Did David Rosenberg Just Stumble On The Genius Behind Trump’s Madness?

For months, President Trump has been pushing The Fed to cut interest rates, lambasting them for raising rates last year “slowing us down.”

Then, at the end of April (in the middle of the latest FOMC meeting), Trump took it one step further, demanding The Fed  cut interest rates by 1 percentage point and to implement more money-printing quantitative easing. In a two-part tweet, the president unfavorably compared the Fed to its China counterpart and said if monetary policy in the U.S. was looser, the economy would “go up like a rocket.”

Democrats denounced Mr. Trump’s comments, saying they showed his disregard for the traditional independence of the Fed and his desire to use its powers to help him win re-election.

“There’s no question that President Trump is seeking to undermine the long-term stability of the economy and independence of the Federal Reserve to boost his own re-election prospects,” said Senator Ron Wyden of Oregon, the top Democrat on the Finance Committee.

And many elites piled on, slamming the President’s ‘shocking intereference’.

BUT… things have changed very quickly among the establishment types.

Now we have Fed heads talking about “insurance” rate-cuts, lamenting the inverted yield curve, focusing on slow-flation; and former Treasury Secretary Larry Summers agrees with Trump, demanding a 50bps cut now and more in September.

Amid this massive flip-flop by the establishment, Gluskin Sheff’s David Rosenberg has deciphered a cunning plan emerging among all this global trade war tension and economic collapse:

Maybe Trump is a genius, after all.

What if he finally gets the steep Fed rate cuts he has been demanding?

After that, he ends the trade wars, tariffs go to zero, and the stock market surges to new highs — just in time for the 2020 election!

Rosie’s right – the market is now demanding over 3 rate-cuts by the end of 2020 (and just less than two by the end of 2019), keeping the equity market dream alive…

Or will any rate-cut be the ‘sell the news’ event confirming The Fed must be worried about something? Trump’s 2020 run depends on it.

via ZeroHedge News http://bit.ly/2WqNdge Tyler Durden

Second U.S. City Decriminalizes Magic Mushrooms, Other Psychedelics

Watching the rapid advance of mushroom decriminalization has been a trip. On Tuesday, the city council of Oakland, California voted to decriminalize the psychedelic fungus, citing the promise they’ve shown in treating depression, substance abuse, and other disorders.

“This initiative aims to empower the Oakland community by restoring their relationship to nature,” reads a city council analysis of the decriminalization law. “Decriminalizing nature provides individual and community sovereignty to explore different levels of the human experience, including mystical and spiritual states of consciousness.”

Oakland’s new ordinance comes less than a month after Denver residents approved a ballot measure decriminalizing psychedelic mushrooms, the first city in the country to do so. Activists in both Oregon and California are trying to get their own mushroom decriminalization measures on their respective state ballots.

Oakland’s ordinance is more sweeping than Denver’s decriminalization initiative, which only applied to various psychedelic mushrooms.

The law that just passed in Oakland decriminalizes “entheogenic plants”, which includes not only mushrooms, but also ayahuasca, peyote, and iboga.

Under the new law, city officials are barred from devoting any resources or funds to “the enforcement of laws imposing criminal penalties for the use and possession of entheogenic plants by adults” and makes arresting or investigating people for their plants “the lowest law enforcement priority for the city.”

The ordinance also calls on the district attorney for Alameda County—where Oakland is the county seat—to cease prosecution of cases involving the use of entheogenic plants, and instructs the city’s lobbyists to work for decriminalization at the state and federal level.

The ordinance was a joint effort by Councilman Noel Gallo and local advocacy group Decriminalize Nature Oakland (DNO).

“I’m thrilled. I’m glad that our communities will now have access to the healing medicines and we can start working on healing our communities,” said DNO co-founder Nicolle Greenheart to the San Francisco Chronicle after the vote.

The Chronicle reports that Oakland police have investigated 19 cases involving the use of illegal mushrooms in the last year.

