'Calm before the storm' in Tripoli, on front lines of Libya's civil war

Abstract: TRIPOLI - As meat sizzled on a barbecue in a Tripoli suburb, Libyan fighters on the front lines defending the capital from a military offensive rested during “the calm before the storm.” “We don’t deprive ourselves of anything,” said a fighter who traveled some 200 kilometers (120 miles) from the city of Misrata to join pro-government forces. He snapped a photo for his daughter “who wants to know tonight’s menu,” as the men prepared to tuck into stuffed pigeons and grilled meat. At a farm in the suburb of Al-Swani, 25 km south of Tripoli, preparations to break the daily Ramadan fast were relaxed despite airstrikes a few hundred meters away. “But it’s the calm before the storm,” said Hamza al-Hsan, a commander of Misrata’s Battalion 166. The armed group is one of many to join the battle on the side of the Tripoli-based Government of National Accord (GNA), after eastern commander Khalifa Hifter launched his assault on the capital. Fierce clashes followed the launch of Hifter’s offensive on April 4, but the fighting has become sporadic in the densely populated southern suburbs. With pro-government forces successfully stopping Hifter from reaching the city center, the front lines — which stretch for more than 100 km — have been virtually frozen for weeks. “We are still in a position of defense. We were not ready for this war,” said Hsan, claiming their adversary had been preparing for years. He said pro-GNA forces have so far been satisfied with their defensive positions, but will “soon” take an offensive stance. “We are getting organized and we are just beginning to use heavy weapons. (Victory) is a question of time,” he said. Like many Misrata fighters, he is a veteran of the 2015 battle to drive the Islamic State group from the city of Sirte. “I had to finish that battle alone,” said Hsan, after his father was killed and his brother Mohamad was wounded fighting the jihadis. Mohamad returned to the front lines, this time in Tripoli to face Hifter’s forces, only to be wounded again days ago. “We have lost those who are dear to us. Others are still feeling the consequences of the war against IS,” said Hsan, drinking tea among fellow fighters. And yet “lately Hifter says he’s come to fight terrorists,” he added. Hifter’s self-styled Libyan National Army (LNA) overran swathes of the country’s south earlier this year in a bid to combat what he deemed to be “terrorists,” taking over remote oil fields and oasis cities. Turning his attention to Tripoli, the strongman vowed to “cleanse” the capital of “terrorists and mercenaries.” But critics accuse Hifter of wanting to take power by force. “Despite his propaganda, Hifter can’t hold on for a long time,” more than 1,000 km from his bases in eastern Benghazi, said Hsan. “The longer the war lasts, the more it will be to our advantage,” he added. Ibrahim Riadh, a 35-year-old fighter in charge of reconnaissance, said his group has experience on their side. Armed with just two amateur drones, he said he is able to gather detailed information on enemy positions — as he did during the fight against IS. “Hifter thought that Tripoli would be easy. He forgot a very important element: the men he’s up against fought for eight months against IS, whose fighters have the most fierce reputation,” said Riadh. The morale of Hifter’s forces “is below zero. They have tried numerous times (to enter Tripoli) and have not succeeded.” “It’s like when you fail an exam four or five times,” he remarked. While the GNA has allowed dozens of foreign media outlets to cover the fighting, no independent journalists have been given access by Hifter’s forces. Instead, the LNA regularly posts images on social media. “We have nothing to hide,” said one Battalion 166 fighter. “Why doesn’t Hifter give access to the press? It’s because he certainly has things that he doesn’t want to show.” Sitting on red cushions with food placed on carpets before them, the men turned their attention to the upcoming Eid al-Fitr festival which marks the end of Ramadan. Struggling to hide his emotion, Riadh said he was not worried about being away from his family “because I’m there to defend them. “I might not see the results of what we are doing today, but my children will,” he said.


Aided by Russian airstrikes, Syrian troops take village in last rebel stronghold in Idlib

Abstract: BEIRUT - Syrian troops captured on Monday a village in the last rebel stronghold in the northwest province of Idlib, while a government airstrike killed at least three people, opposition activists and state media said. The Britain-based Syrian Observatory for Human Rights, an opposition war monitor, said the government forces had reached the village of Qassabiyeh under the cover of Russian and Syrian airstrikes. The pro-government Syrian Central Military Media also confirmed that village’s capture. The Observatory said the battle left 25 militants and 12 pro-government fighters dead. The latest fighting began a month ago, when Syrian troops advanced into the enclave from the south and unleashed a wave of intense bombing. The violence has displaced tens of thousands of people. The area is home to 3 million people, and is already overcrowded with refugees from the war. Idlib province is the last area standing in President Bashar Assad’s way as he seeks a final victory against the armed opposition after eight years of civil war. Opposition activists reported airstrikes and shelling of other towns and villages in Idlib on Monday. The Observatory said four people were killed and others wounded in an airstrike on a market in the town of Maaret al-Numan. The opposition’s Syrian Civil Defense, also known as White Helmets said the strike killed three and wounded 20. Monday’s violence came as the New York-based Human Rights Watch said the Russian-Syrian joint military operation “has used internationally banned and other indiscriminate weapons in unlawful attacks on civilians in northwest Syria in recent weeks.” It said the alliance has used banned cluster munitions and incendiary weapons in the attacks along with large air-dropped explosive weapons with wide-area effects, including “barrel bombs” in populated civilian areas. “The Syrian-Russian military alliance is using a cocktail of internationally banned and indiscriminate weapons on a trapped civilian population,” said Lama Fakih, acting Middle East director at Human Rights Watch.

conflict
russia
syria
bashar assad
idlib


Death toll from Danube tour boat collision rises to at least nine, with 19 still missing

Abstract: BUDAPEST - Divers recovered the bodies Monday of two more victims who were on a tour boat that capsized and sank in the Danube River after a collision with a river cruise ship, Hungarian officials said. The grim work brought the accident’s death toll to nine, while 19 of the 35 people who were on the sightseeing boat remain missing. The Hableany (Mermaid) carried 33 South Korean passengers and two crew members when it was struck by the larger cruise ship, near the Hungarian Parliament building in Budapest. Seven people were confirmed dead hours after the Wednesday sinking, leaving the seven who were rescued as the only confirmed survivors so far. The agency leading salvage operations said divers found the eighth body in the water Monday morning during an inspection of the wreck. Korean divers assisting in the search brought to the surface in the afternoon. Police said a ninth body, belonging to a male, was located Monday night downstream at the village of Harta, 110 km (68 miles) by road from Budapest. The victim’s nationality was not revealed. Relatives of some of the missing South Korean tourists briefly watched the search and salvage maneuvers from the Margit Bridge, above the accident site in downtown Budapest. Janos Hajdu, the head of the government agency coordinating search and rescue efforts, said Hungarian and South Koreans divers were working together to locate any bodies possible trapped in the wreckage. Despite a few test dives last week, the Danube’s fast flow, its high springtime water levels and near zero visibility under water have prevented divers from reaching the sunken boat. “We will do everything except for one thing — entering the boat’s wreckage is strictly forbidden,” Hajdu said. “It is an absolutely life-threatening maneuver but on this we agree with our partners.” Hajdu said the wreckage was located 9 meters (29½ feet) deep, about 3 meters (9 feet, 10 inches) lower than previous official estimates. A huge floating crane that can lift 200 tons is expected to be at the scene within days. Hungarian state television reported the crane was stranded roughly 120 km (74.5 miles) upriver, unable to pass under bridges on the way to Budapest because of the Danube’s high water levels. Shun-keun Song, military attache at the South Korean Embassy in Budapest, said relatives of the victims were anxious for news. “If conditions improve … the Korean divers would like to examine the hull of the boat,” he said. “The relatives in Korea are waiting very much for the missing family members to finally appear.” Zoltan Tolnay, captain of a sightseeing boat in Budapest, said he was about a mile south from the site of the collision when it happened. “I didn’t hear any communications between the two ships, the Viking and the Hableany, in which they would have talked,” Tolnay said. “I didn’t hear a warning. I didn’t hear any indications.” “What we saw was a boat sinking in complete silence into a grave beneath the waves.”

