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

Trump: ‘Total Termination’ of Iran Nuclear Deal Possible

President Donald Trump says his decision not to recertify Iran’s compliance with the Iran nuclear deal could lead to its “total termination.”

“That’s a very real possibility,” Trump said Monday as he began a meeting with his Cabinet at the White House. “Some people say that’s a greater possibility.”

In remarks that were at times prepared and other times off the cuff, the president said a lot of people agreed with what he did in pulling away from the 2015 accord, which Iran reached with the five permanent members of the U.N. Security Council and the European Union.

None of the other parties to the agreement have endorsed Trump’s move, however, and EU foreign ministers, meeting Monday in Luxembourg, dispatched top diplomat Federica Mogherini to Washington to fight for the deal.

“Clearly, the ministers are concerned about the fact that messages on the JCPOA [Joint Comprehensive Plan of Action] might affect negatively the possibility of opening negotiations or opening even the space for negotiations with the DPRK [North Korea],” Mogherini told reporters after the bloc’s 28 foreign ministers held talks.

Trump defended the decision Monday, saying he felt strongly that something had to be done about a deal he has railed against, both as a candidate and as president, even though he twice recertified the agreement in the first months of his presidency.

“I’m tired of being taken advantage of as a nation,” he said at the cabinet meeting, flanked by Secretary of State Rex Tillerson and Secretary of Defense Jim Mattis. “This nation has been taken advantage of for many, many years. For decades frankly, and I’m tired of watching it.”

The president did, however, hold out hope that the deal might be improved to his satisfaction when it goes back to Congress for further consideration. “We’ll see what phase two is. Phase two might be positive and it might be very negative,” he said.

‘More complete strategy’

Tillerson said Sunday that Iran is in “technical compliance” with the international agreement to curb its nuclear weapons development, but said Trump wants Congress to adopt “a more complete strategy” to fix what the U.S. leader sees as flaws in the pact.

Speaking to CNN, Tillerson said Tehran has a “demonstrated practice of walking right up to the limits” of the 2015 deal, prompting Trump’s decision not to certify compliance.

Tillerson, apparently explaining what “phase two” may entail, said Trump wants Congress — perhaps in a separate deal — to fix “a number of weaknesses” in the nuclear agreement, and address “a much broader list of threats” Iran poses with its military aggression and “destabilizing activities” in the Middle East.

Tillerson said Iran’s ballistic missile tests, which are not banned by the nuclear pact, must be curbed and a more definitive ban imposed on its nuclear program. He said the current pact “simply postpones the reckoning” over Iran’s nuclear ambitions.

In the meantime, while Congress considers whether to adopt new sanctions, Tillerson said the U.S. and the other international signatories need to “fully enforce the agreement.”

Trust factor

Iranian Foreign Minister Javad Zarif, who negotiated the pact for Tehran, told CBS’ Face the Nation show that with Trump’s opposition to the deal, “Nobody else will trust any U.S. administration to engage in any long-term negotiation because the length of any commitment, the duration of any commitment, from now on with any U.S. administration would be the remainder of the term of that president.”

Nikki Haley, the U.S. ambassador to the United Nations, told NBC, “I think right now you are going to see us stay in the deal, because what we hope is that we can improve the situation, and that’s the goal. So, I think right now, we’re in the deal to see how we can make it better, and that’s the goal. It’s not that we’re getting out of the deal. We’re just trying to make the situation better so that the American people feel safer.”

Tillerson rejected the contention that Trump’s decertification of the Iran deal weakens the U.S. position in dealing with the North Korean nuclear threat.

He said the U.S. stance on Iran means that it “will expect a very demanding agreement” with North Korean leader Kim Jong Un to end his nuclear weapons development.

Trump has told Tillerson that it is a waste of time to try to negotiate with North Korea, but Tillerson said the U.S. leader actually supports talks with Pyongyang.

“These diplomatic efforts will go on to the time the first bomb drops,” Tillerson said in the CNN interview broadcast Sunday.

In Harvey-hit County, Some in GOP Newly Confront the Climate

The church was empty, except for the piano too heavy for one man to move. It had been 21 days since the greatest storm Wayne Christopher had ever seen dumped a year’s worth of rain on his town, drowning this church where he was baptized, met his high school sweetheart and later married her.

 

He had piled the ruined pews out on the curb, next to water-logged hymnals and molding Sunday school lesson plans and chunks of drywall that used to be a mural of Noah’s Ark. Now he tilted his head up to take in the mountain of rubble, and Christopher, an evangelical Christian and a conservative Republican, considered what caused this destruction: that the violent act of nature had been made worse by acts of man.

 

“I think the Lord put us over the care of his creation, and when we pollute like we do, destroy the land, there’s consequences to that,” he said. “It might not catch up with us just right now, but it’s gonna catch up. Like a wound that needs to be healed.”

 

Jefferson County, Texas, is among the low-lying coastal areas of America that could lose the most as the ice caps melt and the seas warm and rise. At the same time, it is more economically dependent on the petroleum industry and its emissions-spewing refineries than any other place in the U.S. Residents seemed to choose between the two last November, abandoning a four-decade-old pattern of voting Democratic in presidential elections to support Donald Trump.

 

Then came Hurricane Harvey. Now some conservatives here are newly confronting some of the most polarizing questions in American political discourse: What role do humans play in global warming and the worsening of storms like Harvey? And what should they expect their leaders — including the climate-skeptic president they helped elect — to do about the problem now?

Answers are hard to come by in a place where refineries stand like cityscapes. Nearly 5,000 people work in the petroleum industry. Some have described the chemical stink in the air as “the smell of money” — it means paychecks, paid mortgages and meals.

 

Christopher, like most people in Jefferson County, believed that global warming was real before the storm hit. Post-Harvey, surrounded by debris stretching for block after block, he thinks the president’s outright rejection of the scientific consensus is no longer good enough.

 

But how do you help the climate without hurting those who depend on climate-polluting industries?

 

“It’s a Catch-22 kind of thing,” he said. “Do you want to build your economy, or do you want to save the world?”

 


 

“Steroids for storms” is how Andrew Dessler explains the role global warming plays in extreme weather. Climate change didn’t create Hurricane Harvey or Irma or Maria. But Dessler, a professor of atmospheric sciences at Texas A&M University, and most scientists agree that warming and rising seas likely amplify storms that form naturally, feeding more water and more intensity as they plow toward land.

 

“It will be 60 inches of rain this time, maybe 80 inches next time,” Dessler said of Harvey’s record-setting rainfall for any single storm in U.S. history.

As a private citizen and candidate, Trump often referred to climate change as a hoax, and since taking office he and his administration have worked aggressively to undo policies designed to mitigate the damage. He announced his intention to pull out of the Paris climate agreement, a global accord of 195 nations to reduce carbon emissions, and his administration has dismantled environmental regulations and erased climate change data from government websites. This month, his Environmental Protection Agency administrator promised to kill an effort to limit carbon emissions from coal-fired plants.

 

Anthony Leiserowitz, a Yale University researcher, traces the politicization of the climate to 1997, when then-Democratic Vice President Al Gore brokered a commitment on the world stage to reduce greenhouse gases. The political parties have cleaved further apart ever since, and climate change denial reached a fever pitch as the Tea Party remade the GOP during President Barack Obama’s first term.

 

Americans tend to view the issue through their already established red-versus-blue lens, Leiserowitz said. But while there are fractions on each extreme, the majority still fall somewhere along a scale in the middle.

 

A new Associated Press-NORC Center for Public Affairs Research poll finds that 63 percent of Americans think climate change is happening and that the government should address it, and that two-thirds of Americans disapprove of the way Trump is handling the issue. Most Americans also think weather disasters are getting more severe, and believe global warming is a factor.

 

As the downpour from Hurricane Harvey stretched into its second day, with no end in sight, Joe Evans watched from the window of his home in the Jefferson County seat of Beaumont, and an unexpected sense of guilt overcame him: “What have we been doing to the planet for all of these years?”

Evans, a Republican, once ran unsuccessfully for local office. He ignored climate change, as he thought Republicans were supposed to do, but Harvey’s deluge left him wondering why. When he was young, discussions of the ozone layer were uncontroversial; now they’re likely to end in pitched political debate.

 

“I think it’s one of those games that politicians play with us,” he said, “to once again make us choose a side.”

