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Mega-Cap Meltdown Continues As ‘Good News’ Sends Rate-Cut Hopes Reeling

Mega-Cap Meltdown Continues As ‘Good News’ Sends Rate-Cut Hopes Reeling

KC Fed survey joined yesterday’s Regional Fed surveys in the doldrums (as did today’s plunge in durable goods orders) but of course, all eyes were sternly focused on Q2 GDP’s beat.

That ‘good news’ sparked a hawkish shift lower in rate-cut expectations…

Source: Bloomberg

The Nasdaq lagged..again.. with Small Caps ripping higher. The S&P ended red again with The Dow clinging to gains…

Nasdaq has underperformed Russell 2000 for 11 of the last 12 days, erasing YTD outperformance for the big-tech index

Source: Bloomberg

This is the biggest relative underperformance of the Nasdaq vs Russell 2000 since the peak of the dotcom boom…

Source: Bloomberg

Small Caps were helped by a massive (almost 5%) short-squeeze today…

Source: Bloomberg

Mag7 stocks ended lower but bounced back off the initial puke…

Source: Bloomberg

The S&P 500 found support almost perfectly at its 50DMA (5433), bounced, then fell back below it again…

Nasdaq also bounced off its 100DMA yesterday, and faded back towards it today…

Goldman Sachs trading desk noted that they saw the first buy-skew in a few days with our floor tilting +3% net to buy. Volumes tracking +25% vs the trailing 20days and ETFs capturing 30% of the overall tape.

  • LOs buying Fins + Cons Discretionary vs selling Tech and Hcare though much less risk-off than yday. Yesterday’s sell off was mostly asset managers and today we are back to a true blend. 

  • HFs buying Tech, Discretionary, and Hcare vs selling Fins + Industrials. Interesting to note liquidity continues to be poor, tracking -30% vs the trailing 20 days.

Equity risk is back up at its highest since April, but bond vol remains muted… for now…

“It does seem that an unwinding has begun of popular trades that brought valuations to stupid levels,” Louis-Vincent Gave, chief executive officer of Gavekal Research, wrote in a note to clients.

Mixed day for bonds with the short-end underperforming (2Y +1bps, 30Y -5bps) reversing some of the recent very aggressive steepening of the curve…

Source: Bloomberg

The dollar chopped around like a penny stock today…

Source: Bloomberg

Gold was hit again, finding support at $2350…

Source: Bloomberg

Bitcoin slipped lower, finding support at around $64,000…

Source: Bloomberg

But ETH dramatically lagged BTC, erasing most of the post-May ‘buy the ETF rumor’ gains…

Source: Bloomberg

Oil prices bounced back to unchanged on the week…

Source: Bloomberg

Finally, there’s more room to run. SPX: over the last ~100 years, median year has a SPX peak to trough drawdown of 13%. Believe it or not only been 4% which a typical drawdown taking us to 4900…

NDX: median drawdown is 16% or around another 9% from here based on last 40 calendar years – would put you at the ~1700 level…

But hey, we bounced today, so everything is awesome, right?

Tyler Durden
Thu, 07/25/2024 – 16:00

Poof! GovTrack Scrubs Kamala Harris ‘Most Liberal’ Senator Ruling From 2019

Poof! GovTrack Scrubs Kamala Harris ‘Most Liberal’ Senator Ruling From 2019

It’s amazing to watch the real-time memory holing going on with Kamala Harris.

On Wednesday, we noted that the media (and how House minority leader Hakeem Jeffries) pushed the lie that Harris wasn’t actually Biden’s ‘border czar’ – pretending that she had no responsibility for one of the top voter concerns.

Not only did mainstream publications refer to Harris as the ‘czar,’ she was pressed on why she hasn’t visited the border.

Now, GovTrack – which tracks the voting records of House and Senate lawmakers, has scrubbed a 2019 analysis which ranked then-Sen. Harris as the “most liberal” US Senator.

As Just the News notes, the page was scrubbed “at some point between the evening of July 8 Eastern time and July 23 of this year.”

The original link to the page leads to a “Page Not Found” error. The last person to share the link to the original on X without noting its removal was mid-afternoon Wednesday.

The website rated Harris the “most liberal compared to all senators” in 2019. Harris became vice president in January 2021.

According to GovTrack founder Joshua Tauberer, “I made the change when I saw that attention was being directed to a part of our site that I had warned in 2020 was not reliable.”

