Stocks Steady After Fed Despite JOLTS Slump, Crude Dump, VIX Jump

Job Openings plunge, Fed admits its credibility is on the line, Crude crumbles…

 

Stocks managed to hold gains on the day..

 

Even as VIX rose…

 

Risk Parity pressure continues…

 

Despite bonds and bullion best post-Minutes…

 

Treasuries reversed early losses to end the day marginally higher in yields (10Y worst +1bps)… Bonds have traded in a very narrow range for 2 days…

 

While bonds held their post-Minutes gains, the USD bounced back…

 

The USD Index kept on pushing higher… (the 7th up day in the last 8)

 

Sterling faded back a lot of the kneejerk Brexit debate gains as UK Gilt yields spiked higher still…

 

To over 7-month highs… (the USD is up 3.6% YoY now  – the biggest annual rise since January)

 

Disappointment from OPEC (and NOPEC) sent crude lower (ahead of tonight's API data) but USD strength had less effect on PMs today…

 

Charts: Bloomberg

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Paul, Trump and Sanders Show Elite Control of Society Has Fractured

Via: The Daily Bell

Republican Politicians Have Only Their Fears to Blame …  In calls this morning, many Rs privately want to defect from Trump. But they say the debate gave them pause since he roused their base. … Remember, there were already an unusual number of high-profile Republicans who had broken with their own nominee, with many saying they would support Hillary Clinton and others just refusing to vote for Trump.   Why did it take so long for the rejection to build? -Bloomberg

Bloomberg thinks rejecting Trump is an obvious choice for Republicans but this article doesn’t recognize the larger trend is to reject modern Republicanism itself.

This really started with the GOP’s removal of conservative libertarian candidate Ron Paul from political contention by intimidating his supporters and unilaterally changing and suspending rules. This sort of approach to non GOP-approved candidates has continued with Trump.

Ron Paul, who wanted to educate more than he wanted to win, was nonetheless squashed by a variety of evil and panicked GOP attacks. Donald Trump recast many of Ron Paul’s views but basically moved down Ron Paul’s political track and due to his celebrity and wealth succeeded where Ron Paul had failed.

Ron Paul was anti-tax, anti-central bank and anti-war. So is Trump, though Trump is closer to the elite mainstream than Paul. But the GOP leadership is pro-tax (though it pretends not to be) … also pro-central bank and pro-war.

The GOP leadership and the Democratic leadership are aligned on most points. It’s the details that are different. But the bulk of GOP supporters take GOP rhetoric at face value. They are specifically, legitimately libertarian in many ways.

The difference lies in the support of the military, but even here, GOP support at the base is far more nuanced than GOP leadership. Support for American wars involves perceptions of necessity. In other words, there is not unlimited support.

Both Ron Paul and now Trump hold views that are in many ways closer to the views of the GOP base. This is why Ron Paul was so successful when he ran a second time after people came to understand his views. This is why Trump has been successful.

More:

This is what responsible Republican leaders (or just self-interested ones) needed to do early this year: Get over their exaggerated fear of their voters and get behind a tolerable candidate such as Marco Rubio or John Kasich (or, earlier, Jeb Bush or Scott Walker or even Bobby Jindal or Rick Perry or whomever).

Or they could have bit the bullet in late spring, when they still had the option of Ted Cruz and Kasich.   Or they could have denied Trump the nomination, even after the primaries were over. They had enough votes collectively to do that. Trump was far short of the majority he needed without additional support from the Republican National Committee.

This excerpt above represents a complete misunderstanding about what’s going on. Voters have simply decided that mainstream politics is ineffective and destructive.

This is why Bernie Sanders did so well as an “outsider” along with Paul and Trump. It is a trend that’s not going away. It’s getting stronger, if anything.

Now just because we recognize a trend doesn’t mean either party is going to fall in line with popular sentiment. The rhetoric may shift a little but taxes, regulations and government intrusions into daily life will continue and expand. This is true not just for the US but for the West generally.

But the Internet itself has verbalized what’s actually wrong with leadership positions and this process will continue even if the Internet itself is censored. It’s already too late. Europe, for instance, is trying to cast off the EU just as America is trying to cast off the dead weight of its two party system. The same thing sooner or later will  happen in Asia.

