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RV Bust Kicks Into High Gear As Winnebago Records Big Revenue Miss

RV Bust Kicks Into High Gear As Winnebago Records Big Revenue Miss

Let’s look back at our coverage of the boom and bust in the RV industry over the previous two years: 

We previewed last month that RV dealerships nationwide were heavily discounting motorhomes and towable trailers. The RV bust has now clobbered motorhome maker Winnebago Industries, who reported the third quarter (ended May 27) revenues that missed amid higher discounts and waning sales volumes.

Winnebago reported a 38.2% year-over-year plunge in the quarter due to sliding unit sales related to souring RV retail market conditions. Discounts were much higher than in the same quarter last year, an attempt by management to spark demand. However, high interest rates are curbing demand. 

Revenue fell the most in the Towable RV segment, down 52% to $384.1 million. The decline is primarily due to lower unit volume associated with ‘challenging’ retail market conditions and discounts and allowances versus a year ago. Revenues declined 27.5% in the Motorhome RV segment. 

Winnebago shares were flat in Wednesday morning trading in New York while investors digested the news. Shares remain 26% below the peak established in early 2021 during the boom. 

Taking a look at the results from the RV Industry Association’s April 2023 survey of all manufacturers showed that total RV shipments ended the month with 31,216 units, a decrease of (-45.4%) compared to the 57,192 units shipped in April 2022. RV shipments are down (-52.1%) through April, with 109,816 units.

A record monthly drop in data going back three decades is an ominous sign of an impending recession. 

Gues who killed the RV bubble? Well it’s the very same ones who allowed for record low interest rates… 

Towable RVs, led by travel trailers, ended the month down (-48.6%) compared with last April with 26,860 shipments. Motorhomes finished the month down (-12.4%) compared to last year’s with 4,356 units.

One surprising data point from the report is that parked mobile home shipments continue to surge because of the worst housing affordability in a generation. For some, the ‘American Dream’ consists of a trailer home, or as millennials call it, a ‘tiny home,’ as inflation eats away wages for two years. 

The boom is over. The bust is underway. Those who didn’t panic during the Covid era can find great deals this summer. 

Tyler Durden
Thu, 06/22/2023 – 20:00

It’s Not Just People – Illinois Suffered The Nation’s 3rd-Worst Loss Of Businesses

It’s Not Just People – Illinois Suffered The Nation’s 3rd-Worst Loss Of Businesses

Authored by Ted Dabrowski and John Klingner via Wirepoints.org,

Illinois’ constant bleed of residents to other states has been well documented by the Census Bureauthe IRSU-HaulUnited Van Lines and others.

Now the U.S. Bureau of Labor Statistics has released data that shows businesses are leaving Illinois, too.

Illinois lost a net 208 single-establishment firms to out-migration in 2021, the 3rd-worst loss behind only New York (-487) and California (-456).

The biggest winner was Florida, which gained, on net, nearly 400 businesses that year. North Carolina (149) was 2nd and Nevada and Texas tied for 3rd (103).

Wirepoints also calculated the business gains/losses per 1 million residents to take into account state size. Illinois ranked 2nd-worst nationally, with only New York experiencing a bigger loss. The full data table of all states is included in the appendix below. 

The BLS report only tracked single-establishment firms, which likely underestimates the gains and losses from the movement of headquarters and other large firm workforces. 

That means big HQ losses including those of Citadel, Boeing and Caterpillar are not captured in the data, nor are the losses from closures like those of Walmart, which shut stores in Illinois earlier this year.

Florida’s gains and Illinois’ losses were part of a larger trend where the South is winning the competition for businesses at the expense of the Northeast, the Midwest and the West. The West experienced overall losses due to California’s surge in business losses. 

