GERMANY - It just doesn’t let up with Deutsche Bank — or with European banks in general. A new day, a new scandal, a new historic low in the share price that has been in a death-spiral for over 10 years. Deutsche Bank shares plunged 7% today in Frankfurt, to a new historic low of €7.00, after briefly threatening to close at an ignominious €6.99. Its market cap is now down to just €14 billion. The stock has plunged 56% so far this year.
EUROPE - Chief eurocrat Jean-Claude Juncker has claimed early formation of the European Union would have averted World War 2 during a speech at the closing ceremony of Germany’s last coal mine. Mr Juncker, the European Commission president, relived a quote from an influential leader of one of the original movements for the creation of a unified European state – Richard Nikolaus Eijiro, Count of Coudenhove-Kalergi. Speaking at Prosper Haniel, Germany’s last coal mine, Mr Juncker said if Europeans had learned from the ideals of the International Paneuropean Union, World War 2 may have been avoided.
USA - Last Friday President Trump had another long phonecall with the Turkish President Erdogan. Thereafter he overruled all his advisors and decided to remove the US boots from Syria and to also end the air war. This was the first time Trump took a decisive stand against the borg, the permanent neoconservative and interventionist establishment in his administration, the military and congress, that usually dictates US foreign policy.
USA - The apparent decision by US President Donald Trump to order the complete withdrawal of US forces from Syria was preceded by a looming crisis between the US and Turkey. Trump and Turkish President Recep Tayyip Erdogan discussed the matter of Syria in a phone call last Friday. In a speech on Monday, Erdogan then reiterated his threat to launch a military incursion into northeast Syria. This operation, if undertaken, would have pitted Turkish troops against a US partner force – the Kurdish-led Syrian Democratic Forces (SDF). Ankara sees the latter as inseparably linked to the PKK (Kurdish Workers Party), which has been engaged in an insurgency against Turkey since 1984.
USA - Witchcraft is thriving in the US, with an estimated 1.5 million Americans now identifying as witches - more than the total number of Presbyterians. As Christianity declines across the country, paganism has swung to the mainstream, with witchcraft paraphernalia for sale on every high street and practises normalised across popular culture. In the past two years, it has also become darkly politicised.
INDONESIA - At least 168 people were killed and 750 injured, while 33 remain missing after the tsunami destroyed hundreds of houses and buildings, the National Disaster Mitigation Agency (BNPB) spokesperson said on Sunday, according to local media. Sunda Strait separates the islands of Java and Sumatra. Its coast is located about 100km (62 miles) from the Indonesian capital, Jakarta. Krakatoa is the volcano responsible for one of history's deadliest eruptions: in 1883 it caused over 36,000 deaths both directly and with the tsunami waves it triggered.
USA - "Impulsive, irresponsible, and dangerous." Such was the way, just this morning on CNN, that Democratic Representative, and House Minority Whip, Steny Hoyer described President Trump’s recent announcement that he’s bringing home the 2,000 US troops currently in Syria. Last night, Republican Senator Lindsay Graham - a true hawk’s hawk - declared on the Senate floor that Trump’s decision is a "disaster," and a "stain on the honor of the United States." Two points here, one minor, one major - let’s begin with a semantic quibble: when maintaining national "honor" becomes a last ditch argument for continuing indecisive, perpetual war, perhaps it really is time to leave. And, more importantly, there’s this: anytime that Steny Hoyer and Lindsay Graham are in agreement and share a disdain for a foreign policy decision - even a Trump decision - well, then, the president might just be on to something.
RUSSIA - Russian President Vladimir Putin issued a chilling warning Thursday about the rising threat of a nuclear war, putting the blame squarely on the US, which he accused of irresponsibly pulling out of arms control treaties. Speaking at his annual news conference, Putin warned that “it could lead to the destruction of civilization as a whole and maybe even our planet.”