The United States was formed in part because Europe had had enough of war and, post Gutenberg Press, people were increasingly resistant to control. But now history is repeating itself. People in the US, like Europe are increasingly resistant to war and overt government manipulation that reduces rather than enhances their prosperity.

The problem that elites have is that there is really nowhere else to go. If they cannot launch serial wars from the US something more must be done.

Elites keep control via economic depression and military conflict. But every once in a while the incremental debasement and serial warfare is not enough. More is needed.

This is why mankind now faces larger wars, perhaps a world war, and why economic debasement is going to turn into lethal, raging ruin.

With only four weeks to the election, Republican politicians don’t have any good choices left. But whatever happens in the meantime, perhaps they’ll learn that there are worse consequences than angering their strongest supporters

Yet another inaccurate statement from our perspective. The GOP’s disgruntled supporters are not merely the strongest; they are also are the most numerous. And they have their counterparts among Democrats.

Step back and view what has really taken place. Consensus politics is finished. The ability of US leaders to inflict policies supporting globalization on behalf of City bankers has shriveled.

Wars and government control are being rejected by a strong substrata of US citizens, and of the West generally. This is why we forecast increased confrontation. To suggest, as this Bloomberg article does, that this rising wave of repugnance is somehow ephemeral is inaccurate.

Conclusion: What has taken place is significant and irreversible. The ability of elites to use propaganda and “directed history” to achieve their goals is waning. What is left is outright force. Short-term this is a terrible but viable solution. Long-term it is not.

See Also: Central Banks Continue Their Debasement

 

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Forget “Deplorables”, Bill Clinton Mocks Trump Fans As “Standard Rednecks”

We suspect that Bill got a firm “talking to” last week after making comments at a rally that Obamacare was “killing the small-business people” and the middle class while describing it generally as the “craziest thing in the world.”  But, it seems he may need a quick refresher after taking the opportunity to label all Trump supporters as your “standard redneck.”

 

We look forward to the mainstream media’s extensive coverage and faux outrage over this clip.

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The Flawed Logic Of Inflation

Authored by Michael Lebowitz (or 720Global.com) via RealInvestmentAdvice.com,

“To me, a wise and humane policy is occasionally to let inflation rise even when inflation is running above target” – Janet Yellen Chairwoman Federal Reserve

 

“And, beyond that, would a rise in inflation to 3 percent or even 4 percent be a terrible thing? On the contrary, it would almost surely help the economy” – Paul Krugman Nobel Prize winning economist, Professor and Journalist New York Times

 

“Events since 2010 have led me to conclude those objections no longer apply. The Federal Reserve should give serious consideration to raising its inflation target?” Greg IP Author and Journalist Wall Street Journal

Why do the Federal Reserve and many economists want more inflation? Based on commonly held perspectives among economists and commentators in the financial media, one would think that inflation was something vital to the proper functioning of our economy. Long forgotten, though only a short time ago, inflation as seen in the 1970s and 1980s, was enemy #1 of the U.S. economy. In this article we discuss the motives and incentives driving the current passion for inflation.

Perspective

The first step toward understanding why the Fed and most of the world’s leading economists desire inflation and abhor deflation begins with their economic perspective. Many contemporary economists subscribe to a branch of economics called Keynesianism, a school of thought based on the economic theories of Lord John Maynard Keynes. While Keynes had many theories, one of his core concepts focused on the overwhelming importance of demand – consumer, corporate and government – to drive economic activity.

Equally important was the timing of his proposals. Keynes published his book, “The General Theory of Employment, Interest and Money,” in 1936 with Europe heading in to the maw of war. Defeating fascism was dependent on both military and economic victory. Keynes’ ideas afforded unique new insights into a way European governments could temporarily stimulate demand and run deficits aimed at rebuilding the economy of an entire continent. Keynes’ policies were indeed successful and provided much-needed social stability in the years following World War II.

Keynesian followers support fiscal and monetary policies and laws that stimulate demand, however they tend to overlook the dire situation that prompted the birth of these theories.