Oh.

“We determined that the limited data available in a single year was not sufficient to create a reliable portrait of the activity of legislators, particularly given the ebbs and flows of the legislative calendar,” so the site stopped creating new report cards and “subsequently took down the previously-published single-calendar-year statistics for the same reason.”

So – wasn’t in charge of the border, and definitely wasn’t the ‘most liberal’ Senator in 2019.

What else was Harris in 2019?

The 3rd most absent in votes vs. all Senators.

Held the fewest committee positions vs. Senate Sophomores.

And joined bipartisan bills the least often vs. other Senate Democrats.

Into the memory hole!

Tyler Durden
Thu, 07/25/2024 – 15:45

The Future Of Bitcoin In America Will Be Decided At The Ballot Box

The Future Of Bitcoin In America Will Be Decided At The Ballot Box

Authored by Senator Bill Hagerty via BitcoinMagazine.com,

As Americans head to the polls this fall, their decision regarding who will lead our country will also determine the fate of crypto here in the United States, and our security, prosperity, and freedom are at stake.

This week, I will join President Trump and thousands of crypto market participants in Nashville for Bitcoin 2024, the world’s largest Bitcoin conference.

This year, the conference is held in my home state at a time that is clearly the tipping point for the future of crypto technology in the U.S. This fall, the future of crypto in America is on the ballot as our nation decides who will lead the Executive and Legislative branches of our nation. The contrast between Democrat and Republican approaches to crypto is stark. The Biden Administration has repeatedly demonstrated its hostility to crypto by refusing to provide a basic regulatory framework for the industry, while simultaneously taking enforcement actions against firms for allegedly violating nonexistent rules.

This combination of legal uncertainty and brass-knuckled enforcement has pushed many crypto innovators to the brink, leaving them little choice but to move their businesses overseas.

Meanwhile, Democrats have also taken extreme measures to stifle the adoption of crypto in the traditional financial system.

Biden’s regulators have forced crypto-engaged banks like Signature Bank into receivership while imposing crypto-hostile policies like the SEC’s Staff Accounting Bulletin (SAB) 121, which makes it prohibitively expensive for financial institutions to hold customers’ crypto assets. Altogether, the Biden Administration’s record makes clear what another four years of Democrat political control would bring: more political persecution of the industry on a scale reminiscent of Obama’s Operation Chokepoint.

In contrast, Republicans have taken concrete steps to develop constructive crypto policies that exemplify the party’s longstanding commitment to the principles of innovation, free enterprise, and individual liberty. House Republicans have passed promising bills that would provide legislative clarity for crypto market structure and for U.S.-Dollar-denominated private stablecoins. Republicans in both chambers have worked together to try to overturn Biden’s most egregious policies, address concerns about illicit finance, promote private-sector innovation in stablecoins, and prevent the development of a central bank digital currency. Republican control of Congress and the White House would enable the GOP to expand and implement these efforts, finally delivering constructive rules of the road for crypto and ending Biden’s oppressive regime of regulation by enforcement.

If Republicans don’t stop Democrats from trying to crush crypto in America, the consequences could be dire.

Four more years of hostility will force even more crypto innovators offshore. Prominent U.S. exchanges have already started opening businesses in other countries, seeking licenses in foreign jurisdictions, and shuttering their U.S. operations. In recent years, lawmakers in Washington have realized how allowing another critical industry—semiconductors—to go offshore has weakened our nation’s competitive edge and geopolitical leverage. We would be foolish to allow crypto—this generation’s new cutting-edge technology—to follow the samCryptoe path. Republicans understand that keeping innovation onshore is essential for our global competitiveness and for the creation of wealth and jobs for Americans.

All too often, voters dismayed with Washington’s dysfunction feel that their vote—and national politics more broadly—does not matter. That’s not true here.

No matter how much the status quo may frustrate us, the truth is that elections offer us the best opportunity to change course and get our country’s policies back on track.

In the case of crypto, the vote at the ballot box this year could quite literally decide its fate.

This November, Americans must make their voices heard and send their elected representatives to Washington with a mandate: secure a future for crypto in America.

Tyler Durden
Thu, 07/25/2024 – 15:25

Newsom Issues EO For California Cities To Remove Homeless Encampments After Supreme Court Ruling

Newsom Issues EO For California Cities To Remove Homeless Encampments After Supreme Court Ruling

After years of encouraging rampant crime and degeneracy among the homeless population, and just in time for an election talking point, California Governor Gavin Newsom issued an executive order on Thursday for the removal of homeless encampments across the state.