 

Evans voted for Trump, but he’s frustrated with what he describes as the “conservative echo chamber” that dismisses climate change instead of trying to find a way to apply conservative principles to simultaneously saving the Earth and the economy. Even today, some Republicans in the county complain about Gore and the hypocrisy they see in elite liberals who jet around the world, carbon emissions trailing behind them, to push climate policies on blue-collar workers trying to keep refinery jobs so they can feed their families.

 

Evans isn’t sure if the disastrous run of weather will cause climate change to become a bigger priority for residents here, or if as memories fade talk of this issue will, too.

 

“I haven’t put so much thought into it that I want to go mobilize a bunch of people and march on Washington,” he said. “But it made me think enough about it that I won’t actively take part in denying it. We can’t do that anymore.”

 


 

Most in Texas didn’t believe climate change existed when Katharine Hayhoe, a climate scientist at Texas Tech University, began evangelizing about the issue years ago. Now studies estimate that 69 percent of Texans believe that the climate is changing, and 52 percent believe that has been caused by human activity. Most resistance she hears now is not with the science itself but over proposed solutions that mean government intrusion and regulation.

Jefferson County’s refineries produce 10 percent of the gasoline in the United States, 20 percent of diesel and half of the fuel used to fly commercial planes, said County Judge Jeff Branick, a Democrat who voted for Trump and then switched his party affiliation to Republican, in part because of his disagreement with the Democratic Party’s climate policies.

 

Branick doesn’t deny that climate change exists, but he calls himself a cheerleader for the petroleum industry and believes environmental policies are “job killers.”

 

John Sterman, a professor at MIT Sloan School of Management, said addressing climate change will invariably lead to gradual job losses in the fossil fuels industry. But communities have lost a dominant industry before, and those able to diversify can prosper. Jefferson County could look to the renewable energy industry, with jobs that require many of the skills refinery workers have, he said. Texas already produces more wind power than any other state.

 

Angela Lopez’s husband works in a refinery, so she understands the worry of the economic cost of addressing global warming. But her county is nicknamed “cancer alley” for its high levels of disease that residents have long attributed to living in the shadow of one of the largest concentrations of refineries in the world.

 

“It’s our livelihood, but it’s killing us,” Lopez said, standing in what used to be her dining room. Now her house in Beaumont is down to the studs. As Harvey’s floodwaters rose, she tried to save what she could. She piled the dresser drawers on the bed and perched the leather couch up on the coffee table. It did no good. The water didn’t stop until it reached the eaves, and the Lopezes lost everything they own.

 

Just about all of her relatives are conservatives, and indeed the political divides in the county run deep: Even as most of the communities along the Gulf Coast turned red years ago, Jefferson County clung to its Democratic roots. The county is ethnically diverse — 41 percent white, 34 percent black and 20 percent Hispanic — with a historically strong union workforce. Trump won Jefferson by just 419 votes.

 

“To come up with real solutions, you have to be honest with yourself about what causes something to happen,” Lopez said. “It’s not just because some storm came, it was bad and unprecedented. It was unprecedented for a reason, so we have to acknowledge that and start working toward being better. And part of that conversation should be climate change.”

On a porch outside another ruined house nearby, two neighbors who both lost everything to Harvey started having that conversation.

 

Gene Jones, a truck driver who didn’t vote, asked Wilton Johnson, a Trump supporter, if he thought climate change intensified the storm.

 

“I don’t think so, no,” Johnson said.

 

“You don’t? You don’t think about the chemical plants and the hot weather? You don’t think that has anything to do with it?”

 

“I can understand people believing that,” Johnson replied. But he blames natural weather cycles for upending their lives so completely.

 

Jones now lives in a camper in his driveway; Johnson’s father has been sleeping in a recliner in his yard to ward off looters.

 

Johnson feels like he’s gone through the stages of grief. At first, as he fled his home, he denied how devastating the storm might be. Then he got angry, when he realized nothing could be saved — not the family photos or the 100-year-old Bible that fell apart in his hands. He grew depressed and now, finally, he thinks he’s come to accept this new reality as something that just happened because nature is not always kind, and never has been.

 

And he remains unshaken in his support for Trump’s environmental agenda.

 

“We need to be responsible human beings to the Earth, but at the same time we shouldn’t sacrifice the financial freedoms,” he said. “What good is a great environment if we’re poor and living like cavemen? And vice versa, I understand the other side of that: What’s great about living in luxury when you can’t go outside?

 

“I just don’t think we should look at two storms and say, ‘We’re ruining the Earth! Shut the plants down!'”

 


 

When Wayne Christopher was a boy in Jefferson County, it got so hot he remembers frying eggs on the sidewalk. It has always been hot here, and there have always been hurricanes.

 

But it seems to him that something is different now. There is a palpable intensity in the air, in the haze that hangs over the interstate. The region has warmed about two degrees in his lifetime, according to the National Oceanic and Atmospheric Administration, and annual rainfall has increased by about 7 inches on average. Christopher counts the number of times a beach road he’s driven on all his life has had to be rebuilt because the ocean overtook it.

 

“The sea keeps moving in — water rising, land disappearing or eroding or whatever you want to call it — it’s happening,” said Christopher, who is 66 now and retired after toiling more than 40 years for the railroad. “I think Mother Nature can come back, but there’s a point to where, if we just keep on and keep on, I don’t know if she can come back.”

 

He thinks the president he helped put in office should do something: take the threat seriously, research before he talks or tweets, not dismiss established science as a hoax because acknowledging it’s real would mean acknowledging that something must be done.

 

But like many others here, Christopher is not pushing to stick with the Paris climate agreement or other global coalitions because he’s not sure it’s fair that the United States should invest in clean energy when other countries that pollute might not. He worries that could cause more job losses to overseas factories, put a squeeze on the middle class and forfeit a slice of American sovereignty.

 

His wife, who also supported Trump, cocked her head as she thought about that sentiment.

 

“I can see the pros, I can see the cons,” Polly Christopher said. “But if you were to simplify it to your children, and they say, ‘Well, everybody else is doing it, if I do it what difference is it going to make?’ you would just get on them and say, ‘You’ve got to do the right thing. Right is right, and wrong’s wrong.'”

 

For weeks, the couple have been gutting Memorial Baptist Church, a place they consider their home. The congregation dwindled over time to about 45, mostly older people, and it was so hard to make ends meet the church canceled a $19,000-a-year flood insurance policy just two months before Harvey hit. Now it could cost some $1 million to rebuild, meaning the church may never be rebuilt at all.

 

So when Christopher’s granddaughter came by to help, found the piano in the otherwise empty sanctuary, sat down and started to play, he was overcome with a sense of grief.

 

“In my head I was thinking the whole time, this could be the last time that piano is played inside the auditorium,” he said. Then she started to sing: “Amazing grace, how sweet the sound …”

 

“It did something to me,” he said.

 

Both he and his wife believe President Trump has a responsibility to look at the destruction Harvey left them with and act accordingly.

 

“He’s got a business mind. Whatever it takes to make money, that’s what he’s going to do to make America great again,” Christopher said, and that’s why he voted for Trump. “But it does make me wonder if he looks at global warming as a real harm. Because you can make all the money in the world here. But if you don’t have a world, what good is it going to do you?”

US Top Court to Intervene in Government’s Email Dispute With Microsoft

The U.S. Supreme Court agreed on Monday to hear an appeal from the Justice Department on whether U.S. investigators can obtain emails stored overseas if they have a search warrant.

Since 2013, Microsoft has defied U.S. authorities in turning over emails that were stored on a data center in Ireland. While the investigators had a search warrant to obtain private records – in this case, emails – regarding a drug-trafficking case, Microsoft argued the warrant was valid under U. S. law but did not apply to other countries.

Microsoft’s lawyers maintained that the Stored Communications Act of 1986, the federal law that regulates electronic records, does not extend beyond the United States. Under the same logic, the tech company argued foreign governments could cause Microsoft to turn over data stored on U.S. servers.

A three-judge panel of the 2nd Circuit Court in New York overruled the Justice Department in favor of Microsoft. The Microsoft-Ireland decision, as it has come to be known, set a precedent for tech companies on U.S. soil. Essentially, tech companies can withhold digital evidence of crimes in the United States if the data is on a foreign server.

“Hundreds, if not thousands, of investigations of crimes – ranging from terrorism to child pornography to fraud – are being or will be hampered by the government’s inability to obtain electronic evidence,” Jeffrey Wall, Deputy Attorney General, said in the appeal, which was made in June. “The decision protects only criminals whose communications are placed out of reach of law enforcement officials because of the business decisions of private providers.”