At Tuesday’s city council meeting, an amendment was added clarifying that Oakland’s new ordinance does not legalize the manufacture or sale of entheogenic plants, and that those who use them should do so with a friend.

The idea that mushrooms and other psychedelic drugs might be decriminalized seemed almost laughable a few years ago, when activists in even the most progressive states were fighting tooth and nail to legalize marijuana.

The pace of reform is therefore pretty amazing, and a bright spot in our current political moment.

Check out Reason‘s video on Denver’s mushroom decriminalization effort:

from Latest – Reason.com http://bit.ly/2WnDVla
via IFTTT

Australian Police Raid National Broadcaster Over Leaked Afghan War Crime Stories

Australian federal police officers raided the Sydney headquarters of the Australian Broadcasting Corporation (ABC) over a series of 2017 reports known as The Afghan Files, which exposed crimes committed by special forces in Afghanistan based on hundreds of pages of leaked defense documents marked AUSTEO (Australian Eyes Only). 

The AFP officers arriving at the ABC on Wednesday. CREDIT:KATE GERAGHTY (via Sydney Morning Herald)

The incident marks Australia’s second such move against journalists in just two days, after police raided the home of a News Corp editor over an April, 2018 Exposé on government spying. 

According to the police, the raid was “in relation to allegations of publishing classified material, contrary to provisions of the Crimes Act 1914,” while the warrant names the authors of the report, Dan Oakes and Sam Clark, along with ABC news director Gaven Morris. 

“It is highly unusual for the national broadcaster to be raided in this way,” said ABC Managing Director David Anderson in a statement, adding: “This is a serious development and raises legitimate concerns over freedom of the press and proper public scrutiny of national security and defense matters.” 

During the raid, ABC staff members were rounded up and asked to assist in examining their email server to look for “a series of key words.” Others searched a hard drive, according to ABC executive director John Lyons – who live-tweeted the raid. 

After four hours, authorities had collected more than 9,200 files and were deciding which ones were allowed to be seized under the warrant, according to RT

Marcus Strom, president of the Media Entertainment and Arts Alliance trade union, said over Twitter that the two raids in recent days were “just outrageous.” 

“Police raiding journalists is becoming normalized. It has to stop,” he added. .

The ABC raid was in relation to a series of broadcasts in 2017 about alleged misconduct by Australian troops in Afghanistan, the broadcaster said.

The raid on the News Corp editor related to a 2018 newspaper report that said Australian intelligence agencies wanted to carry out surveillance by accessing people’s emails, bank accounts and text messages, domestic media reported.

News Corp called the raid on its employee “outrageous and heavy handed”, and “a dangerous act of intimidation”. –New York Times

 In a statement, New Corp said that it had “the most serious concerns about the willingness of governments to undermine the Australian public’s right to know about important decisions governments are making.

via ZeroHedge News http://bit.ly/2Z9ssCE Tyler Durden

Second U.S. City Decriminalizes Magic Mushrooms, Other Psychedelics

Watching the rapid advance of mushroom decriminalization has been a trip. On Tuesday, the city council of Oakland, California voted to decriminalize the psychedelic fungus, citing the promise they’ve shown in treating depression, substance abuse, and other disorders.

“This initiative aims to empower the Oakland community by restoring their relationship to nature,” reads a city council analysis of the decriminalization law. “Decriminalizing nature provides individual and community sovereignty to explore different levels of the human experience, including mystical and spiritual states of consciousness.”

Oakland’s new ordinance comes less than a month after Denver residents approved a ballot measure decriminalizing psychedelic mushrooms, the first city in the country to do so. Activists in both Oregon and California are trying to get their own mushroom decriminalization measures on their respective state ballots.

Oakland’s ordinance is more sweeping than Denver’s decriminalization initiative, which only applied to various psychedelic mushrooms.

