the custody of Health and Human Services.

The practice prompted an outcry, with church groups and lawmakers calling the separations inhumane. Trump ordered an end to the separations on June 20. At the time, a federal judge who was already hearing the case of a mother separated from her son ruled that children must be reunited with their parents. Since the court order, 118 children have been separated.

Despite “considerable” effort by Health and Human Services to locate all the children placed in its care, the report said officials were still finding new cases as long as five months after the judge’s order requiring reunifications.

“There is even less visibility for separated children who fall outside the court case,” investigators concluded.

They said it’s not clear the system put in place to track separated children is good enough. And the lack of detail from immigration authorities continues to be an issue.

The border remains a crucible for the Trump administration, with a partial government shutdown that has dragged on nearly a month over the president’s demand for $5.7 billion for a border wall that congressional Democrats are unwilling to provide.

The inspector general’s office was also looking into other aspects of the separations, including the health and mental well-being of the children who had been separated. It expects to have other reports on the topic.

Democratic Rep. Bennie Thompson of Mississippi, chairman of the House Homeland Security Committee, said he would hold the government accountable in the matter. “The Trump administration, with its unique blend of incompetence, cruelty, and disregard for basic decency, misled the American public on one of its most heinous policies to date,” he said in a statement.

 

Gloomy Davos: Plenty of Crises, Few World Leaders

An array of crises will keep several world leaders away from the annual World Economic Forum (WEF) in Davos next week, which takes place against a backdrop of deepening gloom over the global economic and political outlook.

Anxieties over trade disputes, fractious international relations, Brexit and a growth slowdown that some fear could tip the world economy into recession are set to dominate the Jan. 22-25 Alpine meeting.

The WEF’s own Global Risks Report set the tone this week with a stark warning of looming economic headwinds, in part because of geopolitical tensions among major powers.

​No Trump, Macron or May

Some 3,000 business, government and civil society figures are scheduled to gather in the snow-blanketed ski resort, but among them are only three leaders of the Group of Seven most industrialized countries: Japanese Prime Minister Shinzo Abe, German Chancellor Angela Merkel and Italian Premier Giuseppe Conte.

Donald Trump, who stole the Davos limelight last year with a rare appearance by a sitting U.S. president, pulled out of this year’s event as he grapples with a partial U.S. government shutdown.

On Thursday, the White House said Trump had also canceled his delegation’s trip to Davos because of the shutdown, now in its 27th day. Treasury Secretary Steven Mnuchin and Secretary of State Mike Pompeo had been expected to lead the U.S. team, according to two senior administration officials.

French President Emmanuel Macron is also skipping the meeting as he seeks to respond to the “yellow vest” protests, while British Prime Minister Theresa May battles to find a consensus on Brexit.

​No Xi, either

Outside the G7, the leaders of Russia and India are shunning Davos, while China —whose president, Xi Jinping, was the first Chinese leader to attend the elite gathering in 2017 to offer a vigorous defense of free trade — is sending Xi’s deputy instead.

That will leave the likes of British Finance Minister Philip Hammond, Chinese Vice President Wang Qishan and a host of central bankers with the task of trying to reassure business chiefs.

“Davos will be dominated by a high level of anxiety about stock markets, a slowdown in growth and international politics,” said Nariman Behravesh, chief economist at IHS Markit. “The leadership presence is lower than last year but those who are going … will be seeking to impart a sense of confidence and calm business and investors’ nerves.”

​Forum still has its glitz

Before the U.S. cancellation, a Trump administration official had said the U.S. delegation would also discuss the importance of reforming institutions such as the World Trade Organization, the International Monetary Fund and the World Bank.

Trump has harshly criticized globalization and questioned U.S. participation in multilateral institutions such as the WTO, calling for a revamp of international trade rules.

Davos watchers said the absence of so many top leaders this year did not mean the glitzy forum had lost its status as a global stage for top politicians to present their agendas.

