Stalin-Mao Roles Reverse as Putin Courts Chinese Investment

Interesting version from an American news source. Tone is that China got the upper hand. The Chinese and European news sources earlier in the day played it as a good deal for both sides. At $3.5/MJ for gas, it's probably a Chinese win. At $4/MJ for gas, it's probably a Russian win. Wonder if we'll ever see the final price. No question that fear of the Middle Eastern and Aussie suppliers drove the Russians to get this done now.

Note the comment on 100M tonnes of oil; that's about 2M brls/day. Unclear if that's incremental or total (Russian shipments to China in 2013 were less than 1M brls/day and Middle Eastern shipments were more than double that). It still knocks a big hole in Arab income if China cuts back buying there and it hammers the Petrodollar game off the planet. Couple that to BRICS and only Forrest Gump can't see it. Even after 8 years in the WH rigged by Daddy. Outflanked, outwitted and out of time. The end game is clear.

Photographer: Sergei Ilnitsky/Pool/AFP via Getty Images

By Stepan Kravchenko
and Henry Meyer
19 May 2014

China, which relied on Soviet aid during the era of Joseph Stalin and Mao Zedong, has turned the tables as Russian President Vladimir Putin visits Shanghai.

The Russian leader starts a two-day visit to China today, seeking to complete an agreement on natural gas supplies to the world’s second-largest economy, held up for more than a decade because of a debate over the price. The contract is “nearly finalized,” Putin told Chinese media in an interview published yesterday.

Putin is looking to cement ties with China as the conflict in Ukraine alienates him from the U.S. and its European allies. The relationship with China, Russia’s biggest trading partner after the two-way volume surged sevenfold in the past decade to $94 billion last year, is becoming even more important as escalating sanctions threaten to tip the economy into recession.

“As Russia’s relations with the West deteriorate, its ties with China will need to grow stronger,” Dmitri Trenin, director of the Carnegie Moscow Center, said by e-mail. “Beijing, rather than Moscow, will be the senior power.”

That role reversal is underscored by the disparity of the two countries’ economic development during the past 35 years. In 1979, as Deng Xiaoping started an economic overhaul, China’s output was 40 percent of the Soviet Russian Republic’s -- the present-day Russian Federation, according to a study published this year by the Center for European Reform. By 2010, China’s economy had become four times the size of Russia’s, it said.

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"Conflict Between China And Vietnam Is Imminent" - China Piles Troops, Tanks, Artillery And APCs Near Vietnam Border

Not good news for Dong holders right now.

Now what will America do, weakened by its endemic and ugly corruption and greed, and its pitiful lack of leadership coupled with the FED monetizing 70% of the debt and the huge amounts owed to China if there is an outbreak of hostilities.

Coupled even further with the imminent announcement of a Gazprom Gas deal priced in Yuan and Russian Rubles what can possibility go wrong? It's not water America is treading now.

Zero Hedge
By Tyler Durden
19 May 2014

Earlier today, Putin did his usual "we are pulling our forces away from the Ukraine border" gambit (sure he is... and is replacing them with a massive airforce drill), and as usual the algos fell for it, after European stocks suddenly surged out of nowhere on the now quite generic bounce catalyst (Update: RASMUSSEN: NO SIGN OF RUSSIAN TROOP PULLBACK FROM NEAR UKRAINE - what a surprise), but what is shaping up as a far more dangerous escalation is what China is doing next to its border with Vietnam, where as reported previously protesters destroyed Chinese factories and killed Chinese civilians in retaliation over yet another maritime territorial spat. According to the Epoch Times, "troops, tanks, trucks, artillery, and armored personnel carriers of China’s military were seen heading to the Vietnamese border on May 16 and 17, according to photographs taken by by residents near the border."

Chinese netizens have been posting photographs of the large movement of the People’s Liberation Army, many of them showing Chinese troops in full combat gear heading to the local train station in Chongzuo, along with military vehicles.

One netizen said the Chinese military was taking the train from the Chongzuo station to Pingxiang City, which shares a 60-mile border with Vietnam. The netizen said that the Huu Nghi Border Gate to Vietnam is also now closed.

One of the photos, taken from inside a passenger train, shows the Chinese military preparing artillery for transport on a train track. Others show Chinese troops and military vehicles traveling along dirt roads.

Another photograph shows troops walking under the red-colored entrance to the Longzhou International Building Materials Market, on Provincial Road in the city of Chongzuo.

A reverse image search of each of the photographs using Google indicated that the photographs had appeared on the Internet only recently. Most were indexed by Google on Saturday.

Collectively, the images and eyewitness reports from the ground show what Taiwanese media are calling an “endless stream” of Chinese troops.

Why is China doing this? Simple: "One netizen, with the username Zhiyuan0703, echoed a common sentiment on the Chinese social media site, “Conflict between China and Vietnam is imminent.”

