In The News Today

Posted at 2:29 PM (CST) by & filed under In The News.

Jim Sinclair’s Commentary

The most successful effect of sanctions.

Russia-China ties at highest level in history – Putin
Published time: May 18, 2014 20:06 
Edited time: May 19, 2014 07:46

Russia-China cooperation has reached its highest level ever, Russian President Vladimir Putin has said in an interview with Chinese media on the eve of his visit to Shanghai, where a record package of documents is expected to be signed by the two nations.

Below is the full transcript of the Russian president’s interview with Chinese Central Television, Xinhua news agency, China News Service, The People’s Daily, China Radio International, and Phoenix Television.

Question: What are your expectations concerning the upcoming visit to China? What results do you expect from the Summit of the Conference on Interaction and Confidence Building Measures in Asia in Shanghai?

Vladimir Putin: I am always happy to visit hospitable China. It is a pleasure to see how our neighbour is transforming right before our eyes. Shanghai is a vivid illustration of this.

Establishing closer ties with the People’s Republic of China – our trusted friend – is Russia’s unconditional foreign policy priority.

Now Russia-China cooperation is advancing to a new stage of comprehensive partnership and strategic interaction. It would not be wrong to say that it has reached the highest level in all its centuries-long history.

More…

 

Jim Sinclair’s Commentary

The future of the petro dollar will be decided in time in this relationship.

Gazprom to sign monumental gas deal with China
Published time: May 19, 2014 08:48 
Edited time: May 19, 2014 15:52

Russia and China are due to sign a long-awaited gas contract on Tuesday, in which Beijing could pay up to $456 billion for Russian gas over the next 30 years.

While Russian President Vladimir Putin visits Shanghai on May 20-21, Gazprom and the China National Petroleum Corporation (CNPC) are due to sign a deal for 38 billion cubic meters of natural gas to power China’s growing economy, starting in 2018.

clip_image002

More…

Jim Sinclair’s Commentary

A chess master’s move.

Kremlin again says Putin has ordered troops from Ukraine
BY STEVE GUTTERMAN
MOSCOW Mon May 19, 2014 12:22pm EDT

(Reuters) – The Kremlin announced on Monday President Vladimir Putin had ordered Russian forces near Ukraine back to their bases, but NATO and the United States said they saw no sign of a pullback and Moscow had failed to carry out such promises before.

Moscow has massed tens of thousands of troops near the border regions where pro-Russian separatists have declared independent states, and Kiev and its Western allies fear they could be used to invade in support of the rebels.

Ukraine holds a presidential election on Sunday which Western countries consider a crucial event in resolving the country’s crisis. The United States and EU have threatened to ramp up sanctions on Moscow if it interferes in the vote.

Ukrainian border guards said there had indeed been a decrease in Russian military activity close to the border. But the United States and the Western military alliance said there was no indication troops had pulled back.

"Unfortunately I have to say that we haven’t seen any evidence at all that the Russians have started a withdrawal of troops from the Ukraine borders," NATO Secretary-General Anders Fogh Rasmussen told a news conference in Brussels.

"We have seen no indication of any movement," Pentagon spokesman Rear Admiral John Kirby told Reuters.

More…

Jim Sinclair’s Commentary

Sino-Russian century.

China pivot fuels Eurasian century
By Pepe Escobar

A specter is haunting Washington, an unnerving vision of a Sino-Russian alliance wedded to an expansive symbiosis of trade and commerce across much of the Eurasian land mass – at the expense of the United States.

And no wonder Washington is anxious. That alliance is already a done deal in a variety of ways: through the BRICS group of emerging powers (Brazil, Russia, India, China, and South Africa); at the Shanghai Cooperation Organization, the Asian counterweight to the North Atlantic Treaty Organization; inside the Group of 20; and via the 120-member-nation Non-Aligned Movement (NAM).

Trade and commerce are just part of the future bargain. Synergies in the development of new military technologies beckon as well. After Russia’s Star Wars-style, ultra-sophisticated S-500 air defense anti-missile system comes online in 2018, Beijing is sure to want a version of it. Meanwhile, Russia is about to sell dozens of state-of-the-art Sukhoi Su-35 jet fighters to the Chinese as Beijing and Moscow move to seal an aviation-industrial partnership.

This week should provide the first real fireworks in the celebration of a new Eurasian century-in-the-making when Russian President Vladimir Putin drops in on Chinese President Xi Jinping in Beijing.

