Well it’s about time Mr. President! That’s what we have to say about the firing/resignation of National Security Advisor, John Bolton. Also a former member of the George W. Bush administration, Bolton has been a major advocate of foreign intervention and nation-building. These policies are most definitely a major contributing factor for the decline of the United States of America. The US has spent trillions of dollars (that we did/do not have) on international excursions that do very little to promote the interests of the American people. Not to mention the amount of blood that has been lost on all sides. Furthermore, our actions over the last two decades in the Middle East have caused an unknown amount of blowback from those who have felt the power of this American policy – which in turn causes even further national security concerns. Nevertheless, the US along with nations around the world are no where near being out of the woods, despite the departure of Bolton. There is a lot of escalation, skirmishes, and conflicts taking place and it will take much more than personnel changes to solve these geopolitical issues. Yet this is a move in the right direction. Next, Mr. President, fire Peter Navarro. Stay diversified, stay vigilant, and stay with The Kapital News. #BoltonFired #FireNavarro #Peace #Politics #Economy #Recession #WakeUpAmerica
It matters not the direction, North, South, East, or West, all regions of the globe are undergoing some major shift. Whether it’s Brexit in the UK, escalation with Israel, Lebanon, and Iran, India and Pakistan, Hong Kong protests, the US-China trade war, or others, the conclusion to these stories will affect the future of the geo-political landscape for generations. The Kapital News is a strong advocate of peace and prosperity, and let us pray this is the outcome. Yet with all the “strong-man” tactics and antics being played out by nearly all countries, the probability of a civil resolution to all areas, is unfortunately very low. Things on tap throughout September will be low-level US-China trade talks, global economics figures will be published, major central banks will be making monetary policy decisions, and then there’s always the wild-card. Stay diversified, stay vigilant, and stay with The Kapital News. #Economics #Brexit #USChina #TradeWar #Politics #Recesion #Investing #Peace
So many headlines and so little time. The deadline for Brexit is now only a couple of months away and UK Parliament is no closer to striking a deal with the EU or amongst themselves to leave with a deal. PM Boris Johnson was shot down a few times already as the new PM – with Parliament voting to strike down the possibility of leaving the EU without a deal. This led the PM to call for a snap election for 15 October, which was also struck down by Parliament – at least for now. Given the many back and forth tactics and antics, we imagine there will be more calls for a general election. In Hong Kong, the Chief Executive, Carrie Lam, has formally removed the highly contentious extradition bill from consideration. This bill is a main cause to the 13 weeks of protests, which have shut down several parts of Hong Kong. While this was a big issue for the protesters, the question becomes, will this be enough to end the protests and riots? On the US-China trade front, despite escalation from both sides, there has been a formal announcement that high-level talks will resume in Washington DC in October. All and any outcome is pure speculation, so we shall wait for the results. We lastly discuss the divergence between the main US equity indices against the bond market, the internals of the US stock market, precious metals, and commodities, given their movements, they cannot all be right. One group points to growth and the other, a slowdown. Well, which will it be? Stay diversified, stay vigilant, and stay with The Kapital News. #Brexit #HongKong #USChinaTrade #TradeWar #Economy #Recession #Politics
Not only is there a physical hurricane brewing in the Atlantic, but also a coming storm in the financial markets. While hurricane Dorian is likely to do significant damage in Florida over the coming days, the financial hurricane will cause even more carnage over the weeks and months ahead, perhaps even years. We foretold of a highly volatile month of August and it lived up to the forecast. We anticipate that this volatility will be here to stay for the remainder of the year and is likely to carry over well into 2020. In today’s podcast, we discuss a whole host of issues, from continued economics and financial warnings from Ray Dalio, founder of the world’s largest hedge fund, Argentina being downgraded to “default watch” by the major ratings agencies, the US/China trade war saga, more Presidential tweets – some even attacking US businesses, escalation between India and Pakistan, rumblings of war between Israel and Lebanon, and headlines continuing to show weakness in the global economy. It’s a lot to discuss and this will be par for the course for quite some time because a resolution to these issues and many others are well into the distance. Therefore, stay diversified, stay vigilant, and stay with The Kapital News. #Recession #Economy #EndTheFed #WakeUpAmerica #Peace #War #TradeWar #Politics #Stocks #FireNavarro
So there’s more drama surrounding British politics and the saga that is Brexit. The PM, Boris Johnson has decided to suspend Parliament, thereby calling for the Queen’s speech. This is a common practice for a new PM and is a highly ceremonial process, which of course is comprised of a speech by the Queen. However, what makes this time slightly different is the fact that this suspension will be longer and comes during a time when the 31 October Brexit deadline is drawing near. This means that there will be fewer days available for members of Parliament, MPs, to debate Brexit. They have had three years and there is still no deal that has been agreed by the British government and the Parliament. What do these politicians think they can actually achieve with another few weeks of discussions? Of course the actions taken by the PM have further divided an already polarized Parliament and country and it can be expected that protesters will take to the streets and there may even be a vote of no confidence of the PM. The people voiced their opinion back in June of 2016, it is now time for the British government to make good on that referendum – deal or no deal.