The order directs state agencies to remove thousands of tents and makeshift shelters along freeways, shopping center parking lots, and city parks – and puts the decision in the hands of local authorities.

Newsom’s EO comes after a decision by the Supreme Court earlier this summer which allows cities to enforce bans on sleeping outside in public spaces, AP reports.

The case was the most significant on the issue to come before the high court in decades and comes as cities across the country have wrestled with the politically complicated issue of how to deal with a rising number of people without a permanent place to live and public frustration over related health and safety issues.

“We must act with urgency to address dangerous encampments,” Newsom said in a statement.

The Supreme Court’s decision is related to a lower court’s ruling on a case known as Grants Pass, which blocked cities from clearing encampments.

Earlier this week we noted that San Francisco has already taken steps to craft policies which allow officials to begin sweeping encampments, according to Mayor London Breed. As the Epoch Times reports, officials are contemplating options with the city attorney’s office and more information will be shared soon, according to Ms. Breed.

“This decision by the Supreme Court will help cities like San Francisco manage our public spaces more effectively and efficiently,” Ms. Breed said in a June 28 press release. “This decision recognizes that cities must have more flexibility to address challenges on our streets.”

She said discussions underway aim to reduce homelessness while finding people mental health treatment and services to improve the quality of life for all San Franciscans.

“[Illegal camping] is not healthy, safe, or compassionate for people on the street, and it’s not acceptable for our neighborhoods,” Ms. Breed said.

One San Francisco local said he supports increased enforcement because of what he described as “filthy” conditions in some areas.

“The city has become known for feces on the sidewalks and dirty streets,” John Walker told The Epoch Times July 22. “Something needs to be done.”

After the high court’s ruling was announced in June, the state’s Ninth Circuit Court of Appeals quickly moved to discontinue the injunction blocking homeless camp sweeps.

San Francisco City Attorney David Chiu said the legal changes will allow the city to better manage its streets and improve public safety.

Tyler Durden
Thu, 07/25/2024 – 13:05

Nestle’s Guidance Downgrade Adds To Rough Start For Consumer Earnings Season 

Nestle’s Guidance Downgrade Adds To Rough Start For Consumer Earnings Season 

Just over a month ago, Goldman advised clients to begin shorting stocks with exposure to middle-income consumers. This came just a month after analysts targeted stocks exposed to low-income consumers. 

On Thursday, Goldman analyst Natasha de la Grense told clients, “Not a great start to earnings season in Consumer, with very few positive surprises so far. Both high-end consumption and the low-income consumer are weak.” 

At this rate, it’s only a matter of time before Goldman analysts tell clients to start shorting stocks exposed to high-income consumers. 

The latest consumer warning comes from the world’s biggest food company as cash-strapped customers switched to cheaper generic brands amid elevated inflation and high interest rates. 

Nestle reported that organic revenue in the first half of the year fell short of Wall Street’s expectations. It also revised its full-year outlook lower.

Here’s a snapshot of first-half results (courtesy of Bloomberg): 

  • Organic revenue +2.1%, estimate +2.52%

  • Nespresso organic revenue +1.8%, estimate +2.67%

  • Nestle Health Science organic revenue +0.1%, estimate +0.23%

  • Other businesses organic revenue +9.7%, estimate +5.28%

  • Europe organic revenue +4.5%, estimate +4.26%

  • North America organic revenue -0.1%, estimate +0.13%

  • Latin America organic revenue +2.7%, estimate +4.03%

  • Asia, Oceania & Africa organic revenue +3.5%, estimate +3.93%

  • Greater China organic revenue +1.6%, estimate +3.51%

  • Pricing +2%, estimate +2.92%

  • Real internal growth +0.1%, estimate -0.48%

  • Underlying trading operating profit CHF7.84 billion, -0.8% y/y, estimate CHF7.77 billion

  • Underlying trading operating profit margin 17.4%, estimate 17.2%

  • Sales CHF45.05 billion, -2.7% y/y, estimate CHF45.26 billion

Full-year forecast: 

  • Sees organic revenue at least +3%, saw about +4%, estimate +3.83% (Bloomberg Consensus)

Jefferies analysts told clients that the guidance reduction is a major concern about the company’s profits and the strength of its brands in this challenging consumer environment.

