Economy Often Defies Soft Landing
To reduce inflation to the upper limits of what Mr. Bernanke and other Fed officials consider acceptable, more than three million jobs would be lost, a bigger drop than in the recession of 2001.

Proposed War Crimes Act protection for Bush administration would apply retroactively
“I think what this bill can do is in effect immunize past crimes. That's why it's so dangerous,” said a third attorney, Eugene Fidell, president of the National Institute of Military Justice.

Baghdad Morgue Tallies 1,815 Bodies in July


A Bush family tradition
The deficit may be down, but government is growing.

Quick Overview

• US Initial Jobless Claims out at 319K versus 315K expected.
  

• The U.S. department of Commerce, announced that total June exports of $120.7 billion and imports of $185.5 billion resulted in a goods and services deficit of $64.8 billion, $0.2 billion less than the $65.0 billion in May. This is the fifth largest deficit on record.
  
  

• China's producer price index rose 3.6% YoY in July
  
  

• MoM Australia's unemployment rate fell to 4.8% in July.
  
  

• Canada's trade surplus grew by 14.6% in June to 4.7 bln cd, compared with 4.1 bln in May.
  
  

• South Korea today unexpectedly raised its benchmark rate by 25 bp to a 5-year high of 4.5% in response to inflation fear.
  
  

• China's July trade surplus rose to another record high of $14.6 billion, exports up +22.6% YoY and imports up +19.7% YoY.
  
  

• Japan's July producer price index rose 3.4% YoY -- the strongest gain in 25 years.
  
  

• YoY Peru's trade surplus widened to $767 million in June from $479.
  
  

• The unemployment rate in New Zealand improved from 3.9% to a record low 3.6% in the second quarter.
  

• The DoE said that underground supplies of natural gas were down 12 billion cubic feet to 2.763 trillion cubic feet. YoY supplies are up 12%.

The Resistance Always Increases
Now one may rightfully argue that fighting germs and fighting humans is not the same thing. For starters, humans are generally considered to be
smarter than germs. Germs develop resistance by dumb luck. Humans
do this too, but at least occasionally, intelligence also plays a role.
Germs have a hard time communicating their knowledge to other living
germs. Humans have cell phones not to mention other, more antiquated
modes of communication. Humans employ chemical weapons against
germs, but generally avoid using such weapons of mass destruction
against other humans. So when it comes to developing resistance, it is
safe to say that humans are at least on par with germs.

Why Do They Hate Us?

After 9/11, the greatest fear that U.S. officials had was that the American people would figure out that U.S. foreign policy was at the root of the terrorist attacks and thus demand a total reevaluation of U.S. foreign policy. That might well have meant an end to all foreign aid to the Middle East and a withdrawal of U.S. forces from the region. That could have obviously meant a significant diminution of the U.S. government’s overseas empire and the military-industrial complex, along with the enormously high taxes needed to pay for it all. Thus, it’s not surprising that U.S. officials immediately went on the propaganda attack after 9/11 in order to divert people’s attention from U.S. foreign policy and toward the “freedom-and-values” motivation for the 9/11 attacks.

~ Summit of Indigenous Nations Sign Resolution to Rescind the Doctrine of Discovery (Papal Bulls of 1493) ~

The Indigenous Nations have resolved, here at the base of Mato Paha (Bear Butte), that the Pope of the Catholic Church and the Queen of England and the Archbishop of Canterbury rescind these doctrines of discovery as they have justified and paved the legal way for the dispossession of aboriginal land title and the subjugation of non-Christian people to the present. It has been resolved by 23 Nations and NGO’s and 100 individual signatories that the “doctrine of discovery is a legal and political fiction in violation of the rights of Indigenous People’s which has resulted in and continues to oppress indigenous people’s in the Western Hemisphere.

Foreclosure filings up 34% in Palm Beach County
Clients these days are from such well-to-do areas as The Acreage and Wellington, he said. "They're mostly (middle class) people who have financed it to the hilt, and there's really not much you can do for them."