Italian PM Giuseppe Conte resigned today as tensions between the coalition government came to a boil. The coalition of the far-left Five Star Movement and the far-right Lega Part is no more. Lega Party leader, Matteo Salvini, is seeking to become the country’s next PM. His rise to power over the last couple of years has been consistent with the growth is nationalist and populist movements the world over. Emboldened by recent EU Parliament elections, Salvini has the PM post in his cross-hairs. It is not certain that he will win, but should he, this will cause many more headaches for the top brass within the EU. As the Brexit saga continues to unfold, will the EU next have to deal with an Italeave? If they do, this is all but the kiss of death for the “European Experiment.” In other news, global markets continue their whip-saw movements, yet still find themselves range-bound. This consolidation will not be long-lived and they will break-out either strongly to the upside or to the downside. So be sure to stay diversified, stay vigilant, and stay with The Kapital News. #Italeave #Brexit #EU #WakeUpAmerica #Economics #Politics #Peace
The Federal Reserve cut interest rates by 25 basis points today, this is the first cut in over a decade. The Fed also decided to end their run-off of their balance sheet, in what has become known as quantitative tightening, QT. While Chairman Jerome Powell gave Wall Street what it was asking for, Wall Street is never satisfied and the markets sold off – with the major indices down 1%. This is on the back of Powell’s statements, where he claimed that this was an “insurance” cut to hedge against global uncertainties, and that moving forward, the FOMC will do what is necessary to “sustain” the economic expansion. However, he came up short when he did not explicitly note that this is the first of more rates cuts to come – what Wall Street was hoping to hear. It’s never enough for the addicts on Wall Street and while one down day does not make a trend, this is likely to set up as a, be careful for what you wish for situation. The Kapital News is predicting that this will be the beginning of a new easing-cycle and we will also not be surprised if there is another round or version of QE in the not too distant future. Stay diversified, stay vigilant, and stay with The Kapital News. #EndTheFed #WakeUpAmerica #Economy
So our fearless leaders in Washington DC finally got together on a bipartisan level to increase the country’s debt-load. Aren’t you proud to be an American when the only thing our politicians can agree on is to increase spending and our national debt?! This bipartisan action all but guarantees $1 trillion deficits for the next two years and this is assuming the status quo. Should the US economy falter, which is more likely than not, then these deficits will dwarf $1 trillion. So much for draining the swamp and fiscal conservatism. Across the pond in the UK, the conservative party will be electing the country’s next PM. Former Mayor of London, Boris Johnson is expected to take the seat. He will be dealing with the Brexit fiasco, the escalation with Iran, and a deteriorating economy, which is all but in recession according to a UK think-tank. Well wishes to the next PM – he’s going to need it. Lastly, the ECB has a policy meeting and is expected to signal more rate cuts and/or QE in September. Prime the presses as central banks the world over are set to begin a race to the bottom with their respective currencies. #EndTheFed #Brexit #WakeUpAmerica
We discuss the EU election results. While we were anticipating a larger cohort of Eurosceptics and populists being sent to the EU parliament, there still was nevertheless an increase of populist candidate victories. This will undoubtedly change the dynamics of European politics, yet many questions still remain.
UK PM Theresa May tendered her resignation today, yet she will remain on until the end of July until her replacement is determined. It has been an uphill battle for Mrs. May since the very start for her, but she was nevertheless unable to get a deal through to provide for Brexit. What happens next is anyone’s guess and don’t forget we are also in the midst of the EU elections. Additionally, despite President Trump claiming that he does not want war with Iran, he has decided to send at least 1,500 troops to the Middle East. Recall there is also an air craft carrier strike force in the area as well. There was also an emergency declared by the President so that he could bypass Congress in order to expedite the sale of arms and ammunition to US “allies,” in the Middle East. There are words and then there are actions, let us hope and pray that there is no war.