The law that just passed in Oakland decriminalizes “entheogenic plants”, which includes not only mushrooms, but also ayahuasca, peyote, and iboga.

Under the new law, city officials are barred from devoting any resources or funds to “the enforcement of laws imposing criminal penalties for the use and possession of entheogenic plants by adults” and makes arresting or investigating people for their plants “the lowest law enforcement priority for the city.”

The ordinance also calls on the district attorney for Alameda County—where Oakland is the county seat—to cease prosecution of cases involving the use of entheogenic plants, and instructs the city’s lobbyists to work for decriminalization at the state and federal level.

The ordinance was a joint effort by Councilman Noel Gallo and local advocacy group Decriminalize Nature Oakland (DNO).

“I’m thrilled. I’m glad that our communities will now have access to the healing medicines and we can start working on healing our communities,” said DNO co-founder Nicolle Greenheart to the San Francisco Chronicle after the vote.

The Chronicle reports that Oakland police have investigated 19 cases involving the use of illegal mushrooms in the last year.

At Tuesday’s city council meeting, an amendment was added clarifying that Oakland’s new ordinance does not legalize the manufacture or sale of entheogenic plants, and that those who use them should do so with a friend.

The idea that mushrooms and other psychedelic drugs might be decriminalized seemed almost laughable a few years ago, when activists in even the most progressive states were fighting tooth and nail to legalize marijuana.

The pace of reform is therefore pretty amazing, and a bright spot in our current political moment.

Check out Reason‘s video on Denver’s mushroom decriminalization effort:

from Latest – Reason.com http://bit.ly/2WnDVla
via IFTTT

Will Senate Republicans Revolt Over Trump’s Mexico Tariff Threats?

If you give 53 Republican senators and their staffers a closed-door forum and also promise them anonymity, a handful might say that tariffs aren’t a great idea.

No wonder President Donald Trump doesn’t seem too worried about a revolt.

The Washington Post has the details on a closed-door meeting of Republican senators that took place Tuesday afternoon to discuss a response to Trump’s threat to hit all Mexican imports with 5 percent tariffs. While the general mood of unhappiness with Trump’s brash decision to threaten America’s third-largest trading partner with taxes that will be paid by American businesses and consumers is refreshing, the piece isn’t exactly a profile in courage.

“During a closed-door lunch, at least a half-dozen senators spoke in opposition to the tariffs, while no one spoke in support, according to multiple people present who spoke on the condition of anonymity to discuss the private meeting,” the Post reports. Other media outlets, including CNN and the Associated Press, also ran with the “half-dozen” figure, presenting it as proof of widespread opposition within the GOP.

Perhaps that revolt will materialize. Sen. Kevin Cramer (R–N.D.) told the Post that he believes as many as 20 Republicans would vote to spike the Mexican tariffs if it came to a vote.

From across the ocean, Trump doesn’t seem too concerned.

“I think its more than likely that the tariffs go on,” Trump said during a press conference on Tuesday in London, where he’s on an official state visit. He was talking about the 5 percent tariffs that he’s threatened to impose on all goods imported from Mexico starting on June 10. Those tariffs will “gradually increase until the illegal immigration problem is remedied,” Trump tweeted on Friday, and the White House later outlined a plan to hike the tariffs from 5 percent to 25 percent by October.

But the president saved his sharpest jab for Congress, the proverbial punching bag of American politics that has so far done nothing to stop the president’s tariff-happy trade policies—nevermind the fact that Article I of the U.S. Constitution clearly gives it authority over these matters (though much of that power has been delegated to the president since the 1940s).

“If they do” anything to stop the tariffs on Mexico from happening, Trump warned, “it’s foolish.”

Certainly no more foolish than the tariffs themselves, which would amount to an $87 billion tax increase on Americans, would disrupt more than $670 billion in annual cross-border trade between the two nations, and would unnecessarily imperil the completion of Trump’s much-ballyhooed United States-Mexico-Canada Agreement (USMCA). The tariffs would also be unlikely to accomplish the primary policy aim of stopping Central American migrants from trying to reach the United States, which is what Trump says he wants Mexico to do.