Cross-state migration across the country was led by small services companies including law, accounting and consulting firms, as well professional and technical companies. The Chicago metropolitan area’s diverse economy has lots such firms and they are extremely mobile, likely impacting Illinois overall numbers. From the BLS study:

“Firm migration has been higher in the professional, scientific, and technical services industry sector than it has been in other industries. Businesses in professional, scientific, and technical services conduct activities that require a high degree of training and expertise, such as legal advice and representation; accounting, bookkeeping, and payroll services; computer services; consulting services; and research services to clients in a variety of industries.”

In 1994, 16 percent of all migration was in this sector. In 2010, this share rose to 28 percent. In 2021, it reached an all-time high of 30 percent…most of the growth in firm migration occurred in this sector, causing the industry’s share of overall migration to rise. In 2021, firm migration in the professional, scientific, and technical services was 390 percent of its 1994 levels, compared with 145 percent for all other industries.”

Expect more information from the BLS in the future, but this preliminary data does prove one thing, that “as people migrate, so too does economic activity.”

So as Illinois continues to bleed people, it will also bleed jobs and opportunity.

Appendix

Tyler Durden
Thu, 06/22/2023 – 19:40

Missing Titanic Sub Crew Presumed Dead: OceanGate

Missing Titanic Sub Crew Presumed Dead: OceanGate

Update (1453ET): In a somber statement Thursday afternoon, submersible company OceanGate  announced that it believes all passengers on the Titanic-bound submersible have “sadly been lost.”

From left, Hamish Harding, Shahzada Dawood, Suleman Dawood, Paul-Henri Nargeolet and Stockton Rush Obtained by CNN

We now believe that our CEO Stockton Rush, Shahzada Dawood and his son Suleman Dawood, Hamish Harding, and Paul-Henri Nargeolet, have sadly been lost,” the company said in a statement relayed by CNN.

“These men were true explorers who shared a distinct spirit of adventure, and a deep passion for exploring and protecting the world’s oceans,” the statement continues. “Our hearts are with these five souls and every member of their families during this tragic time. We grieve the loss of life and joy they brought to everyone they knew.”

*  *  *

Update (1335ET):

A rescue expert told Sky News the “debris field” near the wreckage site of the Titanic includes “a landing frame and a rear cover from the submersible.”

Piers Morgan says the report is “unconfirmed.” 

The US Coast Guard will share more details about the findings at 3 pm est. 

*   *   *

US Coast Guard officials announced a “debris field was discovered” by a remotely operated vehicle (ROV) near the Titanic wreckage site. Search and rescue teams have been scouring the ocean 900 nautical miles east of Cape Cod, Massachusetts, for the missing tourist submersible craft with five people for several days. Time is running out as the oxygen supply on the vessel may be depleted. 

“It is estimated to have a 96-hour supply of oxygen, meaning the vessel could run out of air this morning,” NBC News said. 

“Experts within the unified command are evaluating the information,” the Coast Guard said.

The Coast Guard will hold a press briefing to discuss findings at 3 pm est. 

Tyler Durden
Thu, 06/22/2023 – 19:20

“We Need Rain”: Corn, Soy, Wheat Prices Soar As Drought Conditions Worsen In Midwest

“We Need Rain”: Corn, Soy, Wheat Prices Soar As Drought Conditions Worsen In Midwest

Corn, soy, and wheat prices have been soaring this month as growing conditions across the Midwest, a top-producing crop region, have rapidly deteriorated due to the lack of rainfall.

US corn crop rated good to excellent slid to 55% in June, the lowest for this time of the growing season since 1992, reported Bloomberg. 

“I’m very concerned about the weather,” said Sherman Newlin, who grows corn and soybean in Illinois. He said persistent “low humidity, 90-degree temperatures and now the wind is sucking the moisture out of crops really fast.” 

Corn growing conditions have been terrible in Illinois, the second largest US producer. About 36% of the state’s crop was rated good to excellent for the week ending June 18, down 12 percentage points versus the prior week. 

“I was shocked at the big drop in Illinois ratings,” Newlin said. “I knew we were bad, but: Wow.”

