Sunday, July 6, 2025

"Dow, S&P 500, Nasdaq futures fall as Trump targets August 1 for country-by-country tariffs"

From Yahoo Finance, July 6: 

US stock futures fell Sunday as President Trump and top administration officials suggested country-specific tariffs would take effect on Aug. 1, offering more potential confusion to trading partners but also potential breathing room for negotiations.

Futures attached to the Dow Jones Industrial Average (YM=F) and the S&P 500 (ES=F) slipped 0.4% while contracts on the tech-heavy Nasdaq 100 (NQ=F) dropped 0.5%.

Trump had targeted July 9 as a self-imposed deadline, when his "pause" on steep April tariffs would go back into effect. Global markets have been bracing for that potential shock, with the US only having reached deals with the UK and Vietnam, as well as a framework toward an agreement with China.

But on Sunday, both Treasury Secretary Scott Bessent and Trump suggested that while Trump could send out letters this week informing countries of their tariff rates, those duties would not go into effect until Aug. 1....

....MUCH MORE 

Defense stock surge triggers one of the hottest ETF launches in European history

From MarketWatch, July 2/4:

One of the fastest European exchange traded fund launches comes from a play on defense stocks.

CORRECTION Fixes story to reflect that the VanEck defense fund is not limited to holding companies based in Europe.

Fund providers are not shy to promote their launches, but one really does stand out for the speed in which it has taken in assets.

WisdomTree said its Europe Defence (spelled the British way) UCITS ETF WDEF, launched on March 11, has already surpassed $3 billion in assets under management. Data from ETFGI, a research and consultancy firm, show that it’s one of the top exchange-traded fund launches in European history.

Of funds that have taken in over $2 billion since 2020, only the HSBC Global Government Bond UCITS ETF took less time (just a month) to cross that level, ETFGI data show....

....MORE 

Earlier:

Germany To Buy 1000 Main Battle Tanks, Russia Targets 3000 Per Year Production

"Yang Tao: China should develop a yuan-backed stablecoin ASAP"

From The East Is Red, July 2:

CASS economist calls for prompt stablecoin legislation and phased rollout of “long-arm jurisdiction” for cryptocurrencies in Web3 finance regulation. 

This is the third in a series of articles to explore the ongoing discussions surrounding stablecoins in China, written by Yang Tao, Deputy Director of the National Institution for Finance & Development, formerly the Financial Laboratory of the Chinese Academy of Social Sciences (CASS). In 2015, the NIFD and 25 other institutes were highlighted as the first batch of “state high-end think tanks,” where it is the only one specialising in finance.

Yang recommends that China prioritise the development of a yuan-backed stablecoin to secure a foothold in the global market for fiat-collateralised stablecoins. Over the medium and long term, he calls for the formulation of comprehensive laws regulating the broader cryptocurrency ecosystem. Yang also advocates a tiered, phased approach to establishing China’s extraterritorial regulatory reach—or “long-arm jurisdiction”—in the realm of Web3 finance.

The article was originally published on 21st Century Business Herald, a business newspaper in China, on June 14. It is also accessible on the National Institution for Finance & Development’s official website and WeChat blog.

杨涛:理解人民币稳定币的理论与实践逻辑

Yang Tao: Understanding the Theoretical and Practical Logic of Yuan-Backed Stablecoins

The recent passage of the GENIUS Act (Guiding and Establishing National Innovation for U.S. Stablecoins Act of 2025) by the U.S. Senate, Hong Kong’s Legislative Council approval of the Stablecoins Bill, and the listing of stablecoin giant Circle on the New York Stock Exchange have reinvigorated global and domestic debates around stablecoins. To grasp the impact and strategic significance of stablecoins—whether in the context of competition in the international monetary system or the integration of traditional finance with Web3 innovations—one must first understand their underlying theoretical and practical logic.

Fiat-collateralised stablecoins: integrating into the sovereign credit system

Throughout history, currency has evolved from shells and precious metals to modern forms of credit money. While it serves multiple functions—a medium of exchange, a unit of account, a store of value, and a standard of deferred payment—its fundamental role has always been to act as a promise and a medium for settling transactions.

With the rise of the electronic and digital age, new payment methods have emerged, following two distinct paths: "account-based" and "value-based (Token)." The former primarily relies on the traditional banking system, with identity verification as its core. In contrast, the value-based model may depart from the banking system, evolving from early non-bank electronic wallets into a new "Token-based" model. The focus is no longer on identity verification but on valuation and anti-counterfeiting measures.

In the development of the "Token-based" system, fully decentralised cryptocurrencies like Bitcoin have shown instability in their value. As a result, their role as assets gradually outweighs their currency functions, making them unsuitable for anchoring payments. This has prompted the emergence of various stablecoins, including fiat-collateralised stablecoins, cryptocurrency-collateralised stablecoins, commodity-collateralised stablecoins, and algorithmic stablecoins....

....MUCH MORE 

 China is really into claiming universal jurisdiction for their national laws. Here's a prior instance, July 2020 for an ostensibly Hong Kong focused law: 

"Hong Kong’s National Security Law: a first look"
....The law also applies to everyone everywhere in the world. This means if one were to be seen by Beijing as breaking this new legislation in another country and then enter Hong Kong, or transit through it, or even fly in a vehicle registered in Hong Kong, then one would be at risk. Possibly this could even apply to residing in a country with an extradition treaty with Hong Kong (or one day, China?). In short, it is a very large, sharp Sword of Damocles....

It’s not the substantive crimes and their definitions that count; it’s the institutions that will investigate, prosecute, and judge them that count. Language matters only if there are institutions that will make it matter. This whole law is about avoiding the involvement of such institutions.

Everyone is doing their hot take on the new Law of the People’s Republic of China on Safeguarding National Security in the Hong Kong Special Administrative Region (the “Nat Sec Law” or the “Law”) [Chinese | English], just revealed to the public and made effective today (consultation? schmonsultation!), so why not me?
Two things first:
  1. As these are just quick notes, I’m going to comment on the various parts of the law pretty much in the order they appear instead of in a more organized way.
  2. An important point: I’m not going to talk much about the substantive offenses and their definitions. There’s a reason for that. If mainland practice to date is any guide—and it is—then the definitions don’t matter that much. Anything can be stretched as necessary to cover something done by the person being targeted. As the old cliché goes, 欲加之罪何患无辞 (roughly, “if you are determined to convict, you needn’t worry about the lack of grounds”). The key is in the institutions and procedures the law establishes and empowers. Who has power to do what? What are the procedures under which they operate? Who appoints and pays for them? To whom are they responsible? Etc.
All right, let’s begin.
Article 2 begins with a weird provision stating that nobody may violate the rules of Article 1 and Article 12 of the Hong Kong Basic Law. But Article 1 and Article 12 of the Basic Law aren’t rules about anything. Article 1 states a proposition, not a rule: “The Hong Kong Special Administrative Region is an inalienable part of the People’s Republic of China.” How could one “violate” that statement? Article 12 is grammatically the same: ” The Hong Kong Special Administrative Region shall be a local administrative region of the People’s Republic of China, which shall enjoy a high degree of autonomy and come directly under the Central People’s Government.” Again, how does one “violate” a proposition?

Article 4 says that Hong Kong should protect rights under the International Covenant on Civil and Political Rights and the International Covenant on Economic, Social, and Cultural Rights. Given the rest of the law, whether this will happen seems unlikely.

Article 5 states that all persons shall be considered innocent until declared guilty by a judicial organ. As we shall see, this is contradicted by the bail provisions in Article 42.

Article 6 says that protecting the country’s sovereignty, unity, and territorial integrity is the common duty of all the people (renmin 人民) of China. This seems an odd formulation to me. Why not say all the citizens (gongmin 公民) of China? “People” in PRC officialese has a special meaning: it is a subset of the citizenry, and consists of those who are allies of the Communist Party at any given moment. It would be odd to say that reactionaries and counterrevolutionaries, who are not part of the people, get a pass on this duty.

