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The U.S. attorney's office in Manhattan filed charges against Swiss bank Wegelin for helping Americans hide $1.2 billion in secret accounts at the bank. Even after UBS was being prosecuted for similiar charges, Wegelin, the oldest bank in Switzerland, is said in the indictment to have pursued the UBS clients to open accounts with Wegelin. Clients were told that Wegelin based in St. Gallen, Switzerland had no overseas business and was less susceptible to legal enforcement. UBS admitted to conspiring to engage in fradulent activity in 2009 and paid a $780 million fine.

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By April 22 2026 a measured and careful response from the US president as the US Naval blockade stays on and US exercises patient waiting. Iran fails to save its economy from disruptions, massive loss of jobs as supply chains fail, and inflation exceeds 50%, two million in job losses. The longer the war carries on and the naval blockade remains in place purely to hold on to enriched uranium for weapon systems and ballistic missiles, the larger the economic losses.

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Efforts to break the logjam for a $2 trillion infrastructure investment for the U.S.

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New discoveries by Hamm's Continental Resources, could change the way the U.S. thinks about oil and natural gas. After years of OPEC dependence, the U.S. could become energy sufficient by 2020. His company pioneered the search for oil and natural gas in the Bakken fields in the Great Plains. The U.S. Geological Survey says Bakken has 4-5 billion barrels of oil. Hamm says the entire field, fully developed, holds 24 billion barrels.

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Jeff Flake, U.S. Senator from Arizona tells Republican candidates, "Distance yourself from Trump," and Flake is thinking not just of 2016, but of elections to come.  In the West generally it is not just about minorities, but also the educated white collar professionals in cities such as Salt Lake City, Denver and Phoenix. The percentage of registered Republicans in Colorado dropped by 4 percentage points since 2012, and now Democrats have the same share of registered voters. In Arizona Hillary Clinton has invested resources to register more Hispanics and minorities. The distancing from Trump by Romney and the shift of the Mormon vote is making Utah also a place where Clinton is catching up in polls. As a result most of the West now looks very different. The remaining western states of Wyoming, Idaho, Montana and Alaska, say experts have a total of 13 of the 538 Electoral College votes. With Utah this is 19. 

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U.S. budget deficit reached 10% of GDP with the 2008-2009 recession and the need for federal spending when tax revenues dropped. Partisan budget fights took place in Congress in 2010 and 2011, with a downgrade of the U.S. credit rating in 2011. By December 2014 the budget deficit declined to $488 billion for calendar year 2014, or $483 billion for fiscal year, as the unemployment situation improved. The deficit in 2014 was a liitle below 3% of GDP.

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China's state owned China Development Bank signed an agreement to finance a new pipeline that will carry 600,000 barrels a day of Venezuelan and Colombian oil through jungle and the Andean mountains to the Pacific coast. Colombia plans to shift its focus to export much of its 1 million barrels a day of oil production to China. Talks also were held with China on developing central Colombian coking coal reserves and building a railway to the Pacific coast. Colombian plans are based on slowing demand for Colombian oil in the U.S., with increased supplies of natural gas and shale gas in the U.S.

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The implications of the U.S. Federal Reserve's loose monetary policy. Total U.S. debt in 2012 is expected to be $11.58 trillion, with 52% of this in maturities of less than 3 years. The average interest on this is about 2.24% in January 2012, with interest on the debt at about 225 billion in Jan. 2012. If interest rates were to go up in 2014-2017 as forecast by the CBO, an interest rate of 5-6% would result in doubling or tripling the amount of interest on U.S. debt. The U.S. Treasury is financing the huge increase in debt- $5 trillion added in the last four years- through low interest rates and shorter maturities. This stores up large financial risks for the future including calls for tax increases to pay for a sudden rise in the interest on U.S. debt.

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Britain recorded the most deaths in Europe. Brazil and Russia have over 10,000 cases of coronavirus each, and the U.S. records cases close to that in the peak in April. Cases were up worldwide for May 6 to 92,000 with a quarter of these cases or about 24,000 in the U.S. The jump in cases takes the total to 3.77 million with a third of them in the U.S., according to John Hopkins database. Russia and Brazil had a slow start but are now registering large numbers of cases showing that India and other countries with limited testing could face the same situation. Russia has ramped up testing, and so have the U.S. and the UK. Moscow's mayor Sergei Sobyanin says for example that about 300,000 of the 12 million people in Moscow have the virus based on sampling surveys, more than 3 times the confirmed cases. Restrictions remain in place in Moscow beyond May 11.  Countries that were hit earlier by the virus such as Spain and France are reopening gradually after May 11. France will use red and green zones to handle restrictions so that the restrictions are customized to each place in the country. ...