The latest U.S. Drought Monitor Map reveals Illinois, Indiana, Iowa, Michigan, Minnesota, Missouri, Ohio, and Wisconsin, often called the “Corn Belt” states, are experiencing “moderate drought” to “exceptional drought.” The timing of the worsening drought could stress young plants. 

We’ve outlined for readers the worsening drought situation and its subsequent effect on crop price volatility:

“There’s little sign of relief for crops in the forecast,” Bloomberg wrote in a note. 

Prices of wheat futures are up 20% on the month. Soy futures are up 14%. Corn futures are up 13%. 

The official summer start was Wednesday, which will coincide with hotter and drier days. 

Bloomberg warned: “Without substantial rain in the next month or so, the consequences could be dire, with farmers abandoning their fields and the harvest plunging.” 

Tyler Durden
Thu, 06/22/2023 – 19:20

Watch: Tucker Calls Out ‘Media Hysteria Typhoon’ Over RFK Jr.

Watch: Tucker Calls Out ‘Media Hysteria Typhoon’ Over RFK Jr.

In his latest episode, Tucker Carlson discussed the media’s absolute hatred for Robert F. Kennedy Jr., who was immediately attacked by the press upon his announcement that he would run against President Joe Biden in 2024.

“CBS News viewers likely were appalled in its coverage of Kennedy’s announcement. CBS denounced the candidate’s views as ‘misleading’ and ‘dangerous,'” noted Carlson, adding “The LA Times called him a threat to democracy.”

“At the offices of National Public Radio in Washington, a full-blown category-5 hysteria typhoon broke out. NPR devoted an entire segment to savaging Kennedy – not just as a candidate, but as a human being,” Carlson continued. “NPR described him as someone who, for his own perverse reasons, has made “debunked and false and misleading claims that undermine trust in vaccines. And who, in his spare time, provides moral support to crazed extremists who “rally under the banner of what they call liberty, or freedom.””

“People Magazine didn’t even bother to report a single word of anything Kennedy said!” Carlson exclaimed, “and instead wrote an entire story about his relatives hate him.” 

Carlson then goes into a defense of Kennedy’s right to raise questions over vaccines, and the response one gets for doing so.

“Bobby Kennedy won’t stop asking, and that’s why they hate him,” Carlson said.

Watch:

 

Tyler Durden
Thu, 06/22/2023 – 19:11

Chris Hedges: The Imminent Extradition Of Julian Assange & The Death Of Journalism

Chris Hedges: The Imminent Extradition Of Julian Assange & The Death Of Journalism

Authored by Chris Hedges via Scheerpost.com,

Julian Assange’s legal options have nearly run out. He could be extradited to the U.S. this week. Should he be convicted, reporting on the inner workings of power will become a crime…

High Court Judge Jonathan Swift — who previously worked for a variety of British government agencies as a barrister and said his favorite clients are “security and intelligence agencies” — rejected two applications by Julian Assange’s lawyers to appeal his extradition last week. The extradition order was signed last June by Home Secretary Priti Patel. Julian’s legal team have filed a final application for appeal, the last option available in the British courts. If accepted, the case could proceed to a public hearing in front of two new High Court judges. If rejected, Julian could be immediately extradited to the United States where he will stand trial for 18 counts of violating the Espionage Act, charges that could see him receive a 175-year sentence, as early as this week. 

The only chance to block an extradition, if the final appeal is rejected, as I expect it will be, would come from the European Court of Human Rights (ECtHR). The parliamentary arm of the Council of Europe, which created the ECtHR, along with their Commissioner for Human Rights, oppose Julian’s “detention, extradition and prosecution” because it represents “a dangerous precedent for journalists.” It is unclear if the British government would abide by the court’s decision — even though it is obligated to do so — if it ruled against extradition, or if the U.K. would extradite Julian before an appeal to the European court can be heard. Julian, once shipped to the U.S., would be put on trial in the U.S. District Court for the Eastern District of Virginia where most espionage cases have been won by the U.S. government. 