hungary
south korea
tourism
marine accidents


Sudan troops move to crush democracy movement, killing at least 30

Abstract: KHARTOUM - Sudan’s ruling military moved to crush the protest movement opposing its grip on power as security forces overran the main sit-in site in the capital early Monday, unleashing furious volleys of gunfire, burning down tents and killing at least 30 people, witnesses and protest leaders said. With the assault, the generals signaled an end of their tolerance of the pro-democracy demonstrators, who for months have been camped outside the military’s headquarters as the two sides negotiated over who would run the country after the April ouster of longtime strongman Omar al-Bashir. After they succeeded in forcing the military to remove al-Bashir, the protesters had stayed in the streets, demanding the generals move to the background and allow civilians to lead the transition. The dispersal of the sit-in now risks escalating violence even further. Scattered by the bloody assault, protesters vowed to keep up their campaign, suspending talks and calling for a general strike and civil disobedience. They urged nighttime marches across the country. “This is a critical point in our revolution. The military council has chosen escalation and confrontation,” said Mohammed Yousef al-Mustafa, a spokesman for the Sudanese Professionals’ Association, which has spearheaded the protests. “Those are criminals who should have been treated like al-Bashir,” he said. “Now the situation is either them or us, there is no other way.” The ruling military council said in a statement that security forces had been trying to clear an area adjacent to the protest camp when those it was chasing fled into the sit-in site, leading to the shooting deaths and injuries. But activists said the assault appeared to be a coordinated move, with other forces attacking similar sit-ins in Khartoum’s sister city of Omdurman and the eastern city of al-Qadarif. The attack came on the day before the Eid holiday that ends Ramadan, the holy month when Muslims fast during daylight hours. Large numbers of troops from the military, police and Rapid Support Forces — an elite unit that during the anti-al-Bashir protests had vowed to protect the sit-in — moved in on the gathering after overnight rains, activists said. “They are surrounding the sit-in from all directions,” one activist, Amal al-Zein, said early in the assault, in which the forces burned tents and arrested those trying to flee. An Associated Press journalist heard gunshots and explosions, and saw buses and soldiers on foot blocking roads leading to the protest site. In online videos, protesters were seen running and ducking as barrages of gunfire echoed. Smoke rose from tires set ablaze by the protesters. Demonstrators stood behind low barricades of bricks and dug-up pavement, and some threw stones before being driven back by walls of blue-clad security forces carrying sticks. One video showed police swarming around a protester sprawled on the ground, beating him with sticks. In another video, residents opened their doors to shelter those who ran. The Sudan Doctors’ Committee put the death toll at 30 and said it was rising, although it was difficult to count in the area outside the military complex in Khartoum. Hundreds of people were wounded, many by gunfire, the group said. Medical personnel and wounded were trapped in clinics as troops overran the area. “Wounded people are lying on the ground in the reception area as there are not enough beds,” said Dr. Azza al-Kamel of the Royal Care hospital. Hundreds were arrested, according to al-Zein and another activist, Hisham Shalabi. Photos posted online showed dozens of men and women lined up on the pavement, sitting or lying face down, under guard by troops. The assault ended the sit-in at the heart of the movement that echoed the 2011 Arab Spring uprisings — although Sudan’s sought to learn from the mistakes of other protesters. Its leaders insisted that the removal of al-Bashir after 30 years in power was not enough. Tens of thousands remained in place in Khartoum and other camps around the country, demanding a fast transition to civilian rule. The negotiations had imposed a degree of peace. But tensions mounted in recent weeks as the talks yielded little progress. The talks focus on the makeup of a transitional “sovereignty council” that would run the country for the next three years. Protesters demand the military have only limited involvement in the council, but the ruling generals have resisted relinquishing power. Just over a week ago, Gen. Abdel-Fattah Burhan, the head of the military council that is ruling Sudan, met with his two top allies, the president of Egypt and the crown prince of the United Arab Emirates. Those leaders backed al-Bashir’s removal and have given strong support to the military council. They also deeply oppose movements such as those that swept the region in 2011. The military council urged protest leaders to resume talks as soon as possible in order to “achieve the desired transformation.” Until now, negotiations over the transition had kept a tenuous level of peace. But after Monday’s attack, protest leaders suspended the talks with the military council and called for a general strike and “total civil disobedience.” In addition to calling for the nighttime marches, the Sudanese Professionals’ Association also called for closing off main roads to “paralyze public life” across the country. The Forces for Declaration of Freedom and Change, which represents the protesters in the negotiations, called for toppling the military council and more street protests. U.N. Secretary-General Antonio Guterres condemned the crackdown and called for authorities to allow an independent investigation, said his spokesman Stephane Dujarric. “There was use of excessive force by the security force on civilians,” Dujarric said. The U.N. human rights chief, Michelle Bachelet, expressed alarm at reports that live ammunition was used in the attack, including “next to, and even inside, medical facilities.” The embassies of the United States and Britain also expressed concern. Amnesty International urged the U.N. Security Council to consider imposing sanctions on members of Sudan’s ruling military council. The military “has completely destroyed the trust of the Sudanese people and crushed the people’s hope for a new era of respect for human rights and respect for the right to protest without fear,” said Sarah Jackson, Amnesty International’s deputy regional director for East Africa.

u.n .
sudan
democracy
antonio guterres
omar bashir
abdel-fattah burhan


U.S. aircraft carrier deployed over Iran tensions remains outside Persian Gulf amid de-escalation efforts

Abstract: ABOARD, THE USS ABRAHAM LINCOLN - A U.S. aircraft carrier the White House ordered to the Mideast over a perceived threat from Iran remains outside of the Persian Gulf amid efforts to de-escalate tensions between Tehran and Washington. The USS Abraham Lincoln on Monday was in the Arabian Sea some 200 miles (320 km) off the coast of Oman. While U.S. Navy officials repeatedly declined to discuss why they hadn’t gone through the Strait of Hormuz into the Persian Gulf, they insisted they remain ready to launch any mission in the region. However, Capt. Putnam Browne, the commanding officer of the Lincoln, also told The Associated Press: “You don’t want to inadvertently escalate something.” The White House in May ordered the Lincoln and its strike group to speed to the Mideast. It’s also sent B-52 bombers and ordered hundreds of troops to the area. Tensions with Iran have worsened since President Donald Trump pulled America out of Iran’s nuclear deal last year and imposed sanctions on Tehran. On the 30th anniversary of the death of Ayatollah Ruhollah Khomeini, the founder of Iran’s Islamic Republic, the USS Abraham Lincoln hosted journalists from AP and other media outlets. They spent some four hours aboard the vessel after a two-hour flight from the United Arab Emirates and were greeted by camera-carrying sailors who documented every part of their four hours onboard. The day before, the U.S. Air Force announced a B-52 conducted a training exercise with the Lincoln that included “simulated strike operations.” Thousands in Iran mark Khomeini’s death by visiting his golden shrine south of Tehran. This year, Iranian military officials reportedly plan to guard it with Hawk surface-to-air missiles, the same kind the U.S. delivered to the Islamic Republic in the Iran-Contra scandal. However, in recent days, the Trump administration has stressed it is ready to speak to the Iranians without preconditions. Asked about why the Lincoln hadn’t gone into the Persian Gulf, Rear Adm. John F.G. Wade, the commander of the carrier’s strike group, said that his forces could “conduct my mission wherever and whenever needed.” He declined to discuss any specifics about that mission, though he said Iran had presented “credible threats” to the region. “They do impose a threat to our operations, but also to the safety and security of commerce and trade going through the Strait of Hormuz and that’s why we are here,” Wade said. The Lincoln famously served as the backdrop of then-President George W. Bush’s May 2003 speech declaring combat operations over in Iraq, a banner reading “MISSION ACCOMPLISHED” hanging behind him. The majority of the war’s casualties came after. On Monday, F/A-18s flew maneuvers over the carrier. Accompanying the Lincoln to the Mideast are three destroyers — the USS Bainbridge, the USS Mason and the USS Nitze — as well as the guided-missile cruiser the USS Leyte Gulf. Capt. William Reed, the commander of the carrier’s air wing, laughed off any notion the situation was stressful. “It’s just another day at the office,” he said from the carrier’s hanger as airmen worked on the ship’s F/A-18 fighter jets. Capt. Chris Follin, the commodore of the destroyer strike group traveling with the Lincoln, laughed off any concern. “I wouldn’t want to go against that,” he said, nodding toward the ship’s sailors and warplanes. “Our mission is just to keep the peace.”


U.S. federal judge rejects Congress' challenge of Trump's border wall funding

Abstract: WASHINGTON - A U.S. federal judge on Monday denied a House of Representatives request to prevent President Donald Trump from tapping Defense Department money for his proposed border wall with Mexico, saying Congress lacked authority to sue. Trump’s victory is muted by a federal ruling in California last month that blocked construction of key sections of the wall. The California case was filed by the American Civil Liberties Union on behalf of the Sierra Club and Southern Border Communities Coalition. U.S. District Judge Trevor McFadden, a Trump appointee, wrote that the House’s lawsuit was “about whether one chamber of Congress has the ‘constitutional means’ to conscript the Judiciary in a political turf war with the President over the implementation of legislation.” McFadden said Congress didn’t have authority in this case but that he didn’t mean to imply the legislative body could never challenge the president in court over separation of powers. “An old maxim in politics holds that, ‘Where you stand depends on where you sit,'” he wrote. “At law too, whether a plaintiff has standing often depends on where he sits. A seat in Congress comes with many prerogatives, but legal standing to superintend the execution of laws is not among them.” The Justice Department welcomed the decision, saying the judge “rightly ruled that the House of Representatives cannot ask the judiciary to take its side in political disputes and cannot use federal courts to accomplish through litigation what it cannot achieve using the tools the Constitution gives to Congress.” A spokesman for House Speaker Nancy Pelosi, a California Democrat, said the party was reviewing the ruling and evaluating whether to appeal. A federal judge in Oakland, California, ruled May 24 that Trump overstepped his authority and blocked work from beginning on two of the highest-priority, Pentagon-funded wall projects — one spanning 46 miles (74 kilometers) in New Mexico and another covering 5 miles (8 kilometers) in Yuma, Arizona. The administration plans to appeal the ruling by Haywood Gilliam Jr., an appointee of President Barack Obama. At stake is billions of dollars that would allow Trump to make progress on a signature campaign promise heading into his bid for a second term. The administration faces several lawsuits over the emergency declaration but only two sought to block construction during the legal challenge. Trump declared a national emergency in February after losing a fight with the Democratic-led House that led to a 35-day government shutdown and identified up to $8.1 billion for wall construction. The funds include $3.6 billion from military construction funds, $2.5 billion from Defense Department anti-drug activities and $600 million from the Treasury Department’s asset forfeiture fund. The Defense Department has already transferred the anti-drug money. Patrick Shanahan, the acting defense secretary, is expected to decide any day whether to transfer the military construction funds.

u.s .
immigration
courts
mexico
donald trump
border wall


Outrage after Duterte tells Filipinos in Tokyo he 'cured' himself of being gay with 'beautiful women'

Abstract: MANILA - Philippine President Rodrigo Duterte has sparked outrage after claiming that he “cured” himself of being gay with the help of beautiful women. Duterte is notorious for his foul-mouthed speeches that include insults, threats to perceived enemies and references to rape that he casts as jokes. The latest unfiltered comments came during an appearance before the Filipino community in Tokyo last week. During his speech Duterte appeared to say that one of his high-profile critics, Senator Antonio Trillanes, was gay. “Trillanes and I are similar. But I cured myself,” the president said. The president explained that he “became a man again” after meeting his now ex-wife. “So beautiful women cured me,” he added. Duterte has a wavering record when it comes to gay rights. During his campaign for president in 2016 he voiced support for same-sex marriage, but later backtracked. He has also used homosexuality as an insult, including against Philip Goldberg, then-U.S. ambassador to Manila. Bahaghari, a gay and transgender advocacy group, said Duterte’s comments were dangerous and retrograde. “It is symptomatic of an even graver illness: one of ignorance, prejudice and hate,” the group said in a statement. “These statements, like his perverted and offensive comments on women, cannot be taken lightly or dismissed merely as jokes,” the group added. The World Health Organization and American Psychiatric Association consider homosexuality as a sexual orientation and not a disorder. The Philippines has a reputation for openness toward homosexuality, but watchdogs warn legal protections are lacking. At the same time, the Catholic Church is a powerful force in the nation where the majority of its 106 million people are counted as believers. Abortion and divorce are both illegal, due in part to fierce resistance to change from the church.

