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J.P. Morgan pares year-end forecast on three-month LIBOR

FILE PHOTO: A J.P. Morgan logo is seen in New York City
FILE PHOTO: A J.P. Morgan logo is seen in New York City, U.S. January 10, 2017. REUTERS/Stephanie Keith

March 15, 2019

NEW YORK (Reuters) – J.P. Morgan analysts said on Friday what banks charge each other to borrow dollars for three months will likely end 2019 at about 2.65 percent, which was below their prior forecast of 2.90 percent, due to expectations the Federal Reserve would not raise rates this year.

Earlier Friday, the London interbank offered rate (LIBOR) for three-month dollars was fixed at 2.62525 percent, the highest level since Feb. 27.

(Reporting by Richard Leong; Editing by Chizu Nomiyama)

Source: OANN

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U.S. services, private payrolls data highlight slowing economy

FILE PHOTO: A healthcare worker prepares for a patient at an onsite health clinic at the Intel corporate campus in Hillsboro
FILE PHOTO: A healthcare worker prepares for a patient at an onsite health clinic at the Intel corporate campus in Hillsboro, Oregon, U.S., April 25, 2018. REUTERS/Caroline Humer/File Photo

April 3, 2019

By Lucia Mutikani

WASHINGTON (Reuters) – U.S. services sector activity hit a more than 19-month low in March and private payrolls grew less than expected, underscoring a loss of momentum in the economy that supports the Federal Reserve’s move to suspend interest rate hikes this year.

The reports on Wednesday came on the heels of some modestly upbeat data earlier in the week, including retail and motor vehicle sales and manufacturing. Investors are worried about a sharp slowdown in economic growth in the first quarter.

The Fed last month ended its three-year campaign to tighten monetary policy, dropping projections for any interest rate increases this year. The U.S. central bank lifted borrowing costs four times in 2018.

“The yin and yang of the numbers makes it clear that the year of tax-induced solid growth is over,” said Joel Naroff, chief economist at Naroff Economic Advisors in Holland, Pennsylvania. “But growth is still decent.”

The Institute for Supply Management (ISM) said its non-manufacturing activity index fell 3.6 percentage points to 56.1, the lowest since August 2017. A reading above 50 indicates expansion in the sector, which accounts for more than two-thirds of U.S. economic activity.

Last month’s sharp slowdown in services industry activity reflected a 7.3 points drop in the production subindex. Activity was also weighed down by decreases in new and export orders measures. A gauge of service sector employment rose. But many industries continued to believe that their inventories were too high, a potential hurdle for increased production.

The ISM said while businesses in the services sector remained mostly optimistic about overall business conditions and the economy, “they still have underlying concerns about employment resources and capacity constraints.”

It said 16 industries, including utilities, real estate, finance and insurance, healthcare and social assistance, information, and professional, scientific and technical services reported growth last month. The two industries reporting contraction were education services and retail trade.

WORKER SCARCITY

Businesses in the accommodation and food services industry complained that “labor is tight and in short supply.” Similar complaints were also voiced by businesses in the transportation and public administration sectors.

Miners said activity “held flat,” while businesses in the professional, scientific and technical services reported that an “initial surge in business at the beginning of the year has peaked and settled to a more stable level.”

The economy is losing speed as stimulus from the Trump administration’s $1.5 trillion in tax cuts diminishes. It is also facing headwinds from slowing global growth, Washington’s trade war with China and uncertainty over Britain’s exit from the European Union.

Growth estimates for the first-quarter range from as low as a 1.4 percent annualized rate to as high as a 2.1 percent pace. The economy grew at a 2.2 percent pace in the fourth quarter.

“For the most part, GDP source reports have firmed lately following some very weak readings around the turn of the year,” said Daniel Silver, an economist at JPMorgan in New York. “The timelier survey data signal that the recent firming may be temporary.”

The dollar was trading lower against a basket of currencies. U.S. Treasury prices fell, while stocks on Wall Street rose.

The shortage of workers could be curbing job growth. The ADP National Employment Report on Wednesday showed private employers added 129,000 jobs in March, the fewest since September 2017, after creating 197,000 positions in February.