Judge Vanessa Baraitser at Westminster Magistrates’ Court refused to authorize the U.S. government’s extradition request in Jan. 2021 because of the severity of the conditions Julian would endure in the U.S. prison system. 

“Faced with the conditions of near total isolation without the protective factors which limited his risk at [Her Majesty’s Prison] Belmarsh, I am satisfied the procedures described by the U.S. will not prevent Mr. Assange from finding a way to commit suicide,” said Baraitser when handing down her 132-page ruling, “and for this reason I have decided extradition would be oppressive by reason of mental harm and I order his discharge.”

Baraitser’s decision was overturned after an appeal by U.S. authorities. The High Court accepted the conclusions of the lower court about increased risk of suicide and inhumane prison conditions. But it also accepted four assurances in U.S. Diplomatic Note no. 74, given to the court in Feb. 2021, which promised Julian would be well treated. The U.S. government claimed that its assurances “entirely answer the concerns which caused the judge [in the lower court] to discharge Mr. Assange.” The “assurances” state that Julian will not be subject to Special Administrative Measures (SAMs). They promise that Julian, an Australian citizen, can serve his sentence in Australia if the Australian government requests his extradition. They promise he will receive adequate clinical and psychological care. They promise that, pre-trial and post-trial, Julian will not be held in the Administrative Maximum Facility (ADX) in Florence, Colorado. No one is held pre-trial in ADX Florence. But it sounds reassuring. ADX Florence is not the only supermax prison in the U.S. Julian can be placed in one of our other Guantanamo-like facilities in a Communications Management Unit (CMU). CMUs are highly restrictive units that replicate the near total isolation imposed by SAMs.

None of these “assurances” are worth the paper they are written on. All come with escape clauses. None are legally binding. Should Julian do “something subsequent to the offering of these assurances that meets the tests for the imposition of SAMs or designation to ADX” he will, the court conceded, be subject to these harsher forms of control. 

If Australia does not request a transfer it “cannot be a cause for criticism of the USA, or a reason for regarding the assurances as inadequate to meet the judge’s concerns,” the ruling read. And even if that were not the case, it would take Julian 10 to 15 years to appeal his sentence up to the U.S. Supreme Court, which would be more than enough time to destroy him psychologically and physically. 

No doubt the plane waiting to take Julian to the U.S. will be well stocked with blindfolds, sedatives, shackles, enemas, diapers and jumpsuits used to facilitate “extraordinary renditions” conducted by the CIA.  

The extradition of Julian will be the next step in the slow-motion execution of the publisher and founder of WikiLeaks and one of the most important journalists of our generation. It will ensure that Julian spends the rest of his life in a U.S. prison. It will create legal precedents that will criminalize any investigation into the inner workings of power, even by citizens from another country. It will be a body blow to our anemic democracy, which is rapidly metamorphosing into corporate totalitarianism

I am as stunned by this full frontal assault on journalism as I am by the lack of public outrage, especially by the media. The very belated call from The New York Times, The Guardian, Le Monde, Der Spiegel and El País — all of whom published material provided by WikiLeaks — to drop the extradition charges is too little too late. All of the public protests I have attended in defense of Julian in the U.S. are sparsely attended. Our passivity makes us complicit in our own enslavement.

Julian’s case, from the start, has been a judicial farce.

Former Ecuadorian President Lenin Moreno terminated Julian’s rights of asylum as a political refugee, in violation of international law. He then authorized London Metropolitan Police to enter the Ecuadorian Embassy — diplomatically sanctioned sovereign territory — to arrest a naturalized citizen of Ecuador. Moreno’s government, which revoked Julian’s citizenship, was granted a large loan by the International Monetary Fund for its assistance. Donald Trump, by demanding Julian’s extradition under the Espionage Act, criminalized journalism, in much the same way Woodrow Wilson did when he shut down socialist publications such as The Masses.