philippines
rights
lgbt
sexuality
rodrigo duterte


Kim Jong Un's sister back in public eye at North Korea's 'mass games'

Abstract: SEOUL - The powerful younger sister of North Korean leader Kim Jong Un attended a public event in Pyongyang for the first time in more than 50 days, casting further doubt on media speculation he had ordered her to lay low over the failed nuclear summit with Washington. North Korea’s state media Tuesday showed Kim Yo Jong clapping aside her brother, his wife and other top officials at the 150,000-seat May Day Stadium where thousands of gymnasts, dancers and flip-card-wielding spectators worked in precise unison to perform “The Land of the People.” The official Korean Central News Agency said the performers showed “beautiful and graceful rhythmic movements, high-spirited gymnastics, interesting national emotion and rich artistic depiction,” but also that Kim Jong Un was quite unhappy about their display. He seriously criticized the creators for their “wrong spirit of creation and irresponsible work attitude” and set forth “important tasks” to correctly implement the country’s revolutionary policy on literature and art, the agency said. State media often reports on Kim scolding factory officials, educators and others perceived as not performing to his standards. The “mass games” events were once routine in North Korea but were on hiatus for several years during the mourning for Kim’s father and only returned last year. Kim Yo Jong is a senior official of North Korea’s ruling party and is believed to be her brother’s closest confidant. She had accompanied him to his summits with President Donald Trump and South Korean President Moon Jae-in and had joined other dignitaries in the stands at last year’s Winter Olympics in South Korea. But speculations about her status grew after she was left out from her brother’s trip to Vladivostok, Russia, in April for a summit with Russian President Vladimir Putin. North Korean media had last shown her at a meeting of the North’s rubber-stamp parliament on April 12. South Korea’s conservative Chosun Ilbo newspaper last week cited an unidentified source to report that Kim Jong Un had ordered his sister to lay low following the collapse of his summit with Trump in February over mismatched demands in sanctions relief and nuclear disarmament. The newspaper had also reported Kim had punished his former top nuclear envoy, Kim Yong Chol, who North Korean media showed at the mass games and at a weekend concert of military wives. Senior envoy Kim Hyok Chol, who the Chosun reported had been executed along with four Foreign Ministry officials for betrayal, has not been seen by the media since the end of the Trump-Kim summit in Hanoi, Vietnam, in February. South Korea’s government and media have a mixed record on tracking developments among North Korea’s ruling elite, made difficult by Pyongyang’s stringent control of information about them. Although North Korea has previously banished or executed scapegoats to atone for major political flops, experts doubted the recent reports, saying such extreme punishments were unlikely unless Kim Jong Un was abandoning negotiations with the United States. Cheong Seong-chang, an analyst at South Korea’s Sejong Institute, said Kim Yo Jong would not have been seen at the Supreme People’s Assembly meeting in April had she been disciplined over the summit failure. Cheong said it’s more likely she was reappearing after a period of rest. The North’s mass games propaganda displays kicked off their 2019 run Monday. Following rehearsals over several months, vast numbers of people in colorful costumes took part in a precision synchronized performance at the cavernous stadium, portraying moments from Korean history and modern life. North Korean artistic performances are closely watched by observers for clues as to the authorities’ priorities, such as whether they are highlighting economic achievements or military progress. The show, known in the North as a “Grand Mass Gymnastics and Artistic Performance,” is expected to run for five months, into October. Traditionally, the scenes on the arena floor take place against an ever-changing backdrop, made up of thousands of children turning the colored pages of books in sequence to create giant images rippling across one side of the stadium. Guinness World Records lists a 2007 performance of a previous version of the mass games, known as Arirang, as the world’s largest gymnastic display, with 100,090 participants. The resources involved are significant, even though the performers are largely students and schoolchildren. But the impoverished North, which is under several sets of sanctions imposed over its nuclear and ballistic missile programs, does generate tourism revenue from the displays. This year tickets for foreign tourists cost from €100 to €800 ($110 to $900), according to Koryo Tours, a Beijing-based agency that organizes trips to the North. The 2018 show was the first time the North had staged the mass games in five years, during which it conducted four nuclear tests along with multiple long-range missile tests, heightening tensions in the region. But after a rapid diplomatic rapprochement on and around the peninsula, South Korean President Moon Jae-in watched a mass games performance last September. His attendance came during a three-day trip to Pyongyang for a third summit with his North Korean counterpart, and Moon made a speech to the crowd. Moon was instrumental in brokering the first U.S.-North Korean summit in Singapore in June 2018.

u.s .
north korea
kim jong un
nuclear weapons
kim yo jong
kim yong chol


Australian police raid journalist's home over secret spying report

Abstract: SYDNEY - Australian police Tuesday raided the home of a prominent journalist who reported on a secret government plan to spy on Australian citizens. The Australian Federal Police said the raid was carried out early Tuesday in a suburb of the federal capital, Canberra, as part of an “investigation into the alleged unauthorized disclosure of national security information.” “Police will allege the unauthorized disclosure of these specific documents undermines Australia’s national security,” it said in a statement, adding that no one had been arrested during the operation. News Corp., the Rupert Murdoch-controlled news organization, confirmed the raid targeted Annika Smethurst, political editor of the group’s Sunday newspapers, calling the police action “outrageous and heavy-handed.” In April 2018, Smethurst reported that the home affairs and defense ministries in the conservative federal government had drawn up a plan granting new powers to the Australian Signals Directorate (ASD) to secretly access emails, bank accounts and text messages of Australian citizens. Under existing law, only the Australian Federal Police and the Australian Security Intelligence Organization, the domestic spy agency, had that authority. The ASD, Australia’s equivalent of the U.S. National Security Agency, was tasked with countering foreign threats. Smethurst’s report included images of letters between senior home affairs and defense officials outlining the plan to allow the ASD to “proactively disrupt and covertly remove” domestic threats by “hacking into critical infrastructure.” The government declined at the time to comment on the leaked documents, and the plan was reportedly scrapped by then-Prime Minister Malcolm Turnbull — a moderate who was ousted in a party coup in August by more hard-line conservatives. His successor as prime minister, Scott Morrison, went on to enact a series of law-and-order measures, including a controversial law forcing telecommunications and tech firms to monitor encrypted communications between suspected terrorists or other criminals. Tuesday’s raid came just weeks after Morrison’s government unexpectedly won re-election. In its statement, News Corp. Australia’s biggest newspaper group, called the raid “a dangerous act of intimidation towards those committed to telling uncomfortable truths.” “What’s gone on this morning sends clear and dangerous signals to journalists and newsrooms across Australia. This will chill public interest reporting.”

media
australia
espionage
rupert murdoch
news corp .


Hong Kong, fearful for its own future, remembers Tiananmen crackdown

Abstract: HONG KONG - Large crowds turned out for a mass candlelight vigil in Hong Kong on Tuesday evening marking 30 years since China’s bloody Tiananmen crackdown, a gathering tinged with symbolism as the city struggles to preserve its own cherished freedoms. The eye-catching spectacle — in which thousands of Hong Kongers clutched candles, sang songs and listened to emotional speeches — is the only place in China where such commemorations can be safely held. The semi-autonomous financial hub has hosted an annual vigil every year since tanks and soldiers smashed into protesters near Beijing’s Tiananmen Square on June 4, 1989 — an illustration of the city’s unusual freedoms and vibrant political scene. Organized by a group of veteran democracy activists, the vigil demands justice for victims and for China to embrace democracy. But in more recent years the mass gatherings have taken on an increasingly contemporary significance as angst builds over Hong Kong’s future. Organizers were hoping for a big turnout for Tuesday night’s vigil, fueled by both the milestone of the 30th anniversary itself and a renewed furore over defending the city from an increasingly assertive Beijing. This year’s vigil comes at a time of huge controversy over plans by the city’s pro-Beijing government to allow extraditions to the Chinese mainland for the first time. The proposed law has sparked a backlash from figures in the legal and business communities as well as the largest demonstrations Hong Kong has seen since 2014, a year when pro-democracy protesters took over key intersections of the city for more than two months. Tuesday’s vigil also comes just weeks after key leaders of those protests were jailed. Gary Chiu, 35, attended the vigil with his wife and their young daughter. He viewed the threat of extradition as being pushed by the same forces behind Tiananmen. “Both are caused by the mainland China regime,” he said. “I’m so heartbroken, I think Hong Kong is moving backwards step by step,” added a 56-year-old woman, who only gave her initials QQL because she didn’t want her family to know she was attending. “We have to speak out, even if it’s just with a small voice.” “Showing support for a student-led movement, this is also an expression of our discontent towards China’s violent regime,” added student Amy Cheung, 20. Hong Kong enjoys freedom of speech and assembly rights unseen on the Chinese mainland under a 50-year handover agreement between former colonial power Britain and China. But many fear those liberties are being eroded and questioned Beijing’s commitment to that deal. In recent years protest leaders have been jailed and banned from politics while the disappearance into Chinese custody of a group of Beijing-critical booksellers rattled nerves. Tiananmen survivors have previously appeared at past vigils but in recent years some have found themselves turned away by local authorities. On Sunday, former protest leader Feng Congde was barred from entering the city on arrival at the airport and deported, organizers said. Attendance at the vigil has remained above 100,000 for the last decade according to an organizer-run tally, but the numbers have slipped the last four years after the 2014 democracy protests failed to win any concessions from Beijing. Many younger Hong Kongers have since embraced “localism,” which focuses on preserving local Cantonese culture and freedoms and regards mainland China as a hostile entity subsuming their city. The proportion of those attending the vigil aged under 30 dropped from 55 percent to 31 percent between 2010 and 2018 according to surveys while student unions have boycotted the vigil the last five years. Annual polling from the University of Hong Kong has shown consistent replies with a majority saying the Tiananmen students were right to protest and that China was wrong to suppress them. One figure has changed markedly. In the last five years the number of respondents saying China’s human rights situation is now worse than 1989 has more than doubled from just 15 percent to 33 percent in the latest poll released Monday.

hong kong
protests
democracy
tiananmen square
anniversaries
tiananmen crackdown


Woman who told world of China's Uighur internment camps headed for asylum in Sweden

