Forget Italy..Turkey is the main course

•December 7, 2016 • 4 Comments

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http://www.zerohedge.com/news/2016-12-05/forget-italy-turkey-main-course

While investors are focused on Italy, Bloomberg’s Mark Cudmore warns that another Mediterranean country is poised to grab their attention very soon. A currency crisis in Turkey is rapidly deteriorating, setting the stage for dramatic and unscheduled central bank action.

The lira has weakened by more than 11% in the last six weeks against an equally weighted dollar-euro basket. This devaluation is exacerbating the situation rather than providing a relief valve.

Turkish corporates’ FX liabilities have expanded at an extraordinary pace in recent years. As of August, they exceeded their FX assets by $210.5 billion dollars — an increase of 15% on the previous year.

So corporations are being forced to chase the move in the lira and buy even more foreign currency.Turkey’s citizens are understandably joining them, driven by anxiety over how this will end.

Over the weekend, President Erdogan pleaded for his compatriots to start converting their foreign currency savings back to lira. His words will be insufficient to stem outflows, especially as he used the same speech to again call for lower interest rates. That’s exactly what investors don’t want to hear.

Only a sudden large rate rise will stop the rout. The troublesome fact the president is actively fighting against the help that’s needed means the market will be more confident in selling the lira.

Global events aren’t helping. As a major commodity importer, the country’s terms of trade are starting to slump again in the wake of last week’s OPEC deal. Trump’s threatened geopolitical approach of reduced intervention is increasing the risk premium on assets in the region.

This movie has played out twice before in Turkey, in both 2006 and 2014, so traders should know how it ends. Erdogan will eventually lose, and the central bank will hike rates by several percent, striking further blows to a slowing real economy.

Get your fill of the Italian excitement today, but remember it’s just an antipasto. Turkey is the main course.

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thanks to rev17 for the link..

i wont be forgetting italy but i will keep an eye on turkey..the dominoes are wobbly..

“The lira has weakened by more than 11% in the last six weeks against an equally weighted dollar-euro basket. This devaluation is exacerbating the situation rather than providing a relief valve.”

same bullets being used again..

This movie has played out twice before in Turkey, in both 2006 and 2014, so traders should know how it ends. Erdogan will eventually lose, and the central bank will hike rates by several percent, striking further blows to a slowing real economy.”

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What’s next for South Korea?..Ban Ki-moon set to swoop?

•December 7, 2016 • Leave a Comment

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https://www.rt.com/op-edge/369148-south-korea-park-geun-hye-scandal/

South Korea’s Park Geun-hye is at the center of a political firestorm and under attack on multiple fronts over a devastating corruption scandal. The country’s first female president faces impeachment and mass street protests calling for her arrest.

The bizarre scandal engulfing Park’s government is rooted in allegations that her longtime personal friend and confidant, Choi Soon-sil, exerted an inordinate amount of influence on government policies, edited the president’s speeches, and even influenced government appointments.

Choi, a civilian with no security clearance, was found to illegally possess confidential government documents. Park is alsoaccused of personally lobbying corporations like Samsung and Hyundai to make massive financial contributions to charitable organizations controlled by Choi.

To add to the salaciousness, Korean media reports claim that Choi’s father was a spiritual mentor to Park after the death of her parents because of his alleged ability to channel the spirit of her assassinated mother and induce trance-like experiences in the future president.

Park’s approval ratings have plunged to five percent and she has agreed to resign in an effort to head off a pending impeachment vote. However, she has admitted no legal wrongdoing and called for the country’s ruling assembly to decide the terms of her resignation.

There is speculation that she is attempting to bide her time, considering that any proceeding in the assembly would take many months. Even if lawmakers voted overwhelmingly to end Park’s rule, the country’s Constitutional Court judges could block the measure, allowing her to see out her term, which is due to end at the end of next year.

Since coming to power four years ago, Park has governed high-handedly with a secretive leadership style that has stoked public curiosity in her closely guarded personal life. She campaigned on reducing income inequality and expanding welfare, but emerged adrift as a bland center-right defender of the status quo.