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During 2018 negotiations China's vice premier Liu He asked finance business leaders "We need your help." This included  Black Rock, Goldman Sachs, JP Morgan, and others. In exchange China which has protected its financial markets from American finance companies now offered to give some opportunities, though as other companies in other industries have found out this could be limited by other priorities.  The Trump and now the Biden administration are pursuing the decoupling of the Chinese and American economies after learning through two decades that it is damaging to the U.S. economic position in the world. The new law passed by unanimous vote in Congress to be signed into law by president Trump requires Chinese companies to have financial audits inspected by U.S. regulatory agency for them to remain listed on U.S. exchanges. However as the WSJ points out in a separate article this does not restrict Chinese companies access to global capital in unfair competition with the U.S. because the law goes into effect over 3 years giving Chinese companies. American investors can also invest in the Chinese companies on the Hong Kong stock exchange unless their entire thinking process changes seeing what is best for America as best for them. ...

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There is a two week period before the 25% tariff on steel coming into the U.S. goes into effect. This gives time for Canada, Mexico, the EU, Japan and other countries to come up with offers to negotiate or as with the EU come up with its own plan to put tariffs on some American goods. An exemption for Canada is supported by the United Steel Workers Union, as many American companies make steel across the borders. Canada sends the most steel and aluminium to the U.S. With the departure of Gary Cohn as economic advisor, Mr. Lighthizer, the U.S. Trade Representative who pushed for the tariff plan becomes a trusted advisor to the President. Lighthizer is to be seen in Lyrarc pages as having consistently supported fair trade and protecting U.S. workers in these situations since his work in the Reagan administration. The other advisors who are ascendent are Peter Navarro, a trade expert, and Wilbur Ross, the Commerce Secretary. Ross is an experienced business veteran in consolidation of steel and auto parts companies, who pushed for a moderate position to renegotiate NAFTA and convinced president Trump to pursue renegotiation instead of rejecting NAFTA following calls from president Nieto of Mexico and Trudeau of Canada. ...

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Steven Press of the Stanford History Department says "buying Greenland is not a new idea."  Actually Denmark sold hubs in India to the British Empire, offered Greenland for sale to US in 1900's,  and US president Harry Truman offered $100 million in 1946 for Greenland because of it's strategic value in the Cold War. Then why are the EU countries sounding indignation. Denmark was a colonial power in India in the 19th century. Denmark was explored in its widest extent by Robert Peary in the 1880's who proved it was an island by reaching it's northernmost side. Peary advocated for Greenland to be part of the US and the Commanders in Chief all agreed in 1946 the island "was completely worthless to Denmark," yet was vital to the United States, to protect its eastern seaboard. DJT is hardly the first to say this even though the Europeans want to excoriate hime for doing so. In fact it was Secretary of State William Seward in 1867 who looked at acquiring Greenland, when he negotiated the purchase of Alaska from the Russian Empire. Alaska is a lot ,a lot better for natives compared to it being under Russia, and this would be true for Greenland than being under Denmark. Denmark's claim was not even accepted till 1921 with Norway disputing it.  Denmark had not explored the northern part of the country when Robert Peary reached it for the US Navy and claimed it for the US inthe 1880's. It can be said that for these reasons Denmark has little reason to be in Greenland except as a colonial power. Its claims are from 1814 Treaty of Kiel with Prussia. Denmark can hardly protect Greenland's vast shoreline with 6 dogsleds, and security less than the New York Police Department, from Russian and Chinese submarines and ships in the Arctic. The native Inuit population of Greenland has little in common with Denmark as a colonial power. About 60,000 Inuit origin native residents, in the whole island, most of them would fit into one or several American bases, Okinawa alone has 80,000 people. Who would have per capita incomes many times what they are today with better living conditions and standards of health and education, security and air transport under the US.    ...

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A deleted tweet by Chris Wright US Energy Secretary about an escorted tanker in the Hormuz Straits drives down oil prices to $79 a barrel on March 10, 2026.

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Moody's Ratings company downgraded banks in the U.S. and Europe on June 21, 2012. Morgan Stanley, J.P. Morgan Chase, Goldman Sachs, Citigroup were downgraded two notches. Morgan Stanley managed to stave off a three notch downgrade. Credit Suisse was downgraded three notches. Bank of America was down one notch, and Wells Fargo which has only a small trading operation was not reviewed. This is the first time since 2007 that Moody's has conducted a sweeping downgrade of banks. About 100 banks were reviewed by Moody's. Banks being downgraded have large trading operations or investment banking business that is subject to higher risks. Greg Bauer, a managing director of global banking at Moody's said in his statement: All of the banks affected by today's actions have significant exposure to the volatility and risk of outsized losses inherent to capital-markets activities." For Moody's the main issue was that the capital bases of banks are maintained, considering that government support is less likely than before, according to Mr. Wassenberg, Moody's managing director for European banks. The impact on banks will be fewer opportunities for trading revenues for some banks, and will raise borrowing costs for banks. Moody's also cut the ratings of large European banks with significant trading operations. This includes Deutsche Bank, Barclays, HSBC, RBS, BNP Paribas, Credit Agricole, Societe Generale, UBS, and Royal Bank of Canada....

