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U.S. targets global sanctions evasion network supporting Russia

2023-02-01T15:30:22Z

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FILE PHOTO: A bronze seal for the Department of the Treasury is shown at the U.S. Treasury building in Washington, U.S., January 20, 2023.  REUTERS/Kevin Lamarque

WASHINGTON (Reuters) – The United States on Wednesday imposed sanctions on 22 individuals and entities in multiple countries that Washington accused of being tied to a global sanctions evasion network supporting Russia’s military-industrial complex.

The move, which comes as Washington looks to increase pressure on Moscow over its invasion of Ukraine, is part of U.S. efforts to target sanctions evasion around the world and limit Russia’s access to revenue it needs for the war, the U.S. Treasury Department said.

Wednesday’s action targeted a sanctions evasion network that the Treasury said is led by Russia and Cyprus-based arms dealer Igor Zimenkov.

The network has engaged in projects connected to Russian defense capabilities, including supplying high-technology devices after Russia’s invasion of Ukraine, Treasury said. Washington also accused certain members of the network of supporting sanctioned, state-owned Russian defense entities.

Among the members of the network that were designated in the move were companies based in Singapore, Cyprus, Bulgaria and Israel, as well as several people, according to Treasury.

“Russia’s desperate attempts to utilize proxies to circumvent U.S. sanctions demonstrate that sanctions have made it much harder and costlier for Russia’s military-industrial complex to resupply Putin’s war machine,” Deputy Treasury Secretary Wally Adeyemo said in the statement.

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FBI searches Biden“s Delaware beach house for classified documents

2023-02-01T16:24:08Z

The U.S. Justice Department was searching President Joe Biden’s second home, a beach house in Rehoboth, Delaware, on Wednesday as part of its investigation into improper storage of classified materials from his time as vice president.

Biden’s personal attorney, Bob Bauer, said in a statement that the search was planned and conducted with the president’s “full support and cooperation.”

The search by FBI agents appears to represent an expansion of the probe into Biden’s handling of classified documents. Materials were earlier found at his home in Wilmington, Delaware, and an office he used during the time between his service as vice president under Barack Obama and his presidential election.

The issue has created a political headache for Biden, who is expected to announce a re-election campaign in the coming weeks or months. It has stripped him and fellow Democrats of a weapon against former President Donald Trump, who also had classified documents found at his home.

Trump has launched his own re-election campaign and could face Biden in the 2024 general election.

Bauer said the Department of Justice chose to do the search without advance notice to the public.

“Under DOJ’s standard procedures, in the interests of operational security and integrity, it sought to do this work without advance public notice, and we agreed to cooperate,” he said.

“The search today is a further step in a thorough and timely DOJ process we will continue to fully support and facilitate. We will have further information at the conclusion of today’s search.”

Classified documents have also been found in the home of Trump’s former vice president, Mike Pence, giving some political cover to Biden.

Biden has vowed to cooperate with the searches and Pence had said he takes responsibility for the found documents. Trump resisted efforts to return materials in his possession, prompting a FBI search of his Florida home and resort last year.

U.S. Attorney General Merrick Garland has appointed two separate special counsels to review Trump and Biden’s handling of such documents.

Meanwhile, the National Archives has reportedly asked all former U.S. presidents and vice presidents to search their personal records for classified documents or other presidential material that should have been turned over when they left office.

It is unlawful to knowingly or willfully remove or retain classified material, although no current or former president or vice president has been charged with wrongdoing.

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What Japanese Deterrence Would Look Like

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The ‘problematic’ stock rally will fade as the Fed wrangles sticky inflation and recession hits in the 2nd half of the year, Credit Suisse strategist says

NYSE TraderTraders work on the floor at the New York Stock Exchange (NYSE) in New York City, U.S., March 5, 2020.

Andrew Kelly/Reuters

  • The rally in stocks that’s kicked off 2023 is “problematic,” according to Credit Suisse strategist Patrick Palfrey.
  • Palfrey warned that gains will be fleeting as the Fed continues to battle sticky inflation.
  • That could spark a recession and a sell-off in the market in the second half of the year, he predicted.