Republicans in Congress rose up in opposition to Trump’s executive overreach once already this year. In March, the House and Senate slapped down the White House’s declaration of a national emergency on the southern border and the associated $3.6 billion in funding for a few miles of border wall, but Congress was ultimately unable to override the president’s inevitable veto. Is it too much to ask that lawmakers find their spines twice in such a short span of time?

In fairness, Senate Majority Leader Mitch McConnell (R–Ky.) was willing to put his name on the record to say “There is not much support in my conference for tariffs.” Sen. Rob Portman (R–Ohio) told the Associated Press that “Congress is likely to have a vote” on Trump’s Mexico tariffs if they go into effect as planned next week.

On one hand, it’s understandable that Congress’ response to the tariffs has been muted—at least publicly—so far. Few senators or representatives enjoy openly defying a president from their own party, and Trump has aggressively attacked those who did so.

There’s also the hope that Trump will change his mind about the Mexican tariffs without congressional action—Vice President Mike Pence is scheduled to meet with Mexican officials on Wednesday, while Trump is still out of the country. Congress could also be waiting to see whether Trump has the legal authority to impose these tariffs. The law he’s invoking, the International Emergency Economic Powers Act, has never been used to impose tariffs and the courts might stop Trump from expanding his powers in that direction. Privately, White House staffers are not convinced Trump has the authority to do this, CNN reported last week.

And there’s always the chance that someone in the White House chain of command will simply refuse to carry out his orders, as has happened before.

Such deus ex machina outcomes aside, Congress may be forced to act. If the nation’s legislators can get up off the mat, Trump may not like the result.

When the Senate voted against his previous emergency declaration on March 12, the resolution got 59 votes, eight short of being veto-proof. Whether the outcome is different this time will likely depend on GOP senators who supported the president in that earlier showdown but who might go against him this time.

Like Sen. Ron Johnson (R–Wis.), for example. Though he stuck with Trump in March, Johnson told Politico on Tuesday that “This would be a different vote…This would certainly give me great pause.”

Again, not exactly a call to man the barricades—but surely better than nothing.

from Latest – Reason.com http://bit.ly/2ETkeHc
via IFTTT

Will Senate Republicans Revolt Over Trump’s Mexico Tariff Threats?

If you give 53 Republican senators and their staffers a closed-door forum and also promise them anonymity, a handful might say that tariffs aren’t a great idea.

No wonder President Donald Trump doesn’t seem too worried about a revolt.

The Washington Post has the details on a closed-door meeting of Republican senators that took place Tuesday afternoon to discuss a response to Trump’s threat to hit all Mexican imports with 5 percent tariffs. While the general mood of unhappiness with Trump’s brash decision to threaten America’s third-largest trading partner with taxes that will be paid by American businesses and consumers is refreshing, the piece isn’t exactly a profile in courage.

“During a closed-door lunch, at least a half-dozen senators spoke in opposition to the tariffs, while no one spoke in support, according to multiple people present who spoke on the condition of anonymity to discuss the private meeting,” the Post reports. Other media outlets, including CNN and the Associated Press, also ran with the “half-dozen” figure, presenting it as proof of widespread opposition within the GOP.

Perhaps that revolt will materialize. Sen. Kevin Cramer (R–N.D.) told the Post that he believes as many as 20 Republicans would vote to spike the Mexican tariffs if it came to a vote.

From across the ocean, Trump doesn’t seem too concerned.

“I think its more than likely that the tariffs go on,” Trump said during a press conference on Tuesday in London, where he’s on an official state visit. He was talking about the 5 percent tariffs that he’s threatened to impose on all goods imported from Mexico starting on June 10. Those tariffs will “gradually increase until the illegal immigration problem is remedied,” Trump tweeted on Friday, and the White House later outlined a plan to hike the tariffs from 5 percent to 25 percent by October.

