Trump blasts Fed for not helping manufacturers

President TrumpOpens a New Window. on Tuesday continued to take on the Federal ReserveOpens a New Window., saying the central bank “loves” to watch American manufacturers struggle.

“The Federal Reserve loves watching our manufacturers struggle with their exports to the benefit of other parts of the world. Has anyone looked at what almost all other countries are doing to take advantage of the good old USA? Our Fed has been calling it wrong for too long!”

Trump has heavily criticized the Fed and its chairman, Jerome PowellOpens a New Window. multiple times over the past several months. The president’s biggest issue with the Fed is over the size of its latest interest rate cut. While the central bank lowered the benchmark federal funds rate by a quarter-point last month, Trump has repeatedly called for a larger cut.

Meanwhile, manufacturing activityOpens a New Window. across Mid-Atlantic States showed little improvement in August, according to data released Tuesday from the Federal Reserve Bank of Richmond.

“The composite index rose from -12 in July to 1 in August, buoyed by increases in the indexes for shipments and new orders,” the survey found. “However, the third component, employment, fell. Firms reported increasing capital expenditures and inventories, but the measure of local business conditions was slightly negative. Manufacturers were, however, optimistic that conditions would improve in the next six months.”

The survey indicated that while wage growth continues, firms were having difficulty finding employees with the necessary skills for open positions — and it anticipates that both of these trends will continue. Also, “many firms saw employment decline while the average workweek increased in August,” according to the survey.

[Fox Business]

Trump Attacks Puerto Rico Ahead of the Storm—When the Island Is More Vulnerable Than Ever

Hurricane Dorian is set to make landfall today in Puerto Rico, with the potential of winds up to about 75 mph and heavy rains. The storm will strike only weeks before the two-year anniversary of Hurricane Maria, which tore the island apart in September 2017. Even though Zoé Laboy, the governor’s chief of staff, told reporters on Sunday that “Puerto Rico is ready,” recovery takes a long time—and even longer given the political and fiscal challenges the island has faced both internally and from the Trump administration.

“The recovery process from disasters, particularly from a catastrophic event like Maria, is measured in years, in decades,” says Samantha Montano, an emergency management and disaster science expert at the University of Nebraska-Omaha. “When you’re looking at a community already undergoing a recovery process, you’re in a more vulnerable state.”

Both during and after Hurricane Maria struck Puerto Rico as a Category 4 hurricane, the island’s devastation and recovery dominated the headlines. Maria left nearly 3,000 Puerto Ricans dead, and damage to the electrical grid meant that almost half a million residents were without power for more than four months. Puerto Rico’s electrical grid had already been in need of an upgrade before the storm, and it took 11 months before the island regained power. An estimated $95 billion in damages burdened a colony already in a decade-long economic slump, unable to contend with $120 billion in outstanding debts and obligations. Economic conditions and the storm caused the island to lose roughly 4 percent of its population, with many young people and families moving to Florida—a dynamic that has further slowed the recovery.

On Tuesday, President Trump falsely claimed on Twitter that Congress granted Puerto Rico $92 billion in aid. According to FEMA’s data on disaster funding, Congress has allocated a total of almost $42.7 billion, less than half of the sum Trump claimed, to the Puerto Rican government for disaster assistance, flood control, and other services related to recovery. Of the amount Congress has approved for Puerto Rico, less than $14 billion has been disbursed to the island so far. In 2017, Trump visited the island in the aftermath of Maria and memorablytossed paper towels to Puerto Ricans in an aid distribution center before cutting short his perfunctory visit to the United States territory.

“Because of federal and local neglect, Puerto Rico is still not prepared for another natural disaster,” says José Caraballo-Cueto of the Institute for Interdisciplinary Research at the University of Puerto Rico. “Two years after Maria, thousands of residents are without roofs, the electrical grid is more or less in the same, weak condition, and many roads and bridges in the countryside were not completely restored.” Caraballo-Cueto, who is also the former president of the Puerto Rico Economists Association, says that instead of establishing a systematic approach to using the funds for recovery, the two entities responsible for distributing the money—the local government and the unelected, federally appointed fiscal control board that makes decisions about how Puerto Rico can spend money—”prefer to depend almost exclusively on NGOs and on the federal government to recover.” 

