Morning Read Friday February 8 2019


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Trump adviser Kushner traveling to Middle East to brief on economic part of peace planWhite House senior adviser Jared Kushner will travel to at least five Arab countries in late February to brief diplomats on the economic portion of a long-awaited U.S. peace proposal for the Middle East and seek their support, officials said on Thursday.

Kushner, who is President Donald Trump’s influential son-in-law, and Trump’s Middle East envoy, Jason Greenblatt, plan stops in Oman, Bahrain, Saudi Arabia, the United Arab Emirates and Qatar on their week-long trip, two senior White House officials said. They may add two other countries to their itinerary. Kushner and Greenblatt, joined by State Department envoy Brian Hook and Kushner aide Avi Berkowitz, will not brief the diplomats on the “political component” of the peace plan, which covers all core issues of the decades-old conflict between Israel and the Palestinians, the officials said.

Instead, they will gauge the level of support for the economic part of the plan, which is expected to include a combination of aid and investment to help the Palestinian people, the officials said. [REUTERS]

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U.S. Military Sets April Target Date for Leaving Syria

The Pentagon is preparing to pull all U.S. forces out of Syria by the end of April, even though the Trump administration has yet to come up with a plan to protect its Kurdish partners from attack when they leave, current and former U.S. officials said.

With U.S.-backed fighters poised to seize the final Syrian sanctuaries held by Islamic State in the coming days, the U.S. military is turning its attention toward a withdrawal of forces in the coming weeks, these people said on Thursday.

Unless the Trump administration alters course, the military plans to pull a significant portion of its forces out by mid-March, with a full withdrawal coming by the end of April, they said. Still, the military planning comes as the State Department maintains that there is no timetable for a withdrawal.

While President Trump has put no firm deadline on withdrawing troops from Syria, he has directed the Pentagon to get all forces out of the country, an order that has led to the current U.S. military timeline to leave by the end of April. [WSJ]

North Korea pushing flag at center of new loyalty campaignNorth Korea is stepping up a new loyalty campaign as leader Kim Jong Un prepares for his second summit with President Donald Trump.

The campaign began last month with the introduction of a song in praise of the nation’s flag.
A video now being aired on state-run television to promote the song — called “Our National Flag” — shows repeated images of the flag being raised at international sports competitions and being formed by a sea of people holding up colored lengths of cloth at a parade and rally on Kim Il Sung Square. Other images show recent improvements in the economy and standard of living, a reflection of a current government policy shift that focuses on development and prosperity.

The video is a departure from the tone of the propaganda that dominated just two years ago, when tensions with Washington were escalating and the focus was on North Korea’s successful missile tests.

The new video incorporates imagery from the most recent mass games event, which was staged last September to mark the country’s 70th anniversary. It briefly shows troops at attention during a military parade and fighter jets creating smoke trails in the national colors of blue, red and white. But it also is interspersed with shots of civilians marching at the same parade, clips of new high-rise apartments in the capital, Pyongyang, fireworks displays and rows of students in their school uniforms. [AP]

Saudi crown prince told aide he would use ‘a bullet’ on Khashoggi: reportSaudi Arabia’s crown prince told a senior aide he would go after Jamal Khashoggi “with a bullet” a year before the dissident journalist was killed inside the kingdom’s Istanbul consulate, the New York Times reported Thursday quoting US intelligence.

US intelligence understood that Mohammed bin Salman, the country’s 33-year-old de facto ruler, was ready to kill the journalist, although he may not have literally meant to shoot him, according to the newspaper.

The conversation was intercepted by US intelligence agencies, as part of routine efforts by the National Security Agency and other agencies to capture and store the communications of global leaders, including allied ones, The Times said. It was only recently transcribed, however, because of mounting efforts by US intelligence to find more conclusive proof linking the prince to the killing. The conversation took place between Prince Mohammed and an aide, Turki Aldakhil, in September 2017 — around 13 months before the October 2 killing, the paper said. [AFP]

Iran reveals missile, shows off underground factoryIran’s Revolutionary Guards inaugurated a surface-to-surface ballistic missile with a range of 1,000 km (621 miles), the semi-official Fars news agency reported on Thursday, ignoring demands Western demands that Tehran halt its missile program.

Fars published pictures of an underground missile factory called “underground city”, saying the “Dezful” missile was a version of the Zolfaghar missile that has a 700 km range and a 450 kg (992 lb) warhead.

Iran says it has missiles with the range of up to 2,000 km, which puts Israel and U.S. military bases in the region within reach.