The hearings, some of which I attended in London and others of which I sat through online, mocked basic legal protocols. They included the decision to ignore the CIA’s surveillance and recording of meetings between Julian and his attorneys during his time as a political refugee in the embassy, eviscerating attorney-client-privilege. This alone should have seen the case thrown out of court. They included validating the decision to charge Julian, although he is not a U.S. citizen, under the Espionage Act. They included Kafkaesque contortions to convince the courts that Julian is not a journalist. They ignored Article 4 of the U.K.-U.S. extradition treaty that prohibits extradition for political offenses. I watched as the prosecutor James Lewis, representing the U.S., gave legal directives to Judge Baraitser, who promptly adopted them as her legal decision. 

The judicial lynching of Julian has far more in common with the dark days of Lubyanka than the ideals of British jurisprudence.

The debate over arcane legal nuances distracts us from the fact that Julian has not committed a crime in Britain, other than an old charge of breaching bail conditions when he sought asylum in the Ecuadorian Embassy. Normally this would entail a fine. He was instead sentenced to a year in Belmarsh prison and has been held there since April 2019. 

The decision to seek Julian’s extradition, contemplated by Barack Obama’s administration, was pursued by the Trump administration following WikiLeaks’ publication of the documents known as Vault 7, which exposed the CIA’s cyberwarfare programs designed to monitor and take control of cars, smart TVs, web browsers and the operating systems of most smart phones, as well as Microsoft Windows, MacOS and Linux. 

Julian, as I noted in a column filed from London last year, is targeted because of the Iraq War Logs, released in Oct. 2010, which document numerous U.S. war crimes, including images seen in the Collateral Murder video, of the gunning down of two Reuters journalists and 10 other civilians and severely injuring two children.

He is targeted because he made public the killing of nearly 700 civilians who had approached too closely to U.S. convoys and checkpoints, including pregnant women, the blind and deaf, and at least 30 children

He is targeted because he exposed more than 15,000 unreported deaths of Iraqi civilians and the torture and abuse of some 800 men and boys, aged between 14 to 89, at Guantánamo Bay detention camp. 

He is targeted because he showed us that Hillary Clinton in 2009 ordered U.S. diplomats to spy on U.N. Secretary General Ban Ki-moon and other U.N. representatives from China, France, Russia, and the U.K., spying that included obtaining DNA, iris scans, fingerprints, and personal passwords, all part of the long pattern of illegal surveillance that included eavesdropping on U.N. Secretary General Kofi Annan in the weeks before the U.S.-led invasion of Iraq in 2003. 

He is targeted because he exposed that Obama, Hillary Clinton and the CIA backed the June 2009 military coup in Honduras that overthrew the democratically-elected president Manuel Zelaya, replacing him with a murderous and corrupt military regime. 

He is targeted because he released documents that revealed the United States secretly launched missile, bomb and drone attacks on Yemen, killing scores of civilians. 

He is targeted because he made public the off-the-record talks Hillary Clinton gave to Goldman Sachs, talks for which she was paid $657,000, a sum so large it can only be considered a bribe, as well as her private assurances to Wall Street that she would do their bidding while promising the public financial regulation and reform. 

For revealing these truths alone he is guilty.

The U.S. court system is even more draconian than the British court system. It can use SAMs, anti-terrorism laws and the Espionage Act to block Julian from speaking to the public, being released on bail, or seeing the “secret” evidence used to convict him. 

The CIA was created to carry out assassinations, coups, torture, kidnapping, blackmail, character assassination and illegal spying. It has targeted U.S. citizens, in violation of its charter. These activities were exposed in 1975 by the Church Committee hearings in the Senate and the Pike Committee hearings in the House. 