The basic supply/demand curve, as shown below, illustrates the concept that the interaction between supply and demand affects the price, quantity produced and the demand of any item. The intersection of the supply and demand curves is thought to be the optimal pricing point, or the equilibrium price at which quantity supplied is equal to the quantity demanded.

supply-demand-1

If demand increases, represented as a parallel shift upwards and to the right of the demand curve, and the supply produced of a good does not change to meet the new demand, the price is expected to increase as shown below. Conversely, if the supply were to increase while demand stayed constant, the supply curve would shift down and to the right and prices would be expected to decrease.

supply-demand-2

Modern economic theories and models presuppose that stimulating the consumption of goods and services is paramount to generating economic activity, and thus many policy setters and legislators lose focus of the supply side of the equation. Taking it a step further, if the supply curve is less important than demand, and greater demand results in higher prices, then price increases or inflation must be a strong signal that demand is rising. Therefore, demand side theories continuously argue that inflation is proof positive of robust economic activity.

Debt is another reason economists’ desire inflation. Consumer, corporate and government debt has become the primary emphasis behind most discussions on economic growth. To entice borrowers to take on ever-increasing amounts of debt and therefore stimulate consumption, policy must constantly encourage additional borrowing and help debtors find cheaper ways to service existing debt. As a point of context, the great financial crisis of 2008 offers a textbook lesson on what occurred when, for a brief period, credit did not expand.

Total Credit Outstanding

credit-outs

Data Courtesy: Federal Reserve Z1

Persistent inflation, like low interest rates, has become a tool policy-makers use to minimize the burden of debt. As a simple example, assume a household earns $50,000 a year and takes on a $500,000 mortgage. Servicing such a debt will dramatically reduce the household’s appetite to consume and their capacity to take on additional debt. Inflation, however, can change their situation. If the value of the house appreciates 10% per year, then in five years the house would have increased in value to over $800,000, rewarding our borrower with over $300,000 in equity. Even though the household’s income did not increase, the presence of additional equity in the house allows the household to borrow more and increase consumption.

 

The Rest of the Story

By narrowly focusing on consumption, economists have lost sight of production. Such disregard for the supply curve is proving to be a costly error.

As monetary policy increasingly encouraged debt-financed consumption, corporations responded by expanding their capacity and operations to keep up with the policy-induced demand for their goods. Both the demand and supply curves shifted in unison, reflecting greater demand and production capacity. Unfortunately, over time, the consumers’ ability to take on additional debt has diminished and the demand curve shifted back. The supply curve, however, is less flexible as corporations cannot easily reduce their production capacity. Attesting to this overbuild is capacity utilization which, as graphed below, is trending lower and stands at a level that has been indicative of recessions in prior cycles.

 Capacity Utilization

cap-utiz

Data Courtesy: St. Louis Federal Reserve (FRED)

In response to weaker demand, corporations downsized employment, outsourced production and limited wage increases. Partially as a result of their actions, the labor participation rate lingers at 38 year lows and real median wages are at levels comparable to 1998. Corporations created a negative economic feedback loop as their employees are also consumers of their products.

Another unfortunate consequence of weaker demand is that instead of investing some profits towards productive activities, a majority of corporate cash flows have been diverted to shareholders to engineer better financial ratios and earnings per share to help compensate for weakening sales. The results may be optically appealing and supportive of equity market valuations in the short-term, but these decisions are decidedly not constructive for the long term health of the corporations and the economy.

The bottom line is that disregard for production oriented aspects of the economy (the supply side) and myopic over-emphasis on debt-financed consumption (the demand side) naturally limited potential corporate and national economic growth.

 

Summary

After all of the heroics by former Federal Reserve Chairman Paul Volcker to arrest inflation in the late 1970’s and early 1980’s we have come full circle. Inflation is now a supposed sign of economic virtue and progress. When practically required as a means to decrease debt servicing costs it is a clear signal that debt has been overused and largely for non-productive reasons. The desire to continue down the same path goes hand in hand with the desire to create inflation. Rest assured that just as the amount of outstanding debt has spiraled uncontrollably higher, so too will inflation. The hubris of central bankers who somehow believe they will know the precise time to alter easy money policies in order to prevent a monetary disaster is only exceeded by the foolishness of Congressional oversight in granting that authority.

While current economic theories and policy actions invoke the name of John Maynard Keynes as a means of defense for such recklessness, we tend to think Lord Keynes would be appalled at what has transpired. In his words:

“By a continuing process of inflation, government can confiscate, secretly and unobserved, an important part of the wealth of their citizens”.