Article 12 calls for the establishment of a Committee for Safeguarding National Security (the “National Security Committee” or the “Committee”), said to be under the supervision of and accountable to the Central People’s Government (the “CPG”), i.e., the State Council and the Premier.

It’s not quite clear how this accountability is to work in practice, since the membership is prescribed by law: the Chief Secretary for Administration, the Financial Secretary, the Secretary for Justice, the Secretary for Security, the Commissioner of Police, the head of the department for safeguarding national security of the Hong Kong Police Force established under Article 16 of this Law (the “Nat Sec Head”), the Director of Immigration, the Commissioner of Customs and Excise, and the Director of the Chief Executive’s Office. (To understand where all these fit within Hong Kong’s administrative structure, check out this handy chart. I’ll just note here that they are not all of equal rank. The Nat Sec Head, for example, is under the Commissioner of Police, who is under the Secretary for Security, who is under the Chief Secretary for Administration.) The Committee is to be chaired by the Chief Executive.....MUCH MORE

 Finally, more on that universal jurisdiction (tweet disappeared but she was right):

THREAD

Here's Bethany:

Head of China investigations @aspi_cts. Was @axios @foreignpolicy @yale
@HopkinsNanjing. Author BEIJING RULES, FT Best Books 2023. bethanyallen AT aspi org au
https://x.com/BethanyAllenEbr/

"Obama’s Trump-Russia collusion report was corrupt from start: CIA review"

Miranda Devine is sort of the opposite-world version of CNN's Natasha Bertrand in that Devine's stuff turns out to be true. 

You might remember her for breaking the stories of Papa Biden's corruption exposed by Hunter Biden's laptop computer in mid-October 2020. That was followed by Bertrand's release of the 51-Spies-who-lie letter calling the laptop news a Russian disinformation operation.

The back-and-forth between the two over the ensuing years is quite the story in itself.

Here's another big one from Devine via the New York Post, July 2: 

A bombshell new CIA review of the Obama administration’s spy agencies’ assessment that Russia interfered in the 2016 presidential election to help Donald Trump was deliberately corrupted by then-CIA Director John Brennan, FBI Director James Comey and Director of National Intelligence James Clapper, who were “excessively involved” in its drafting, and rushed its completion in a “chaotic,” “atypical” and “markedly unconventional” process that raised questions of a “potential political motive.” 

Further, Brennan’s decision to include the discredited Steele dossier, over the objections of the CIA’s most senior Russia experts, “undermined the credibility” of the assessment.

The “Tradecraft Review of the 2016 Intelligence Community Assessment [ICA] on Russian Election Interference” was conducted by career professionals at the CIA’s Directorate of Analysis and was commissioned by CIA Director John Ratcliffe in May. 

Embedded CIA report "Tradecraft Review of the 2016 Intelligence Community Assessment on Russian Election Interference" via Scribed. 

The “lessons-learned review” found that, on December 6, 2016, six weeks before his presidency ended, Barack Obama ordered the assessment, which concluded that Russian President Vladimir Putin “aspired” to help Trump win the election.  

The review identified “multiple procedural anomalies” that undermined the credibility of the ICA, including “a highly compressed production timeline, stringent compartmentation, and excessive involvement of agency heads.”

It also questioned the exclusion of key intelligence agencies and said media leaks may have influenced analysts to conform to a false narrative of Trump-Russia collusion.

“The rushed timeline to publish both classified and unclassified versions before the presidential transition raised questions about a potential political motive behind the White House tasking and timeline.”

The review found that Brennan directed the compilation of the ICA, and that his, Comey’s and Clapper’s “direct engagement in the ICA’s development was highly unusual in both scope and intensity” and ”risked stifling analytic debate.”

Brennan handpicked the CIA analysts to compile the ICA and involved only the ODNI, CIA, FBI and NSA, excluding 13 of the then-17 intelligence agencies. 

He sidelined the National Intelligence Council and forced the inclusion of the discredited Steele dossier despite objections of the authors and senior CIA Russia experts, so as to push a false narrative that Russia secured Trump’s 2016 victory.

“This was Obama, Comey, Clapper and Brennan deciding ‘We’re going to screw Trump,’” said Ratcliffe in an exclusive interview. 

“It was, ‘We’re going to create this and put the imprimatur of an IC assessment in a way that nobody can question it.’ They stamped it as Russian collusion and then classified it so nobody could see it.

“This led to Mueller [special counsel Robert Mueller’s inquiry, which concluded after two years that there was no Trump-Russia collusion]. It put the seal of approval of the intelligence community that Russia was helping Trump and that the Steele dossier was the scandal of our lifetime. It ate up the first two years of his [Trump’s first] presidency.

“You see how Brennan and Clapper and Comey manipulated [and] silenced all the career professionals and railroaded the process.”

The CIA review notes that, before work even began on the ICA, “media leaks suggesting that the Intelligence Community had already reached definitive conclusions risked creating an anchoring.” The term “anchoring” refers to a cognitive bias in psychology and suggests that the media leaks may have influenced the analysts working on the ICA to shape their findings to conform with the leaked narrative rather than conducting an objective analysis. 

On December 9, 2016, both the Washington Post and New York Times reported the IC had “concluded with high confidence that Russia had intervened specifically to help Trump win the election.”

The Post cited an unnamed US official describing this as the IC’s “consensus view.”

The “highly compressed timeline was atypical for a formal IC assessment which ordinarily can take months to prepare, especially for assessments of such length, complexity, and political sensitivity,” the review found. “CIA’s primary authors had less than a week to draft the assessment and less than two days to formally coordinate it with IC peers before it entered the formal review process at CIA on December 20.”

When the draft ICA was completed and sent for review to Intelligence Community “stakeholders,” the timeline was “compressed to just a handful of days during a holiday week [which] created numerous challenges …

“Multiple IC stakeholders said they felt ‘jammed’ by the compressed timeline. Most got their first look at the hardcopy draft and underlying sensitive reporting just before or at the only in-person coordination meeting that was held on December 19 to conduct a line-by-line review.”

Drafts of the ICA were only permitted in hard copy, so needed to be hand-carried between various spy agency buildings. “The pressing timeline and limitations of hardcopy review likely biased the overall review process.”

The “direct engagement” of agency heads Brennan, Comey and Clapper in the ICA’s development was “highly unusual in both scope and intensity. This exceptional level of senior involvement likely influenced participants, altered normal review processes, and ultimately compromised analytic rigor. 

“One CIA analytic manager involved in the process said other analytic managers — who would typically have been part of the review chain — opted out due to the politically charged environment and the atypical prominence of agency leadership in the process.”

The review criticizes the ICA for including the Steele dossier, a salacious and discredited opposition-research product written by former British spy Christopher Steele, who was working for the Hillary Clinton campaign, which claimed Russia possessed sexually compromising blackmail material on Trump.

Despite the fact that “the ICA authors and multiple senior CIA managers — including the two senior leaders of the CIA mission center responsible for Russia — strongly opposed including the Dossier, asserting that it did not meet even the most basic tradecraft standards,” Brennan insisted it be included.

“CIA’s Deputy Director for Analysis (DDA) warned in an email to Brennan on December 29 that including it in any form risked ‘the credibility of the entire paper.’”

But Brennan responded that “my bottom line is that I believe that the information warrants inclusion in the report.”

Brennan showed “a preference for narrative consistency over analytical soundness,” said the review. 

“When confronted with specific flaws in the Dossier by the two mission center leaders — one with extensive operational experience and the other with a strong analytic background — he appeared more swayed by the Dossier’s general conformity with existing theories than by legitimate tradecraft concerns.”

“The decision by agency heads to include the Steele Dossier in the ICA ran counter to fundamental tradecraft principles and ultimately undermined the credibility of a key judgment. The ICA authors first learned of the Dossier, and FBI leadership’s insistence on its inclusion, on December 20 — the same day the largely coordinated draft was entering the review process at CIA,” according to the review. “FBI leadership made it clear that their participation in the ICA hinged on the Dossier’s inclusion and, over the next few days, repeatedly pushed to weave references to it throughout the main body of the ICA.”