Abstract: MOSCOW - The lawyer for a Chinese woman who attracted international attention after she fled to Kazakhstan and spoke publicly about working in Chinese internment camps says his client has left for Sweden, where she expects to get political asylum. Sayragul Sauytbay had been in Kazakhstan for more than a year, though authorities in the Central Asian country refused to grant her asylum. Lawyer Aiman Umarova told The Associated Press that Sauytbay, an ethnic Kazakh, was issued an alien’s passport by Sweden. Umarova said Sauytbay and her husband and two children, who are Kazakh citizens, flew out of Kazakhstan’s principal city, Almaty, on Monday. An estimated 1 million Muslim Uighurs, Kazakhs and other minorities are believed to be held in Chinese internment camps. Sauytbay testified last year that she was forced to work in an indoctrination camp. She had been tried for illegally crossing into Kazakhstan and given a six-month suspended sentence. China has denied the existence of re-education camps but has on occasion said authorities provide vocational training to minor criminals in the region. The internment camps have drawn criticism from the U.S. and a U.N. panel. The case highlights the delicate position that Kazakhstan finds itself at a time of growing reliance on Chinese investment as well as mounting pressure from the public to protect fellow Kazakhs in China’s western regions. In recent years, Kazakhstan has played an increasingly prominent role in Chinese President Xi Jinping’s signature, trillion-dollar foreign policy and infrastructure project known as the Belt and Road Initiative, with the transit hub of Khorgos playing a key role for the movement of goods.

china religion sweden rights refugees ethnicity uighurs


At least four dead in shooting in Australian city of Darwin

Abstract: MELBOURNE, AUSTRALIA - A gunman was arrested after killing at least four people and wounding several others Tuesday in the northern Australian city of Darwin, officials and media said. Prime Minister Scott Morrison said a suspect was in custody and the incident was not terrorism related. “This is a terrible act of violence that has already, I’m advised, taken the lives of four people,” Morrison told reporters in London, where he was on a visit to take part in D-Day commemorations. “Our advice is that this is not a terrorist act. There is nothing to suggest that that is the case whatsoever.” A 45-year-old man was in custody following the shooting, Northern Territory Police Duty Superintendent Lee Morgan told Guardian Australia. Two people were taken to the Royal Darwin Hospital with gunshot wounds and both were in stable condition, a Health Department statement said. Police declined to comment. Northern Territory Police Commissioner Reece Kershaw was expected to hold a news conference later Tuesday. A man fired a pump action shotgun at the Palms Hotel in the Darwin suburb of Woolner in the late afternoon, Australian Broadcasting Corp. reported. Police attended three crime scenes in the tropical city of 100,000 related to the gunman, ABC said. An ABC reporter said she saw police tackle and taser the gunman at a busy intersection.


Mourners continue to offer prayers and flowers one week after Kawasaki mass stabbing

Abstract: YOKOHAMA - A week after a mass stabbing in Kawasaki, mourners continued to offer prayers and flowers on Tuesday at the scene where a schoolgirl and 39-year-old father were killed. In the attack on the morning of May 28, Hanako Kuribayashi, an 11-year-old Caritas Elementary School student, and Satoshi Oyama, a Foreign Ministry official and father of another girl who attends the school, were stabbed and killed. Eighteen others, mostly students awaiting school buses, were also injured. “Even after a week, my painful feelings remain the same,” said local resident Yukiko Iwasaki, 48, after offering prayers at the site. She said the incident has impacted the area, with children no longer waiting for their school buses in the morning as they did before the attack. Caritas Elementary School, closed in the wake of the stabbing, is scheduled to resume classes on Wednesday. It said it has decided not to use the bus stop near the site of the attack and set up a stop at a separate location. Pupils of a kindergarten run by the same operator were seen waiting for school buses in front of Noborito Station, near the stabbing site, with some not wearing school uniforms. “I hope pupils and teachers at the school will be able to return to their normal lives,” said Takashi Toda, a 23-year-old university student who graduated from the elementary school. Sadayoshi Otsu, an 81-year-old professor emeritus at Kobe University who heads a civic group that works to build small hydroelectric projects in Myanmar, mourned the loss of Oyama, a Myanmar specialist who he became acquainted with in 2012. “He was kind but was also mentally strong,” Otsu said. “He was working for Myanmar, and I regret his death.” In the attack at around 7:40 a.m. on May 28, Ryuichi Iwasaki, 51, allegedly stabbed and slashed a group of students and parents with knives he wielded in each hand. Iwasaki died in an apparent suicide shortly after the attack. Police believe the attack was premeditated, as Iwasaki purchased some of the knives months in advance. A man believed to be Iwasaki was seen visiting the area four days before the attack. The suspect’s motive remains unknown. Iwasaki had led a reclusive life in the years before the attack and he did not own a smartphone or computer, according to the police.

murder
mental health
hikikomori
stabbings
police
ryuichi iwasaki
caritas elementary school
kawasaki attack


Japan ends search for F-35A and plans resumption of flights soon

Abstract: The government has stopped searching for an Air Self-Defense Force F-35A that crashed into the Pacific Ocean some two months ago, Defense Minister Takeshi Iwaya said Tuesday. The remaining 12 F-35As, deployed at Misawa Air Base in Aomori Prefecture, have been grounded since the accident, but will resume flights soon, a government source said. The search, involving the U.S.-chartered deep-sea search vessel Van Gogh, found only fragments of the cutting-edge stealth fighter which went down off Aomori Prefecture on April 9. The pilot and large parts of the jet remain missing, while the cause of the accident, which occurred during night training, is also unclear. F-35As are equipped with systems that can share flight data between jets, according to the defense ministry. The ASDF determined flights could resume when safety measures, based on the data received by three other jets flying with the one that crashed, have been conducted. Defense officials are believed to have now recreated part of the accident scenario based on information from that shared data and recordings from land-based radar, according to the source. Iwaya told a news conference the ASDF is making progress in analyzing the incident to “narrow down possible causes before long,” but that a date for the resumption of F-35A operations had not been set.

aviation
self defense forces
aomori
misawa air base
f-35a
air accidents


Amid high-profile accidents involving elderly drivers, survey finds 1 in 4 people in Japan over 80 still drive

Abstract: One in 4 people aged 80 or older still drive, a government survey on the transport habits of those aged 60 or above showed Tuesday. The percentage of the elderly who said they drive was higher in rural areas, where public transportation services are limited, indicating cars are indispensable tools for the elderly to go shopping or visit hospitals. Meanwhile, the ratio of fatal accidents involving drivers aged 75 or older among all such incidents has been on the rise in rapidly graying Japan, increasing from 8.7 percent in 2008 to 14.8 percent in 2018, according to the National Police Agency. In April, an 87-year-old former government official was involved in a car crash in Tokyo’s Ikebukuro district that killed a 3-year-old girl and her mother and injured six other passersby. In May last year, a 90-year-old driver was arrested on suspicion of running a red light and hitting four pedestrians in the city of Chigasaki, Kanagawa Prefecture, killing one of them. “Driving becomes more difficult as people’s cognitive functions decline with old age,” a Cabinet Office official said. “Securing a mode of transportation when going out is a key challenge.” The survey was conducted from November to December last year targeting 3,000 men and women aged 60 or older across Japan, of whom 1,870 responded. Asked about their modes of transportation in a multiple-response question, 56.6 percent said they drive a car by themselves, while 56.4 percent said they walk. The number of drivers decreased with age, but 45.7 percent of people between 75 and 79 and 26.4 percent of those aged 80 or older said they drive. Among respondents who said they drive a car by themselves, those who said they drive “almost every day” reached 67.4 percent across age brackets. Of people aged 80 or above, 58.7 percent said they do so. By region, 72.9 percent in cities with a population of less than 100,000 and 75.5 percent in towns and villages said they drive, compared to 50.0 percent in central Tokyo and other major cities. A total of 80.2 percent said they would stop driving after reaching a certain age or if they felt something interfered with their ability to drive, such as vision impairment. But 11.5 percent said they would continue to drive regardless of age or minor physical problems. The results of the survey will be included in the government’s 2019 Annual Report on the Aging Society, which is to be approved by the Cabinet later this month.

accidents
elderly
cabinet office
drivers


In meeting with Abe, U.S. acting defense chief says alliance with Japan has 'never been stronger'

Abstract: Prime Minister Shinzo Abe agreed Tuesday with U.S. acting Defense Secretary Patrick Shanahan to bolster the security alliance between the two countries and promote stability across the Indo-Pacific region. “To strengthen the deterrence and response capabilities of the alliance and realize a free and open Indo-Pacific, we hope to continue to work together and deepen our cooperation,” Abe said at the outset of their meeting in Tokyo. “Our alliance’s never been stronger,” Shanahan told Abe. He also said the United States remains committed to supporting Japan’s attempts to resolve the issue of North Korea’s abductions of Japanese nationals in the 1970s and 1980s. Shanahan’s trip to Japan follows his visit to Singapore for a regional security meeting, where on the sidelines he met with the Japanese and South Korean defense ministers and agreed to urge North Korea to take concrete steps to denuclearize. Japan and the United States, however, have been at odds over North Korea’s missile tests on May 9. Tokyo called them a clear breach of U.N. resolutions banning Pyongyang from using ballistic technology but U.S. President Donald Trump downplayed them, even though his security adviser John Bolton and Shanahan recognize them as a violation. Prior to the meeting with Abe, Shanahan had talks with Foreign Minister Taro Kono. While refraining from directly mentioning China, the two officials affirmed their deep concern over and strong opposition to military base development in the East China Sea and the South China Sea, as well as moves to change the status quo there. Shanahan later held talks with Defense Minister Takeshi Iwaya in the afternoon. Japanese officials said North Korea was to be a major topic. Iwaya said earlier he expects to affirm with Shanahan the “concrete direction” toward boosting the bilateral alliance, building on the agreement reached during the “two-plus-two” security meeting involving foreign and defense chiefs in April in Washington. During the two-plus-two talks, the two countries agreed to strengthen defense cooperation in space, cyber and electronic warfare in a veiled response to Chinese and Russian drives to boost capabilities in those new domains. Shanahan, a former Boeing Co. executive, has served as the acting Pentagon chief since January after Jim Mattis stepped down the previous month over policy differences with Trump. The White House said Trump intends to nominate Shanahan as the defense secretary. The nomination requires Senate confirmation, which he is yet to receive.