The Supreme Court will hear the case early next year. Unlike most cases regarding privacy, the case does not hinge on Fourth Amendment rights against unreasonable search and seizure, but the Stored Communications Act of 1986 on electronic records and privacy.

Populism Again Casts Shadow Over Booming Eurozone Economy

For months, the outlook for the eurozone economy has brightened thanks to a series of electoral defeats for populist parties in key states like France. Now, following votes in Germany and Austria and the uncertainty over the Spanish region of Catalonia, concerns are growing again about the potential impact of euroskeptic politics.

The euro has edged lower in recent weeks despite data showing that the eurozone economy is enjoying one of its strongest periods of growth since the global financial crisis exploded a decade ago. On Monday, it was down 0.3 percent at $1.1785, having been above $1.20 at the end of August for the first time in two years.

 

One of the reasons relates to the electoral success of populist forces, first in Germany in late-September when the anti-immigration Alternative for Germany received almost 13 percent of the vote and won representation into the country’s parliament for the first time. Though the center-right Christian Democrats came out on top, the authority of Chancellor Angela Merkel was somewhat undermined by AfD’s relative success and she has still to forge a new coalition.

 

The populist tide was further evidenced in Sunday’s Austrian election, which saw the right-wing Freedom Party come second with around 27 percent of the vote — enough to possibly become part of a government led by the People’s Party and its 31-year-old leader, Sebastian Kurz.

 

The impact of a coalition involving a party that has sought to downplay the country’s Nazi past could hinder efforts to further integrate the economies of the 19 countries that use the euro, as advocated for by new French President Emmanuel Macron.

 

“Even though Austria is highly integrated and depends on the eurozone’s structure and openness, a new Austrian government will make the eurozone’s life harder, trying to push through self-interests,” ING economist Inga Fechner said.

 

Also of potential concern to the unity of the eurozone is the uncertainty surrounding Catalonia following its disputed independence referendum earlier this month. On Monday, there was still a lack of clarity as to whether the region’s leader, Carles Puigdemont, has declared independence following the vote that Madrid has deemed illegal.

 

The Spanish government of Prime Minister Mariano Rajoy has repeatedly said it’s not willing to negotiate with Puigdemont if independence is on the table, or accept any form of international mediation. The government has threatened to activate Article 155 of Spain’s Constitution, which could see Madrid take temporary control of some parts of Catalonia’s self-government.

 

All these signs of populism come at a time when the European economy is enjoying one of its most sustained upswings for a decade. A run of economic indicators have shown that the recovery, especially among those countries that use the euro currency, has been gaining momentum through 2017. The recovery, which has also seen unemployment come off highs, has prompted speculation that the European Central Bank will start to ease back on some of its emergency stimulus measures in the coming months.

 

Many economists ascribe the improving economic backdrop to the defeat of populist politicians earlier this year, notably in France where National Front leader Marine Le Pen lost overwhelmingly in the presidential runoff against Macron. Her defeat come a few weeks after Geert Wilders’ anti-Islam Freedom Party fared worse than anticipated in Dutch elections.

 

At the start of this year, the rise of populism was considered by many economists as the gravest cloud hanging over Europe’s economic future, especially as worries over Greece had abated. The Brexit vote in Britain in the summer of 2016 had shown how vulnerable the region could be to populist movements. The great fear for those overseeing the euro currency is that a party may come into government seeking to get out of the single currency and revert to the country’s original currency.

 

What’s occurred in the past few weeks is evidence that those populist forces are not done yet.

 

Simon Derrick, chief currency strategist at BNY Mellon, said “it would make sense for the euro to weaken if concerns about populism in the eurozone re-emerged.”

 

The next potential worry is Italy, where elections have to be held by May 2018. The country has for years grown more slowly than other developed economies and there are concerns that a party seeking to blame the country’s problems on the euro could make headway in the elections, potentially triggering more volatility for a currency that’s spent years dodging crises. In August, former premier Silvio Berlusconi floated the idea of a parallel currency being introduced in Italy.

 

 

How North Korea Builds Sophisticated Missiles

The rapid expansion of North Korea’s missile technology has puzzled many around the world. How does a country whose citizens are often on the brink of starvation develop technology for building sophisticated systems like ballistic missiles? VOA’s George Putic explains.

Small Scale Farmers in Kenya Turn to Mechanized Agriculture

Efforts are underway to modernize Kenya’s agriculture sector after a significant drop in farmers’ earnings last year. Drought and an invasive insect known as fall armyworm played a big role. But poor seed varieties and a lack of equipment, like tractors, are also persistent problems. Lenny Ruvaga reports for VOA.

Chill in the Air as McConnell Readies to Sit Down With Trump

President Donald Trump blames the Senate’s Republican leader for the health overhaul failure, tantalizes deals with Democrats and watches his former strategist work to bulldoze the Republican establishment on Capitol Hill.

There’s no need for air conditioning at the White House with that chill in the air when Trump, a public official since January, and Senate Majority Leader Mitch McConnell, first elected to Congress in 1984, meet on Monday.

 

“Mitch McConnell’s not our problem. Our problem is that we promised to repeal and replace Obamacare, and we failed. We promised to cut taxes and we have yet to do it,” said Sen. Lindsey Graham, a South Carolina Republican and a member of Congress since 1995. “If we’re successful, Mitch McConnell’s fine. If we’re not, we’re all in trouble. We lose our majority and I think President Trump will not get re-elected.”

 

Steve Bannon, back at Breitbart News after helping Trump win the presidency and serving in the West Wing, is committed to dumping McConnell, a Republican from Kentucky. In a speech to religious conservatives Saturday, Bannon put on notice some of those incumbents who are at risk of a challenge from his flank of the party. He said the lawmakers possibly can avoid that wrath if they disavow McConnell and meet other conditions.

 

“This is our war,” Bannon said. “The establishment started it…. You all are gonna finish it.”

 

Sen. Susan Collins, a Maine moderate who just passed up a run for governor and was a pivotal “no” vote on health care, said Bannon’s rhetoric is exactly what the American people are tired of. “They don’t want this hyper-partisanship. They want us to work together. And they want us to get things done,” she said.

 

Collins, who’s served in the Senate since 1997, added that Bannon’s “over-the-top rhetoric is not helpful. Mitch McConnell is the Senate majority leader. The president needs him. I’m glad they’re working together on tax reform and a lot of other issues. And I’m glad they’re meeting this week.”

Frustration abounds

McConnell responded to Trump’s Twitter barrage after the failed health care effort by saying that the challenges of governing should come as no surprise.

 

“A lot of people look at all that and find it frustrating, messy. Well, welcome to the democratic process. That’s the way it is in our country,” McConnell said at a Republican Party event in Kentucky this summer.

 

Trump, a former Democrat himself, cut a deal with Democratic leaders on raising the U.S. borrowing limit and keeping the government running into the winter. The president has also talked about future arrangements, though his recent list of immigration demands soured Democrats who had seen an earlier opening for legislative progress.

 

Hard-right conservatives frustrated by the stalled agenda in Congress wrote in a letter last week during the Senate’s break that McConnell and his leadership team should step aside. The senators’ weeklong recess also drew criticism from the White House: “They’re on another vacation right now. I think that we would all be a lot better off if the Senate would stop taking vacations, and start staying here until we actually get some real things accomplished,” Trump spokeswoman Sarah Huckabee Sanders had said.

 

Meanwhile, a McConnell-backed political committee spent millions and Trump endorsed Alabama Sen. Luther Strange in a recent primary election, but Bannon-backed Roy Moore prevailed. Moore, a former judge, has defied federal court orders, described Islam as a false religion and called homosexuality evil.

 

Senate Republicans had been upbeat about adding to their 52-48 edge in the chamber, especially with Democrats defending more seats next year – 10 in states Trump won in last year’s presidential election. But the Bannon challenge could cost them, leaving incumbents on the losing end in primaries or Republican candidates roughed up for the general election.

 

“If we don’t cut taxes and we don’t eventually repeal and replace Obamacare, then we’re going to lose across the board in the House in 2018. And all of my colleagues running in primaries in 2018 will probably get beat. It will be the end of Mitch McConnell as we know it. So this is a symptom of a greater problem,” Graham said.