The ADP figures came ahead of the Labor Department’s more comprehensive non-farm payrolls report on Friday, which includes both public- and private-sector employment.

The ADP report, which is jointly developed with Moody’s Analytics, has a poor record predicting the private payrolls component of the government’s employment report. But job growth has slowed from last year’s 223,000 monthly average pace.

Economists polled by Reuters are looking for private payroll employment to have grown by 170,000 jobs in March, up from 25,000 the month before. Total non-farm employment is expected to have increased by 180,000 jobs after a paltry 20,000 gain in February.

“There is sure to be a bounce back in the official data given how weak February was, the only question is how big it will be?” said Paul Ashworth, chief U.S. economist at Capital Economics in Toronto.

According to the ADP report, employment in the goods producing sector fell by 6,000 jobs in March, with manufacturing payrolls shrinking 2,000 and construction shedding 6,000 positions. The services sector added 135,000 jobs last month, concentrated in professional and education and health services.

(Reporting By Lucia Mutikani; Additional reporting by Dan Burns in New York; Editing by Bernadette Baum and Andrea Ricci)

Source: OANN

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German comedian loses case against Merkel over Erdogan poem

A German comedian has lost a court case against Chancellor Angela Merkel's description of a crude poem he wrote about Turkish President Recep Tayyip Erdogan as "deliberately hurtful."

Amid tensions with Turkey over a TV satire poking fun at Erdogan, Jan Boehmermann read the poem on television in 2016 to illustrate something he said wouldn't be allowed in Germany.

Merkel's spokesman said she considered the poem "deliberately hurtful," which Merkel later said was a mistake. Prosecutors dropped an investigation of Boehmermann for lack of evidence of any crime.

Berlin's administrative court on Tuesday rejected Boehmermann's bid to ban the government from repeating Merkel's assessment, since it was clear that wouldn't happen. It also found Merkel's comments weren't unlawful and didn't constitute "prejudgement" of the case against Boehmermann.

Source: Fox News World

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Alex Jones And Lawyer Respond To Sandy Hook Show Trials

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Source: InfoWars

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Brexit delay puts brake on share trading move from London to EU

Reactions following vote on Brexit 'plan B'
A dealer works at his desk whilst screens show market data following a vote on Prime Minister Theresa May's Brexit 'plan B' at CMC Markets in London, Britain, January 30, 2019. REUTERS/Dylan Martinez

March 29, 2019

By Huw Jones

LONDON(Reuters) – Cboe and other share trading platforms have put on hold plans to move share trading from London to Amsterdam on Monday as Britain delays Brexit for at least two weeks.

British lawmakers voted down Prime Minister Theresa May’s divorce settlement for the third time on Friday. Britain will now leave the EU on April 12 unless an alternative is agreed with Brussels.

Stock, bond and trading platforms have largely favored Amsterdam for opening new EU hubs, several of which were due to start trading on April 1, given that Britain had been due to leave the bloc on Friday, March 29.

“Cboe continues to discuss launch timing with our regulators and customers,” the European arm of the U.S. exchange said. It will provide a further update at the end of next week.

Cboe accounts for nearly a fifth of pan-European share trading, and dealings in euro denominated shares had been due to move from its London unit to Amsterdam on April 1.

The London Stock Exchange’s Turquoise pan-European share trading unit has also opened a hub in Amsterdam. It said that its start has now been delayed until further clarity on the Brexit timetable emerges.

Aquis Exchange began offering trading in 12 stocks on its new Paris platform on March 20, but said it will now only add more stocks as members require and clarity on Brexit emerges.

However U.S. exchange CME moved trading in European government bonds and euro repurchase agreements from London to Amsterdam on March 18.

“They are trading from Amsterdam,” a CME spokeswoman said. Clearing in those contracts, the second leg of a securities trade, has moved from London to Paris.

MarketAxess’s new Amsterdam hub is still due to go live on Monday to trade the same range of fixed income products in London.

The new hubs are unlikely to be shelved any time soon given the risk of a no-deal Brexit.

The EU’s European Securities and Markets Authority has said that under a no-deal Brexit, over 6,000 European shares and 14 UK shares can only be traded on platforms inside the bloc.