“Abe is going to Davos not just as Japanese prime minister but also as chair of the G20. It will be a perfect opportunity to lay the groundwork of upcoming G20 meetings,” said a Japanese government source familiar with international affairs.

“Of course there may be inconveniences such as missing opportunities to hold bilateral meetings, but that won’t undermine the importance of Davos,” he said.

A Chinese official who has attended Davos regularly but will not go this year said China had never expected to make progress at the meeting on the trade dispute with the United States. 

“It’s just an occasion for making a policy statement,” he said.

​Networking opportunities

The low turnout among major Western leaders may also give more prominence to political personalities who may otherwise be upstaged. Davos will be the first major international outing for Brazilian President Jair Bolsonaro, elected on a wave of anti-establishment and conservative nationalism also seen elsewhere.

He said on Twitter he would present “a different Brazil, free of ideological ties and widespread corruption.”

For business chiefs, the value of Davos lies not so much in the public sessions but in the networking and deal-making opportunities on the sidelines of the main conference.

“It’s the best place to pitch for ideas, build connections and get your brand known,” said Chen Linchevski, chief executive of Precognize, an Israel-based start-up developing software that prevents technical or quality failures at manufacturing plants.

“It’s the kind of place where in a few days you meet people you wouldn’t easily meet otherwise,” said Linchevski, who is paying 50,000 Swiss francs ($50,495) to attend the event.

State Department May Ask to Scrap Another Obama Climate Order

The U.S. State Department said in a report released Thursday by the investigative arm of Congress that it may recommend President Donald Trump revoke an Obama-era order directing federal agencies to consider climate change in international development programs.

Such a move would deepen the Trump administration’s already broad rejection of former President Barack Obama’s policies on global warming, which Trump has repeatedly suggested is not as serious as scientists claim.

In the 2014 executive order, Obama directed the State Department and other agencies to factor climate resilience into development programs to help vulnerable populations around the world protect themselves from the effects of droughts, floods and storms exacerbated by climate change.

Order weakened

The State Department said in the General Accountability Office, or GAO, report published Thursday that its foreign assistance and budget bureaus “will begin working with stakeholders to consider whether to recommend that the Secretary (Mike Pompeo) ask the president to rescind” the order.

The State Department’s comment came in response to a GAO recommendation that it improve guidance to foreign bureaus on the geopolitical risks of climate change.

The GAO report said the State Department has identified migration of vulnerable populations in countries that face conflicts as a risk of climate change, but that Obama’s executive order has in effect been weakened because missions are not assessing the risks.

Unusual response

The State Department said “it does not oppose” the GAO’s recommendation. But if Trump reverses Obama’s executive order, it would not be required to improve the guidance.

The State Department’s response to the GAO was a highly unusual way for a federal department to signal potential policy initiatives, said a GAO official, who spoke on condition of anonymity.

Trump has made reversing Obama-era executive orders and regulations on climate a priority since his early weeks in office, mainly as a way of reducing the regulatory burden on the oil, gas and coal industries.

The GAO report was commissioned by Democratic Senators Sheldon Whitehouse and Dianne Feinstein and others.

The State Department and the White House did not immediately respond to a request for comment. 

N. Korea Envoy in US for Talks with Pompeo, Possibly Trump

A North Korean envoy arrived in Washington on Thursday for expected talks with Secretary of State Mike Pompeo and a possible encounter with President Donald Trump aimed a laying the groundwork for a second U.S.-North Korea summit.

The envoy arrived on the same day Trump unveiled a revamped U.S. missile defense strategy that singled out North Korea as an ongoing and “extraordinary threat,” seven months after he declared after his first summit with leader Kim Jong Un that the North Korean threat had been eliminated.

Kim Yong Chol, Pyongyang’s lead negotiator in denuclearization talks with the United States, was due to meet Pompeo and could also go to the White House on Friday, a person familiar with the plan said, a sign of potential movement in a diplomatic effort that has appeared stalled for months.

The North Korean visit could yield an announcement of plans for another summit between Trump and Kim Jong Un, the source said, speaking on condition of anonymity.

