GERMANY - Widespread gains in Germany’s neighbouring countries for anti-EU parties in Sunday’s elections have shaken staunchly pro-European Germany, sparking fears in the country of a "dangerous divide" in Europe. It's lonely at the top, at least for the German pro-Europeans of Chancellor Angela Merkel's ruling CDU/CSU/SPD coalition. After a strong endorsement from the German public at the weekend they will return to the European Parliament far stronger than centrist parties in other EU countries.
GERMANY - Germany's weapons industry is booming, and even the vice chancellor's attempt to stop selling tanks to the Saudis is a minor concession for the world's third biggest arms exporter. But the trade is destabilizing security. Germany opposed the war in Iraq and its troops deployed in the Nato mission in Afghanistan were mainly kept out of combat. Last month's decision to take part in the European Union's peace-keeping in the Central African Republic was made only on the condition that Germany's main contribution be medical transport planes.
USA - When an economy is healthy, there is lots of buying and selling and money tends to move around quite rapidly. Unfortunately, the US economy is the exact opposite of that right now. In fact, the velocity of M2 has fallen to an all-time record low. This is a very powerful indicator that we have entered a deflationary era, and the Federal Reserve has been attempting to combat this by absolutely flooding the financial system with more money. This has created some absolutely massive financial bubbles, but it has not fixed what is fundamentally wrong with our economy. On a very basic level, the amount of economic activity that we are witnessing is not anywhere near where it should be and the flow of money through our economy is very stagnant. They can try to mask our problems with happy talk for as long as they want, but in the end it will be clearly evident that none of the long-term trends that are destroying our economy have been addressed.
RUSSIA/CHINA - During Russian President Vladimir Putin’s visit to China last week, China and Russia signed a huge natural gas deal that is worth about $400 billion. The natural gas deal is a win-win for China and Russia, as China secures a long-term (30 years) provision of natural gas from Russia and Russia can reduce its dependence on the European markets as well as strengthen Russia’s position against Western sanctions. In the meantime, China and Russia conducted a joint naval drill in East China Sea, sending a deterrence message to Japan and the US.
USA - The US military's F-35 Joint Strike Fighter aircraft is proving to be a pain in the neck in more ways than one. Not only did the Pentagon spend almost $400 billion to buy 2,400 aircraft - about twice as much as it cost to put a man on the moon - the F-35 program is 7 years behind schedule and $163 billion over budget. This at a time when cuts in the defence budget are forcing the Pentagon to shrink the size of the military. This is… one of the biggest ongoing budget debacles in US military memory.
USA - The biotechnology industry has found another use for pesticide-resistant gene technology by putting it in grass seeds, and in the process, completely avoided federal regulation of this new genetically engineered (GE) product. Soon, lawns and farms across America could consist of Scotts Roundup-Ready Kentucky Bluegrass (whether people want it or not), designed to withstand “massive amounts of Monsanto’s Roundup herbicide,” according to EcoWatch.
CHINA - State-owned Chinese companies will cease to work with US consulting companies like McKinsey and Boston Consulting Group over fears they are spying on behalf of the US government. US consulting companies McKinsey, BCG, Bain & Company, and Strategy&, formerly Booz & Co, will all be snubbed by state-owned Chinese companies, the Financial Times reported, citing sources close to senior Chinese leaders. “Right now the foreigners use their consulting companies to find out everything they want about our state companies,” an adviser said. McKinsey is the largest global consulting group operating in China, and about one-third of clients are state-owned enterprises. McKinsey has 650 employees in China. The dispute is only the latest setback in relations between the world’s two largest economies. Issues like Ukraine, Syria, and North Korea have been divisive topics between the two superpowers.
AFGHANISTAN - A recently unearthed 2007 United States Geological Service survey appears to have discovered nearly $1 trillion in mineral deposits in Afghanistan, far beyond any previously known reserves and enough to fundamentally alter the Afghan economy and perhaps the Afghan war itself. The previously unknown deposits — including huge veins of iron, copper, cobalt, gold and critical industrial metals like lithium — are so big and include so many minerals that are essential to modern industry that Afghanistan could eventually be transformed into one of the most important mining centers in the world. An internal Pentagon memo, for example, states that Afghanistan could become the “Saudi Arabia of lithium,” a key raw material in the manufacture of batteries for laptops and BlackBerrys.
TURKEY - The Turkish government recently cut off the flow of the Euphrates River, threatening primarily Syria but also Iraq with a major water crisis. Al-Akhbar found out that the water level in Lake Assad has dropped by about six meters, leaving millions of Syrians without drinking water. Two weeks ago, the Turkish government once again intervened in the Syrian crisis. This time was different from anything it had attempted before and the repercussions of which may bring unprecedented catastrophes onto both Iraq and Syria. Violating international norms, the Turkish government recently cut off the water supply of the Euphrates River completely. In fact, Ankara began to gradually reduce pumping Euphrates water about a month and half ago, then cut it off completely two weeks ago, according to information received by Al-Akhbar.
ISRAEL - Israel is to deploy three submarines equipped with nuclear cruise missiles in the Persian Gulf, the Sunday Times reported. According to the Times report, one submarine had been sent over Israeli fears that ballistic missiles developed by Iran, and in the possession of Syria and Hezbollah, could be used to hit strategic sites within Israel, such as air bases and missile launchers.
EUROPE - Italy has backed the Prime Minister's opposition to installing a federalist in the EU's top job amid a row over who takes the post after the European elections. Jean-Claude Juncker has described David Cameron's campaign to block him from taking the European Union's top job in Brussels as "blackmail". The Prime Minister has led opposition to plans to install Jean-Claude Juncker, one of the last supporters of a United States of Europe, as president of the European Commission.
GERMANY - Aside from the ubiquitous references to German excellence in cars and beer, readers largely say they wanted to see the country play a bigger role on the world stage. "Germany can't always hide behind the wall that was created because of WWII. It has to come out, be a proper citizen of the world," Peter Hannemann writes. Azam Ali Soomro echoes that view: "Germany has to play an independent role in the regional and world affairs."
UK - The BBC is failing to provide viewers and listeners with a genuine public service because of its coverage of politics, and has left voters ignorant of Tory policy on Europe, Iain Duncan Smith tells The Telegraph. The BBC is systematically “downgrading” David Cameron’s pledge to hold a referendum on Britain’s membership of the European Union, leaving most voters ignorant of the Prime Minister’s radical plans, Iain Duncan Smith has said.
USA - A narrative is a story that we tell ourselves, and not necessarily what happened in reality. For example, the “Iranian threat” narrative, which has become the common wisdom in Israeli public discourse. A new book by Gareth Porter, an American historian and researcher specializing in US national security, shows how the actual state of the Iranian nuclear program does not match the Iranian threat narrative. The book’s title, “Manufactured Crisis: The Untold Story of the Nuclear Scare” (Just World Books), already tells us that it is going against the current. Porter appears to be the only researcher who has read with an unprejudiced eye all the reports of the International Atomic Energy Agency from the past decade.
UK - Richard Walden, chairman of the Independent Schools Association, recently claimed that results-obsessed state schools are churning out pupils who are less moral than their public school counterparts. But is this really true? After all, don’t we all want a more moral society; raising our kids to be well-rounded human beings who are not only caring of others, but who embrace and live by cultural and ethical values and who are motivated by more than achievement, status and money? In a world where people are judged by wealth, power, status and fame, youngsters might well ask why they should aspire to be good or to feed their soul, when they can be rich or famous.