 

He added that Bannon “can’t beat us if we’re successful. And if we’re not successful, it doesn’t matter who tries to beat us, they’ll be successful.”

 

Collins spoke on ABC’s “This Week,” and Graham appeared on CBS’ “Face the Nation.”

IMF: Global Economy Healthy, Still Needs Low Interest Rates

The world economy is the healthiest it’s been in years but could still use a little help from low-interest rates and higher government spending from countries that can afford it, the International Monetary Fund says. 

 

“There was a strong consensus that the global outlook is strengthening,” said Agustin Carstens, governor of the Bank of Mexico and outgoing chair of the IMF’s policy committee. “This does not mean we are declaring victory just yet.” 

 

The 189-member IMF and its sister agency, the World Bank, wrapped up three days of meetings Saturday. 

Broad recovery, risks

The IMF expects the global economy to grow 3.6 percent this year, up from 3.2 percent in 2016. And three-quarters of the global economy is growing, making this the broadest recovery in a decade. 

 

But IMF and World Bank officials pointed to risks that could derail global growth. Geopolitical risks are rising, including a confrontation between the United States and North Korea over Pyongyang’s nuclear weapons program. The income gap between rich and poor is growing, fueling political discontent with the free trade and global cooperation that the IMF and World Bank promote. 

 

So in a communique Saturday, the IMF’s policy committee called on world central banks to protect the fragile global recovery by keeping interest rates down in countries where inflation is too low and economies are performing below potential. 

 

IMF officials have also urged some countries with healthy finances, such as Germany and South Korea, to make investments that will spur growth. 

 

IMF Managing Director Christine Lagarde appealed to countries to enact reforms that will make their economies more efficient and spread prosperity to those who have been left behind. Specifically, Lagarde argued that countries could improve their economies and reduce inequality by putting more women to work, improving their access to credit and narrowing their pay gap with men. 

On Saturday, Ivanka Trump, the president’s daughter and a White House adviser, appeared with World Bank President Jim Yong Kim to launch a World Bank initiative to support women entrepreneurs. The World Bank fund has raised $350 million, which is designed to allow the World Bank to deploy at least $1 billion in capital to finance women-owned businesses. 

 

Ivanka Trump told the audience that she wanted to “spend a lot of time offering any value that I can as a mentor.” 

 

Adjusting to Trump

The World Bank and IMF delegates are still adjusting to the Trump administration, which is skeptical of international organizations and contemptuous of free trade agreements. This week, the United States pulled out of UNESCO, the United Nations’ cultural agency. It is has balked at providing additional capital to the World Bank unless the anti-poverty agency rethinks the way it distributes loans. It has scrapped an Asia-Pacific trade deal and is threatening to pull out of the North American Free Trade Agreement with Canada and Mexico. 

 

Treasury Secretary Steven Mnuchin said he carried in his pocket a list of all the G-20 nations and the size of the trade balances the United States has with each of those nations. With most of the G-20 countries, the United States is running a trade deficit.

 

In a speech Saturday to the IMF policy group, Mnuchin said he wanted to see the IMF be a more “forceful advocate” for strong global growth by taking a harder look at countries that abuse world trade rules. 

Tesla Fires Hundreds of Workers After Annual Reviews

Tesla Motors fired hundreds of workers after completing its annual performance reviews, even though the electric automaker is trying to ramp up production to meet the demand for its new Model 3 sedan.

The Palo Alto, California-based company confirmed the cuts in a Saturday statement, but didn’t disclose how many of its 33,000 workers were jettisoned. The San Jose Mercury News interviewed multiple former and current Tesla employees who estimated 400 to 700 workers lost their jobs.

The housecleaning swept out workers in administrative and sales jobs, in addition to Tesla’s manufacturing operations.

An unspecified number of workers received bonuses and promotions following their reviews, according to the company.

Tesla is under pressure to deliver its Model 3 sedan to a waiting list of more than 450,000 customers. The company so far has been lagging its own production targets after making just 260 of the vehicles in its last quarter.

Including other models, Tesla expects to make about 100,000 cars this year. CEO Elon Musk is aiming to increase production by five-fold next year, a goal that probably will have to be met to support Tesla’s market value of $59 billion, more than Ford Motor Co.

Unlike Ford, Tesla hasn’t posted an annual profit yet.

Despite the mass firings, Tesla is still looking to hire hundreds more workers.

Minority Residents, Massachusetts City Head to Federal Court

In May, 13 Asian and Hispanic residents of Lowell, Massachusetts, filed a voting rights lawsuit against the city government, alleging the at-large electoral system, in which the winner takes all, dilutes the minority vote and discriminates against the candidates from community of color running for office.

The plaintiffs asked the federal court to rule that the city’s electoral system “violates Section 2 the Voting Rights Act” and for “the adoption of at least one district-based seat.”

The first hearing on the lawsuit is scheduled for Tuesday before the U.S. District Court in Boston. Lowell’s City Council filed a motion to dismiss in its first response to the residents’ lawsuit on Sept. 15.

At the Tuesday hearing, the judge will decide whether to allow the suit to move forward. If it does, Lowell will be going to trial against some of its residents.

“We’re not surprised” by the city’s response, said Oren Sellstrom, litigation director of the Lawyers’ Committee for Civil Rights and Economic Justice.

Lowell prides itself as being a diverse city, but “it remains to be seen” whether the city wants to “reflect diversity in the hall of power,” Sellstrom said.

City officials said they could not discuss the lawsuit because the issue is still in executive session.

Voting Rights Act

The Voting Rights Act signed into law by President Lyndon Johnson in August 1965 is considered one of the most significant pieces of civil rights legislation ever enacted in the United States.

The Lowell citizens’ lawsuit is based on the section of that law that specifically prohibits state and local governments from using voting systems that result in discrimination against racial or ethnic minorities.

This is important in Lowell because altogether the minority populations of the former mill town come close — 49.2 percent — to being the majority. Of the minority population, Asian-Americans form the largest minority group, about 21 percent, a cohort that includes more than 30,000 Cambodians.

Since 1999, only four Asian and Hispanic candidates have been elected to the Lowell City Council, which is currently all white. No non-white candidates have ever been elected to the school committee, Lowell’s version of a school board.

Changes possible

No matter how the judge decides, the City Council will be looking at the possibility of changing the city’s form of government, which includes the voting system. There have been two public discussion sessions on the issue since August.

“It is better for us and the citizen to have a district representation with a combination of at-large councilor, and it is better for the public to elect the mayor,” said James Leary, a city councilor and one of the three councilors leading the ad hoc subcommittee on the charter review that was formed in June.

In the next few months, after organizing several public sessions across the city, the committee is expected to make recommendations to the City Council on changing or keeping the current form of government.

After reviewing the committee’s recommendation, the City Council will make a decision on which direction to take. Before anything changes in Lowell, though, residents will be faced with a ballot measure in November 2018 using the current system.

Trump Won States Most Affected by End to Health Care Subsidies

President Donald Trump’s decision to end a provision of the Affordable Care Act that was benefiting roughly 6 million Americans helps fulfill a campaign promise, but it also risks harming some of the very people who helped him win the presidency.

Nearly 70 percent of those benefiting from the so-called cost-sharing subsidies live in states Trump won last November, according to an analysis by The Associated Press. The number underscores the political risk for Trump and his party, which could end up owning the blame for increased costs and chaos in the insurance marketplace.

The subsidies are paid to insurers by the federal government to help lower consumers’ deductibles and co-pays. People who benefit will continue receiving the discounts because insurers are obligated by law to provide them. But to make up for the lost federal funding, health insurers will have to raise premiums substantially, potentially putting coverage out of reach for many consumers.

Some insurers may decide to bail out of markets altogether.

“I woke up, really, in horror,” said Alice Thompson, 62, an environmental consultant from the Milwaukee area who purchases insurance on Wisconsin’s federally run health insurance exchange.

Thompson, who spoke with reporters on a call organized by a health care advocacy group, said she expects to pay 30 percent to 50 percent more per year for her monthly premium, potentially more than her mortgage payment. Officials in Wisconsin, a state that went for a Republican presidential candidate for the first time in decades last fall, assumed the federal subsidy would end when they approved premium rate increases averaging 36 percent for the coming year.

An estimated 4 million people were benefiting from the cost-sharing payments in the 30 states Trump carried, according to an analysis of 2017 enrollment data from the U.S. Centers for Medicare and Medicaid Services. Of the 10 states with the highest percentage of consumers benefiting from cost-sharing, all but one — Massachusetts — went for Trump.