Sixty percent of Americans oppose Iraq war: poll
It was the CNN poll's highest number opposing the war since fighting began in March 2003,

War Crimes Act Changes Would Reduce Threat Of Prosecution
The Bush administration has drafted amendments to a war crimes law that would eliminate the risk of prosecution for political appointees, CIA officers and former military personnel for humiliating or degrading war prisoners..


As Lebanon’s Fuel Runs Out, Fears of a Doomsday Moment Almost one month into the siege of Lebanon, with a land, sea and air blockade by Israel choking off the country, fuel reserves have all but dried up.

Quick Overview

• Sweden AMS unemployment rate July, at 5.2% versus 5.3% expected.

• Norwegian Retail Sales MoM June, at -1.1% versus -1.2% expected.
  

• Norwegian Unemployment rate (AKU) May, at 4.6% versus 3.9% expected.
  

• UK Visible trade balance June, at -6463 versus -6200 expected.
  

• US MBA Mortgage Applications Aug, out at 4.95 showed the housing industry still has a pulse and the housing sector may be able to stabilize now that mortgage rates have stopped rising.
  

• Canadian Housing starts July, at 236.5k versus 225.0K expected.
  

• Machinery orders in Japan +8.5% in June, more than expected.
  
  

• The U.S. Department of Energy said that:
  Supplies of crude oil were down 1.1 million barrels to 332.6 million barrels.
  Supplies of unleaded gasoline were down 3.2 million barrels
  Supplies of heating oil supplies were up 1.1 million barrels.
  
  

• DJ Newswires said China's textile industry expects cotton imports to increase from 2.6 million tons last year to 7 million by 2010.
  

Bush Pilot
This explains EVERYTHING!

Public Pension Plans Face Billions in Shortages And that may well understate the gap: Barclays Global Investments has calculated that if America’s state pension plans were required to use the same methods as corporations, the total value of the benefits they have promised would grow 22 percent, to $2.5 trillion. Only $1.7 trillion has been set aside to pay those benefits.

Quick Overview

• The Fed on Tuesday halted a more than two-year string of interest-rate rises, holding its benchmark rate steady at 5.25% while it gauges whether a slowing economy will keep inflation in check.
  
  

• The confidence of American consumers fell slightly in the latest week, with gasoline prices still high amid signs of a slowing economy, ABC News and The Washington Post said on Tuesday.
  
  

• The Labor Department said that business productivity increased 1.1% YoY in the second quarter, down from YoY rate of 4.3% in the first quarter.
  

• Japan's July bank lending rose 2.2% YoY which was the fastest pace in a decade.
  
  

• Germany's June industrial production fell -0.4%, which was weaker than the consensus expectation of +0.3%.

Bush, Rice, Twerps, and Children in Power
by Fred Reed

I’m wondering. Help me wonder. Either Georgie Bush is the minor, depressing, witless ferret I think he is, or I am. It has to be one or the other. If things don’t start looking up pretty soon internationally, I’m going to be pretty sure which.

As best as I can tell, what the Maximum Cipher lacks, among an inexhaustible list of other things, is a hop-toad’s understanding of how people work. Here we have the explanation of just about everything he does. He’s dealing with a world full of people, but has no idea what people are. He probably couldn’t recognize one. So he doesn’t take their predictable behavior into account.

Quick Overview

• The Fed reported that YoY consumer borrowing rose 5.7% in June, up sharply from a 3.3 percent increase in May.
  
  

• Japan's July foreign exchange reserves rose $7.06 billion on month to $871.94 billion, the Finance Ministry said Monday.
  
  

• China's National Foreign Exchange Center set the Yuan rate at a record 7.9699 to the dollar.
  
  

• Sweden’s GDP rose 5.5% YoY versus 4.2% expected.
  

• MoM UK’s Industrial Production fell -0.1% in June vs. 0.2% expected, YoY -0.7 vs. -0.3% exp.
  

• UK’s Manufacturing Production was up 0.1% in June vs. 0.2% expected, YoY 0.9% vs. 0.9% exp.
  

• BP said Sunday it would shut down the Prudhoe Bay oil field, which represents 8 percent of daily U.S. crude production, because of possible pipeline corrosion.
  