Furthermore, banks play a core role in share trading, and many in London have opened up new hubs in Frankfurt and elsewhere to avoid disruption from Brexit.

They took with them a trillion pounds in stocks, bonds and derivatives belonging to EU customers, making it more likely they will trade inside the bloc in future.

(Reporting by Huw Jones)

Source: OANN

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Silence and tears: Reporting the massacre in Christchurch

FILE PHOTO: A police officer stands guard outside Al Noor mosque in Christchurch
FILE PHOTO: A police officer stands guard outside Al Noor mosque in Christchurch, New Zealand, March 22, 2019. REUTERS/Jorge Silva/File Photo

April 3, 2019

By Charlotte Greenfield and Tom Westbrook

CHRISTCHURCH (Reuters) – “Almost every person we spoke to was in some stage of grief, trauma or shock,” says Charlotte Greenfield, the first Reuters correspondent to reach Christchurch, New Zealand, on the night a gunman opened fire in two mosques and killed 50 people.

“My first priority was to not traumatize anyone again, my second was to gather the information I needed to tell the story accurately and as deeply as possible.”

The challenge for any journalist covering the massacre was the struggle to remain dispassionate when the country was in shock and people being interviewed had suffered such sudden tragedy. Reuters had a team of nine reporters, photographers and TV journalists in Christchurch to report on the massacre.

Greenfield had the added challenge of being a New Zealander. She felt personally closer to events than many other journalists.

When she flew into Christchurch that night from Wellington, on one of the last planes to land before flights were stopped for security reasons, Greenfield saw heavily armed policemen at the airport, and heard ambulances wailing and the sound of low-flying helicopters.

“The only other place I had heard that sound at that intensity was in Kabul, where I had been working in January. That first night, I woke up often, thinking I was back in Afghanistan,” says Greenfield, who has also worked in Indonesia, where she covered a 2014 plane crash that killed all 162 on board.

She said she struggled the next day to remain calm when interviewing people who had lost loved ones.

“The way that seemed to work best to speak to people was to always start first by asking how they were and trying to express compassion for their loss,” Greenfield says. She would converse, she said, “if they felt like talking.”

“It was really the subject I was interviewing who taught me that, from the man I walked beside in the park who told me of his dramatic escape from the mosque, to the woman who wanted to show me photos of her husband who had died after running back to the mosque after initially getting out.

“Very often, and still now, a few tears came to my eyes. So far as I can tell, the people I spoke to didn’t seem to mind.”

Sydney correspondent Tom Westbrook, who arrived in Christchurch the next day, says he was struck by the silence in the city. The man suspected to be the gunman had been apprehended and Christchurch was dealing with its grief.

“For the next five days, I barely heard a conversation above a murmur,” Westbrook says. “It was a city in shock. At makeshift shrines to the victims, people gathered in silence, tears rolling down their faces.

“The loudest sounds were of buzzing cicadas, rustling oak trees and humming generators set up by television networks to power the satellite dishes they were using to transmit their broadcasts.”

“HORRIFIED SOUL-SEARCHING”

Westbrook is based in Sydney, Australia, where he mainly reports on company news: profits, losses, stock prices up or down.

He said he had many difficult conversations with the bereaved.

“One of hardest discussions was with Farid Ahmed, whose wife Husna was gunned down, while he survived. As he spoke for over two hours, with a television camera rolling, I was close to tears.”

As a journalist, though, he had to set the emotion aside to make sure he was reporting the story right, Westbrook said.

“We had to check a lot of things with him: where were you, exactly, in the mosque, which way did you get out, what is the name of Husna’s school? It is not easy to check all these things with someone who is very emotional and maybe not thinking clearly themselves, and to raise them in a way that is delicate.”

For Farid’s story click

Greenfield says as a New Zealander of European descent, covering the massacre by a suspected white supremacist also brought up “horrified soul-searching”.

“I had not quite felt so personally wrapped up in such harrowing questions in the midst of a story before,” she says.

“The Friday a week after the attacks, came a moment of catharsis interwoven with sorrow.

“After the call to prayer, the country came to a standstill for two minutes. School children stopped their lessons and sat cross legged and eyes closed, tradesmen put down their tools, immigration staff stopped processing people at the border, most air traffic radios went silent, and around the country thousands stood outside mosques, leaving a long passage for those entering to pray.

