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BYD Slashes Annual Sales Target As Demand Slumps, Competition Intensifies

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BYD Slashes Annual Sales Target As Demand Slumps, Competition Intensifies

China’s hyper-competitive electric vehicle market means that even top players, such as BYD Auto, are no longer immune, as smaller players continue to gobble up increasing market share. This comes as growth in the world’s largest EV market slowed over the summer, with mounting headwinds expected this fall. 

BYD, the world’s largest EV maker, slashed its full-year sales target to 4.6 million units, down a whopping 16% from its previous estimate of 5.5 million, according to a Reuters report. The downshift in forecast was attributed to intensifying competition in China’s EV market from rivals such as Geely, Xpeng, and Xiaomi. BYD also reported a 30% plunge in quarterly profit and flat deliveries in July to August. 

Despite the cut, one Wall Street analyst noted that the new target is more realistic and aligns with buy-side expectations… 

Sanford C Bernstein analyst Eunice Lee told clients that a “lower target is largely in line with buy-side expectations now and should be achievable,” adding, “This could also be a near-term clearing event for the stock.” 

Shares fell 3% in Hong Kong trading, signaling the gloom was likely priced in. Year-to-date, shares are up about 10.5%, trading 23% below record highs reached earlier this year. 

The New York Times’ Keith Bradsher, who has covered China’s auto industry for over two decades, noted, “Already, fierce competition among automakers has gotten ruthless, with about 50 automakers fighting for customers by slashing prices again and again.” 

Bradsher said excessive competition caught the attention of Beijing in recent months, with top officials unveiling a campaign against “involution, which they define as excessive competition.” 

On July 30, President Xi Jinping declared at a Politburo meeting on the economy, “It is a must to reinforce industry self-discipline to prevent vicious ‘involution’ competition.”

The latest figures from the China Passenger Car Association showed that China-made EV sales fell 4% in August from the same period a year ago, following an 8.4% drop in July.

For Tesla, China is its second-largest market, after the US. It launched a refreshed version of its best-selling Model Y earlier this year; however, sales so far this year have been underwhelming, with lower deliveries in the first seven months compared to the same period last year. 

Both BYD and Tesla have underperformed this year. 

. . . 

Tyler Durden
Thu, 09/04/2025 – 06:55

What Job Numbers This Friday Will It Take For The Fed To Cut by 50bps

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What Job Numbers This Friday Will It Take For The Fed To Cut by 50bps

Earlier this week, we laid out a case why the coming Sept 9 Preliminary Benchmark Announcement of labor market revisions could shock the Fed, and force a jumbo 50bps rate cut similar to last year for one simple reason: the revision could be just as big as last year, and as Powell explained, the massive 818K revision in 2024 was one of the primary reasons for the unexpectedly large rate cut 2 months ahead of the election. And the last thing the Fed chair would want, is to look political (cough) and prompt questions why he doesn’t do another jumbo rate cut if he is faced with a similar jobs revision.

But what is we don’t even need to wait until next Tuesday. What would it take to seal the deal and get the Fed to cut by 50bps just from this Friday’s payroll report (which as today’s JOLTs job openings report indicated could again come in well below estimates).

Luckily, we have answer: in a note from Standard Chartered’s head of global FX and titled just, Steve Englander calculates that investors would want to see NFP below 40k and the UR at 4.4% or more for a 50bps cut to be on the table.

Some more details: as Englander points out, the Bloomberg consensus for the upcoming NFP data has a median of 75k, but the distribution is tight by historical standards – of 54 forecasts, 48 are between 60k and 100k. This makes sense: after all, most projections of equilibrium NFP growth (especially now that there is an embargo on illegal immigrant workers) are between 50k and 100k. If revisions to prior months’ data are relatively modest (note Friday’s revisions will be different from those the BLS will announce next week), Englander believes that “any August NFP number below 40k would move markets towards a 50bps cut.”

Furthermore, in line with previous findings that that NFP revisions tend to be procyclical, a weak print for the headline month is likely to be associated (again) with downward revisions to prior months. So to take a cut off the table completely, NFP would have to rise to 130k or more, with positive revisions. Unlikely, especially now that the BLS no longer has a commissioner and whoever will end up in charge will want a kitchen sinking event that gets Trump the rate cut he desires.

Of course, NFP has to be looked at in conjunction with the unemployment rate (UR). The market forecast for the August UR is 4.3%, but this is not a big jump, as the unrounded UR for July was only slightly below 4.25%. Since the market is split between 4.2% and 4.3%, Englander thinks a cycle-high UR of 4.3% will not be enough to guarantee a 50bps cut unless NFP is very weak. Similarly, 4.4% would put 50bps in play unless NFP was particularly strong.

There is a catch

Englander – who broke down his note into two parts, the first dealing with what numbers will be sufficient to prompt a 50bps rate cut, and the second reiterating his view that the labor-market data that the Fed and markets focus on are highly misleading and understate the degree of slack – agrees with what we have been saying for the past five years, and notes that “it is rare that we disagree so vehemently with how markets and policy makers interpret data, but we do so now.”

His first quarrel is easy to deal with. The Unemployment Rate has been at 4.1% or 4.2% for 13 of the last 14 months, so it doesn’t show any trend. In Englander’s view, this is misleading because the employment-population (E-P) ratio has dropped steadily over this period (Figure 1).

The cyclicality of participation rates is well established, so the E-P ratio pointing to labor-force softening is likely to be more indicative than the UR. To be clear, the latest data show nothing like the sharp labor-market deterioration of 2008-09 or 2020, but the decline is very visible

His view on NFP is more controversial, and similar to what we have complained about for years Englander thinks the birth-death adjustment is heavily distorting NFP outcomes. Consider the following:

  • Since the beginning of 2024, the monthly birth-death adjustment has been out of sync with the accurate (but lagging) BLS Business Employment Dynamics (BDM) estimate of net new job creation from net new firm openings (Figure 2). The BDM numbers are based on the Quarterly Census of Employment and Wages (QCEW) so they are considered definitive.
  • BDM data on jobs created by net new firm openings only go through end-2024, but historically they have tracked what is happening at continuously operating firms. Both have dropped sharply, which explains why there is such widespread expectation of a sharp downward benchmark revision based on QCEW on 9 September (Figure 3).