There has been no indication, however, of any narrowing of differences over U.S. demands that North Korea abandon a nuclear weapons program that threatens the United States or Pyongyang’s demand for a lifting of punishing sanctions.

Kim Yong Chol, a hardline former spy chief, arrived in Washington on a commercial flight from Beijing, South Korea’s Yonhap news agency reported.

Pompeo had planned to meet his North Korean counterpart to discuss a second summit last November, but the meeting was postponed at the last moment.

Diplomatic contact was resumed after Kim Jong Un delivered a New Year speech in which he said he was willing to meet Trump “at any time,” South Korea’s ambassador to the United States, Cho Yoon-je, told reporters last week.

Kim Yong Chol was last in Washington in June, when he delivered a letter from Kim Jong Un to Trump that opened the way for the June 12 summit in Singapore.

That meeting yielded a pledge from the latter to work toward denuclearization of the Korean peninsula and Trump declared the next day that there was “no longer a nuclear threat from North Korea.”

There has been little obvious progress since, however, which was underlined by the Missile Defense Review unveiled Thursday.

Introducing the report, acting U.S. Defense Secretary Patrick Shanahan noted that North Korean missiles remained a “significant concern.” Trump himself only mentioned North Korea in passing at the same event, saying negotiations he had conducted should have been done years ago.

‘Concrete steps’

U.S. Vice President Mike Pence acknowledged on Wednesday that efforts to persuade North Korea to give up its nuclear arsenal had not made headway.

“While the president is promising dialogue with Chairman Kim, we still await concrete steps by North Korea to dismantle the nuclear weapons that threaten our people and our allies in the region,” Pence said in an address to U.S. ambassadors and other senior American diplomats at the State Department.

Trump said on Jan. 2 that he had received a “great” letter from Kim Jong Un and would probably meet him again in the not-too-distant future, but there was no rush.

Pyongyang had stopped missile and bomb testing and if it had not been for his administration “you’d be having a nice big fat war in Asia,” he said.

CNN quoted a source familiar with the U.S.-North Korea talks as saying that Kim Yong Chol would be carrying a new letter from Kim Jong Un to Trump.

Kim Yong Chol will be the first top North Korean official to stay overnight in Washington since the late Vice Marshal Jo Myong Rok did so ahead of talks with then-President Bill Clinton and Secretary of State Madeleine Albright in 2000.

Communist-ruled Vietnam, which has good relations with both the United States and North Korea, has been widely touted as the most likely venue for a second meeting between Trump and Kim Jong Un.

The Washington Post quoted people familiar with recent diplomatic activity as saying that if announced soon, the summit would probably take place in March or April, with the coastal city of Danang the most likely venue.

US Appeals Court Will Not Delay Net Neutrality Case

A federal appeals court said Thursday it would not delay oral arguments set for Feb. 1 on the Trump administration’s decision to repeal the 2015 landmark net neutrality rules governing internet providers.

The Federal Communications Commission (FCC) on Tuesday asked the court to delay the arguments over its December 2017 repeal, citing the partial government shutdown. Without comment, the court denied the request.

The FCC had no immediate comment on the decision.

A group of 22 state attorneys general and the District of Columbia have asked the court to reinstate the Obama-era internet rules and block the FCC’s effort to pre-empt states from imposing their own rules guaranteeing an open internet.

Several internet companies are also part of the legal challenge, including Mozilla Corp, Vimeo Inc and Etsy Inc, as well as numerous media and technology advocacy groups and major cities, including New York and San Francisco.

The FCC voted to reverse the rules that barred internet service providers from blocking or throttling traffic, or offering paid fast lanes, also known as paid prioritization.

The FCC said providers must disclose any changes in users’ internet access.

‘Misguided’ repeal

The net neutrality repeal was a win for providers like Comcast Corp, AT&T Inc and Verizon Communications Inc, but was opposed by internet companies like Facebook Inc, Amazon.com Inc and Alphabet Inc.

Major providers have not made any changes in how Americans access the internet since the repeal.

