Morning Read Tuesday January 8 2019

Trump’s to deliver Oval Office address on the border wall, shutdown crisis |  Pompeo heads to Middle East to reassure US partners

 
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All Major Networks To Air Trump’s Address On The Border WallAll the major television networks in America will air President Donald Trump’s address on the border wall live on Tuesday after the White House requested they carve out space in their prime-time lineups.

ABC, CBS, Fox and NBC all confirmed Monday they would carry the president’s speech at 9 p.m. Eastern time after Trump said he planned to address the country “on the humanitarian and national security crisis at our southern border.” Some cable networks, including CNN and MSNBC, which cater to smaller audiences, said they plan to air the speech as well. 

Sarah Huckabee Sanders, the White House press secretary, also said Trump would travel to the U.S.-Mexico border on Thursday.

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Guatemala to shut down U.N. anti-corruption body early

Guatemala notified the United Nations it was terminating a U.N.-backed anti-graft commission on Tuesday, months ahead of schedule, accusing the body of abuses of power, and prompting a swift rebuke from the U.N. secretary-general.

The International Commission Against Impunity in Guatemala, or CICIG, was set up over a decade ago with the authority to conduct independent investigations and work with the country’s prosecutors, bringing down the last president in 2015.

The CICIG also went after President Jimmy Morales, who said in August he would not renew the organization’s mandate, which was due to expire in September 2019. Days later, he banned CICIG head Ivan Velasquez, a hard-charging Colombian prosecutor, from re-entering the country.

Working with the then-attorney general, CICIG tried to prosecute Morales, a former comedian, in 2017 over alleged campaign finance violations. That move followed separate CICIG corruption probes into members of the president’s family. [REUTERS]

N. Korea’s Kim visits China ahead of expected Trump summitNorth Korean leader Kim Jong Un arrived in Beijing on Tuesday on an unannounced visit for talks with President Xi Jinping, as preparations ramp up for an expected second summit with Donald Trump.

China is the isolated, nuclear-armed North’s key diplomatic ally and main source of trade and aid, and the visit is likely to heighten speculation about the potential meeting with the US president, as Kim could coordinate his strategy with Xi.

A motorcade was seen leaving a Beijing train station, with police blocking a street with metal gates hours after Kim’s train crossed the border into northern China, according to AFP journalists.
South Korea’s Yonhap news agency said the distinctive dark green train with a yellow stripe had entered the station at 10:55 am (0255 GMT).

The North Korean leader, accompanied by his wife Ri Sol Ju and several senior officials, set off from Pyongyang on his private train on Monday, the official Korean Central News Agency reported. The trip is at Xi’s invitation and set to run until Thursday, according to KCNA and China’s official Xinhua news agency. [AFP]

Amid confusion over Syria withdrawal, Pompeo heads to Middle East to reassure US partners

With statements from National Security Adviser John Bolton contradicting President Donald Trump creating more confusion about whether the U.S. is withdrawing its 2,000 troops from Syria, Secretary of State Mike Pompeo is heading to the Middle East for a whirlwind tour to reassure partners that the U.S. will remain a presence in the region.

Trump declared in December that ISIS had been defeated and, “Our boys, our young women, our men — they’re all coming back, and they’re coming back now.” The Pentagon confirmed shortly after that it would be a total withdrawal, completed in 30 days.

But after his surprise decision came under widespread criticism, the timeline for what the president had characterized as an immediate withdrawal has changed repeatedly. A week after the president’s initial announcement, U.S. officials told ABC News that withdrawal would take several months, with no final decisions made about the planned pace.

Among the other topics Pompeo will have to address is bridging the divide between Gulf partners Saudi Arabia and UAE and their neighboring foe Qatar, as well as the murder of Washington Post columnist Jamal Khashoggi. [ABCNEWS]

Israel’s Netanyahu Demands to Confront His Accusers PubliclyPresident Israeli Prime Minister Benjamin Netanyahu on Monday demanded that he be allowed to confront former close aides who have turned state’s witness in several corruption cases against him, even inviting them to a public debate.

The Israeli leader, who will stand for re-election April 9, said he’s “4000 percent sure” that he’s innocent of the allegations against him, playing on the name for one of the investigations against him, known as Case 4000. Netanyahu said he had asked to be allowed to confront the state’s witnesses during the police investigation, but was rebuffed.

“What do they have to be afraid of, what do they have to hide?” Netanyahu asked in a prime-time announcement. “I have nothing to hide.”