Although Dorian likely won’t hit the island with a force comparable to Maria’s Category 4 strength, with its 155 mile an hour winds and torrential rain that stalled over the island, for the thousands who remain without roofs, “it doesn’t matter how much it rains, it’s a big issue,” says Jenniffer Santos-Hernández, an expert in emergency management at the University of Puerto Rico’s Centro de Investigaciones Sociales. Santos-Hernández acknowledges that even though the government and some communities have more resources than they did during and after Maria, “the way that FEMA and the emergency management agency in Puerto Rico collaborate is not necessarily the best, because it’s very politicized.” Emergency management in Puerto Rico is “not really a professional career, but a political appointment.” Given Puerto Rico’s colonial status, the “lack of trust among the actors…becomes amplified.”

Puerto Rico’s recent political turmoil further complicates the issue of both preparedness and recovery, should the storm bring greater damage to the island’s already compromised infrastructure. On July 24, less than two weeks after the Centro de Periodismo Investigativo published889 pages of a chat group featuring misogynistic and homophobic language and possible evidence of corruption among the governor and 11 of his associates, Puerto Rico Gov. Ricardo Rosselló resigned. On his way out of office, he appointed Pedro Pierluisi as secretary of state—an attempt to ensure that Pierluisi would succeed him as governor—only for a court to rule five days later that the process had been unconstitutional, disqualifying Pierluisi from service. Wanda Vázquez Garced, the island’s secretary of justice, who has faced allegations that she didn’t fully investigate issues around aid distribution after Hurricane Maria, was sworn in as governor on August 7.

The political upheaval caused FEMA to require extra documentation for reimbursement, applicant information, and work plans in Puerto Rico. This policy had been enacted in the fall of 2017 after Hurricane Maria but was eventually rescinded after the government of Puerto Rico established internal controls for the spending. The day after Rosselló’s resignation, FEMA reinstated the policy citing “the ongoing leadership changes within the Puerto Rican government, combined with continued concern over Puerto Rico’s history of fiscal irregularities and mismanagement.”

How that decision would potentially affect funding or additional support should Dorian cause major damage to the island is unclear. But in a response to a March 2019 General Accountability Office review of disaster funding in Puerto Rico, the island’s government said the policy “places an undue burden” on residents applying for federal aid and “significantly delays” reimbursement. The government’s letter asserted, “FEMA has never implemented such a [system] for any previous disaster in the nation.” FEMA did not respond to a request for clarification of this policy.  

A punitive federal response to Puerto Rico’s internal political problems was not restricted to FEMA. The Department of Housing and Urban Development announced on August 2 that roughly $9 billion in disaster mitigation funds earmarked for Puerto Rico and the Virgin Islands would be separated from overall disaster mitigation funding for nine other states. Before the HUD decision, funding for the states and the territories was going to be disbursed together, but the new decision allowed HUD to give money to the states while delaying money for the territories. In a statement, HUD Secretary Ben Carson said, “Recovery efforts in jurisdictions prepared to do their part should not be held back due to alleged corruption, fiscal irregularities and fiscal mismanagement occurring in Puerto Rico.” He cited the July 10 arrest and indictment of Julia Keleher, the island’s former education secretary, on charges of improperly steering sizable contracts to associates in 2017.

[Mother Jones]

Trump whines about paying for disaster relief in Puerto Rico as another storm barrels down on US territory

President Donald Trump complained — again — about disaster relief aid for Puerto Rico for hurricane relief as another storm approached.

The president has repeatedly and falsely claimed that Congress had allocated $92 billion of aid money to the U.S. territory for relief aid for 2017’s Hurricane Maria, which inflicted an estimated $90 billion in damage.

In fact, the island was allocated $42.5 billion but actually received only a fraction while the bulk of the aid has remained in Washington as part of a bureaucratic approval process.

The president tweeted out another complaint about the spending as Tropical Storm Dorian approached Puerto Rico.

[Raw Story]

Trump denies bedbug infestation at Doral resort after club settled lawsuit in 2017

President Donald Trump took to Twitter on Tuesday to slam Democrats for spreading a “false and nasty rumor” that his Doral, Florida, golf club, where he has said he hopes to host a gathering of world leaders for a major summit next year, is infested with bedbugs.