In the end, the spy agency heads decided to include a two-page summary of the Steele dossier as an “annex” to the ICA, with a disclaimer that the material was not used “to reach the analytic conclusions.” 

However, the review says that “by placing a reference to the annex material in the main body of the ICA as the fourth supporting bullet for the judgment that Putin ‘aspired’ to help Trump win, the ICA implicitly elevated unsubstantiated claims to the status of credible supporting evidence, compromising the analytical integrity of the judgment.”....

....MUCH MORE 

 Here's a PDF of the CIA review (8 page PDF):

https://www.cia.gov/static/Tradecraft-Review-2016-ICA-on-Election-Interference-062625.pdf 

If interested here is the Washington Post on Bertrand's role in the Steele Dossier, February 28, 2020: 

How Politico’s Natasha Bertrand bootstrapped dossier credulity into MSNBC gig 

Long-time readers might recall our thoughts upon reading the Dossier, January 13, 2017, three days after BuzzFeed broke the story and a week before Trump's inauguration: 

"Eugene Volokh on Libel Law: "When ‘there is serious reason to doubt’ rumors and allegations, is it libelous to publish them?"

More Just as importantly, after reading the schlocky, amateur, borderline retarded "35 pages" thing, how could anyone ever again justify paying Orbis Business Intelligence actual money for anything they produce?

Germany To Buy 1000 Main Battle Tanks, Russia Targets 3000 Per Year Production

note to war-porn addicts: there will never be another Kursk

First up, from Bloomberg via MSN, July 4:

Germany Prepares €25 Billion Tank Order to Boost NATO Forces

Germany is considering purchasing up to 2,500 armored fighting vehicles and as many as 1,000 battle tanks as part of a joint European effort to create new NATO brigades to deter Russia, according to people familiar with the matter.

The North Atlantic Treaty Organization has asked Germany to contribute as many as seven combat brigades to the alliance within the next decade. The fighting vehicles and tanks, if approved, would equip these forces, people familiar with the matter said on condition of anonymity. The ramp-up reflects growing concern among allies about heightened Russian hostility since Moscow’s full-scale invasion of Ukraine. 

The order under consideration by Defense Minister Boris Pistorius and the Bundeswehr’s top generals would include as many as 1,000 Leopard 2 battle tanks and up to 2,500 GTK Boxer armored fighting vehicles, the people said. The tanks are manufactured by KDNS and Rheinmetall, and the fighting vehicles are made by ARTEC, a joint venture of KDNS and Rheinmetall. 

A defense ministry spokesman declined to comment on possible increases in the number of combat vehicles.

Rheinmetall shares were up by as much as 3.7% in Frankfurt following news of the plans and a pre-close call, which prompted analysts to raise price targets.

The total order could be worth as much as €25 billion, the people said, caveating that because procurement negotiations are still ongoing, the ultimate number may be lower....

....MUCH MORE 

And from Military Watch Magazine, July 2:

Returning Tank Production to Soviet Era Levels: Russia Will Soon Be Building Over 3000 T-80s and T-90s Per Year  

The Russian defence sector is on track to further significantly expand production of main battle tanks to reach a landmark output of 1,000 new tanks by mid-2028, and a staggering 3000 tanks by mid-2035, according to a recent assessment by the Conflict Intelligence Team. The Russian Army previously procured tanks at a very low rate averaging just one per year in the 2010s, although production remained at over 80 per year with the bulk of output being allocated to export markets. Since the outbreak of full scale hostilities between Russia and Ukraine in February 2022, however, Russian industry has been able to respond to the surge in domestic demand for modern main battle tanks by more than tripling output within two years, with production in 2024 estimated at 280-300 tanks. This steady increase is set to continue, and is considered vital both to replenish losses suffered in frontline engagements, and to counter the significant expansion of Western Bloc forces across the country’s borders. 

Russia currently operates only a single tank production facility,  the Uralvagonzavod tank plant, which was one of five that operated in the Soviet Union at the time of the state’s disintegration and one of the three largest. Of the other two primary facilities, the Omsktransmash plant near the Kazakh border was forced into bankruptcy and ceased tank production in the early 2000s, while the Malyshev plant in Ukraine produced a very small number of modernised T-80s but has since been forced to cease work. The Soviet Union in its final decade produced tanks at rates dwarfing those of modern Russia, and by many estimates exceeding those of the rest of the world combined, at approximately 4000 per year. Uralvagonzavod was the only large facility to produce the T-72, while Omsktransmash and Malyshev produced the much more costly and complex T-80....

....MUCH MORE  

As noted in the intro to March 5's "As Germany Positions To Be The World's Liquidity Pump...."

"The world's" may be a bit of hyperbole but combined with what China will have to do to achieve the 5% growth figure that was reaffirmed yesterday, we are looking at potentially maybe $2 trillion in deficit spending over the next six years between the two economies and though not enough to offset the shrinkage of the U.S. deficit—which shrinkage must happen to delay slow-motion but inevitable worldwide disaster—it looks like the global party could continue until sunrise and/or 2030.

The fact much of the German deficit spending will go toward armaments is all the better—it is the most inflationary bang-for-the-buck, so to speak, spending a government can do; you make stuff, you blow it up, you make more stuff. It may not add to a country's real national wealth but boy-oh-boy does it boost nominal GDP growth.

This is a really big deal. If you don't believe me, believe the German bond market....

The only thing that has changed over the ensuing four months it the U.S. passed and enacted the budget bill which was transformed from a putative traditional deficit reduction attempt to a "grow our way out of disaster" attempt. Bringing to mind the thoughts of former Gazprom head and former Prime Minister of Russia, Viktor Chernomyrdin:

On Russia's unstable party system:  

"Whatever party we establish, it always turns out to be the Soviet Communist Party." 

and  on economic reform:

"We meant to do better, but it came out as always"

If interested see also May 18's:

"Rearmament: The Charade and the Game of Chicken"

 “nervi belli pecunia infinita” — the sinews of war are infinite money. 

RAND Corporation: "Averting a Robot Catastrophe"

From RAND, June 28 

Preparing for Converging Trends in Robotics and Frontier AI

This working paper assesses the convergence of trends in robotics and frontier artificial intelligence (AI) systems, particularly the national security risk that results from the potential for the proliferation of robotic embodiments of artificial general intelligence (AGI). This paper highlights that while the benefits of advanced robotic capabilities are likely to outweigh the associated risks in many contexts, the combination of AGI with robots featuring high mobility and dexterous manipulation could introduce significant systemic vulnerabilities. Policymakers face challenges in balancing the need for safety and security with economic competitiveness, as there are no straightforward regulatory options that effectively limit risky combinations of capabilities without hindering innovation. We conclude by stressing the urgency of proactively addressing this issue now rather than waiting until the technologies are fully deployed, to ensure responsible governance and risk management in the evolving landscape of robotics and AI....

....MUCH MORE (embed and download)  

Also at RAND, May 6

On the Extinction Risk from Artificial Intelligence

TL;dr: probably not going to happen in the next five years

Saturday, July 5, 2025

"China's top leaders vow crackdown on price wars as deflation risks mount"

From Reuters, July 1:

China's top leaders pledged on Tuesday to step up regulation of aggressive price-cutting by Chinese companies, state news agency Xinhua reported, as the world's second-biggest economy struggles to shake off persistent deflationary pressures.

Overcapacity among Chinese manufacturers and the price cuts made to clear stock, have sparked price wars that are showing signs of influencing consumer behaviour. Analysts worry this could drive further reductions, raising concerns that deflation may become entrenched and hinder efforts to stabilise the $19 trillion economy. 

"Enterprises engaging in disorderly low-price competition must be regulated in accordance with laws and regulations," Xinhua quoted a meeting of the Central Financial and Economic Affairs Commission as saying.
 
The commission is a top economic policy body of the ruling Communist Party and is chaired by President Xi Jinping.
 
"Businesses should be guided to improve product quality and support the orderly phasing out of outdated production capacity," the Xinhua report added.
 