Early polls show Netanyahu as the heavy favorite to lead his Likud party to victory again at the head of the largest parliamentary bloc, while his opponents are splintering into smaller parties. To date the corruption investigations haven’t cost Likud any support in the polls, though the actual vote is still three months away. [BLOOMBERG]

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Tax Refunds Will Be Paid During Shutdown, White House Says

The federal government shutdown, after the Trump administration reversed a longstanding policy. Monday’s decision removes one of the biggest potential pains for many Americans from a prolonged shutdown. Even if the impasse over a border wall lasts into the income tax-filing season scheduled to start Jan. 28, the administration’s move will let hundreds of billions of dollars flow to households.

The administration is trying to make the shutdown as “painless as possible consistent with the law,” Russell Vought, the acting director of the White House Office of Management and Budget, told reporters. “We’re going to continue to take steps like that to mitigate the impact,” Vice President Mike Pence said of the tax refunds.

Until Monday, the Trump administration and its predecessors had followed the legal determination that refunds couldn’t be paid while the IRS was shut because those payments weren’t necessary to protect life or government property. Switching that position makes it easier for the political fight over the wall and the other shuttered agencies to continue into February without tens of millions of Americans clamoring for their money.

Since the shutdown began Dec. 22, the IRS has been operating with a skeleton staff of just one in eight employees, mostly focused on maintaining computer systems and investigating crimes. Audits have ceased and the IRS isn’t answering taxpayers’ questions. The tax agency and the Treasury Department have been preparing a plan for the filing season and had already been planning to call back workers needed to collect revenue. [WSJ]

Justice Ruth Bader Ginsburg misses Supreme Court arguments for first timeJustice Ruth Bader Ginsburg, who underwent cancer surgery last month, was missing from the bench on Monday for the Supreme Court’s first arguments since the court returned from its four-week holiday break.

Justice Ginsburg has suffered a number of health setbacks over the years but has never before missed an argument in her 25 years on the court.

Kathleen Arberg, a court spokeswoman, said Justice Ginsburg was working from home.

Chief Justice John G. Roberts Jr. announced his colleague’s absence at the start of Monday’s session, saying that “Justice Ginsburg is unable to be present today.” He added that she would take part in the court’s consideration of the day’s two cases based on the briefs submitted by the parties and transcripts of the arguments. [NYT]

Politicians cannot block social media foes: U.S. appeals courtA federal appeals court said on Monday a Virginia politician violated the Constitution by temporarily blocking a critic from her Facebook page, a decision that could affect President Donald Trump’s appeal from a similar ruling in New York.

In a 3-0 decision, the 4th U.S. Circuit Court of Appeals said Phyllis Randall, chair of the Loudoun County Board of Supervisors, violated the First Amendment free speech rights of Brian Davison by banning him for 12 hours from her “Chair Phyllis J. Randall” page.

The ban came after Davison had attended a 2016 town hall meeting, and then under his Facebook profile “Virginia SGP” accused school board members and their relatives of corruption and conflicts of interest. Randall had also removed her original post and all comments, including Davison’s.

Circuit Judge James Wynn rejected Randall’s argument that her Facebook page was a private website, saying the “interactive component” was a public forum and that she engaged in illegal viewpoint discrimination. [REUTERS]

‘Sonic attacks’ in U.S. Embassy in Havana may have just been cricketsThe piercing noise that rocked the U.S. Embassy in Havana with staff cuts and a wave of illnesses in 2017 may just have been crickets, scientists say.

Rumors of “sonic attacks” emerged after more than two dozen diplomats reported suffering from brain damage, hearing loss and other injuries. The officials said they fell ill after hearing a persistent shrill sound in their Havana homes and the hotels they frequented. At one point, Russia was even believed to be involved in the acoustic assault.

Yet Scientists are now squashing the speculation, arguing that the source of the noise is actually the song of the Indies short-tailed cricket, according to a study published last week.

The new findings comes after experts in the U.K. and U.S. analyzed an audio recording of the noise.

“The recording is definitively a cricket that belongs to the same group,” Fernando Montealegre-Zapata, a professor of sensory biology at the University of Lincoln, told The Guardian. “The call of this Caribbean species is about 7 kHz, and is delivered at an unusually high rate, which gives humans the sensation of a continuous sharp trill.” The duration and pulse repetition rate of the noise matches the cricket’s hums, according to the study. [NYDN]

NYC’s airports, MTA at ‘imminent risk’ if government shutdown drags onIt’s been more than two weeks since the partial shutdown of the federal government began and with no end in sight, the city could start feeling the affects.