Kentucky, for example

Kentucky embraced former President Barack Obama’s Affordable Care Act under its last governor, a Democrat, and posted some of the largest gains in getting its residents insured. Its new governor, a Republican, favors the GOP stance to replace it with something else.

Roughly half of the estimated 71,000 Kentuckians buying health insurance on the federal exchange were benefiting from the cost-sharing subsidies Trump just ended. Despite the gains from Obama’s law, the state went for Trump last fall even as he vowed to repeal it.

Consumers such as Marsha Clark fear what will happen in the years ahead, as insurers raise premiums on everyone to make up for the end of the federal money that helped lower deductibles and co-pays.

“I’m stressed out about the insurance, stressed out about the overall economy, and I’m very stressed out about our president,” said Clark, a 61-year-old real estate broker who lives in a small town about an hour’s drive south of Louisville. She pays $1,108 a month for health insurance purchased on the exchange.

While she earns too much to benefit from the cost-sharing subsidy, she is worried that monthly premiums will rise so high in the future that it will make insurance unaffordable.

Most beneficiaries in Florida

Sherry Riggs has a similar fear. The Fort Pierce, Florida, barber benefits from the deductible and co-pay discounts, as do more than 1 million other Floridians, the highest number of cost-sharing beneficiaries of any state.

She had bypass surgery following a heart attack last year and pays $10 a visit to see her cardiologist and only a few dollars for the medications she takes twice a day.

Her monthly premium is heavily subsidized by the federal government, but she worries about the cost soaring in the future. Florida, another state that swung for Trump, has approved rate increases averaging 45 percent.

“Probably for some people it would be a death sentence,” she said. “I think it’s kind of a tragic decision on the president’s part. It scares me because I don’t think I’ll be able to afford it next year.”

Double-digit premium increases

Rates were rising in the immediate aftermath of Trump’s decision. Insurance regulators in Arkansas, another state that went for Trump, approved premium increases Friday ranging from 14 percent to nearly 25 percent for plans offered through the insurance marketplace. Had federal cost-sharing been retained, the premiums would have risen by no more than 10 percent.

In Mississippi, another state Trump won, an estimated 80 percent of consumers who buy coverage on the insurance exchange benefit from the deductible and co-pay discounts, the highest percentage of any state. Premiums there will increase by 47 percent next year, after regulators assumed Trump would end the cost-sharing payments.

The National Association of Insurance Commissioners has estimated the loss of the subsidies would result in a 12 percent to 15 percent increase in premiums, while the nonpartisan Congressional Budget Office has put the figure at 20 percent. Experts say the political instability over Trump’s effort to undermine Obama’s health care law could prompt more insurers to leave markets, reducing competition and driving up prices.

Trump’s move concerned some Republicans, worried the party will be blamed for the effects on consumers and insurance markets.

“I think the president is ill-advised to take this course of action, because we, at the end of the day, will own this,” Republican Rep. Charlie Dent of Pennsylvania said Friday on CNN. “We, the Republican Party, will own this.”

Dent is not running for re-election.

GOP support

In announcing his decision, Trump argued the subsidies were payouts to insurance companies, and the government could not legally continue to make them. The subsidies have been the subject of an ongoing legal battle because the health care law failed to include a congressional appropriation, which is required before federal money can be spent.

The subsidies will cost about $7 billion this year.

Many Republicans praised Trump’s action, saying Obama’s law has led to a spike in insurance costs for those who have to buy policies on the individual market.

Among them is Republican Rep. Andy Biggs of Arizona, a state Trump won. An estimated 78,000 Arizonans were benefiting from the federal subsidies for deductibles and co-pays.

“While his actions do not take the place of real legislative repeal and revitalization of free-market health care, he is doing everything possible to save Americans from crippling health care costs and decreasing quality of care,” Biggs said.

Federal Attorneys: Trump May Block Critics on Twitter

President Donald Trump can block his critics from following him on Twitter without violating the First Amendment despite a lawsuit’s claims that it violates the Constitution to do so, government lawyers say.

Trial attorneys with the U.S. Department of Justice in Washington submitted papers late Friday to a New York federal judge, saying a lawsuit challenging Trump over the issue should be thrown out.

“The president uses the account for his speech, not as a forum for the private speech of others,” the lawyers wrote. “And his decision to block certain users allows him to choose the information he consumes and the individuals with whom he interacts — expressive choices that public officials retain the right to make, even when those choices are made on the basis of viewpoint.”

Not a state action

They say the president’s decision to stop some individuals from following him on his 8-year-old @realdonaldtrump account, which has more than 40 million followers, is not state action. Public officials, they add, sometimes announce a new policy initiative or make statements about public policy on the campaign trail or in meetings with leaders of a political party.

“The fact that an official chooses to make such an announcement in an unofficial setting does not retroactively convert into state action the decision about which members of the public to allow into the event,” the lawyers said.

The lawyers said his Twitter account “is not a right conferred by the presidency,” but rather is a private platform run by a private company.

In a warning that ruling against Trump might threaten the constitutional separation of powers, the lawyers wrote that “courts are prohibited from enjoining the discretionary conduct of the president.”

Institute responds

The lawsuit was filed in July by the Knight First Amendment Institute at Columbia University and seven people rejected by Trump after criticizing the president.

Jameel Jaffer, the institute’s director, said Trump’s lawyers were wrong in their legal analysis and to accept their statement that the courts had no say over the issue could have “far-reaching and intolerable” implications.

“The president isn’t above the law,” Jaffer said in a statement.

Katie Fallow, a senior staff attorney with the institute, said the argument by government lawyers that Trump’s Twitter feed is a personal account “is not defensible given that the president routinely uses it for official purposes and both the president and his aides have publicly described the account as official.”

Lab-grown Diamonds Grow Into $14 Billion a Year Market

The diamond industry has fallen on hard times lately. Sales of the traditional wedding gemstones are sluggish as millennials delay marriage, and expensive diamonds aren’t the go-to proposal gemstone they once were. Another factor is that lab-grown diamonds are slowly moving into the market. VOA’s Kevin Enochs reports.

Twitter CEO Vows to Police Sexual Harassment, Hate, Violence

Twitter CEO Jack Dorsey is promising the company will do a better job weeding out sexual harassment, hateful symbols and violent groups from its short messaging service.

The pledge issued in a series of tweets late Friday followed a boycott organized by women supporting actress Rose McGowan after she said Twitter temporarily suspended her account for posting about the alleged misconduct of film producer Harvey Weinstein. The movie mogul was fired last Sunday by the company he co-founded amid accusations that he sexually harassed or sexually assaulted women.

Dorsey acknowledged Twitter hasn’t been doing enough to ensure voices aren’t silenced on the service despite policy changes made since 2016. He said the new rules will be announced next week, with the changes taking effect soon after.

Mystery Hacker Steals Australian Defense Data

A  mystery hacker who was given the alias of a TV soap opera character has stolen sensitive information about Australia’s multi-billion dollar warplane and navy projects.  Intelligence officials say the break was significant, although the Australian government insists that only low-level data was taken.  The identity of the cyber criminal is not known. 

The virtual break-in saw cyber thieves take illustrations of a major Australian naval project. About 30GB of data was stolen.  Details about new fighter planes, submarines and Australia’s largest warships were also compromised.  The breach began in July last year, but the Australian Signals Directorate, a domestic spy agency, was not alerted until November.  Intelligence officials say the hack, which targeted a private defence contractor in South Australia state, was – in their words – ‘extensive’ and ‘extreme.’

But the government is insisting there was no threat to national security.

Australia’s Defence Industry Minister, Christopher Pyne, says only low-level data was taken.

“I am pleased in a way that it reminds Australian business of the dangers that lurk out there,” said Pyne. “The information that has been stolen is commercial information.  It is not classified information, so it is not military information.  The government is doing its job.  Australian businesses need to be thorough in providing for their cyber security otherwise they will not get contracts with the government.”

It is thought the hacker had exploited a weakness in software being used by the government contractor in the city of Adelaide, which had not been updated for 12 months.

Australian cyber security officials humorously dubbed the mystery attacker “Alf”, after a character on the popular TV soap opera ‘Home and Away’.  They haven’t said if they suspect a foreign state was involved.