FCC Commissioner Jessica Rosenworcel, a Democrat, said on Thursday that the lawsuits are aimed at overturning the agency’s “misguided” repeal of the Obama rules. “The fight for an open internet continues,” she wrote on Twitter.

The panel hearing the case is made up of Judges Robert Wilkins and Patricia Millett, two appointees of Barack Obama, and Stephen Williams, an appointee of Republican Ronald Reagan.

In October, California agreed not to enforce its own state net neutrality law until the appeals court’s decision on the 2017 repeal and any potential review by the U.S. Supreme Court.

Trump Cancels Pelosi-led Trip to Afghanistan, Brussels

U.S. President Donald Trump forced House Speaker Nancy Pelosi to cancel a planned trip to Afghanistan and Brussels on Thursday, the latest maneuver in a bitter political battle over the longest government shutdown in U.S. history.

In a letter to the speaker of the House, Trump denied Pelosi and members of Congress the use of a military plane to meet with NATO allies in Brussels and U.S. troops in Afghanistan, writing “in light of the 800,000 great American workers not receiving pay, I am sure you would agree that postponing this public relations event is totally appropriate.”

A spokesperson for Pelosi’s office said the trip would have provided “critical national security and intelligence briefings,” as well as serving as an opportunity for Pelosi to thank the troops.

The president’s letter did not directly address Pelosi’s call Wednesday for Trump to delay his scheduled Jan. 29 State of the Union address until government funding is restored and the shutdown ends.

“This is completely inappropriate by the president,” House Intelligence Committee Chairman Adam Schiff told reporters outside Pelosi’s office. “We’re not going to allow the president of the United States to tell the Congress it can’t fulfill its oversight responsibilities.”

The back-and-forth between the White House and the speaker of the House meant there is no end in sight for a partial federal government shutdown, which will soon enter its fifth week. The shutdown was triggered by a standoff between Democrats and Republicans over funding for construction of a wall along the U.S.-Mexico border.

“While many Democrats in the House and Senate would like to make a deal, Speaker Pelosi won’t let them negotiate,” Trump said in a speech at the Defense Department. “Hopefully, Democrat lawmakers will step forward to do what is right for our country, and what’s right for our country is border security at the strongest level.”

Criticism for Trump

Democrats insist they will negotiate stronger, more effective border security measures once the government reopens, but that a border wall would be wasteful, ineffective and a blight on America’s image.

Pelosi, the top-ranking congressional Democrat, said Trump’s “insistence on the wall is a luxury we can no longer afford.”

Later Thursday, Trump also canceled a planned trip by a U.S. delegation to the World Economic Forum in Davos, Switzerland. The delegation, consisting  of Treasury Secretary Steve Mnuchin, Secretary of State Mike Pompeo, Secretary of Commerce Wilbur Ross, U.S. trade representative Robert Lighthizer and assistant to the president Chris Liddell, was scheduled to travel next week.

White House Press Secretary Sarah Sanders said the president wanted to make sure “his team can assist as needed” during the government shutdown. 

Hundreds of thousands of federal workers missed a paycheck last week and are set to miss another next week.

“Not only are these workers not paid, they are not appreciated by this administration,” said Pelosi, who leads the Democratic majority in the House of Representatives. “We should respect what they do for their country.”

Criticism for Pelosi

Pelosi’s move on the State of the Union address drew sharp criticism from Senate Republicans.

“By disinviting POTUS for SOTU, Pelosi erased any pretext for her unwillingness to negotiate an end to the shutdown. It is personal, petty, and vindictive,” Sen. John Cornyn from Texas tweeted Thursday.

While many Democratic lawmakers applauded Pelosi, Sen. Joe Manchin of West Virginia told MSNBC, “I think this [delaying the State of the Union address] is the wrong approach to be taking. … We should try to have every type of respectful dialogue that we possibly can. Where I come from in West Virginia, we just don’t act this way.”