But the president saved his sharpest jab for Congress, the proverbial punching bag of American politics that has so far done nothing to stop the president’s tariff-happy trade policies—nevermind the fact that Article I of the U.S. Constitution clearly gives it authority over these matters (though much of that power has been delegated to the president since the 1940s).

“If they do” anything to stop the tariffs on Mexico from happening, Trump warned, “it’s foolish.”

Certainly no more foolish than the tariffs themselves, which would amount to an $87 billion tax increase on Americans, would disrupt more than $670 billion in annual cross-border trade between the two nations, and would unnecessarily imperil the completion of Trump’s much-ballyhooed United States-Mexico-Canada Agreement (USMCA). The tariffs would also be unlikely to accomplish the primary policy aim of stopping Central American migrants from trying to reach the United States, which is what Trump says he wants Mexico to do.

Republicans in Congress rose up in opposition to Trump’s executive overreach once already this year. In March, the House and Senate slapped down the White House’s declaration of a national emergency on the southern border and the associated $3.6 billion in funding for a few miles of border wall, but Congress was ultimately unable to override the president’s inevitable veto. Is it too much to ask that lawmakers find their spines twice in such a short span of time?

In fairness, Senate Majority Leader Mitch McConnell (R–Ky.) was willing to put his name on the record to say “There is not much support in my conference for tariffs.” Sen. Rob Portman (R–Ohio) told the Associated Press that “Congress is likely to have a vote” on Trump’s Mexico tariffs if they go into effect as planned next week.

On one hand, it’s understandable that Congress’ response to the tariffs has been muted—at least publicly—so far. Few senators or representatives enjoy openly defying a president from their own party, and Trump has aggressively attacked those who did so.

There’s also the hope that Trump will change his mind about the Mexican tariffs without congressional action—Vice President Mike Pence is scheduled to meet with Mexican officials on Wednesday, while Trump is still out of the country. Congress could also be waiting to see whether Trump has the legal authority to impose these tariffs. The law he’s invoking, the International Emergency Economic Powers Act, has never been used to impose tariffs and the courts might stop Trump from expanding his powers in that direction. Privately, White House staffers are not convinced Trump has the authority to do this, CNN reported last week.

And there’s always the chance that someone in the White House chain of command will simply refuse to carry out his orders, as has happened before.

Such deus ex machina outcomes aside, Congress may be forced to act. If the nation’s legislators can get up off the mat, Trump may not like the result.

When the Senate voted against his previous emergency declaration on March 12, the resolution got 59 votes, eight short of being veto-proof. Whether the outcome is different this time will likely depend on GOP senators who supported the president in that earlier showdown but who might go against him this time.

Like Sen. Ron Johnson (R–Wis.), for example. Though he stuck with Trump in March, Johnson told Politico on Tuesday that “This would be a different vote…This would certainly give me great pause.”

Again, not exactly a call to man the barricades—but surely better than nothing.

from Latest – Reason.com http://bit.ly/2ETkeHc
via IFTTT

Stocks, Yields, Dollar Jump After Grassley Says Tariff Deal With Mexico Coming Thursday

With futures fading, and the Nasdaq ominously in the red, bulls were in urgent need of some “optimistic” soundbite support, and they got that moments ago when the Republican chairman of the U.S. Senate Finance Committee, Chuck Grassley, predicted that the United States and Mexico would strike a deal to avert tariffs President Donald Trump has threatened to impose on Mexican imports.

Grassley told reporters Mexican officials will offer a “long list of things” to avoid the duties in talks this week with their American counterparts, adding that he thinks a possible deal could be announced on Thursday night.