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A Clinton Foundation Moment: “Unless The Saudi Sheikh Gave Us $6 Million, This Sounds Crazy To Do”

In what appears an amusing instance of the Clinton Foundation caught (with its pants down) in a glorious pay-to-play moment, in one of today’s leaked Podesta emails from November 2011, Ira Magaziner, who is Vice Chairman and CEO of the Clinton Health Access Initiative, sent an email to John Podesta and Amitabh Desai, Director of Foreign Policy at the Clinton Foundation, in which he said that “CHAI [Clinton Health Access Initiative] would like to request that President Clinton call Sheik Mohammed to thank him for offering his plane to the conference in Ethiopia and expressing regrets that President Clinton’s schedule does not permit him to attend the conference.”

He appears to be referring to Sheikh Mohammed Hussein Ali Al-‘Amoudi, a Saudi Arabian and Ethiopian billionaire businessman, whose net worth was estimated at Forbes at $8.3 billion as of 2016.

He is also a prominent donor of the Clinton Health Access Initiative.

To this the response by Desai is a very simple one: “Unless Sheikh Mo has sent us a $6 million check, this sounds crazy to do.”

At this point, Bill Clinton’s former chief advisor and current president of the infamous Teneo Holding Doug Band, chimes in that it probably is a good idea: “If he doesn’t do it Chai will say he didn’t give the money bc of wjc.”

Finally, John Podesta chimes in: “I agree with Doug and this seems rather easy and harmless and not a big time sink.”

* * *

And that is how pay-2- play, or rather pay-2-fly worked inside the Clinton foundation. Incideintally here are Bill and “Sheikh Mo” caught at just the right moment.

One can only wonder in addition to the quid-pro-quo of flying to Ethiopia but only in exchange for $6 million, just what other favors were exchanged between the Clinton Foundation and either the Saudi billionaire or other prominent foundation donors.

From:john.podesta@gmail.com
To: doug@presidentclinton.com

Date: 2011-11-22 22:07

Subject: Re: Talking points for President Clinton and the Sheik

I agree with Doug and this seems rather easy and harmless and not a big time sink.

On Tue, Nov 22, 2011 at 6:13 PM, Doug Band <doug@presidentclinton.com> wrote:

> If he doesn’t do it
> Chai will say he didn’t give the money bc of wjc
>
> From: Amitabh Desai [mailto:adesai@clintonfoundation.org]
> Sent: Tuesday, November 22, 2011 06:06 PM
> To: Bruce Lindsey <blindsey@clintonfoundation.org>; Doug Band;
> john.podesta@gmail.com <john.podesta@gmail.com>
> Cc: Terry Krinvic 2
> Subject: Fw: Talking points for President Clinton and the Sheik
>
> Unless Sheikh Mo has sent us a $6 million check, this sounds crazy to do.
>
> ________________________________
> From: Ira Magaziner
> To: John.Podesta@gmail.com <John.Podesta@gmail.com>; Doug Band – PC; Bruce
> Lindsey; Amitabh Desai; Terry Krinvic
> Sent: Tue Nov 22 18:02:33 2011
> Subject: FW: Talking points for President Clinton and the Sheik
>
> All:
>
>
> CHAI would like to request that President Clinton call Sheik Mohammed to
> thank him for offering his plane to the conference in Ethiopia and
> expressing regrets that President Clinton’s schedule does not permit him to
> attend the conference.
>
> Ed Wood has prepared a briefing memo for President Clinton about the call
> which is attached.
>
> Please contact either Ed or me if you have any questions or if you need
> anything else from us.
>
> Thanks
>
>
>
> Ira
>

h/t @kierobar

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Putin Slams Russia Hacking Accusation: “Just A Ploy To Divert Attention From The Contents”

After Russia’s foreign minister trolled the US election, describing it as a “pussy galore” moment, when in an interview with CNN’s Christine Ammanpour, he sad “there are so many pussies around your presidential campaign on both sides that I prefer not to comment,” his boss, Vladimir Putin also went on the record to address the allegation by US intelligence services which last Friday officially accused the Kremlin of coordinating the ongoing cyberattacks targeting democrats, and said that the scandal that hacking scandal has not been in Moscow’s interests and both sides in the U.S. election campaign are just using Russia to score points.