“For a moment, the only story was silence.”

(Editing by Raju Gopalakrishnan)

Source: OANN

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Yen strengthens, shares skid on U.S. recession fears

Illustration photo of a Japan Yen note
A Japan Yen note is seen in this illustration photo taken June 1, 2017. REUTERS/Thomas White/Illustration

March 24, 2019

By Swati Pandey

SYDNEY (Reuters) – The Japanese yen hovered near a six-week high on Monday while Asian shares are expected to start lower as risk assets fell out of favor on growing worries about an impending U.S. recession, sending global bond yields plunging.

In Asia, Nikkei futures pointed to a weak start for Japan. Australian shares fell 0.3 percent at the open while New Zealand’s benchmark index faltered 0.9 percent.

Investors also kept one eye on the details of a nearly two-year U.S. investigation which found no evidence of collusion between Donald Trump’s election team and Russia, in a major political victory for the U.S. President.

U.S. stock futures were marginally higher during early Asian hours.

On Friday, all three major U.S. stock indexes registered their biggest one-day percentage losses since Jan.3 with the Dow sliding 1.8 percent, the S&P 500 off 1.9 percent and the Nasdaq dropping 2.5 percent.

Concerns about the health of the world economy heightened last week after cautious remarks by the U.S. Federal Reserve sent 10-year treasury yields to the lowest since early 2018. Adding to the fears of a more widespread global downturn, manufacturing output data from Germany showed a contraction for the third straight month.

In response, 10-year treasury yields slipped below the three-month rate for the first time since 2007. Historically, an inverted yield curve – where long-term rates fall below short-term – has signaled an upcoming recession.

“We have re-run our preferred yield curve recession models, which now suggest a 30-35 percent chance of a U.S. recession occurring over the next 10‑18 months,” said Tapas Strickland, markets strategist at National Australia Bank.

Typically a 40-60 percent probability sees a recession within the next 10-18 months, Strickland added, basing the analysis on previous recessions.

“The risk of a U.S. recession has risen and is flashing amber and this will keep markets pricing a high chance of the Fed cutting rates.”

Much of the concerns around global growth is stemming from Europe and China which are battling separate tariff wars with the United States. Political turmoil in Britain over the country’s exit from the European Union is also a major overhang for risk assets.

On Sunday, Rupert Murdoch’s Sun newspaper said in a front page editorial British Prime Minister Theresa May must announce on Monday she will stand down as soon as her Brexit deal is approved.

The British pound was last flat at $1.3209 after three straight days of wild gyrations. The currency slipped 0.7 percent last week.

Politics was also in focus in the United States.

The long-awaited Mueller report into whether Trump’s campaign colluded with Russia to help Trump defeat his Democratic opponent, Hillary Clinton, marked a major milestone of his presidency as he prepares for his 2020 re-election battle.

In currency markets, the Japanese yen – a perceived safe haven – held near its highest since Feb. 11. It was last off 0.1 percent at 110.04 per dollar.

The Australian dollar, a liquid proxy for risk play, was down for its third straight session of losses at $0.7072.

(Editing by Shri Navaratnam)

Source: OANN

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FILE PHOTO: Naqvi Founder and Group Chief Executive of Abraaj Group attends the annual meeting of the WEF in Davos
FILE PHOTO: Arif Naqvi, Founder and Group Chief Executive of Abraaj Group attends the annual meeting of the World Economic Forum (WEF) in Davos, Switzerland, January 17, 2017. REUTERS/Ruben Sprich/File Photo

April 26, 2019

By Tom Arnold

LONDON (Reuters) – A London court case to extradite Arif Naqvi, founder of collapsed private equity firm Abraaj Group, to the United States on fraud charges was adjourned until May 24, a court official said on Friday.

Naqvi was remanded in custody until that date, the official said. A former managing partner of Dubai-based Abraaj, Sev Vettivetpillai, was released on conditional bail to appear again at Westminster Magistrates Court on June 12, the official said.

Under the U.S. charges, both men are accused of defrauding U.S. investors by inflating positions held by Abraaj in order to attract greater funds from them, causing them financial loss, the official said.