The ongoing stock rally is “problematic,” and the market will falter in the second half of the year as the Federal continues to wrangle sticky inflation and a recession hits the economy, according to Credit Suisse strategist Patrick Palfrey.

In an interview with CNBC on Wednesday, Palfrey warned that S&P 500’s strong start to the year was unlikely to last, as gains in recent weeks have largely been led by the biggest losers of 2022. That’s a sign speculation is leading the market – and the rally will falter as investors wake up to the longer-term economic headwinds.

“The health of the rally is really led by speculative assets. I think longer-term, it’s more problematic for this to continue,” he warned, pointing to inflation, which remains well above the Fed’s 2% target. Though prices cooled to 6.5% in December, inflation is likely to remain sticky in the second half of the year, Palfrey said. While goods prices are falling, services prices are still high, a consequence of a a tight labor market.

Stubborn inflation will push the Fed to “reengage” with its tightening policy in the second-half of the year, and that spells trouble for stocks. The Fed hiked interest rates 425-basis-points in 2022 to lower prices, a move that wiped away 20% from the S&P 500 and marked the index’s worst performance since 2008.

As the Fed hikes rates and struggles to rein in inflation in the last half of the year, a recession could hit the economy, causing a sell-off in the market, Palfrey warned. He predicted the S&P 500 to clock in at 4050, by year-end, slightly lower than current levels. 

“Recessionary risks haven’t really been taken off the table. I think those are going to be a headwind for the market as we start to approach the latter half of the year,” Palfrey warned.

Wall Street strategists have also warned of a recession that could ravage stocks, with Bank of America, Citigroup, and JPMorgan foreseeing at least a mild downturn this year, with Bank of America predicting a 24% decline in the S&P 500 in early 2023. Other commentators have warned  of a steeper drop, with legendary investor Jeremy Grantham predicting a huge 50% stock market crash.

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Dianne Feinstein’s 2024 Senate campaign raised just $558.91 at the end of last year. It may be the clearest sign yet that she won’t seek re-election.

Democratic Sen. Dianne Feinstein of California at the Capitol on April 26, 2022.Democratic Sen. Dianne Feinstein of California at the Capitol on April 26, 2022.

Tom Williams/CQ-Roll Call via Getty Images

  • Sen. Dianne Feinstein raised less than $600 at the end of 2022, according to new campaign filings.
  • She’s stayed quiet about running again, but if she were, she’d probably raise more cash than that.
  • Meanwhile, the Democrats running for her seat are some of the best fundraisers in American politics.

Democratic Sen. Dianne Feinstein of California raised just $558.91 in the final months of 2022, according to documents filed with the Federal Election Commission on Tuesday.

Feinstein, who is the longest-serving Democratic senator and would be 91 on election day in 2024, has declined to say whether she will seek re-election next year. And she’s given conflicting answers when asked by reporters at the Capitol.

But altogether, her campaign — conspicuously named “Feinstein for Senate 2024” — reported having just $9,968.56 in cash on hand. 

That’s not exactly a campaign war chest, nor is it anywhere close to enough money to wage a healthy campaign in a state of nearly 40 million people and over a dozen media markets. For comparison, Feinstein raised over $16 million for her 2018 race against fellow Democrat Kevin De Leon.

If Feinstein chooses to shock the world and run again, she would be facing some already well-heeled primary opponents. Both Democratic Reps. Katie Porter and Adam Schiff are fundraising juggernauts, raising around $25 million apiece during the most recent campaign cycle.

All in all, Feinstein’s meager fundraising haul seems to indicate that she’s unlikely to run again.

Indeed, the 89-year-old Democrat declined to seek the job of president pro tempore — a largely ceremonial post that nonetheless puts its occupant third in line to the presidency — despite being next in line by long-standing Senate tradition. Democrats instead gave the job to Patty Murray, the next most senior Democratic senator.