The Russian leaders’ statement comes one day after the White House did not reveal how if at all, it would respond to “Russia’s hacking”, but said it would consider a variety of responses to the alleged hacks.

Putin accused the US of “starting this hysteria, saying that this (hacking) is in Russia’s interests. But this has nothing to do with Russia’s interests,” in a speech during a business forum in Moscow.

He added that the accusations were a ploy to divert U.S. voters’ attention at a time when public opinion was being manipulated. “Everyone is talking about ‘who did it’ (the hacking),” said Putin. “But is it that important? The most important thing is what is inside this information.”

Well, yes, but… oh look, Trump talking about grabbing pussy!

 

So yeah, it worked.

Earlier on Wednesday, the Kremlin it took a negative view of White House statements about a planned “proportional” response to the alleged cyber attacks.

Putin complained that all sides in the U.S. presidential race were misusing rhetoric about Russia for their own ends, but said Moscow would work with whoever won the election “if, of course, the new U.S. leader wishes to work with our country”.

“About a decade ago, they wouldn’t mention Russia at all, because it was not even worth talking about, such a third-rate regional power and not interesting at all. Now Russia is problem number one in the entire election campaign,” said Putin.

“All they do is keep talking about us. Of course it’s pleasant for us, but only partly because all participants are misusing anti-Russian rhetoric and poisoning our bilateral relations.”

Considering there is still just under a month left in this election, something tells us it will get much more “pleasant” for Russia, as the process of US devolution to global laughing stock, which is set to culminate on November, is complete.

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Bonds & Bullion Best As Dovish Fed Sends Dollar Lower

Despite its best efforts to convince the world they are hawkish, the post-Minute reaction is decidedly disappointing with the dollar down, bond yields down, and stocks flat as gold gains most…

Bonds and Bullion best post-fed for now…

 

With The USD fading post Minutes

 

VIX is on the rose again… which makes perfect sense as even The Fed admitted its concerns as its own chatter into the Minutes sparked a rise in uncertainty… which sparked a rise in Fed member uncertainty…

 

It seems the answer is STFU!!!

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The Moment The Fed Discovered Reflexivity

Back in September 2013, when the Fed was still debating whether to taper or not, caught in a vicious cycle where any hint it would ultimately end QE would be met with a prompt selloff, DB explained how it had found itself in such a reflexive morass:

Another theme arising from their decision to hold fire was their worry that financial conditions had tightened over the past few weeks. If this is the case then the path of tapering is going to be tough because every time the market thinks they are going to taper, yields will likely rise and conditions will tighten. However the Fed’s guidance is becoming confused enough now that you couldn’t rule out another change of emphasis, especially as the composition of the Fed will change notably over the next few months. So markets are underpinned by liquidity for now but it’s a fluid situation and it strikes me that the Fed do not have a clear direction at the moment which makes them difficult to second guess.

Three years later, the Fed finds itself in the same bind, eager – supposedly – to hike rates but very much unwilling to suffer the risk asset consequences this would entail, i.e., worried about a market selloff.

However, in today’s minutes, for the first time we observed a Fed that appears to have become self-aware, and has grasped just how reflexive the nature of its “communication strategy” with the market has been all along. To wit:

Well, better late than never.

And now that the Fed finally realizes the biggest hurdle in its “communication” with the market, namely that anything it tries to do will make it less likely to do it, we doubt it will actually do anything differently.

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Fed Minutes Expose Hawkish Fed Fearful Of “Losing Credibility”, No Hike Was “Close Call”

With three dissenters and no good reason (based on their own data) to stay on hold in September, The Fed chickened out… but jawboned the hawkish tilt afterwards. With Nov odds at 19% and Dec at 66%, the USD and Treasury yields were falling dovishly into the Minutes.

  • *FED: SEVERAL OFFICIALS SAID DECISION TO WAIT WAS ‘CLOSE CALL’
  • *FED SAYS SEVERAL FOMC MEMBERS SAW RATE RISE ‘RELATIVELY SOON’
  • *FED: IT WAS NOTED ‘REASONABLE ARGUMENT’ COULD BE MADE TO HIKE

“Several participants expressed concern that continuing to delay an increase in the target range implied a further divergence from policy benchmarks based on the committee’s past behavior or risked eroding its credibility” especially because recent data supported the committee’s outlook, the minutes stated.