  • It is possible to back out job creation from continuing firms in the monthly NFP survey. Continuing firms are those that appear in the BLS sample two months in a row; they drive the BLS sample estimates of employment growth, the birth-death adjustment is not based on any sample and is added to these sample-based estimates. Job growth at these firms has dropped sharply and has been close to zero or even negative in recent months (Figure 4). NFP growth from continuing firms dropped to a monthly average of 14k in the 12 months to July 2025 from more than 450k in the 12 months to early 2022, but the average birth-death adjustment only edged down to 94k from c.120k over the same period.
  • This strongly implies that correctly measured net job creation from new firm openings is well below the BLS birth-death estimate of around 90k monthly.

Bottom line: Englander estimates that the birth-death adjustment has been overstating job creation by 70k monthly over the last year, which is in line with our estimates from one year ago. And, as we explained earlier, this will likely be the major source of the sharp downward benchmark revision, whose preliminary estimate through March 2025 is scheduled to be released on 9 September.

In conclusion, Standard Chartered estimates that actual monthly job creation among newly opened firms is no higher than 20k or so. So the published monthly NFP data have probably continued to overstate job growth. By this reckoning, a 100k published NFP growth number on 5 September would suggest an actual number closer to 30k; by the same calculation, even a 170k published NFP number would be only 100k (roughly equal to the estimate of equilibrium NFP growth) in reality.

Bottom line: sooner or later the BLS will have to come to terms with what are years of generously overestimated jobs numbers, and it behooves Trump to do so sooner rather then later in his term, especially when he can still take advantage of a jobs revision that puts most of the blame on his predecessor.

More in the full report available to pro subscribers.

Tyler Durden
Thu, 09/04/2025 – 06:55

ECB Prepares For Europe’s Next Sovereign Debt Crisis

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ECB Prepares For Europe’s Next Sovereign Debt Crisis

Submitted by Thomas Kolbe

Thirteen years ago, Mario Draghi, then President of the European Central Bank, opened the liquidity floodgates to prevent the eurozone from collapsing. Since then, the structural problems have remained unresolved. We are now facing the next chapter of the roughly patched-over debt crisis. It is time for the ECB to prepare its emergency toolkit.

For some time now, a worrying pattern has emerged in global financial markets: long-term government bonds are coming under selling pressure — even those of leading economies such as the U.S., Japan, the U.K., and, to a notable extent, France. As a result, yields are rising, along with the refinancing costs for already heavily indebted nations.

Financial Architecture Severely Damaged

It is the so-called long end of the yield curve that alarms both policymakers and central banks. The stability of global financial architecture rests on the long-term bonds of the U.S., Japan, and the eurozone. Banks, sovereign pension funds, and insurance systems have already paid a heavy toll from the sell-off in this segment. The structure has been severely weakened — and Europe is now facing the next debt crisis.

It can no longer be ignored: long-term government bonds, once considered safe and yielding positive real returns, have lost considerable trust. A look at France’s political turmoil and the decline of the U.K. underscores that escaping the debt spiral — with ever-growing annual deficits and collapsing social systems in an aging, migration-stressed European society — seems highly unrealistic.

The consequence: anyone not legally obligated to hold these securities is offloading them, fleeing to so-called safe havens such as precious metals or cash, often in U.S. dollars or Swiss francs — a tried-and-true pattern when times get tough.

Europe in the Crosshairs

While the yield on ten-year UK government bonds rose above 5.7% on Tuesday afternoon — the highest since 2009 — the crisis in France is intensifying dramatically. On September 8, a confidence vote on Prime Minister François Bayrou’s austerity budget is expected to fail. The country faces political chaos and a planned general strike, which, following the sad tradition of this fragmented, migration-impacted society, is likely to erupt into violent street clashes in the Banlieues.

France has long become an ungovernable state, now at risk of being the starting point for the next eurozone debt crisis.

Dark clouds are gathering over Europe — and Germany will not be spared. Once praised for its conservative fiscal policy, the country has opened the door to severe market disruptions with a trillion-euro debt program. If Germany sacrifices its creditworthiness just to buy time and a temporary fix for its social system crisis, it will drag down its EU partners. Since the start of the monetary union, markets have intertwined the community’s creditworthiness with that of Germany.

None of Europe’s crises — neither overregulation, the energy crisis, nor migration chaos — has ever been effectively controlled. The continent now stands exposed to the next debt crisis.

ECB in Action

The next debt crisis is likely to follow the pattern of its predecessor 15 years ago: contagion spreading from country to country, each tested by waves of bond sell-offs on stability and resilience. What may originate in France will eventually reach Germany via the heavily indebted southern European states. The question is: can the ECB stabilize the situation, as it did with its emergency toolkit back then?

Every sovereign debt crisis is also a banking crisis. A significant portion of government bonds is held on commercial banks’ balance sheets — and a sharp drop in market value risks dangerous over-indebtedness across the financial sector. To mitigate this, the ECB has developed an arsenal of liquidity and stabilization measures, forming the core of its emergency toolkit. These include LTROs (Long-Term Refinancing Operations) and TLTROs (Targeted Longer-Term Refinancing Operations), which provide banks with long-term, low-interest loans to ensure liquidity and maintain credit flow to businesses and households.

Highly Leveraged Fiat Credit

There is also Emergency Liquidity Assistance (ELA), a kind of safety valve for institutions under acute pressure, usually collateralized by government bonds or other so-called “high-quality assets.” The toolkit is complemented by forward guidance and interest rate policy, aimed at steering expectations and stabilizing interest rate markets — often more psychologically than materially.

Here lies a central flaw and logical inconsistency in central banking: the very assets deemed “high-quality” contributed to the crisis. Highly leveraged, virtually unsecured fiat credit — without backing in gold or energy — has turned the financial system into a Ponzi-like structure, inevitably driving massive credit expansion.