Data showed on Monday that manufacturers were slashing prices to attract buyers, as U.S. President Donald Trump's tariff onslaught threatens the long-term viability of selling to the United States, the world's top consumer market, and domestic demand remains weak....
....MUCH MORE  

As pointed out introducing June 24's Dear Europe: "China’s BYD expands car-carrier fleet to bolster EV exports amid furious domestic competition"it was the auto sector that caught our attention most recently:

BYD doesn't sell in the U.S. and there aren't very many markets that can absorb the overproduction.

And the government does not want the price war for the domestic market to get any more cut throat:

May 28 - "Chinese EV Stocks Tumble After BYD Slashes Prices Up to 35%"

Nay 29 - Whoa!—Chinese Electric Vehicles: "The Evergrande of the automotive industry already exists; it just hasn't collapsed yet."

June 3 - Chinese Government Warns Against Electric Vehicle Price War

But since the covid reopening it has been apparent what is going on in the wider economy:

The Great Wall Of Debt: "China Needs $3 Trillion Local Debt Solution, Top Economist Says"
That is such an enormous drag on the local economies. Think Chicago, cubed, or to the fourth. Eventually everything just grinds to a halt, stasis, entropy, death.

"Banks cut China growth forecasts over tariffs, deflation"

"China risks a spiral into deeper deflation as it diverts U.S.-bound exports to domestic market"

"China's May industrial profits slip back into sharp decline"

Those are just in the last four months. 

"FAO Food Price Index up slightly in June on higher meat, dairy and vegetable oil prices"

From the Food and Agriculture Organization of the United Nations, July 4: 

» The FAO Food Price Index* (FFPI) averaged 128.0 points in June 2025, up 0.7 points (0.5 percent) from May. While the price indices for cereals and sugar decreased, they were outweighed by increases in the indices for dairy products, meat and vegetable oils. Overall, the FFPI was 7.0 points (5.8 percent) higher than its level in June 2024 but remained 32.2 points (20.1 percent) below its peak reached in March 2022.
https://www.fao.org/images/worldfoodsituationlibraries/default-album/home_graph_2_jul25.jpg?sfvrsn=d0e1a022_377

» The FAO Cereal Price Index averaged 107.4 points in June, down 1.6 points (1.5 percent) from May and 7.8 points (6.8 percent) below its value a year ago. Global maize prices fell sharply for the second consecutive month, as rising seasonal supplies in Argentina and Brazil intensified competition across major export origins. World prices of sorghum and barley also decreased in June. By contrast, despite harvest pressure from the northern hemisphere, international wheat prices increased month-on-month, mostly reflecting weather concerns in some key producing areas, including the Russian Federation and parts of the European Union and the United States of America. The FAO All Rice Price Index fell by 0.8 percent, driven by weaker demand for Indica varieties.

» The FAO Vegetable Oil Price Index averaged 155.7 points in June, up 3.5 points (2.3 percent) from the previous month and 18.2 percent above its June 2024 level. The increase mainly reflected higher prices for palm, rapeseed and soy oil, more than offsetting a slight decline in sunflower oil prices. International palm oil prices rose by nearly 5 percent in June, largely underpinned by strong global import demand amid increased price competitiveness. Soy oil prices also rose in June, influenced by expectations of higher feedstock demand from the biofuel sector following announcements of supportive policy measures in Brazil and the United States of America. Rapeseed oil prices were bolstered by expectations of continued tight global supplies in 2025/26. By contrast, global sunflower oil prices declined due to anticipation of increased production in the Black Sea region.

» The FAO Meat Price Index averaged 126.0 points in June, rising 2.6 points (2.1 percent) from May and up 7.9 points (6.7 percent) from its value a year earlier, marking a new record high. The increase was driven by higher prices across all meat categories, except poultry. Global bovine meat prices reached a new peak, reflecting tighter export supplies from Brazil and strong demand from the United States of America, which exerted upward pressure on Australian export prices. Pig meat quotations rose due to firm global import demand amid stable supplies, while ovine meat prices increased sharply for the third consecutive month, supported by steady international demand and lower export availabilities from Oceania. By contrast, poultry meat prices continued to decline, pressured by ample domestic supplies in Brazil following the introduction of export restrictions after the detection of high pathogenicity avian influenza (HPAI) in mid-May. However, the impact was partly offset later in the month, as Brazil’s HPAI-free status was reinstated after a 28-day period without new outbreaks in commercial farms, leading some trading partners to ease restrictions and prompting a gradual recovery in import demand.

» The FAO Dairy Price Index averaged 154.4 points in June, up 0.8 points (0.5 percent) from May and 26.5 points (20.7 percent) from its value a year ago. The butter price index recorded the largest monthly increase, rising by 2.8 percent to a new record of 225 points. The continued upward trend was mainly driven by persistent supply tightness in Oceania and the European Union, coupled with strong import demand from Asia, including the Near East. New Zealand entered its seasonal production slowdown, while in the European Union, herd contractions triggered by environmental regulations curbed milk production expansion, with some western regions further impacted by lingering impacts of the bluetongue virus outbreaks in late 2024. In the United States of America, lower monthly butter production and stocks falling below last year’s levels added further pressure on prices. Cheese prices also rose for the third consecutive month, on continued solid retail and foodservice demand in East Asia. By contrast, skim milk powder prices edged down by 0.6 percent, while whole milk powder fell (2.3 percent) amid subdued demand and ample global supplies.... 
 
....MUCH MORE 

"A $250 Million Real-Estate Mystery Is Unfolding in Palm Beach"

From the Wall Street Journal, June 24:

An unidentified buyer or group of buyers is assembling one of the priciest estates in the country 

In Palm Beach, Fla., just north of President Trump’s Mar-a-Lago club, an intriguing real-estate mystery is unfolding. The components? A swath of prime oceanfront, a rock ’n’ roll legend, a cosmetics titan and a lawyer with ties to one of the world’s richest men.

An unidentified buyer or group of buyers has been quietly assembling one of the most valuable private estates in the country. So far, the buyer has paid roughly $250 million for four separate properties, and is pushing for more, according to people familiar with the situation.

The roughly 3-acre assemblage, on exclusive North Ocean Boulevard, could pave the way for the creation of one of South Florida’s most impressive homes, rivaling those of billionaires like Ken Griffin and Jeff Bezos. The local markets in Palm Beach and Miami have been on an unprecedented upswing since 2020, logging record deal after record deal. 

The properties include two oceanfront lots previously owned by billionaire cosmetics heir William Lauder. Lauder, who had initially planned to keep the properties for personal use before changing his mind, listed the parcels for a combined $200 million in 2023. In total, the parcels span about 2.8 acres with 360 feet of direct beach frontage. 

The properties sold in February 2025. The deal wasn’t recorded in public records so the exact price isn’t known, but it came close to Lauder’s asking price, according to one of the people. The buyer’s agent, Ryan Serhant of Serhant, declined to identify his client.

In early June, the same deep-pocketed buyer paid $18 million for the Mediterranean-style house across the street. The sellers of the home, retired attorney Thomas Harvey and media executive Cathleen Black, had purchased it for $4.15 million in 2018, property records show. In an email, Harvey said he doesn’t know the true identity of the buyer, who made an unsolicited offer for his house. 

Then, earlier this week, the property next to the former Harvey house sold for $30 million to a limited liability company tied to the same buyer. The approximately half-acre property, with a roughly 5,800-square-foot house on it, had last sold for around $5.25 million in 2017. The seller of that property, a trust, didn’t respond to requests for comment.

The prices paid for the two houses are significantly higher than their market values, according to local real-estate agents. 

The mystery buyer has run into some resistance, however, in the form of the rock star Jon Bon Jovi. The “Livin’ on a Prayer” singer, who lives next door to the former Lauder property, has resisted overtures to sell his property, according to people familiar with the situation. Bon Jovi paid $43 million for his house in 2020, records show. His spokesperson declined to comment on the identity of the would-be buyer....

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"Biden, in Rare Remarks Since Presidency, Warns His Accomplishments Are Coming Undone"

From the Wall Street Journal, :

Former president says European and domestic political leaders are seeking out his advice during Trump’s second term...