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Spencer Jakab points out reasons why interest rates will remain low for some time to come- inflation of around 2%, even lower interest rates in Europe and Japan, foreign buying of U.S. bonds keeping the dollar strong, and sluggish economic growth in the U.S.

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Jill Biden teaches at Northern Virginia Community College. She wants to continue her job teaching community college students helping them prepare for 4 year colleges, even after Mr. Joe Biden becomes the new president of the U.S.  This story of Jill Biden in The Times is exceptional in giving a vivid picture of the person closest to the new U.S. president. Both the Bidens, Joe and Jill, come from working class families in the northeastern U.S. Mr. Biden's life is marked by a single event that has affected his whole life the death in a car accident of his first wife Naomi in December 1972 when he was running for U.S. Senator in Delaware. He won that election becoming the youngest senator in U.S. history. The family retained high ambitions for Joe, hoping that he would become president. Jill met Joe Biden during this campaign and she married Joe in 1975. Jill had spent 13 years of her career teaching English in secondary schools, and the past 27 years teaching in community colleges, including the eight years when Biden was Vice President. Along the way she studied for 2 Masters degrees and a doctoral degree. Her dissertation for the doctoral degree was on the topic- Student Retention at Community Colleges: Meeting Student Needs. Student dropout rates are high about one in three in community colleges dropout.  It is a sign of the misplaced priorities of today that Dr. Biden takes pride in her degree and many do not think this is important enough a topic for a dissertation. Not only her education and hard work studying for advanced education makes her a unique asset, there are other parts of her character that make her exceptional and right for the times. Jill Biden entered a family that in some ways after Naomi's death was broken. The were two children surviving the fatal car accident in 1972, Beau and Hunter. This story shows how she handled this in a way that required extraordinary serenity and composure. There was the ambition of the family. There was the memory of the accident and Naomi. There was the cynicism about her passion for education in fashionable Democratic party circles out of touch with the roots of the national character in education and in libraries starting with Ben Franklin and Jefferson. With president Biden entering office at a time when the U.S. as a country is broken by the very neglect of education, healthcare and working class Americans, Jill Biden at 69 years has the experience, vigor of spirit and character needed today.   ...

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Economist Lawrence Lindsey says the Fed has boxed itself and has little choice but to keep interest rates low. Borrowing at the more normal interest rates of 5.7%- which is what it was over the last three decades- and not at the current 2.5%, would mean an increase in borrowing costs for the U.S. government of $800 billion in 2021, says Lindsay. Lindsay bases this on the U.S. debt growing from $14 trillion in 2011 to $25 trillion by 2021, and interest rates going back to normal levels by 2021. Just to put this in perspective Lindsay says it would require all the cuts Republicans and Rep. Ryan are asking for just to pay for the added interest, not even about reducing the size of the U.S. debt. This would be a disaster for the U.S. Treasury, so we're stuck with really low rates. The term used by economists is "financial repression." Savers and retirees will have to put up with low returns. Lowering unemployment is only one aspect of U.S. Fed policy, the other aspect is in the constraints Bernake faces....

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The 800 foot Chinese ocean carrier Zhen Hua 29 sails into Kingston, Jamaica, from Shanghai on the long route with 5 cranes in epic 3 months voyage through the Indian Ocean around Mozambique- the last of the globalization voyages. As globalization dims these are the last of these voyages. US policy is for its control of the Panama Canal, the Monroe Doctrine in the western hemisphere, pushing out a globalization that hurt American industry and jobs in the USA. China continues on with its surplus capacity make for export policy, the US wants out from these imports, and the EU is wary of imports dependence.  Gemany's Foreign ministry under Wadephul is forming a commission to investigate German dependence on China made products. This is the last of the globalization that started with Clinton, and went on with Bush and Obama, wrecking huge parts of the American industrial base. Cranes- no longer made in the USA, one by one, including ships- no longer made in the USA. The great shipyards of Britain and the US languishing in disrepair! ...