This context also includes Germany’s massive debt program and, according to EU policymakers, the ongoing proxy war in Ukraine. If the credit tap falters, the house of cards collapses.

Focus on Interest Rate Manipulation

The ECB’s main focus remains the stabilization of government bond markets — the sector most vulnerable in a crisis. Deeply entwined with the EU power center in Brussels, the central bank acts almost as a liquidity department. When panic strikes the bond market, it will start manipulating yields and clearing the market, as it did 15 years ago.

Emergency programs include the Public Sector Purchase Programme (PSPP), which buys government bonds to increase liquidity, and Outright Monetary Transactions (OMT), activated only if affected countries commit to reforms. Newly introduced is the Transmission Protection Instrument (TPI), which allows the ECB to buy bonds to reduce excessive yield differences between member states and ensure monetary transmission. This instrument operates largely clandestinely: market interventions are not always immediately visible and may be carried out gradually, even via proxy actors, to avoid market panic.

The ECB’s policy can be summarized simply: ahead of the looming debt collapse, its task is to manipulate the entire yield curve downward to maintain the illusion of controlled public debt — and to prevent private investors from panicking. The persistent operation of the ECB is evident in the yield corridors that long-term government bonds have followed for some time.

Transparency? Virtually nonexistent. Backroom dealings between the ECB and major capital pools are routine. Markets are actively managed and manipulated — the free market and the disciplining force of rising interest rates (bond vigilantes) are long gone.

Emergency Patches and Soothing Pills

Ultimately, the names of ECB instruments are irrelevant. Their core function is to smooth short-term market fluctuations and provide policymakers with repeated room to maneuver for an ever-expanding state. The ECB itself has become a malignant force within the euro system: market-based reforms are impossible as long as policymakers can rely on its backstop — whether for green climate agendas, military build-ups, or other dubious projects.

The EU Commission and ECB aim to establish a unified debt mechanism, consolidate national debts under the commission’s umbrella, and integrate the ECB as a liquidity pool to stabilize markets. Europe is thus steering toward centralized socialism, with the ECB as a key enabler.

In a systemic crisis, the eurozone’s main pillars — France, Italy, and Germany — would be drawn into the downward spiral. It would be naive to believe that the situation could be stabilized solely through ECB credit injections and short-term liquidity measures.

* * * 

About the author: Thomas Kolbe, a German graduate economist, has worked as a journalist and media producer for clients from various industries and business associations. As a publicist, he focuses on economic processes and observes geopolitical events from the perspective of the capital markets. His publications follow a philosophy that focuses on the individual and their right to self-determination.

Tyler Durden
Thu, 09/04/2025 – 06:30

White House Would Greenlight West Bank Annexation By Israel, Officials Claim

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White House Would Greenlight West Bank Annexation By Israel, Officials Claim

Axios’ global affairs correspondent Barak Ravid has cited Israeli officials who say that the White House is ready to greenlight a Netanyahu-ordered seizure of West Bank Palestinian territory.

“Rubio has signaled to Israeli officials in private meetings that he does not oppose Israel’s West Bank annexations and that the Trump administration will not stand in the way,” writes Ravid.

Finance Minister Bezalel Smotrich calls to annex over 80% of the West Bank. Source: Flash90/TOI

If accurate, or if this scenario comes to fruition it would be a definitive death knell for any future state of Palestine or for a two-state solution, the latter which happens to still be Washington de facto policy, and stretching back historically across several administrations. 

Despite occasional protestations from Trump over the ratcheting hunger crisis, or high civilian death toll, the US administration has really done nothing of significant pressure or with teeth to thwart the overwhelmingly destructive Gaza offensive by Israel’s military. 

The White House has also said nothing, even in terms of caution, concerning to new Netanyahu-ordered offensive which will see ground forces try to take over Gaza City.

President Trump only put the following message out Wednesday on Truth Social: “Tell Hamas to IMMEDIATELY give back all 20 Hostages (Not 2 or 5 or 7!), and things will change rapidly. IT WILL END!”

Essentially he’s standing by Netanyahu, who has stated time and again that the war will carry on until it ends with the complete eradication of Hamas, and to ensure it can never return to rule the Strip again.

If there is Israeli annexation of the West Bank, which has long been recognized by the UN and even the US as ‘occupied’ Palestinian territories, the unraveling of the Abraham Accords would surely follow. The Palestinian Authority (PA) is in charge of the Gaza Strip, and is actually a political rival to Hamas.

The UAE, for example, has already declared that this would be a ‘red line’ concerning its recently restored relations (in 2020) with Israel.

But here’s how Axios frames the situation: “Israel is considering annexing large portions of the West Bank later this month in response to the recognition of a Palestinian state by several western countries. President Trump is likely the only foreign player who could stop it.”

Indeed this is the case, but he’s as yet unwilling to use the key leverage over Israel that the US possesses, and has had for a long, long time: money and weapons. Israel’s military is propped up by US military hardware and ordinance, and this relationship is not going away anytime soon – especially not under Trump’s watch – who long enjoyed massive contributions from the likes of the Adelson family and AIPAC.

Tyler Durden
Thu, 09/04/2025 – 05:45

New Greek Law Promises Prison For Rejected Asylum-Seekers

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New Greek Law Promises Prison For Rejected Asylum-Seekers

In the latest example of a European government taking stronger measures to curb illegal immigration, the Greek Parliament on Wednesday passed a law that promises lengthy prison sentences for migrants who stay in the country after their asylum requests have been rejected. 

In 2022, this fishing boat that traveled from Libya — crammed with 483 people — went adrift off Crete before being rescued (via AP)

“The Greek state does not accept you. You only have one choice: to go back. You’re not welcome,” said Migration Minister Thanos Plevris after the bill passed. The new law is the second major tightening of Greek immigration in the last two months. On July 9, conservative Prime Minister Kyriakos Mitsotakis completely suspended asylum applications for three months, saying he was effectively notifying human smugglers that “the passage to Greece is closed.”