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Qatar: "Hamas leaders in Doha ‘told to give up personal weapons’"

From the Times of London (now serving Finchley), July 2:

The group, which is studying the US-led ceasefire offer, was given the instruction by Qatari mediators 

Senior Hamas leaders in Doha have been told to lay down their weapons as part of a US-led effort to reach a ceasefire deal with Israel and bring an end to the war in the Gaza Strip.

Hamas said on Wednesday that the group was studying a new ceasefire offer after President Trump said Israel had already agreed to a 60-day cessation of hostilities and the possible release of hostages while the two sides discuss a potential permanent truce.

“We are holding discussions to reach an agreement that will ensure the end of aggressions, the withdrawal of forces and granting aid to the people of Gaza,” a statement by the group read.

The most senior Hamas leaders outside Gaza, including the lead negotiator Khalil al-Hayya and other key figures, have been instructed by Qatari mediators to turn in their personal weapons, The Times has learnt.

Among those told to hand over their guns are the Hamas political ­bureau members Zaher Jabareen, a founder of the group’s military wing in the West Bank, and Muhammad Ismail Darwish, who met the leaders of Iran and Turkey this year while shuttling between Cairo and Doha for indirect negotiations with Israel....

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Ummm, just how much control over Hamas does Qatar wield? 

"Do You Look Trustworthy? Not to Everyone"

From the University of Chicago, Booth School of Business' Chicago Booth Review, June 23:

Research explores to what degree perceived traits are in the eye of the beholder. 

When it comes to assessing who is trustwothy, there are patterns we tend to follow. People typically see certain facial features and expressions—such as smiles, particularly on women—as more trustworthy.

However, there’s considerable variation between individuals’ perceptions, finds research by Chicago Booth postdoctoral scholar Daniel Albohn, University of Illinois’s Stefan Uddenberg, and Booth’s Alexander Todorov. Instead of relying on group averages, they used machine learning to develop a model that translates individual responses into personalized facial representations. This allows researchers to understand, for example, what type of face comes to mind when a person is asked to imagine a “trustworthy” individual, and how it differs from another person’s ideal.

“When we make complex judgments, our personal characteristics and biases play a bigger role in the decision-making process than the actual thing we’re judging,” says Albohn.

The researchers conducted four experiments, each designed to investigate different aspects of human judgment. In the first three, they examined how people perceive traits such as femininity and masculinity, trustworthiness, attractiveness, and familiarity. Participants rated faces on these dimensions, and their ratings were used to create the AI models that in turn produced photorealistic representations of faces.

When participants rated new faces generated by the model, their assessments largely aligned with those of other participants for more physically evident traits such as femininity and masculinity.

The task at hand matters too 
Using AI to visualize how experiment participants saw trustworthiness in different contexts, the researchers find that context matters. Participants tended to agree on what a trustworthy person looked like for a specific task, but that shared decision didn’t apply across tasks. For example, a trustworthy mechanic didn’t look the same as someone trusted to care for a child....
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"How 1 man in Pakistan allegedly fleeced Arizona's health care system for $560M"

From the Arizona Republic, July 1:

  • A man operating from Pakistan, Farrukh Ali, was indicted for allegedly defrauding Arizona's Medicaid system of $564 million through false drug and alcohol treatment claims.
  • The alleged fraud represents about 20% of the estimated $2.5 billion lost in Arizona's "sober living" scheme.
  • Ali's alleged fraud dwarfs other cases in the scheme, with the next highest individual amount being $54 million.

A man operating from Pakistan fleeced more than $560 million from Arizona's safety-net health care system by sending in false claims for drug and alcohol treatment, according to a grand jury indictment filed in federal court.

Arizona authorities have investigated businesses associated with the man, Farrukh Ali, for two years. They had not brought charges against him until the June grand jury indictment.

The purported fraudulent billings paid to Ali would represent a staggering 20% of the entire statewide "sober living" scheme, which authorities have said involved as much as $2.5 billion.

It is not clear if authorities have arrested Ali. His business, Pro MD Solutions, was incorporated in Arizona, but the indictment said he operated it from Pakistan.

Ali signed contracts with health care clinics, agreeing to handle the billing for a cut of the profits.

He submitted $650 million in fraudulent claims, according to the indictment. Of those claims, Arizona's Medicaid program, the Arizona Health Care Cost Containment System, paid out $564 million.

Ali personally garnered $24.5 million of that money, the indictment says, and used $2.9 million of the fraudulently-obtained proceeds to buy a home on a golf course in Dubai.

The indictment was filed under seal June 11. It is not clear when it was unsealed, or why.

No attorney was listed for Ali. No hearing dates were listed in the court docket. A spokesperson for the U.S. Attorney’s Office for Arizona did not return an email June 30 seeking comment about the case or Ali’s whereabouts.

Ali's tally of alleged fraudulent bills is, by far, the largest that authorities in Arizona have attributed to a single individual.

Other people were charged in cases with sums of $18 million or $30 million. In May, a former nurse practitioner named Rita Anagho pleaded guilty in a scheme involving $54 million in false billings. At the time, that appeared as the largest figure associated with a single individual.

Anagho's clinic was among the clients of Ali.

How the Arizona sober living scandal grew so big...

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Bowling and Private Equity: "Meet The New Kingpin"

From The Lever, May 30, 2024:

With the rise of Bowlero, private equity has come for bowling — will your neighborhood alley ever be the same? 

It’s a Tuesday night in Hazlet, New Jersey, and at the far end of a packed bowling alley, the money is moving. A crew of bowlers — some of the best amateurs in the state — are calm, stone-faced, and smashing pins. They slip bootees on their feet to keep their soles dry. They squeeze grip sacks to keep their palms dry. No one’s really drinking; they take bowling too seriously to be drunk. After bowling a frame, they go over to a table to pick a card from a deck laid out, in cryptic fashion, along a growing array of loose bills.

I have no idea what’s happening in this game other than it’s going well for a guy known as Big Mike. Pocketing a fat stash of cash, he tells me, in his perfect Philly accent, “Bowlers like gambling.” 

An imposingly tall 40-something man with gray hair cut military-neat, Mike Weinert hosts Sweep The Rack, a podcast for “hard-core bowlers.” On his podcast and in person, his knowledge of and devotion to bowling is entrancing. He waves dismissively at the other side of the bowling center, where people are bowling on “house” patterns, meaning lanes laid out with oil patterns designed to help you bowl strikes. Big Mike and his friends are bowling on more difficult “sport” patterns, meaning the kind of layouts the pros use.

“It’s Masters Sunday,” he says, using a golf metaphor. “That’s this shit right here.”

Within minutes, Big Mike and the crew move to a less joyful subject: Bowlero, the biggest bowling company in the world. Fueled by millions from private equity groups like Apollo Global Management and Atairos, Bowlero has grown rapidly. Formed in 2014, it now has more than 350 centers, including the one we’re in tonight. As the company has expanded, it has amassed massive debts, all while successfully enriching its founder and CEO. 

It’s also become the target of a federal investigation into alleged ageist and racist hiring practices, with claims emerging of “beauty contest” job interviews and threats of corporate espionage and retaliation.

For the most part, Bowlero doesn’t build its own centers. Instead, it purchases existing ones and makes them over in the Bowlero style: dim lights, loud music, expensive cocktails. At Bowleros, bowling isn’t bowling. It’s “upscale entertainment.” ....

....MUCH MORE 

"How the next financial crisis might happen"

This is one way. Another is a cyber attack, and not as the type the WEF and Carnegie Endowment were pitching, from a malignant external actor. Instead it would bring to mind the old urban legend/horror movie trope: "The call is coming from inside the house." More on that as we get closer to the mid-term elections, for now here's the headliner from The Economist, May 23:

The new titans of Wall Street present the world with new risks

The trends outlined in this report have transformed finance. Many of them will only intensify. Private-equity firms will keep diversifying away from buy-outs into lending and life insurance. Hedge funds will continue consolidating and reaping the benefits of scale. The brain drain from banks to hedge funds and other asset managers will carry on. So will the quest of some on Wall Street to rip off Main Street. The craze in cryptocurrencies and leveraged exchange-traded funds is already making the meme-stock madness of 2021 look quaint by comparison. President Donald Trump, for his part, seems more keen to profit personally from the gamification of markets than to protect investors through regulation.