On Sunday, New York State Senator Charles Schumer that Transportation Security Administration (TSA) agents at the JFK and LaGuardia airports are at “imminent risk” if the partial shutdown continues. According to union officials for TSA agents, up to 170 staff members have been calling in sick since the shutdown begin, resulting in longer lines at airports and delayed flights, reports the New York Daily News. Schumer said that should things continue on like this, the city’s economy could feel the implications.

“[TSA agents] can’t get to work and they’re not getting paid,” Schumer told the Daily News. “That means longer lines at the airport, that means more delayed flights at the airports and that puts a crimp on our New York economy, which depends on people flying in and flying out.”

The already struggling MTA could also be at risk, should the shutdown drag on. The agency is estimating a loss of about $150 million in federal funding this month. Schumer says that the cash-strapped MTA can probably last another four weeks but after that, it’ll have to start cutting back or even borrowing money elsewhere. [CURBEDNY]

This is the highway gap that claimed an FDNY firefighter’s lifeNew photos show the 3-foot roadway gap that claimed a firefighter’s life on a Brooklyn highway.

Bravest Steven Pollard, 30, died Sunday night after he fell through a small space between the east- and westbound lanes of the Belt Parkway’s Mill Basin Bridge while he rushed to save two victims in an overturned car.

The breach is walled off by concrete barriers, but in between is a 52-foot drop to the ground below, photos show. The bridge was rebuilt in 2017 and previously did not have such a gap.

“It’s just really sad, he was trying to help two people and he died. It’s horrible. He was very, very young, he didn’t get a chance to live,” said Ginger Olsen, 47, as she dropped off a bouquet of white flowers outside Pollard’s Ladder Company 170 in Canarsie. “I’ve ordered flags throughout the five boroughs to fly at half-staff in honor of the courage and sacrifice of @FDNY Firefighter Steven H. Pollard,” Mayor Bill de Blasio tweeted Monday morning. [NYP]

Assemblyman Eichenstein Appointed To Taxation, Cities CommitteesFreshman Assemblyman Simcha Eichenstein was appointed on Monday to serve on several prominent committees that could help his Boro Park district, including the Aging, Cities, Housing, Real Property Taxation and Social Services committees.

Eichenstein, who was elected in November to replace the retiring Dov Hikind, was appointed to the panels by Speaker Carl Heastie. “As every day 10,000 baby boomers enter retirement age,” Eichenstein said in a statement, “I welcome the appointment to the Aging Committee. In conjunction with the Social Services committee, I strive to expand access to those crucial social services that so many families and seniors rely upon.”

Eichenstein, whose district also includes parts of Midwood, said that he wanted to serve on the Cities Committee, which deals with issues related to the state’s 62 cites.

“Living in Boro Park is both a joy and a burden,” he said. “Nobody would call finding affordable housing in Brooklyn a walk in the park.” He said he plans to focus on the community’s housing needs as well as fighting for a fairer property tax system. [HAMODIA]

City Council introducing legislation that would help de Blasio with unpaid lawyers’ billsMayor Bill de Blasio may soon begin raising private money to pay off legal bills he accrued during an investigation into a political fundraising effort he undertook in 2014.

The City Council plans to introduce legislation this week to allow politicians and their staffers to set up legal defense funds — accounts that collect contributions for lawyers’ fees that are not paid by taxpayers or personal wealth.

The mayor and his team racked up about $15 million in legal bills during several investigations into whether City Hall rewarded political donors with government favors and whether state campaign finance limits were circumvented. While most of that debt was covered through the municipal budget, de Blasio still owes roughly $300,000 to his attorneys for one probe into actions considered outside the scope of his job as mayor.

The bill was intended to resemble the city’s campaign finance system, which actually just limited donations for citywide officials from $5,100 to $2,000 at the urging of the mayor and a commission he appointed last year. [POLITICO]

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Trump Will Take Case for Border Wall to Public in National AddressPresident Trump unleashed an offensive on Monday to persuade Americans that a “humanitarian and security crisis” on the southern border must be addressed before a government shutdown can end, announcing a prime-time address for Tuesday and a trip to the border later in the week.

Vice President Mike Pence briefed reporters on the status of negotiations in a hastily arranged session, part of an orchestrated effort to sway balking Democrats who say the government should reopen while they wrangle over Mr. Trump’s demand for $5.7 billion to begin his border wall.

The shutdown, heading into Day 18, has become a critical test for Mr. Trump, who campaigned as a master negotiator and deal maker but so far has achieved virtually no agreements with Democrats. Already, it is the second-longest breakdown in government funding in the nation’s history, affecting about 800,000 federal workers, many of whom will miss their first paycheck this week. The president has offered little to his Democratic adversaries to lure them to the table. Now, he will try to use a broad-based public appeal to raise the pressure.