  
  

Good as gold?
Commentary: Questions about market manipulation, missing M3 figures
When last calculable, the chart of this was ominous: Turk not unreasonably comments: "Why does the Fed no longer want to report the total quantity of dollars in circulation? They know what's coming - massive amounts of dollar creation to fund the worsening trade and federal government budget deficits."

Fed admits US recession on cards
As Fed chairman Ben Bernanke prepares to decide whether to raise American interest rates for the 18th time on Tuesday, bond prices and the high level of borrowing costs are now showing a 38 per cent chance of recession, according to a model published by Fed economist Jonathan Wright earlier this year.

International crime rings, not hackers, true Internet villains More than two billion dollars will be stolen this year by online "phishing," using fake website and bogus e-mails to trick people into revealing personal information then used for identity theft, according to Evron.

Half of U.S. still believes Iraq had WMD Did Saddam Hussein's government have weapons of mass destruction in 2003?
Half of America apparently still thinks so, a new poll finds, and experts see a raft of reasons why: a drumbeat of voices from talk radio to die-hard bloggers to the Oval Office, a surprise headline here or there, a rallying around a partisan flag, and a growing need for people, in their own minds, to justify the war in Iraq.
People tend to become "independent of reality" in these circumstances, says opinion analyst Steven Kull.

Shortly before invasion, Bush didn't know there were two sects of Islam
Former Ambassador to Croatia Peter Galbraith is claiming President George W. Bush was unaware that there were two major sects of Islam just two months before the President ordered troops to invade Iraq, RAW STORY has learned.

Ethanol war brewing Everywhere you look these days, tech and business world luminaries - like Richard Branson, Paul Allen, Steve Case, Vinod Khosla, John Doerr, and Bill Gates - are laying down big bets on ethanol, a substitute for gasoline that's already finding its way into pumps.

Quick Overview

• The U.S. unemployment rate rose from 4.6% to 4.8% in July, weaker than expected. After the report, fed funds futures priced in a 16% chance of a Fed rate increase next week.
  

• Canada's unemployment rate increased from 6.1% to 6.4%.
  
  

• Australia's Reserve Bank expects real GDP to increase 3.5% this year with inflation around 3.0%.
  
  
  

• The International Monetary Fund has raised its forecast for German economic growth this year to 1.4 percent from 1.3.
  
  

• 414 companies in the S&P 500 (83%) have released results, and earnings rose by an average of 19% .
  
  

• German June factory orders unexpectedly declined -0.5% from a changed -1.5% decline in May.
  
  

• YoY U.K. personal bankruptcies rose +66% in the second quarter, the highest level since records began in 1960.

CONTRA KELO
Ohio’s top court has told the U.S. Supreme Court, "Thanks, but no thanks" for its rationale in Kelo v. City of New London, the 2005 case that allowed state and local governments to seize private property for private economic development.

China hit by rising air pollution
China is the world's largest sulphur dioxide polluter, emitting nearly 26m tons of the gas in 2005.

Net Neutrality May Derail Telecom Bill

Top Military Lawyers Oppose Plan for Special Courts
The military's top uniformed lawyers, appearing at a Senate hearing yesterday, criticized key provisions of a proposed new U.S. plan for special military courts, affirming that they did not see eye to eye with the senior Bush administration political appointees who developed the plan and presented it to them last week.

Quick Overview

• U.S. jobless claims were up 14,000 last week to 315,000, more than expected.
  

• The U.S. economy’s service sector growth, the biggest part of the economy, declined in July reducing expectations that the Federal Reserve will raise interest rates next week.
  

• The European Central Bank increased its rate from 2.75% to 3.00%, as expected.
  

• The Bank of England surprisingly increased its lending rate from 4.50% to 4.75.
  

• An index of European service activity dropped from 60.7 to 57.9 in July.
  

‘The Trouble With You, Blumert’

I want to make LewRockwell.com’s already vast reach even vaster. I want to spread the truth about peace, freedom, and the free market, much more broadly. That’s how to deal with these cretins. But we can't do it without you.

I’d like a larger budget to get Lew some help. We also need more internet security. And we need to reach more people. I wish you could see the mail we get. Young libertarians, conservatives, and even leftists, from all over America and the world, can’t get enough of LewRockwell.com, and thanks to us, they do not buy the media lies, and they tell others, who tell others.

