Tag: DOJ

Ep. 267 – Saving Capitalism + Trump Trouble
The Kapital News
The Kapital News
Ep. 267 - Saving Capitalism + Trump Trouble
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Ray Dalio, the founder of the world’s largest hedge fund is back in the news with a warning about the current economic and political environment. He remains consistent in his argument that the widening wealth and income inequality is going to come to a head and with it, major financial, economic, and political hardships. We agree. Where we differ is when Mr. Dalio claims that money printing needs to continue and interest rates need to remain at low levels. In our view, this is completely wrong and is not a solution, but rather the problem. The distortions caused by money printing and low interest rates are not even fully understood because any type or correction that occurs is quickly glossed over like it never even happened. Remember Q4 of 2018. And it’s continued ever since and now the Federal Reserve is really putting the pedal to the metal and despite this we’ve barley breached through the most recent highs on the major indexes. The law of economics and of free market capitalism need to take root and need to be allowed to do their work. This will likely translate into quite high interest rates and the subsequent collapse of many companies across sectors. So be it. The party has to come to an end and if you’re afraid of the hangover, then you never should’ve started drinking. What more money printing and lower interest rates is akin to is saying current generations get to have all the fun and younger and future generations not even in existence have to pay the bill and feel the effects of the hangover. This is not moral or ethical. But it’s exactly what’s been happening and will likely continue.

The White House has finally come to grips that its main spokesman, President Trump, is not doing a great job with this whole impeachment thing. And so, they are bringing on a couple of people to help with the defense and messaging. It’s about time. As we’ve noted, given the transcripts that have thus far been released, it is not looking good for the President’s argument. This does not mean that the President is going to be removed, but rather his messaging has not been good enough. However, given what has come to light over the last few days, the President is going to need a strong and convincing message because there was definitely some questionable actions that have take place and most of it is centered around his personal attorney, Rudy Giuliani. This is a spy novel and soap opera wrapped up all into one. We told you things were going to get interesting. Stay diversified, stay vigilant, and stay with The Kapital News. #Economy #Impeachment #Justice #Capitalism #Truth #Peace #Recession #EndTheFed

Ep. 266 – Impeachment Inquiry Testimony
The Kapital News
The Kapital News
Ep. 266 - Impeachment Inquiry Testimony
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As the impeachment inquiry continues, we are now starting to see a release of the transcripts of those who have already testified. To date, we have four transcripts that have been released. These are extensive and are hundreds of pages each. Contained therein is further information as to what these individuals know and how it relates to the phone call between President Trump and President Zelensky of Ukraine, as well as events leading up to the call and events that have followed.

The Kapital News will do its best to make its way through these transcripts to find interesting bits of information that brings us to the truth. We are not concerned with who is implicated and who is exonerated. We are interested in the truth and in justice being served. The country is at a crossroads and the divisive tactics that are deployed, equally, by both parties, needs to end or it will be the end of our Republic. Stay diversified, stay vigilant, and stay with The Kapital News. #Truth #Justice #Impeachment #Peace #Economy #Politics #EndTheFed

Ep. 128B – Boeing: Taking-Off or Nosediving?
The Kapital News
The Kapital News
Ep. 128B - Boeing: Taking-Off or Nosediving?
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Again, The Kapital News is ahead of the curve when only a couple of weeks ago, we issued a warning around Boeing. The podcast, titled, “GE/GM: Trouble at the Plant?,” also covered a discussion of Boeing. At the time, the concern in question pertained to airline pilots with Southwest Airlines filing suit against Boeing for lost wages. The 737 model is the only model employed by Southwest Airlines and the model that has been grounded globally for months is the Boeing 737 MAX 8 airline. The reason for the plane’s grounding is directly in relation to the two flights that crashed last year within six months of each other – killing all on board. What has been described as a flaw in the computer software on the MAX, may now be turning into something a little more nefarious.

It is now understood in part, that the pilots of these two crashed airlines experienced difficulties with the new computer software and were either unable to override the software or were too late in doing so. What is now being reported, is that Boeing personnel from a few years ago were discussing concerns centered around the software and sensor system on the MAX.

The MAX came into existence following a move by Boeing’s main competitor, Airbus, to increase the size of the engine on the Airbus model A320 – a similar plane to Boeing’s 737. The larger engine was supposed to translate into better fuel-efficiency, thus saving airlines millions of dollars. Not to be outdone, Boeing also made the decision to incorporate larger engines on the 737 and thus the 737 MAX 8 was born. A key difference between the A320 and the 737 is that the elevation clearance from the ground to wing on the A320 is greater than that of the 737. Therefore, the larger engine was easier to install on the A320 as opposed to the 737. This led Boeing to have to move the engine forward, causing part of the engine to actually sit higher than the wing of the 737. This change made it possible for the pitch or the trajectory of the nose of the MAX to steepen to such a degree that the plane could enter a stall and potentially crash. This is what happened on both of the downed airplanes. This change in trajectory is most likely to occur during take-off, which is what transpired on the Lion Air and Ethiopian Airline flights – crashing shortly after take-off. In order to account for this steepening, Boeing updated their software in conjunction with sensors, to detect such a dangerous steepening and then correct the aircraft to a safer position. This unfortunately did not occur during these flights and the pilots were unaware as to how to correct for this error.

