Implode-Explode Heavy Industries news feed http://implode-explode.com/ Tracking the many faces of the global credit implosion. en-us iehi-feed-64540 Thu, 17 Jan 2019 21:02:50 GMT Brexit: France activates no-deal plan; Others likely follow http://implode-explode.com/viewnews/2019-01-17_BrexitFranceactivatesnodealplanOtherslikelyfollow.html The Netherlands' foreign trade minister, Sigrid Kaag, said on Wednesday night that the Netherlands was launching a major information campaign on 28 January.

"After Ireland, the Dutch economy is most entwined with that of the UK," she said, citing fisheries, meat-processing and flower exports. She warned that many small and medium enterprises had failed to make sufficient preparation for a no-deal Brexit.

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Germany's foreign minister, Heiko Maas, said on Thursday that plans for a disorderly Brexit would have to be stepped up.

"In the coming days and weeks, we will do everything we can so that Britain exits with and not without an agreement," he told the Bundestag (German parliament).

Spain said on Thursday that staffing of immigration offices would be beefed up if the UK left the EU without a deal. Some 310,000 UK citizens live in Spain and they would have to confirm their residency under a no-deal Brexit, officials said.''

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iehi-feed-64529 Fri, 11 Jan 2019 01:28:00 GMT Mnuchin becomes first Trump official called by Democratic House to answer questions about Russia http://implode-explode.com/viewnews/2019-01-10_MnuchinbecomesfirstTrumpofficialcalledbyDemocraticHousetoanswerq.html iehi-feed-64505 Tue, 01 Jan 2019 00:38:06 GMT Happy New Year! May Your City Never Become San Francisco, New York or Seattle http://implode-explode.com/viewnews/2018-12-31_HappyNewYearMayYourCityNeverBecomeSanFranciscoNewYorkorSeattle.html In truth, most of these cities have qualities other cities would reasonably desire. Denver has one of the country's fastest-growing tech labor forces, with minorities and women relatively well represented in those jobs. Seattle and Portland have among the fastest all-around job growth. New York has some of the fastest-growing wages. San Francisco has unemployment well below the national average and household incomes among the highest in the country.

But San Francisco-ization and the other -izations don't refer to the process of acquiring any of these good things. Rather, those terms capture the deepening suspicion of many communities that the costs of urban prosperity outweigh the benefits. The tech jobs and the high wages aren't worth having if they come with worsening congestion, more crowded development or soaring housing costs.

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Embedded in these fears is something slippery, seemingly inevitable. Once you let tech giants in the door, you have a homeless crisis. Once you allow more density, you're surrounded by skyscrapers. Once housing costs begin to rise, the logical conclusion is San Francisco.

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It's much harder to point to cities that have gotten all of this right -- the growth without the congestion, the tech jobs without the homeless crisis, the affordable housing without the sprawl.

We could use a word for the condition of becoming such a place. Maybe Minneapolisization?

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iehi-feed-64488 Fri, 21 Dec 2018 00:36:03 GMT Dow sinks below 23,000; Nasdaq flirts with a bear market; Oil in free fall http://implode-explode.com/viewnews/2018-12-20_Dowsinksbelow23000NasdaqflirtswithabearmarketOilinfreefall.html The latest wave of selling shows how worried investors have become about the eventual demise of the economic expansion. Those jitters were exacerbated by concerns that the Federal Reserve is making a mistake by continuing to raise interest rates.

"Equity markets are quickly approaching the capitulation phase after having broken below critical support," Sam Stovall, chief investment strategist at CFRA Research, told CNN Business.

Market sentiment wasn't helped by a surprise deepening in the budget fight in Washington either. House Speaker Paul Ryan said President Donald Trump won't sign the spending bill needed to prevent a government shutdown. Although a short-term shutdown would not have a large impact on the national economy, it would serve as a reminder of government dysfunction.

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iehi-feed-64478 Mon, 17 Dec 2018 18:52:57 GMT Hemp industry expected to blossom under new Farm Bill http://implode-explode.com/viewnews/2018-12-17_HempindustryexpectedtoblossomundernewFarmBill.html The U.S. hemp industry is expecting business to expand and investors to beckon after Congress on Wednesday passed farm legislation that included a provision to legalize and regulate the plant under the Department of Agriculture.

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That could open the industry, which produces therapeutic cannabidiol (CBD), fabric, rope and even ethanol, to a wave of investment.

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Cannabidiol has been touted as an elixir that can do everything from cure cancer to tame menstrual cramps, but so far the U.S. Food and Drug administration has only approved a specific formulation of CBD to treat seizures associated with rare forms of epilepsy.

The bill "puts forth a whole-plant definition of hemp including extracts," said Stansbury of the Hemp Industries Association. "We're not just talking stalk or flower. Any product derived from hemp is a legal consumer product."