Banking on War
In the end, it is worthwhile to remember that whenever you see George W. Bush talking about winning the "War on Terror," you are looking at the largest arms dealer on the planet.

Quick Overview

• Bank of Japan Policy Board member Atsushi Mizuno said on Wednesday it would be a mistake to think there will be no more rate rises this year, although the central bank has said future rate moves will be gradual
  
  

• The Reserve Bank of Australia has lifted interest rates to 6%. This is the second increase this year.
  
  

• The U.S. Department of Energy said that::
  Supplies of crude oil were down 1.8 million barrels to 333.7 million barrels.
  Supplies of unleaded gasoline were down 100,000 barrels
  Supplies of heating oil were up 1.7 million barrels.
  

• The International Cotton Advisory Committee expects 2006-2007 world ending stocks to total 45 million bales, less than the USDA's 47.5 million bale estimate
  

• The Mortgage Bankers Association said its index of mortgage applications is at the lowest level since May 2002.
  
  

Quick Overview

• The core personal consumption expenditure index, a measure that strips out food and energy prices and is closely watched by the Federal Reserve, rose 0.2 % in June. YoY the core PCE was up 2.4 %, after growing at 2.2 % YoY for May and April.
  
  

• The ISM's prices paid index was 78.5 in July versus June's 76.5.
  
  

• The Institute for Supply Management's July manufacturing index was 54.7, above an expected 53.6, and rebounding from June's 53.8.
  
  

• U.S. Construction spending was at an annual rate of $1.217 trillion in June, up slightly from May's pace.
  
  

• Germany's July unemployment rate fell to a 2-year low of 10.6% from 10.8%.
  
  

• Japan's land prices rose +0.9% in 2005. Land prices in Tokyo rose +5.4% in 2005, for the second year of growth.
  
  

• The unemployment rate in the Euro-12 improved from 7.9% to 7.8% in June while unemployment in the EU-25 improved from 8.2% to 8.1%.

Life After Earth
When the dust settles after World War III, or World War IX, humanity will still want to grow pineapples, rice, coffee and other crops.

US begins building treaty-breaching germ war defence centre
..the centre will have to produce and stockpile the world's most lethal bacteria and viruses, which is forbidden by the 1972 Biological and Toxin Weapons Convention. Three years before that treaty was agreed, President Richard Nixon halted the production of US biological weapons at Fort Detrick in Maryland. The same military base is the site for the new $128m (£70m), 160,000 sq ft laboratory.

Quick Overview

• The Chicago Purchasing Managers' Index increased from 56.5 to 57.9 in July, stronger than expected.
  
  
  

• Retail sales in Germany rose 1.9% in June
  
  

• Canada's GDP was up 2.6% YoY.
  

• Japan's June industrial production rose 1.9% MoM, which was stronger than the market consensus of 1.3%
  

• Euro zone confidence rose to a 5-year high in July.
  

• Dow Jones Newswires estimated that China will import one million tons and India will import four million tons of wheat in 2006-2007.
  

• The Chinese Yuan extended its move to post a new 12-1/2 year high at 7.9650 Yuan / dollar.

The Peculiar Disappearance of the War in Iraq
As America fell into the quagmire of Vietnam, the comedian Milton Berle joked that the fastest way to end the war would be to put it on the last-place network, ABC, where it was certain to be canceled. Berle's gallows humor lives on in the quagmire in Iraq. Americans want this war canceled too, and first- and last-place networks alike are more than happy to oblige.

Cheney-Specter bill: a blank check for spying
Cheney-Specter bill: a blank check for spying
The so-called "compromise" legislation makes a mockery of the nation's historic separation of powers

Welcome To My Parlor
by William S. Lind
Operationally, Hezbollah’s rocket attacks on Israel are the matador’s cape. That too is working. What of the strategic level? The Arab street is cheering for Hezbollah, often across the Sunni-Shiite divide, while the governments of states such as Egypt hide under the bed. The goal of Islamic Fourth Generation forces is the destruction of most, if not all, Arab state governments, so Hezbollah is winning strategically as well. One can almost watch the legitimacy drain away from the region’s decrepit states, with incalculable consequences for American interests.
Not that Washington is doing anything to protect those interests. On the contrary, it has rushed more bombs and aviation fuel to Israel, lest there be any unwelcome let-up in the destruction of Lebanon. In no previous Israeli-Arab war has the United States revealed itself so nakedly as a de facto political adjunct of Israel. Perhaps the neo-cons have convinced President Bush that Israeli olive oil can substitute for Arab petroleum as fuel for America’s SUVs.