More…

Jim Sinclair’s Commentary

The West’s timing is impeccable. This pushes China closer to Russia

China Responds To "Ridiculous" Hacking Charges, Warns "Will Harm Relations With US", Demands US "Rectify Mistake"
Submitted by Tyler Durden on 05/19/2014 11:28 -0400

While we wait (in vain) for the US to lob sanctions at China for doing what Russia has done and amass a military presence on its border with Vietnam, here is what China had to say about the earlier announcement by the DOJ charging China with espionage and "penetrating" US companies (if having nothing to add regarding the NSA). From the wires:

CHINA FOREIGN MINISTRY SAYS CHARGES HARM RELATIONS WITH U.S.
CHINA FOREIGN MINISTRY SAYS CHINA HAS ALREADY PROTESTED TO U.S., URGES U.S. TO IMMEDIATELY RECTIFY MISTAKE
CHINA FOREIGN MINISTRY ‘STRONGLY REFUTES’ U.S. CHARGES
CHINA FOREIGN MINISTRY SAYS U.S. MADE UP FACTS IN SPYING CASE
CHINA FOREIGN MINISTRY URGES U.S. TO `CORRECT ITS MISTAKES’
CHINA SAYS U.S. VIOLATES BASIC PRINCIPLES OF INTL RELATIONSHIPS
CHINA FOREIGN MINISTRY CALLS CHARGES `BASELESS,’ `RIDICULOUS’
CHINA FOREIGN MINISTRY URGES U.S. TO `WITHDRAW CHARGES’

And the enigmatic:

CHINA TO MAKE FURTHER RESPONSES ACCORDING TO DEVELOPMENTS

Full Statement from China’s Foreign Ministry:

May 19, Foreign Ministry Spokesman Qin Gang’s Remarks on the US Justice Department announced the indictment of five Chinese military officer, expressed their conversation follows:

May 19, the United States fabricated Facts, the so-called Network Theft grounds stands in five Chinese officers to the Move Announced a serious violation of the Basic Norms of international relations, Damage Sino-U.S. Cooperation and Mutual Trust. China has protested to the United States for the first time, urged the US side to correct the error immediately revoke the so-called prosecution.

Chinese Government’s stance on the Network Security issue is consistent and Clear. China is a staunch defenders of Network Security, the Chinese Government and Military and associated Personnel never Engaged in Theft of Trade secrets or Participate in activities through the Network.Chinese Officials accused the United States on a purely fictitious, extremely absurd.

More…

Jim Sinclair’s Commentary

Here is an interesting position. Poison the US to produce gas but not in the EU.

EU presses Obama to expand US fracking under TTIP while banning it in European countries
Published time: May 19, 2014 16:38 
Edited time: May 19, 2014 18:20

Under negotiations for a new trade deal between the United States and Europe, the release of a secret memo shows Americans are being pushed to increase oil and gas exploration through the process of fracking and other methods.

Obtained by the Huffington Post, the memo contains the energy policies that EU negotiators are hoping to see implemented in a finalized Transatlantic Trade and Investment Partnership (TTIP). Among the EU’s positioning is that “energy goods” – classified as "coal, crude oil, oil products, natural gas, whether liquefied or not, and electrical energy” – are determined to “automatically” comply with the processes needed to authorize export.

"Exports of energy goods to the other Party shall be deemed automatically to comply with any conditions and tests foreseen in the Parties’ respective legislation for the granting of export licenses," the document states.

The draft also wants all parties involved to “recognize that it is desirable to strengthen the important role that trade in raw materials and energy plays in their relationship and to enhance this role through sustained and gradual liberalisation.”

With the majority of TTIP negotiations being held in secrecy, it’s unclear to what extent the EU’s preferences have been met. The document was reportedly first sent to American officials in September.

More…

Jim Sinclair’s Commentary

"Emerging Payments Task Force," this sound ominous.

US regulators develop bitcoin rulebook
Published time: May 19, 2014 17:17

A group of US state regulators is working to develop the first ever bitcoin rulebook, stating that they hope to protect those who are using the virtual currency by introducing proper regulation.

Many US companies are now allowing customers to pay for goods and services with the virtual currency.

“We may be looking at some type of model definitions, or model laws or regulations, and very likely recommendations to either our federal colleagues or to Congress,” David Cotney, Massachusetts commissioner of banks, told Reuters during a public hearing about bitcoin on Friday.

Cotney took up his position as head of the new nine-member Emerging Payments Task Force in February. The collective has granted itself a year to complete the task of establishing the guidelines.

Bitcoin was denied currency status by the IRS in May, meaning that taxpayers must treat bitcoin as property for federal tax purposes.

Because bitcoin is not regulated by the federal government, US constituent states may be facing a labyrinth of rules to govern its usage.

More…