Park is heir to a fallen political dynasty, the daughter of Park Chung-Hee, a contentious military dictator strongly associated with the rapid growth and authoritarian politics of his eighteen-year rule. Both her parents were killed in political assassinations during her youth, and she has remained an unmarried and solitary figure throughout her life.

Relations with North Korea have reached their nadir under her hawkish foreign policy, symbolized by the closure of the Kaesong Industrial Complex and the suspension of all inter-Korean cooperation and channels for emergency communication between north and south.

The governing party lost its parliamentary majority during Park’s tenure and now faces two emboldened opposition parties with populist programs.

However the political crisis plays out, it’s clear that the conservative wing of the political establishment faces a daunting challenge: Park could very well become the first elected president to be removed from office and face trial.

The opposition needs just 28 of the 128 lawmakers from the ruling party to secure her impeachment and this figure may be within reach before the closing of the current parliamentary session on 9 December. There is already discussion of Park’s successor. Ban Ki-moon, the outgoing UN Secretary General, is considered a front-runner for the job. 

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read the last paragraph..then connect some dots..

uh huh..

“Park is heir to a fallen political dynasty, the daughter of Park Chung-Hee, a contentious military dictator strongly associated with the rapid growth and authoritarian politics of his eighteen-year rule. Both her parents were killed in political assassinations during her youth, and she has remained an unmarried and solitary figure throughout her life.”

i can see the moon man parachuting into this role now that his tenure with the UN is finishing..

“The opposition needs just 28 of the 128 lawmakers from the ruling party to secure her impeachment”

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Boris Johnson denies Saudi bombing massacres in Yemen breach international law

•December 7, 2016 • 2 Comments

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https://www.rt.com/uk/369175-boris-johnson-saudi-arabia/

The UK government does not believe that Saudi Arabia’s bombing campaign in Yemen violates international law, Foreign Secretary Boris Johnson said, defending the UK’s arms sales to Riyadh and expressing support for the Arab kingdom.

“So far, we do not believe that there has been a clear risk of a breach of the international humanitarian law,” Johnson told BBC One’s Andrew Marr Show, referring to the Saudi actions in Yemen and adding: “At the moment, we do not think the threshold has been crossed.”

The foreign secretary then reaffirmed the British allegiance to the Arab kingdom by saying that the UK is “supportive” of Saudi Arabia and has a “longstanding partnership” with it, as he defended the British government’s policy of selling weapons to the Arab country.

He went on to say that the actions of Saudi Arabia are justified and even supported by the UN. “There is a campaign supported by the Arab League, by a vast coalition, supported by the UN to move Houthis out of Sanaa and restore the legitimate government,” Johnson said, referring to the Yemeni Houthi rebels who forced President Abdrabbuh Mansour Hadi to go into exile and seized large swathes of Yemeni territory, including the Yemen’s capital of Sanaa in 2014 after Shia President Ali Abdullah Saleh was deposed in 2012.

However, the UN has blamed the Saudi Arabia-led coalition’s airstrikes for the majority of civilian deaths in the Yemeni conflict, and called for an international investigation in August, citing allegations of breaches of international humanitarian law and international human rights law in Yemen.

A report released by the Yemen Data Project in September concluded that one-third of Saudi airstrikes hit hospitals, schools, and other civilian targets across the country.

Saudi Foreign Minister Adel al-Jubeir told the Guardian at that time that those figures were “vastly exaggerated,” and blamed Houthi fighters for turning civilian buildings into “command control centers” and “weapons depots.”

———-

boris you fucking ididot..how is it not?

So far, we do not believe that there has been a clear risk of a breach of the international humanitarian law,” Johnsontold BBC One’s Andrew Marr Show, referring to the Saudi actions in Yemen and adding: “At the moment, we do not think the threshold has been crossed.”

but syria and aleppo are i guess?