Lawmakers of both parties are wary of the shutdown’s impact on their home states and constituencies. Georgia Republican Sen. Johnny Isakson told the Atlanta Journal-Constitution newspaper he fears a lack of Transportation Security Administration airport screeners will make it impossible for travelers to come for next month’s American football Super Bowl.

“We’ve got a Super Bowl coming to Atlanta in about three weeks, the biggest tourism event in the world this year,” Isakson said. “What if the largest airport in the world, that’s going to bring people to the largest football game in the world, goes out of business because the TSA strikes? Then you’ve just cost millions of dollars to the United States of America, my home city of Atlanta and others.”

Trump has called for more than $5 billion in taxpayer funding for the wall, while Democrats have offered $1.3 billion in new money for border security, but none specifically for a wall.

VOA’s Michael Bowman and Ken Bredemeier contributed to this report.

WSJ: US Treasury Secretary Mnuchin Weighs Lifting Tariffs on China

U.S. Treasury Secretary Steven Mnuchin discussed lifting some or all tariffs imposed on Chinese imports and suggested offering a tariff rollback during trade discussions scheduled for Jan. 30, the Wall Street Journal reported Thursday, citing people familiar with the internal deliberations.

But Trade Representative Robert Lighthizer has resisted the idea, and the proposal had not yet been introduced to President Donald Trump, according to the Journal.

U.S. stocks advanced on the news even as a Treasury spokesman working with the administration’s trade team denied the report.

“Neither Secretary Mnuchin nor Ambassador Lighthizer have made any recommendations to anyone with respect to tariffs or other parts of the negotiation with China,” the spokesman said.

“This an ongoing process with the Chinese that is nowhere near completion.”

Chinese Vice Premier Liu He will visit the United States on Jan. 30 and 31 for the latest round of trade talks aimed at resolving a bitter trade dispute between the world’s two largest economies.

In December, Washington and Beijing agreed to a 90-day truce in a trade war that has disrupted the flow of hundreds of billions of dollars of goods.

Mid-level U.S. and Chinese officials met in Beijing last week to discuss China’s offers to address U.S. complaints about intellectual property theft and increase purchases of U.S. goods and services.

Lighthizer did not see any progress made on structural issues during those talks, Republican U.S. Senator Chuck Grassley said earlier this week.

The Trump administration is scheduled to increase tariffs March 2 on $200 billion worth of Chinese goods to 25 percent from 10 percent.

The timeline is seen as ambitious, but the resumption of face-to-face negotiations has bolstered hopes of a deal.

China has repeatedly played down complaints about intellectual property abuses, and has rejected accusations that foreign companies face forced technology transfers.

Industrial stocks, which have been sensitive to trade developments, jumped 1.4 percent after the Wall Street Journal report.

Indonesian Presidential Candidates Spar Over Corruption

Indonesian President Joko Widodo has accused his election rival of allowing corrupt candidates on his legislative ticket and failing to include women in senior positions.

Widodo and former General Prabowo Subianto, along with their running mates, faced off Thursday in the first of five debates before the April 17 election. The debate focused on terrorism, human rights, corruption, and law and order.

Opinion polls show Widodo commanding 52 percent to 54 percent popular support and Subianto 30 percent to 35 percent. About 10 percent of voters are undecided and another 15 percent are considered swing voters, meaning the race has the potential to tighten.

Subianto, making his second bid for president after being narrowly defeated by Widodo in 2014, waffled when asked why his party has the highest number of candidates with corruption records.

“Maybe the corruption they did was not huge, maybe he or she just, what I mean is, the theft was indeed wrong, but the most important thing to be eradicated was a corrupter who stole trillions of rupiah (hundreds of millions of dollars) of state money, of people’s money,” he said.

Questioning Subianto’s opening statement of a commitment to empowering women, Widodo said he has nine women in important Cabinet positions but there are few women in the leadership of Subianto’s Gerindra party.

Subianto said his party has many female candidates and criticized the quality of decision making by Widodo’s women ministers.

Widodo, the first Indonesian president from outside the country’s Jakarta elite, has made upgrading Indonesia’s infrastructure the signature policy of his five year-term.