USA - President Donald Trump celebrated the passage of a government funding bill that included an additional $5.7 billion in border security funds. “Thank you to our GREAT Republican Members of Congress for your VOTE to fund Border Security and the Wall,” Trump wrote about the vote, in which House Republicans passed the bill with a 217-185 vote. Trump reminded future Speaker Nancy Pelosi that she mistakenly claimed last week that a bill with more border security funding would not pass the House. “You will not win,” Pelosi said during a meeting with Trump in the Oval Office. “The fact is you do not have the votes in the House.” Trump replied, “Nancy, I do.” The results proved Pelosi wrong by a 32 vote majority. “Nancy does not have to apologize,” Trump wrote. “All I want is GREAT BORDER SECURITY!” The Senate will take up the bill on Friday for a vote. Senate Democrats plan to oppose the bill, which would send the government into a partial government shutdown.
USA - Defense Secretary Jim Mattis resigned Thursday after clashing with President Donald Trump over the abrupt withdrawal of US troops from Syria and after two years of deep disagreements over America’s role in the world. Mattis, perhaps the most respected foreign policy official in Trump’s administration, will leave by the end of February after two tumultuous years struggling to soften and moderate the president’s hardline and sometimes sharply changing policies. He told Trump in a letter that he was leaving because “you have a right to have a Secretary of Defense whose views are better aligned with yours.” Even Trump allies expressed fear over Mattis’ decision to quit, believing him to be an important moderating force on the president.
FRANCE - The Yellow Vest revolt in France has been compared to the unrest of May 1968, but this is mistaken. May 1968 has been called a “bourgeois frolic”, a product of discontents caused by rising affluence (including most notably the desire of French students to sleep with each other more often). It took place in a Western Europe where in general liberal democracy was still secure, on the basis of solid Cold War alignments and a generation of growing prosperity for all classes. The police cracked a few heads, and de Gaulle’s Fifth Republic trundled on.
USA - US stocks swooned for a second day Thursday after the Federal Reserve raised benchmark interest rates and said that it would continue to let its massive balance sheet shrink at the current pace. Fears of a government shutdown also sent stocks tumbling to new lows Thursday afternoon. The Dow Jones Industrial Average fell 464.06 points to 22,859.6, bringing its two-day declines to more than 800 points and its 5-day losses to more than 1,700 points. The Dow and S&P 500, which are both in corrections, are on track for their worst December performance since the Great Depression in 1931, down more than 10 percent each this month.
UK - The first flight has landed at Gatwick Airport after major disruption caused by a drone left thousands of passengers stranded. Flights resumed to and from the airport for the first time in 32 hours, as Transport Secretary Chris Grayling revealed "a small number of drones" are to blame for the "unprecedented" chaos inflicting misery on hundreds of thousands of travellers. Gatwick bosses hope flights will be back to normal by the end of Saturday, with 700 departures due to leave Gatwick on Friday, but at least 100 cancelled, affecting 126,000 passengers. Sussex Police, who are investigating the "deliberate" criminal activity, have not linked it to terrorism. Those found guilty of the crime could face up to five years in jail.
JAPAN - On December 11 Japan’s Kyodo News Agency reported that “Japan plans to effectively upgrade its helicopter carriers to enable them to transport and launch fighter jets.” Concurrently the Indian Ministry of Defence noted that in the course of a large exercise being held in India by the US and Indian air forces, “two military pilots from Japan are also taking part in the exercise as observers.” There was also a Reuter's account of Tokyo’s plans “to boost defence spending over the next five years to help pay for new stealth fighters and other advanced US military equipment.”
USA - Donald Trump plunged America’s Middle East policy into chaos on Wednesday as he declared the Islamic State (Isil) had been “defeated” and ordered a complete withdrawal of US forces from Syria. The shock decision to pull out US troops was immediately criticised by his own Republican allies as a “huge” mistake and his declaration of victory over Isil was openly contradicted by the British government.