“The foreign secretary then reaffirmed the British allegiance to the Arab kingdom by saying that the UK is “supportive” of Saudi Arabia and has a “longstanding partnership” with it, as he defended the British government’s policy of selling weapons to the Arab country.”

defending the indefensible..

“A report released by the Yemen Data Project in September concluded that one-third of Saudi airstrikes hit hospitals, schools, and other civilian targets across the country.”

so what exactly is the threshold boris?

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Li Ka-shing’s Cheung Kong Infrastructure makes $7.3 billion offer for Duet Group

•December 7, 2016 • Leave a Comment

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http://www.smh.com.au/business/energy/li-kashings-cheung-kong-infrastructure-makes-73-billion-offer-for-duet-group-20161204-gt3jgy.html

A company led by Asia’s second-richest man Li Ka-shing has made a $7.3 billion bid for infrastructure owner Duet Group, just four months after the Turnbull government blocked the purchase of NSW’s poles and wires business by the same group.

Duet Group confirmed receipt of a takeover offer from Cheung Kong Infrastructure on Monday.

“The boards of Duet Group are currently evaluating the proposal and at this time security holders are advised to take no action as there is currently no certainty the proposal will proceed further,” the company said in a statement to the Australian Securities Exchange.

Cheung Kong Infrastructure is offering $3 per share for Duet Group in a deal that values the company at $7.5 billion.

The offer represents a 27 per cent premium to the company’s closing price on Friday of $2.35.

Sources told Business Day the board of Duet Group received the offer late last week.

The offer is incomplete and only indicative, the sources said.

The board, led by chairman Doug Halley, will now have to weigh up the offer and decide whether to allow Cheung Kong Infrastructure to conduct due diligence.

Duet Group will also need to win the backing of its shareholders, which includes $55 billion industry super behemoth Unisuper with a 16 per cent stake. Lazard, Blackstone and Vanguard are also shareholders in the company.

The deal will be subject to approval by the Foreign Investment Review Board.

If successful, the deal will see Cheung Kong Infrastructure add to its suite of major energy infrastructure assets around Australia.

Duet Group owns Multinet Gas, one of three Victorian gas distribution networks, and two-thirds of Victorian-based electricity distributor United Energy.

It also owns the Dampier Bunbury Pipeline, a major natural gas transmission pipeline in Western Australia.

Duet’s other assets include DBP Development Group which builds, owns and operates pipelines and Energy Developments, an international group that provides clean energy and remote energy solutions.

Cheung Kong Infrastructure already owns several major infrastructure assets in Australia, including a controlling stake in South Australian electricity distributor ETSA.

Cheung Kong Infrastructure and another company linked to Mr Li, Power Asset Holdings, own CHEDHA Holdings which in turn holds Citipower and Powercor.

Hailing from Hong Kong, Mr Li is a self-made billionaire and the 20th richest person in the world with a fortune estimated at $43 billion.

Cheung Kong Infrastructure, which is listed in Hong Kong, was shortlisted as a bidder for the long-term lease of Ausgrid earlier this year.

Chinese government-owned China State Grid Corporation was also shortlisted as a bidder.

However, the federal government knocked back the bidders due to national security concerns about a China state-owned company owning the vital infrastructure.

Mr Li’s Cheung Kong Infrastructure is not state-owned but the Turnbull government had concerns about his links to senior government officials in China, a view that was widely criticised in business circles.

The stake in Ausgrid was later purchased by AustralianSuper and IFM Investors for $16.2 billion.

During 2016, Duet completed two capital raisings totalling $1.88 billion.

It used the raisings to fund the acquisition of Energy Developments for $1.4 billion and the remaining 20 per cent of the Dampier Bunbury Pipeline it did not already own.

———-

Li is the important part of his name..and the last bit i prefer to say it as “ka-ching”..the sound of a cash register..

“A company led by Asia’s second-richest man Li Ka-shing has made a $7.3 billion bid for infrastructure owner Duet Group, just four months after the Turnbull government blocked the purchase of NSW’s poles and wires business by the same group.”

fairly important infrastructure i would have thought?