Earlier this year, Australian Prime Minister Malcolm Turnbull said cyber security was “the new frontier of warfare” and espionage, while announcing new measures to protect Australian governments and businesses from foreign interference.

Last year, a foreign power, reported in sections of the Australian media to be China, installed malicious software on computers at Australia’s national weather bureau. 

Kerry on Trump Nuclear Deal: ‘Reckless Abandonment of Facts’

John Kerry, the former U.S. Secretary of State, had harsh criticism for President Donald Trump’s decision not to certify that Iran is in compliance with the nuclear deal signed by six world powers in 2015.  

Kerry said the decision is a “reckless abandonment of facts in favor of ego and ideology.” Kerry, who negotiated the deal, added that Trump “weakens our hand, alienates us from our allies, empowers Iranian hardliners, makes it harder to resolve North Korea and risks moving us closer to military conflict.”

Iran’s president said Friday the nuclear deal it signed with six world powers in 2015 could not be revoked.   

In a nationally televised speech following Trump’s remarks, Iranian President Hassan Rouhani urged all signatories to the agreement to honor their commitments. He called the Joint Comprehensive Plan of Action (JCPOA) “an outstanding achievement” in international diplomacy and said Iran would continue to comply with it.

 

“The Islamic Republic of Iran will not be the first to withdraw from the deal. But if its rights and interests in the deal are not respected, it will stop implementing all its commitments and will resume its peaceful nuclear program without any restrictions” Rouhani said.

 

The Iranian leader also hit back at Trump’s characterization of Iran as a “dictatorship” and “rogue regime,” calling the American president a “liar” and a “dictator.”

 

“Today the U.S. is more isolated than ever against the nuclear deal, isolated than any other time in its plots against [the] people of Iran,” Rouhani said.

He rejected Trump’s remarks listing Tehran’s support for international terrorism, calling the examples “baseless accusations” and adding that the “Iranian nation does not expect anything else from you.”

Nancy Pelosi, the top Democrat in the U.S. House, said the president’s decision was “a grave mistake” that threatens U.S. security and credibility.  

She said Trump ignored “the overwhelming consensus of nuclear scientists, national security experts, generals and his own Cabinet, including, reportedly, his secretary of defense and secretary of state.”

EU reaction

German Foreign Minister Sigmar Gabriel said the Iran agreement “has shown for the first time that it is possible to prevent war by negotiations and, above all, to prevent a country from arming itself with nuclear weapons.” Gabriel added, ” We need such examples, for example, to convince countries like North Korea , but perhaps also others, that it is possible to create security without obtaining nuclear weapons.”  

European Union Foreign Policy Chief Federica Mogherini said, “It is not in the hands of any president of any country in the world to terminate an agreement of this sort.  She said, ” The president of the United States has many powers (but) not this one.”

 

She noted the multilateral agreement was unanimously endorsed by the United Nations Security Council Resolution 2231.

 

The EU foreign policy chief noted the International Atomic Energy Agency (IAEA) has verified eight times that Iran is meeting all its nuclear-related commitments in line with the “comprehensive and strict” monitoring system.

 

IAEA Director Yukiya Amano released a statement, saying Iran is already subject to the world’s most robust nuclear verification regime and is implementing the deal’s requirements.

In a joint statement British Prime Minister Theresa May, French President Emmanuel Macron and German Chancellor Angela Merkel said they are concerned by the possible implications of Trump’s decision not to recertify the Iran nuclear deal.

 

“Preserving the JCPOA is in our shared national security interest. The nuclear deal was the culmination of 13 years of diplomacy and was a major step toward ensuring that Iran’s nuclear program was not diverted for military purposes,” the European leaders said in the statement.

Sees opportunity

Asked if he was confident he could get the Europeans to renegotiate the Iran deal, U.S. Secretary of State Rex Tillerson said Friday he thinks there is a real opportunity to address all the threats that are posed by Iran.

“I fully expect that our allies and friends in Europe and in the region are going to be very supportive in efforts undertaken to deal with Iran’s threats,” Tillerson told reporters.

In Moscow, Russian Foreign Minister Sergei Lavrov said Moscow is committed to supporting the Iran nuclear deal.

Ahead of Trump’s remarks, the Kremlin warned that if the United States abandons the Iran nuclear deal, Tehran would be likely to quit it as well. Russia is a signatory to the JCPOA, along with the United States, Iran, Britain, Germany and France.

Chinese Foreign Ministry Spokesperson Hua Chunying also voiced support for the Iran nuclear deal Friday.

“China’s position on the Iranian nuclear issue has been consistent. The JCPOA has played a key role in upholding international nuclear non-proliferation regime and the peace and stability of the Middle East region,” she said. “We hope that all relevant parties will continue to uphold and implement the JCPOA.”

Praise for Trump’s tough stance on Iran came from Israeli Prime Minister Benjamin Netanyahu, who released a video statement.

 

“I congratulate President Trump for his courageous decision today. He boldly confronted Iran’s terrorist regime,” Netanyahu said.  The Israeli leader has long been one of the deal’s fiercest opponents.

Saudi Arabia, the United Arab Emirates and Bahrain also expressed their strong support for Trump’s shift in policy toward Iran.

The Saudi Press Agency said Riyadh praised Trump’s “vision” and commitment to work with U.S. allies in the region in order to face common challenges, particularly “Iran’s aggressive policies and actions.”

U.S. House Speaker Paul Ryan said he backs Trump’s decision, describing the Obama administration deal as “fatally flawed.”

Nobel winner

 

But the 2017 Nobel Peace Prize Laureate, the International Campaign to Abolish Nuclear Weapons, strongly criticized Trump’s decision.

 

The group’s executive director, Beatrice Fihn, said Trump’s “attempt to disrupt” the Iran deal, despite Tehran’s compliance, is a reminder of the “immense nuclear danger now facing the world” and the  “urgent need” to prohibit and eliminate nuclear weapons.

 

“In a time with great global tension, with increasing threats of nuclear war, the U.S. president is igniting new conflict rather than working to reduce the risk of nuclear war,” Fihn said.

 

 

Winemaker Vows to Rebuild After Losing Battle With Wildfire

Throughout Northern California, where wildfires have raged for almost a week, killing at least 36 people and destroying about 6,000 buildings, residents are taking stock of what they have and what they have lost.

Many are feeling lucky to have survived with their lives. The fire’s path of destruction lacked rhyme or reason, destroying an entire winery in one case but leaving patio furniture outside the tasting room untouched.

Pierre Birebent, who has been a winemaker at the Signorello Estate for the past 20 years, said he feels lucky.

WATCH: Winemakers Vow to Rebuild Destroyed Winery

When the fire came to his winery on the Silverado Trail, the main artery of Napa’s Wine Country, Birebent grabbed a hose and tried to fight the flames himself. One of the winery’s owners, who was in the residence above the winery, had fled after alerting the staff to the fire.

Birebent lost the battle to save the winery, the tasting room, an office and the residence. 

“It was like fighting a giant,” he said.

​Damage unknown

It’s too early to know the extent of the damage to Northern California’s wine industry. Fires still burn around the hillsides, and pickers hurry to get the grapes off the vine before they are damaged by smoke, a condition known as “smoke taint.”

At Signorello, employees reported for work Friday, their first chance to see the damage.

Ray Signorello, the winery proprietor, went into Napa to rent temporary office space. He planned to keep the business going and rebuild.

“We can continue somewhat business as usual,” Signorello said.

“Our house is gone,” said Jo Dayoan, allocation director at the winery. “Our soul is not. We are family.”

Much to be thankful for

For Birebent, there are many things to be thankful for, among them, the 30-year-old vineyards, which didn’t burn.

“This is very important because it takes five years to plant the vineyard to get the first crop,” Birebent said.

Also spared by the fire was a warehouse where Signorello stored its 2016 vintage, as well as the last of the 2017 cabernet sauvignon grapes, which had been harvested just days before the fire and sat fermenting in 14 tanks at the edge of the parking lot.

But whether the wine inside the tanks is drinkable remains to be seen. Workers cleared leaves and ash from the outside of the tanks.

The wine from each of the tanks will be tasted and tested at a laboratory. The tanks hold 80 percent of the winery’s 2017 reds, which Birebent said was worth millions.

“It was so hot, we don’t know if the wine is still good or no,” he said.

As they take stock of the damage, the winemaker and the staff here are thinking about rebuilding, even as others continue to face wildfire dangers. The winery workers say they are lucky even as they stand in its ruins.