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New information shows a crisis is developing in higher education as student debt passes $1 trillion with the unrelenting rise in the cost of college. Higher debt levels is leading to higher droput rates. According to think tank Education Sector, 30 percent of college students taking out loans dropped out of school, compared to 25% ten years ago. And work can be a large factor as students take parttime jobs to lower the loan burden- half of college dropouts attributed dropping out to work, according to a 2009 study by Public Agenda. It also adds another burden to the productive potential of the U.S. economy. The director of the Center on Education and the Workforce at Georgetown University, Anthony Carnevale, estimates the cost to the U.S. economy at half a trillion dollars in terms of skills not available for increasing economic output and income lost for dropouts.

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This Washington Post article by Henry Farrell explains the implications of the 2016 EU ruling on Apple asking it to pay 13 billion euros in back taxes. Other countries in the European Union are upset that Ireland is taking away business and siphoning away tax revenues from their country, and giving most of it back to Apple. Normally the European Union Commission does not have authority over taxes in the member states. However considering the social and political implications at a time of deep recession and political upheaval in the EU and the U.S., the European Union Commission under Margarethe Vestager has seen it proper to look at arrangements in which companies come up with tax arrangements that deprive member states unfairly of tax revenues- revenues that could support social welfare and basic education, healthcare services at a time of painful cuts. A tax rate of .005% in 2013 for Apple is cited by Vestager as she points out that Apple's taxable profit does not correspond to economic reality, as most operations are conducted outside Ireland. Ireland is just on paper the tax location for EU operations. Vestager has thus come up with a legal approach based on Ireland's tax arrangements being a form of illegal state subsidy, which is not allowed under EU rules, and gives the EU Commission authority to require that it be reversed by paying the back taxes of 13 billion euros. Farrell answers the question why the U.S. Treasury is saying that Apple should not have to pay these taxes, as the U.S. also hopes to get some of these taxes at some future date with Apple repatriating profits to the U.S. under a still to be set tax arrangement. ...

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This editorial in the WSJ commends Congress for the $2 trillion U.S. aid package for households, small business and large corporations to keep workers on payroll, and aid to hospitals. It also commends the Federal Reserve for swift action to maintain liquidity in all corners of money markets. It was important to prevent a run on money market funds and municipal bond funds. The U.S. Senate bill adds $454 billion for Treasury that can support further Fed action if needed. This has also resulted in a recovery in the stock markets. The editors of WSJ caution Treasury from intervening too far up the risk curve to help companies that had overleveraged themselves with risk before coronavirus hit. It makes clear that the U.S. central bank the Fed should only offer liquidity against good collateral to companies that were healthy before the shock. As president  Trump never tires of telling listeners to his daily briefings from the Brady room in the White House- Boeing and the airlines were healthy before coronavirus hit. It was not their fault that coronavirus hit so suddenly. These companies deserve government help, says the president. By making the distinction between otherwise healthy companies and companies that overleveraged themselves on their own, the Fed, Treasury, and the U.S. government can get more bang for the buck. The WSJ editorial also says there is a bit of good news in the behaviour of politicians, media and the public in the way they are ignoring the trivial politics and self-centred behaviours, including indiscriminately being critical of the president, and focusing on the important matters that affect all our lives.  ...

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Increasing regional tensions with a more assertive Japan and China. U.S. president Obama's so called "pivot to Asia," appears to have little impact. China has tended to look for its own security architecture in Asia that excludes the U.S. U.S. efforts to reduce tensions are being ignored by China in May-June 2014, as China asserts itself in waters that are in dispute with Vietnam. The lack of U.S. influence compares unfavorably with the situation that prevailed since 1900, when the U.S. had the most significant influence in Asian waters. It has more to do with a policy of withdrawal under the Obama administration than U.S. capabilities. The policy of withdrawal in the Middle East comes after much of the sacrifice had been made and the situation in Iraq changed, so that for a much smaller incremental effort the U.S. could have both lived up to its principles and ideals for democracy and freedom as well as win public opinion in the Arab countries of North Africa and the Middle East. This withdrawal in the Middle East has given Russia and China the wrong signal leading to more assertive stance in Europe and Asia, and creating uncertainty where little uncertainty existed about U.S. determination. Under whatever terms it is wrapped the policy of the Obama administration is one of withdrawal. It is dangerous because it will mean a more costly effort would be needed under a future administration to restore the situation which prevailed earlier- in which the U.S. has helped create a climate in which the entire region including China and Japan have prospered economically, without the region descending into a competition between Russia, China, Japan, South Korea and India. The Obama administration with its muddled policies has inadvertently created this situation....

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As the economy improves in Mexico a new optimism brings people from other countries to Mexico. Government figures in th U.S. and Mexico show as many Americans going to Mexico as Mexicans coming to the U.S., marking a new beginning in U.S. relations with Mexico.