The two moves came after the pace of illegal-immigrant arrivals on Crete reached crisis levels this summer, with the number of illegals landing on the island in the first six months of 2025 tripling over the same period last year. The last straw that prompted Mitsotakis’ three-month asylum ban was the arrival of more than 2,600 illegals on Crete just during the first week of July. The move quickly paid off, slashing arrivals to just 500 over the first 27 days of August.

Under the new law, which was championed by Mitsotakis, migrants who fail to leave the country after their asylum request is rejected face up to five years in prison and fines of up to 30,000 euros. The penalty for illegal entry is tripled to 10,000 euros. The deadline for leaving after being rejected was slashed from 25 days to 14, and authorities are now authorized to outfit rejected applicants with ankle monitors so they can be tracked until they leave, the New York Times reports. The law also abolished illegal immigrants’ previous privilege of applying for residence after they’d been in Greece for seven years. 

During parliamentary debate on Tuesday, Plevris said asylum-seekers fell into two categories:  

“There are those who are downtrodden, and then there are some who are spoiled, who think that Europe owes them. We need to put emphasis on the voluntary returns, but there will be consequences for those who do not choose to return to their countries.”

A boatload of illegal immigrants from Libya who were intercepted near Crete in July (AP via The Independent) 

Crete became a preferred dumping ground for migrant-smugglers after other European countries imposed tougher asylum processes or increased their offshore patrols and other security measures. When asylum requests were barred, Plevris told a reporter: 

“All European countries now understand that it is not possible to have open borders, it’s not possible to welcome illegal migrants with flowers. There should be a clear message that countries have borders, (that) Europe has exceeded its capabilities and will not accept any more illegal migrants.”

In one of the continuing consequences of Barak Obama and Hillary Clinton’s utterly catastrophic regime-change operation, most of the diversity landing on the shores of Crete this year has come from Libya. Cursed by geography, Greece has long suffered from the effects of US-led destabilization campaigns, particularly in 2015-16, when hundreds of thousands of people fleeing the Middle East, Afghanistan and Africa flowed through the country.  

Tyler Durden
Thu, 09/04/2025 – 04:15

Germany’s “Skills Shortage” Scam: Open Borders, Job Losses, And Economic Collapse

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Germany’s “Skills Shortage” Scam: Open Borders, Job Losses, And Economic Collapse

Submitted by Thomas Kolbe

The ideology of open external borders has become a core element of Brussels policymaking. When Angela Merkel extended her 2015 invitation to millions, it merely confirmed a policy already long embedded. The claim that this had anything to do with combating the “skills shortage” was always a convenient fiction.

Germany’s economy is now in free fall. Years of overregulation, crushing fiscal burdens, and a self-inflicted energy crisis have scarred the labor market deeply. Since 2019, roughly 700,000 jobs have vanished in the private sector.

State Expansion Hides Collapse

During the same period, the government itself added nearly half a million public sector jobs. That means the real destruction in the productive economy totals around 1.2 million jobs. In 2025 alone, another 100,000 cuts are looming—an alarming verdict on Berlin’s socialist-style, centrally planned economic course. It is also the logical result of believing a subsidy-driven “Green Transition” can substitute for a private economy shaped by capital markets, competition, and innovation.

This decline is structural. Since 2018, productivity has been sliding, year after year. The German growth model has broken. In 2024, €64.5 billion in net direct investment left the country, much of it flowing to the United States, where reindustrialization, deregulation, and energy abundance make the business climate more attractive. Germany, once the world’s export engine, is bleeding capital and know-how.

The Labor Market Turns

Investment inside Germany has stalled. According to official data, the number of job openings in July fell by almost 11 percent compared to a year before, to just 628,000. Facing those positions are millions of unemployed, both Germans and migrants. Two causes stand out: state-run education systematically produces graduates misaligned with market demand, and a lavish welfare state discourages individuals from adapting and seeking productive work.

The true scale of unemployment is obscured. Hundreds of thousands are hidden in short-time work schemes, “training” programs, or statistical loopholes designed to minimize the numbers. The workers exist. And yet, media and politics never tire of repeating the warning of an acute shortage of skilled labor.

Virtually no corporate speech or think-tank study avoids the cliché of missing workers. The Cologne-based Institute for the German Economy warns of a shortage of over 530,000 skilled workers, claiming competitiveness is “dramatically endangered.” The state-owned KfW bank calls it “Germany’s biggest economic risk” and predicts “decades of weak growth” without reform. The official “solution” offered is always the same: open the borders wider, in the hope that somewhere in the tidal wave of migration a fraction of suitable candidates might be found.

The Business Reality

But the practical recruitment of skilled personnel has always been a core responsibility of management. No successful company relies on the state to provide qualified applicants. Instead, they create attractive conditions: competitive salaries, promotion prospects, and opportunities for development. They scout for talent worldwide, targeting the actual pools of expertise. They invest in integration and retention, knowing that skilled workers are in global demand.

Proactive firms go to international trade fairs, use specialized recruiters, and place ads in technical media. They recruit at schools and universities to secure their pipeline. None of this relies on state-run job agencies, symbolic “initiatives,” or the influx of unqualified economic migrants.

That German companies remain largely silent about the failures of open-border policy, just as they remain silent about the absurdities of the Green Transition, reveals the corporatist spirit now binding business and politics.

Two Camps Defend Open Borders

The narrative of “demographics” and “skills shortage” is sustained by two camps. The first are the naïve idealists, clinging to the belief that Germany’s collapsing demographics can be offset by inflows from impoverished regions. They remain blind to the cultural consequences of mass Islamization, ignore the reality of social fragmentation, and cite the United States as a model—ignoring that U.S. immigration in the 19th century was overwhelmingly European, culturally compatible, and forced into assimilation by the absence of a welfare state.

For them, Frontex—the EU’s border guard—is little more than a fig leaf for the abandoned external borders of the Union.