Working with UC Global, the Spanish security firm in the embassy, the CIA put Julian under 24-hour video and digital surveillance. It discussed kidnapping and assassinating him while he was in the embassy, which included plans of a shoot-out on the streets with involvement by London Metropolitan Police. The U.S. allocates a secret black budget of $52 billion a year to hide multiple types of clandestine projects carried out by the National Security Agency, the CIA, and other intelligence agencies, usually beyond the scrutiny of Congress. All these clandestine activities, especially after the attacks of 9/11, have massively expanded.

Senator Frank Church, after examining the heavily redacted CIA documents released to his committee, defined the CIA’s covert activity as “a semantic disguise for murder, coercion, blackmail, bribery, the spreading of lies.” 

The CIA and intelligence agencies, along with the military, all of which operate without effective Congressional oversight, are the engines behind Julian’s extradition. Julian inflicted, by exposing their crimes and lies, a grievous wound. They demand vengeance. The control these forces seek abroad is the control they seek at home. 

Julian may soon be imprisoned for life in the U.S. for journalism, but he won’t be the only one.

Tyler Durden
Thu, 06/22/2023 – 19:00

VIX Crushed As Curve & Commodities Scream Recession; Banks Skid, Big-Tech Bid

VIX Crushed As Curve & Commodities Scream Recession; Banks Skid, Big-Tech Bid

Solid US housing data was offset by weak Chicago Fed National Activity Index data, poor labor market signals (claims), dismal LEIs, and ugly Kansas City Fed Manufacturing data as a wave for hawkish central bank action prompted an odd assortment of actions across asset classes – dollar strength, yield curve compression, VIX hammered lower, long-duration stocks bid, commodities and bonds dumped, banks sold, bitcoin flat.

Nasdaq strongly outperformed with Small Caps lagging (huge 2% divergence) as The Dow ended flat with the S&P green…

As that pairs trade surged back up to recent highs…

Another day, another dump and pump for ‘most shorted’ stocks – though we note the strength of the bounce is getting weaker…

Source: Bloomberg

0-DTE traders fought the uptrend in Nasdaq all day… and failed…

Source: SpotGamma

But, VIX was clubbed like a baby seal, hitting a 12 handle intraday….

Banks extended their losses on the week (after the surge in deposit outflows reported last Friday)…

Treasuries were dumped across the curve – up around 7-8bps – leaving all yields higher on the week with the short-end underperforming on the week…

Source: Bloomberg

The yield curve compression continues to signal recession (along with all the macro data above)…

Source: Bloomberg

The dollar surged back today, erasing yesterday’s weakness…

Source: Bloomberg

The dollar gains weighed on gold which tumbled to fresh 3 month lows…

Finally, we note that NVDA was red on the day, having gone nowhere for a week…

Makes you wonder eh?

Or is that just too easy?

Tyler Durden
Thu, 06/22/2023 – 16:00

Biden Plays Down Dictator Remark As China Fumes, Summons US Ambassador

Biden Plays Down Dictator Remark As China Fumes, Summons US Ambassador

Update(1559ET): Following Yellen’s comments from Paris earlier in the day, President Biden himself tried to explain away his Tuesday night remarks describing Xi Jinping as a “dictator”. He addressed the issue which has infuriated Beijing during his joint press conference with Indian Prime Minister Narendra Modi:

President Biden said Thursday he didn’t believe his description this week of Chinese leader Xi Jinping as a dictator had set back U.S. relations with China, after Beijing summoned the U.S. ambassador for an official reprimand following the president’s comments.

“I expect to be meeting with President Xi sometime in the future, the near term, and I don’t think it’s had any consequence,” Biden said…

Biden also had this to say when pressed by reporters

“The idea of my choosing and avoiding saying what I think is the facts, with regard to the relationship… with China, is just not something I’m going to change very much,” he said in response to a reporters question..

The president said he expects to meet with Xi “sometime in the future, in the near term,” and that the diplomatic fallout has not “had any real consequence,” referring to it as “hysteria.” 