The EU has stepped up criticism of Iran’s ballistic missiles program, while the block remains committed to a 2015 nuclear deal between Iran and major powers. [REUTERS]

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John Dingell Jr., a House ‘Bull’ Who Served the Longest, Is Dead at 92

John D. Dingell Jr., a powerful and tenacious Michigan Democrat who pushed landmark legislation, exposed corruption in government and became the longest-serving member of Congress in American history, died on Thursday at his home in Dearborn, Mich. He was 92.

Mr. Dingell had represented what is now Michigan’s 12th district, outside Detroit, since the Eisenhower administration, a 59-year run. But when he announced in 2014 at age 87 that he would not seek re-election that year, he said he was stepping down because he no longer recognized the institution he loved. Bitter partisanship, he said, was preventing the House from getting anything done.

“I find serving in the House to be obnoxious,” he told The Detroit News.

John Dingell Jr. became the longest-serving House member in February 2009, surpassing the record set in the early 1990s by Jamie L. Whitten, a Mississippi Democrat. He became the longest-tenured member in the history of all of Congress on June 7, 2013, when he passed the record set by Senator Robert C. Byrd, Democrat of West Virginia, who died in office in 2010. [NYT]

Illinois Senate backs $15 hourly minimum wage within 6 yearsThe Illinois Senate voted Thursday to hike the statewide minimum wage to $15 an hour within six years, quickly advancing a top campaign promise of the newly elected Democratic governor in a major industrial state that hasn’t raised the pay floor in nearly a decade.

Gov. J.B. Pritzker, who in his third week in office has reveled in reversing four years of his Republican predecessor’s conservative policies , lauded the Senate’s 39-18 party-line action to gradually raise the pay for low-income workers. “If you live in this state and put in a hard day’s work, you should be able to afford to put a roof over your head and food on the table,” Pritzker told reporters in his Capitol after the vote.

Although Chicago in 2014 imposed its own wage minimum, which increases to $13 this year, the last statewide bump came in 2010. At $8.25 per hour, Illinois is $1 higher than the federal minimum wage, according to the National Conference of State Legislatures.

The plan by Senate Majority Leader Kimberly Lightford, a Democrat from the Chicago suburb of Maywood, would bump Illinois’ $8.25-an-hour minimum to $9.25 on Jan. 1. After a 75-cent increase on July 1, 2020, the wage would increase by $1 each January until 2025. The House, also dominated by Democrats, still must sign off before the legislation reaches Pritzker. [AP]

U.S. border security talks progressing: negotiatorsU.S. lawmakers negotiating a deal with President Donald Trump on border security funding on Thursday said progress was being made, with Democratic Senator Jon Tester raising the possibility of a successful conclusion to talks as soon as Friday.

Speaking to reporters, Tester said it was “entirely possible we could have a deal in a timely manner, which could be tomorrow but certainly by the weekend.”

Senate Appropriations Committee Chairman Richard Shelby, who met earlier on Thursday at the White House with Trump, told reporters the 17 Senate and House of Representatives negotiators were on “a positive trajectory”.

Shelby, a Republican, would not provide any details on a possible deal but said the situation had improved now that there was a better understanding of what Trump would support. [REUTERS]

Judge grills Mueller team on claim Manafort lied; prosecutors say issue’s ‘at heart’ of Russia probeA federal judge grilled Special Counsel Robert Mueller’s team earlier this week on its claims that former Trump campaign manager Paul Manafort intentionally lied to investigators, according to a newly released, partially redacted court transcript released Thursday.

Manafort, who avoided a second trial in Washington, D.C., last year by agreeing to cooperate with investigators, allegedly lied to prosecutors about five separate topics, including Manafort’s contact with administration officials; information “pertinent to another Department of Justice investigation,” and a $125,000 wire transfer to a firm working for Manafort.

But at the closed-door hearing on Monday, U.S. District Judge Amy Berman Jackson repeatedly and bluntly pressed prosecutors to explain why Manafort’s misstatements, including some that he corrected voluntarily, should affect his upcoming sentencing.

The judge, who is also handling the ongoing criminal case against Trump associate Roger Stone, openly wondered whether prosecutors had bombarded Manafort with a series of difficult and irrelevant questions during the roughly 50 hours of interviews that followed his plea deal. [FOXNEWS]

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De Blasio proposes increasing city budget to $92BMayor Bill de Blasio proposed a $3 billion increase in the city’s new budget Thursday — while warning that dark fiscal clouds will force some program cuts next year.