In debating human rights, none of the candidates addressed Subianto’s involvement in human rights abuses during the dictator Suharto’s regime that ended two decades ago.

 

 

Tunisia Hit by General Strike, Amid Economic Tensions

Workers around Tunisia went on strike Thursday to demand higher pay in a standoff with a government struggling to reduce unemployment, poverty and social tensions.

All flights in and out of the North African country’s main airport were cancelled, and schools nationwide were closed. Ports, public transport, hospitals and other public services were also disrupted.

 

Marathon last-minute negotiations between the government and union umbrella group UGTT failed to avert Thursday’s strike by public sector workers.

 

Thousands of people gathered at the national union headquarters in Tunis and marched through the capital’s main thoroughfare, carrying signs reading “Get Out!” and “The People Want the Fall of the Regime.” Rallies were also held in other cities.

 

Addressing the crowd in Tunis, the head of the UGTT, Noureddine Tabboubi, accused the government of “neglecting the workers” as runaway inflation has eroded purchasing power.

 

The International Monetary Fund has urged public sector salary freezes and other reforms in exchanges for loans to Tunisia’s struggling economy.

 

The union boss accused the government of being afraid to “move a little finger without the green light” of the IMF. Unions want an end to salary freezes for Tunisia’s 600,000 public sector workers.

 

President Beji Caid Essebsi has called for calm. Thursday’s strike comes after new tensions erupted last month when a journalist set himself on fire to protest unfulfilled promises of Tunisia’s 2011 Arab Spring revolution.

 

Similar rallies were held throughout the country, notably in southern provinces where the strike nearly paralyzed public services.

 

Prime Minister Youssef Chahed warned that the strike would result in a “considerable cost” to an already fragile economy and might push the government to seek further foreign loans with tough conditions.

 

Speaking on public television Wataniya 1 on Wednesday night, Chahed said, “We did everything possible to avoid the strike in presenting proposals that improve purchasing power while at the same time taking into account the country’s capabilities.”

 

He invited the unions back to the negotiating table after Thursday’s strike.

 

 

 

Report: North Korea’s Top Envoy Arrives in Beijing

North Korea’s top envoy involved in talks with the United States arrived in Beijing Thursday and is thought to be en route to Washington, South Korean news agency Yonhap said.

U.S. and South Korean media previously quoted unidentified sources as saying U.S. Secretary of State Mike Pompeo and North Korean official Kim Yong Chol were expected to meet in the U.S. capital Friday to discuss a second summit between President Donald Trump and North Korean leader Kim Jong Un.

Kim arrived at Beijing airport Thursday on an Air Koryo flight from Pyongyang and was met by North Korea’s ambassador to China, Yonhap said. He is expected to board a flight to Washington in the evening, the news agency said.

Pompeo had planned to meet his North Korean counterpart to discuss a second summit last November, but the meeting was postponed.

Kim Yong Chol was last in Washington in June, when he delivered a letter from Kim Jong Un to Trump that opened the way for an unprecedented meeting between the leaders of the two countries in Singapore June 12.

CNN quoted a source familiar with U.S.-North Korea talks as saying that Kim Yong Chol would be carrying a new letter from Kim Jong Un to Trump in Washington.

Chinese and South Korean envoys on Korean Peninsula affairs are meeting in Seoul Thursday, the South’s foreign ministry said. Kong Xuanyou and Lee Do-Hoon are expected to discuss ways to achieve complete denuclearization and peace on the peninsula, as well as an expected second summit of U.S. and North Korean leaders.

In Singapore last year, Kim Jong Un pledged to work towards denuclearization of the Korean Peninsula, but there has been little significant progress since.

Contact was resumed after the North Korean leader delivered a New Year speech in which he said he was willing to meet Trump “at any time,” South Korea’s ambassador to the United States, Cho Yoon-je, told reporters last week.