What now appears to be the case, is that Boeing may have been driven by revenue, profits, and delivering an aircraft in a “timely” fashion to compete with Airbus. We hope that profits and speed were not prioritized at the expense of safety. If this happens to be the case – the damage this will do to Boeing and the greater economy could prove to be immeasurable. Boeing is the largest US exporter and the industries that they depend and likewise the industries that depend on Boeing on will be heavily hit. These include, steel, aluminum, carbon-composite materials, computers, electronics, glass, rubber, paint, and several others. This could be an industrial/manufacturing contagion comparable to the collapse of Lehman Brothers that truly kick-started the collapse of the 2008-2009 financial crisis and subsequent Great Recession.

This issue is being investigated by the FAA, the Department of Transportation, Congress, the DOJ, the FBI, and other global regulators. There will be much more to come. Stay diversified, stay vigilant, and stay with The Kapital News. #Boeing #Recession #Justice #Truth #Peace #USA #Airbus #EU #Europe #Airlines #Congress #DOJ #Economy #Politics

Ep. 126B – The White House in Damage Control?
The Kapital News
The Kapital News
Ep. 126B - The White House in Damage Control?
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The White House is scrambling on several fronts to get in front of some stories and to simply better communicate their position on others. Whether it’s the continuation of the impeachment inquiry, the “greatest” deal ever surrounding an alleged Phase 1 interim trade deal between the US and China, the escalation between Turkey and Syria, or the verbal jabs between President Trump and former VP Joe Biden, the White House is looking for a breather. Tomorrow evening the Democratic contenders for the Presidency face-off once again, but before the debate, we are expected to hear remarks/interview from Hunter Biden, the son of VP Joe Biden. Hunter has been called out recently by President Trump and his personal attorney, Rudy Giuliani, regarding Hunter’s professional positions and board seat(s) with companies involved with Ukraine and China. Arguing that Hunter never would have held those positions and earned that kind of money if it wasn’t for his father being the Vice President. This may very well be true. But if it’s good enough to investigate a former VP and his son, then it’s also right and good enough to investigate the President and his children who are intimately involved with his administration and are still engaged in foreign business transactions. The President has to be careful for what he wishes for because if investigations follow the Bidens, then they must follow the Trumps as well. Due to the escalation in Syria, VP Mike Pence is being sent to Turkey to broker peace or at least a truce/ceasefire. We are for peace and for ending these endless wars, but these recent actions were not taking place when US forces were in the area. The credibility of the US is paramount and leaving the Kurds, an ally in the fight against ISIS, to be massacred by Turkey is highly problematic, which is indicative of little planning by the President on this matter. We do hope for a peaceful resolution and for a complete end to these endless wars. Lastly, Treasury Secretary Mnuchin was out today making comments that IF a trade deal is not agreed to between the US and China over the coming weeks, that tariffs will increase on Chinese goods. Wait a minute! Weren’t we just informed by President Trump on Friday that the “greatest” trade deal regarding agricultural goods was just agreed to? More questions and problems regarding the credibility of this President and his administration. This is not good for the health of our Republic. Stay diversified, stay vigilant, and stay with The Kapital News. #Recession #Impeachment #Justice #Peace #Truth #Economy #Politics #USA #China #TradeWar #Syria #Turkey #War