china
shinzo abe
north korea
taro kono
patrick shanahan


Jetstar Japan to cancel 70 flights in June due to pilot shortage

Abstract: Budget carrier Jetstar Japan is expecting to cancel 70 flights in June, 2 percent of the total, due to a temporary shortage of pilots. The carrier had already canceled 16 flights this past weekend. Jetstar Japan said Monday that of the upcoming flights to be canceled, 58 are domestic, including routes between Narita International Airport and New Chitose Airport serving Sapporo, and 12 international flights, including some between Narita and Taipei. Jetstar Japan has started procedures for flight changes or reimbursement for some 7,500 customers impacted by the cancellations. According to the airline, some pilots took a long period of leave in April and May for reasons such as injury, forcing other pilots to cancel their leave plans and stay on duty. Those pilots will go on leave one after another in June, leading to the personnel shortage. With the pilots on leave coming back to work in stages, the airline’s flight schedules will return to normal in July, Jetstar officials said.

transportation
airlines
aviation
taiwan
airports
low cost carriers
narita airport
jetstar japan


Woman rescued from drifting sailboat off Hokkaido identified as Russian national

Abstract: SAPPORO - A woman who was rescued from a drifting sailboat in waters off Hokkaido has been identified as a Russian national, the coast guard said Tuesday. The 48-year-old woman, identified as Tatiana Riabkova Leonidovna, told the coast guard that she departed Vladivostok, in Russia’s Far East, on May 1. She was on her way to Israel but the vessel’s pulley system broke in late May, according to the coast guard. The sailboat was found drifting Sunday by a Japanese patrol plane in the Sea of Japan, some 35 kilometers from Cape Benkei in Suttsu on Hokkaido’s western coast. The sailboat was carrying enough food and water, and the woman is in good health, the coast guard said.


After hearing concerns, Japan won't set target for cutting number of dementia patients after all

Abstract: The government will scrap a draft proposal that set a numerical target for reducing the number of dementia patients, health minister Takumi Nemoto said Tuesday, citing concerns from patients and their families that they could blame themselves for failing to prevent the disease. Last month, the government proposed its first numerical goal on the disease — which involves a decline in cognition including memory loss — aiming to reduce the number of patients in their 70s by 10 percent over the next decade. The proposal was aimed at curbing growth in welfare spending at a time when the population is rapidly graying, but questions were raised because preventive measures are not scientifically proven. Additionally, the numerical goal had been widely seen as shifting away from the policy of creating a society where people can live comfortably even if they develop dementia. “We’ve heard from concerned parties that people who got dementia, despite trying their best to prevent it, would feel that they failed and lose their confidence,” Nemoto said at a news conference. The government will focus on efforts leading to good outcomes, rather than the number of patients, he added. The “prevention” mentioned in the proposal would now be defined as “delaying the onset of dementia and slowing the development of symptoms once patients develop them,” Nemoto said. Prime Minister Shinzo Abe’s Cabinet is expected to approve the guidelines on measures to cope with dementia later this month. An estimate by the Health, Labor and Welfare Ministry has predicted some 7 million people will have dementia in 2025, when the country’s baby boomers reach 75 years of age or older. In 2015, the government compiled a national strategy to support dementia patients by organizing local “dementia supporters” — people who have knowledge of the disease and are able to provide help to sufferers and their families. Specific measures for disease prevention include holding exercise lessons at local community centers, as it has been found that physical activity and social engagement could help prevent the disease.

disease
aging
elderly
dementia
mental health


1,251 heatstroke sufferers taken to hospitals across Japan last week

Abstract: A total of 1,251 people across the nation were taken to hospitals by ambulance due to heatstroke in the week to Sunday, the Fire and Disaster Management Agency said Tuesday. The number dropped from the previous week’s 2,053 but almost doubled from the 659 seen during the same period last year. Of last week’s total, three died and 29 were in a serious condition. People aged 65 and older accounted for 47.9 percent of the total. By prefecture, Tokyo saw the largest number of people taken to hospitals by ambulance, with 122, followed by Saitama, with 102, and Hokkaido, with 66. The agency is calling on people to drink water frequently and take other precautions, since the number of heatstroke sufferers this year is higher than usual.


Stray fishing boat turns up eight years after Japan's devastating tsunami

Abstract: KOCHI - A fishing boat swept away from Ishinomaki, Miyagi Prefecture, by the March 2011 tsunami was discovered recently off Kochi Prefecture, about 900 kilometers from its home port, officials said. A patrol vessel operated by the Kochi Prefectural Police found the capsized boat adrift 2.3 kilometers off the city of Susaki, the officials said Monday. The Japan Coast Guard recovered the vessel, and its registration number showed that the 6.5-meter-long craft is the Nissin Maru, owned by a fisherman based in Ishinomaki. The coast guard is now discussing with the owner whether to dispose of the boat. “The massive shellfish clinging to the vessel indicate that it had been drifting for a long time,” a coast guard official said. “The currents in the Pacific Ocean may have brought the ship to Kochi.” The Great East Japan Earthquake of March 11, 2011, unleashed tsunami that laid waste to vast stretches of Tohoku coastal areas.


Driverless trains back on track in Yokohama — with drivers

Abstract: YOKOHAMA - Automated trains in Yokohama resumed services Tuesday — but with drivers in control — three days after one of them reversed into a buffer and injured 14 passengers, the line operator said. Yokohama Seaside Line Co. suspended services after the accident at Shin-Sugita Station at around 8:15 p.m. on Saturday. The train traveled the wrong way for about 25 meters and hit the buffer shortly after departing. The company has not determined the cause of the accident at the terminal station on the 11-kilometer line, but indicated there had been a problem with the vehicle’s electrical system. Driverless services will resume “after the company investigates the cause of the accident and takes measures to prevent a recurrence,” transport minister Keiichi Ishii told reporters. The operating company conducted test runs with drivers on trains, excluding the one involved in the accident, and confirmed they are safe to run in such circumstances. It said the number of trains running is around 60 percent of usual, while acceleration on departure has been slowed. “We need to restart train operations as early as possible, as there is a limit to substituting services by buses,” said Yokohama Seaside Line President Akihiko Mikami at a news conference prior to the resumption of the service. The company said it had found no problem with the line’s operating system, and that this was the first accident since opening in 1989. Japan has seven driverless train lines. In October 1993, an automated train in Osaka malfunctioned and injured more than 200 passengers, which transport safety investigators blamed on a system glitch. Ishii said the ministry had instructed other driverless train line operators to check operations at their terminal stations.

accidents
automation
yokohama seaside line


Japan to ban free plastic bags at stores, but small and midsize firms may be exempt

Abstract: Japan plans to make it mandatory to charge for plastic shopping bags at supermarkets, convenience stores, drugstores and department stores as the country combats marine pollution from plastic waste. Environment Minister Yoshiaki Harada said at a news conference Monday his ministry plans to introduce a new law banning the practice of providing single-use plastic bags for free, while leaving the price of a plastic bag up to retailers. “The proportion of plastic bags among plastic waste is not big, but charging would be symbolic” of Japan’s efforts to reduce such waste, said Harada. “We should do it in time for the Tokyo Olympics,” Harada added. On Tuesday, Harada said Prime Minister Shinzo Abe told him the measure is following the right direction and urged him to “thoroughly listen to the opinions of the people.” Japan produces the largest amount of plastic waste per capita after the United States and has lagged behind other countries in curbing the use of plastics. The ministry expects retailers to charge between several yen to ¥10 per bag. Harada said the price should be effective in reining in the use of plastic bags. The ministry also intends to request that retailers put the revenue toward environmental measures including afforestation and spreading awareness about marine pollution. In addition, it will consider whether to expand targeted retailers to include small and midsize business operators, and to exclude biodegradable plastic bags. Charging for plastic bags was among the measures included in the ministry’s draft strategic plan on plastic resource recycling compiled last year, but the specifics had been left undecided. Over 8 million tons of plastic waste is estimated to flow into the oceans every year and cause microplastic pollution, in which tiny pieces of degraded plastic absorb harmful chemicals and accumulate inside fish, birds and other animals as they make their way up the food chain. Among retailers, supermarkets have taken the initiative in moving away from free plastic bags, while convenience stores, where customers tend to visit the stores without reusable bags, are now looking to replace plastic bags. Seiyu has been charging for plastic bags in all stores since 2012, and Aeon Co. made all of its stores charge for plastic bags by 2013. Ito-Yokado Co. and York Benimaru Co., both of which are affiliates of Seven & I Holdings Co., have also been implementing the same practice. Seven & I Holdings announced in May its plan to completely stop the use of plastic bags by 2030. In April, 7-Eleven stores in Yokohama started offering paper bags in addition to plastic bags, with plans to proceed with plastic bag alternatives depending on their practicality. Lawson Inc. is seeking to develop new reusable bags to catch up with the environmental trend. Convenience stores and supermarkets are not the only sources of plastic bags. “It is necessary to gain the understanding of the various bodies concerned” in order to completely ban the use of such bags, an Environment Ministry official admitted.

pollution
environment ministry
plastic bags
plastic waste
yoshiaki harada


Heineken expecting 70% sales bump in Japan during Rugby World Cup

Abstract: The company that makes and distributes Heineken beer in Japan said Tuesday it is eyeing a year-on-year sales rise of about 70 percent between September and November, when the country will be hosting the Rugby World Cup. Heineken Kirin K.K., an affiliate of Kirin Holdings Co., expects demand for beer to surge because of the many rugby fans who are due to visit from overseas to watch the tournament. Heineken is the official beer sponsor of the Rugby World Cup. Rugby World Cup organizers say the sport and beer are “perfect together” as beer consumption tends to be higher during rugby matches than for other sporting events. Kirin Brewery Co. plans to raise Heineken beer production in September by some 80 percent from a year earlier. “We’ll try not to run out of stock no matter what,” the firm said. Dutch brewer Heineken NV has the sponsorship rights to the Rugby World Cup, which is to be held in cities nationwide from Sept. 20 to Nov. 2.