But for now at least the FDA could stand in the way.

It states that CBD products can't be sold as dietary supplements and that those making medical claims are illegal without its approval. However, the FDA aims its most serious enforcement efforts at products "marketed for serious or life threatening diseases," according to a statement.

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Under the bill, CBD products derived from hemp and containing 0.3 percent or less of the high-inducing cannabinoid THC will be considered legitimate.

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iehi-feed-64461 Tue, 11 Dec 2018 05:09:50 GMT Manic Monday: Britain plunges deeper into Brexit crisis http://implode-explode.com/viewnews/2018-12-11_ManicMondayBritainplungesdeeperintoBrexitcrisis.html It all started in the morning, when in a landmark ruling the European Union's top court said the UK may unilaterally reverse its decision to leave the 28-member bloc prior to its scheduled exit on March 29 next year.

By early noon, May's already tenuous grip on Brexit appeared further weakened as whispers began to circulate that she would postpone a parliamentary voteon the widely criticised Brexit deal she negotiated with the EU, contradicting statements made by several officials earlier in the day.

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When May finally announced that Tuesday's vote was being delayed, acknowledging that her agreement would have been rejected, opposition MPs accused her of "losing control of events" and members of her own ruling party called on her to "govern or quit".

"The situation is utterly confused," said Simon Usherwood, a reader in politics at the University of Surrey and deputy director of the UK in a Changing Europe group.

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iehi-feed-64452 Fri, 07 Dec 2018 21:22:48 GMT Dow plunges for third straight day on weak jobs report and renewed trade tensions http://implode-explode.com/viewnews/2018-12-07_Dowplungesforthirdstraightdayonweakjobsreportandrenewedtradetens.html The Dow Jones Industrial Average dropped by 558 points on Friday, capping a wild week of trading that saw the blue-chip index lose more than 4 percent of its value.

The Dow started the day with a spike of 150 points after the Department of Labor released a generally tepid jobs report, only to plummet by mid-afternoon to a session low of 662 points down as markets continued to absorb the destabilizing impact of President Donald Trump's protectionist trade policies.

The broader S&P 500 lost 2.3 percent of its value, and a tech sell-off fueled a drop of 3 percent on the Nasdaq composite index. Tech giants Alphabet and Apple both lost all of their gains for the year. Apple's share price has been steadily falling after a litany of analysts cut their price targets for the smartphone maker amid concern over waning demand for the iPhone.

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iehi-feed-64449 Thu, 06 Dec 2018 20:16:32 GMT Does Trump Even Understand How Tariffs Work? http://implode-explode.com/viewnews/2018-12-06_DoesTrumpEvenUnderstandHowTariffsWork.html This weekend, President Donald Trump announced a major economic deal with Beijing. "China has agreed to reduce and remove tariffs on cars," he wrote on Twitter. "Farmers will be a a very BIG and FAST beneficiary of our deal with China. They intend to start purchasing agricultural product immediately," he added. "Farmers, I LOVE YOU!"

A few days later, Trump flip-flopped. "We are either going to have a REAL DEAL with China, or no deal at all--at which point we will be charging major Tariffs," he wrote. "If a fair deal is able to be made with China, one that does all of the many things we know must be finally done, I will happily sign. Let the negotiations begin."

These quick-succession declarations roiled markets: Stock prices bounced and then plunged as traders responded to good news (a potential U.S.-China deal) and bad (the apparent lack of a "REAL DEAL"). It seems trade wars are not, in fact, good and easy to win--especially if it is not clear what winning looks like. For all of Trump's bellowing about tariffs and China and trade, his goals and strategies remain confused and confusing, and much of what he wishes to accomplish might be impossible.

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iehi-feed-64443 Wed, 05 Dec 2018 00:23:24 GMT Dow dives nearly 800 points on fears of economic slowdown http://implode-explode.com/viewnews/2018-12-04_Dowdivesnearly800pointsonfearsofeconomicslowdown.html The Dow Jones Industrial Average plunged on Tuesday amid fears of an economic downturn, led by disappointing bank earnings and unresolved trade issues between the U.S. and China.

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"People think there is not 'substance' behind Trumps tweets about tariffs so the markets are giving back the gains from before the G20 meeting," Michael Matousek, head trader at U.S. Global Investors, told ABC News.

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iehi-feed-64439 Mon, 03 Dec 2018 02:20:05 GMT Dow futures surge after Trump and Xi agree to pause the  trade war http://implode-explode.com/viewnews/2018-12-02_DowfuturessurgeafterTrumpandXiagreetopausethetradewar.html iehi-feed-64433 Thu, 29 Nov 2018 18:39:01 GMT Wall Street Falls as Investors Turn to G20 Trade Talks http://implode-explode.com/viewnews/2018-11-29_WallStreetFallsasInvestorsTurntoG20TradeTalks.html Investors are looking ahead to U.S.-China trade war developments as U.S. President Donald Trump and his Chinese counterpart Xi Jinping are expected to hold talks on the sidelines of the G20 at the end of the week.