The instinct of regulators will be to disadvantage the new titans of Wall Street by cutting red tape for their competitors in the banking industry. Michelle Bowman, the Fed governor responsible for financial regulation, said recently that rules had pushed “foundational banking activities out of the banking system into less regulated corners of the financial system”. She wants to change that. Daniel Tarullo, a former bank regulator at the Fed, likens the competition between asset managers and banks to pressures faced by banks in the late 1970s from the growth of capital markets, such as bond markets and money-market funds. “The answer then was to deregulate the banks so they could more effectively compete,” he says.

But deregulation would probably accelerate rather than halt the transformation. Eroding supervision and capital requirements for banks will merely allow them to lend even more to asset managers and hedge funds than they do now, supercharging the growth of the new, less-regulated giants of finance.

Proceeds at your peril
Rapid growth in financial markets often fosters and obfuscates weaknesses which become visible only during periods of crisis. How might a crisis play out? Danger could emerge from inside these high-flying firms—due to, say, sloppy lending by private-credit outfits or big hedge-fund trades going sideways. The holdings in both industries are large enough to worry about. The five top players in private credit manage $1.9trn of credit assets across funds and insurance balance-sheets. Assets of the five biggest multi-manager hedge funds sit at $1.6trn, including huge leverage.

Even where these firms do not rely on short-term funding their failure would risk infecting the banking system, which does. Some have been so successful that they have become too big to fail, raising the possibility that they should be designated as systemic institutions like the largest banks, which would give regulators more oversight. GE Capital received this designation in 2013 (it was revoked in 2016). Apollo, the firm which most closely resembles the industrial conglomerate’s lending arm today, could be one candidate given its uniquely important role in debt markets.

A shock could also come from outside these firms. Fragile regional banks, falling commercial property prices and highly valued technology stocks are all causes for some concern. More so is Mr Trump, who in his second term has already proved to be an agent of chaos for financial markets. As the tariffs-induced turmoil showed in April, the state of American finance is vulnerable to the country’s corroded politics. Any sustained bout of worry about the safety of America’s government debt, where a flood of borrowing flows through creaky pipes, could trigger a meltdown on Wall Street. Highly leveraged hedge funds have come to play a critical role in this market.

Wall Street beguiles foreigners. Governments abroad look on American finance with a mixture of jealousy and concern. Jealousy because the country’s capital markets are rich and dynamic. Britain curses the exodus of its firms to stockmarkets in New York. Europe pines for a day when its members are as financially integrated as American states, a hopeless wish.

Indecent exposure
They worry because they are more exposed to American assets than ever before. The flip-side of America’s current-account deficit is increasing foreign ownership of its assets, since the dollars America pays for things made elsewhere are invested in dollar-denominated assets. That means a blow-up on Wall Street would mean a blow-up for the world. They worry too because the state of American leadership is much degraded since the last financial crisis. The response then was marked by global co-ordination as the world’s economy collapsed. This time will be different. When the next crisis does come, American financial institutions will undoubtedly be at the centre of it. The world will be left to contend with the fallout.

This article appeared in the Special report section of the print edition under the headline “How the next crisis might happen”

"Political machines were corrupt to the core—but they were also incredibly effective. Democrats should bring them back."

The machines are still with us. In Chicago it is run by the teachers union. 

From the New Republic, August 17, 2016:

The Soul of a New Machine 

Some time before the First World War my grandfather, Jack Baker, went to work for “Bathhouse John” Coughlin, the blustery Democratic boss of the infamous political machine in Chicago’s First Ward. Jack had been sent to farm an Indiana homestead, along with his brother and sister, after their mother died. There they were worked half to death, a common fate for hired-out children of the time. My grandfather and his older brother ran away, then returned for their sister, who they freed at gunpoint. But where were three homeless children to turn then? Why, to the First Ward, where Bathhouse John and his political machine would welcome them with open arms.

Coughlin was called “Bathhouse” because he reputedly got his start at the age of eleven as a masseur, or “rubber,” in a Turkish bath. He quickly grasped the economic potential inherent in such an institution, and eventually accumulated enough money to buy a brace of bathhouses. Coughlin and his partner, Mike “Hinky Dink” Kenna, also took a financial interest in—meaning they collected protection money from—saloons throughout the First Ward. Soon, the two men had a foolproof system going. Anyone out of work or down on his luck—say, a man who had fallen into the bottle—could show up at one of their saloons and find cheap lodging at one of their bathhouses. Come election day, the grateful lodger would be trotted out to the local polling place with an already-filled-in ballot hidden in his pocket. There, he would accept a clean ballot from a poll worker, slip the already-completed one into the box, and return to the bathhouse, where he’d be paid 50 cents or even a dollar for the clean ballot. The fresh ballot was then filled in by bright young lads like my grandfather, who were eager to move up the ranks of the machine, and handed back to the bathhouse legion. Then off the lads would go to another polling place, to repeat the process for as long as the polls were open.

Thanks to the largesse of the machine, my grandfather went on to serve in the Great War, taught himself to be an accountant, and ended up a useful citizen and beloved father of seven. Bathhouse John and Hinky Dink remained what they were: corrupt by almost every definition of the word, avatars of a more brutal and cutthroat American age. But from a purely electoral standpoint, they were also incredibly successful. Coughlin was elected alderman 20 consecutive times, serving 46 years before he finally died of pneumonia in 1938. Hinky Dink was in and out of the city council until 1943, three years before he moved on to one of Chicago’s graveyards, which were legendary for their strong election-day turnout.

Democrats, and America, could use men like them again.

When Barack Obama came into power in 2008 with large majorities in both houses of Congress, it was hailed as the beginning of a new and lasting era of Democratic rule. Two years later, Democrats lost six U.S. Senate seats and 63 House seats—their worst beating in the House in 72 years. They also lost 680 seats in state legislatures, an all-time record, and six governorships. The 2014 midterms were no better: Democrats lost nine more Senate seats—their worst showing since the Reagan Massacre of 1980—plus another 13 House seats, and forfeited a net of two more governors’ mansions and eleven more legislative chambers. The party was reduced to its lowest standing on the state and national levels since 1900—and is now so feeble that it cannot even force the Senate to fulfill its constitutional mandate to hold hearings for an empty seat on the Supreme Court.

How is it possible for Democrats—seemingly the natural “majority party,” on the right side of every significant demographic trend—to suffer such catastrophic losses? Explanations abound, most of which revolve around the money advantage Republicans derived from the Citizens United decision. Or the hoary, self-congratulatory fable of how Democrats martyred themselves to goodness, forsaking the white working class forever because it passed the landmark civil rights bills of 1964 and 1965. Or how the party must move to the left, or the right, or someplace closer to the center—Peoria, maybe, or Pasadena.

But there’s a more likely explanation for these Democratic disasters. While 61.6 percent of all eligible voters went to the polls in the historic presidential year of 2008, only 40.9 percent bothered to get there in 2010, and just 36.4 percent showed up in 2014, the worst midterm showing since 1942. What the Democrats are missing is not substance, but a system to enact and enforce that substance: a professional, efficient political organization consistently capable of turning out the vote, every year, in every precinct.

What they lack is a machine.

New York’s Tammany Hall, the first, mightiest, and most feared of the political machines, went online on May 12, 1789—less than two weeks after George Washington took the oath as president in the same city.

The Society of St. Tammany was named for Tamanend, a legendary chief of the Delaware who had obligingly signed much of his people’s land over to William Penn. Tammany always had a populist tinge. It was founded as a counterweight to the Society of the Cincinnati, a club started by Washington’s officers that many feared would serve as the seedbed of a hereditary American nobility. Tammany, by contrast, adopted many of the trappings of the French Revolution, with the Phrygian cap and admonitions such as “no slave nor tyrant enters” carved over the portals of its clubhouses.