For the first time since taking office five years ago, the mayor ordered agencies to produce savings totaling $750 million as he released a $92.2 billion preliminary budget for fiscal 2020, which starts on July 1.

That was up from the $89.2 billion allocated for the current fiscal year.

Pointing to wild stock market swings, budget cuts in Albany and another possible federal government shutdown, de Blasio said the flush times appear to be over. “We may well have to limit some of our investments or slow down some of our investments or, in fact, cut some programs or some investments outright,” he said. [NYP]

New York Gov. Cuomo to Put Plan to Overhaul MTA Into Budget BillNew York Gov. Andrew Cuomo said Thursday he will insert into his state budget bills a plan to overhaul the Metropolitan Transportation Authority and reiterated his position that he wouldn’t send more money to the beleaguered transit authority without reorganizing its management.

Mr. Cuomo, a Democrat in his third term, disparaged the transit authority during a speech to the Association for a Better New York, a group of business and civic leaders. The governor said the MTA is a “governmental Frankenstein, created in the ’60s” overseeing “the great transit abyss, taking us backwards.”

“A more functional board would be President Trump, Hillary Clinton, Bernie Sanders, Rush Limbaugh and Nancy Pelosi, ” Mr. Cuomo said. “Put someone in charge and resolve the unilateral veto, because no organization can work like that.”

An MTA spokesman said the agency is “eager to work with the legislature and governor on critical reform efforts.” [WSJ]

 Public Advocate candidates blast Amazon deal in debateThe ten leading candidates to become the city’s next Public Advocate spent much of their two-hour debate Wednesday blasting the mayor’s support of the controversial deal to bring online giant Amazon to the Queens waterfront.

“It was a backroom deal, it was undemocratic,” former Council Speaker Melissa Mark-Viverito said. “It was entirely backwards,” added Assemblyman Danny O’Donnell.

“This plan needs to be squashed,” said Councilman Jumaane Williams.

The Public Advocate’s position has no actual power to block the controversial $3 billion deal that city and state officials negotiated with Amazon to locate its new campus in Long Island City, potentially bringing 25,000 new jobs to the city.

In exchange, Amazon will receive $2.5 billion in tax credits – from programs open to any company under state law – and $500 million in state construction subsidies. [NYP]

New York Spent $1.5 Million to Keep Statue of Liberty Open, $52,000 for Cuomo InaugurationNew York state taxpayers spent $1.5 million to keep the Statue of Liberty and Ellis Island open during the recent partial federal government shutdown, and more than $52,000 for Gov. Andrew Cuomo’s inauguration ceremony on Ellis Island.

The state spent about $65,000 a day to keep the Ellis Island immigration hall and the statue, which stands on nearby Liberty Island, open from Dec. 22 to Jan. 14 during the partial shutdown, according to Jason Conwall, a Cuomo administration spokesman. The expenditure, he said, promoted tourism at the popular sites, and some of the funds will be reimbursed.

For his New Year’s Day address, Mr. Cuomo, a Democrat in his third term, invited about 1,000 people—including lawmakers, business and labor leaders, lobbyists and clergy—to the Great Hall on Ellis Island. Republican leaders in the state Legislature didn’t attend, their representatives said, adding that they aren’t aware of any GOP legislators participating in the event. [WSJ]

Pelosi takes on viral clapping during Trump’s State of the UnionIt was an instant meme.  House Speaker Nancy Pelosi rising to her feet, stretching out her arms so she could clap loudly at President Donald Trump’s call to end the “politics of revenge.”  While continuing her seemingly targeted applause, she locked eyes with the president and smirked.

Video of the moment went viral with many concluding that the California Democrat had invented a petty version of applause.

But, Pelosi claims that wasn’t her attempt.  “It wasn’t sarcastic,” she told reporters. Pelosi said that Trump’s remarks, asking everyone to “reject the politics of revenge, resistance and retribution and embrace the boundless potential of cooperation, compromise and the common good,” were very welcome by Democrats.  “Look at what I was applauding,” Pelosi added. “I wanted him to know that was a very welcome message.” [USATODAY]

Trump cornered on border wallInside the White House, the Trump team is increasingly aware that the president is trapped. Facing a Republican Party unwilling to back another government shutdown or a national emergency declaration to build his border wall, President Donald Trump is in an unfamiliar position, according to multiple White House officials and lawmakers: prepared, potentially, to accept a compromise foisted on him by Congress.