Bloomberg pointed out, “A cost-of-living crisis has taken its toll on consumers who’ve traded down to supermarket brands, and consumer giants.” 

Goldman analyst De La Grense told clients: 

“The main thing I’m hearing this morning is incremental concern on Nestle’s forecasting ability. There was a time when this was the most predictable EPS story in consumer. After the CEO recently reiterated 4% organic sales growth guidance (back in May), investors are surprised to see a cut to outlook. This follows multiple quarters in the last year or so where Nestle has disappointed on top line and overshadows the fact that RIG returned to growth in Q2. Pricing is weakening and drove another miss on Q2 organic sales growth, alongside the FY guidance cut.”

Here’s what other analysts are saying (courtesy of Bloomberg):

Bryan Garnier (neutral)

  • This was another set of disappointing results from Nestle, analyst Philippine Adam says
  • While there was “some undeniable margin improvement,” Adam says Nestle is “struggling to restore growth momentum in some key areas and has decreased its full-year guidance from 4% to at least 3% organic growth”

Jefferies (underperform)

  • Analyst David Hayes says the reduction to FY sales and EPS guidance and the 2Q organic growth miss will all weigh on stock Thursday
  • Sees consensus sales growth expectations cut by up to 0.5pp
  • Notes China’s soft demand and negative pricing in North America

Shares in Europe plunge to levels not seen since early 2019. 

It’s troubling when the world’s largest food company struggles, indicating that consumers across various income brackets are cutting back on spending. The big question is whether Goldman will soon tell clients to start shorting stocks exposed to higher-income consumers.

Tyler Durden
Thu, 07/25/2024 – 12:30

US Hits Record High Electricity Generation From Natural Gas

US Hits Record High Electricity Generation From Natural Gas

Authored by Julianne Geiger via OilPrice.com,

  • Natural gas power generation hit a record high in the US on July 9th due to extreme heat.

  • Despite record demand, natural gas prices remain relatively low due to high storage levels.

  • The surge in gas demand highlights the fuel’s critical role in meeting peak electricity needs.

On July 9, 2024, U.S. power plant operators in the Lower 48 states generated 6.9 million MWh of electricity from natural gas, marking a record high since the collection of hourly data began on January 1, 2019. This surge in natural gas-fired generation was driven by exceptionally high temperatures across the country and a significant decrease in wind generation.

The National Weather Service reported that temperatures on July 9 were well above average nationwide, with particularly high temperatures on the West Coast and East Coast. Concurrently, wind generation plummeted to 0.3 million MWh, substantially lower than the 1.3 million MWh daily average recorded in June 2024.

This data further affirms the essential nature of natural gas as it steps in to fill the electricity generation gap left by renewable energy during periods of high demand.

Wholesale natural gas spot prices fell to record lows in the first half of 2024, pricing data shows, with the monthly wholesale spot natural gas price at the U.S. benchmark Henry Hub falling by 20% to $2.56 per MMBtu between January and June.

So, while July demand hit record highs, dry natural gas production reached new highs in November and December, averaging 106 Bcf/d, leading to an inventory surplus that sent more natural gas into U.S. storage than usual. Production began coming back down (101.6 Bcf/d in April), with May and June injections into storage dipping to averages well below usual. July natural gas in storage, however, was still 17% more than the five-year average for that time of year, EIA data shows, weighing on pricing.

Henry Hub spot nat gas pricing in June averaged $2.53, a strong rebound from March’s $1.49. Prices slumped again in July despite the strong demand and are now sitting just above $2.10.

Tyler Durden
Thu, 07/25/2024 – 12:14

“All Men Are Created Equal”: University Of Oregon Loses Key Motion In Free-Speech Case

“All Men Are Created Equal”: University Of Oregon Loses Key Motion In Free-Speech Case

Authored by Jonathan Turley,

We previously discussed the free speech lawsuit of Portland State University Professor Bruce Gilley who was blocked from the Twitter account of the University of Oregon’s Division of Equity and Inclusion after tweeting “All men are created equal.”

The court just granted a preliminary injunction holding that there was a substantial likelihood that he would prevail on the merits against the University of Oregon.

Portland State University Professor Bruce Gilley was excluded from a Diversity Twitter page by the Communication Manager of the Division of Equity and Inclusion at the University of Oregon.