*  *  *

Stocks remain flat post-Fed but will the Minutes change the hawkish tilt to PMs…

 

And while rate hike odds have soared for Dec, they have slumped for Nov no matter how much jawboning they have tried since.

 

Here are the key sections:

First, why no action – blame labor market slack, and lack of inflation (at least as measured by the BLS), in other words the Fed is failing on both mandates:

… participants discussed whether available information warranted taking another step to reduce policy accommodation at this meeting. Participants generally agreed that the case for increasing the target range for the federal funds rate had strengthened in recent months. Many of them, however, expressed the view that recent evidence suggested that some slack remained in the labor market. With inflation continuing to run below the Committee’s 2 percent objective and few signs of increased pressure on wages and prices, most of these participants thought it would be appropriate to await further evidence of continued progress toward the Committee’s statutory objectives.

However, others are increasingly calling the Fed out on its bullshit:

… several participants expressed concern that continuing to delay an increase in the target range implied a further divergence from policy benchmarks based on the Committee’s past behavior or riskede roding its credibility, especially given that recent economic data had largely corroborated the Committee’s economic outlook.

Even so, "several members" said to hike soon:

Several members judged that it would be appropriate to increase the target range for the federal funds rate relatively soon if economic developments unfolded about as the Committee expected; they saw the new sentence in the third paragraph of the Committees statement — a sentence indicating that the case for an increase in the federal funds rate had strengthened but that the Committee had decided,  for the time being, to wait for further evidence of continued progress toward its objectives — as reflecting this view.

Why the dissenters dissented:

Three members preferred to raise the target range for the federal funds rate by 25 basis points at this meeting. They cautioned that postponing policy firming for too long could push the unemployment  rate markedly below its longer-run normal rate over the next few years. If so, the Committee might then need to tighten policy more rapidly, thereby posing risks to continued economic expansion. A couple of these members expressed concern about the potential adverse effects on the credibility of the Committees policy communications if the next step in the gradual removal of accommodation was  further postponed.

Ultimately, it was a close call:

Among the participants who supported awaiting further evidence of continued progress toward the Committees objectives, several stated that the decision at this meeting was a close call. Some participants believed that it would be appropriate to raise the target range for the federal funds rate relatively soon if the labor market continued to improve and economic activity strengthened, while some others  preferred to wait for more convincing evidence that inflation was moving toward the Committees 2 percent objective. Some participants noted the importance of clearly communicating to the public the conditions that would warrant an increase in the policy rate.

*  *  *

Full Minutes below:

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EU Exit “Only Way Out” From Greece’s “Occupying Force” Of Refugees

Submitted by Maria Polizoidou via The Gatestone Institute,

  • "Allah requires from the believers to be masters of the land where they live, and only they can have property, and only we will be able to own the land." — Muslim migrants in Crete, Greece.
  • The migrants were ready to wage jihad because they believed a rumor about an event for which, even had it been true, the Greek State and its inhabitants had no responsibility.
  • The establishment in Greece is a miniature of the American establishment: politicians and institutions of government corrupted to the bones.
  • We Greeks have already been crushed by Islam, by the twentieth century genocide in Turkey and the more recent Turkish occupation of Cyprus, again with the world's complicity.
  • What is happening in Greece, as in much of Europe, is actually a massive replacement of its population, its values and its way of life.
  • The mainstream political parties obey the self-destructive EU policies on immigration that could eventually cause the end of the Hellenic-Judeo-Christian values of Europe, such as individual freedom, critical thinking and dispassionate inquiry.

What does an occupation army do when it is installed in a country? It occupies the land, forcing residents to follow its own way of life. It implements measures against the country's inhabitants, it propagandizes its beliefs and uses force to have them imposed.

This, sadly, is what has been happening in Greece from the migrants who seem to "forget" that they are hosted in Greece and force the Greeks to feel like guests in their own country.

If someone is a war refugee or his life is in danger in his homeland, it would seem appropriate, when he arrives in the country which offers him asylum, to be grateful to this country, respect its history, its people its values and its laws. The same would hold true for an immigrant who wants to go to a country where he hopes he will find a better future.