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The papers: Abu Hamza guilty and Van Gaal's Man Utd pledge

This is a successful UK extradition and this vermin needs to rot in a US jail, to be given weekly waterboarding and denied all privileges as the animal he is.

  • The conviction of radical Muslim cleric Abu Hamza al-Masri on terror charges by a jury in New York features on several papers' front pages.

BBC News
By Rob Corp
20 May 2014

"Guilty Hamza will die in US jail" is the Daily Telegraph's headline, anticipating that a US federal judge will hand down a life sentence, which it is expected Abu Hamza, 56, will serve in a "supermax" high security prison. The paper also says Home Secretary Theresa May will now attempt to strip him of his British citizenship.

"The trial took place just a few streets from the site of the attacks on the World Trade Center", the Daily Mail notes, "which Hamza gloated was a 'towering day in history'".

The Times, which leads on the story, reports how the foreman of the jury told reporters the eight men and four women hearing the case "quickly came to a consensus" the former leader of the Finsbury Park mosque in north London was guilty for conspiring with terrorists who kidnapped 16 foreign tourists in Yemen in December 1998. Three Britons and an Australian died in a gunfight as Yemeni troops attempted to rescue them.

Reviewing the front pages for the BBC News Channel, former US State Department official Colleen Graffy cast doubt on whether the home secretary would be allowed under international law to make Abu Hamza stateless, but she could understand why Mrs May would want to. However, Ms Graffy said it was "excellent to see justice done".

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Militarist Bunkum

War is indeed a dirty business.

Yes, in war soldiers die but so many more civilians die and no one counts them or celebrates their deaths, only parents remember the tragedy of loss forgotten in history and time. The guilty profiteer.

Institute for Political Economy
By Paul Craig Roberts
19 May 2014

Did you know that 85 to 90 percent of war’s casualties are non-combatant civilians? That is the conclusion reached by a nine-person research team in the June 2014 issue of the American Journal of Public Health. The deaths of soldiers who are fighting the war are a small part of the human and economic cost. Clearly, wars do not protect the lives of civilians. The notion that soldiers are dying for us is false. Non-combatants are the main victims of war.

Keep that in mind for July 4th, which is arriving in six weeks.

July 4th is America’s most important national holiday celebrating American independence from Great Britain. On July 4th, 1776, America’s Founding Fathers declared that the Thirteen Colonies were no longer colonies but an independent country in which the Rights of Englishmen would prevail for all citizens and not only for King George’s administrators. (Actually, the Second Continental Congress voted in favor of independence on July 2, and historians debate whether the Declaration of Independence was signed on July 4 or August 2.)

In this American assertion of self-determination citizens of Great Britain were not allowed to vote. Therefore, according to Washington’s position on the votes in Crimea and in eastern Ukraine–the former Russian territories of Donetsk and Luhansk–America’s Declaration of Independence was “illegitimate and illegal.”

On July 4th all across America there will be patriotic speeches about our soldiers who gave their lives for their country. To an informed person these speeches are curious. I am hard pressed to think of any examples of our soldiers giving their lives for our country. US Marine General Smedley Butler had the same problem. He said that his Marines gave their lives for United Fruit Company’s control of Central America. “War is a racket,” said General Butler, pointing out that US participation in World War I produced 21,000 new American millionaires and billionaires.

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RT’s “Truthseeker” rips the lid off false flags!

This might push matters over the edge. Exposing the dirty hand of Israel in 9/11 would be a major step for peace in the Middle East.

Veteran Today
By Kevin Barrett
19 May 2014

Is the world getting fed up with US-NATO-Israeli false flags? Will nations that are actual or potential victims of these deceptions launch an all-out diplomatic and media effort to expose the 9/11 inside job – the mother of all false flags – and pre-empt future phony or staged “attacks”?

They’d have to be crazy not to.

Iran – the most important target of the neocon 9/11 plan to destroy seven countries in five years – has fought back by allowing its international media outlets to cover false flag issues, including the 9/11 deception. That’s why the US-NATO-Israeli oligarchy has removed Press TV and other Iran-based outlets from North American and European satellites.

Now Russia Today (RT) is joining Press TV with hard-hitting coverage of false flags and 9/11. Daniel Bushell of the TruthSeeker program has led the way with a series of terrific shows devoted to this critically important topic.

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Humor | fishing with a hand grenade

Boys and toys?

1. Pull the pin.

2. Throw it far from the boat.

3. Net the stunned and dead fish.

Vladimir Putin faces giving ground in China to seal gas deal

While compromise will be the price, the Prize will be to exit clear of Petrodollars and US Hegemony. Both countries need this. But it devastates US Fed control.

  • Long-coveted prize would allow Russia to switch sales from Europe to the Far East and transform the Eurasian gas market

The Telegraph
By Ambrose Evans-Pritchard
19 May 2014

Russian president Vladimir Putin may have to accept unpalatable terms from China to clinch a massive gas pipeline deal in Shanghai this week, abandoning red lines defended tooth and claw by the Kremlin for the past decade.