(The manager is identified as “tova stabin” who the court notes “spells her name with all lowercase letters.”).

Stabin has now left the school.

In Gilley v. Stabin, Judge Hernández previously offered this background:

On or about June 14, 2022, Defendant stabin, in her capacity as Communication Manager, posted a “racism interruptor” to the Division’s Twitter page, @UOEquity. The Tweet read “You can interrupt racism,” and the prompt read, “It sounded like you just said_________. Is that really what you meant?”

Plaintiff Bruce Gilley, a professor at Portland State University, responded to the Tweet the same day it was posted with the entry “all men are created equal.” Plaintiff is critical of diversity, equity, and inclusion (“DEI”) principles, and intended his tweet to promote a colorblindness viewpoint. Plaintiff tagged @uoregon and @UOEquity in his re-tweet. Also on June 14, 2022, Defendant stabin blocked Plaintiff from the @UOEquity account. Once he was blocked, Plaintiff could no longer view, reply to, or retweet any of @UOEquity’s posts….

Plaintiff later filed a public records request with the University of Oregon to inquire about the policy VPEI uses to block Twitter users. … The University initially responded that there was no written policy and that “the staff member that administers the VPEI Twitter account and social media has the autonomy to manage the accounts and uses professional judgment when deciding to block users.” …Plaintiff also asked whether other Twitter users had been blocked from @UOEquity, and the University responded that two other users were blocked. … Plaintiff asserts that “[b]oth of the other users have expressed politically conservative viewpoints, including criticizing posts of the @UOEquity account.” Am. Compl. ¶ 70.

On June 27, 2022, Defendant stabin responded to an email from University of Oregon employee Kelly Pembleton, who was helping respond to Plaintiff’s public records request. Defendant stabin sent the following in response to Pembleton’s request for a list of the users she had blocked on @UOEquity:

“Doesn’t take real long. I’ve only ever blocked three people. Here is the list. I’m assuming the issue is this guy Bruce Gilley. He was not just being obnoxious, but bringing obnoxious people to the site some. We don’t have much following and it’s the social I pay least attention to. Here’s a screenshot of everyone I’ve ever blocked. I hardly do it (and barely know how to).”

Minutes later, Defendant stabin sent another email to Pembleton about the records request. The email reads, in pertinent part:

“Oh, I see. It is Bruce who brought it. Not surprising. He was commenting on one of the “interrupt racism” posts, as I recall talking something about the oppression of white men, if I recall. Really, they are just there to trip you up and make trouble. Ugh. I’m around at home for a quick zoom about it.’

The court previously denied the university’s motion to dismiss. The University of Oregon then continued to spend public dollars to try to defend its right to censor academics and students in this arbitrary way. Now it has lost the key fight over the preliminary injunction.

In his decision, Judge Hernández zeroed in on the guidelines allowing for the censorship of offensive or hateful speech:

“Plaintiff has shown that the two provisions of the social media guidelines he challenges create a risk of censoring speech that is protected by the First Amendment. As Plaintiff points out, speech that is “hateful,” “racist,” or “otherwise offensive” is protected by the Constitution. Pl. Br. 3 (citing Snyder v. Phelps, 562 U.S. 443, 454 (2011); Cohen v. California, 403 U.S. 15, 25 (1971); Am. Freedom Def. Initiative v. King County, 904 F.3d 1126, 1131 (9th Cir. 2018)). The Court held that the @UOEquity account was a limited public forum, meaning that any restrictions on speech must be reasonable and viewpoint-neutral. Op. & Ord. 25.5 Plaintiff is correct that the provisions allowing the Communications Manager to block “hateful,” “racist,” and “otherwise offensive” speech create a risk of viewpoint discrimination because “[w]hat is offensive or hateful is often in the eye of the beholder.” Pl. Br. 4. If Plaintiff was blocked for posting “all men are created equal” because the post was viewed as hateful, racist, or otherwise offensive, such blocking would violate the Constitution. Deleting or hiding the post for that reason would also violate the Constitution.”

That is why this decision could have a lasting impact for higher education. The Oregon language is not dissimilar from many schools limiting campus speech under vague guidelines.

Notably, we have discussed how these schools have been losing in federal courts in their effort to maintain censorship systems. Yet, administrators continue undeterred in pursuing these policies with the support of their faculty.