Meanwhile, the Fed's November meeting minutes will be released later in the day, with investors looking for any fresh indications of interest rate plans. Data released on Thursday showed that consumer spending surged in October, while underlying inflation slowed. The Fed's preferred inflation measure, the core personal consumption expenditures price index, rose 0.1%.

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iehi-feed-64407 Tue, 20 Nov 2018 05:27:48 GMT China Is Paying for Most of Trump's Trade War, Research Says http://implode-explode.com/viewnews/2018-11-20_ChinaIsPayingforMostofTrumpsTradeWarResearchSays.html The trade dispute between the U.S. and China is showing slim hope of abating as the leaders of the two nations prepare to meet in Argentina this month. According to Zoller-Rydzek and Felbermayr, the tariffs will do what Trump has longed for: They will cut American imports of affected Chinese goods by more than a third, and lower the bilateral trade deficit by 17 percent.

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"As the trade conflict escalates, however, the U.S. administration may not be able to restrict its selection to products with high import elasticities," they wrote. "And U.S. welfare might decrease as more of the tariff incidence falls on U.S. consumers."

Trump picked the low-hanging fruit (as always) -- it will get much harder to escalate this war...

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iehi-feed-64373 Thu, 08 Nov 2018 21:25:25 GMT Volkswagen reportedly planning to sell electric Tesla rival for under $23k http://implode-explode.com/viewnews/2018-11-08_VolkswagenreportedlyplanningtosellelectricTeslarivalforunder23k.html Volkswagen intends to sell electric cars for less than 20,000 euros ($22,836) and protect German jobs by converting three factories to make the Tesla rival, a source familiar with the plans said.

VW and other carmakers are struggling to adapt quickly enough to stringent rules introduced after the carmaker was found to have cheated diesel emissions tests, with its chief executive Herbert Diess warning last month that Germany's auto industry faces extinction.

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VW's strategy shift comes as cities start to ban diesel engine vehicles, forcing carmakers to think of new ways to safeguard 600,000 German industrial jobs, of which 436,000 are at car companies and their suppliers.

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iehi-feed-64355 Fri, 02 Nov 2018 22:49:12 GMT Trump administration to reinstate all Iran sanctions http://implode-explode.com/viewnews/2018-11-02_TrumpadministrationtoreinstateallIransanctions.html iehi-feed-64341 Mon, 29 Oct 2018 15:09:45 GMT Far-right candidate wins Brazil presidential election http://implode-explode.com/viewnews/2018-10-29_FarrightcandidatewinsBrazilpresidentialelection.html iehi-feed-64305 Thu, 18 Oct 2018 22:50:28 GMT Justice Department asks Supreme Court to toss kids' climate change lawsuit http://implode-explode.com/viewnews/2018-10-18_JusticeDepartmentasksSupremeCourttotosskidsclimatechangelawsuit.html The suit was filed in 2015 by a group of young people, ranging in age from 10 to 21, who said the federal government has failed to stop climate change by promoting the use of fossil fuels for more than 50 years. They claim that policy violated their constitutional right to "a climate system capable of sustaining human life."

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They seek sharp reductions in carbon dioxide emissions and a national plan for restoring the earth's energy balance. Despite repeated efforts by the federal government -- under both the Obama and Trump administrations -- to get the lawsuit tossed out, lower courts have allowed it to go forward. It is now set for 50 days of what the plaintiffs call the trial of the century, beginning October 29 in Oregon.

Solicitor General Noel Francisco said by allowing the case to proceed to trial, the judge overseeing the case wrongly found in favor of the young people's claim that they have a right to certain climate conditions.

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In July, the Supreme Court declined a similar request from the government to put the case on hold but called the breadth of the lawsuit's claims "striking" and said it's debatable whether the courts have the authority to entertain them.

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iehi-feed-64304 Thu, 18 Oct 2018 19:46:31 GMT Fed points to more rate hikes amid criticism from Trump http://implode-explode.com/viewnews/2018-10-18_FedpointstomoreratehikesamidcriticismfromTrump.html Federal Reserve officials remain convinced that continuing to gradually increase interest rates is the best formula to preserve a steady economy, according to minutes released Wednesday of the central bank's most recent policy meeting. That may not please President Donald Trump, who has been vocal in his criticism of the central bank's actions.

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Another development from the last meeting saw the committee remove the word "accommodative" from its description of the future policy path. In a post-meeting news conference, Powell told reporters not to read too much into the move, but the minutes provided more detail on why the FOMC decided to change the language.