Trump Says Iran Non-Compliant with Nuke Deal

President Donald Trump has announced that he is decertifying Iran’s compliance with a multinational 2-year-old nuclear deal and slapping Iranian Revolutionary Guard Corps with new counter-terrorism sanctions. VOA White House Bureau Chief Steve Herman reports, however, the president is stopping short of calling for the Joint Comprehensive Plan of Action (JCPOA) to be scrapped.

Are NAFTA’s Days Numbered?

Recent comments by U.S. President Donald Trump have raised fears that NAFTA, the 2-decades-old trade pact between Canada, the U.S. and Mexico, may be on its last legs. Proponents of NAFTA warn that scrapping the three-nation deal could cause economic shocks around the globe. But others say that’s just a case of corporate fear mongering. Mil Arcega has more.

US Special Counsel Questions Trump’s Former Chief of Staff

A lawyer representing former White House chief of staff Reince Priebus said a team of US government investigators interviewed Priebus on Friday as part of an ongoing probe on whether the Trump campaign colluded with Russia

during last year’s US presidential election.   

“He was happy to answer all of their questions,” said Priebus’ lawyer, William Burck.

Priebus was head of the Republican National Committee during Trump’s presidential campaign and served as the president’s chief of staff when Trump took office, before he resigned in July.

Special counsel Robert Mueller and his team of investigators are also looking into some of the actions the US President has taken since assuming office in January, including the firing of FBI Director James Comey.  Among other things, Mueller’s

team is trying to see whether the president might have obstructed justice earlier this year by persuading Comey to drop an investigation on then-National Security Advisor Michael Flynn.  

Flynn resigned in February following reports he had met with the Russian ambassador .  

Investigators expect to speak to a number of current and former officials in the coming weeks.  

President Trump has not been accused of any wrongdoing.

Transcript of Trump Speech on Iran Nuclear Deal

THE WHITE HOUSE

 

Office of the Press Secretary


For Immediate Release                            October 13, 2017

 

 

REMARKS BY PRESIDENT TRUMP

ON IRAN STRATEGY

 

Diplomatic Reception Room

 

 

 

12:53 P.M. EDT

 

 

     THE PRESIDENT:  Thank you very much.  My fellow Americans:  As President of the United States, my highest obligation is to ensure the safety and security of the American people.  

 

History has shown that the longer we ignore a threat, the more dangerous that threat becomes.  For this reason, upon taking office, I’ve ordered a complete strategic review of our policy toward the rogue regime in Iran.  That review is now complete.

 

Today, I am announcing our strategy, along with several major steps we are taking to confront the Iranian regime’s hostile actions and to ensure that Iran never, and I mean never, acquires a nuclear weapon.  

 

Our policy is based on a clear-eyed assessment of the Iranian dictatorship, its sponsorship of terrorism, and its continuing aggression in the Middle East and all around the world.

 

Iran is under the control of a fanatical regime that seized power in 1979 and forced a proud people to submit to its extremist rule.  This radical regime has raided the wealth of one of the world’s oldest and most vibrant nations, and spread death, destruction, and chaos all around the globe.

 

Beginning in 1979, agents of the Iranian regime illegally seized the U.S. embassy in Tehran and held more than 60 Americans hostage during the 444 days of the crisis.  The Iranian-backed terrorist group Hezbollah twice bombed our embassy in Lebanon — once in 1983 and again in 1984.  Another Iranian-supported bombing killed 241 Americans — service members they were, in their barracks in Beirut in 1983.

 

In 1996, the regime directed another bombing of American military housing in Saudi Arabia, murdering 19 Americans in cold blood.

 

Iranian proxies provided training to operatives who were later involved in al Qaeda’s bombing of the American embassies in Kenya, Tanzania, and two years later, killing 224 people, and wounding more than 4,000 others.

 

The regime harbored high-level terrorists in the wake of the 9/11 attacks, including Osama bin Laden’s son.  In Iraq and Afghanistan, groups supported by Iran have killed hundreds of American military personnel.

 

The Iranian dictatorship’s aggression continues to this day.  The regime remains the world’s leading state sponsor of terrorism, and provides assistance to al Qaeda, the Taliban, Hezbollah, Hamas, and other terrorist networks.  It develops, deploys, and proliferates missiles that threaten American troops and our allies.  It harasses American ships and threatens freedom of navigation in the Arabian Gulf and in the Red Sea.  It imprisons Americans on false charges.  And it launches cyberattacks against our critical infrastructure, financial system, and military.

 

The United States is far from the only target of the Iranian dictatorship’s long campaign of bloodshed.  The regime violently suppresses its own citizens; it shot unarmed student protestors in the street during the Green Revolution.  

 

This regime has fueled sectarian violence in Iraq, and vicious civil wars in Yemen and Syria.  In Syria, the Iranian regime has supported the atrocities of Bashar al-Assad’s regime and condoned Assad’s use of chemical weapons against helpless civilians, including many, many children.

 

Given the regime’s murderous past and present, we should not take lightly its sinister vision for the future.  The regime’s two favorite chants are “Death to America” and “Death to Israel.”

 

Realizing the gravity of the situation, the United States and the United Nations Security Council sought, over many years, to stop Iran’s pursuit of nuclear weapons with a wide array of strong economic sanctions.

 

But the previous administration lifted these sanctions, just before what would have been the total collapse of the Iranian regime, through the deeply controversial 2015 nuclear deal with Iran.  This deal is known as the Joint Comprehensive Plan of Action, or JCPOA.

 

As I have said many times, the Iran Deal was one of the worst and most one-sided transactions the United States has ever entered into.  The same mindset that produced this deal is responsible for years of terrible trade deals that have sacrificed so many millions of jobs in our country to the benefit of other countries.  We need negotiators who will much more strongly represent America’s interest.

 

The nuclear deal threw Iran’s dictatorship a political and economic lifeline, providing urgently needed relief from the intense domestic pressure the sanctions had created.  It also gave the regime an immediate financial boost and over $100 billion dollars its government could use to fund terrorism.

 

The regime also received a massive cash settlement of $1.7 billion from the United States, a large portion of which was physically loaded onto an airplane and flown into Iran.  Just imagine the sight of those huge piles of money being hauled off by the Iranians waiting at the airport for the cash.  I wonder where all that money went.

 

Worst of all, the deal allows Iran to continue developing certain elements of its nuclear program.  And importantly, in just a few years, as key restrictions disappear, Iran can sprint towards a rapid nuclear weapons breakout.  In other words, we got weak inspections in exchange for no more than a purely short-term and temporary delay in Iran’s path to nuclear weapons.

 

What is the purpose of a deal that, at best, only delays Iran’s nuclear capability for a short period of time?  This, as President of the United States, is unacceptable.  In other countries, they think in terms of 100-year intervals, not just a few years at a time.  

 

The saddest part of the deal for the United States is that all of the money was paid up front, which is unheard of, rather than at the end of the deal when they have shown they’ve played by the rules.  But what’s done is done, and that’s why we are where we are.  

 

The Iranian regime has committed multiple violations of the agreement.  For example, on two separate occasions, they have exceeded the limit of 130 metric tons of heavy water.  Until recently, the Iranian regime has also failed to meet our expectations in its operation of advanced centrifuges.   

 

The Iranian regime has also intimidated international inspectors into not using the full inspection authorities that the agreement calls for.  

 

Iranian officials and military leaders have repeatedly claimed they will not allow inspectors onto military sites, even though the international community suspects some of those sites were part of Iran’s clandestine nuclear weapons program.

 

There are also many people who believe that Iran is dealing with North Korea.  I am going to instruct our intelligence agencies to do a thorough analysis and report back their findings beyond what they have already reviewed.

 

By its own terms, the Iran Deal was supposed to contribute to “regional and international peace and security.”  And yet, while the United States adheres to our commitment under the deal, the Iranian regime continues to fuel conflict, terror, and turmoil throughout the Middle East and beyond.  Importantly, Iran is not living up to the spirit of the deal.

 

So today, in recognition of the increasing menace posed by Iran, and after extensive consultations with our allies, I am announcing a new strategy to address the full range of Iran’s destructive actions.

 

First, we will work with our allies to counter the regime’s destabilizing activity and support for terrorist proxies in the region.

 

Second, we will place additional sanctions on the regime to block their financing of terror.