beer
drinking
2019 rugby world cup
heineken


Trump says Republicans would be 'foolish' to block his Mexico tariffs

Abstract: LONDON/WASHINGTON - U.S. President Donald Trump on Tuesday warned fellow Republicans in Congress not to block his efforts to impose tariffs on Mexico as part of his broader immigration fight amid reports that lawmakers are considering steps to block his latest trade salvo. Trump, speaking at a news conference in London during a state visit to the United Kingdom, said he doubted congressional Republicans would follow through with any rebuke, and that he expected tariffs on goods imported from Mexico to go forward next week. “I don’t think they will do that. I think if they do, it’s foolish,” he said, citing his broad support generally among members of the party. Frustrated over the migrant crisis at the southern U.S. border with Mexico, Trump last week said he would impose tariffs on Mexican imports starting June 10 unless Mexico halted the flows of Central American immigrants crossing Mexico to reach the United States. Mexican officials, eager to avoid punitive tariffs and salvage a separate trade agreement between the two countries and Canada, have embarked on a diplomatic push in Washington to reach an agreement over the migrant flows. Trump on Tuesday acknowledged the U.S.-Mexican talks this week but said the tariffs were still likely. On Monday, the Washington Post reported that congressional Republicans were discussing whether they may need to act to block Trump’s planned tariffs, which has been criticized by the U.S. Chamber of Commerce and industry groups who worry about increased costs for U.S. businesses and consumers. Republicans and Democrats are also worried about the economic impact of Trump’s latest tariff threat, particularly for the U.S. agriculture and auto sectors. Tariffs could also derail a separate trade deal to replace the North American Free Trade Agreement (NAFTA) that the Trump administration is trying to get Congress to approve. Politico on Monday also reported Republicans were weighing whether a vote to block the tariffs was possible or whether Democrats, who control the U.S. House of Representatives, might act first. Republicans were more cautious in public comments on Tuesday even as some acknowledged congressional action regarding the Mexican tariffs, if they materialize, is likely. Rob Portman, a member of the Senate Foreign Relations and Homeland Security panels, said lawmakers would be forced to act because Trump was imposing the tariffs using his emergency powers, “which is going to require another vote of disapproval.” “If the tariffs do go into effect on Monday … Congress is likely to have a vote,” he told CNBC. U.S. House Republican leader Kevin McCarthy said he thinks a solution will be worked out to avoid the tariffs. “I hope we can get to a good place, but I think the president has to use every device at his disposal,” Republican Sen. Thom Tillis told Fox News. House Majority Leader Steny Hoyer, the chamber’s No. 2 Democrat, told Reuters he would discuss the tariffs with Democratic committee chairs on Wednesday. “They ought to be focused on that and the consequences it has on our economy and American consumers,” Hoyer said, adding that he hoped Republicans were interested in tackling the tariffs as well.

u.s .
congress
immigration
mexico
republicans
tariffs
donald trump


After backlash, Trump U-turns on targeting U.K. health service in trade talks

Abstract: LONDON - U.S. President Donald Trump backtracked on comments that Britain’s public health service should be on the table in future post-Brexit trade talks between the two countries, after Prime Minister Theresa May said some areas might be off-limits. The National Health Service (NHS) is a cherished institution for many Britons. Created after World War II, it provides a wide range of services ranging from routine consultations to life-saving operations. “I think everything with a trade deal is on the table,” Trump told reporters during a visit to London. “So NHS or anything else, or a lot more than that. But everything will be on the table, absolutely.” Later, however, he said that while nothing would be off the table in talks, he did not see the NHS as falling under the realm of trade. “I don’t see it being on the table. Somebody asked me a question today and I say everything is up for negotiation, because everything is,” Trump said in an interview broadcast on ITV News. “That’s something that I would not consider part of trade. That’s not trade.” May had earlier suggested that the health service might be off-limits. “The point about making trade deals of course is that both sides negotiate and come to an agreement about what should or should not be in that trade deal for the future,” she said at the news conference Britain’s health minister, Matt Hancock, also made clear that he would not countenance the NHS being part of trade talks. “Dear Mr President. The NHS isn’t on the table in trade talks — and never will be. Not on my watch,” Hancock, who is a contender to replace May as prime minister, said on Twitter. The opposition Labour Party has focused on fears among voters that the NHS might be privatized as it tries to capitalize on the Brexit crisis within May’s Conservative Party. “Theresa May stood next to @realDonaldTrump as he said the NHS will be ‘on the table’ in a US trade deal. And that’s what Tory leadership contenders and (Brexit Party leader Nigel) Farage are lining up for the No-Deal disaster capitalism plans they have,” Labour leader Jeremy Corbyn said on Twitter. “They all need to understand: our NHS is not for sale.”

u.s .
u.k .
trade talks
health insurance
nhs
donald trump
theresa may
jeremy corbyn


Toyota says U.S. tariffs on Mexico could cost its suppliers $1 billion

Abstract: DETROIT - Toyota Motor Corp. said Tuesday that U.S. President Donald Trump’s proposal to slap tariffs on Mexican-made goods could cost its major suppliers $1 billion, highlighting growing concern in the U.S. auto sector about the potential damage of a new front in the Trump administration’s trade wars. Trump has said he will apply tariffs of 5 percent on Mexican goods next Monday if Mexico does not halt the flow of illegal immigration, largely from Central America, across the U.S.-Mexican border. Those tariffs would gradually rise to 25 percent by Oct. 1 if Mexico does not satisfy Trump’s demands. Faced with this threat, major automakers are also planning to delay some vehicle shipments from Mexico, people briefed on the plans said Tuesday. The shipment delays would affect vehicles with high inventory levels on U.S. dealer lots if the tariffs take effect. Automakers are trying to speed some critical parts shipments this week ahead of the Monday deadline. Consultancy LMC Automotive said Tuesday the industry could absorb a 5 percent tariff for a month, but that a sustained period at the 25 percent tariff level will have a potentially devastating impact on the auto industry and cut U.S. new vehicle sales by up to 1.5 million units annually. “A prolonged period of tariffs on Mexican imports would likely push Mexico into recession and could also threaten a recession in the United States,” LMC said. In 2018, automakers sold 17.3 million new vehicles in the United States. LMC said prices on models imported from Mexico could increase by an average of $8,500, while the average price of a vehicle sold in the U.S. market could rise by as much as $2,500 to $3,000 when parts for assembly in the United States are factored in. In an email seen by Reuters, Toyota told its U.S. dealers the duties could cost its major suppliers between $215 million and $1.07 billion. The email, dated Monday, from Toyota’s North American sales chief, Bob Carter, also told dealers that 65 percent of the Tacoma midsize pickup trucks the Japanese automaker plans to sell in the U.S. market in 2019 will be imported from its plant in Baja, Mexico. “This is not just an issue for our company. These tariffs will have an effect industry-wide,” Carter said in the letter, which noted General Motors Co. is the largest automotive importer from Mexico. He also said Toyota remains hopeful negotiations between the U.S. and Mexico on trade and immigration policy will lead to a deal that can be “resolved quickly.” The notice to dealers comes as Toyota has taken an unusually public stand against the White House’s trade policy, saying last month that threatened tariffs against auto and car parts from Japan sent a message to the company that its billions of dollars of investments in the U.S. aren’t welcome. On Tuesday, Kevin Clark, chief executive at auto supplier Aptiv PLC, told investors at a conference in Boston that a 5 percent tariff will cost it around $17 million per month. Speaking to reporters on the sidelines of a conference in Montreal on Tuesday, Steve Kiefer, senior vice president, global purchasing and supply chain at General Motors Co., declined to discuss how much tariffs could cost but said “the single biggest problem we have is the uncertainty with tariffs.” “Right now, we’re asking all of our suppliers to be calm and not do anything drastic,” Kiefer said. Automakers are pressing Republican senators on Capitol Hill to contact the White House to try to convince the president not to move ahead with the tariffs, people briefed on the matter said. U.S. Senate Majority Leader Mitch McConnell said Tuesday there is “not much support” among his fellow Republicans for the tariffs.

u.s .
trade
mexico
toyota
gm
tariffs
donald trump


Trump camp halts cruises, educational travel to Cuba under new rules seeking to cut cash flow

Abstract: WASHINGTON - The Trump administration on Tuesday ended the most popular forms of U.S. travel to Cuba, banning cruise ships and a heavily used category of educational travel in an attempt to cut off cash to the island’s communist government. Cruise travel from the U.S. to Cuba began in May 2016 during President Barack Obama’s opening with the island. It has become the most popular form of U.S. leisure travel to the island, bringing 142,721 people in the first four months of the year, a more than 300 percent increase over the same period last year. For travelers confused about the thicket of federal regulations governing travel to Cuba, cruises offered a simple, one-stop, guaranteed-legal way to travel. That now appears to be over. “Cruise ships as well as recreational and pleasure vessels are prohibited from departing the U.S. on temporary sojourn to Cuba effective tomorrow,” the Commerce Department said in a statement to The Associated Press. The new restrictions are part of a broader effort by the administration of President Donald Trump to roll back the Obama-era efforts to restore normal relations between the United States and Cuba, which drew sharp criticism from the more hard-line elements of the Cuban-American community and their allies in Congress. U.S. national security adviser John Bolton, who declared Cuba part of a “troika of tyranny” along with Nicaragua and Venezuela as he outlined new sanctions in November, said the new policy is intended to deny the Cuban government a vital source of revenue. “The Administration has advanced the President’s Cuba policy by ending ‘veiled tourism’ to Cuba and imposing restrictions on vessels,” Bolton said on Twitter. “We will continue to take actions to restrict the Cuban regime’s access to U.S. dollars.” Cruise lines carrying passengers booked before Tuesday had been hoping that they could request specific federal permits to complete their trips to Cuba, said Pedro Freyre, a Miami-based attorney who represents Carnival and three other major cruise lines. “For now, it’s prohibited unless the cruise lines requests a specific license,” Freyre said. He said cruise lines had been trying to determine “if there’s any opening there to at least complete trips that have been booked and passengers that have made travel plans.” Norwegian Cruise Line said in a statement that it was scrutinizing the new rules and consulting with lawyers and trade experts. “We are closely monitoring these recent developments and any resulting impact to cruise travel to Cuba,” Norwegian Cruise Line said in a statement. “We will communicate to our guests and travel partners as additional information becomes available.” Shore excursions from cruise ships tend to be organized by the cruise lines in cooperation with Cuban government tour agency Havanatur. A smaller number hire private tour guides or drivers of restored classic cars who wait outside Havana’s cruise docks. “This affects all of us,” said William Martinez, 58, a Cuban-born American who lived in Florida for 46 years but returned five years ago to drive a classic car for tourists. “It’s inhuman, the sanctions that they’re putting on Cuba.” Treasury Secretary Steven Mnuchin said the measures are a response to what it calls Cuba’s “destabilizing role” in the Western Hemisphere, including support for the government of President Nicolas Maduro in Venezuela. “This administration has made a strategic decision to reverse the loosening of sanctions and other restrictions on the Cuban regime,” Mnuchin said. “These actions will help to keep U.S. dollars out of the hands of Cuban military, intelligence, and security services.” Cruise ships have brought thousands of Americans to Cuba since the U.S. began restoring full diplomatic relations with the communist government in December 2014 and have provided an important economic lifeline to the island. Along with the cruise ships, the U.S. will also now ban most private planes and boats from stopping in the island. “Consequently, private and corporate aircraft, cruise ships, sailboats, fishing boats, and other similar aircraft and vessels generally will be prohibited from going to Cuba,” according to the new rules published by the Commerce Department. The new restrictions take effect Wednesday, but the government will allow anyone who has already paid for the trip to go ahead with it. Cruises have become more popular than flights for leisure travelers to Cuba — nearly 30,000 more came by cruise ship than flights this year. The figures exclude Cuban-born Americans visiting family on the island. Commercial airline flights appear to be unaffected by the new measures and travel for university groups, academic research, journalism and professional meetings will continue to be allowed. “It kills the people-to-people category, which is the most common way for the average American to travel to Cuba,” said Collin Laverty, head of Cuba Educational Travel, one of the largest Cuba travel companies in the U.S. The new restrictions had been previewed by national security adviser John Bolton in an April speech in Miami to veterans of the failed 1961 Bay of Pigs invasion but details of the changed were public until Tuesday. Treasury said the sanctions would take effect on Wednesday after they are published in the Federal Register.