“No bedbugs at Doral,” Trump said. “The Radical Left Democrats, upon hearing that the perfectly located (for the next G-7) Doral National MIAMI was under consideration for the next G-7, spread that false and nasty rumor. Not nice!”

But in fact, a possible bedbug infestation was the subject of a 2016 lawsuit, in which a New Jersey man who sued for $15,000 in damages alleging that he woke up covered in bites and sores after a night in one of the resort’s villas.

According to a complaint filed in Miami-Dade County Court, Eric Linder, 66, awoke on the morning of March 8, 2016, “to discover that he had multiple welts, lumps and marks over much of his face, neck, arms and torso.”

Linder said he then issued a complaint to the resort’s management, who went to test both rooms he had stayed in for bedbugs.

“[Linder] was advised by the Trump resort staff and/or management that the guest room in the Jack Nicklaus Villa building tested positive for bedbugs,” the complaint alleged. “Trump National Doral and the Jack Nicklaus Villa building in particular, has a history of severe bedbug infestation, going back to at least the beginning of 2016.”

In a court filing responding to the lawsuit, lawyers for the resort denied all of the allegations leveled by Linder, and leveled an attack against Linder saying he, “conducted himself so carelessly and negligently that his conduct was the sole proximate cause or contributing cause to the events of which he complains.”

The resort never was compelled to expand on that attack, however, because it reached an out-of-court settlement with Linder and the case came to a close in May 2017.

The settlement included a confidentiality clause, so both Linder and the resort have been barred from speaking further about the matter.

Neal Hirschfeld, who represented Linder in the case, told ABC News that the president’s tweets “would not have any effect” on the settlement and said that the case is, “long over.”

Separately, Linder did not immediately respond to calls requesting comment on the matter.

[ABC News]

Trump backs Brazilian president as he rejects aid for fighting Amazon fires

President Donald Trump gave Brazil’s Jair Bolsonaro his full backing Tuesday as South America struggles to contain wildfires wreaking havoc in the Amazon rainforest and as Bolsonaro rejected a pot of international aid to fight the blazes.

“I have gotten to know President @jairbolsonaro well in our dealings with Brazil,” Trump tweeted. “He is working very hard on the Amazon fires and in all respects doing a great job for the people of Brazil – Not easy. He and his country have the full and complete support of the USA!”

Brazil on Tuesday said it would reject$20 million in aid money offered Monday by G-7 nations to battle the massive fires that have threatened one of the world’s greatest sources of biodiversity.

“The Amazon are the lungs of the planet, and the consequences are dire for the planet,” French President Emmanuel Macron said in announcing the aid fund earlier this week. The assistance was not intended solely for Brazil, but for the nearly dozen states that make up the Amazon region in South America, including French Guiana. Canada and Britain pledged an additional $11 million and $12 million in aid, respectively, during the G-7 summit.

Bolsonaro’s decision to spurn the aid money from France and other economic giants comes amid a public spat with Macron that resulted Monday in the French president openly wishing Brazil would soon have a new leader. Bolsonaro insisted Macron had called him a liar and insulted him by questioning his handling of the crisis. The Brazilian president said that once Macron retracted some of those comments, “then we can speak,” according to The Associated Press.

Critics have accused Bolsonaro, a right-wing populist dubbed the “Trump of the tropics,” of facilitating the fires and of taking a lax approach to preventing mass deforestation of the rainforest while also being too slow to respond to the fires. Macron last week threatened to upend a major trade deal between the European Union and the South American Mercosur trade bloc over the issue, claiming Bolsonaro was not living up to environmental commitments that had been made under the deal.

Brazil’s ambassador to France, Luís Fernando Serra, said on French TV on Tuesday that his country is rejecting the aid because the decision was made without involving his country and the “language is ambiguous.”

“We refuse because we see interference,” he said, calling the aid “help we didn’t ask for.”

Bolsonaro’s chief of staff went further, taking personal shots at Macron and suggesting the aid might be better spent reforesting his own backyard. And he knocked the massive blaze earlier this year at Paris’ historic Notre Dame Cathedral, adding, “Macron cannot even avoid a predictable fire in a church that is part of the world’s heritage, and he wants to give us lessons for our country?”