Vettivetpillai could not be reached for a comment.

Naqvi, in a statement released through a PR firm, has pleaded innocent.

The U.S. Securities and Exchange Commission alleges that Naqvi and his firm raised money for the Abraaj Growth Markets Health Fund, collecting more than $100 million over three years from U.S.-based charitable organizations and other U.S. investors.

Naqvi and Vettivetpillai were arrested in Britain earlier this month. Another executive, Mustafa Abdel-Wadood was arrested at a New York hotel, Assistant U.S. Attorney Andrea Griswold said at a hearing in Manhattan federal court on April 11.

Abdel-Wadood appeared at the Manhattan hearing and pleaded not guilty to securities fraud, wire fraud and conspiracy charges.

(Editing by Jane Merriman)

Source: OANN

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Former Vice President Joe Biden announces his 2020 candidacy
Former U.S. Vice President Joe Biden announces his candidacy for the Democratic presidential nomination in this still image taken from a video released April 25, 2019. BIDEN CAMPAIGN HANDOUT via REUTERS ATTENTION EDITORS – THIS IMAGE HAS BEEN SUPPLIED BY A THIRD PARTY. NO RESALES. NO ARCHIVES

April 26, 2019

By James Oliphant

WASHINGTON (Reuters) – Former U.S. Vice President Joe Biden, in his first interview as a Democratic presidential candidate, said on Friday that he does not believe he treated law professor Anita Hill badly during the 1991 confirmation hearings for Supreme Court Justice Clarence Thomas.

Biden had joined the burgeoning 2020 Democratic field a day earlier.

Biden’s conduct during those hearings, when he was chairman of the U.S. Senate Judiciary Committee, became a renewed subject of controversy after the New York Times reported that Biden had called Hill earlier this month in the run-up to his presidential bid and that Hill was dissatisfied with Biden’s expression of regret.

Appearing on ABC’s “The View,” Biden largely defended his actions as a senator almost 30 years ago, saying he believed Hill’s allegations of sexual harassment levied at Thomas and tried to derail his confirmation.

Activists have long been unhappy that Hill was questioned in graphic detail by the all-white, all-male committee chaired by Biden.

“I’m sorry she was treated the way she was treated,” Biden said, but later, he asserted, “I don’t think I treated her badly. … How do you stop people from asking inflammatory questions?”

“There were a lot of mistakes made across the board and for those I apologize,” he said.

Biden praised Hill as “remarkable” and said she is “one of the reasons we have the #MeToo movement.”

Asked why he had not reached out to Hill earlier, Biden said he had previously publicly stated he had regrets about her treatment and that he “didn’t want to quote invade her space.”

That seemed to be a reference to another controversy that looms over Biden’s presidential run: allegations by several women that he made them uncomfortable by touching them at political events.

Biden also addressed that criticism, saying he was now more “cognizant” about a woman’s “private space.” But he maintained that he had been “trying to bring solace.”

He suggested he was still trying to sort out the guidelines for his conduct going forward.

“I should be able to read better,” he said. “I have to be more careful.”

Pressed by the show’s panel for an apology to his accusers, Biden would not entirely capitulate.

“So, I invaded your space,” he replied. “I mean, I’m sorry this happened. But I’m not sorry in a sense that I think I did anything that was intentionally designed to do anything wrong or be inappropriate.”

Biden, 76, served as former President Barack Obama’s vice president for two terms. He is competing with 19 others for the Democratic presidential nomination and the chance to likely face President Donald Trump next year in the general election.

His first public event as a presidential candidate is scheduled for Monday in Pittsburgh.

(Reporting by James Oliphant; editing by Jonathan Oatis)

Source: OANN

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FILE PHOTO: The logo of Tesla is seen in Taipei
FILE PHOTO: The logo of Tesla is seen in Taipei, Taiwan August 11, 2017. REUTERS/Tyrone Siu/File Photo

April 26, 2019

By Noel Randewich

SAN FRANCISCO (Reuters) – Tesla Inc’s stock slumped over 4% on Friday to its lowest price in two years, rounding out a rough week that included worse-than-expected quarterly results and a pitch by Chief Executive Elon Musk on autonomous cars that failed to win over investors.