Feinstein has also been dogged by reports of her cognitive decline and memory. Insider asked Feinstein about the job of president pro tempore in December, and she appeared unaware that her office had already issued a statement making clear that she wouldn’t seek the job. Last year, Senate Majority Leader Chuck Schumer publicly declined to say whether he was confident in the California Democrat’s ability to serve.

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ChatGPT mania sends these obscure artificial intelligence stocks soaring as hype extends beyond big caps

An image of a phone with ChatGPT and OpenAI's logo visible.ChatGPT.

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  • The investor craze over ChatGPT has extended to small-cap artificial intelligence stocks. 
  • Shares of both BigBear.ai and SoundHound AI have notched big gains to start the year. 
  • That’s in addition to big-cap AI stocks like chipmaker Nvidia that have also rallied. 

The craze surrounding OpenAI’s ChatGPT has reached small-cap artificial intelligence stocks, as investors relay excitement over the potential future of the space. 

Under-the-radar firms BigBear.ai and SoundHound AI have both seen bullish runs in recent months. In January alone, BigBear saw an increase of 356%, while SoundHound climbed 56%. 

BigBear.ai is rooted in artificial intelligence, and the firm’s breadth of products offer applications to industries including healthcare, government and manufacturing. SoundHound, meanwhile, focuses on conversational intelligence, which integrates AI interactions with users that is voice activated.  

Shares of BigBear.ai also got a big lift last month, when the company received a US Air Force contract that could potentially be worth as much as $900 million. 

The success and criticism over ChatGPT has pushed investors to closely eye the artificial intelligence sector in 2023, with the underlying technology showing signs of advances sooner than previously thought.

The hype surrounding OpenAI’s brainchild has already sent several larger artificial intelligence stocks soaring since ChatGPT’s launch on November 30. 

And competitors are stepping up their presence into the AI space in response to the success of ChatGPT. Google is testing new artificial intelligence technology that could inform a future product launch, sources told CNBC.

One of them is a chatbot called “Apprentice Bard,” which can provide answers to questions similar to ChatGPT, the report said.

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Tesla’s set to cash in on a $1 trillion market for delivery robots that’s on its way, according to Cathie Wood’s Ark

IMG_1822.JPG

Ark Invest, File (for Wood) and Hannibal Hanschke/Pool Photo via AP, File (for Musk).

  • Cathie Wood’s Ark predicts the market for delivery robots to grow to $1 trillion by 2030.
  • Tesla is well positioned to expand into the technology, and that should boost the stock toward Ark’s 2026 price target of $4,600, the fund said.
  • Ark alluded to Elon Musk’s comments at Tesla’s earnings that “mind blowing” products were coming. 

Tesla is set to sink its teeth into a trillion-dollar market for delivery robots over the next decade, Cathie Wood’s Ark thinks, after CEO Elon Musk promised “mind blowing” driver tech at the company’s latest earnings.

In its weekly Ark Disrupt newsletter, the investment firm stressed the scope for Tesla to expand into the new technology, which the fund  predicts will grow to a $trillion market by 2030. 

“According to ARK’s research, autonomous ride-hail could turn cars — stranded assets used less than 5% of the day — into assets generating significant recurring cash flows: each of Tesla’s autonomous ride-hail vehicles could generate ~$20,000 annually,” ARK’s director of investment analysis Tasha Keeney wrote. 

Keeney added that this would help Tesla’s share price toward Ark’s 2026 target of $4,600 per share, a 2,500% increase from current market levels.

Ark has a sizable stake in Elon Musk’s company, which helped its flagship Innovation ETF post a record monthly gain of 29% in January, buoyed by a 40% jump in Tesla shares.

But the ETF’s commitment to Tesla and other higher-risk innovation stocks saw 67% of its value wiped out in 2022, adding to a 23% contraction in 2021.

“We have other products in development. We’re not going to announce them, obviously, but they’re very exciting. And I think it will blow people’s minds when we reveal them,” Musk said on Tesla’s latest investors call covering earnings for the fourth quarter of 2022. 