[Politico]

Trump claims to be an ‘environmentalist’ despite skipping G-7 session on climate change

President Donald Trump sought to defend his environmental record on Monday after skipping a meeting on climate change with world leaders at the G-7.

Asked in a news conference at the close of the annual gathering whether he still harbors skepticism toward science that shows global temperatures rising at a dangerous pace, Trump insisted that he was an “environmentalist,” even as he talked up his administration’s support for fossil fuels.

“I feel that the United States has tremendous wealth. The wealth is under its feet. I’ve made that wealth come alive,” he said, pointing to the United States’ rise to a global leader in oil exports and his efforts to open up the Arctic National Wildlife Refuge in Alaska for oil drilling, an initiative that has hit a number of roadblocks.

But he again dismissed sources of renewable energy like wind power, referring to power generating wind turbines as “windmills” and telling reporters he didn’t want to waste America’s “tremendous” energy wealth on “dreams.”

Trump caused a commotion Monday when he skipped a session at the G-7 devoted to climate change, biodiversity and oceans, unlike every other leader from the group of leading industrialized nations. Following a meeting with German Chancellor Angela Merkel, Trump told reporters of the session that “we’re having it in a little while,” according to a pool report, and did not acknowledge when a reporter informed him that the session had in fact already happened.

White House press secretary Stephanie Grisham later said that Trump missed the session due to “scheduled meetings and bilaterals” with the leaders of Germany and India, adding that “a senior member of the administration attended in his stead.” Both Merkel and Indian Prime Minister Narendra Modi attended the session, however.

Trump later told journalists Monday that “I want the cleanest water on Earth, I want the cleanest air on Earth and that’s what we’re doing — and I’m an environmentalist.” But he did not answer a reporter’s question about what he thought the world should be doing to address the growing climate crisis.

The president has repeatedly minimized the threat of climate change, pledging during his candidacy — and making efforts during his presidency — to revive the coal industry, expand offshore drilling, and open up public lands for onshore drilling as well as approving controversial pipeline projects and pushing a massive deregulation campaign.

During his first year in office, Trump controversially withdrew from the Paris climate agreement, making the U.S. one of the only industrialized countries not in the pact to reduce carbon emissions and make drastic changes to mitigate the climate crisis. He has also derided the Green New Deal that has become a de facto benchmark of environmental policy on the left, calling it socialist and saying he can’t wait to run against the idea in next year’s election.

“I want to be very careful,” Trump said of his environmental policy. “At the same time it’s very important to me, we have to maintain this incredible place that we’ve all built. We’ve become a much richer country and that’s a good thing, not a bad thing. Because that great wealth allows us to take care of people. We can take care of people that we couldn’t have taken care of in the past because of the great wealth. We can’t let that wealth be taken away. Clean air, clean water.”

Trump subsequently wrapped up the news conference, not allowing any follow-up questions on the topic. 

[Politico]

Reality

Donald Trump, the most anti-environmental president in U.S. history… period, labeled himself “an environmentalist.”

From withdrawing from the Paris climate agreement, installing a coal lobbyist to the EPA who is rolling back clean air and water regulations, to rolling back Obama MPG standards for automobiles, allowing companies to pollute our streams, denying the fact that humans are warming the planet at rates never before seen, etc…

Trump falsely claims Melania Trump has ‘gotten to know Kim Jong Un’

President Donald Trump gave a joint news conference Monday with French President Emmanuel Macron before his departure from the G7 summit in France. He then stuck around to take additional questions by himself.

Trump made at least eight false claims, seven of which he had made before. (The new one was an odd claim about Melania Trump and Kim Jong Un.) And he made at least five claims that we’ll call misleading, questionable or lacking in context.

Melania Trump and Kim Jong Un

“The first lady has gotten to know Kim Jong Un, and I think she would agree with me he is a man with a country that has tremendous potential,” Trump said.

Facts FirstMelania Trump was not present for any of Trump’s three meetings with Kim Jong Un, and there is no evidence she has ever spoken to Kim.