The society’s first “grand sachem,” or ultimate leader, was one William Mooney, an upholsterer who entered a float into Washington’s inaugural parade up Broadway that depicted him in the act of cushioning a chair for the new president. Later, Mooney would be accused of having deserted to the British during the war, and he was driven from his grand-sachemship for looting $5,000 from the public almshouse to provide—as he put it—“trifles for Mrs. Mooney,” thereby sealing the machine’s reputation for both chicanery and self-promoting spectacle.

Yet the man who turned Tammany into a full-fledged political machine never actually joined the society: that murky intriguer, Aaron Burr. By 1799, Alexander Hamilton and his Federalists held a virtual monopoly on banking in New York, frustrating smaller businessmen who wanted to start their own banks and “tontines”—investment companies that would not only make them money, but also get around property requirements that kept even most white men from qualifying for the franchise. Burr marched a bill through the state legislature that created the Manhattan Company, which promised to slake the island’s thirst for a dependable water supply. But Burr slipped a provision into the bill that allowed the company to invest any excess funds however it desired—which was the legislation’s main purpose all along.

The upshot was that the Manhattan Company laid down a lot of water pipes that were little more than hollowed-out logs. They leaked badly and absorbed sewage, thus contributing to the city’s constant, deadly epidemics of cholera and yellow fever. But Burr’s company used the money it made from the scheme to found the Manhattan Bank (later to become Chase Manhattan, later to become JPMorgan Chase). The Hamilton banking monopoly was thus broken, and new banks and tontines proliferated, allowing financial speculation to run wild, and untold numbers of middle and working-class New Yorkers to gain the franchise for the first time. In this one coup, Burr established the defining characteristics of political machines for all the years to come: They would be first and foremost about making money, no matter the cost to the general good; they would supply significant public works, no matter how shabbily or corruptly; and they would expand the boundaries of American democracy in the face of all attempts by conservatives or reformers to contain it....

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"Japan's utilities pour billions into power grid amid data center growth"

Money, money, money.

From Nikkei Asia, July 2:

AI demand prompts bolstering of substations, transformers and transmission lines 

OSAKA -- Japan's power companies are investing heavily to bolster their grids, hoping to better accommodate the rush in data center construction as the use of artificial intelligence continues to grow.

Kansai Electric Power, through a transmission and distribution subsidiary, will invest over 150 billion yen ($1.04 billion) in infrastructure improvements from 2026, such as strengthening four substations around the Osaka area including in the cities of Minoh and Ikoma.

Substations transform the voltage of electricity generated at power plants so it can be delivered to businesses and homes. Kansai Transmission and Distribution will complete construction of new transformers at the four sites between 2027 and 2029, increasing the amount of electricity they can handle by about 30%. The company also plans to strengthen and build new power lines.

Data centers tend to be built in clusters where conditions like proximity to a big population, ease of acquiring land and low flood risk are met. Minoh and Ikoma are both home to a number of data centers.

When a data center is built, the surrounding power grid is strengthened to accommodate it, making it easier for other companies to build data centers there and accelerating concentration even further.

In eastern Japan, a transmission and distribution company under Tokyo Electric Power Co. Holdings (TEPCO) plans to invest over 200 billion yen to bolster the grid in northwestern Chiba prefecture -- which has seen a concentration of data centers -- by the early 2030s.

TEPCO Power Grid aims to build new substations in two locations and connect them by installing new power lines and replacing existing ones.

Google and other companies have built data centers in the area and 40 more are planned, pending improvements to the power grid....

....MUCH MORE, including a read next story: IHI and GE Vernova to test parts for ammonia-burning gas turbines

"Très Riches Heures: Chantilly exhibition offers ‘once-in-a-lifetime opportunity’ to see famed medieval manuscript"

From The Art Newspaper, June 9:

A little dog sniffing a plate on the white table cloth, unnoticed by the Duc de Berry, presiding over a magnificent New Year feast. The frozen breath of a peasant trudging through February snow. A grape picker bending over during the September harvest, exposing his backside in front of the many-turreted Château de Saumur. This is the world of the Très Riches Heures, arguably the greatest and most valuable of all medieval illuminated manuscripts.

Commissioned by the Duc de Berry, the enormously wealthy brother of King Charles V of France, this exquisite Book of Hours was begun by the Limbourg brothers, a trio of Netherlandish miniature painters, in around 1411. The Duc and the Limbourgs died in 1416. The manuscript was completed by other wealthy patrons and talented artists 70 years later and contains 131 full-page illuminations. Now, in a vanishingly rare opportunity, the general public has been invited to step into this world.

Until October, visitors to a special exhibition at the Condé Museum in the Château de Chantilly, 55km north of Paris, will be able to view as independent works the 12 monthly calendar pages of the Très Riches Heures, on which much of the fame of this 15th-century prayer book rests. Its importance and influence are contextualised by an exceptional display of some 100 medieval manuscripts, sculptures and paintings loaned from museums and libraries around the world.

The Très Riches Heures have been jealously immured in the Château de Chantilly since 1856, when they were acquired by the renowned French art collector, the Duke d’Aumale. The conditions of his bequest forbid the display of the manuscript outside Chantilly.

Moreover, owing to the fragility and preciousness of the illuminations, the Très Riches Heures have not been shown to the public for decades. But the centuries-old binding and some of the paint surfaces have been subject to a painstaking conservation project, allowing the famous full-page calendar paintings to be temporarily detached and put on view.

“It’s a once-in-a-lifetime opportunity to display the calendar before everything is rebound and it disappears again,” says Mathieu Deldicque, the director of the Condé Museum of the Château de Chantilly, who has been working on this exhibition for 12 years.

According to Deldicque, Books of Hours—collections of prayers to be said at each canonical hour of the day—enjoyed a unique status in late 14th- and early 15th-century France, with wealthy patrons such as the “greedy but pious” Duc de Berry. “A Book of Hours is a book that you can personalise more than others,” says Deldicque, explaining how illuminated manuscripts became a laboratory for artistic innovation in the late Middle Ages.

The Duc owned no fewer than 18 Books of Hours. Six of the most sumptuous were commissioned by the Duc himself, the most sumptuous of all being the Très Riches Heures, the finest details of which were rendered with brushes consisting of a single squirrel hair.

“There is lapis lazuli and gold everywhere,” says Deldicque. “At the time, lapis was more expensive than gold; it had to come from Afghanistan. That was why they were called the Très Riches Heures.”....

....MUCH MORE 

For what it's worth the Duke died owing a lot of money. He was quite extravagant. 

Also - https://chateaudechantilly.fr/evenement/les-tres-riches-heures-du-duc-de-berry/

Possibly the most famous image from the book, harvesting grapes in front of the Château de Saumur (Wikipedia) note buttcrackin' peasant, and the nibbler at left..

https://upload.wikimedia.org/wikipedia/commons/7/72/Les_Tr%C3%A8s_Riches_Heures_du_duc_de_Berry_septembre.jpg 

Friday, July 4, 2025

Cheat, YOLO, Cheat: "Economic Nihilism"

From Palladium Magazine, June 30:

As if summoned from every woman’s worst nightmare, here comes an ad for a company that helps men cheat on dates by lying about everything from their interests to their age. The fictional dating profile claims to be 6’4” and work at “Bananazon.” “Maybe you are just way older than you look,” the older woman tells her much younger companion. As his ID card is rejected and he’s served grape juice, the man is discreetly prompted by his AI assistant to recover the date, complimenting her art. Launched on 4/20, the ad copy reads: “Cluely is out. cheat on everything.”

Roy Lee observed job interviews had already been made outdated by technology, becoming a kind of drudgery that was no longer meaningful for screening human talent. Then-Columbia student Lee started the company as a way to cheat on technical interviews for big tech firms. After their product, an AI “cheating tool” called Interview Coder, secured the team internship offers from Meta, TikTok, Amazon, and Capital One, Columbia University suspended Lee for live-tweeting his disciplinary process in late March.