The statement followed White House trade adviser Peter Navarro saying earlier on Wednesday that the U.S. plan to impose tariffs on Mexican goods may not have to take effect. Navarro told CNN that the tariffs, due to come into force next week, might not be needed because the United States now has “the Mexicans’ attention” on stemming illegal immigration.

The Grassley comment sent 10Y Yields and pushed the Bloomberg Dollar index near session high, accelerating the unwind of curve steepening with both 5s30s and 2s10s edging tighter following Grassley comments, although both remain steeper on the day by 4bp, while 10Y Treasury yields edge back over 2.12% but remain slightly richer on the session; 30-year yields cheaper by 1.5bp on the day as long-end continues to lag.

Meanwhile, after hitting session lows just above 2,800, spoos ramped 15 points as they tried to once again take out session highs, even as the relentless selling in oil continued, with Brent sliding below $60 for the first time since January.

Pouring some cold water on the enthusiasm, however, when Mike Pence said that the White House sees trade with Mexico as critically important, but national security comes first, adding that he is eager to hear immediate measures Mexico plans to take to address migrant crisis. So far none have been proposed.

via ZeroHedge News http://bit.ly/2Kt1UrJ Tyler Durden

“My Bank In Denmark Just Offered Me A Negative Rate Of Interest To Borrow Money”

Authored by Alex Moneton via SovereignMan.com,

Yesterday I called my bank in Denmark, Nordea, and couldn’t believe what they told me…

They offered to lend me money at MINUS 0.12% for a ten-year mortgage.

In other words, the bank would PAY ME to take out a loan.

Of course, as a Sovereign Man editor, I’ve written a lot about negative interest rates. But most of these cases were always reserved for big banks or institutions.

That no longer seems to be the case…

Now, negative interest rates ARE the norm. Thousands, if not tens of thousands of Danes will go out and take out mortgages that will pay themevery month.

This is completely mind-boggling to me. But it just highlights how broken the financial system really is.

Everything about this is in complete violation of the law of prosperity Simon Black’s been writing about for years: produce more than you consume and invest the difference.

Now, institutions and governments are incentivizing people to consume, instead of save. In fact, they’re paying people to go into debt.

That is not how prosperity is created. Instead of encouraging people to invest their surplus capital in productive investments, people are penalized for saving in the first place.

It’s like everything has been turned upside down.

Some of the most popular investments on the planet are the ones that burn the most cash (Tesla, Netflix, Uber, etc.)

Insolvent governments in Europe are able to borrow at negative yields, with no afterthought whatsoever as to the consequences.

And bankrupt governments like Argentina are able to borrow for 100 YEARS and pay next to nothing for it (even though Argentina went bankrupt twice in the last thirty years alone).

None of this makes any sense.

Here in Europe, bank deposits yield close to 0%.

In 2016, the Swiss government even asked its citizens to delay their tax payments as long as possible, because the government didn’t want to pay negative interest rates on those balances.

And in the United States, banks rob their customers blind time and time again by lying, stealing and deceiving them.

It’s extraordinary to me that these are the options we have with our money today.

Read more here…

via ZeroHedge News http://bit.ly/31cYLCk Tyler Durden

A modest proposal for countering Russian election interference

What can we do to counter Russian “hack and dox” interference with US election campaigns and candidates?  A lot more than we think, as long as we’re willing to open the first amendment Overton window.  I posted my modest proposal on the topic over at Lawfare.  Here’s the gist:

Of course, stopping the dissemination of such information raises real First Amendment questions, but the Supreme Court’s pronouncements on this topic have been surprisingly qualified and leave plenty of room for legislation that would drain much of the fun out of Russian cyber-kompromat. In the leading case, Bartnicki v. Vopper, the court refused to enforce a statutory prohibition on disseminating the contents of illegally wiretapped conversations. The conversation in question was a cell phone call in which a member of a teachers’ union said to the union’s negotiator that if the school district didn’t improve its offer to end a strike, “we’re gonna have to go to their, their homes … to blow off their front porches, we’ll have to do some work on some of those guys.” The Supreme Court’s opinion considered two principal justifications for a ban on dissemination of tapped conversations—deterring wiretapping and preserving privacy. The court dismissed the first because it thought deterrence could be achieved by prosecuting those who conducted the illegal tap. It was troubled by the second, recognizing that failing to punish the disclosure of private conversations was itself likely to restrain private speech. Nonetheless, in an expressly narrow decision, the court concluded that the conversation being disclosed was a matter of public concern, so that prohibiting dissemination would trench too far on freedom of speech. Two justices who were necessary to the majority wrote separately, narrowing the decision further by declaring that only a communication threatening physical harm or the like was of sufficient public concern to justify overriding the dissemination ban.

To my mind, this decision leaves plenty of room for imposing restraints on the distribution of private emails stolen by a foreign government. The government’s interest in protecting private speech remains strong in the case of foreign government hacking, and it is bolstered by a deep national security concern that was quite lacking in Bartnicki. What’s more, the Bartnicki court’s notion that such thefts can be deterred by criminal prosecution is demonstrably wrong where government hackers are concerned. We’ve indicted Russian, Chinese and Iranian government hackers; it hasn’t deterred any of them for long. Even taken at face value, the decision protects only dissemination that addresses a matter of public concern. That by itself would seem to allow Congress to restrict massive dumps of private communications that do not touch on significant public issues, let alone make threats of violence.

from Latest – Reason.com http://bit.ly/2HX4QeF
via IFTTT

A modest proposal for countering Russian election interference

What can we do to counter Russian “hack and dox” interference with US election campaigns and candidates?  A lot more than we think, as long as we’re willing to open the first amendment Overton window.  I posted my modest proposal on the topic over at Lawfare.  Here’s the gist:

Of course, stopping the dissemination of such information raises real First Amendment questions, but the Supreme Court’s pronouncements on this topic have been surprisingly qualified and leave plenty of room for legislation that would drain much of the fun out of Russian cyber-kompromat. In the leading case, Bartnicki v. Vopper, the court refused to enforce a statutory prohibition on disseminating the contents of illegally wiretapped conversations. The conversation in question was a cell phone call in which a member of a teachers’ union said to the union’s negotiator that if the school district didn’t improve its offer to end a strike, “we’re gonna have to go to their, their homes … to blow off their front porches, we’ll have to do some work on some of those guys.” The Supreme Court’s opinion considered two principal justifications for a ban on dissemination of tapped conversations—deterring wiretapping and preserving privacy. The court dismissed the first because it thought deterrence could be achieved by prosecuting those who conducted the illegal tap. It was troubled by the second, recognizing that failing to punish the disclosure of private conversations was itself likely to restrain private speech. Nonetheless, in an expressly narrow decision, the court concluded that the conversation being disclosed was a matter of public concern, so that prohibiting dissemination would trench too far on freedom of speech. Two justices who were necessary to the majority wrote separately, narrowing the decision further by declaring that only a communication threatening physical harm or the like was of sufficient public concern to justify overriding the dissemination ban.

To my mind, this decision leaves plenty of room for imposing restraints on the distribution of private emails stolen by a foreign government. The government’s interest in protecting private speech remains strong in the case of foreign government hacking, and it is bolstered by a deep national security concern that was quite lacking in Bartnicki. What’s more, the Bartnicki court’s notion that such thefts can be deterred by criminal prosecution is demonstrably wrong where government hackers are concerned. We’ve indicted Russian, Chinese and Iranian government hackers; it hasn’t deterred any of them for long. Even taken at face value, the decision protects only dissemination that addresses a matter of public concern. That by itself would seem to allow Congress to restrict massive dumps of private communications that do not touch on significant public issues, let alone make threats of violence.

from Latest – Reason.com http://bit.ly/2HX4QeF
via IFTTT