 

Third, we will address the regime’s proliferation of missiles and weapons that threaten its neighbors, global trade, and freedom of navigation.

 

And finally, we will deny the regime all paths to a nuclear weapon.

 

Today, I am also announcing several major steps my administration is taking in pursuit of this strategy.  

 

The execution of our strategy begins with the long-overdue step of imposing tough sanctions on Iran’s Islamic Revolutionary Guard Corps.  The Revolutionary Guard is the Iranian Supreme Leader’s corrupt personal terror force and militia.  It has hijacked large portions of Iran’s economy and seized massive religious endowments to fund war and terror abroad.  This includes arming the Syrian dictator, supplying proxies and partners with missiles and weapons to attack civilians in the region, and even plotting to bomb a popular restaurant right here in Washington, D.C.

 

I am authorizing the Treasury Department to further sanction the entire Islamic Revolutionary Guard Corps for its support for terrorism and to apply sanctions to its officials, agents, and affiliates.  I urge our allies to join us in taking strong actions to curb Iran’s continued dangerous and destabilizing behavior, including thorough sanctions outside the Iran Deal that target the regime’s ballistic missile program, in support for terrorism, and all of its destructive activities, of which there are many.  

 

Finally, on the grave matter of Iran’s nuclear program: Since the signing of the nuclear agreement, the regime’s dangerous aggression has only escalated.  At the same time, it has received massive sanctions relief while continuing to develop its missiles program.  Iran has also entered into lucrative business contracts with other parties to the agreement.

 

When the agreement was finalized in 2015, Congress passed the Iran Nuclear Agreement Review Act to ensure that Congress’s voice would be heard on the deal.  Among other conditions, this law requires the President, or his designee, to certify that the suspension of sanctions under the deal is “appropriate and proportionate” to measure — and other measures taken by Iran to terminate its illicit nuclear program.  Based on the factual record I have put forward, I am announcing today that we cannot and will not make this certification.

 

We will not continue down a path whose predictable conclusion is more violence, more terror, and the very real threat of Iran’s nuclear breakout.

 

That is why I am directing my administration to work closely with Congress and our allies to address the deal’s many serious flaws so that the Iranian regime can never threaten the world with nuclear weapons.  These include the deal’s sunset clauses that, in just a few years, will eliminate key restrictions on Iran’s nuclear program.

 

The flaws in the deal also include insufficient enforcement and near total silence on Iran’s missile programs.  Congress has already begun the work to address these problems.  Key House and Senate leaders are drafting legislation that would amend the Iran Nuclear Agreement Review Act to strengthen enforcement, prevent Iran from developing an inter- — this is so totally important — an intercontinental ballistic missile, and make all restrictions on Iran’s nuclear activity permanent under U.S. law.  So important.  I support these initiatives.  

 

However, in the event we are not able to reach a solution working with Congress and our allies, then the agreement will be terminated.  It is under continuous review, and our participation can be cancelled by me, as President, at any time.

 

As we have seen in North Korea, the longer we ignore a threat, the worse that threat becomes.  It is why we are determined that the world’s leading sponsor of terrorism will never obtain nuclear weapons.

 

In this effort, we stand in total solidarity with the Iranian regime’s longest-suffering victims: its own people.  The citizens of Iran have paid a heavy price for the violence and extremism of their leaders.  The Iranian people long to — and they just are longing, to reclaim their country’s proud history, its culture, its civilization, its cooperation with its neighbors.

 

We hope that these new measures directed at the Iranian dictatorship will compel the government to reevaluate its pursuit of terror at the expense of its people.

 

We hope that our actions today will help bring about a future of peace, stability, and prosperity in the Middle East –- a future where sovereign nations respect each other and their own citizens.

 

We pray for a future where young children — American and Iranian, Muslim, Christian, and Jewish — can grow up in a world free from violence, hatred, and terror.

 

And, until that blessed day comes, we will do what we must to keep America safe.

 

Thank you, God bless you, and God bless America.  Thank you.

A Day After Criticism, Trump Offers Support to Puerto Rico

President Donald Trump is assuring residents of hurricane-ravaged Puerto Rico that he “will always be with them.”

His tweet Friday morning comes a day after he lashed out at the island, insisting that the federal government can’t keep sending help “forever.” He’d also suggested the U.S. territory is to blame for its financial struggles.

 

He took a softer tone on Friday, saying that “the wonderful people of Puerto Rico” have an “unmatched spirit.” He tweeted, “I will always be with them!”

 

But he also said again that residents “know how bad things were before” the hurricanes.

 

Much of the island remains without power weeks after the storm.

Global Economy: Growth Gathering Momentum, but Where’s the Inflation?

The euro zone economy may be building up an impressive head of steam that shows no signs of cooling, but what policymakers at the European Central Bank really want – higher inflation – is still largely absent.

Industrial output in the bloc rose faster than anyone polled by Reuters expected in August, according to data on Thursday which followed a slew of forecast-beating releases and after the International Monetary Fund upgraded its outlook for global growth.

“Although the industrial sector only accounts for a quarter of GDP it has been the euro zone’s most cyclical sector historically, and so is an important indicator of the economy’s wider health,” said Christian Jaccarini at CEBR.

“With the economy gathering momentum, the European Central Bank should feel confident about starting to taper its asset purchase program at the beginning of next year.”

The economy is performing stronger than at any time since the global financial crisis so speculation the ECB will soon begin scaling back its massive stimulus program has been rife.

Policymakers at the Bank will announce on Oct. 26 a six-month extension to its asset purchase program but will cut how much it buys each month to 40 billion euros from January, a September Reuters poll predicted.  

Five people with direct knowledge of discussions told Reuters the ECB is homing in on extending its stimulus for nine months at the next meeting while scaling it back.

Yet the ECB’s key focus is inflation and numbers due on Tuesday will probably confirm prices only rose 1.5 percent in September on a year ago, still a lot weaker than the just below 2 percent rate-setters would like.

According to Reuters polls taken throughout 2017, which have been correct about how low it would remain this year, inflation won’t hit that ECB target for years.

“There is likely to be only a limited pick-up in inflationary pressures, meaning that interest rate hikes can be kept on hold until 2019 – later than markets seem to expect,” economists at Capital Economics wrote.

British dilemma

Across the Atlantic, U.S. Federal Reserve policymakers have already begun tightening but had a prolonged debate about the prospects of a pickup in inflation and slowing the path of future interest rate rises if it did not, according to minutes of the central bank’s last policy meeting.

“Many participants expressed concern that the low inflation readings this year might reflect… the influence of developments that could prove more persistent, and it was noted that some patience in removing policy accommodation while assessing trends in inflation was warranted,” the Fed said in the minutes.

Britain, however, has the opposite problem.

Since the vote in June 2016 to leave the European Union, the pound has lost around 13 percent of its value against the dollar, driving up the costs of imports and caused inflation to run well above the 2 percent the Bank of England would like it at.

In the referendum’s aftermath the Bank cut 25 basis points from borrowing costs, taking them to a record low 0.25 percent, hoping to stave off a predicted economic meltdown after the leave vote.

That meltdown never happened and Britain’s economy was one of the best performers last year although growth has since slowed sharply.

Still, at its November meeting the BoE will raise interest rates for the first time in a decade, according to economists in a recent Reuters poll taken after a barrage of hawkish rhetoric from BoE policymakers. However, most of them also said raising rates now would be a policy mistake.  

“On the strength of the MPC’s rhetoric and current market expectations, we continue to look for a November hike. But this assumes no significant downside surprises in the inflation and wage data next week,” said Allan Monks at JPMorgan.

“If the MPC is minded to back out of tightening in November – in response to the data or the Brexit process – we would expect at least some hint of this in any commentary between now and the next meeting on Nov. 2.”

Britain’s economy shows little sign of breaking out of its lethargy and it is “extraordinary” the BoE is considering raising interest rates, the British Chambers of Commerce said on Friday.

“We’d caution against an earlier than required tightening in monetary policy, which could hit both business and consumer confidence and weaken overall UK growth,” said Suren Thiru, BCC head of economics.

Divorce talks have this week ended in deadlock over a British refusal to clarify how much it will pay on leaving, EU negotiator Michel Barnier said on Thursday.

But EU leaders could hand beleaguered British Prime Minister Theresa May an olive branch in Brexit negotiations next week by launching their own internal preparations for a transition to a new relationship with Britain, giving her some hope.