Senate Democrats, for their part, were moving to halt legislation to pressure Republicans to reopen the government, starting Tuesday. And late Monday, the Democratic leaders of the House and Senate released a joint statement demanding equal television time. “Democrats must immediately be given equal airtime,” said the leaders, Speaker Nancy Pelosi of California and Senator Chuck Schumer of New York. They said that “if his past statements are any indication,” Mr. Trump’s address “will be full of malice and misinformation.” [NYT]

When Mueller Issues Report, Trump May Try to Suppress Some of It Donald The White House may try to block portions of Special Counsel Robert Mueller’s final report from being shared with Congress and the public in a fight that could end up before the Supreme Court.

Mueller may submit his findings on Russian interference in the 2016 presidential campaign to the Justice Department as early as February, according to one U.S. official. After that, things could get messy.

Democrats who now control the House have said they’ll demand that the department hand over the report — and that they intend to make it public. The White House may counter by asserting executive privilege to prevent key findings from being turned over, according to people familiar with internal deliberations.

Trump and his lawyers expect to get an advance look at the report if there’s a chance it will be shared beyond the Justice Department. They may assert executive privilege to withhold any information related to Trump’s time in the White House or during the transition, depending on what’s included. “We will look at it and see if the president thinks there is a valid claim and if there is, do we want to make it,” said Trump’s lawyer Rudy Giuliani. “We reserve the right. We don’t know if we have to, but we haven’t waived it.” [BLOOMBERG]

Schumer moves to block pro-Israel bill to protest shutdown Senate Minority Leader Chuck Schumer and other Senate Democratic leaders are mounting an effort to block a pro-Israel bill on Tuesday in order to protest the ongoing partial government shutdown, which is now in its third week.

The Senate late Tuesday will hold a procedural vote on a bill that supports Israel by allowing state and local governments to divest from entities that boycott, divest (BDS) from or sanction Israel because of its occupation of the West Bank.

The provision is part of legislation numbered “S.1” that was to be the very first bill senators debate in the 116th Congress. In addition to the BDS language, it includes several Middle East security provisions such as new authorities for sanctioning the Assad regime in Syria and reauthorization of security assistance to Israel.

But Schumer, D-N.Y., and Sen. Ben Cardin, D-Md., a top Democrat on the Foreign Relations Committee, will vote Tuesday against moving to debate the BDS bill, even though they co-sponsored the bill when was introduced in 2017.

Democrats say said their “no” votes are a response to the current partial government shutdown. They instead want Senate Majority Leader Mitch McConnell, R-Ky., to take up spending legislation passed by the House last week that would reopen nine agencies and departments that have been closed since Dec. 23. “Schumer has notified the Democratic caucus that he will vote against proceeding to S.1 because Senate Republicans should instead bring to the floor the House-passed bills to reopen the government,” a senior Democratic aide told the Washington Examiner. [WASHEXAMINER]

Democrat Beto O’Rourke Plans Solo Road Trip to Meet Voters Outside TexasFormer Texas Rep. Beto O’Rourke is asking aides to create an itinerary for him to take a solo road trip outside of Texas where he would “pop into places” such as community college campuses, as he considers whether to enter the 2020 Democratic presidential primary, according to a person familiar with the plans.

Mr. O’Rourke’s trip would begin from his El Paso home and keep him away from Iowa and other early-voting states. Mr. O’Rourke doesn’t plan to be accompanied by staff or press, though he may document the trip on social media and allow people he meets to do so as well. He doesn’t plan to make a final decision on a presidential bid until at least February.

Mr. O’Rourke is one of three leading Democratic figures looming over the party’s nascent presidential contest. Decisions to be made in coming weeks by former Vice President Joe Biden and Vermont Sen. Bernie Sanders, along with Mr. O’Rourke’s move, will help shape the contours of the 2020 Democratic campaign.

Potential candidates’ decisions could also be influenced by Massachusetts Sen. Elizabeth Warren’s first foray in Iowa, where she was well received by hundreds of Democrats pining for a candidate to take on Republican President Trump. [WSJ]

German theater offers free tickets to ‘Schindler’s List’ to members of far-right party

An independent movie theater in western Germany offered free tickets to a screening of the film “Schindler’s List” to members of the far-right Alternative for Germany party.

The screening of the Academy Award-winning film, which is marking its 25th anniversary, is scheduled for Jan. 27, which is International Holocaust Remembrance Day, The New York Times reported.