But China disagrees, given that around the same time Biden was making the comments downplaying the dictator word choice, the Chinese government summoned the US ambassador in Beijing to issue a formal rebuke

The Hill underscores that “The move by the Chinese government signals another low point for relations between the U.S. and China and that comes following a visit by Secretary of State Antony Blinken to Beijing earlier this week.”

* * *

Top US administration officials continue to have to work overtime in cleaning up President Biden’s messes.

This time it’s Treasury Secretary Janet Yellen who is trying to soften or walk back Biden’s earlier description of Chinese President Xi Jinping as a “dictator”. As we detailed Wednesday, Beijing let its fury be known over what it denounced as a “blatant political provocation”. In her Thursday remarks from Paris, Yellen stressed the importance of maintaining a positive relationship with China

“With respect to the comments, I think President Biden and I both believe it’s critical to maintain communication …to clear up misperceptions, miscalculations. We need to work together where possible,” Yellen told a press conference.

Via Reuters

“But we have disagreements, and we are also forthright in recognizing we do have disagreements,” Yellen added.

Again, she’s clearly trying to clean up Biden’s mess, given also the timing of the president’s Tuesday night remarks, issued at a fundraiser, was especially awkward given he had just dispatched Secretary of State Blinken for a two day visit to China where he met with Xi.

The irony, obvious and yet perhaps lost on Biden, is that Blinken’s trip was a desperate attempt by the administration to rescue spiraling US-China relations, and with Biden’s one single “dictator” comment these efforts have likely come to nothing. 

Biden’s remarks on Xi being caught ‘unaware’ by the spy balloon incident were as follows

“The reason why Xi Jinping got very upset in terms of when I shot that balloon down with two box cars full of spy equipment is he didn’t know it was there. No, I’m serious. That was the great embarrassment for dictators, when they didn’t know what happened,” Biden had said.

Immediately after the words hit international headlines, China’s Foreign Ministry denounced them as “a blatant political provocation,” saying that “China expresses strong dissatisfaction and opposition. … The U.S. remarks are extremely absurd and irresponsible.”

Yellen’s transparent efforts to essentially take back the ‘dictator’ word-choice is unlikely to satisfy Beijing to any degree. In this particular case it will be hard to merely chalk it up to Biden mere being “old” and “tired” and thus more prone to gaffes and rambling.

Tyler Durden
Thu, 06/22/2023 – 15:59

US Coast Guard Cutter Makes Rare, Provocative Taiwan Strait Transit

US Coast Guard Cutter Makes Rare, Provocative Taiwan Strait Transit

Authored by Dave DeCamp via AntiWar.com,

A US Coast Guard cutter made a rare solo transit through the Taiwan Strait on June 20, which came a day after Secretary of State Antony Blinken concluded his two-day visit to Beijing.

The US frequently sends ships through the Taiwan Strait, but US Navy warships typically make the transits. US Coast Guard cutters have sailed through the sensitive waterway in recent years but are usually accompanied by a Navy ship.

Image: US Coast Guard

The US Navy’s Seventh Fleet announced the transit on Thursday, describing it as “routine,” but the maneuver comes amid heightened tensions between the US and China, and Beijing has become increasingly fed up with US military activity in the region.

Chinese officials have condemned US transits of the Taiwan Strait as provocations. The Chinese Coast Guard described the US transit as “public hype” and said its vessels tailed the cutter “all the way” through the Strait.

According to Japan Times, the incident was the first known time that the Chinese Coast Guard responded to a foreign vessel sailing through the waterway as opposed to the Chinese military.

The Chinese Coast Guard vowed to “resolutely safeguard national sovereignty, security, and maritime rights and interests.”

The US Coast Guard has vowed to increase its presence near China’s coast and is expected to soon start joint patrols with the Philippines in the South China Sea, which would potentially put the US vessels in confrontations with the Chinese Coast Guard.