He seemed warm to the idea of a bipartisan deal on Thursday after he met with Senate Appropriations Chairman Richard Shelby (R-Ala.). Shelby later briefed Senate Republicans on their meeting at a party lunch, which left them hopeful the president would be willing to support something that gives him more money for fencing — even if it isn’t the $5.7 billion he’s been seeking, said one attendee. “He’ll consider any kind of reasonable proposition … there’s a general openness,” said Sen. Thom Tillis of North Carolina, a vulnerable GOP senator who stuck by Trump amid the politically debilitating 35-day shutdown. “He’s obviously going to fulfill his campaign promise, and there’s got to be some earnest progress. It’s not like he’s going to acquiesce. But I do believe he’s showing good faith.”

Though the White House has worked to prepare an emergency declaration invoking the president’s sweeping executive powers, several West Wing aides have warned that invoking it would alienate some conservatives who have otherwise been loyal to the White House.  [POLITICO]

Senate Judiciary Committee Votes to Advance Trump Attorney General Nominee William BarrA divided Senate Judiciary Committee on Thursday advanced President Trump’s nomination of William Barr for attorney general over Democrats’ concerns about how he would manage the special counsel’s Russia investigation and whether he would make its findings public.

The vote was along party lines, with the panel’s 12 Republicans supporting the longtime corporate lawyer and all 10 Democrats opposing him.

The full, Republican-controlled Senate is likely to confirm Mr. Barr, who was also attorney general under President George H.W. Bush in the 1990s, putting a permanent, politically appointed leader at the Justice Department during a tumultuous period that has tested its independence and strained morale.

Republicans are eager to confirm Mr. Barr to the permanent post, and current and former Justice Department officials hope he can bring stability to an agency that has been buffeted by departures, criticism and political storms. During a two-day confirmation hearing last month, Mr. Barr sought to paint himself as an independent thinker who wouldn’t bow to pressure from a president who has frequently attacked the Justice Department and urged it to investigate his political rivals. [WSJ]

Matthew Whitaker to testify Friday before House committeeActing Attorney General Matthew Whitaker will testify at a oversight hearing Friday, House Judiciary Chairman Rep. Jerry Nadler tweeted Thursday night. Whitaker had earlier threatened not to testify unless he received “written assurance” that he would not be issued a subpoena, Nadler responded with a letter saying that if Whitaker is “prepared to respond” to the committee’s questions, it will not have to subpoena him.

“If you appear before the Committee tomorrow morning and if you are prepared to respond to questions from our Members, then I assure you that there will be no need for the Committee to issue a subpoena on or before February 8,” Nadler wrote to Whitaker late Thursday afternoon. “To the extent that you believe you are unable to fully respond to any specific question, we are prepared to handle your concerns on a case-by-case basis, both during and after tomorrow’s hearing.”  “Thank you, and I look forward to your testimony tomorrow,” Nadler added.

Earlier in the day, the Democratic-controlled committee voted to authorize Nadler to subpoena Whitaker. But Nadler wrote in a statement that he hoped “never to use” it.

Should Whitaker refuse to appear, Nadler could subpoena him, and the fight over his appearance might then extend until after Attorney General nominee William Barr is confirmed. Whitaker’s team argues this is a matter of precedent, and the chairman should not be allowed to hold a draft subpoena over Whitaker’s head throughout a hearing.

Whitaker issued a statement Thursday saying he had agreed to testify “in good faith” and found the threat of subpoena would turn the hearing into “a public spectacle.” Whitaker said the Justice Department had devoted “considerable resources and numerous hours to my preparation” for his testimony. [CBSNEWS]

CNN Poll: Almost everyone wants a public report on Mueller’s findingsNearly nine in 10 Americans say Robert Mueller’s investigators should produce a full, public report on their findings, a sentiment that crosses party lines, according to a new CNN poll conducted by SSRS. And nearly half of Americans think Donald Trump’s campaign colluded with the Russian government to help get Trump elected (48%), while 42% say there was no collusion.

Overall, 87% say investigators should release a public report, 9% that they should not. Support for a public release stands at 80% among Republicans and those who approve of the way the President is handling his job, and at 92% among Democrats and those who disapprove of the way Trump is handling his job. Among independents, 88% say a report should be released.

Overall support for a public report is about the same as last May, when CNN last asked this question and 84% favored a public report. But support has risen among Republicans, from 72% in favor then to 80% now. There is no such partisan agreement on the question of collusion: 87% of Democrats say Trump’s campaign did collude with the Russian government, 88% of Republicans say it did not. Independents are about evenly divided: 42% say yes, 44% no. [CNN]

Austria ordered to pay $1.7 million for Adolf Hitler house

The Austrian government has been ordered to pay the former owner of Adolf Hitler’s childhood home the equivalent of $1.7 million.