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cuba
tourism
sanctions
donald trump
john bolton
steve mnuchin


Trade tensions denting growth both globally and for Japan in 2019, World Bank says

Abstract: WASHINGTON - The World Bank on Tuesday revised growth forecasts downward for the world and Japan for this year as a tit-for-tat tariff war between the United States and China has led to slowing trade and investment. In its semiannual Global Economic Prospects report, the Washington-based institution estimated global growth at 2.6 percent, down 0.3 percentage point from its estimate in January, and Japan’s growth at 0.8 percent, down 0.1 point. Growth in East Asia and the Pacific is projected to slow to 5.9 percent in 2019 from 6.3 percent the previous year, making it the first time since the 1997-1998 Asian financial crisis that growth in the region has dropped below 6 percent. But bolstered by monetary and fiscal measures, U.S. growth was unchanged from the January estimate at 2.5 percent, and China’s growth rate was flat at 6.2 percent. According to the report, Japan’s economic activity remains lackluster, with trade — particularly exports to China — “especially weak.” Referring to a planned increase in the consumption tax from 8 percent to 10 percent, the report said “a value-added tax hike in October is likely to dampen activity further.” “Nonetheless, unemployment is low, labor force participation continues to climb, and the services sector remains relatively healthy,” it said, as it forecast 0.7 percent growth for Japan in 2020, unchanged from the January projection. The bank estimated the global economy will expand 2.7 percent in 2020, down 0.1 point amid rising downside risks, including the impact of the U.S.-China trade war as well as a U.S. plan to slap new levies on Mexican imports beginning next Monday. “Risks remain firmly on the downside, including the possibility of escalating trade tensions, sharper-than-expected slowdowns in major economies, and renewed financial stress in emerging market and developing economies,” it said. Reflecting such sentiments, growth in the trade of goods and services across the world was revised down by 1.0 point from the January forecast to 2.6 percent in 2019 and 0.4 point to 3.1 percent in 2020, according to the report. Despite concerns about rising trade tensions, the World Bank said U.S. growth remains “solid,” and forecast the world’s biggest economy will increase 1.7 percent in 2020, unchanged from the January forecast. “On the one hand, recent tariff increases and associated retaliatory actions are expected to weigh on activity,” it said, in reference to an increase of U.S. tariffs on $200 billion of Chinese products from 10 percent to 25 percent, an action that prompted Beijing to slap a retaliatory levy of a maximum 25 percent on $60 billion of American goods. “On the other, growth is being supported by more accommodative monetary policy than previously assumed and by sustained increases in productivity growth and labor force participation.” The Chinese economy, meanwhile, is likely to expand 6.1 percent in 2020, down 0.1 point, according to the report. Chinese economic activity has been supported by monetary and fiscal stimulus, but the recent increase in tariffs on trade with the United States is projected to weigh on growth in 2020, it said. The eurozone economy is estimated to grow 1.2 percent in 2019, down 0.4 point, and 1.4 percent in 2020, down 0.1 point, in reflection of a decline in exports, especially to China, Europe and Central Asia. “A sustained dissipation of these uncertainties — for instance, due to a comprehensive resolution of trade tensions between the United States and China — could significantly buttress global growth prospects,” the report said.


Japan to support creation of 300,000 jobs for long-term unemployed

Abstract: The government plans to support the creation of 300,000 jobs over the next three years for people who have failed to secure permanent employment since the collapse of Japan’s economic bubble in the early 1990s, a draft policy guideline showed Tuesday. The support will include programs for human resources development and cooperation between companies and local governments to create jobs for those left behind in the “employment ice age” that lasted through the early 2000s. The government, which estimates there are around 1 million long-term unemployed people in their mid-30s to mid-40s, is aiming to boost incomes while underpinning domestic demand, according to the draft obtained by Kyodo News. The Cabinet of Prime Minister Shinzo Abe is expected to approve the plan, part of the government’s annual economic policy blueprint, after a meeting next week of a key economic and fiscal policy panel, sources close to the matter said. The policy blueprint is being discussed as the government is scheduled to raise the consumption tax in October, which could weigh on consumer spending and hurt the economy. The draft underscored that the government will “implement flexible macroeconomic policies without hesitation” if the economy loses momentum. The government is also looking to prompt wage hikes in order to realize minimum hourly average pay of ¥1,000 ($9.20), according to the draft. Abe will unveil the policy blueprint ahead of an Upper House election this summer. The blueprint will also mention the need for the government to continue with social security reforms to cut costs and secure funds for economic stimulus. The draft suggests the government is considering raising revenue from wealthier elderly people and lifting the age limit for starting to receive public pensions to above 70 from the current 65, among other steps.


China issues U.S. travel alerts, slams Washington's 'interference'

Abstract: BEIJING - China issued a pair of travel warnings for the U.S. on Tuesday and slammed what it called “interference” in its internal affairs. Foreign Ministry spokesman Geng Shuang accused the U.S. of acting in bad faith in trade negotiations and said any attempts to interfere or undermine China’s stability would be “doomed to fail.” The volleys of criticism between the two largest economies leave them further than ever from resolving their standoff over U.S. complaints that Beijing resorts to unfair trade practices and unscrupulous methods to obtain advanced technologies. The Chinese comments followed a statement from the U.S. trade representative and Treasury Department late Monday criticizing a Chinese “white paper” report that defended Beijing’s stance in the stalled trade negotiations. “The white paper has made it very clear that every twist and turn in the China-U.S. trade consultations were caused by the U.S.’s flip-flops, violations of consensus, and bad faith,” Geng said. A travel warning issued by China’s Foreign Ministry and the Chinese Embassy and consulates in the U.S. said Chinese visitors have been interrogated, interviewed and subjected to other forms of what it called harassment by U.S. law enforcement agencies. It urged Chinese citizens and Chinese-funded bodies in the U.S. to step up their safety awareness and preventive measures and respond “appropriately and actively.” The alert, valid until Dec. 31, was “needed under the current circumstances,” Geng said. China’s Ministry of Culture and Tourism also issued a travel alert on Tuesday, noting the high frequency of shootings, robberies and theft in the country. And on Monday, Chinese planning on studying in the U.S. were urged to assess the risks involved, given tightened visa restrictions. The statement posted on the USTR website accused Beijing of “unfair trade practices” that it said have cost the U.S. hundreds of billions of dollars and accused Beijing of pursuing “a blame game.” It did not include any new actions against China. But it said the United States was “disappointed” by the report Beijing issued over the weekend defending China’s stance and accusing U.S. officials of backsliding in the talks. “It is important to note that the impetus for the discussions was China’s long history of unfair trade practices,” the statement said. Such actions have “caused severe harm to American workers, farmers, ranchers and businesses.” The two sides have held 11 rounds of talks over trade and technology issues and raised tariffs on hundreds of billions of each other’s goods, among other retaliatory measures. The next step may be when President Donald Trump and his Chinese counterpart, Xi Jinping, attend a meeting of the Group of 20 leading economies planned for Osaka in late June. But with no sign of a fresh round of talks, the two governments have been trading blame and maneuvering to drum up domestic support for what is turning out to be a bruising trade war for farmers and manufacturers on both sides. On Tuesday, the 30th anniversary of the brutal crackdown on demonstrations for democracy in Beijing’s Tiananmen Square, a commentary in the Chinese newspaper Global Times praised the ruling Communist Party’s decisions at such critical moments as crucial for creating the country’s “growth miracle.” It cited the trade war as one of many problems that China’s economy has confronted in recent decades. Geng echoed those comments, saying the government had done what was needed to ensure political stability. China’s Communist Party leaders are stuck between doing what is needed to mitigate damage to the economy from a prolonged trade war and standing firm against U.S. pressure to give up an economic growth strategy based on state support for developing world leaders in key technologies, such as robotics and artificial intelligence. He said those involved should “look yourself in the mirror, mind your own business, stop attacking and smearing China, stop interfering in China’s internal affairs, stop taking words and deeds that impair China-U.S. mutual trust,” he said.

china
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tourism
tariffs
travel
donald trump
trade war