That, Wood’s fund suggested, included its data library as well as training and inference tools, which it said “are positioning Tesla to build other autonomous machines that navigate the physical world, perhaps drones or last-mile delivery robots.”

In its Big Ideas 2023 publication, Ark said its $1 trillion forecast for the delivery-robot market depended on how quickly traditional automakers pivot to the tech if car sales fall as predicted.

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You won’t be able to watch movies and TV shows for free anymore on Peacock

poker face peacockPeacock is trying to catch up to other streaming services with shows like “Poker Face,” starring Natasha Lyonne (pictured).

Peacock

  • Peacock is no longer offering its free plan for new subscribers.
  • New members will have to pay for either the $4.99 ad-supported tier or the $9.99 ad-free option.
  • Peacock is lagging behind competitors in paid members.

If you were thinking of signing up for NBCUniversal’s streaming service Peacock, but didn’t want to pay for it, you’re out of luck.

As of Tuesday, Peacock has turned off its free tier for new users — meaning if you weren’t already subscribed to Peacock, you’ll now have to sign up for a paid membership.

The free plan included ads and limited content compared to the paid tiers.

The paid tiers include Peacock Premium — which costs $4.99 per month, and includes ads and all of Peacock’s content — and the ad-free Peacock Premium Plus, which costs $9.99 per month.

A Peacock spokesperson did not immediately respond to a request for comment from Insider. An NBCU spokesperson told Variety that the change was part of the company’s growth strategy for Peacock, but that existing users of the free plan will continue to have access to it for now.

Peacock has had a slow start since launching in 2020. By Q1 2021, the service had just 9 million paid subscribers. As of the end of 2022, it had 20 million, NBCU’s parent company Comcast said this week.

That’s still a far cry from other new streamers like Disney+, which had 164 million subscribers as of November 2022, and even Paramount+, which had 46 million that same month.

And, like most streaming services, it’s losing money — $2.5 billion in 2022, Comcast said during its earnings report this week. The company said it expects the service’s losses to peak this year.

The bright spot for Peacock coming into 2023 is new content.

“Tár,” which is nominated for a best picture Oscar, is now streaming on the service. It landed a deal in October to stream live and on-demand programming from Hallmark Channel.  And, later this year, the “John Wick” spinoff series “The Continental” will premiere on the service, which will also stream all three of the “John Wick” movies.

Most recently, critics have praised its new mystery-of-the-week series “Poker Face,” from “Knives Out” director Rian Johnson. It has a 98% Rotten Tomatoes critic score.

The Verge called it “Peacock’s first truly great original series.”

It’s still to be seen if it’s great enough for people to pay for it.

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Fighting Wagner is like a ‘zombie movie’ says Ukrainian soldier



Around Bakhmut, Ukraine

CNN

 — 

Southwest of the town of Bakhmut, Ukrainian soldiers Andriy and Borisych stay in a candle-lit bunker lower into the frozen earth. For a number of months they have been confronting hundreds of fighters belonging to the Russian non-public armed service contractor Wagner throwing on their own against Ukrainian defenses.

Disguised in a balaclava, Andriy recounts one particular seemingly endless firefight when they came beneath attack by a flood of Wagner fighters.

“We were being preventing for about 10 hours in a row. And it was not like just waves, it was uninterrupted. So it was just like they didn’t quit coming.”

Their AK-47 rifles grew to become so warm from frequent firing, Andriy claims, that they experienced to maintain altering them.

“It was about 20 troopers on our facet. And let us say 200 from their facet,” he suggests.

The Wagner way of war is to ship a first wave of attackers that mostly includes raw recruits straight out of Russian prisons. They know little of military services practices and are improperly geared up. Most just hope that if they survive their six-month deal they can go property fairly than back again to a mobile

“They make the group – let us say from 10 troopers – access 30 meters, then they start out digging in to preserve the posture,” Andriy claims of Wagner.

An additional team follows, he states, to declare a further 30 meters. “That’s how, action by action, (Wagner) is seeking to shift forward, even though they eliminate a whole lot of people in the meantime.”