The second camp follows a more calculated political strategy. As in the U.S., mass immigration from impoverished, unstable regions translates into higher vote shares for the Left. They, too, invoke “demographic collapse” and “skills shortages” as justification. With media support, they have succeeded in stigmatizing any criticism of open-border policy as fascist or reactionary.

Outlook and Consequences

While the United States under Donald Trump executed the most radical immigration reversal imaginable—zero tolerance, mass deportations, and enforcement—the European Union drifts toward chaos. The rise of right-wing parties such as AfD in Germany, Fidesz in Hungary, Fratelli d’Italia under Giorgia Meloni, and Marine Le Pen’s Rassemblement National in France signals public resistance. But despite the surge, there is still no credible reversal in EU migration policy.

As long as symbolic gestures—such as a single deportation flight or a brief border check—are enough to calm the press and stabilize polling for the Left (and its so-called “conservative” allies), Brussels bureaucrats keep a tight grip on policy.

Meanwhile, the real solutions are being pursued not by governments but by companies: Mittelstand firms, retailers, industrial champions, and family-owned businesses. They recruit abroad, invest in training, cooperate with schools and universities, and build the pipelines the state has destroyed with its failed education system. Germany’s labor market is being salvaged not by open-border politics, but by the initiative of the very private sector that politicians continue to undermine.

* * * 

About the author: Thomas Kolbe, a German graduate economist, has worked for over 25 years as a journalist and media producer for clients from various industries and business associations. As a publicist, he focuses on economic processes and observes geopolitical events from the perspective of the capital markets. His publications follow a philosophy that focuses on the individual and their right to self-determination.

Tyler Durden
Thu, 09/04/2025 – 03:30

IDF Moves Deeper Into Gaza City, Won’t Stop Until ‘Hamas Totally Defeated’

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IDF Moves Deeper Into Gaza City, Won’t Stop Until ‘Hamas Totally Defeated’

Israel’s military (IDF) on Wednesday plunged deeper into Gaza City, after the day prior IDF Chief of Staff Lt. Gen. Eyal Zamir confirmed that the offensive to conquer the Strip’s largest city is underway, as tens of thousands of additional Israeli reservists began to report for duty for the operation.

“We are going to increase and enhance the strikes of our operation, and that is why we called you,” Zamir announced from Nachshonim military base in central Israel. “We have already begun the ground operation in Gaza [City].”

IDF Chief of Staff Lt. Gen. Eyal Zamir. Source: IDF

“We will not stop the war until we defeat this enemy,” he emphasized, in line with Prime Minister Netanyahu’s priory of inflicting a total military defeat on the Islamist group behind the Oct.7, 2023 terror attack.

Soldiers and tanks were spotted pushing into Sheikh Radwan, one of the urban center’s largest and most crowded neighborhoods, on Wednesday – with so far at least 24 Palestinians, some of them children, reported killed across the Gaza Strip.

For nearly two years there have been sprawling tent encampments on the edges of and within Gaza city, housing thousands of displaced, and these have been destroyed in the fresh military assault.

Addressing reservists at Nachshonim base, Zamir continued his his speech, “Hamas will have no place to hide from us. Wherever we locate them, whether they are senior or junior figures – we strike them all, all the time.”

He described, “We have already begun the Gaza maneuver. We are already entering places we have never entered before and operating there with courage, strength, valor, and an extraordinary spirit.”

The Gaza City assault is expected to worsen the Strip’s already horrific internal refugee crisis and food crisis, after the UN and various monitoring groups have confirmed famine in some sectors. Dozens if not hundreds of civilians have already died of starvation.

Interestingly, amid anti-Netanyahu protests in major cities and even near his personal residence, some Israeli reservists are revolting, intentionally failing to report for duty. Haaretz reported that some 350 Israeli reservists signed a statement opposing the takeover of Gaza City and renewed military assault there.

“The decision to launch a military operation for the complete occupation of Gaza City is blatantly illegal and will put hostages, soldiers and civilians at risk,” said Ron Feiner, a reservist and member of the organization Soldiers for the Hostages, as cited in Israeli media. “If we are called up for reserve duty, we will not report.”

Tyler Durden
Thu, 09/04/2025 – 02:45

Britain’s Descent Towards Civil War Is No Accident

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Britain’s Descent Towards Civil War Is No Accident

Authored by Michael Rainsborough via The Daily Sceptic,

Having lived in Australia for the past three years, I sense that this country is the least advanced down the road towards the multicultural dystopia confronting much of Europe.

That is not to say there is room for complacency: Australia has its own canaries in the coal mine, echoing trends observable across the Western world. Yet relative prosperity, firm immigration policies, a distinct welfare regime (mandatory health insurance, means tested pensions), a robust federal system, and above all a unique electoral framework of three-year cycles and compulsory voting all help, willy-nilly, to keep politicians on a short leash and broadly tethered to the popular will.

The greatest safeguard against social fracture and disintegration in Australia, however, is not institutional design but rather watching Britain implode in real time. Many Australians, still bound by ties of kinship and tradition to the old country, see in the United Kingdom both a cautionary tale and an anti-role model: a once-settled, relatively harmonious state busily teaching the world how to dismantle itself through the enthusiastic embrace of liberal dogma.

As an observer no longer resident in Britain, I am reluctant to pontificate on the fate of my homeland. Yet it is a sight to behold: an establishment seemingly bent on self-destruction, clinging to an incontinent immigration system and an almost devotional attachment to international and human rights laws that disadvantage its own citizens. The Epping hotel protests — complete with the Home Office’s recourse to legal appeals — illustrate the point. No doubt the legal complexities are real, as David McGrogan rightly pointed out in these pages, but such manoeuvres only pour petrol on an already combustible national mood.

One is left to wonder whether Britain’s Labour Party, now so hopelessly enthralled by socially progressive ideology, will ever rediscover the ability to represent anything resembling national sentiment — or whether it will, like the Conservatives, simply perfect the art of political self-evisceration.