Since then, Lee has raised a $15 million Series A led by Andreessen Horowitz. Though Cluely no longer brazenly uses the word “cheat” on most of its copy, Cluely tells its users that the AI will do the heavy lifting for them. The product now advertises itself as an “undetectable AI” that responds to users’ screen and audio. “It’s inevitable that college students and young people will use the tools at their disposal,” Lee told me. The Cluely manifesto, subtitled “We want to cheat on everything,” spells out how cheating becomes the new normal:

And yes, the world will call it cheating. But so was the calculator. So was spellcheck. So was Google. Every time technology makes us smarter, the world panics. Then it adapts. Then it forgets. And suddenly, it’s normal.

Outrage is proof of concept. If software can ace a technical interview, write a stellar essay, or anchor sales deals better than a human, maybe we ought to just let the AI do it. This is just the creative destruction of capitalism: a feature, not a bug. Lee is further only hiring engineers and influencers with at least 100,000 followers to boost virality. Technology brings about change. The incentives of social media have profoundly changed the incentives of new companies, with virality becoming a close correlate of user growth. Software startups have now ended up in a new variant of a very old business—the entertainment business. Calling Cluely cheating, as Roy told me, is just a way to grab attention. This relentless chase of online virality has already bought the company free publicity in the form of countless news articles and over a million dollars in revenue.

Cluely’s casual observers and critics alike both give the start-up a boost—all comments and casual watches feed into the algorithm. In a world where the passivity of billions of viewers rewards marketing stunts, it almost doesn’t matter what the product even is.

The Competition to Nowhere 
The appearance and language of this economic mood and the executive decisions it leads to can be startling. To some this economic nihilism can even be offensive. The previous mode of relating to economic activity couldn’t be more different: the old way was one of hard work, in one career, loyal to one firm, maybe two. Your Boomer parents probably spent most of their career like that. Mine did. But today, the average graduate from America’s top universities plans to work at their first job—prestigious firms such as McKinsey, Goldman Sachs, or Meta, when they were still hiring—for not more than two years....

....MUCH MORE 

An American Story: "SR-71 Blackbird Trolls Arrogant Navy Fighter Pilot"

A repost from 2016/2018 via the internet archive (because the link to the first pic has rotted).

This post reminded me of what is possibly the greatest troll in aviation history
From Brandur.org
In Pursuit of Production Minimalism
While working at Lockheed during the cold war, Kelly Johnson was reported to have coined KISS (“keep it simple, stupid”); a principle that suggests glibly that systems should be designed to be as simple as possible.

While complexity is never a conscious design goal of any project, it arises inherently as new features are pursued or new components are introduced. KISS encourages designers to actively counteract this force by making simplicity an objective in itself, and thus produce products that are more maintainable, more reliable, and more flexible. In the case of jet fighters, that might mean a plane that can be repaired in the field with few tools and under the stressful conditions of combat.

During his tenure, Lockheed’s Skunk Works would produce planes like the U-2 and SR-71; so notable for their engineering excellence that they’ve left a legacy that we reflect on even today.
The famous SR-71, one of the flag ships of Lockheed's Skunk Works. Very fast even if not particularly simple. 
Minimalism in technology
Many of us pursue work in the engineering field because we’re intellectually curious. Technology is cool, and new technology is even better. We want to be using what everyone’s talking about.
Our news sources, meetups, conferences, and even conversations bias towards shiny new tech that’s either under active development or being energetically promoted. Older components that sit quietly and do their job well disappear into the background.

Over time, technologies are added, but are rarely removed. Left unchecked, production stacks that have been around long enough become sprawling patchworks combining everything under the sun.

This effect is dangerous:
  • More parts means more cognitive complexity. If a system becomes too difficult to understand then the risk of bugs or operational mishaps increases as developers make changes without understanding all the intertwined concerns.
  • Nothing operates flawlessly once it hits production. Every component in the stack is a candidate for failure, and with sufficient scale, something will be failing all the time.
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Owning pretty much every aviation speed record e.g straight line: 2193.167 mph, the SR-71 is an amazing machine. Considering it was designed and first flown in the early 1960's is almost incredible
The pilots were pretty confident and apparently smart asses as well. Here's the headline story, first seen here in 2016:

SR-71 Blackbird Trolls Arrogant Navy Fighter Pilot

From Tribunist:

This may be the single greatest aviation story ever told, it’s about the iconic SR-71 Blackbird.
SR71
The story, from the now out-of-print book Sled Driver by former SR-71 jockey Brian Shul (available used on Amazon for just $700).

Here’s the ultimate aviation troll:

There were a lot of things we couldn’t do in an SR-71, but we were the fastest guys on the block and loved reminding our fellow aviators of this fact. People often asked us if, because of this fact, it was fun to fly the jet. Fun would not be the first word I would use to describe flying this plane. Intense, maybe. Even cerebral. But there was one day in our Sled experience when we would have to say that it was pure fun to be the fastest guys out there, at least for a moment....

...Just to get a sense of what Walt had to contend with, I pulled the radio toggle switches and monitored the frequencies along with him. The predominant radio chatter was from Los Angeles Center, far below us, controlling daily traffic in their sector. While they had us on their scope (albeit briefly), we were in uncontrolled airspace and normally would not talk to them unless we needed to descend into their airspace.

We listened as the shaky voice of a lone Cessna pilot asked Center for a readout of his ground speed. Center replied: “November Charlie 175, I’m showing you at ninety knots on the ground.”
Now the thing to understand about Center controllers, was that whether they were talking to a rookie pilot in a Cessna, or to Air Force One, they always spoke in the exact same, calm, deep, professional, tone that made one feel important. I referred to it as the ” Houston Center voice.” I have always felt that after years of seeing documentaries on this country’s space program and listening to the calm and distinct voice of the Houston controllers, that all other controllers since then wanted to sound like that, and that they basically did. And it didn’t matter what sector of the country we would be flying in, it always seemed like the same guy was talking. Over the years that tone of voice had become somewhat of a comforting sound to pilots everywhere. Conversely, over the years, pilots always wanted to ensure that, when transmitting, they sounded like Chuck Yeager, or at least like John Wayne. Better to die than sound bad on the radios.

Just moments after the Cessna’s inquiry, a Twin Beech piped up on frequency, in a rather superior tone, asking for his ground speed. “I have you at one hundred and twenty-five knots of ground speed.” Boy, I thought, the Beechcraft really must think he is dazzling his Cessna brethren. Then out of the blue, a navy F-18 pilot out of NAS Lemoore came up on frequency. You knew right away it was a Navy jock because he sounded very cool on the radios. “Center, Dusty 52 ground speed check”. Before Center could reply, I’m thinking to myself, hey, Dusty 52 has a ground speed indicator in that million-dollar cockpit, so why is he asking Center for a readout? Then I got it, ol’ Dusty here is making sure that every bug smasher from Mount Whitney to the Mojave knows what true speed is. He’s the fastest dude in the valley today, and he just wants everyone to know how much fun he is having in his new Hornet. And the reply, always with that same, calm, voice, with more distinct alliteration than emotion: “Dusty 52, Center, we have you at 620 on the ground.”

And I thought to myself, is this a ripe situation, or what? As my hand instinctively reached for the mic button, I had to remind myself that Walt was in control of the radios. Still, I thought, it must be done – in mere seconds we’ll be out of the sector and the opportunity will be lost. That Hornet must die, and die now. I thought about all of our Sim training and how important it was that we developed well as a crew and knew that to jump in on the radios now would destroy the integrity of all that we had worked toward becoming. I was torn.

Somewhere, 13 miles above Arizona, there was a pilot screaming inside his space helmet. Then, I heard it. The click of the mic button from the back seat. That was the very moment that I knew Walter and I had become a crew. Very professionally, and with no emotion, Walter spoke: “Los Angeles Center, Aspen 20, can you give us a ground speed check?” There was no hesitation, and the replay came as if was an everyday request. “Aspen 20, I show you at one thousand eight hundred and forty-two knots, across the ground.”

I think it was the forty-two knots that I liked the best, so accurate and proud was Center to deliver that information without hesitation, and you just knew he was smiling. But the precise point at which I knew that Walt and I were going to be really good friends for a long time was when he keyed the mic once again to say, in his most fighter-pilot-like voice: “Ah, Center, much thanks, we’re showing closer to nineteen hundred on the money.”...MORE
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