White House press secretary Stephanie Grisham said in a statement later Monday:

“President Trump confides in his wife on many issues including the detailed elements of his strong relationship with Chairman Kim — and while the First Lady hasn’t met him, the President feels like she’s gotten to know him too.”We’re still calling the statement false. Trump’s phrasing, “gotten to know,” clearly suggested some level of personal interaction between Melania Trump and Kim.

[CNN]

Rudy Giuliani Jumps on the Seth Rich Conspiracy Bandwagon

Donald Trump lawyer Rudy Giuliani promoted discredited conspiracy theories about murdered Democratic National Committee staffer Seth Rich on Twitter early Monday morning, further  fueling the baseless speculation that has anguished Rich’s grieving family.

Giuliani quote-tweeted a tweet from conspiracy theorist Matt Couch, whose fevered claims about Rich’s 2016 murder provoked a defamation lawsuit from Rich’s brother. In his tweet, Couch pointed out that, while Washington, D.C. police believe that Rich was murdered in a currently unsolved botched robbery attempt, none of his belongings appear to have been taken by his killer.

Donald Trump lawyer Rudy Giuliani promoted discredited conspiracy theories about murdered Democratic National Committee staffer Seth Rich on Twitter early Monday morning, further  fueling the baseless speculation that has anguished Rich’s grieving family.

Giuliani quote-tweeted a tweet from conspiracy theorist Matt Couch, whose fevered claims about Rich’s 2016 murder provoked a defamation lawsuit from Rich’s brother. In his tweet, Couch pointed out that, while Washington, D.C. police believe that Rich was murdered in a currently unsolved botched robbery attempt, none of his belongings appear to have been taken by his killer.

Rich’s July 2016 murder has inspired a number of conspiracy theories claiming that he leaked Democratic emails to WikiLeaks, and then was murdered by Hillary Clinton or the “deep state” in retaliation.

That idea, which isn’t backed up by any evidence, has been embraced by some Trump supporters—including Fox News host Sean Hannity—because it would mean the emails were released by a whistleblower, rather than by Russian government hackers. In reality, Rich’s neighborhood had experienced a series of robberies in the lead-up to his death, which led police to believe it was likely a botched robbery.

In text messages with The Daily Beast, Giuliani insisted his tweet wasn’t meant to promote any conspiracy theories but merely to ask questions about Rich’s murder, which has remained unsolved. 

“I didn’t support any conspiracy theory,” Giuliani told The Daily Beast in a text message. “I raised several nagging coincidences.” 

“I vaguely remember it and was asking a question about whether it was ever investigated fully,” Giuliani added. “Don’t remember if it was ever solved? Was it.” 

After this article was published, Giuliani doubled down on his speculation and accused The Daily Beast of lacking “proper seductive reasoning.” 

“Either you haven’t been trained in proper seductive [sic] reasoning or the most truthful explanation is irrelevant,” Giuliani wrote in a text message.

[Daily Beast]

Beijing denies Trump’s claim that China called US officials to restart talks

President Donald Trump said U.S. and Chinese officials spoke Sunday and he is optimistic China wants to make a deal after the trade war between the two countries escalated in recent days.

“They want to make a deal,” Trump told reporters Monday during a meeting with Egyptian President Abdel-Fattah el-Sissi at the Group of Seven Summit. “That’s a great thing.”

The conversations Sunday between the U.S. and Chinese officials were the first since the two countries lobbed a new round of tariffs at each other last week. Neither side formally broke off talks and White House officials had said they expected negotiations to continue despite the new tariffs. But investors had feared China could walk away from the negotiating table.

Speaking to reporters, Trump heaped praise on Chinese President Xi Jinping, calling him a “great leader” and said China wants “to do something very, very badly.” He said the calls were at the “highest levels.”

“We are probably in a much better position now than any time in the negotiations,” Trump said in a meeting Monday with German Chancellor Angela Merkel.

When asked about the phone calls, Chinese Foreign Ministry spokesperson Geng Shuang said, “I haven’t heard about this.” News of Trump’s comments was breaking as he was addressing reporters.

Hours earlier, Chinese Vice Premier Liu He said China sought “calm” negotiations and opposed an escalation.

“We are willing to solve the problem through consultation and cooperation with a calm attitude,” he said, according to Chinese newspaper Caixin. “We firmly oppose the escalation of the trade war,” he said, adding that it “is not conducive to China, the U.S. and the interests of people all over the world.”