On Civil Strife and Academic Exile

It should surprise no one that talk of civil strife and even civil war has been in the air for months. Into this debate I enter only on the edges, sitting in the cheap seats, offering a few side notes alongside far more insightful voices.

My former colleague at King’s College London, David Betz, has recently emerged as the primus inter pares in the debate about the possibility of civil war in Britain. Back in early 2019, we co-authored an essay examining the grim prospects for British democracy and the road to internal conflict that already loomed on the horizon.

That essay, The British Road to Dirty War, explored the hollowing out of British democratic institutions — a long-running process that had by then left politics little more than a façade. The Brexit psychodrama exposed the extent of the rot. The political class, determined to thwart the referendum result, behaved with a deranged mixture of denial and contempt for the electorate. We saw in this not merely a passing convulsion but the symptom of a chronic condition — one destined, sooner or later, to end badly, Brexit or no Brexit.

For me, the article was merely the latest offence in a long career of thought criminality — though until then I had usually managed to get away with it, courtesy of the last tattered vestiges of pluralism in British universities. This time was different. The arraignment came swiftly. Confronted with unwelcome facts, several so-called colleagues — fluent in sanctimony, illiterate in reality — filed their denunciations, East German–style. Readers may recall that I recounted the episode in the Daily Sceptic under the title ‘What I Learned from My College Stasi File‘.

This was, in the end, the proximate cause of my ousting as head of the Department of War Studies and my departure for Australia. Yet distance brings a certain clarity. It exposed, with brutal simplicity, not just the barren and increasingly authoritarian nature of British higher education, but the slow unravelling of a once-settled nation — methodically dismantling the very foundations on which its stability once rested.

Enter the Civil Wars Debate

Viewing Britain from afar is sobering: the decline of a nation under the stewardship of its self-anointed managerial and political elite — a class long sustained by illusions of mastery, even as the evidence mounts to the contrary. Into this breach, David Betz took up the ‘civil wars’ thesis and carried it forward. He did the heavy lifting: assembling the scholarly scaffolding, laying out the nuts and bolts of the argument, and presenting it with a careful authority that is both brave and necessary. His work is rightly receiving the attention it deserves, recognition for both intellectual rigour and the courage to say what the political classes would prefer unsaid.

The prospect of civil conflict is no longer whispered in private but debated openly. This is a healthy development. Britain and Europe are grappling with the results of elite overreach — economic stagnation, political paralysis, social fragmentation — and the question is no longer whether such conditions exist, but what their long-term trajectory will be. Far better, then, that the discussion takes place in public than festers underground, smothered by nervous institutions. Thanks to outlets such as the excellent Military Strategy Magazine and the unruly but indispensable independent podcasters, the necessary debate has been given air and light.

More recently, James Alexander has added his voice in the Daily Sceptic, drawing a distinction between the writings of David Betz and those of David A. Hughes. He discerns a contrast between what he sees as Betz’s view — that the country is stumbling toward civil war through elite incompetence and mismanagement — and Hughes’s contention that the road to conflict is intentional, a deliberate course imposed upon society.

I confess I have not yet encountered Hughes’s work, but Alexander suggests he is among the vanishingly small number of truly dissenting academics. If so, that alone marks him out as worth reading: in the present climate, dissent is the rarest form of intellectual courage.

On Dichotomies and Deliberate Designs

Alexander’s treatment is thoughtful and nuanced, and he is right to insist that both vantage points deserve consideration, particularly Hughes’s radical reframing of political reality. Yet his depiction of the dichotomy is flawed. To suggest that Betz’s survival within academia implies he is not fundamentally challenging its ideology is, frankly, a misreading. Survival in that system is not comfort or acceptance; it is endurance at the margins. David and I both narrowly survived our purging after publishing ‘The British Road to Dirty War’. In my case, ‘survival’ amounted to a kind of neo-transportation — admittedly more gilded than the original, but no less real for that.

Nor is it accurate to claim that Betz merely observes elites ignoring the breakdown of civilisation while Hughes contends they actively intend it. That is too neat, too binary. Having written extensively with David Betz, I can say our position has never been that elites are simply incompetent — though many, of course, demonstrably are. Rather, their actions form a discernible pattern, and patterns imply purpose. Whether or not the chaos we now endure is consciously engineered at every turn is almost beside the point: the consequences are here, and we must all live with them.

The record of intentionality, in fact, is undeniable. Under Tony Blair, the Labour government pursued a policy of demographic transformation. As Andrew Neather — then a speechwriter and adviser to Blair — acknowledged in the Evening Standard in 2009, that immigration policy was shaped in part by the desire “to rub the Right’s nose in diversity“. That was no accident, no bureaucratic mishap. It was an explicit goal, and its consequences are now written across Britain’s social fabric. Likewise, the current Labour leadership under Sir Keir Starmer operates from a post-nationalist outlook, one that treats the very idea of nationhood as negotiable, even alien, to the political class.

David and I set out this argument in 2020 in a short article, ‘Empires of “Progress”‘, where we identified a clear elite strategy of re-importing techniques of imperial governance into the domestic realm. The aim was to rule by division: to fracture society into communities, reward loyal in-groups and discriminate against the majority through a two-tier system of justice, policing and social policy. In other words, to adapt the colonial logic of ‘divide and rule’ for use at home. This was not incompetence. It was contrivance.

Meet the New Imperialists

Who are these new imperialists? They appear under fresh guises — ‘diversity coordinators’, anti-racism activists, curriculum decolonisers, climate campaigners — but their mission is unchanged: to manage society by division. Their worldview is relentlessly categorical: race, religion, identity. Favoured minorities and immigrant groups, often not oppressed in any meaningful sense, are elevated into protected castes, while the majority is relegated to second-class status. This is not progress; it is imperial management in modern dress. Like their predecessors, they are buoyed by moral certainty and a conviction of their right to rule.

Meet the new imperialists: same as the old imperialists.