Bush said Monday the Tea Lady is working "urgently" to achieve a sustainable ceasefire in the Middle East.

''Escalating Conflict in the Middle East Could Spark a Global Recession''
As the war between Israel and Lebanon escalates, growing regional and world outrage may increasingly be channeled toward the United States -- the only country that has influence over Tel Aviv. This may encourage the world's three largest oil producers, Saudi Arabia, Russia and Iran, to significantly reduce oil exports in order to increase pressure on Washington to rein in Israel's military actions. An oil export embargo undertaken by just Russia and Iran, which together account for 20 percent of the world's oil exports, would be much more effective at extracting a major policy change from the Bush administration than Syrian and Iranian missile strikes against Israel.

Millions of children to be fingerprinted
British children, possibly as young as six, will be subjected to compulsory fingerprinting under European Union rules being drawn up in secret. The prints will be stored on a database which could be shared with countries around the world.

On each landing, opposite the lift shaft, the poster with the enormous face gazed from the wall. It was one of those pictures which are so contrived that the eyes follow you about when you move. BIG BROTHER IS WATCHING YOU, the caption beneath it ran. (Orwell 1984)

Mandelson: US greed caused the Doha collapse
..Washington should have been prepared to trade cuts in support for its farmers against gains elsewhere in the talks - such as new markets for US manufacturers and services firms.

Dollar Bear Market Resumes as Outlook for Higher Rates Fades
Most traders surveyed by Bloomberg say the dollar's tumble will continue this week. Seventy-five percent of the 48 traders, investors and analysts polled from Sydney to New York on July 28 advised buying euros, the most in the past year. Eighty-three percent said to buy yen. The poll has accurately forecast the dollar's direction in 27 of the past 52 weeks against the euro and in 29 versus the yen.

The Karamazov Question What Price for Paradise?
by CHRIS FLOYD


"They have put too high a price on harmony; we can't afford to pay so much for admission. And therefore I return my ticket."
Ivan Karamazov, BookFive, Chapter Four: "Rebellion."

..The man nodded. "If tonight you could guarantee the good of the world -- peace and freedom, democracy and prosperity, now and forever; if tonight, you could relieve the suffering of all those who labor under tyranny and persecution, all those who groan in poverty and disease; if tonight, you could redeem the anguish of creation, past and future, now and forever; if tonight, you could guarantee this universal reconciliation, by the simple expedient of taking this" -- here the man suddenly produced a black pistol and held it out to the president -- "and putting a bullet through the brain of this little one here, just her, no one else: would you do it? That is my question, this is your opportunity." ..


(56 people, more than half of them children, were killed Sunday in an Israeli airstrike on Qana, Lebanon)

Cabinet in open revolt over Blair's Israel policy
The Observer can also reveal that at a cabinet meeting before Blair left for last Friday's Washington summit with President George Bush, minister after minister pressed him to break with the Americans and publicly criticise Israel over the scale of death and destruction.



Analysis: A second Qana Massacre?
The southern Lebanese town of Qana is known for two events in history, and there could soon be a third as news comes in of rising civilian casualties from an Israeli air strike there.

For Syria's envoy, no calls from the White House
Syria's ambassador to the United States, Imad Moustapha, has not had a single meeting with any senior Bush administration official in a year and half. Even in the current crisis, his phone does not ring.

Quick Overview

• The U.S. Department of Commerce said the U.S. economy grew at a below forecast 2.5 percent annual rate last quarter, less than half the speed of the preceding three months. YoY real GDP was up 3.5%. YoY the GDP price deflator was up 3.3% in the second quarter, less than expected.
  
  

• The University of Michigan's consumer sentiment index dropped from 84.9 to 84.7.
  

• The Labor Department said the employment cost index increased 0.9% in the second quarter and 3.0% YoY.
  