Oregon has long been known for radical viewpoints in academia. I previously criticized the school policy to monitor student speech on social media and off campus as part of its speech regulations.

The school previously gave special recognition to University of California (Santa Barbara) Professor Mireille Miller-Young who criminally assaulted pro-life advocates on the campus of the University of California at Santa Barbara.  At Oregon, she was honored as a featured speaker at the University of Oregon’s  Department of Women’s, Gender and Sexuality Studies.  Part of its “black feminist speaker series,” Miller-Young’s work was highlighted by the College of Arts and Sciences and the Department of English to show “the radical potential of black feminism in the work that we do on campus and in our everyday lives.”

It is unlikely that the legislature will object to this expensive fight to preserve the right to censor speech. The state itself has moved aggressively against free speech rights of doctors and others in areas like abortion. However, the people of Oregon should consider the use of their tax dollars to seek to limit the “indispensable right” of free speech and to give figures like stabin such discretion over what speech to allow on campus.

Tyler Durden
Thu, 07/25/2024 – 11:44

Southwest Airlines Is Abandoning ‘Free-For-All’ Boarding Policy For Assigned Seats 

Southwest Airlines Is Abandoning ‘Free-For-All’ Boarding Policy For Assigned Seats 

Passengers familiar with Southwest Airlines know the sometimes chaotic free-for-all boarding policy has been around for decades. However, this policy is ending as the airline plans to introduce assigned seating. The change aims to boost revenue in response to worsening revenue challenges and mounting pressure from an activist investor demanding an overhaul of the airline’s leadership and operating strategy. 

The Wall Street Journal reports that Southwest’s business model will undergo “sweeping changes in a bid to broaden its appeal to passengers and boost revenue.” These changes include ditching the free-for-all boarding policy for assigned seating with premium options and extra legroom. 

“It isn’t clear when flying with assigned seats and premium rows will start, but Southwest said bookings for them are expected to begin next year,” WSJ wrote, adding, “The exact timing of the changes depend on the airline gaining regulatory approval and retrofitting its planes.” 

Additional details about the policy shift will be provided to investors in late September. There’s also a plan to operate red-eye flights, attracting overnight travelers starting next year. 

The revenue challenges were highlighted in the company’s second-quarter earnings report today, with a profit last quarter beating expectations. However, its forward guidance for revenue costs in the quarter was much worse than Wall Street’s estimates. 

“We are taking urgent and deliberate steps to mitigate near-term revenue challenges and implement longer-term transformational initiatives,” CEO Bob Jordan said in a statement, quoted by Bloomberg, adding seat changes are a critical move to “an ongoing and comprehensive upgrade” to passenger accommodations.

The airline has faced several challenges, including fewer-than-expected aircraft deliveries from Boeing, a series of safety incidents that prompted a Federal Aviation Administration review this week, and slowing growth. As a result, its shares have fallen nearly 8% this year.

Last month, Elliott Investment Management revealed a $1.9 billion stake in the carrier, calling for leadership to reverse years of underperformance and calling management “stubborn unwillingness to evolve the company’s strategy.” 

“Southwest’s executive chairman and its CEO, who have spent a combined 74 years at the company, have presided over a period of severe underperformance, and they have demonstrated that they are not up to the task of modernizing Southwest,” the activist said.

Southwest has said it will examine Elliott’s proposed changes: “The Southwest board of directors is confident in our CEO and management’s ability to execute against the company’s strategic plan.”

While Southwest was quick to act on reformatting its boarding policy, which could very well attract new customers, we doubt the airline will change the “bags fly free” policy – or face a boycott with customers. 

Tyler Durden
Thu, 07/25/2024 – 11:40

Israel Warns That ‘Iranian Terrorist Proxies’ Plotting Attack On Israelis At Olympics

Israel Warns That ‘Iranian Terrorist Proxies’ Plotting Attack On Israelis At Olympics

The 2024 Paris Olympics will officially open on the night of Friday, July 26 – but already there are warnings that terrorists are looking to disrupt the games. Israel is now loudly warning that its athletes are prime targets.

Israeli Foreign Minister Israel Katz on Friday has sent an alarming letter to his French counterpart, Stéphane Séjourné, informing the French side of an alleged Iranian-backed plot to attack the Israeli delegation of athletes.