Western societies have not, therefore, polarised by chance. A movement — most visible on the progressive Left — embraces a radical perspectivism that seeks to manufacture conflict and destabilise once-stable societies. This is no startling discovery. Peter Collier and David Horowitz documented it decades ago: the student radicals of the 1960s sought revolution, not reform. They demanded constitutional rights even as they denounced the constitutional order, exploiting democracy’s tolerance to undermine it. When they tired of being outsiders, they burrowed into the institutions — universities, bureaucracies — and entrenched themselves. It was, as Collier and Horowitz observed, a deeply cynical strategy: use democracy’s freedoms to dissolve democracy itself.

Today, with the maturation of the boomer generation, those same radicals — or their intellectual heirs — occupy positions of power. They are the imperial managers of our age. To call this the product of bumbling incompetence is naïve. It was strategy, not accident.

Where it may yet unravel is in the arrogance of the new imperium. They imagine themselves clever enough — and the public credulous enough — that such policies can be pursued without provoking resistance. But arrogance is no substitute for foresight. Once matters tip into open conflict, escalation takes on its own momentum. Anger is already stirring — and anger, once roused, is the fuse of history.

The Shadow of Dirty War

How this will ultimately unfold is impossible to foresee. In our first exploration of this terrain, David and I sketched the prospect of Britain’s descent into what we termed dirty war.

Dirty war refers to a pattern of internal repression, most notoriously in Latin America during the 1970s: years of vicious but low-intensity strife in which regimes and insurgents alike turned their weapons on segments of their own people. Such struggles are rarely declared openly, nor bound by convention. They are fought in the shadows. The boundary between combatant and civilian dissolves; violence becomes selective, targeted, concealed.

On the surface, life may appear undisturbed — whole regions untouched. Yet beneath the façade a subterranean struggle rages: militias manipulated, opponents assassinated, hostages taken, clandestine detentions and disappearances. Almost inevitably, this is accompanied by crackdowns on free speech and civil liberties — the indispensable handmaidens of dirty war. To deny that the architecture for such measures is already taking shape in Western democracies, Britain included, is wilful blindness.

Over time, brutality becomes ordinary; the ‘unspeakable’ seeps into common knowledge. Secrets circulate, perpetrators protest innocence, but rumour, testimony and leakage of truth expose what everyone already suspects.

Whether Britain is embarked upon such a path is speculation. Betz has outlined scenarios ranging from an urban-rural clash to targeted strikes on critical infrastructure. These are hypotheses, not predictions. Yet precedent is sobering. Argentina’s dirty war was prefigured by deep fissures within Peronism itself, as conservative and radical factions — most notably the Montoneros — splintered, then unleashed assassination and counter-assassination, spawning death squads that soon engulfed the state.

At present, it is difficult to imagine such violence in Britain, cushioned as it is by democratic traditions and institutional inertia. But ‘difficult to imagine’ is not the same as ‘impossible’. Already the taste for direct action is evident in extreme-Left circles, and politically motivated violence has re-emerged across the Atlantic. In North America, radicals steeped in progressive dogma have attempted to assassinate Presidential candidates, murdered local politicians and carried out school shootings in the name of ideological crusades. To assume Britain is immune to such contagion is to mistake habit for destiny.

On Shifting Ground

If Britain does not slide into a dirty war outright, a more plausible prospect is Balkanisation — or, in the local idiom, Ulsterisation. We need not speculate abstractly: within living memory the United Kingdom has already endured its own version in Northern Ireland.

The signs are visible. The recent flag protests in England reflect a deeper hostility toward the political class, which has systematically negated English self-expression and indulged in a ritual of national self-abnegation that contrasts sharply with the celebration of every other identity. Public spaces are festooned with Pride flags, Palestinian flags, Ukrainian flags — anything, it seems, but the Cross of St George.

The message is unmistakable. The majority population, already disregarded on questions such as immigration, is told that its own symbols of belonging must be hidden, while the emblems of others are to be privileged and extolled. The protests are not simply a reaction to hypocrisy, but the eruption of a resentment long bred by neglect, exclusion and the steady withering of a people’s right to recognise themselves.

And once flags become tribal markers of territory and ideology, they also become precursors of deeper division, escalating tensions, and — if the authorities persist in denying the causes — violence of an infernal kind. Northern Ireland has already shown us where such dynamics lead: bombings, assassinations, even Latin American-style disappearances (this time carried out not by the state but by the IRA and other republican groups).

Let us assume, for the moment, that Britain is still some way off from such an outcome, and that the system retains just enough vitality to adapt, however fitfully, to the popular will. Even so, faith in system stability — the belief that traditions of peaceful, constitutional change can mediate deep divisions — has been badly undermined. That corrosion has been accelerated, intentionally, by the outsourcing of sovereignty to supranational bodies: human rights courts, international bureaucracies, institutions whose rulings dilute and often override domestic consent.

Of course, political commentary is littered with failed prophecies, and one should resist the temptation to indulge in historical clairvoyance. History rarely moves in straight lines; contingency rules. As with earthquakes, we cannot predict the exact timing of the rupture. What we can do — what Betz and others are attempting to do — is map the tectonics.

And Britain’s political ground is not solid rock. It is fault lines all the way down.

Tyler Durden
Thu, 09/04/2025 – 02:00

Trump Escalates Tariff Fight To Supreme Court, Seeks Expedited Review

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Trump Escalates Tariff Fight To Supreme Court, Seeks Expedited Review

President Trump has asked the Supreme Court to maintain his tariffs after a lower court invalidated them.

“The Federal Circuit’s decision casts doubt upon the President’s most significant economic and foreign-affairs policy—a policy that implicates sensitive, ongoing foreign negotiations and urgent national-security concerns,” wrote Solicitor General D. John Sauer in the DOJ’s Supreme Court petition, which has yet to be publicly docketed but was obtained by The Hill. 

Last week the U.S. Court of Appeals for the Federal Circuit struck down most of Trump’s tariffs in a 7-4 decision – finding that the president can’t use emergency powers to enact levies on various trading partners. 