With investors betting Tesla will soon raise capital, the stock has fallen 13% for the week to its lowest level since January 2017, before the launch of the Model 3 sedan aimed at making the electric car maker profitable.

One positive development for Tesla: a U.S. District Court judge on Friday granted a request by Musk and the Securities and Exchange Commission for a second extension to resolve a dispute over Musk’s use of Twitter.

On Wednesday, Tesla posted a worse-than-expected loss of $702 million for the March quarter. Musk said Tesla would return to profit in the third quarter and that there was “some merit” to raising capital.

Musk is still battling to convince investors that demand for the Model 3, the company’s first car aimed at the mass consumer market, is “insanely” high, and that it can be delivered efficiently to customers around the world.

Tesla ended its first quarter with $2.2 billion, down from $3.7 billion in the prior quarter, and the company is planning expansions including a Shanghai factory, an upcoming Model Y SUV, and other projects.

(GRAPHIC: Tesla’s cash – https://tmsnrt.rs/2DyJjX6)

On Monday, Musk hosted a self-driving event, where he predicted Tesla would have over a million autonomous vehicles by next year. Some analysts perceived the presentation as a way to deflect attention from questions about demand, margin pressure, increasing competition and even Musk’s ongoing battle with U.S. regulators.

Tesla’s stock has now fallen 29 percent in 2019 and the company’s market capitalization has declined to $41 billion from $63 billion in mid-December.

(GRAPHIC: Tesla’s declining market cap – https://tmsnrt.rs/2Dwd62r)

Analysts now expect Tesla’s revenue to expand 19% in 2019, compared with 83% growth in 2018 and 68% growth in 2017, according to Refinitiv.

Following Tesla’s quarterly report, 12 analysts recommend selling the stock, while 11 recommend buying and eight are neutral. The median analyst price target is $275, up 16% from the stock’s current price of $236. Berenberg analyst Alexander Haissl has the most optimistic price target, at $500, while Cowen and Company’s Jeffrey Osborne has the lowest, at $160, according to Refinitiv.

(Reporting by Noel Randewich; editing by Jonathan Oatis)

Source: OANN

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Former Arkansas Governor Mike Huckabee said Friday that Deputy Attorney General Rod Rosenstein’s rare public criticism of the Obama administration was a “soft” way of accusing the previous administration of covering up Russia’s attempts at hacking the 2016 presidential election.

While speaking Thursday in New York at the Public Servants Dinner of the Armenian Bar Association, Rosenstein said that the Obama administration “chose not to publicize the full story about Russian computer hackers and social media trolls and how they relate to Russia’s broader strategy to undermine America.”

During an appearance on “America’s Newsroom” Friday morning, Huckabee called the comments an “unusually candid moment for Rosenstein.”

“I thought it was a soft way of him saying there was a cover-up,” Huckabee said. “They knew the Russians were attempting to influence the election and attempting to hack the election but they didn’t fully disclose that to the American people and certainly didn’t disclose it to the Trump campaign.

SWALWELL NOT CERTAIN TRUMP ISN’T A ‘RUSSIAN ASSET’

“Instead they tried to set a trap for them. It failed. The Trump team did not take the bait. And that’s the one conclusion that we can certainly come away with from the $35 million worth of investigation,” Huckabee continued.

Next week, Attorney General William Barr will testify before Congress and is expected to answer questions about Special Counsel Robert Mueller’s investigation of President Trump, which found that there was not adequate evidence to conclude that President Trump and his administration colluded with Russia, though the president could not be exonerated in terms of the possibility that he obstructed justice.

Barr will testify to the Senate Judiciary Committee next Wednesday and to the House Judiciary Committee the following day.

TRUMP ASSESSES 2020 DEMS; TAKES SWIPES AT BIDEN, SANDERS; DISMISSES HARRIS, O’ROURKE; SAYS HE’S ROOTING FOR BUTTIGIEG 

“It is going to be a theater, an absolute show,” Huckabee said of the hearings. “Just like the Kavanaugh hearings were and like everything else is in Congress. We ought to close the curtain on them and can’t come back until after the election. They aren’t doing their job anyway. We aren’t paying them because they’re doing a wonderful service to the country and spare us the hypocrisy of thinking they’re interested in getting to the bottom of the facts,” he continued.