Image source: Olympic Committee of Israel

“There are those who seek to undermine the celebratory nature of this joyous event,” wrote Katz in the message. “We currently have assessments regarding the potential threat posed by Iranian terrorist proxies and other terrorist organizations who aim to carry out attacks against members of the Israeli delegation and Israeli tourists during the Olympics.”

Katz did acknowledge the “unprecedented security measures” put in place by French security forces to protect Israelis attending the games. He also noted that French authorities rejected some calls among the Left to ban all Israeli participants from the Olympics.

In total 88 Israeli athletes are at the games, and they have reportedly been given unprecedented, around-the-clock protection from both French and Israeli security services. At this point Israeli has not presented any evidence publicly to back its assertion that Iranian proxies are plotting an attack.

Just the night prior to this new warning, Prime Minister Benjamin Netanyahu addressed Congress in a nearly hour-long speech which had a heavy focus on the ‘Iran threat’. He claimed that Tehran is behind “all the terrorism” and “all the killing” in the Middle East while making a case that it is the biggest backer of Hamas and Hezbollah.

Worrisomely, police in Belgium have just announced the arrest of seven people on Thursday on suspicion they were preparing a “terrorist attack.” Federal prosecutors indicated it was the result of 14 raids and counter-terror monitoring nationwide.

However, a government spokesman said there is yet no evidence of any link to the 2024 Paris Olympics. There are “no details at this time as to the locations or targets but what was found leads us to believe an attack was being prepared,” a statement issued to AFP said.

It said all of them “are suspected of participation in a terrorist group’s activities, financing of terrorism and preparation of a terrorist attack.”

Already there have been reports of groups of protesters threatening the Israeli delegation in Paris…

At this moment while the Gaza war is raging and Palestinian death toll in soaring, Israel is wary of the potential for a repeat of the 1972 Munich Olympic games massacre.

It involved affiliates of the Palestinian militant group Black September kidnapping and killing a group of Israeli athletes. Twelve victims died – almost all of them members of the Israeli Olympic team – in an attack which shocked the world.

Tyler Durden
Thu, 07/25/2024 – 10:00

Judge Refuses To Dismiss Trump Defamation Lawsuit Against ABC, Stephanopoulos

Judge Refuses To Dismiss Trump Defamation Lawsuit Against ABC, Stephanopoulos

Authored by Eric Lendrum via American Greatness,

On Wednesday, a federal judge rejected a motion by ABC News and George Stephanopoulos to dismiss the defamation lawsuit filed against them by former President Donald Trump.

As reported by The Hill, the lawsuit stems from an interview in March where Stephanopoulos, while talking to Congresswoman Nancy Mace (R-S.C.), repeatedly described President Trump as being “liable for rape” following the judgement in a civil lawsuit filed by disgraced former author E. Jean Carroll. The jury in that case technically found Trump liable for sexual assault, but not for rape.

In her 21-page ruling, U.S. District Judge Cecilia Altonaga rejected ABC’s multiple claims to protection, including their assertion that they were not liable for defamation under the “fair reporting privilege.” The network pointed to a prior ruling by U.S. District Judge Lewis Kaplan, a Clinton appointee, who previously ruled that it did not constitute defamation when Carroll herself described Trump as guilty of rape, claiming that the legal distinction “is minimal.”

“Here, of course, New York has opted to separate out a crime of rape; and Stephanopoulos’s statements dealt not with the public’s usage of that term, but the jury’s consideration of it during a formal legal proceeding,” Judge Altonaga, an appointee of George W. Bush, said in her ruling, determining that the issue at hand was whether or not Stephanopoulos’ statements were substantially true.

“Once again, the Court does not find that a reasonable jury must — or even is likely to — conclude Stephanopoulos’s statements were defamatory,” Altonaga continued. “A jury may, upon viewing the segment, find there was sufficient context. A jury may also conclude Plaintiff fails to establish other elements of his claim … But a reasonable jury could conclude Plaintiff was defamed and, as a result, dismissal is inappropriate.”

Stephanopoulos referred to Trump as “liable for rape” 10 different times in the interview with Mace, even as the congresswoman pushed back on his assertions. The lawsuit against ABC and Stephanopoulos, which was filed in Miami, is seeking an unspecified amount of money in compensation for damages.

President Trump declared the ruling to be a “big win” for his case. In a post on his Truth Social website, Trump said that “before you know it, the fake news media will be forced by the courts to start telling the truth.”

Tyler Durden
Thu, 07/25/2024 – 09:40