Four Americans Killed in Islamic State Attack in Syria

At least four Americans were killed in a suicide blast in the northern Syrian city of Manbij Wednesday, doubling the number of American troops killed in action in Syria since the U.S. first entered in 2014. The attack also claimed the lives of a civilian and contractor working for the Defense Department, and more than a dozen others. VOA Pentagon Correspondent Carla Babb has the latest.

Want to Buy Ethical Food? Scan with Your Phone for Fast Facts

Whether buying a fish fillet at a supermarket or ordering steak in a restaurant, consumers will soon be able to use their phones to check instantly whether their food is green and ethical. Launched by environmental group WWF and investment firm BCG Digital Ventures, OpenSC is a website that harnesses blockchain technology to allow users to scan a QR code on a product or menu that reveals the full history and supply chain before they buy.

“For those catching and producing things in a very unsustainable way, it’s quite easy for them to hide behind the complexity of supply chains,” said Paul Hunyor, Asia region head at BCG Digital Ventures in Sydney.

“There is a lack of carrots for those doing good at the production end because it is very hard for them to make the end consumer aware of all the good work they’re doing,” he told the Thomson Reuters Foundation.

Globally, consumers and retailers are demanding more information about what they procure, buy and eat, to ascertain that its production and transportation does not damage the environment, or use illegal and unethical business practices. In response, large consumer goods companies, restaurants and other businesses are looking at ways to attract more customers by offering sustainable products that are guaranteed as free of deforestation or slave labor, for example.

The OpenSC platform, conceived in 2017 when WWF was piloting a tuna fisheries traceability project in the Pacific Ocean, will initially focus on fish and beef. It plans to expand in the next two years to cover other commodities like palm oil and timber. OpenSC allows consumers to cut through the complexity and lack of transparency in supply chains, said Hunyor. The digital tool will cover environmental, social and human rights, and hopes to attract sustainability bodies and schemes, as well as corporations and major commodities producers, said Dermot O’Gorman, CEO of WWF-Australia.

“There is … growing momentum around the world with corporates who are doing and want to do the right thing because their customers are increasing demand,” he said. Austral Fisheries, which is part of the Maruha Nichiro Group, has committed to implement OpenSC this year across its fleet which catches Patagonian toothfish. Customers and staff of supermarkets and restaurants, as well as wholesalers, can use the tool to access instant information.

For fish, that would include where it was caught, if the area is a verified sustainable fishing zone, and conditions along the supply chain. Fish tracked by OpenSC, set up as a social enterprise, will be served at a dinner for world leaders at the World Economic Forum in Davos next week.

John Bogle, Founder of Vanguard, Dies at 89 

John C. Bogle, who simplified investing for the masses by launching the first index mutual fund and founded Vanguard Group, died Wednesday, the company said. He was 89.

Bogle did not invent the index fund, but he expanded access to no-frills, low-cost investing in 1976 when Vanguard introduced the first index fund for individual investors, rather than institutional clients.

The emergence of funds that passively tracked market indexes, like the Standard & Poor’s 500, enabled investors to avoid the higher fees charged by professional fund managers who frequently fail to beat the market. More often than not, the higher operating expenses that fund managers pass on to their shareholders cancel out any edge they may achieve through expert stock-picking.

Mutual fund industry critic

Bogle and Vanguard shook up the industry further in 1977. The company ended its reliance on outside brokers and instead began directly marketing its funds to investors without charging upfront fees known as sales loads.

Bogle served as Vanguard’s chairman and CEO from its 1974 founding until 1996.

He stepped down as senior chairman in 2000, but remained a critic of the fund industry and Wall Street, writing books, delivering speeches and running the Bogle Financial Markets Research Center.

The advent of index funds accelerated a long-term decline in fund fees and fostered greater competition in the industry. Investors paid 40 percent less in fees for each dollar invested in stock mutual funds during 2017 than they did at the start of the millennium, for example. But Bogle continued to maintain that many funds were overcharging investors, and once called the industry “the poster-boy for one of the most baneful chapters in the modern history of capitalism.”