Tyler Durden
Thu, 06/22/2023 – 15:45

IRS Whistleblowers Release New Bombshell Evidence Against Bidens, DOJ And AG Garland

IRS Whistleblowers Release New Bombshell Evidence Against Bidens, DOJ And AG Garland

Several bombshells dropped by two IRS whistleblowers on Thursday reveal, among other things, that Joe Biden’s DOJ buried evidence of Hunter Biden’s tax crimes – and stopped US Attorney David Weiss from bringing charges against Hunter in two different jurisdictions last year.

According to Rep. Jason Smith (R-MO), Weiss sought to be appointed as a special counsel in the case last year but was denied as well.

According to the whistleblowers, one of whom is Gary Shipley – who came forward weeks ago to reveal his identity, the IRS was notified of potential evidence “in the guest house of former Vice President Biden,” but were rebuffed by US Attorney Lesley Wolf, who said there was “no way,” as search warrant “would ever get approved.”

Whistleblowers describe how the Biden Justice Department intervened and overstepped in a campaign to protect the son of Joe Biden by delaying, divulging, and denying an ongoing investigation into Hunter Biden’s alleged tax crimes,” said Smith in a statement. “The testimony shows tactics used by the Justice Department to delay the investigation long enough to reach the statute of limitations, evidence they divulged sensitive actions by the investigative team to Biden’s attorneys, and denied requests by the U.S. Attorney to bring charges against Biden.”

During seven hours of testimony before the Ways and Means Committee, Shipley and the other whistleblower’s testimony implicates both AG Merrick Garland and IRS Commissioner Daniel Werfel for lying to Congress about political interference in the Biden probe.

“Whistleblower One’s story was corroborated by Whistleblower Two,” said Rep. Kevin Hern (R-OK).

“One individual came forward and laid out the full case of what’s going on. The second individual, through his attorney, asked Ways and Means to contact him and ask for testimony. So we didn’t seek these, they sought us,” added Rep. Greg Murphy (R-NC).

As Techno Fog notes via The Reactionary;

With the rejection from the DC US Attorney, the team sought the approval to bring tax charges for years 2016-2019 in the Central District of California. Shapley concluded that “the Central District of California declined to allow charges to be brought there.

The rejection to bring charges in DC and California stands in stark contrast to the testimony of Attorney General Garland, who in March of 2023 stated that US Attorney Weiss had the full authority to “bring cases in other jurisdictions.” Garland also said that he personally would ensure that Weiss could “carry out his investigation and that he [would] be able to run it.” Both those statements now appear to be false. (Your humble author thinks the Republicans knew Garland was making misrepresentations at the time.)

Preferential treatment of Hunter Biden might be an understatement. In reality, it was sabotage, the affirmative effort to decline investigative steps and deny prosecutors the ability to bring charges. The DOJ’s conduct included:

 “included slow-walking investigative steps, not allowing enforcement actions to be executed, limiting investigators’ line of questioning for witnesses, misleading investigators on charging authority, delaying any and all actions months before elections.”

Prosecutors even wanted to remove Hunter Biden’s name from electronic search warrants and document requests, even though this could cause investigators to not get certain evidence.

Joe Biden was in the room

In another piece of evidence presented on Thursday, Hunter Biden can be seen in a message to Chinese business associate, Henry Zhao, demanding that they send money as promised.

“I am sitting here with my father and we would like to understand why the commitment made has not been fulfilled,” wrote Hunter via WhatsApp on July 30, 2017. “Tell the director that I would like to resolve this now before it gets out of hand, and now means tonight.

Hunter then warned that “if I get a call or text from anyone involved in this other than you, Zhang or the chairman, I will make certain that between the man sitting next to me and every person he knows and my ability to forever hold a grudge that you will regret not following my direction. I am sitting here waiting for the call with my father.

And back to the embargo on the Hunter Biden laptop story…

Stay tuned, folks…

Tyler Durden
Thu, 06/22/2023 – 15:25