In Greece, conversely, illegal immigrants — all of whom the media call "refugees," apparently trying artificially to legalize them in the moral consciousness of citizens — have been occupying spaces that do not belong to them, using violence, blocking roads, committing crimes against public property, acting aggressively toward residents and the police, and saying that they feel offended when they see symbols that represent Christianity. The guests seem to be trying to take over the house.

A few weeks ago, 200 North Africans and Pakistanis rioted in the middle of the night, demanding to leave Mytilene Island. They were chanting, "Jihad! Jihad!", smashing the residents' cars in the center of the island and disrupting the local community. The migrants claimed that someone told them about the death of seven migrants on a ship, so they rose up against the authorities. The police and NGO workers explained that this was misinformation, but the 200 migrants were evidently not interested in hearing that. The migrants were ready to wage jihad because they believed a rumor about an event for which, even had it been true, the Greek state and its inhabitants had no responsibility. The authorities were unsuccessful at calming them down and trying to make them return to their living area.

As it turned out, there were no dead migrants; the uprising was a "mistake," but the police and the locals had to spend the night tracking down refugees and migrants on the streets of Mytilene.

The illegal immigrants stated that the information about the seven dead migrants came through phone calls to them during the night. Police sources say, off the record, that this incident has all the hallmarks of covert "black operations."

A few days later, on September 19, 2016, on Mytilene Island again, there was a new eruption from migrants in the Moria district. This time, the information the migrants heard, which again turned out to be false, was that they were about to be returned to Turkey. Immediately they set fire to 16 acres of olive trees, as well as to the camp in which they were living.

Now 300 migrants, who had earlier escaped from their camp and tried to protest in the center of the island, were burning everything in the camp and the area around it, until the police stopped them and made them to return to the camp, where again they tried to burn everything.

Residents saw their groves of olive trees turn to cinders as well as much of the migrant camp, three shipping containers, clothing and footwear.

Some of the illegal immigrants were taking selfies during the burning and chanting, "Allahu Akbar" ["Allah is the Greatest"].

The Port of Mytilene Island was turned into a battlefield, where migrants and many Greek "leftists" tried to prevent the military contingent from lowering the Greek flag in front of the town's old port. Many Greeks hate the national flag. They appear to prefer multinational states without any references to the state's national foundations. They were chanting slogans and provoking both the military contingent and the people of Mytilene Island, who watched amazed from the opposite side of the road. It was a demonstration of power from behalf of "leftists" and illegal immigrants. Many citizens of Mytilene Island evidently could not stand to see the illegal immigrants and other Greeks provoke them and try to halt the lowering of the flag. So some citizens moved aggressively against them and engaged them in street fights.

Every Sunday morning on Mytilene Island, soldiers hoist the flag and in the evening, an hour before sunset, soldiers lower the flag. A week after this incident, thousands of Greeks gathered around the soldiers and the flag in Mytilene Port and were singing Greek National Anthem, showing their faith and honoring the national symbol. People are scared. They are gathering around the flag and the Army apparently because they feel they are losing their homeland and their sovereignty to the thousands illegal immigrants who have occupied their island.

On September 26, 2016, in the Tympaki region of the island of Crete, people found all over the streets quotes from the Quran. The text, signed by the "Muslim Brotherhood of Crete Island", stated among other things:

  • "You are the senior people of the whole world, Only your faith counts and no one else has the right of life and death and ownership over every other person who dares to challenge your leadership and will not embrace your faith.
  • "Allah requires from the believers to be masters of the land where they live, and only they can have property, and only we will be able to own the land.
  • "Allah said that we should conquer all the planet, and the faithful ones should own the land and the crops.
  • "Unbelievers cannot have land and crops because it belongs only to us – the believers.
  • "Unbelievers will have from us – as the holy Quran assures us – only alms."

On the same day, September 26, in the Asprovalta region near the city of Thessaloniki, a 49-year-old man from France who came to Greece through Turkey was followed by police officers because he was suspected of being a jihadist. The moment he saw the police car, he rammed it, while chanting "Allahu Akbar". [Allah is the greatest"] The attacker was arrested and the district attorney ordered his deportation.