The newspaper reported that some members of the party, known as AfD, view the offer from the Cinexx theater in Hachenburg as a provocation, labeling it a “tasteless instrumentalization” and a “senseless provocation.”

The theater told The Times that free tickets are regularly offered to specialty groups. Students across the United States were offered free admission to screenings of “Schindler’s List” when it reopened in December.

Spielberg in December told The Times of his decision to reopen the film. “With this renewed cycle of hate,” he said, “I thought it could open up a conversation that genocide can happen anywhere when an ordinary society goes wrong.”

AfD leaders have dismissed the Nazi era as a “speck of bird poop in more than 1,000 years of successful German history” and call the country’s national Holocaust memorial “a monument of shame.”  [JTA]

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Amazon Takes Market Cap Crown, Cementing Tech Power

Amazon is the latest technology titan to claim the crown of world’s most valuable public company, signaling the industry’s enduring market dominance even after turbulent months in which investors pummeled their shares.

Amazon finished Monday’s session up 3.4% at $1,629.51, with a market capitalization of $796.78 billion, the first time the retailer has attained the market-cap title. It ended a weekslong reign by Microsoft Corp. , which finished up 0.1% with a value of $783.57 billion.

The software giant in late November supplanted Apple Inc., for years the leader before worries about iPhone sales—exacerbated by the company’s revenue warning last week—knocked its shares lower. Apple finished Monday at $701.99 billion, No. 4 behind Google-parent Alphabet Inc.’s $745.63 billion.

Monday’s rise on Wall Street was driven by hope over a new round of trade talks between Washington and Beijing. The S&P 500 index was up 0.7%, rising for the sixth time in the last eight sessions. Amazon shares are up 8.5% in the past week, rebounding from a brutal stretch. [WSJ]

Bill Miller says his fund is off to a strong start in 2019, believes Amazon will double in three yearsAmazon’s stock will double in the next three years, noted investor Bill Miller told CNBC on Monday. “Amazon’s addressable market is so gigantic,” said Miller, founder of Miller Value Partners and a longtime Amazon bull.

The tech giant, up 2.77 percent in afternoon trading, is now the most valuable public company in the world. It overtook Microsoft on Monday morning after reaching a market value of about $790 billion. Microsoft’s market value stands at about $785 billion. In September, Amazon reached a $1 trillion market cap for the first time before losing ground in the late-year sell-off.
 
However, despite that sell-off, Amazon is still up 30 percent over the last 12 months, Miller told Kelly Evans on the new CNBC show “The Exchange.” And while there has been a lot of talk about regulating tech companies, Miller is unconcerned about Amazon being broken up. For that to happen, antitrust laws would have to be changed and “they can’t agree on anything in Congress. That’s a long way off, if it happens,” he said. [CNBC]

Mortgage rates give house hunters window of opportunity

The swings in the U.S. stock market have indirectly opened up a window of opportunity for prospective house hunters, but it may not last long.

“Mortgage rates are down almost a half percentage point since mid-November, and given the strength of this economy, I don’t think this is going to last,” Greg McBride, chief financial analyst for Bankrate.com, said during an interview with FOX Business.

The volatile stock market, which in 2018 produced the worst annual returns since 2008 amid recession fears that gathered steam in December, correlated with a decline in the 10-Year Treasury yield, which is now at 4.66 percent. The longer-term bond is viewed as a predicator of mortgage rates.

A 30-year fixed rate mortgage fell to 4.84 percent, the lowest since September 2018, as reported by the Mortgage Bankers Association on Thursday. McBride’s advice to home buyers now: just do it. [FOXBUSINESS]

Rabsky receives $88M refinancing for Williamsburg projectThe Rabsky Group has refinanced its Leonard Pointe building in Williamsburg with an $88.2 million mortgage from Berkadia. The loan replaces prior $95 million in debt on the project from TD Bank, which Rabsky received in 2015.

Leonard Pointe is located at 395 Leonard Street in Brooklyn. It stands seven stories tall with 188 units, according to StreetEasy. Units range from $2,860 per month for a one bedroom to $4,615 for a two bedroom.

The luxury rental building sits a few blocks away from the L train, which as of last week will no longer see a full shutdown between Manhattan and Brooklyn.

Berkadia also just loaned Rabsky about $134.2 million to refinance Halo LIC, its apartment complex on Purves Street in Long Island City. Rabsky received a $65 million loan in November from an unnamed financial institution for its Broadway Triangle project in South Williamsburg as well. [TRD]

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