Last Two Times This Happened, Stocks Crashed

Global growth is languishing, corporate revenues too, but CEOs are trying to show they can grow their companies the quick and easy way. Cheap debt is sloshing through the system while yield-hungry investors offer their first-born to earn 5%. And this cheap debt along with vertigo-inducing stock valuations have created the largest M&A boom the US has ever seen, with May setting an all-time record.

There may be a sense of desperation among CEOs as the Fed’s cacophony evokes interest rate increases, the first since July 2006. So companies are issuing all kinds of cheap debt while they still can. Bond issuance has totaled over $100 billion per month in the US for the past four months, the longest such streak ever, according to Bank of America Merrill Lynch.

And that record issuance doesn’t account for the booming “reverse Yankee issuance,” where US corporations take advantage of the negative-yield absurdity Draghi has concocted in Europe and issue euro-denominated bonds into European markets.

“Issuers should realize that the window to lock in low long-term yields for any purpose is closing,” Hans Mikkelsen, a senior strategist at BofA, wrote in a note, according to the Financial Times. And so in May, M&A deals hit an all-time record of $243 billion.

http://www.nakedcapitalism.com/2015/06/wolf-richter-last-two-times-this-happened-stocks-crashed.html

Setting the Stage for the Second American Revolution

Most Americans obviously don’t know their history for if we did, we would be much more outraged and disturbed about the Jade Helm 15 military operation. Why? Because we’ve seen eerily similar situations play out in our nation before. In fact, this situation was a precursor to the first American Revolution.

Concurrent with the captive corporate media’s feeding frenzy vilifying patriots and other citizens concerned about Jade Helm 15 by calling them conspiracy fanatics, government officials in various cities, counties and municipalities are welcoming American troops to their towns with open arms, apparently having no clue of the event that precipitated the American Revolution. These local officials are intellectually hobbled and history-deficient, for if they cracked open a history book, they would understand that throwing down a welcome mat for troops in their towns is an invitation to eventual bloodshed.

Nobody, it seems, has raised any Constitutional objections about this operation against the backdrop of the Third Amendment of the Bill of Rights. I’ve yet to hear any politician, local, state or municipal governing body or political pundit discuss the implications of this “exercise” in the historical context of the American Revolution and the Bill of Rights.

To be clear, the Third Amendment to the U.S. Constitution reads as follows:

No soldier shall, in time of peace be quartered in any house without the consent of the owner, nor in time of war, but in a manner to be prescribed by law.

http://canadafreepress.com/index.php/article/72462

Rand Paul blasts PATRIOT Act Surveillance on Senate Floor During Last Minute Debate

Sen. Rand Paul (R-Ky.) took to the Senate floor Sunday afternoon as debate wrapped up to reiterate, very, very loudly, his opposition to renewing the mass data collection authorities of Section 215 of the PATRIOT Act. He had argue with Sen. John McCain (R-Ariz.) over Senate procedures first to get permission to speak. McCain, for his part, argued that the increase in terrorism (he said the Middle East is literally burning) is proof that we need Section 215 "more than ever," despite the lack of evidence that the mass collection under Section 215 actually contributed in any successful efforts to halt terrorist attacks.

Paul noted that "the right to be left alone" is one of our most cherished of rights. And in response to senators like Dan Coats (R-Ind.) saying Americans had been deceived by surveillance opponents, Paul reminded the Senate floor and C-Span viewers, "The head of intelligence agency lied to the American people, and he still works there." And he also reminded the Senate that a federal court has already ruled that Section 215 doesn't actually authorize mass metadata collection about Americans. Paul's position: Want to get records about Americans suspsected of crimes? Get a warrant. Paul is tweeting out some quotes from his speech here.

http://reason.com/blog/2015/05/31/rand-paul-blasts-patriot-act-surveillanc

EPA Climate Plan Sent to White House For Review

The Obama administration has teed up a busy summer on climate change, with the final review of its tentpole climate rule swinging into action.

The EPA set its rules on carbon emissions for existing power plants to the White House Office of Management and Budget for a final review, according to a website that tracks federal rulemaking. The rule is set to be finalized in August, according to OMB and a schedule of federal rulemakings.

EPA last June proposed cutting carbon dioxide emissions from existing power plants by 30 percent of 2005 levels by 2030, targeting one of the nation's largest sources of greenhouse gas emissions. The proposal sets specific targets for each state, allowing them to craft their own plans through measures like energy efficiency, upgrading power plants and shifting away from coal power.

http://www.nationaljournal.com/energy/epa-climate-plan-sent-to-white-house-for-review-20150602

TSA Has 5% Success Rate in Locating Hidden Bombs

Last time I traveled, I went through Fort Lauderdale Airport. Its sister airport, nearby Miami International, has tons of traffic, long security lines, and mile-long walks to get to your gate. Ft. Lauderdale, on the other hand, has a group of rabid TSA agents who take advantage of the relatively weak crowd around their security checkpoints to act like complete totalitarian lunatics. Typically, I'm happy to comply with TSA regulations. After all, they're just doing their job, even if I think they represent the jackbooted foot of the police state smashing the very foundations of our liberty beneath its heal. This time, molested and harassed, with my belongings spilling off the conveyor belt, I was pretty much ready to announce my one-woman crusade to abolish the Transportation Safety Administration before the end of the fiscal year.

Then, I thought, what if they really protect us? What all the junk-touching and underwear-rifling has real world implications and I'm just being an unreasonable, cynical libertarian unconcerned with the well-being and safety of other air passengers? And then, I started in on my third margarita because as far as security goes, yet again, the TSA proves they're less effective at protecting me from danger than those government-issued blue gloves. An internal investigation by the TSA has revealed that, in 67 out of 70 tests, the TSA failed to find a mock bomb or weapon in a test passenger's suitcase. That means they had a whopping success rating of....five percent.


http://spectator.org/blog/62921/tsa-has-5-success-rate-locating-hidden-bombs

Fast Tracking the Decline in American Power

Supporters of Obamatrade won in the Senate by selling the idea that Fast Tracking would strengthen American power. They cited a letter signed by several former defense secretaries which claimed:

There would be harmful strategic consequences if we fail to secure these agreements. In both Asia-Pacific and Atlantic, our allies and partners would question our commitments, doubt our resolve and inevitably look to other partners.

Unfortunately, these defense secretaries did not understand the economics of trade deficits. The Trans Pacific Partnership (TPP), the first deal that Obama is negotiating, would actually accelerate the destruction of U.S. power by growing our massive trade deficits.


http://www.americanthinker.com/articles/2015/05/fast_tracking_the_decline_in_american_power.html

Undercover DHS Tests Find Security Failures at US Airports

An internal investigation of the Transportation Security Administration revealed security failures at dozens of the nation’s busiest airports, where undercover investigators were able to smuggle mock explosives or banned weapons through checkpoints in 95 percent of trials, ABC News has learned.

The series of tests were conducted by Homeland Security Red Teams who pose as passengers, setting out to beat the system.

According to officials briefed on the results of a recent Homeland Security Inspector General’s report, TSA agents failed 67 out of 70 tests, with Red Team members repeatedly able to get potential weapons through checkpoints.

In one test an undercover agent was stopped after setting off an alarm at a magnetometer, but TSA screeners failed to detect a fake explosive device that was taped to his back during a follow-on pat down.

Officials would not divulge the exact time period of the testing other than to say it concluded recently.

https://gma.yahoo.com/exclusive-undercover-dhs-tests-widespread-security-failures-us-110647463--abc-news-topstories.html