A month ago, the inhabitants of Vavilon, a small village in Chios, another island that received a large number of illegal immigrants, decided to take the law into their hands, because, it seems, the state was not protecting them. The residents set up a militia to protect their families and their property from illegal immigrants. Within a week, they had recorded more than ten burglaries and vast property damage.

The media covers these disruptions only when they are like earthquakes, when one large one causes major disasters; the small ones are evidently not interesting. The same indifference of the media can also be seen regarding daily problems caused by the illegal immigrants. The media covers drug trafficking, conflicts between migrants of different Islamic doctrines, rebellions in migrant shelters, conflicts between countries and races, and underage boys and girls being raped. On September 24, in the Moria area of Mytilene Island, four 17-year-old migrants from Pakistan raped an underage Pakistani migrant, age 16, and recorded the rape with their phones. The police arrested the perpetrators, who had been blackmailing the boy before they raped him.

Illegal immigrants have also been blocking roads in many cities; halting traffic for hours. They occupy the roads whenever they feel like it; the police do not stop them and there are no arrests.

The Greek government has been friendly to the migrants. Illegal immigrants have, in an apparent demonstration of power, been asking Greek drivers to show their IDs and driver's licenses. They have established checkpoints as an occupation army does. The government and the police did nothing to stop them. People showed their documents because of the great numbers of migrants; the drivers were evidently scared for their lives and their cars, and did not want things to get nasty. If you consider that the police were just watching all this passively, the drivers did not have much choice.

Another day, illegal immigrants blocked a road because they apparently did not have a good enough internet connection in the "refugee shelter."

How would Americans feel if Muslim illegal immigrants living in America said that they were offended by the Statue of Liberty because she was not wearing a burqa?

The Archbishop of Athens and All Greece, Hieronymus, last March removed his cross, the symbol of Christianity, from his vestments during his visit to the Port of Piraeus, in order, he said, not to "offend" the Muslim migrants.

Archbishop Hieronymus of Athens and All Greece is pictured distributing food to migrants at the Port of Piraeus. The Archbishop removed his cross from his vestments during the visit to Piraeus, in order, he said, not to "offend" the Muslim migrants. (Image source: HellasNewsTv video screenshot)

Who warned him that Muslim migrants would be offended by his cross? What would they do if the Archbishop visited them while wearing his cross? Would they kill him? Would they burn the city of Piraeus? They would wage jihad against the Greek people?

Why are we hiding the symbols of our faith from people who come illegally and uninvited into our countries? What power could make an Archbishop remove the symbol of his faith, apart from a country's political power?

The problem in Greece is not only the government or the mismanagement of illegal immigration. All traditional mainstream political parties in Greece, directly or indirectly, have been encouraging illegal immigration and the transfer of huge Muslim populations into Greek society. They obey the self-destructive EU policies on immigration that could eventually cause the end of the Hellenic-Judeo-Christian values of Europe, such as individual freedom, critical thinking and dispassionate inquiry.

We Greeks have already been crushed by Islam, by the twentieth century genocide in Turkey — that even now targets anyone not Muslim such as Christians, Alevis and Kurds — and the more recent Turkish occupation of Cyprus, again with the world's complicity.

In spite of that, the mainstream political parties clearly do not care about protecting the nation, its identity or the safety of its citizens.

The establishment in Greece is a miniature of the American establishment: politicians and institutions of government corrupted to the bones, mainstream media and oligarchical fans of globalization. Greece is, in fact, being paid 198 million euros for the refugees.

The Greek establishment suffers from the same symptoms as Western European and American regimes. They no longer believe in the foundations of the Republic: "Vox Populi, Vox Dei": the voice of the people is the voice of God.

The political establishment, when the public does not agree with their policies about illegal immigration and the protection of national identity, prefers to blame the voters for immaturity, stupidity or fascism. So as the voters persist in retaining their views for national identity and against illegal immigration, the elites in Greece are replacing the native population by giving the illegal immigrants citizenship.

That is their solution to the migration crisis and Greece's economic meltdown, from failed authoritarian policies of the unelected, unaccountable and untransparent EU. What is happening in Greece, as in much of Europe, is actually a massive replacement of its population, values and way of life. There is only one way now to save what is left of Greece: The British way. Exit. Now.

 

via http://ift.tt/2dJSfN6 Tyler Durden