“Duet Group will also need to win the backing of its shareholders, which includes $55 billion industry super behemoth Unisuper with a 16 per cent stake. Lazard, Blackstone and Vanguard are also shareholders in the company.”

the usuals..lazard and blackstone..

401

6 startling things you can do on a 5G mobile network

•December 7, 2016 • 2 Comments

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huawei_logo-2

http://www.businessinsider.com.au/6-startling-things-you-can-do-on-a-5g-mobile-network-2016-11

The Huawei Mobile Broadband Forum in Tokyo this week had tongues wagging about all the possibilities in a new 5G world. While the Chinese tech company would be behind the infrastructure that delivers 5G, the emphasis was on the next generation of apps that such pipes could bring.

With commercial 5G mobile networks due to arrive in 2018, here are some of the technologies we can look forward to.

1. Intelligent cars

Whether it’s driverless cars or simply cars with artificial intelligence to help humans drive safer and smarter, the amount of data involved makes a 5G mobile network imperative. The showfloor had several examples of this, including a Toshiba concept which had the car talking to the driver to advise on safety, navigation and fuel stops.

2. Virtual reality

Virtual and augmented reality was mentioned liberally during the forum. In fact, Huawei executive Abdurazak Mudesir had already said in Sydney earlier this month that VR would be the “killer app” for 5G. The next generation mobile network would be able to more smoothly handle graphics-rich VR apps than the current 4G systems, simply because of the capacity to transmit gigabytes of data in seconds.

3. Video

Perhaps this is not a surprising use of the next generation mobile network, but the way that videos would be applied are eye-opening.

Japan’s SoftBank envisaged that 8K video would be delivered over a 5G network, to kick-start a new era in healthcare imaging. A CNN executive said that the cable news channel’s very existence depended on the quality of the videos that 5G could deliver.

Huawei chief executive Ken Hu predicted that live video would explode in popularity to challenge traditional entertainment media. He cited a Chinese example in which a famous Olympic medalist live streamed herself chatting and eating cupcakes — the one-hour live video attracted more than 10 million viewers, and earnt the athlete US$15,000.

The showfloor also had a Huawei example of a 3D monitor that does not require glasses. Maybe 5G will spur a revival for 3D telly?

4. Artificial intelligence

There were plenty of robots on the showfloor, both of the practical type that could help customers in a shop and the entertaining type that danced en masse. But they weren’t merely gimmicks — they represented the leg-up that artificial intelligence and machine learning would get from the arrival of 5G. Again, the huge amount of data that could be shared between devices would enable robots and other AI apps to be smarter than ever before.

5. Better-than-human vision

Sony demonstrated its better-than-human-eye image sensing technology, which it says will revolutionise apps like security, transport, manufacturing and obviously, photography. Technology now enables machines to do remarkable things like see through reflections in windows and water, view different parts of a picture with different levels of brightness, capture 960 frames per second and even detect freshness of vegetables.

All these applications handle large amounts of data — something that is not possible in the current 4G world, but will be within reach with 5G.

6. Pet tracking

It’s not just humans that will benefit from 5G. Industry group GSMA predicted that our furry family members would all have their own smart devices, in order for us to track their movements and monitor their welfare. How will your 5-year-old child feel when you deny her a smartphone but the cat gets one?

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5G is coming..but what extra can it do?

it can track pets..cool..

nice videos..ok..

AI..great!

intelligent cars..huh?

401

By 2050 India to have the world’s largest Muslim population

•December 6, 2016 • 4 Comments

muslims1

http://indianexpress.com/article/india/by-2050-india-to-have-the-worlds-largest-muslim-population-study/

A comprehensive Pew Research Center study shows that by 2050, India will surpass Indonesia to have the largest Muslim population by any country in the world. However, India will continue to have a Hindu majority, the study noted.

The Muslim population in India is likely to exceed 18% (310 million) while Hindus will comprise of 77% of the country’s population.  In 2010, the percentage of Hindus in the country was about 80%, which is likely to come down to 77%. At the same time, over the course of four decades, the Muslim population will increase by four percentage points from 14% to 18%.