The Russian state gas giant Gazprom said it is just “digits” away from an accord to supply North East China with 38bn cubic metres (BCM) for 30 years as soon as 2018. It is a long-coveted prize that would allow Russia to switch sales from Europe to the Far East and totally transform the Eurasian gas market.

Gazprom’s share price has soared 14pc this month as negotiations reach a climax. Investors are betting that the deal could be the start of an even greater build-up in gas shipments to Asia that would ultimately eclipse sales to Europe, currently 130 BCM, or 60pc of Gazprom’s revenues.

Mr Putin said the deal had “nearly been finalised” and was a perfect fit for both sides: allowing Russia to diversify its sales and letting China plug its “energy deficit” and switch to a cleaner fuel.

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Humor | How Real Men Use Post-It Notes

Thank God for technology, heh guys?

Data Pirates of the Caribbean: The NSA Is Recording Every Cell Phone Call in the Bahamas

Dam there goes the dirty week end.

By Ryan Devereaux,
Glenn Greenwald
and Laura Poitras
19 May 2014

The National Security Agency is secretly intercepting, recording, and archiving the audio of virtually every cell phone conversation on the island nation of the Bahamas.

According to documents provided by NSA whistleblower Edward Snowden, the surveillance is part of a top-secret system – code-named SOMALGET – that was implemented without the knowledge or consent of the Bahamian government. Instead, the agency appears to have used access legally obtained in cooperation with the U.S. Drug Enforcement Administration to open a backdoor to the country’s cellular telephone network, enabling it to covertly record and store the “full-take audio” of every mobile call made to, from and within the Bahamas – and to replay those calls for up to a month.

SOMALGET is part of a broader NSA program called MYSTIC, which The Intercept has learned is being used to secretly monitor the telecommunications systems of the Bahamas and several other countries, including Mexico, the Philippines, and Kenya. But while MYSTIC scrapes mobile networks for so-called “metadata” – information that reveals the time, source, and destination of calls – SOMALGET is a cutting-edge tool that enables the NSA to vacuum up and store the actual content of every conversation in an entire country.

All told, the NSA is using MYSTIC to gather personal data on mobile calls placed in countries with a combined population of more than 250 million people. And according to classified documents, the agency is seeking funding to export the sweeping surveillance capability elsewhere.

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5 in China Army Face U.S. Charges of Cyberattacks

It's getting messier.

The New York Times
By Michael S. Schmidt
and David E. Sanger
19 May 2014

WASHINGTON — In the Obama administration’s most direct confrontation with China over its theft of corporate secrets, the Justice Department on Monday unsealed an indictment of five members of the Chinese People’s Liberation Army and charged them with hacking into the networks of Westinghouse Electric, the United States Steel Corporation and other companies.

The indictment named members of Unit 61398, which was publicly identified last year as the Shanghai-based cyberunit of the People’s Liberation Army, including its best-known hackers known online by the noms de guerre “UglyGorilla” and “KandyGoo.”

The F.B.I. and American intelligence agencies electronically tracked the activities of the hackers, one official said, and “put them inside the Datong Road headquarters” of the cyberunit, a heavily guarded 12-floor military tower near the Shanghai airport.

The move by the Justice Department was almost certainly symbolic since there is virtually no chance that the Chinese would turn over the five People’s Liberation Army members named in the indictment.

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Cisco CEO Warns Obama To Rein In NSA Or Face Collapse Of Trust In US Technology (And Cisco Sales)

Now the real world implications of NSA mischief are hurting US sales and jobs.

Zero Hedge
By Tyler Durden
18 May 2014

Back in November, Cisco stock cratered after the company was forced to reset its future revenue guidance when as a result of crashing Chinese sales, it became clear that some $2 billion in quarterly revenue had been wiped away from the previous trendline.

Since then, Cisco has managed to regain some of the lost market value as investors have readjusted to what now appears to be a far slower growth rate for the company (a few days ago it reported $11.55 billion in revenue, $1 billion less than firms such as Goldman has expected it would reported as recently as 6 months ago).

However, one question remained - what was it that caused the collapse in sales, and especially those targeting the Chinese market.

For a long time, the most likely speculated reason for the Chinese revulsion against Cisco and its peers were the factual revelations by Edward Snowden detailing the NSA illicit espionage activities, and the role of corporations such as Cisco in them.

Today, this speculation is confirmed, following news that none other than Cisco CEO John Chambers has written a letter to Obama, "warning of a collapse of trust in US technology after evidence emerged showing the National Security Agency breaking into his company’s equipment."

As the Financial Times reports having seen a letter from the CSCO executive, John Chambers called for “standards of conduct” to rein in government surveillance so that national security objectives do not interfere with the US’s leading position in the global technology market.

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