Ep. 122B – Easy Money + Impeachment
The Kapital News
The Kapital News
Ep. 122B - Easy Money + Impeachment
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Central banks continue to cut rates or signal that in all likelihood that they will be doing so shortly. Of course there are a few “odd-balls” out there who are remaining steady or even increasing rates, but for all intents and purposes, the major global central banks are in the midst of a new easing-cycle. This easing-cycle is likely to continue as fundamental economic numbers around the globe continue to show stress in the system and an overall slowdown. The latest to cut rates is the Reserve Bank of Australia, which cut their rates by 25 bps to a new record low of 0.75% and signaled more easing if conditions warranted. We are also witnessing a stronger US dollar, which we imagine is likely to persist on a relative basis. This can have serious consequences for emerging markets that are reliant on commodities, which are likely to weaken in price with a rising US dollar. Further, these countries tend to have significant debt obligations that are priced in US dollars. These economies are then therefore hit on multiple fronts. First, their major commodity exports are hit due to falling prices. Secondly, it now takes more of their domestic currencies to purchase US dollars that are needed to meet their debt obligations that are priced in US dollars. This can cause economic and fiscal stress for these economies. As we look for a catalyst that can truly send markets lower, it may very well come from the emerging market space, if these current trends persist. In the form of a debt default, sovereign wealth fund shortfall, or a major corporation going bankrupt in one of these countries. These are not certainties, but most definitely possibilities. Continuing with our analysis and discussion regarding the impeachment inquiry and the whistleblower’s complaint – we continue to stress the importance of patience. Our goal here is to seek and find the truth and allow for justice to be served no matter who may be involved. It’s a divided country and it’s Left vs. Right. We need the process to proceed and for the facts of the case to be made known so Americans can make an informed decision. This is a sad day for the Republic, but our Constitution provides for checks and balances, and so once again, despite the uncertainties, our Constitution is standing the test of time and serving as a guide throughout this process. Let us pray that the truth and justice are found and administered. Stay diversified, stay vigilant, and stay with The Kapital News. #Impeachment #Whistleblower #Money #Truth #Justice #Peace #Economy #Politics #Recession #WakeUpAmerica #EndTheFed

Ep. 122A – Whistleblower Complaint Department, Part II
The Kapital News
The Kapital News
Ep. 122A - Whistleblower Complaint Department, Part II
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Continuing with our reading of the official whistleblower complaint, we make our way through the remainder of the document. Recall, we also took the time to read the “transcript” that was released by the White House pertaining to the phone call between President Trump and President Zelenskyy of Ukraine. Additionally, we also took the time to read the full memo of the Inspector General of the Intelligence Community. Therefore, following today’s episode, we have all publicly available documents that have been presented regarding this “urgent concern.” For certain, politics will continue to be played as the Democrats argue that the President has abused his powers and thus a formal impeachment inquiry is warranted. Republicans are coming to the aid of the President and stating that this whistleblower does not have first-hand knowledge of his/her own accusations and thus this is all hearsay. Further, the Trump Administration is continuing to fight back by utilizing the “drain the swamp” mantra and that President Trump is “draining the swamp” and these attacks are simply the “swamp” and the “deep state” fighting back. These arguments from both the Left and the Right are and will continue to divide this Republic. Still yet, we have the Republicans continuing to point the finger at former VP Joe Biden and his son, Hunter Biden, when it comes to Hunter Biden’s business dealings with both Ukraine and China. This is for sure the stuff that spy novels are made, but this is no novel – this is our reality. Throughout the entirety of the whistleblower’s complaint, he/she frequently states that he/she does not have first-hand knowledge of the alleged offenses. However, what we do know from the publicly available documents, that some of what the whistleblower has stated, has proven to coincide with the phone call between Presidents Trump and Zelenskyy. We also know that the Director of National Intelligence (DNI), Joseph Maquire, during his Congressional testimony has claimed that the whistleblower acted in accordance with the law and that their complaint appeared credible. We also know that despite an indicia of political bias on behalf of the whistleblower, the Inspector General concluded that given their preliminary review, despite the possible political bias, the whistleblower’s complaint “appears credible.” There is a good deal of information that has thus been made public, but as with most issues, this simply raises more questions than it does answers. We need to be patient and allow the process to work and let us hope that the system works judiciously and seeks the full truth, no matter who may be implicated and/or indicted. Stay diversified, stay vigilant, and stay with The Kapital News. #Whistleblower #Impeachment #Justice #Truth #Politics #Trump #Peace #DeepState

Ep. 121A – “Urgent Concern” + “Appears Credible”
The Kapital News
The Kapital News
Ep. 121A - "Urgent Concern" + "Appears Credible"
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“Urgent concern” and “appears credible” is the language from the Office of the Inspector General of the Intelligence Community (ICIG) regarding the whistleblower’s complaint of wrongdoing by President Donald Trump. Despite the fact that the Democrats had decided to move forward with a formal impeachment inquiry prior to the release of the whistleblower’s complaint, the letter from the Inspector General to the Acting Director of National Intelligence, Joseph Maguire, states that given the US statutes that guide his decision-making, and following a preliminary review, the whistleblower’s complaint meets the definition(s) of “urgent concern” and “appears credible.” This letter outlines the reasoning as to how and why the ICIG came to this conclusion. It is also made known that the whistleblower is a member of the intelligence community, either directly or through a contractor. At this time, as is allowed by law, the whistleblower has elected to keep his/her name withheld, however, the Inspector General does know the identity of the whistleblower. It is also noted that an attorney has been selected by the whistleblower and that all communication is to go through said attorney. Further, it is expected that the whistleblower will appear before Congress in the future. The Inspector General also states that during their preliminary review, that the whistleblower does appear to have a political bias against the President and is in favor of a Democratic Presidential contender. Nevertheless, given the preliminary review, the Inspector General states that the evidence provided by the whistleblower outweighs any such political bias – as the complaint rises to meet the definition(s) of “urgent concern” and “appears credible.” In addition, while we will also cover the whistleblower’s complaint, as it too has been declassified and made public, the complaint is in general agreement with the telephone call transcript that The White House released yesterday. This investigation will take time and understand that this is US political history in the making. A sitting US President will either be impeached and possibly removed from office, or this will become one of the biggest political blunders of all-time on behalf of the Democratic Party if they cannot impeach the President. Stay diversified, stay vigilant, and stay with The Kapital News. #Whistleblower #Justice #Truth #InspectorGeneral #Congress #2020 #WakeUpAmerica