As of 2010, Indonesia has the largest Muslim population (209 million) followed by India (176 million) and Pakistan (167 million). The largest share of Hindus as of 2010 is in India, followed by Nepal and Bangladesh. By 2050, India and Nepal will be the only two countries with a majority Hindu population, the same situation as of 2010, the study said.

Globally, the most interesting aspect from the study is the fact that by 2050, the number of Muslims will nearly equal the number of Christians in the world. Over the course of four decades, while Christians will go from 2.17 to 2.92 billion, Muslims are seen to have the fastest pace of growth to go from 1.6 billion to 2.76 billion. The study notes that Hindus will go from 1.03 billion to 1.38 billion. The world’s total population itself is expected to rise up to 9.3 billion, a rise of 35%.

Region-wise, Muslims are likely to be dominant in the Asia-Pacific region but their size itself will reduce from 62% in 2010 to 53% in 2050. They are also projected to surpass Hindus as the largest religious group in the region. Hindus will also be predominantly living in the Asia-Pacific region by 2050.

———-

wow..i didnt know this..and it surprised me..

“Pew Research Center study shows that by 2050, India will surpass Indonesia to have the largest Muslim population by any country in the world. However, India will continue to have a Hindu majority, the study noted.”

and this:

“by 2050, the number of Muslims will nearly equal the number of Christians in the world. Over the course of four decades, while Christians will go from 2.17 to 2.92 billion, Muslims are seen to have the fastest pace of growth to go from 1.6 billion to 2.76 billion.”

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China is watching US leadership transition closely Xi tells Kissinger

•December 6, 2016 • 2 Comments

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http://www.scmp.com/news/china/diplomacy-defence/article/2051284/china-watching-us-leadership-transition-closely-xi

Talks between former US secretary of state Henry Kissinger and President Xi Jinping could give Beijing more clues about the direction of ties with Washington as US president-elect Donald Trump prepares to take office, ­experts say.

Xi met Kissinger in the Great Hall of the People on Friday and called the visit timely.

“The presidential election has taken place in the United States and we are now in the key moment. We, on the Chinese side, are watching the situation very closely. Now it is in the transition period,” Xi told Kissinger in front of a group of reporters.

“Overall, we hope to see the China-US relationship moving ahead in a sustained and stable manner.”

Kissinger, who helped prepare the ground for former US leader Richard Nixon’s historic visit to China in 1972, told Xi he appreciated the meeting.

The visit came two weeks after Kissinger met Trump in New York, where relations with China were a focus of the conversation, according to an statement from the Trump team.

In an interview with CNN’s Fareed Zakaria, 93-year-old ­Kissinger said Trump should not be held to all of his campaign promises.

“One should not insist on nailing him into positions that he had taken in the campaign, of which he doesn’t insist,” Kissinger said in the interview. “If he insists on them, then of course … disagreements will become expressed.”

Kissinger described Trump, whom he also met in May, as the “most unique” president-elect in his lifetime, who had “no obligation to any particular group because he has become president on the basis of his own strategy”.

Neither Washington nor Beijing have revealed the reason behind Kissinger’s visit, but diplomatic observers in China said he was expected to give leaders a clearer picture of who Trump was and try to ease concerns over possible instability during the leadership transition.

“People are worried, especially given his comments during the campaign, about how Trump, who has no experience in public service, will handle Sino-US relations. Will he manage ties simply based on his own thinking?” said Professor Zhang Zhizhou, from the School of International Relations and Diplomacy at Beijing Foreign Studies University.

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wtf is a 93 year old vampire doing in china and being welcomed by xi?

“Neither Washington nor Beijing have revealed the reason behind Kissinger’s visit”

since when is kissinger a government employee anymore?

“The visit came two weeks after Kissinger met Trump in New York, where relations with China were a focus of the conversation, according to an statement from the Trump team.”

killinger: “give taiwan a call when you can”

trump: “you sure?”

killinger: “never been surer..”

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