The district court in Ried im Innkreis ruled on Thursday that government officials — using a compulsory purchase order to buy the property in 2016 — significantly shortchanged owner Gerlinde Pommer, reported DW.com.

That decree was for only $350,000 — only about 20% of the worth for the historic property.

For decades, Hitler’s birth country has tried to seize control of the three-story property in Braunau am Inn, where Hitler was born April 20, 1889. This was to make sure the new owner wouldn’t try to exploit the property by glorifying its morbid past.

Pommer, who is a descendant of the original house owners, was awarded 1.5 million euros, or $1.7 million dollars, which was the amount she had asked for after an initial appraisal.

While an appeal is possible, the government hadn’t decided on Thursday if it would.

Hitler was born in an upper-floor apartment and resided there until the age of 3. Though he showed no interest in the property in the latter stage of life, it became a Nazi symbol during the leader’s rule, and a magnet for neo-Nazis long after his death. [NYDN]

Wall Street slides on renewed U.S.-China trade fears

Wall Street stocks sank on Thursday as worries that the United States and China would not be able to reach a trade deal increased concerns about slowing global economic growth. U.S. stocks had already been under pressure after the European Commission slashed its euro zone growth forecasts for 2019 and 2020 due to an expected slowdown in the largest countries of the bloc, partly due to trade tensions.

“There’s a resurfacing of global growth fears, which has pushed U.S. stocks down,” said Veronica Willis, investment strategy analyst at Wells Fargo Investment Institute in St. Louis. “There are still some concerns surrounding trade, and I think those issues will linger for some time.”

Stocks pared losses toward the end of the session. The benchmark S&P 500 index hit a key technical level – 2,700 – that likely prompted buying, said Michael Antonelli, managing director of institutional sales trading at Robert W. Baird in Milwaukee. Still, among the S&P 500’s major sectors, only the defensive utilities and real estate indexes were positive, illustrating Thursday’s risk-off sentiment. [REUTERS]

U.S. Jobless Claims Declined Last WeekThe number of Americans filing applications for new unemployment benefits fell sharply last week but remained higher than before the partial government shutdown that ended Jan. 25. Initial jobless claims, a proxy for layoffs across the U.S., declined by 19,000 to a seasonally adjusted 234,000 in the week ended Feb. 2, the Labor Department said Thursday.

That was higher than the 225,000 median estimate in a Wall Street Journal survey of economists. Jobless claims for the previous week were unrevised at 253,000, which was the highest level since September 2017.

The four-week moving average of claims, a steadier measure, rose by 4,500 last week to 224,750, matching the highest level since the week of Dec. 8.

Thursday’s report showed the number of claims workers made for longer than a week decreased by 42,000 to 1,736,000 in the week ended Jan. 26. The figure, also known as continuing claims, is reported with a one-week lag. [WSJ]

German industrial output falls, raising risk of recession

German industrial output unexpectedly fell in December for the fourth consecutive month, sending another signal that growth in Europe’s biggest economy is weakening.

Data from the Federal Statistics Office on Thursday showed industrial output was down by 0.4 percent, confounding a Reuters forecast for an increase of 0.7 percent.

Analysts said the fall makes it more likely that the economy contracted in the fourth quarter, which would translate into a recession after growth domestic product fell in the third quarter.

After nearly a decade of steady growth, the German economy has been facing headwinds from trade frictions between the United States and both China and the European Union. Britain’s possible departure from the EU next month without a deal is also clouding the outlook for German manufacturers. [REUTERS]

Wells Fargo suffers widespread outage of ATMs, mobile banking capabilitiesCustomers of Wells Fargo on Thursday reported an outage affecting the big bank’s ATMs as well as online and mobile banking.

KULR-TV in Montana is reporting that a bank employee said the outage is a result of a fire at a server farm located in Shoreview, Minnesota. As a result of the fire the servers had to be shut down, the bank employee reportedly said.

A customer service representative reportedly said it is a nationwide outage. Customers who have tried to access Wells Fargo online get a message about technical issues.

Wells Fargo issued a public statement, apologizing for the glitch. “We’re experiencing a systems issue that is causing intermittent outages, and we’re working to restore services as soon as possible,” the bank said in a statement. “We apologize for the inconvenience.” [FOXBSUSINESS]


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