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Ultimately, Huckabee argued, if Americans “took their partisan hats off,” they would see that President Trump was exonerated by the investigation.

Source: Fox News Politics

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Sri Lanka's former defense secretary Gotabaya Rajapaksa greets his supporters after his return from the United States, in Katunayake
Sri Lanka’s former defense secretary Gotabaya Rajapaksa greets his supporters after his return from the United States, in Katunayake, Sri Lanka April 12, 2019. REUTERS/Dinuka Liyanawatte

April 26, 2019

By Sanjeev Miglani and Shihar Aneez

COLOMBO (Reuters) – Sri Lanka’s former wartime defense chief, Gotabaya Rajapaksa, said on Friday he would run for president in elections this year and would stop the spread of Islamist extremism by rebuilding the intelligence service and surveilling citizens.

Gotabaya, as he is popularly known, is the younger brother of former President Mahinda Rajapaksa and the two led the country to a crushing defeat of separatist Tamil rebels a decade ago after a 26-year civil war.

More than 250 people were killed in bomb attacks on hotels and churches on Easter Sunday that the government has blamed on Islamist militants and that Islamic State has claimed responsibility for.

Gotabaya said the attacks could have been prevented if the island’s current government had not dismantled the intelligence network and extensive surveillance capabilities that he built up during the war and later on.

“Because the government was not prepared, that’s why you see a panic situation,” he said in an interview with Reuters.

Gotabaya said he would be a candidate “100 percent”, firming up months of speculation that he plans to run in the elections, which are due by December.

He was critical of the government’s response to the bombings. Since the attacks, the government has struggled to provide clear information about how they were staged, who was behind them and how serious the threat is from Islamic State to the country.

“Various people are blaming various people, not giving exactly the details as to what happened, even people expect the names, what organization did this, and how they came up to this level, that explanation was not given,” he said.

On Friday, President Maithripala Sirisena said the government led by premier Ranil Wickremesinghe should take responsibility for the attacks and that prior information warning of attacks was not shared with him.

Wickremesinghe said earlier he was not advised about warnings that came from India’s spy service either, presenting a picture of a government still in disarray since the two leaders fell out last October.

Gotabaya is facing lawsuits in the United States, where he is a dual citizen, over his role in the war and afterwards.

The South Africa-based International Truth and Justice Project, in partnership with U.S. law firm Hausfeld, filed a civil case in California this month against Gotabaya on behalf of a Tamil torture survivor.

In a separate case, Ahimsa Wickrematunga, the daughter of murdered investigative editor Lasantha Wickrematunga, filed a complaint for damages in the same U.S. District Court in California for allegedly instigating and authorizing the extrajudicial killing of her father.

Gotabaya said the cases were baseless and only a “little distraction” as he prepared for the election campaign. He said he had asked U.S. authorities to renounce his citizenship and that process was nearly done, clearing the way for his candidature.

‘DISMANTLE THE NETWORKS’

He said that if he won, his immediate focus would to be tackle the threat from radical Islam and to rebuild the security set-up.

“It’s a serious problem, you have to go deep into the groups, dismantle the networks,” he said, adding he would give the military a mandate to collect intelligence from the ground and to mount surveillance of groups turning to extremism.

Gotabaya said that a military intelligence cell he had set up in 2011 of 5,000 people, some of them with Arabic language skills and that was tracking the bent towards extremist ideology some of the Islamist groups were taking in eastern Sri Lanka was disbanded by the current government.

“They did not give priority to national security, there was a mix-up. They were talking about ethnic reconciliation, then they were talking about human rights issues, they were talking about individual freedoms,” he said.

President Sirisena’s government sought to forge reconciliation with minority Tamils and close the wounds of the war and launched investigations into allegations of rights abuse and torture against military officers.

Officials said many of these secret intelligence cells were disbanded because they faced allegations of abuse, including torture and extra judicial killings.

Muslims make up nearly 10 percent of Sri Lanka’s population of 22 million, which is predominantly Buddhist.

(Reporting by Sanjeev Miglani; Editing by Frances Kerry)

Source: OANN

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