The admin has asked the SCOTUS to expedite their review – and has asked for an announcement by next Wednesday as to whether the highest court in the land will take up the dispute and schedule oral arguments for the first week in November. 

Several small businesses and Democratic-led states who filed the lawsuit in question say they have no problem with the Supremes taking up the case or the expedited schedule. 

The tariffs will remain in place until the Supreme Court decides. 

Trump slapped various significant tariffs on countries around the world – largely doing so by invoking the International Emergency Economic Powers Act (IEEPA), a 1977 law that authorizes the president to impose necessary economic sanctions during an emergency to combat an “unusual and extraordinary threat,” The Hill notes. 

Citing an emergency over fentanyl, Trump has imposed a series of tariffs on China, Canada and Mexico dating back to February. He later invoked the law for his “Liberation Day” tariffs, citing an emergency over trade deficits to issue levies on goods from dozens of countries. 

Trump’s tariffs face roughly a dozen lawsuits across the country. The battle at the Supreme Court comes in response to two underlying cases filed by a group of small businesses and Democratic state attorneys general. 

“Both federal courts that considered the issue agreed that IEEPA does not give the President unchecked tariff authority,” said Liberty Justice Center senior counsel, Jeffrey Schwab, an attorney on the case. “We are confident that our legal arguments against the so‑called ‘Liberation Day’ tariffs will ultimately prevail.”

“These unlawful tariffs are inflicting serious harm on small businesses and jeopardizing their survival. We hope for a prompt resolution of this case for our clients.”

The Trump administration, meanwhile, has warned the courts not to second-guess his decision as it will undermine his ability to use tariffs as leverage in negotiating trade deals. 

Tariff Vos Selections Cert Petition by Zerohedge Janitor

Tyler Durden
Thu, 09/04/2025 – 00:04

The Transgender Shooter, The Socialist Rifle Association, And The Alarming Rise Of Far-Left Militancy

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The Transgender Shooter, The Socialist Rifle Association, And The Alarming Rise Of Far-Left Militancy

Submitted by Jason Curtis Anderson of One City Rising, 

Last week, Minneapolis was the scene of a nightmare. A transgender shooter stormed into a church, murdered two children, and then turned the gun on himself. Tragedy struck at the intersection of ideology and violence, but while the mainstream press will quietly move on from this story, the details demand closer inspection.

In the aftermath, investigators uncovered the shooter’s personal journal. On it, a sticker of a gay pride flag emblazoned with an assault rifle and the words “defend equality.” That very same flag is also displayed by the Minneapolis chapter of the Socialist Rifle Association (SRA), a self-proclaimed left-wing gun club that advocates armed struggle. Andy Ngo shared the images here.

pic

Say what you will about America’s increasingly bitter culture wars, but we cannot ignore the fact that much of the rhetoric surrounding the modern trans movement isn’t just about self-defense, but about “fighting back,” like this flyer, advocating for a trans day of vengeance. 

What exactly do you think they mean by that? 

The Socialist Rifle Association has more than 50 chapters nationwide, with several states hosting multiple chapters. We’ve been told for decades that America’s great domestic terror threat comes from far-right militias in camo gear. But there is obviously a militant movement on the other side of the spectrum: a growing network of far-left militias preparing for what they themselves call “the revolution.”

The connections between the SRA and the Democratic Socialists of America (DSA)—a group with 201 elected officials in office—are especially troubling. In February 2025, the DSA narrowly voted against a resolution to merge with the SRA. The debate was heated. Following the vote, members of both organizations spilled online to express their frustrations. Some DSA members called it a betrayal. Others celebrated the split, but still acknowledged shared values.

What matters most is that these two groups are not strangers. Their affiliations go back years. As far back as 2018, the Socialist Rifle Association openly collaborated with DSA chapters. In 2024, the Maryland SRA and Baltimore DSA even hosted a drag show fundraiser for weapons training. And in some states, there’s already overlapping membership.

This is not abstract theory. It is not memes on Twitter or LARPing in the woods. In Salem, Oregon, an alleged SRA member was accused of firebombing a Tesla dealership. Court filings in that case describe the SRA as “well-practiced” with firearms and trained in “combat scenarios.” These are not hobbyists. These are ideologues sharpening their tools.

That raises the uncomfortable question: how many “self-defense training sessions” across the country are really just grooming grounds for political violence? And how many shootings like Minneapolis will it take before we finally acknowledge the seriousness of far-left extremism in America?

The DSA, meanwhile, has proven to be the political wing of this movement. Back in 2019, the DSA even voted to adopt ANTIFA as an official arm of the organization. Today, they are poised to capture the New York City mayor’s office—America’s crown jewel. From that position, the levers of power shift dramatically. This is not theoretical; it is a pipeline of ideology to authority.

And the intentions of these groups are not hidden. Just this past July, the New York City DSA chapter held a public meeting about disrupting the U.S. military supply chain. Not reforming it. Not lobbying against it. Disrupting it. That’s a polite euphemism for sabotage.

When you connect the dots, the picture is clear:

  • A transgender shooter inspired by militant rhetoric murders children in Minneapolis.

  • A gun club with 50+ chapters preaches “defend equality” with assault rifles.

  • The Democratic Socialists of America, with hundreds of elected officials, keeps flirting with this group.

  • And activists openly talk about disrupting the military supply chain.

It doesn’t take a conspiracy theorist to see the trajectory here. The American left has developed its own armed wing, and it is radicalizing fast.

For years, establishment voices assured us that “ANTIFA is just an idea,” that the far left was harmless cosplay. But the church in Minneapolis is stained with blood. Tesla dealerships are burning. And groups with real political clout are running drag show fundraisers to bankroll weapons training.

The press will not say it, but the truth is unavoidable: the far left is not preparing to share power. It is preparing to seize it—or, failing that, to destroy society itself.

The only question left is how much longer the rest of the country will look the other way.

Views expressed in this article are opinions of the author and do not necessarily reflect the views of ZeroHedge.

Tyler Durden
Wed, 09/03/2025 – 23:25