Liu, China’s top trade negotiator, was speaking at a tech conference in Chongqing in southwest China, the Chongqing Morning Post reported.

The stock market fell sharply Friday after China announced it would slap retaliatory tariffs on $75 billion worth of U.S. goods, and Trump hit back saying he would increase existing tariffs on $250 billion in imports to 30 percent from 25 percent Oct. 1.

He also said that a planned 10 percent tariff on a further $300 billion in Chinese goods would now be taxed at 15 percent starting next month.

But the continued talks and optimism from Trump eased financial market jitters. U.S. stock futures pointed to a recovery Monday morning, with Dow futures jumping more than 200 points.

Trump’s top economic adviser, Larry Kudlow, said Sunday afternoon that he was anticipating a call from the Chinese this week and for Chinese officials to still come to Washington as planned.

“You’ve got both sides playing their game, we get that,” Kudlow told reporters. “As long as they are talking, I’m good.”

Trump also signaled a hint of optimism on Iran.

He said he didn’t feel disrespected by the surprise arrival of Iranian Foreign Minister Mohammad Javad Zarif at the seaside town where the meeting of world leaders is taking place. Trump said French President Emmanuel Macron let him know Zarif was coming on the day of his arrival.

“I don’t consider that disrespectful at all, especially when he asked for my approval,” Trump said of Macron.

But White House aides said they felt blindsided by the unanticipated visitor, and some were upset at the French over the move, U.S. officials said shortly after Zarif’s arrival.

A spokesman for Zarif announced that he had arrived in Biarritz at the invitation of the French foreign minister “to continue talks” between the Iranian and French governments.

Trump said it would have been too soon to meet with the Iranians, and he declined to comment when asked if he sent any message to Zarif. There is no indication Zarif would have been willing to meet with the U.S. officials.

Trump said he isn’t looking for regime change in Iran, but that he wants to see the country abandon its nuclear program and stop its terrorism funding before lifting financial restrictions that have crippled its economy.

“We are looking to make Iran rich again,” Trump told reporters Monday. “Let them be rich.”

[NBC News]

Reality

Beijing has no idea what Trump is talking about.

Trump skips G7 climate summit with aides lying about scheduling conflict

President Donald Trump skipped a session devoted to climate change at the G7 summit here, a snub aides wrote off as a scheduling conflict but nonetheless reflects Trump’s isolation on the issue.

As other leaders were taking their seats around a large round table, the chair reserved for Trump sat empty. The summit’s host, French President Emmanuel Macron, gaveled the meeting to order anyway and launched into an explanation of a wrist watch made from recycled plastic.

Later, the White House said Trump’s schedule prevented his attendance.

“The President had scheduled meetings and bilaterals with Germany and India, so a senior member of the Administration attended in his stead,” press secretary Stephanie Grisham said.

But the leaders of both those countries — German Chancellor Angela Merkel and Indian Prime Minister Narendra Modi — were both seen attending, at least for the start of the session.

An official said the staffer who replaced Trump worked for the National Security Council.

Speaking afterward, Macron seemed to shrug off Trump’s absence.

“He wasn’t in the room, but his team was,” Macron said at a news conference. He urged reporters not to read too much into Trump’s decision to skip the session, insisting the US is aligned with the rest of the G7 on issues of biodiversity and combating fires in the Amazon rainforest.

Still, Macron acknowledged Trump’s decision to withdraw from the Paris climate accord — a move that angered European nations, who remain part of the pact. Macron said it was no longer his goal to convince Trump to return to the agreement.

In the lead-up to the G7, Trump’s aides said he wasn’t entirely interested in the climate portions of the summit, believing them a waste of time compared to discussion of the economy.

After past G7s, Trump complained that too much time was spent on issues he deemed unimportant, like clearing oceans of plastics.

But Macron made climate one of the main focuses of this year’s gathering anyway, scheduling the session on Monday and insisting the leaders address the Amazon fires.

That was bound to create divisions between Trump and the other leaders. Trump has loosened environmental regulations in the United States, even as he claims that water and air are at their cleanest levels ever.

[CNN]

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