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iehi-feed-64298 Wed, 17 Oct 2018 14:00:42 GMT Canada Makes Marijuana Legal, and a National Experiment Begins http://implode-explode.com/viewnews/2018-10-17_CanadaMakesMarijuanaLegalandaNationalExperimentBegins.html Canada on Wednesday became the first major world economy to legalize recreational marijuana use, beginning a national experiment that will alter the country's social, cultural and economic fabric, and present the nation with its biggest public policy challenge in decades... Canada is only the second country in the world, after Uruguay, to legalize it.

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Under Canada's new federal cannabis act, adults will be allowed to possess, carry and share with other adults up to 30 grams of dried cannabis, enough to roll roughly 60 regular-size joints. They will also be permitted a maximum of four homegrown marijuana plants per household.

Marijuana for medical purposes has been legal in Canada since 2001, and about 330,000 Canadians, including cancer patients, are registered to receive it from licensed producers.

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To ensure that prices remain competitive with the black market, one gram of cannabis can be purchased for as low as about $4, or $5.25 Canadian dollars.

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As with cigarettes, the cannabis is clearly marked with health warnings like "One in eleven people who use cannabis will become addicted."

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The government's stated rationale for legalizing cannabis is to tame an illegal trade estimated at $6.2 billion. But from Toronto to Winnipeg to Vancouver, hundreds of illegal shops have indicated they have no intention of shutting down, and the black market supply chain remains deeply entrenched.

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iehi-feed-64287 Sun, 14 Oct 2018 18:17:06 GMT Trump-Supported MBS Goes Rogue in Saudi Arabia As Reforms Fail To Materialize http://implode-explode.com/viewnews/2018-10-14_TrumpSupportedMBSGoesRogueinSaudiArabiaAsReformsFailToMaterializ.html ... increasingly it seems that the crown prince, better known as M.B.S., orchestrated the torture, assassination and dismemberment of an American-based journalist using diplomatic premises in a NATO country.

That is monstrous, and it's compounded by the tepid response from Washington. President Trump is already rejecting the idea of responding to such a murder by cutting off weapons sales. Trump sounds as if he believes that the consequence of such an assassination should be a hiccup and then business as usual.

Frankly, it's a disgrace that Trump administration officials and American business tycoons enabled and applauded M.B.S. as he imprisoned business executives, kidnapped Lebanon's prime minister, rashly created a crisis with Qatar, and went to war in Yemen to create what the United Nations calls the world's worst humanitarian crisis there. Some eight million Yemenis on the edge of starvation there don't share this bizarre view that M.B.S. is a magnificent reformer.

Trump has expressed "great confidence" in M.B.S. and said that he and King Salman "know exactly what they are doing." Jared Kushner wooed M.B.S. and built a close relationship with him -- communicating privately without involving State Department experts -- in ways that certainly assisted M.B.S. in his bid to consolidate power for himself.

The bipartisan cheers from Washington, Silicon Valley and Wall Street fed his recklessness. If he could be feted after kidnapping a Lebanese prime minister and slaughtering Yemeni children, why expect a fuss for murdering a mere journalist?

M.B.S. knows how to push Americans' buttons, speaking about reform and playing us like a fiddle. His willingness to sound accepting of Israel may also be one reason Trump and so many Americans were willing to embrace M.B.S. even as he was out of control at home.

In the end, M.B.S. played Kushner, Trump and his other American acolytes for suckers. The White House boasted about $110 billion in arms sales, but nothing close to that came through. Saudi Arabia backed away from Trump's Middle East peace deal. Financiers salivated over an initial public offering for Aramco, the state-owned oil company, but that keeps getting delayed.

The crackdown on corruption is an example of M.B.S.'s manipulation and hypocrisy. It sounded great, but M.B.S. himself has purchased a $300 million castle in France, and a $500 million yacht -- and he didn't buy them by scrimping on his government salary.

... . In the United States, we also must investigate whether Saudis bought influence with spending that benefited the Trump family, such as $270,000 spent as of early 2017 by a lobbying firm for Saudi Arabia at the Trump hotel in Washington. The Washington Post reported that Saudi bookings at Trump Chicago increased 169 percent from the first half of 2016 to the first half of this year, and that the general manager of a Trump hotel in New York told investors that revenues rose partly because of "a last-minute visit to New York by the Crown Prince of Saudi Arabia."

Trump loves teh swaggering "strongmen"; all they need is to pay a little lip service to progressive policies.

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iehi-feed-64274 Wed, 10 Oct 2018 14:54:39 GMT Canada legalizes pot: Five things to know as Canada becomes the biggest country to support legalization of marijuana http://implode-explode.com/viewnews/2018-10-10_CanadalegalizespotFivethingstoknowasCanadabecomesthebiggestcount.html