Top tech execs will be asked to testify in U.S. House probe

Abstract: WASHINGTON - Leaders of big tech companies will be asked to testify as part of an investigation into whether the companies misuse their massive market power, the head of the U.S. House Judiciary subcommittee leading the probe said on Tuesday. The comments came a day after sources said the U.S. executive branch is gearing up for a similar probe of Amazon.com Inc., Apple Inc., Facebook Inc. and Alphabet Inc.’s Google, setting up what could be an unprecedented, wide-ranging investigation of some of the world’s largest companies. The House of Representatives Judiciary Committee opened its own investigation into competition in digital markets on Monday, with both Republicans and Democrats expressing concern about the power exercised by several of the world’s most valuable companies. Rep. David Cicilline said “It will be necessary for some of the leaders of the technology companies to be part of this conversation.” The Democrat added he was developing a witness list and that “I expect a number of them will actually testify before the committee or be interviewed as part of the investigation.” House Republican Leader Kevin McCarthy, asked on Tuesday about the need for oversight of big tech companies like Google, told a news conference, “I think it’s only right that people look at it,” but added that he did not see how breaking companies up would help with privacy issues. “I personally have a concern about personal privacy,” McCarthy said. Noting a few companies have a lot of market control, he asked “are we allowing the market to work?” Still, Sen. Mike Lee, a Republican, said that the complexity of antitrust investigations suited them better to federal agencies, rather than Congress. Apple Chief Executive Tim Cook, speaking in an interview with CBS News that aired on Tuesday, denied the company is a monopoly, saying the iPhone maker controlled a moderate share of the market but was not too big, and disagreed with calls from some U.S. politicians that the company be broken up. “With size, I think scrutiny is fair. I think we should be scrutinized,” he said. But, he added, “I don’t think anybody reasonable is gonna come to the conclusion that Apple’s a monopoly.” Cook’s comments were broadcast the same day two app developers sued Apple over its App Store practices, saying the company took an unfair commission on sales of iPhone apps. The claims center on the same Apple practices highlighted in a lawsuit brought by consumers, arguing that Apple’s practices have artificially inflated the price of software in the App Store. The Federal Trade Commission and the Department of Justice, which enforce antitrust laws in the United States, have divided oversight over the four companies, two sources told Reuters on Monday, with Amazon and Facebook under the watch of the FTC, and Apple and Google under the Justice Department. The FTC has already been investigating Facebook’s sharing of data belonging to 87 million users with the now-defunct British political consulting firm Cambridge Analytica. Facebook said in April that it expected to be fined up to $5 billion by the regulator. The owner of one-time rivals Instagram and WhatsApp has more than 1.5 billion daily users and has a huge influence in many countries. It has been criticized for allowing misleading posts and “fake news” on its service. Cook in the CBS interview also said that “fake news is not under control,” and in response to a question about Facebook added, “I worry about any property that today pushes news in a feed.” Facebook did not immediately respond to a request for comment. The probes could have financial implications for the companies. Brokerage Cowen cut its target price for Apple to $220 from $245 on Tuesday, citing antitrust enforcement concerns. Shares rose 3.7 percent to $179.64, as the broader market also rallied.

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congress
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tim cook
amazon.com


Tokyo stocks end five-session losing streak following Wall Street's jump

Abstract: Stocks rebounded on the Tokyo Stock Exchange on Wednesday, tracking an overnight jump in U.S. equities. The 225-issue Nikkei average gained 367.56 points, or 1.80 percent, to end at 20,776.10, snapping its five-session losing streak. On Tuesday, the key market gauge fell 2.34 points. The Topix index of all first-section issues finished up 30.99 points, or 2.07 percent, at 1,530.08, after inching up 0.13 point the previous day. Sentiment improved after the Dow Jones industrial average jumped 2.06 percent on Tuesday after U.S. Federal Reserve Chairman Jerome Powell indicated the possibility of an interest rate cut. Powell said in a speech that the Fed will “act as appropriate” to sustain the U.S. economic expansion. The broad-based rise was also supported by positive news on the trade front, including a statement from China on Tuesday that its dispute with the United States should be resolved through dialogue, brokers said. A rise in Shanghai stocks and higher U.S. stock index futures in off-hours trading also played a role in Japanese stocks’ gains, brokers said. But a weak dollar, at around ¥108 to $1, capped Japanese stocks’ upside, brokers said. Investors were concerned over the yen’s possible further rise as an interest rate cut by the Fed will lead to wider interest gaps between the United States and Japan, an official of a major brokerage firm said. Tomoaki Fujii, head of the investment research division at Akatsuki Securities Inc., played down the significance of Wednesday’s rise in Japanese shares. “The rise was nothing but a futures-led rebound after a plunge late last week, and optimism can’t be warranted,” Fujii said. The actual situation relating to U.S. trade relations with China and Mexico has not changed at all, he said. Rising issues far outnumbered falling ones 1,988 to 126 in the TSE’s first section, while 27 issues were unchanged. Volume increased to 1.28 billion shares from 1.23 billion on Tuesday. Cyclical stocks attracted repurchases, with shipping firm Mitsui O.S.K. up 3.58 percent, chip-making gear manufacturer Tokyo Electron up 2.37 percent and nonferrous metal producer Mitsubishi Materials up 3.33 percent. Drug maker Daiichi Sankyo closed 6.59 percent higher after hitting a listing-to-date high on an upbeat report by a securities firm about one of its products. Other winners included technology investor SoftBank Group and job information service firm Recruit Holdings. By contrast, Fast Retailing dropped 1.55 percent a day after the company said same-store sales at its Uniqlo casual clothing chain fell 1.8 percent in May. Also on the negative side were daily goods maker Kao and automaker Subaru. In index futures trading on the Osaka Exchange, the key June contract on the Nikkei average rose 370 points to end at 20,730.


World's central banks poised to act as global economic warnings flash

Abstract: HONG KONG - Central banks are resuming their first-responder role as the world economy runs into trouble, even as they lack the firepower they once had at their disposal. With Australia cutting interest rates Tuesday for the first time in three years and India likely to follow Thursday, monetary policymakers are again seeking to shore up weak growth and inflation. Federal Reserve Chairman Jerome Powell signaled an openness to loosening if necessary. Former Treasury Secretary Lawrence Summers wrote on Twitter that the Fed should cut by 50 basis points over coming months, if not more, to ward off recession risks. And European Central Bank officials are poised on Thursday to at the very least agree on generous terms for new long-term loans for banks. Stocks in Asia rose after Powell’s signal. Japan led the charge, with the 225-issue Nikkei average ending up 1.8 percent. The upshot is global monetary policy is turning looser just months after the Fed and many of its counterparts seemed intent on spending 2019 shifting away from the emergency settings of the past decade. An index by the Council on Foreign Relations shows monetary policy now at its easiest since 2014, while JPMorgan Chase & Co. reckons the average benchmark rate of developed nations will end this year looser than now, led by two Fed cuts. That’s the outlook finance ministers and central bankers from the Group of 20 industrial and emerging economies face when they gather on June 8 and 9 in the city of Fukuoka. “The mood regarding global growth is likely to be distinctly gloomier than at the last G20 gathering,” said Matthew Goodman, a former White House official now at the Center for Strategic and International Studies. “This could put pressure on finance ministries and central banks in major economies to inject new stimulus.” The World Bank lowered its 2019 growth forecast, citing a slowdown in trade growth to the weakest level since the financial crisis. Worryingly, officials will convene in the knowledge that they have less ammunition and monetary policy is not as potent as it once was. Since the 2008 financial crisis, analysts at Bank of America calculate central banks cut rates more than 700 times and bought $12 trillion of financial assets. The Fed has a current rate target range of 2.25 percent to 2.5 percent, which doesn’t leave much room above zero given it cut by 500 basis points to fight the last downturn. And it, at least, has hiked — the ECB and Bank of Japan never got to reverse their crisis-era reductions and rates are stuck below zero. But with below-target inflation and slowing growth, investors are betting on action and see two quarter-point cuts in the U.S. by the end of 2019. JPMorgan this week pushed back its prediction for when central banks across Europe will start tightening, and ABN Amro sees quantitative easing being restarted in the euro region next year. On Monday, St. Louis Fed President James Bullard said a “downward policy rate adjustment” could be needed soon. Powell said a day later that policymakers “will act as appropriate to sustain the expansion.” In South Africa, the policy bias is shifting, with two of five panel members voting for a cut last month. Still, even after the economy shrank the most in a decade in the first quarter, Gov. Lesetja Kganyago is adamant it’s not his job to boost growth, but control inflation. “Price stability is a necessary condition for balanced and sustainable growth, but it is by no means a sufficient condition,” Kganyago said in an interview Tuesday. Behind the global concerns and market jitters are U.S. President Donald Trump’s trade war with China and threats to expand it to include allies such as Mexico and the European Union. Morgan Stanley is warning that an escalation of the conflict between Beijing or Washington alone could tip the world into recession within nine months. The trade war is not the only drag on demand. Cooling demand in China, tighter financial conditions and a dimming technology boom are also hurting. Manufacturing is now the weakest it’s been since 2012, according to a monthly report from IHS Markit. The slowdown may lead some to argue central banks should have been quicker to normalize policy so they were better positioned to deal with a downturn. But policymakers reject such a strategy, arguing tightening too fast would risk generating the very economic slump they want to avoid. However, another round of loosening will fan the debate over whether they have the right strategy. Fed officials are meeting in Chicago this week to discuss potential changes to how they manage monetary policy, with at least one delegate advocating a more flexible approach to targeting inflation. Adam Posen, a former member of the Bank of England’s Monetary Policy Committee, last month advocated all major central banks unite to boost their targets. That’s all for the long term rather than the short term. The current situation may mean governments have to step up, though they are also constrained. Global debt is at $184 trillion, the equivalent of 225 percent of gross domestic product, according to the IMF. The dilemma is perhaps greatest in G20 host Japan. BOJ Gov. Haruhiko Kuroda is again under pressure to act after exports fell for a fifth straight month and a planned sales tax hike has drawn warnings it could cause a recession. “As cyclical indicators have started to flash red, greater policy-coordination across the G20 is urgently required to support demand,” said Frederic Neumann, co-head of Asian economics research at HSBC Holdings PLC in Hong Kong. “And yet, officials also confront the growing reality that buffers in individual economies have worn thin.”

india
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australia
banks
federal reserve
interest rates
central bank
stock markets
jerome powell