Only when the initial wave is exhausted or slice down do Wagner ship in much more knowledgeable combatants, typically from the flanks, in an work to overrun Ukrainian positions.

Andriy claims facing the assault was a horrifying and surreal working experience.

“Our equipment gunner was almost obtaining mad, mainly because he was taking pictures at them. And he claimed, I know I shot him, but he doesn’t slide. And then following some time, when he it’s possible bleeds out, so he just falls down.”

Andriy compares the battle to a scene out of a zombie movie. “They’re climbing previously mentioned the corpse of their close friends, stepping on them,” he states.

“It appears to be like like it is incredibly, quite very likely that they are obtaining some medicines before attack,” he claims, a assert that CNN has not been in a position independently to validate.

Andriy and others in his unit shelter in a bunker southwest of Bakhmut, in eastern Ukraine, on January 31, 2023.

Even right after the very first waves were being eradicated, the assault continued as the Ukrainian defenders say they ran out of bullets and identified them selves surrounded.

“The difficulty was that they went all over us. And that’s how they surrounded us. They came from the other facet. We did not be expecting them to come from there.

“We ended up shooting until the past bullet, so we threw all the grenades we had and still left only me and a couple fellas. We were helpless in that situation.”

They were fortunate. Held off until eventually the final minute, the Ukrainian fighters say, Wagner withdrew at the conclusion of the working day.

Andriy’s account of Wagner’s solution matches that of a Ukrainian intelligence report obtained by CNN final 7 days.

According to that report, if Wagner forces do well in taking a posture, artillery assist lets them to dig foxholes and consolidate their gains. In accordance to Ukrainian intercepts, coordination in between Wagner and the Russian military is frequently missing.

CNN achieved out to Wagner Group boss Yevgeny Prigozhin this week about allegations of abuse in the company’s ranks.

Prigozhin responded in a statement that was mainly sarcastic in tone by way of his press support, calling CNN an “open enemy” in advance of insisting Wagner is an “exemplary military organization that complies with all the needed laws and guidelines of fashionable wars.”

As he speaks to CNN, the fields above Andriy’s bunker reverberate to practically regular shelling. The whine of outgoing artillery is adopted by a distant thud a number of seconds later and a couple of kilometers away.

The chatter of little arms fire erupts as Ukrainian troopers detect what they believe to be a Russian drone and try out to bring it down.

The unit only just survived a recent onslaught by Wagner troops, Andriy says.

Andriy’s unit says it captured a single Wagner fighter, whose tale is as tragic as Wagner’s ways are primitive and brutal.

In accordance to a recording of the male staying questioned, the male is an engineer but experienced taken to marketing drugs to make some income. He volunteered to join Wagner in the belief it would expunge his prison file so that his daughter would have less issues subsequent her dream to turn into a attorney.

“And when did you notice, you are just meat?” Andriy asks him.

“At the first fight mission. They introduced us to the frontline on December 28. They sent us forward very last night time.”

“How lots of persons had been in the team?”

“Ten,” he responses.

Andriy claims he had instructed the engineer: “Obviously, you know that you will be killed (in battle). But you are scared to combat for your liberty in your nation.”

“He claimed, ‘Yes, this is genuine. We’re worried of Putin.’”

Andriy contrasted Russian President Vladimir Putin with Ukrainian President Volodymyr Zelensky, who not so extended back was the country’s primary comedian.

“Our gain is that of course, we do, we actually can select the guy whom the [Russians] phone a clown. But as we can see, now, this male is seriously the chief of the totally free environment, at the moment, on our planet.

Andriy, who is from the southwestern metropolis of Odesa and joined up in times of Russia’s invasion, says that no matter how a lot of extra fighters are sent to storm their positions, they will resist.

“Most of my guys, they are volunteers. They had (a) great company, they experienced (a) fantastic work, they had a good income, but they arrived to fight for their homeland. And it helps make a good variation,” he claims.

“This is the war for liberty. It’s not even the war concerning Ukraine and Russia. This is a war concerning a routine and democracy.”

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