• Republicans are willing to allow the first minimum wage increase in a decade but only if it's coupled with a cut in future inheritance taxes on multimillion-dollar estates, congressional aides said.
  

• YoY Japans consumer prices were up 1.0% in June. The International Monetary Fund declared that deflation in Japan had ended but also said monetary policy should remain accommodative to allow inflation expectations to drift up.
  

• The unemployment rate in Japan increased from 4.0% to 4.2% in June.
  

Gonzales Worried About War Crime Charges

Tide of Arab Opinion Turns to Support for Hezbollah The Saudi royal family and King Abdullah II of Jordan, who were initially more worried about the rising power of Shiite Iran, Hezbollah’s main sponsor, are scrambling to distance themselves from Washington.

An outpouring of newspaper columns, cartoons, blogs and public poetry readings have showered praise on Hezbollah while attacking the United States and Secretary of State Condoleezza Rice for trumpeting American plans for a “new Middle East” that they say has led only to violence and repression.

Analysis: Bush Foreign Policy Struggling
"This president has a very firm world view that is not about to be changed by facts or realities.

Quick Overview

• France's seasonally adjusted unemployment rate fell to 9.0 pct in June from 9.1 pct in May.
  
  

• U.S. Durable goods were up 3.1% in June, more than expected. Excluding aircraft and defense items, orders were up 0.4%, weaker than expected.
  

• U.S. New home sales were at an annual rate of 1.131 million units in June, down 3% MoM. New home sales are down 12% YoY.
  

• The U.S. Labor Department said that jobless claims were down 7,000 last week to 298,000.
  

• Mexico's economy will grow more than 4 percent in 2006 and create about 900,000 new jobs, surpassing earlier forecasts, the government said.
  

• The U.S. Department of Energy said that underground supplies of natural gas were down 7 billion cubic feet last week. Supplies are up 16% YoY.
  

Iran: The Next War
Even before the bombs fell on Baghdad, a group of senior Pentagon officials were plotting to invade another country. Their covert campaign once again relied on false intelligence and shady allies. But this time, the target was Iran. BY JAMES BAMFORD

Quick Overvview

• A Bank of Japan official suggested the next interest-rate hike might come sooner than some had expected.
  
  
  

• The Federal Reserve's Beige Book said that all twelve districts showed continued economic growth in the past twelve months, but seven of the districts pointed out the rate of growth had slowed.
  

• Australia consumer prices were up 1.6% in the second quarter and up 4.0% YoY
  

• German business confidence (IFO) dropped from 106.8 to 105.6 in July, more than expected.
  

• The dollar extended its losses on Wednesday, hitting session lows across-the-board after a Federal Reserve survey reinforced a view the U.S. economy is slowing and that interest rates may be set to peak.
  
  
  

• The U.S. Department of Energy said that:
  Supplies of crude oil were unchanged last week at 335.5 million barrels.
  Supplies of unleaded gasoline were down 3.2 million barrels
  Supplies of heating oil were up 1.2 million barrels.
  

• Over the past four weeks, gasoline demand was up 1.8% YoY and YoY distillate demand was up 6.2%.
  

The Case for the Barbarous Relic

With this comes a belligerent and blind nationalism that has affected the whole culture in one degree or another. In an empire, the people must become "hollow dummies," said Orwell. They must believe they are superior to others, and have a right to tell other others what to do. Americans seem to go beyond even this. They believe that other countries actually want to be invaded and occupied and shaped into mini-American by the US.

The Lawless State If the Founding Fathers could see us now, they’d surely ask, “How on earth did you get yourselves into this mess?” We’ve managed to do nearly everything the Constitution was designed to prevent us from doing.

Quick Overview

Existing home sales fell 1.3% MoM, down 8.9% YoY, the National Association of Realtors said Tuesday


U.S. consumer confidence fell slightly in the latest week despite gasoline prices reaching $3 a gallon, the highest since Hurricane Katrina, ABC News and the Washington Post said on Tuesday


The Conference Board's consumer sentiment index increased from 105.4 to 106.5 in July, more than expected.

YoY South Korea's GDP was up 5.3% in the first quarter.