Ep. 106A – Epstein + Markets: A World in Chaos
The Kapital News
The Kapital News
Ep. 106A - Epstein + Markets: A World in Chaos
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Where to even begin?…We have alleged sex trafficker, Jeffrey Epstein committing suicide while in a maximum security prison. Of course the suicide remains in question. This is likely the tip of the iceberg when it comes to many individuals soon to be prosecuted for sex trafficking and the like. The figures in Epstein’s social circle consists of politicians, business executives, and celebrities. It is not a far stretch to imagine that a few members of “high society” are also somehow involved. However, everyone is innocent until proven guilty in a court of law. Clearly, something is amiss when a high-profile inmate commits suicide, is killed, etc… The question is, who benefits from his death? It is in this question that answers will be found. In global markets, we continue to witness a sell-off in equities, a flight to “safe-have” government bonds, and precious metals. Global yields continue to make multi-year lows and even all-time lows depending on the nation and the duration. The spread between the 10 and 2 year US Treasury is at its tightest spread in years and is nearly inverted. The 3 month and 10 year has been inverted for some time, yet, once the 10 and 2 year inverts, it’s basically a foregone conclusion that the end of this record-breaking expansion is drawing near. Protests continue in Hong Kong, leading authorities to shut down all out going air travel. This will be the 11th week of protests amid growing concerns that mainland China is seeking to exert more control over Hong Kong. This simply adds to the global uncertainty and may serve as another piece on the geopolitical chessboard, especially regarding the US-China trade war. Also, there was a surprise upset in the Argentinian elections – the market sold off 48% and the peso is trading at record lows against the US dollar. All corners of the globe are on edge and the bigger the bubble, the less the pressure that is needed to cause its bursting. Stay diversified, stay vigilant, and stay with The Kapital News. #Epstein #Justice #WakeUpAmerica #Economy #Politics #Investing #HongKong #Peace

Ep. 100A – Trump Against the Democrats
The Kapital News
The Kapital News
Ep. 100A - Trump Against the Democrats
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With the Mueller testimony proving to be a big flop for the Democrats, they are now attempting even further investigations into President Trump – essentially grasping at air. The President meanwhile, disgusted with these seemingly endless investigations, and rightly so, looks to perhaps be turning the tables on the Democrats. Calling out President Obama himself, Hillary Clinton, and the Democrats at large, the President is calling for investigations into the genesis of the whole Russia-Trump conspiracy. This is right and needs to take place because this nation cannot be a nation of laws and also carry with it, a two-tiered justice system. We are awaiting the reports from Inspectors General and also DOJ investigations that are supposedly looking into the genesis of the Russia-Trump conspiracy. In other news, the US economy grew at 2.1% for Q2 2019, besting expectations of 1.8%. While the President was content with the number, he still takes time to blame the Federal Reserve and accuses them of raising interest rates to high, too quickly, and also embarking on quantitative tightening. On the back of the GDP news and some positive earnings reports, the S&P 500 and Nasdaq make new all-time highs. Next week the Fed meets to determine monetary policy. All eyes and ears will be waiting. Stay diversified, stay vigilant, and stay with The Kapital News. #EndTheFed #WakeUpAmerica #Justice

Ep. 99B – Market Mania!
The Kapital News
The Kapital News
Ep. 99B - Market Mania!
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Well the S&P 500 and Nasdaq made new all-time highs today. Yet somehow central banks the world over are getting set to undergo the next interest rate easing cycle. We have stock markets making all-time highs in the USA, Australia, and New Zealand. Meanwhile, other markets, like the Nikkei are hitting multi-month highs. If the markets are making all-time highs, and prices are stable (i.e. low inflationary effects), then why do central bankers need to cut interest rates and even embark on further rounds of quantitative easing, QE? The title of today’s podcast explains this well – this is a market mania and if history is any guide, mania’s do NOT end well. Stay diversified, stay vigilant, and stay tuned to The Kapital News. #EndTheFed #WakeUpAmerica #Economy