Bogle also believed that the corporate structure of most fund companies poses an inherent conflict of interest, because a public fund company could put the interests of investors in its stock ahead of those owning shares of its mutual funds. Vanguard has a unique corporate structure in which its mutual funds and fund shareholders are the corporation’s “owners.” Profits are plowed back into the company’s operations, and used to reduce fees.

$5 trillion under management

Vanguard, based in Valley Forge, Pennsylvania, manages $5 trillion globally. It helped usher in a new era of investing, and index funds have increasingly become the default choice for investors. In 2017, investors plugged $691.6 billion into index funds while pulling $7 billion out of actively managed funds, according to Morningstar.

Vanguard offers both index and managed funds, but remains best-known for its index offerings. Vanguard’s original index fund, now known as the Vanguard 500 Index, is no longer the company’s biggest, but remains among the company’s lowest-cost funds.

Bogle spent the first part of his career at Wellington Management Co., a mutual fund company, then based in Philadelphia. He rose through the ranks and, in his mid-30s, was tapped to run Wellington.

He engineered a merger with a boutique firm that was making huge sums, but was ousted after the stock market tanked in the early 1970s, wiping out millions in Wellington’s assets. He said he learned an important lesson in how little money managers really know about predicting the market.

Knack for math

Bogle suffered several heart attacks and underwent a heart transplant in 1996, the year he stepped down as CEO. He reached the mandatory retirement age of 70 for Vanguard directors in 1999 and left as senior chairman the next year.

Vanguard did not provide a cause of death. Philly.com is reporting he died of cancer, citing Bogle’s family.

John Clifton Bogle was born in May 1929 in Montclair, New Jersey, to a well-off family; his grandfather founded a brick company and was co-founder of the American Can Co. in which his father worked.

Bogle attended Manasquan High School in Manasquan, N.J, for a time, then got a scholarship to the prestigious all-boys Blair Academy in Blairstown, New Jersey. It was at Blair that Bogle discovered his knack for math. He graduated from Blair in 1947 and was voted most likely to succeed.

Bogle graduated from Princeton with a degree in economics in 1951. His thesis was on the mutual fund industry, which was then still in its infancy.

Bogle is survived by his wife, Eve, six children, 12 grandchildren and six great-grandchildren.

Giant US Bank Reveals 29 Percent Pay Gap Between Men, Women

Female employees at Citigroup Inc around the world are paid just 71 percent of what men earn, the giant bank said on Wednesday, declaring its intentions to close its gender pay gap.

A Citigroup shareholder group that sought data on the pay gap said the bank is the first U.S. company to disclose such figures.

The U.S.-based bank employs more than 200,000 people in more than 100 countries, and more than half those employees are female, it said.

Tackling the 29 percent gap means increasing the number of women in senior and higher-paying roles, promoting women to at least 40 percent of assistant vice president through managing director jobs, Citigroup said in a statement.

Citigroup said it disclosed the data in response to a shareholder proposal from Arjuna Capital, an investment management firm.

The bank said its “raw pay gap” showed median pay for females globally was 71 percent of the median for men.

The raw gap measures the difference in median total compensation not adjusted for job function, level and geography.

With those adjustments, women are paid an average of 99 percent of what men are paid, it said.

“We have work to do, but we’re on a path that I’m confident will allow us to make meaningful progress,” Sara Wechter, head of human resources, said in a statement.

In the United States overall, women last year working full-time year-round earned 80 percent of what men earned, according to commonly cited data from the U.S. Census Bureau.

Congress outlawed pay discrimination based on gender in 1963, yet public debate over why wages still lag drastically for women has snowballed in recent years.

Globally, the World Economic Forum reported an economic gap of 58 percent between the sexes for 2016, costing the global economy $1.2 trillion annually.

Last January, Citigroup said it was increasing compensation for women and minorities to bridge pay gaps in the United States, the United Kingdom and Germany, becoming the first big U.S. bank to respond to a shareholder push to analyze and disclose its gender pay gap.

This past year it expanded its pay equity review beyond those three countries to its workforce globally, it said.